OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2023-03-31-accounts

newlife The Charity for Disabled Children Annual Report-, nd Accounts 2022/23

Our vision

That every disabled or terminally ill child and their family, get:

The equipment they depend on; the quality of life they deserve; the caring support they need and the chance to fulfil their potential.

Annual reports and accounts 2022/23

Performance and Plans 10 Financial Review and Results 31 Financial Statements 39 Independent Auditors Report 54

Chair of Trustees foreword

2022/23 was a challenging year for disabled children and their families with economic pressures meaning that more families sought support from Newlife than ever before. Our national Nurse-led helpline, the entry point for many of our services, provided 81 per cent more instances of help and support in the year.

For many families, the long delays in assessment for specialist equipment and not having access to the right equipment at the right time has meant that many children are simply going without. As a result, we nearly doubled the number of items of equipment given to families through our Equipment Grant Service.

To deliver this increase in services we responded by increasing our charitable spend by more than 31 per cent to £3.7m this year (2022/23). To deliver this we continue to focus on our retail operations and build our fundraising partnerships.

We were delighted to be awarded £1M (£276,953 in 2022/23) from the Motability Foundation as part of a 3-year partnership to deliver support to over 280 children and young people. Ensuring disabled children get the best possible start in life through the provision of equipment remains at the very heart of our mission and this transformational partnership allows us to reach and support more children across the UK.

In 2023 we welcomed Fiona Robinson who joined Newlife as CEO. She has already made a significant impression and we are very much looking forward to the future under her leadership.

We are truly grateful for the support of our people, donors and partners who are helping to create positive change for disabled children and their families every day.

Clive Lewis - Chair of Newlife's Board of Trustees

Introduction

Newlife The Charity for Disabled Children was founded over 30 years ago to ensure that disabled and terminally ill children get the best possible start in life and have the opportunity to fulfil their potential.

As the UK’s largest charitable provider of specialist disability equipment, Newlife provides vital equipment to disabled and terminally ill children, as well as information and support to their families and carers.

As a charity we rely on donations and support from a range of sources, including corporate partners, trusts and the wider public.

Our other source of income is through our retail stores, where we work with high street brands to recycle donated stock, giving a new life to clothes which would otherwise end up in landfill.

Why we exist

There are 1.5 million children and young people living with a disability in the UK. In the last ten years the percentage of children and young people with a disability has gone from 6% of the UK population to 11%*. Many families are battling to get the support and equipment they need from local services, often facing long delays to get the assessments and support they need.

Over 90% of the families we spoke to, all supported by Newlife, told us that without Newlife, it is unlikely they would have been able to get the equipment needed for their child.

Newlife exists because without us, many thousands of children and young people with disabilities would go without.

What we do:

Annual Report and Accounts 2022/23

4

With the buggy from Newlife we go on different walks. When he gets upset, I will pop him into the buggy and he calms down within two minutes of being in, as he feels secure and settled. It has opened-up possibilities and the world to us.

Annual Report and Accounts 2022/23

5

Mission, Vision and Values

Our mission

Together we will make life better for disabled or terminally ill children and their families.

Our vision

That every disabled or terminally ill child and their family, get:

The equipment they depend on; the quality of life they deserve; the caring support they need and the chance to fulfil their potential.

Our Values

Our charitable activities

Newlife changes the lives of disabled and terminally ill children across the UK. We grant or loan thousands of items of equipment every year, often in emergency situations.

We provide information and support to families through a dedicated Nurse service. We campaign to give disabled children and their families a voice and we fund medical research to give hope for the future.

A review of how we met our objectives for the year are included in our detailed review of services to follow.

Annual Report and Accounts 2022/23

6

Annual Report and Accounts 2022/23

7

Our year in numbers 2022/23

At year-end, we provided 13,802 instances of help to disabled children and their families, a 25% increase on our target of 11,000 for the year and a 55% increase on the previous year (8,890). We responded to the growing demand for services by increasing our spend on specialist equipment from £1.46m in 2021/22 to £2.53m in 2022/23.

385

children were provided with help in an emergency with an equipment loan.

10,898

instances of help through our dedicated Nurse helpline.

94

5

we gave equipment to children who were in need in 94 of the 105 counties in the UK.

the average age of a child benefitting from our Play Therapy Pod service.

£1,923

is the average cost of a piece of specialist equipment provided through our grant service.

£2.53m

the value of specialist equipment (loans, grants & PTP's) we provided to families.

1,524

children received specialist disability equipment such as wheelchairs, buggies, walking frames and communication aids through our grants service.

1,380

the number of Play Therapy Pods supplied direct to children at home, to support their learning and give them a chance to play and smile.

Annual Report and Accounts 2022/23

8

The first time Gabriella sat up and played with her brother Samuel, I cried. The sensory toys have really helped to stimulate her interest in playing.

Annual Report and Accounts 2022/23

9

Performance and Plans

Service

Emergency Equipment Loans

Newlife is the only national charity providing emergency specialist equipment to disabled children in crisis.

Many families struggling with the impact of the cost-of-living crisis cannot afford the vital equipment they need and many local areas have substantial waiting lists, and fewer professionals to help than before.

We have heard from families who have waited more than 12 months just to get an assessment for the equipment they so desperately need.

Many children and young people with a disability simply cannot afford to wait. We know the importance of receiving the right treatment, intervention and care at the right times, especially if and when crisis hits, and our Emergency Equipment Loan service aims to provide essential equipment as quickly as possible when it is needed.

The highlights:

Our target was to continue to help children and families by providing emergency loans to those families most in need.

In 2022/23, we provided 385 (2021/22 574) Emergency Equipment Loans at a cost of £290,024.

Annual Report and Accounts 2022/23

11

Case story

Roman’s story

The emergency loan of a specialist buggy was a ‘godsend’ to the family of one-year-old Roman Pearse, as it allowed them to leave the house while they waited for a specialist buggy from their local authority.

Roman has quadriplegic Cerebral Palsy, cortical vision loss and complex epilepsy, meaning he can’t sit up, crawl or roll over unaided. Although he wanted to sit up and see the world around him whenever he was in his standard high street buggy, it didn’t provide the support he needed. Roman slumped to one side, making him very uncomfortable and risking long-term damage to his joints and muscles.

As the Plymouth family faced a wait of around a year to receive a specialist buggy from their local health and social care services, the family turned to Newlife to bridge the gap with the emergency loan of a specialist buggy to meet all his needs and protect him during seizures. This meant that Roman could be safely taken to medical appointments and into the local community.

Mum Lauren said:

“ The loan buggy from Newlife means we have been able to take him everywhere we need to go and he’s enjoyed trips to the zoo and the aquarium too. It gives him the opportunity to spend a good amount of time away from home and helps his development, without us having to worry about the impact on his joints and posture – and it means Roman can just have a good time while we are out.

He gets so excited when he sees us get the loan buggy out now. Having this has been a godsend and has made all our lives so much easier!

Annual Report and Accounts 2022/23

12

Service

Equipment Grant Service

Newlife believes that all children should have the chance to fulfil their potential and live their best possible life.

Unfortunately many children are missing out and don't get the equipment that will make a huge difference to their lives and that of their families. This equipment can help a child in so many ways, for example, reducing pain, improving mobility, communication skills or sleep, and often improves quality of life for the whole family. With more families struggling financially our services are needed now more than ever.

We provide equipment grants that can be fast-tracked in urgent situations as well as through our ‘quality of life programme’, enhancing young lives and giving children the chance to be the best that they can be.

Our target for the year was to increase our quality-of-life equipment grants to help children live their lives to the fullest potential. We know equipment can empower, providing opportunities to talk, walk, go to school or higher education and to enjoy precious time with family and friends.

This year we provided 1,139 (2021/22 574) equipment grants of which 855 (2021/22 333) were fast tracked because they were urgent.

Newlife secured funding to support families during the cost-of-living crisis through its Family Essentials Fund, which provides practical everyday items that we know families often have to forego in order to cover basic living costs.

The impact:

It has been estimated that it costs 3 times more to raise a child with a disability. Families have to spend more on fuel to get to hospitals or special schools; and families use more energy as they may have to keep their house warm all year round. Disabled children are also more likely to live in poverty than non-disabled children.

The Family Essentials project was initially launched as a pilot during COVID-19 when we recognised that disabled children and families living in poverty would be hardest hit by the restrictions and changes to daily life during the pandemic. We know that this project has huge impact and provides real, simple and practical support to families in need. During the period Nov 22 – March 23 79 essential items were provided to families identified as most in need.

