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2021-11-30-accounts

Registered number: 10671707 Charity number: 1172246

SEA SANCTUARY

(A COMPANY LIMITED BY GUARANTEE)

AUDITED FINANCIAL STATEMENTS

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 NOVEMBER 2021

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

CONTENTS

Page
Reference and administrative details of the Charity, its Trustees and advisers 1
Trustees' report 2
Independent auditors' report on the financial statements 13 - 16
Consolidated statement of financial activities 17
Consolidated balance sheet 18
Charity balance sheet 19
Consolidated statement of cash flows 20
Notes to the financial statements 21 - 37

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 30 NOVEMBER 2021

Trustees A M Rouncefield
J M Storer (appointed 29 March 2021)
Dr J J Herrod (appointed 1 December 2020)
M A B Gorman
S Visram
Company registered
number
10671707
Charity registered
number
1172246
Registered office
Waterside Court
Falmouth Road
Penryn
Cornwall
TR10 8AW
Chief executive officer
J Sabien
Independent auditors
Bishop Fleming LLP
Chartered Accountants
Chy Nyverow
Newham Road
Truro
Cornwall
TR1 2DP

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SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

75867((6¶ 5(3257 FOR THE YEAR ENDED 30 NOVEMBER 2021

TRUSTEES REPORT

The Trustees, who are Directors for the purposes of company law, present the annual report together with the financial statements of the charitable Company for the year to 30 November 2021.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Sea Sanctuary is a unique mental health service based in Falmouth, South West England and was registered as a Charity (1117038) in October 2005. Due to a substantial investment from HM Treasury, it was necessary to fully incorporate the Charity on 24 March 2017. Subsequently, a new Charity number was provided by the Charity Commission (1172246).

This Charity is governed by memorandum and articles of association dated 15 March 2017.

The Charity is run on a day-to-day basis by the CEO and founder Joseph Sabien, assisted by his senior management team. Trustees meet formally on at least a quarterly basis, but further regular meetings take place between some of the Trustees and the CEO and senior management team to discuss issues as they arise.

New Trustees are appointed by the existing Trustees based on the needs of the Charity.

OBJECTIVES AND ACTIVITIES (AN OVERVIEW)

The Charitable Objects set out in the governing documents, i.e. WKH PHPRUDQGXP DQG DUWLFOHV DUH ³WR DVVLVW in the treatment and care of persons suffering from mental or physical illness of any description or in need of rehabilitation as a result of such illness, by the provision of facilities for work and recreation; and to advance the education of the public in the subject of mental well-EHLQJ ´

Sea Sanctuary specialises in supporting children, young people and adults who present with complex emotional needs, by striving to provide the best mental health treatment in the county; and pioneering the µ%OXH +HDOWK´ PRYHPHQW ,W GRHV WKLV WKURXJK RSHUDWLQJ WKH IROORZLQJ PDLQ DFWLYLWLHV GHWDLOV RI ZKLFK DUH contained later in this report:

We have referred to the guidance from the Charity Commission on public benefit when reviewing and planning our activities and our Trustees consider how our planned activities and our direction contribute to the aims and objectives they have set.

OUR ACTIVITIES

World-OHDGHUV LQ ³EOXH KHDOWK´ L H XVLQJ WKH VHD 6HD 6DQFWXDU\ SLRQHHUV DQG OHDGV WKH ZD\ LQ PHQWDO KHDOWK FDUH XVLQJ LQQRYDWLYH DSSURDFKHV WKURXJK ³EOXH WKHUDS\´

The Charity helps some of the most marginalised and underrepresented people in society, who are difficult to engage/treatment resistant and affected by mental health issues, by excelling in Cornwall and informing best practice nationally.

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The organisation is multi-award winning and internationally recognised, improving mental health through ± effective, impactful and life-changing interventions achieving positive health outcomes and preventing premature death as a result of suicide.

6HD 6DQFWXDU\¶V TXDOLW\ RI SURYLVion within the county, methodology and commitment to helping people has ± been formally recognised over the years through numerous formal awards both locally and nationally. This LQFOXGHV RRJOH 6DLQVEXU\V¶ $ZDUG IRU ,QQRYDWLRQ 5HJLRQDO DQG 1DWLRQDO $ZDUG (Innovation) College of 3ROLFLQJ OD[R 6PLWK .OLQH .LQJ¶V )XQG UXQQHUV XS 7KH Charity has secured 4 awards in the last 2 years, the most recent being from the Chief Constable of D&C Police and relates to innovation for G999 and the many lives saved from suicide.

The impact has been captured on film, BBC programmes (BBC Inside Out) and in the national press, KLJKOLJKWLQJ 6HD 6DQFWXDU\¶V LQQRYDWLYH DSSURDFK DQG SDVVLRQ IRU LPSURYLQJ PHQWDO KHDOWK VHUYLFHV

Sea Sanctuary is considered experts in the field of mental health recovery and crisis intervention, working in partnership with Devon & Cornwall Police and the Royal Cornwall Hospital for 7 years, as well as approved providers for Cornwall & Devon County Council.

6HD 6DQFWXDU\¶V ZRUN LV

The Charity supports people experiencing mental health issues affecting their day-to-day lives and/or ability to reach their full potential, through to those in acute mental health crisis i.e., attempted suicide/deliberate-self injury/addiction issues. Often disenfranchised, they are disordered in their thinking and present with a raft of often difficult to manage symptoms.

µ+DUG WR UHDFK¶ DQG RIWHQ µRII WKH UDGDU¶ WKH EHQHILFLDULHV DUH VRPH RI WKH PRVW XQGHUUHSUHVHQWHG SHRSOH LQ society, affected and often debilitated by poor mental health. Many have no other support and, without Sea ± 6DQFWXDU\¶V KHOS DUH OLNHO\ WR XWLOLVH PDODGMXVWHG Foping strategies alcohol, drug addiction, self-injury - which can ultimately lead to suicidal ideation and sadly, suicide.

Cornwall has one of the highest levels of self-harm and suicide rates in the country. Demand for mental health services far outstrips capacity, and it is the CKDULW\¶V EHOLHI WKDW WKH FXUUHQW VWDWXWRU\ V\VWHP LV IDLOLQJ

Sea Sanctuary was set-up to provide a different approach to that of the usual NHS offering and to help the overstretched mental health services within Cornwall, particularly during unsociable hours. During the year, the Charity employed some 35 people, including a highly skilled clinical team ± led by a consultant in psychiatry. Based on the number of staff and range of projects, Sea Sanctuary is now one of the largest nonstatutory mental health agencies in Cornwall.

With a reputation of succeeding where others have failed, the team provides early intervention and meaningful support, improving lives through impactful and co-produced (Sea Sanctuary & the person requiring help) support plans.

6HD 6DQFWXDU\¶V SV\FKR-educational approach to support and treatment is innovative. Evidence-based interventions (talking therapies/groups) are combined with the use of the natural environment (generally the local