  • Scope 2019

  • UK Poverty 2023, Joseph Rowntree Foundation

Annual Report and Accounts 2022/23

13

Case story

Connie’s story

Six-year-old Connie Annakin, from Leeds, was diagnosed with a form of childhood dementia called Battens Disease when she was aged three. Over the previous months she had developed seizures while losing the ability to walk or talk.

Devastatingly, her parents Caroline and Rob were told most children diagnosed with the condition pass away between the ages of six and ten.

Connie receives a revolutionary new enzyme treatment, administered at hospital through a port in her brain twice a month, but travelling to treatments – or anywhere – was made difficult by the basic wheelchair Connie had. It was too small, didn’t support her head or recline so she could sleep, or keep her comfortable during seizures. In desperation her family applied to Newlife for a specialist buggy.

Now, Connie can attend medical appointments easily, safely and comfortably - and have as many visual experiences as possible, before her sight fades completely.

Mum Caroline said

“ The buggy Newlife helped provide has been life changing. The enzyme treatment is working well, and we are hopeful it will stop her developing further disabilities, but it can’t give her back what has been lost, so she needs the right specialist buggy to go anywhere safely. The treatment can’t halt her loss of sight either, as it can’t cross the blood-retina barrier, so having this buggy is vital to see as many different things, such as the ocean and Christmas lights.

Connie can no longer tell the difference between day and night, so it’s imperative she can recline to be able to sleep whenever she needs to, as lack of sleep can trigger more seizures. The tyres on the buggy can handle all terrains and the buggy even has weatherproofing we can use.

Now we can go anywhere we want and give her all those great experiences and live in the moment so we can make memories.

Annual Report and Accounts 2022/23

14

Service

Play Therapy Pods

The gift of play should not be underestimated. Specialist toys can be so expensive and yet they can help a child in many ways.

Newlife’s Play Therapy Pods give disabled children from across the UK the chance to learn and smile. Our free loans of specialist toys improve learning and help children gain crucial key skills that support them through life. They help children interact with parents, carers, siblings and friends and support smiles – which in the face of painful or debilitating conditions can be rare.

Newlife provides specialist development and sensory toys for a 12-week loan period. Toys are suitable from birth right through to 18 years of age.

Each pod contains a selection of specialist toys that can teach cause and effect, assist with developing hand-eye coordination and promote understanding of balance and movement, as well as helping with the development of motor skills and stimulating audio and visual senses. Having access to the right specialist toys enables disabled children to better interact with the world around them.

organisations to help more disabled children and their families.

In 2022/23, we provided 1,380 (2021/22 1,499) Play Therapy Pods.

The impact:

• 84% of families told us their child had enjoyed playing more than ever before after receiving a Play Therapy Pod.

• 92% of families had a better

The Play Therapy Pod Service also gives children and their families the chance to try a range of different toys, so they can discover which toys best suit their child’s needs before making an investment or buying toys as a gift.

understanding of which toys would suit their child’s needs.

• 92% of families said they were ‘satisfied’ or ‘very satisfied’ with our Play Therapy Pod service.

The target for 2022/23 was to look at opportunities to grow the Play Therapy Pod service, including whether we can introduce new types of pods with brand new toys and resources, or work collaboratively with

Annual Report and Accounts 2022/23

15

Case story

Winifred’s story

Four-year-old Winifred Keuthen can now spend time playing and bonding with big sister Emma, thanks to Newlife’s free loan of specialist sensory toys to better meet her complex needs.

Winifred, known as Winnie, had a traumatic start in life which made survival rather than play a priority. As she grew it became clear it was difficult for her to play with standard toys, which could hinder her development.

Born prematurely, Winifred, has a complete heart block and has a pacemaker. She also lives with Cerebral Palsy and global developmental delay, meaning she is unable to walk and is nonverbal. It is difficult for Winifred to play with standard toys due to her complex conditions, so her family turned to Newlife, who provided Winifred with a Discovering Sounds Play Therapy Pod to explore.

These toys have helped with her cognitive and motor development, as well as her social and communication skills. The toys have also had a huge impact for the family, giving Winifred and her older sister Emma new ways to play together.

Mum Annika said:

“ Winnie was struggling to play with standard toys as she didn’t engage with them, so it was difficult to know which toys to buy for her that she would interact with to help with her development.

“ It has really helped us trial which toys will support Winnie’s needs, and there is a great selection of toys for her to try different things and explore.

The best part is how the toys have helped Winnie and her 13-year-old sister Emma play together. It is lovely to see them playing together on the musical toys, having competitions around who can hit the buttons faster. It’s so exciting for them both to see the box of new toys and to open it together, and it’s been a great way for them to bond and have happy family time.

Annual Report and Accounts 2022/23

16

Family feedback – creating a lasting impact for disabled children and their families

" It was absolutely transformational. The difference between not being able to leave our house at all and being able to go safely on day trips – and access all of the medical support and therapy Emily needs."

" We can't stress enough how this buggy helped our daughter and our family. Without this buggy it was impossible for us to have days out."

" Literally life changing! It has helped me so much as a single mother with two kids with special needs."

" I really appreciate all the help Newlife has provided us as a family. They’ve helped to increase the quality of our lives."

" The car seat has made a massive difference in our family life we're able to travel in the car without fear of injury."

" With the equipment my son can continue developing his communication skills. I can see his happiness which is the most important thing in our whole family."

" The equipment has been life-changing for us as a family. We are now able to enjoy family days out and access the community safely."

" The Play Therapy Pod Loan scheme is phenomenal and makes a big difference in my son's communication interactions."

"�It�has�really�helped�us�to�find�

appropriate toys for Isla that work well. We spend a lot of money on specialist�equipment,�only�to�find� that sometimes it doesn't work."

" Play is something that every professional says is 'vital', but it is tough to know where / how to start with a special needs child. These play pods give you a place to get started, see what your child does and doesn't like and go from there. This is crucial when toys are so expensive."

Annual Report and Accounts 2022/23

17

Our impact in 2022/23

Our impact measurement work carried out in 2022/23 has demonstrated that our equipment programmes make a significant difference to the lives of disabled children and their families.

Families consistently tell us that the equipment provided, whether a grant, loan or play therapy pod, has made a significant difference to the health and wellbeing of their child as well as that of the whole family.

98%

92%

of families said that it is unlikely they would have got the equipment or support needed without Newlife.

of families had a better understanding of which toys would suit their child's needs.

93%

9/10

of families told us their child was safer as a result of being provided with their specialist equipment.

families said the whole family felt less isolated and were able to go places they needed or wanted to go after receiving equipment.

96%

84%

of families said they were more able to deliver care to their child after receiving equipment from Newlife.

of families told us their child had enjoyed playing more than ever before after receiving a Play Therapy Pod.

98%

8/10

of families receiving equipment said they�were�satisfied�or�very�satisfied� with our service.

families who received a specialist bed said their child was sleeping better than before.

18

Annual Report and Accounts 2022/23

Service

Nurse Helpline

Newlife’s dedicated helpline is staffed by specialist nurses who are there to help families in need, whether they are struggling with a recent diagnosis and need information and support, or are facing day-to-day challenges of their child’s needs.

No two families have the same needs, so the information and support is tailored to each child and family.

Parents and professional carers can talk to Newlife’s nurses about anything regarding a child’s condition – and sometimes they might just need someone to listen with compassion and without judgement. Newlife’s Nurse Helpline is here to help.

Many families continue to feel isolated and abandoned, unable to speak to professionals as there is a shortage of key professionals with many vacancies currently unfilled. Many of these families turned to Newlife, and our dedicated team.

We’re proud of our dedicated nurses, professionals and the team around them, who are there when families need them the most.

In 2022/23, we provided 10,898 (2021/22 6005) instances of help through our dedicated Nurse Helpline.

Heather Lowe said: “When I called the Newlife Nurse Helpline about a specialist car seat and buggy for my daughter Elizabeth they were so supportive and non-judgmental, they were really good. I had tried other charities without success, but when I called this helpline they guided me through everything I needed to do for Elizabeth and even gave me a follow up call to make sure everything was ok, which was lovely, I can’t thank them enough.”

Annual Report and Accounts 2022/23

19

It was really traumatic, awful time. Harpers diagnosis was life-changing and we were all very emotional. The Newlife Nurse we spoke to was so sympathetic and calming – it was as though she could hear in my voice I just needed someone to talk to.

Annual Report and Accounts 2022/23

20

Campaigning

Campaigning – ‘giving a voice to disabled children and their families.’

Research shows that it has never been harder than it is right now for disabled children and their families.

The March 2023 Failed and Forgotten report, produced by the Disabled Children's Partnership, found that only 1 in 5 families received the support needed to enable their child to fulfil their potential.

Through our campaigns, we offer families a voice by working with local and national decision makers to overcome barriers, change laws and help set up policies that lead to better and more suitable equipment provision for all children.

Campaigning – Nationally, what did we do?

From looking for opportunities to influence policies that support disabled children to thrive, to supporting the national development of disability services, we are well placed to support the disabled children and their families as one of the leading experts in children’s disability equipment.

We continue to work with our families to truly understand the issues that they face and by working with key local and national decision makers.

Successes include:

Annual Report and Accounts 2022/23

21

A member of parliament tabled a number of written questions to government on a variety of issues including:

Looking forward We will focus on the following campaign objectives :

1.

Call on UK and devolved governments to publish a national circular reminding local authorities and health bodies that all disability equipment should be assessed and provided based on the needs identified.

2.

Call on UK and devolved governments to recognise the lack of current professionals and work on a solution to share top down to local authorities around more funding for professionals or ring-fence existing funding.

3.

Continue to provide Secretariat to the All-Party Parliamentary Group on Equipment for Disabled Children.

4.

Ahead of the general election, continue to work with our service users and professionals to identify the needs of disabled children and advocate for them within local and national policy.

Annual Report and Accounts 2022/23

22

Volunteering

There are so many ways in which volunteers play a vital role in supporting Newlife.

This can be by helping us to process the stock we receive so that it can be sold in our Newlife stores or online; by volunteering in our retail stores; or by helping us to clean, prepare and send out Play Therapy Pods to disabled children and their families.

People volunteer for many reasons and the benefits are wide-ranging: from the feeling of making a difference, to joining a team and making new friends, or learning new skills and gaining valuable career experience. Volunteers are supported and involved in inductions, briefings and thank you events throughout the year.

Volunteering at Newlife is an exciting and fulfilling opportunity. Not only can volunteers gain new skills, confidence and experiences throughout the volunteering journey, but our volunteers also make a huge difference to the lives of disabled children and their families across the UK.

In June 2022 we hosted our 3rd Volunteer Awards event.The Thank You Volunteer Awards brought together volunteers and staff members from across the organisation in an evening of celebration and laughter.

Well done to our fantastic volunteers.

Skills and integration for disabled adults

When children with disabilities grow, they often need a hand into work or help with social integration. Newlife offers disabled adults opportunities to volunteer, helping the charity alongside members of staff and other volunteers to process goods for retail and recycling and to help us raise funds.

Since Newlife became a CIO in 2016, this has become a new object of the charity and is part of our constitution. We believe it is crucial to give disabled young people and adults, who can easily be excluded from society on grounds of their disability the support, training, workplace experience they need. We ensure our volunteer opportunities take place in an inclusive, safe, social and happy environment.

Our target was to increase volunteer hours for the year and increase volunteering opportunities for all, including adults with disabilities and additional needs. Our volunteering programme helps volunteers to develop new skills, meet new people and create new opportunities as well as ensure more people can benefit from the gift of volunteering. At a glance:

The highlights:

Annual Report and Accounts 2022/23

23

I enjoy volunteering for Newlife because…

“ It’s a fantastic charity and you really feel you are doing something worthwhile.”

“ Knowing that my volunteering directly goes to help make a better life for children with disabilities.”

“ It has given me a greater understanding of people from all walks of life.”

“It gives me purpose.”

“ Everyone is so kind to me and they make me feel very happy. I love coming in and chatting to everyone.”

“ It gives you new experiences and it helps you to grow as a person and builds up your confidence.”

“ I get to meet up with all of the friends I have met here.”

My favourite part of volunteering or Newlife is…

“ Having a laugh every week with Rob. I like doing something new each week.”

“ I enjoy the social aspect of coming to the centre.”

“The additional joy it brings to my life.”

“Something different every day.”

“ Like to work, meet new people and see all my friends.”

The best memory I have of Newlife is…

“I enjoy the parties, they are fun.”

“ Attending the awards ceremony and winning an award.”

“ How welcoming I found all the staff and volunteers.”

Annual Report and Accounts 2022/23

24

Retail

Newlife is the trusted long-term partner of many major retailers, manufacturers and brand holders in the UK and Europe.

Joining forces with well-known high street brands has allowed Newlife to do something unique: sell brand new clothes at a fraction of the original price.

Brands play their part by donating surplus stock, increasing its lifespan and preventing it from ending up in landfill. And every purchase made in Newlife stores or online makes a difference, with 100% of our profits going to help disabled children and their families access much-needed specialist equipment.

Further charity fundraising takes place at till point with round-up donations, which for 2022/23 totalled £51,416 .

The highlights:

Thank you to all our retail partners who are helping to make our work possible.

Annual Report and Accounts 2022/23

25

Environmental impact

What does Newlife do to protect the environment?

We divert thousands of unrequired commercial products from landfill and incineration. We work with many well-known and wellrespected high street stores, designer labels and supermarkets to help them reduce waste by finding ways to reuse or recycle it. Newlife has a clear objective in its in its constitution to protect and preserve the environment for the public benefit through waste reduction, re use, reclamation and recycling.

How do we do this?

We take stock such as clothing, bags, shoes, accessories, soft furnishings, electrical items and homewares that are no longer wanted/ required by UK and European retailers. We organise to pick it up from location if required.

We then assess the stock through our warehouse operation, to see if it can be re used. If so then we will remove the labels in line with donors’ guidelines and send it to be sold in our retail stores across the UK.

Any items that cannot be resold, we use qualified and trusted partners to recycle or repurpose as much as possible often to create new products.

The recycle and re-use of this product sits within Newlife’s commercial division. All profits from the commercial division are spent on our charitable aims, helping to change the lives of disabled and terminally ill children.

Our target was to rescue more stock and reuse it, to extend it's life, reducing the environmental effect and creating a sustainable income source for the charity.

Newlife’s net carbon savings from donations in 2022/23 was equivalent to carbon emissions from over 23.9 million road miles by average cars.

The highlights:

In 2022/23 the environmental impact of Newlife’s reuse and recycling operations saw…

Annual Report and Accounts 2022/23

26

Fundraising

Fundraising income for the year achieved £2,067,173 (2021/22 £1,481,632). Fundraising activity continued to grow with a focus on transforming the level, predictability and sustainability of philanthropic income. Developing corporate partnerships and growing our donor pool.

Key achievements in the year included:

We successfully secured funding from the Motability Foundation and were awarded just under £1M. The Motability funding is part of a new grant scheme to improve mobility and access to wheelchairs for disabled people and Newlife was one of the first recipients of funding. This transformational grant will provide wheelchairs and buggies to over 280 children and young people across the UK over the next 3 years.

The Marian Elizabeth Trust pledged another 4 years of funding towards the Play Therapy Pod service totalling £400,000. This will take their total gift amount to £1M.

The 2022 Christmas campaign, Give the Gift of Play, achieved £35,178, a 35% increase on the original budget and a 223% increase on 2021.

Income was secured from 18 new charitable trusts in the year. We were grateful to receive donations from two new donors The Peter Harrison Foundation and Masonic Charitable Foundation who gave gifts towards our equipment services.

Priorities for 2023/24 are:

We received two legacy gifts in the year, totalling £94, 737.

Annual Report and Accounts 2022/23

27

Thank you

The Trustees are grateful to the hundreds of donors who choose to support Newlife. Through generous donations, Newlife can respond to the thousands of requests for emergency and quality of life equipment, as well as specialist play therapy toys, each year.

We are particularly grateful to:

The Bernard Lewis Family Charitable Trust

who continue to provide vital support to Newlife.

The Eveson Trust

for their grant towards equipment to improve the lives of disabled children in the West Midlands

The Motability Foundation

for their grant to provide specialist wheelchairs and buggies to help us bring freedom and independence to children, young people and their families.

The Peter Harrison Foundation

for their support for our Emergency Equipment Loan service in the South East of England, helping us to provide a quick response to disabled children in urgent need.

The Marian Elizabeth Trust

for their ongoing generous support for our Play Therapy Pods, enabling children and families to experience the joy of play.

�The�Garfield�Weston�Foundation� and the Kytes Trust

for their continued support for Newlife and for their grants this year to support specialist equipment to improve the quality of life for children across the UK.

The Masonic Charitable Foundation

for their grant towards specialist equipment to improve the health, wellbeing and safety of disabled children in England and Wales.

The Maureen Boal Charitable Trust

for continuing to support specialist equipment in Northern Ireland, to improve the quality of life for disabled children and families.

The Moondance Foundation

for their support for a second year, for emergency equipment loans in Wales, helping us to provide a quick response to disabled children in urgent need.

River Island

who continue to generously support us through the carrier bag charge scheme with a donation made to Newlife for every plastic bag sold in store.

The Curriers Company Charitable Fund

for supporting equipment for children in London.

Annual Report and Accounts 2022/23

28

Objectives for 2023/24

In 22/23 we provided over 13,000 instances of help across all of our services. We know times are tough with the cost-of-living crisis disproportionally affecting those families caring for a disabled child.

We remain focused on supporting those most in need of our services and plan to reach as many disabled children and their families as we can in the new financial year.

During the next 12 months (23/24) the trustees anticipate Newlife will:

Increase our reach

Increase our support to disabled children and their families by 45% in comparison with this year. We will aim to offer over 19,000 instances of help to disabled children and their families across all our services.

Further understanding of the needs of disabled children and their families

We will consult with parents, carers and health professionals to better understand the issues and barriers affecting disabled children to help inform our future plans and strategies.

Support children in emergency situations

We will continue to ensure we help children who just can't wait for the equipment they need. This will include helping children who are life-limited and need to come home from a hospital or hospice setting and those children who are not safe and have no awareness of danger either at home or outside of the home environment. We will look to provide emergency equipment loans and 'fast track' equipment grants for children in urgent need.

Support families with more specialist equipment

Increase our quality-of-life equipment grants to help children fulfil their potential and get the best possible start in life. We know equipment can empower, providing opportunities to talk, walk, go to school or higher education and enjoy precious time with family and friends.

We will aim to support 1,320 families through our equipment grants service.

Extend our Nurse Helpline Service

We will look at options to extend our free national Nurse Helpline to ensure we can service as many calls as possible and support more families who are in need of support and information.

We will aim to provide over 16,200 instances of help throughout the year.

Develop our sensory play service

We will look at opportunities to develop the Play Therapy Pod service, including, whether we can introduce new types of pods with brand-new toys and resources or work collaboratively with organisations to help more disabled children and their families.

We will aim to distribute over 1,680 sensory toy pods to enable disabled children develop new skills, provide distraction from pain and give families the chance to play and have fun.

We will continue to support families in crisis situations through the loan of equipment.

Annual Report and Accounts 2022/23

29

Continue to give a voice to disabled children and their families

We will continue to campaign on behalf of disabled children and their families, giving them a real voice for change. We will work with members of the All-Party Parliamentary Group on equipment for Disabled Children (for which Newlife is the secretariat) as well as collaboratively with local and national decision-makers and other charities to help disabled children and their families.

Grow volunteer support

We will look to significantly increase volunteer hours over the year and increase volunteering opportunities for all, including adults with disabilities and additional needs. We will give volunteers the potential to develop new skills, meet new people and create new opportunities so that more people can benefit from the gift of volunteering.

Continue to grow and diversify income

We will seek new opportunities to continue to grow and diversify income streams, to further support our charitable aims. We will develop partnership opportunities, building closer relationships with our donors, improving how we report on outcomes as well and ensuring Newlife has sustainable income sources will be priorities.

Improving employee experience

We want to continue to build an inclusive, engaging and enjoyable working environment where all of our people have a say in what we do and how we do it. We will continue to consult with our staff through staff surveys and listening groups as well as introduce social activities and wellbeing support. We will look at new ways to reward and recognise team and individual achievements including length of service. We will also look to roll out new performance review processes to bring greater consistency to managing our people and ensuring their work matches our organisational priorities and values.

Operate good governance

Ensure that Newlife operates 'good governance' to protect the charity, assess and mitigate all risks and to ensure that the charity functions as it should in compliance with the charity commission and other relevant regulatory bodies.

Annual Report and Accounts 2022/23

30

Financial Review and Results

Financial Review

Income

Overall, incoming resources for the year to 31st March 2023 was £17.7m (21/22 £14.0m) an increase of 26% over the prior year.

Commercial income is generated from goods donated by our retail brand partners. These goods are either recycled for their raw materials or sold through the Charity’s various retail locations. All the goods are donated to benefit the Charity by companies, mainly retailers, but also manufacturers and wholesalers. Gross commercial income for the year was £15.6m (21/22 £12.4m) an increase of 26%, due to the increase in retail space in the year.

In addition, the Charity continued to receive both restricted and unrestricted non-capital donations during the year. These donations have been received from individuals, groups, trusts, foundations, companies and other organisations. Income in the year from donations and legacies and fundraising activity was £2.1m (21/22 £1.5m) an increase of 40%.

Interest and Investments income is generated from the handling and/or investment of funds held by the Charity. A policy on investment exists to control any risks associated with this. Income remains low in the year at £7k due to a cautious investment policy being pursued to protect the Charity’s assets using a mix of low and medium-risk investments causing a reduction in interest and dividends.

Expenditure

Newlife expends resources in a number of ways:

Expenditure on Raising Funds – these costs relate to the investment made in generating income to achieve the aims of the Charity.

These costs are split between those in relation to the commercial operations and those relating to fundraising.

In the year these costs totalled £13.3m (21/22 £9.6m), with £12.7m (21/22 £9.2m) in relation to commercial operations and £0.6m (21/22 £0.5m) in relation to fundraising activity. Costs relating to the commercial operations have increased by 38% over the prior year. Costs of fundraising have increased by 20% over the prior year. During the year a return on investment of 3.8:1 was achieved, which exceeded target.

Charitable Expenditure – these are specifically related to achieving the aims of the Charity: equipment grants and loans, nurse services, campaigning, medical research and volunteering. In the year to 31st March 2023 a total of £3.7m (21/22 £2.8m) was spent across these charitable areas, of which £1.0m came from restricted income.

It is the Trustees’ view that the resources expended in achieving the charitable aims have been in line with the aims and objectives of the Charity with clear beneficial outcomes. It is also their view that the cost of governance of the Charity is very low. Meeting venues are donated and minimal expenses by Trustees for their duties are claimed. All this acts to keep the real costs of running the Charity at a very low level. Investment in ‘fundraising’ is a long-term cost.

It is the Trustees’ view that their investment will in time reap rewards as it is based on sound principles and practices within the sector.

At the 31st March 2023 the Charity had funds of £5.5m (31st March 2021 £4.8m), including restricted funds of £0.7m (31st March 2022 £0.8m).

Annual Report and Accounts 2022/23

32

Key Performance Indicators

Our Key Performance Indicators are reviewed and sent out to our trustees and leadership team every month. The KPIs cover all parts of the commercial division including stock received, production of stock delivered and commercial division sales. We also have KPIs for other key departments that work across Newlife, including the People Team, Finance, IT and Telecommunications, Governance and Compliance, Communications and Facilities.

Finally, the Key Performance Indicators for the charitable services/aims are based around the number of children helped, individual/group policies changed through campaigning action and the number of volunteers contributing to the work of the charity. These KPIs are regularly reviewed by the Trustees.

Risk Management

The Board of Trustees acknowledges its responsibility for managing risks to which the Charity is exposed. It oversees an ongoing assessment of the major risks – in particular those relating to its strategic objectives, operations and finances – and control systems are in place to manage those risks.

The responsibility for providing guidance to the Board on matters related to risk is delegated to the CEO and Newlife Leadership Team. A risk register is created and maintained where all risks are assessed and scored based on the likelihood of occurrence and their impact on the charity.

The risk register uses a scoring matrix that is recommended by the charity commission. The risk register was drafted in consultation with all departments and presented to Trustees who sit on the Audit and Risk Committee along with a summary of the more substantial risks for review. Trustees also discuss the most pressing risks at quarterly trustee meetings. The Trustees agreed with the mitigation strategies put forward and will continue to review risks throughout 2023/24.

Charity Governance Code

The Trustees understand their legal duties and recognise the importance of good governance and subsequently the seven key principles of the Charity Governance code.

The Director of Charitable services initially reviews the principles of the code, applies and explains the approach that Newlife takes to the code, and discusses this with the CEO and Chair of Trustees on an annual basis.

Reserves Policy

Due to the identified risk of having one main source of income generation i.e. the commercial operations, the Trustees need to act wisely to ensure that a platform of funds is available to continue the work of the Charity, should income from the commercial operations stall or reduce.

Annual Report and Accounts 2022/23

33

The Trustees review the level of reserves annually and designate funds to cover key aspects of charitable activity. As at the 31st March 2023 the Charity held reserves of £5,456,186. This is split as follows:

£ £
Restricted funds 673,428 795,193
Unrestricted funds :
Designated funds 3,035,000 144,042
Charitable activity reserve 500,000 500,000
Accumulated
charitable funds		 1,247,758 3,347,078
Total funds **5,456,186 ** 4,786,313

The Trustees have agreed that the level of unrestricted reserves should not fall below £3.3m, at the 31st March 2023 the unrestricted funds were £4,782,758. This is higher than targeted and represents continued close control of activity after the pandemic.

Disabled Persons Statement

At Newlife, we employ and train disabled adults and give enrichment and purpose to disabled volunteers who work alongside our staff and other volunteers in equality and appreciation. Newlife meets all legislative requirements, including the Equality Act 2010, to ensure equality of access and opportunity regarding recruitment and professional development and is the holder of the Disability Positive Mark level 2.

33% of all our volunteer hours this year were provided by adults with additional needs (total of over 4,500 hours). We believe it is crucial to give disabled young people and adults who can easily be socially excluded from society on grounds of their disability the support, training, workplace experience and volunteer opportunities they need in a meaningful, safe, social and happy environment which we believe will help them to feel part of society.

Serious Incident Reports

There were no serious incident reports to the charity commission during 2022/23.

Public Benefit

In detailing the activities of the Charity, Newlife can clearly demonstrate the wide reaching activities of the Charity in the interest of disabled, terminally ill children and their families, adults with disabilities who are a substantial part of the UK public as defined by the Charity Commission Guidance. This demonstrates 'public benefit' as required by the Charity Commission. The Trustees confirm that they have referred to this guidance on public benefit when reviewing the Charity's aims and objectives and in planning future activities.

Our approach to fundraising

In order to respond to the changing landscape of fundraising and to meet future demand and growth of services, we continue to build on our existing relationships as well as maximise income from three key areas: corporate, charitable trusts and community. All fundraising activity is carried out by skilled, professional, paid fundraisers.

As a charity that relies on voluntary income, we take an active and responsible approach to fundraising. A high-quality supporter experience is key and as a member of

Annual Report and Accounts 2022/23

34

the Fundraising Regulator we are firmly committed to ensuring we are compliant with their Code of Practice.

We endeavour to operate in a transparent and open manner as well as to protect members of our community and supporters who may be vulnerable. To support this, the following fundraising policies are in place and regularly reviewed:

Our fundraising activity is carefully planned using set templates to ascertain campaign feasibility, plan income and expenditure budgets, logistics and any health and safety requirements.

All fundraising data is stored in accordance with General Data Protection Regulations (GDPR 2015) and the Data Protection Act 1998. We have a clear privacy statement on our website and any electronic communications sent out give options to opt out at any time. We apply the legitimate interest test where opt in has not been received for any communications sent via post.

During the year no opt outs were received via the Fundraising Preference Service.

Oversight of all fundraising activity carried out by the charity is the responsibility of the Trustees, Leadership Team and specifically the Director of Fundraising & Communications.

Working with third party fundraisers

The charity benefits from lottery income via its contract with Make a Smile Lottery, owned and run by St Helena Hospice. All activities carried out by Make a Smile on behalf of Newlife are regularly reviewed and monitored. Clear policies are in place to support vulnerable people and scripts are in place to avoid any mis-selling or representation of the charity.

Complaints

We strive to provide excellent levels of supporter care and relationship management to ensure all fundraisers and donors have a positive experience when supporting Newlife.

In 2022/23 one complaint was received in relation to fundraising activities. The complaint in question was related to lottery canvassing and concern around being contacted to play the lottery.

The complaint was investigated and found that the supporter had opted in to receive telephone marketing. They were removed from future campaigns and no further action was needed.

All complaints are investigated with outcomes fed back to the complainant in a positive manner.

We encourage complaints and feedback to help shape the ongoing development of our activity and the way in which we work with our supporters.

Pay Gaps

We benchmark our pay offer to make sure that salaries are kept fair, competitive and relevant to the environment in which we operate. All salaries are in line or above the National Living Wage (NLW). We specifically monitor pay gaps and work towards reducing them.

In April 2022, our gender pay gap was 5.77 per cent, a reduction from 12.96 per cent compared to 2021.

Annual Report and Accounts 2022/23

35

Our Commitments to ensure that a balanced gender pay gap exists by:

Structure, Governance and Management

Newlife the Charity for Disabled Children (Newlife Charity, Newlife or the CIO) was registered with the Charity Commission on 10th November 2016 (Charity Registration Number 1170125). The CIO has carried on all aspects of Newlife Trading Ltd and Newlife Foundation’s activities. On 19/03/2018 the Charity Commission granted a linking order for the CIO and Newlife Foundation. Subsequently these accounts show the combined position of the CIO and Newlife Foundation.

The Trustees are responsible for the overall governance of the Charity. Trustees are either named within the trust deed or elected following a process of open selection or dialogue with interested parties. The decision on Trustee appointment is solely taken by agreement of the board of Trustees.

Where Trustees are appointed they are given a formal induction process to the work of the Charity and provided with information that they need to fulfil their roles, including information about the role of trustees and charity law.

The principal officer is the Chief Executive who is responsible for the day to day management of the Charity’s affairs and implementing policies agreed by the Trustees. Following on from the CEO’s retirement an executive commitee of three trustees was set up for an interim period to work with the Newlife leadership team while the permanent replacement was sought.

Trustees receive regular updates on the work of the Charity including financial statements and all activities are administered nationally from the head office.

The Trustees consider the board of Trustees, the Chief Executive and the leadership team as comprising the key management personnel of the Charity in charge of directing and controlling the Charity and running and operating the Charity on a day-to-day basis.

All Trustees give their time freely and no remuneration is paid to the Trustees in their capacity as Trustees. Details of trustee expenses and related party transactions are disclosed in note 3 of the accounts. Trustees are required to disclose all relevant interests and register them with the Chief Executive and/or the Leadership Team and in accordance with the Charity’s policy withdraw from decisions where a conflict of interest arises. The pay of the Charity’s Chief Executive is reviewed periodically. The remuneration of all senior and executive positions are bench-marked with grant-making charities of a similar size and activity to ensure that the remuneration set is fair and not out of line with that generally paid for similar roles.

Trustees receive updates and training from key industry sources and have substantial personal experience in the sector and business.

Annual Report and Accounts 2022/23

36

Reference and administration information

Name

Newlife the Charity for Disabled Children

Status

Registered with the Charity Commission on 10th November 2016

Trustees

Life Trustees: Mr B. Lewis, OBE (retired 25th January 2023), Mr C. Lewis, Mr L. Lewis and Professor M. Patton.

Term trustees

Mr C Chaney, Mr N Lewis, Mrs P Alford-Burnett, Mr R Bradbury, Mrs V Sloane and Mrs K Griffith

Key management personnel

Ms F Robinson, Chief Executive Officer (appointed 10 July 2023), Mrs J Duggan Director of Fundraising & Communications, Mrs E. Jackson Director of Finance & Central Services, Mr T Lloyd, Director of Supply Chain Operations, Mr S Morgan, Director of Charitable Services, Ms C Simpson, Regional Trading Manager (appointed 12 July 2023) and Ms T Barlow, Head of HR.

Registered address

Newlife Centre, Hemlock Way, Cannock, Staffs, WS117GF

Head office

Newlife Centre, Hemlock Way, Cannock, Staffs, WS117GF

Auditors

BDO LLP, Two Snowhill, Birmingham B4 6GA

Legal advisors

Anthony Collins Solicitors LLP, 134 Edmund Street, Birmingham, B3 2ES

Bankers

Barclays Bank PLC, PO Box 90, 366 Strand, London

Investment managers

Barclays Private Bank, 1 Churchill Place, London

Newlife the Charity for Disabled Children. Registered Charity Number 1170125 in England & Wales

Annual Report and Accounts 2022/23

37

Trustees’ responsibilities

The Trustees are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and regulations.

Charity law requires the Trustees to prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under charity 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 charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period.

In preparing these financial statements, the Trustees are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the applicable Charities SORP;

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity’s transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with Charities Act 2011, the Charities (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. 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.

Financial statements are published on the charity’s website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements, which may vary from legislation in other jurisdictions. The maintenance and integrity of the charity’s website is the responsibility of the trustees. The trustees’ responsibility also extends to the ongoing integrity of the financial statements contained therein.

Approved by the Trustees on

• make judgements and accounting 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;

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

and signed on their behalf by

Annual Report and Accounts 2022/23

38

Financial Statements for the year ended 31 March 2023

Annual Report and Accounts 2022/23

39

Statement of Financial Activities for the Year Ended 31 March 2023

Note Restricted Unrestricted 2023 Total 2022 Total
£ £ £ £
Income and endowments
Donations and legacies 923,046 1,144,127 2,067,173 1,481,632
Government grants - - - 100,102
Other trading operations:
Fundraising activities 2,606 10,607 13,213 20,421
Commercial operations - 15,581,654 15,581,654 12,377,110
Income from investments - 7,006 7,006 8,638
Other income - - - 53,900
Total income 925,652 16,743,394 17,669,046 14,041,803
Expenditure
Expenditure on raising funds:
Fundraising - 549,877 549,877 474,930
Commercial operations
expenditure		 - 12,740,445 12,740,445 9,177,865
Expenditure on charitable
activities:
Equipment, campaigning
and support		 1,047,417 2,631, 136 3,678,553 2,822,397
Medical research - (12,118) (12,118) (24,337)
Total expenditure 6 1,047,417 15,909,340 16,956,757 12,450,855
Net (expenditure) / income
before gains and losses on (121,765) 834,054 712,289 1,590,948
investment
Net (losses)/gains
on investment		 8 - (42,416) (42,416) 145,870
Net (expenditure)/income
for the period and net (121,765) 791,638 669,873 1,736,818
movement in funds
Reconciliation of funds
Total funds brought forward 795,193 3,991,120 4,786,313 3,049,495
Total funds carried forward 673,428 4,782,758 5,456,186 4,786,313

All disclosures relate to ongoing operations.

The notes on pages 43 to 53 form part of these financial statements.

Annual Report and Accounts 2022/23

40

Charity Balance Sheet for the Year Ended 31 March 2023

Note 2023 2022
Fixed assets £ £
Tangible assets 7 464,104 588,101
Investments 8 2,928,874 2,978,465
Total Fixed Assets 3,392,978 3,566,566
Current assets
Debtors 9 775,980 736,659
Stock 108,406 186,577
Cash at bank and in hand 3,517,848 2,747,102
Total Current Assets 4,402,234 3,670,338
Creditors – amounts falling
due within 1 year		 10 (2,339,026) (2,427,020)
Net current assets 2,063,208 1,243,318
Creditors - amounts fallingdue after 1year 10 - (23,571)
Net assets 5,456,186 4,786,313
Restricted funds 11 673,428 795,193
Unrestricted funds :
Designated funds 12 3,035,000 144,042
Charitable activityreserve 16 500,000 500,000
Accumulated charitable funds 17 1,247,758 3,347,078
Total funds 5,456,186 4,786,313

Approved by the Trustees and authorised for use on:

Trustee

The notes on pages 43 to 53 form part of these accounts

Annual Report and Accounts 2022/23

41

Statement of Cashflows for the Year Ended 31 March 2023

Note 2023 2022
£ £
Netcashinfowfromoperatingactivity 13 1,141,040 1,955,257
Cashfowsfrominvestingactivities
Interest received 2,710 126
Dividends received 4,296 8,512
Purchase of tangible fxed assets (384,475) (362,923)
Sale of tangible fxed assets - 58,473
Net cash(used in) investing activities (377,469) (295,812)
Change in cash and cash equivalents in the
reporting period		 763,571 1,659,445
Openingcash and cash equivalents 3,983,962 2,324,517
Closing cash and cash equivalents 4,747,533 3,983,962
Represented by:
Cash at bank investments 3,517,848 2,747,102
Cash equivalents held in investments 1,229,685 1,236,860
4,747,533 3,983,962

The notes on pages 43 to 53 form part of these accounts

Annual Report and Accounts 2022/23

42

Notes forming part of the Financial Statements for the Year Ended 31 March 2023

1. Accounting Policies

The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16th July 2014 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011.

The Trustees consider that there are no material uncertainties about the Charity’s ability to continue as a going concern.

Newlife meets the definition of a public benefit entity under FRS102. The financial statements have been prepared on a going concern basis.

The Charities financial position remained strong throughout the year ending 31st March 2023 and the charity has reviewed forecasts to 31st March 2025, with a continued focus on monitoring and looking for operational efficiencies. All stores continue to trade ahead of forecast, and Newlife has expanded retail space. The Charity continues to stress test reserves/ cash availability whenever significant new activity is considered and continues to look for new trading opportunities. Current forecasts are prepared and monitored based on current activity levels and best and worst case scenarios are considered. In all cases the charity has sufficient liquid assets to remain cash positive.

Given the strength of the balance sheet and availability and liquidity of investments, the members of the Board believe that, while uncertainty exists, this does not pose a material uncertainty that would cast doubt on the charity’s ability to continue as a going concern for a period of at least 12 months from the signing of these accounts. The Board, therefore, consider it appropriate for the accounts to be prepared on a going concern basis.

a. Accounting for Income

All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. Donations are recognised when the Trust has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance before the Charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the Charity and it is probable that those conditions will be fulfilled in the reporting year. Where an appropriate value can be placed on non cash donations, they are included in the SOFA.

b. Accounting for Expenditure

All revenue expenditure is accounted for when incurred. Grants payable are payments made to third parties in the furtherance of the charitable objectives of the Charity. In the case of an unconditional grant offer this is accrued once the recipient has been notified of the grant award. The notification gives the recipient a reasonable expectation that they will receive a single or multi-year grants. Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

Annual Report and Accounts 2022/23

43

c. Investments

Investments are made from unrestricted funds and are shown on the balance sheet at market value.

d. Allocation of Support and Governance Costs

Support costs have been allocated between governance costs and other support costs. Governance costs comprise all costs involving the public accountability of the Charity and its compliance with regulation and good practice. These costs include costs related to statutory audit and legal fees together with an apportionment of overhead and support costs. Governance costs and support costs relating to charitable activities have been apportioned based staff time and asset use. The allocation of support and governance costs is analysed in note 5.

e. Pension Costs

Contributions to the Charity’s defined contribution pension scheme are charged to the statement of financial activities in the year in which they become payable. The assets of the scheme are held separately from those of the Charity in an independently administered fund.

f. Operating Leases

The annual rentals are charge to the statement of financial activities on a straightline basis over the term of the lease. Where the unavoidable costs of a lease exceed the economic benefit expected to be received from it, a provision is made for the present value of the obligations under the lease.

Depreciation is provided to write off cost (or market value at date of receipt) less estimated residual values of all fixed assets over their expected useful lives on a straightline basis. The need for any fixed asset impairment write-down is assessed by comparing the carrying value of the asset against the higher of realisable value and the value in use.

Motor vehicles 25% straight-line basis
Office equipment, 10% - 33% straight-line
Fixtures and Fittings basis
Loan equipment 50% straight-line basis
Leasehold
Improvements		 over the life of the lease

h. Reserves

The Trustees have established a charitable activity reserve. The reserve is reviewed annually and is calculated to cover the basic cost of charitable activities (other than grants already committed) for a period of a year.

i. Restricted Funds

Where a donor has specified a particular purpose for a donation, the income is recognised as restricted in the statement of financial activities. Expenditure is allocated to it accordingly.

g. Fixed Assets

Fixed assets are stated at cost incurred or estimated market value at date of receipt where assets have been donated to the Charity. There are no un-capitalised assets.

Annual Report and Accounts 2022/23

44

j. Designated Funds

Where the Charity is committed to a specific project an allocation is made to a designated fund. Income is recognised in the Statement of Financial Activities as it arises and is allocated as explained in the reconciliation and analysis of movements of designated funds shown in note 12.

k. Cash at bank and in hand

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

I. Stock

Stock represents items equipment that have been donated to the Charity for use within its operations. The value of stock comprises the costs that have been incurred in bringing the stocks to their present location and condition (refurbishment) ready for use within the charity's operations.

m. Estimates and judgements

In preparing these financial statements, the key area where the Trustees have made accounting judgements are the recognition of grant expenditure, around the length of time that grant commitments are held, and subsequently when these commitments can be released. The classification of leases between operating leases or financial leases. Key accounting estimates are applied when determining the length of time over which to depreciate assets and assessing the recoverability of trade debtors.

n. Financial instruments

The Charity only has financial assets and liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

2 Net (Expenditure)/Income

2023 2022
Net(outgoing)/incomingresources after charging: £ £
Auditors' remuneration – audit services 37,000 23,000
Depreciation 505,435 611,759
Operating lease rentals 623,048 591,529

Annual Report and Accounts 2022/23

45

3 Related Party Transactions and Trustees' Expense and Remuneration

The Trustees all give their time and expertise freely without any form of remuneration or other benefit in cash or kind. Expenses paid to Trustees in the year totalled £910 (2022 £316) and relate to travel expenditure. From March 2023 Trustee Nigel Lewis was appointed as Interim CEO, as allowed under the Charity Constitution. For this he was paid £1,000 in the year (2022 £0).

During the period the Charity received a donation of £400,000 (2022 £0) from the Bernard Lewis Family Charitable Trust, a Trust whose Trustees include 3 of the same Trustees as Newlife. In addition, £5,000 (2022 £0) was received from the Bradbury Family Charitable Trust which is the family trust of one of the Newlife Trustees.

As at 31st March 2023 the Commercial Director owed the CIO £80 (2022 £80) in respect of the sale of equpiment, this has subsequently been paid.

4 Analysis of Staff Costs and Other Remuneration of Key Management Personnel

Average number of Charity colleagues 564 452
2023 2022
£ £
Wages and salaries 8,446,787 6,345,119
Employers NI 608,880 443,523
Pension contributions 152,511 121,579
Total emoluments 9,208,178 6,910,221

During the period the Charity considers its key management to be the Trustees, the Chief Executive Officer and the leadership team. The total employment costs including employer pension contributions of the key management personnel recognised in the accounts for the period was £569,622. In 2022 the key management was considered to be the CEO and the Commercial Director only at a cost of £221,563. The number of colleagues whose emoluments as defined for taxation purposes amounted to more than £60,000 in the year, was as follows:


£60,000 in the year, was as follows:
2023 2022
£60,000 - £69,999 1 2
£70,000 - £79,999 1 2
£100,000 - £109,999 1 -
£110,000 - £119,999 1 1
The number with retirement benefts accruingin:
- money purchase schemes was 4 5
- for which contributions amounted to £ 28,268 17,610

The Charity enjoys the benefit of a dedicated team of volunteers who assist in the preparation of stock for resale through the commercial operation in the dedicated opportunity centre and other roles throughout the Charity. In the 12 months of operations over 13,892 (2022 12,655) volunteering hours were recorded.

Annual Report and Accounts 2022/23

46

5 Allocation of Governance and Support Costs

The breakdown of support and governance cost is shown in the table below, these costs are allocated across charitable and non charitable expenditure, using the basis shown below:

Total
Allocated		 Other Support
Costs		 Governance
Related		 Basis Total
Allocated
2023 2023 2023 2022
£ £ £ £
Cost Type
Staff/ management
costs		 1,203,844 1,179,243 24,601 Staff Time 1,099,272
Offce rental and other
costs		 582,462 551,971 30,491 Staff Time 345,294
Depreciation 30,683 30,181 502 Staff Time 43,744
Audit fee and trustee
related expenses		 37,000 - 37,000 24,000
1,853,989 1,761,395 92,594 1,512,310

Allocation on staff time is based on a review of time spent on each activity

Governance Costs 2023 2022
£ £
Audit Fee 37,000 23,000
Trustee IndemnityInsurance 10,800 10,035
Legal / Professional fees 7,066 1,063
Staff costs 24,601 36,566
Cost of meetings/ Other 13,127 5,558
92,594 76,222

The total cost of support costs allocated to charitable activities is then apportioned over different activities based on an estimated time spent on each area. All governance costs are met from unrestricted funds and apportioned over both charitable activity, and the costs of generating income.

Annual Report and Accounts 2022/23

47

6 Analysis of Expenditure

Staff Costs Other Grant
Funding		 Support and
Governance
Costs		 Total
2023 2023 2023 2023 2023 2022
£ £ £ £ £ £
Equipment,
campaigning 776,546 521,178 2,174,849 205,980 3,678,553 2,822,397
and support
Medical research - (19,843) - 7,725 (12,118) (24,337)
Total Charitable
Activity		 776,546 501,335 2,174,849 213,705 3,666,435 2,798,060
Cost of generating
funds		 377,289 96,887 - 75,701 549,877 474,930
Commercial activities 6,968,783 4,207,079 - 1,564,583 12,740,445 9,177,865
Total Resources
Expended		 8,122,618 4,805,301 2,174,849 1,853,989 16,956,757 12,450,855

All Equipment Grants and Loans are grants of equipment made directly to individual children or families, the number and amount of these are detailed in the Impact section of the report.

In the period the expenditure on charitable activities was £3.7m (2022 £2.8m), £2.6m (2022 £1.9m) of this was from unrestricted funds and £1.1m (2022 £0.9m) was from restricted funds.

7 Tangible Fixed Assets

Tangible Fixed Assets Leasehold Loan Fixtures & Motor Total
Improvements Equipment Equipment Vehicles
£ £ £ £ £
Cost
Balance at 31 March 2022 1,910,943 1,371,682 1,342,846 192,817 4,818,288
Additions 157,198 70,153 157,124 - 384,475
Disposals - (96,275) - - (96,275)
Balance at 31 March 2023 2,068,141 1,345,560 1,499,970 192,817 5,106,488
Accumulated
Depreciation
Balance at 31 March 2022 1,715,070 1,223,701 1,179,740 111,676 4,230,187
Charge for period 174,641 151,821 141,381 37,592 505,435
Disposals - (93,238) - - (93,238)
Balance at 31 March 2023 1,889,711 1,282,284 1,321,121 149,268 4,642,384
NBV at 31 March 2023 178,430 63,276 178,849 43,549 464,104
NBV at 31 March 2022 195,873 147,981 163,106 81,141 588,101

Annual Report and Accounts 2022/23

48

8 Investments

All investments are in the United Kingdom. The cost of investments held at 31 March 2023, excluding high interest accounts, was £1,699,189 (2022 £1,741,605).

Equity Total
£ £
Balance at 31 March 2022 1,741,605 1,741,605
Change in market value (42,416) (42,416)
Market Value at 31 March 2023 1,699,189 1,699,189
High interest accounts 1,229,685
Total Investments 2,928,874

Equities represent shares in a mixed investment fund selected to mitigate investment risk and are valued at market value. In addition we received small holdings in 4 developed market equities which we still held at the year end. No one equity represented more than 5% of the portfolio value. The change in value includes all realised profits and losses on disposals in the year.

9 Debtors

9 Debtors
2023 2022
£ £
Prepayments and accrued income 293,765 242,845
Trade debtors 208,697 140,534
Other debtors 273,518 353,280
775,980 736,659

10 Creditors

10 Creditors
2023 2022
£ £
Trade creditors 487,439 597,411
Payroll creditors 120,903 233,918
Other creditors & accurals 877,568 723,376
Approvedgrants < 1year 853,116 872,315
2,339,026 2,427,020
Approvedgrants > 1year - 23,571
2,339,026 2,450,591

Annual Report and Accounts 2022/23

49

11 Restricted Funds

The income funds of the Charity include restricted funds comprising the following unexpended balances of donations and grants held on trust to be applied for specific purposes. Sums are drawn down as and when specific expenditure occurs.


when specifc expenditure occurs.
Movement in Funds
Balance Incoming Expenditure Balance
31 March Resources & Transfers 31 March
2022 2023
£ £ £ £
Equipment Grants 190,847 440,888 (558,806) 72,929
Motability project 276,953 (1,889) 275,064
Newlife Emergency Appeal 1,843 1,729 (2,559) 1,013
Loan Schemes 412,299 56,930 (284,367) 184,862
Play Therapy Pod Scheme 147,357 138,602 (147,968) 137,991
COVID-19 appeal 271 - (271) -
Children in Need 33,540 - (33,540) -
Other 9,036 10,550 (18,017) 1,569
795,193 925,652 (1,047,417) 673,428
Balance Incoming Expenditure Balance
31 March Resources & Transfers 31 March
2021 2022
£ £ £ £
Equipment Grants 148,722 365,283 (323,158) 190,847
Newlife Emergency Appeal 7,000 6,541 (11,698) 1,843
Loan Schemes 326,710 289,422 (203,833) 412,299
Play Therapy Pod Scheme 185,238 100,000 (137,881) 147,357
COVID-19 appeal 48,464 74,381 (122,574) 271
Children in Need - 100,000 (66,460) 33,540
Other 1,836 31,886 (24,686) 9,036
717,970 967,513 (890,290) 795,193

Funds held for Equipment Grants are to be used to provide grants of essential equipment to families within the UK. Funds held under Loan Schemes are to fund equipment for our suite of emergency loan equipment that can be lent free of charge to those children and families who are in most need right now. Funds held under the Play Therapy Pod fund are to provide specialist development and sensory toys to children for a 12 week loan period. The motability project are funds held to provide support and equipment for families requiring assistance with motability.

Annual Report and Accounts 2022/23

50

12 Designated Funds

The income of the Charity includes the following designated funds which have been set aside out of unrestricted funds by the Trustees for specific purposes.

Balance
31 March		 New Utilised Balance
31 March
2022 2023
£ £ £ £
Equipment grants and loans 1,225 2,525,000 (1,225) 2,525,000
Helpline Operations - 160,000 - 160,000
Volunteering - 200,000 - 200,000
Campaigns - 150,000 - 150,000
Otherprojects 142,817 - (142,817) -
144,042 3,035,000 (144,042) 3,035,000
Prior Year Comparison Balance
31 March		 New Utilised Balance
31 March
2021 2022
£ £ £ £
Equipment grants and loans 31,225 - (30,000) 1,225
Otherprojects 265,217 - (122,400) 142,817
296,442 - (152,400) 144,042

Funds held under designations are for the operation of charitable activity for the next 12 months, this includes the next round of research grant applications, operation of the care service department and associated equipment grant and loan costs. There were no transfers between funds in the period.

Annual Report and Accounts 2022/23

51

13 Reconciliation of Cash Flows from Operating Activities

2023 2022
£ £
Net movement in funds 669,873 1,736,818
Bank interest received (2,710) (126)
Dividends received (4,296) (8,512)
Depreciation 505,435 611,759
Change in value of investments 42,416 (145,870)
(Increase)/decrease in debtors and prepayments (39,321) 21,725
(Decrease) in approved grants (42,770) (319,346)
(Decrease)/increase in creditors and accruals (68,795) 288,691
Loss/(proft) on disposal of fxed assets 3,037 (53,122)
Decrease/(increase)in stock 78,171 (176,760)
Net cash infow from operatingactivities 1,141,040 1,955,257

14 Commitments Under Operating Leases

14 Commitments Under Operating Leases
Land & Buildings
2023 2022
£ £
Total minimum lease commitments under operating leases :
Within 1 year 582,865 561,655
Within 2-5 years 1,375,805 1,642,191
After 5years - 142,608
1,958,670 2,346,454

Annual Report and Accounts 2022/23

52

15 Analysis of Group Net Assets between Funds

Free Reserve Designated
Funds		 Restricted
Funds		 Total Total
£ £ £ £ £
2023 2023 2023 2023 2022
Fixed Assets - 464,104 - 464,104 588,101
Investments - 2,928,874 - 2,928,874 2,978,465
Cash at bank 2,702,398 142,022 673,428 3,517,848 2,747,102
Other net
current liabilities		 (1,454,640) - - (1,454,640) (1,503,784)
Creditors > 1year - - - - (23,571)
Total 1,247,758 3,535,000 673,428 5,456,186 4,786,313

16 Charitable Activity Reserve

Out of the funds raised and on account the Trustees have agreed, as a matter of wise management to establish a reserve of £500,000 (2022 £500,000) to cover any unforeseen event that may impact the Charity. The Trustees have then agreed that the level of free reserves (including any designations) should not fall below £3.3m.

17 Accumulated Charitable Funds

These are unrestricted, undesignated funds which can be used as required to fund the future work of the Charity. At the 31st March 2023 these were £1,247,758 (2022 £3,347,078). These funds are the balance of what unrestricted income has not been designated or expended in the year. Activity has been prioritised to ensure the Charities continued ability to meet need.

Annual Report and Accounts 2022/23

53

Independent Auditors Report to the Trustees of Newlife for the year ended 31 March 2023

Annual Report and Accounts 2022/23

54

Independent Auditor's Report to The Trustees of Newlife the Charity for Disabled Children

In our opinion, the financial statements:

• give a true and fair view of the state of the Charity’s affairs as at 31 March 2023 and of its incoming resources and application of resources for the year then ended;

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

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

We have audited the financial statements of Newlife the Charity for Disabled Children (“the Charity”) for the year ended 31 March 2023 which comprise the statement of financial activities, the charity balance sheet, the statement of cashflows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

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 believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Independence

We remain independent of the Charity in

accordance with the ethical requirements 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.

Conclusions related 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.

Other information

The Trustees are responsible for the other information. The other information comprises the information included in the Trustees’ Report, 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. 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

Annual Report and Accounts 2022/23

55

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.

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 Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion;

• The information given in the Trustees’ Report for the financial year for which the financial statements are prepared is inconsistent in any material respect with the financial statements; or

• Adequate accounting records have not been kept; or

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

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

Responsibilities of Trustees

As explained more fully in the Trustees’ responsibilities statement, the Trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees

determines 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.

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 the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Extent to which the audit was capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances

Annual Report and Accounts 2022/23

56

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:

Non-compliance with laws and regulations

Based on:

• Our understanding of the Charity and the sector in which it operates;

• Discussion with management and those charged with governance; and

• Obtaining an understanding of the Charity’s policies and procedures regarding compliance with laws and regulations;

We considered the significant laws and regulations to be the Charities SORP (FRS 102) – second edition and Generally Accepted Accounting Practice (UK).

The Charity is also subject to laws and regulations where the consequence of noncompliance could have a material effect on the amount or disclosures in the financial statements, for example through the imposition of fines or litigations. We identified such laws and regulations to be health and safety legislation and data protection.

Our procedures in respect of the above included:

• Review of minutes of meeting of those charged with governance for any instances of non-compliance with laws and regulations;

• Review of correspondence with regulatory for any instances of non-compliance with laws and regulations;

• Review of financial statement disclosures and agreeing to supporting documentation.

Fraud

We assessed the susceptibility of the financial statements to material misstatement, including fraud. Our risk assessment procedures included:

• Enquiry with management, those charged with governance and the Board regarding any known or suspected instances of fraud;

• Obtaining an understanding of the Charity’s policies and procedures relating to:

o Detecting and responding to the risks of fraud; and

o Internal controls established to mitigate risks related to fraud.

• Discussion amongst the engagement team as to how and where fraud might occur in the financial statements; and

• Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud.

Based on our risk assessment, we considered the area’s most susceptible to fraud to be posting inappropriate journal entries to manipulate financial results and management bias in accounting estimates.

Our procedures in respect of the above included:

• Testing a sample of journal entries throughout the year, which met a defined risk criteria, by agreeing to supporting documentation; and

• Assessing significant estimates and judgements made by management for bias, including the determination of useful

Annual Report and Accounts 2022/23

57

economic life of fixed assets, the recognition of grant expenditure and the basis of going concern assumptions.

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.

A further description of our responsibilities for the audit of the financial statements is located at the Financial Reporting Council’s (“FRC’s”) website at:

https://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 the Charities Act 2011. 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.

Samantha Lifford

BDO LLP, statutory auditor

Birmingham, UK

Date: 31 January 2024

BDO LLP is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

BDO LLP is a limited liability partnership registered in England and Wales (with registered number OC305127).

Annual Report and Accounts 2022/23

58

@newlifethecharity

@newlifethecharity

@newlifecharity

Newlife the Charity for Disabled Children. Hemlock Way, Cannock WS11 7GF Registered Charity Number 1170125 in England & Wales. 60

Annual Report and Accounts 2022/23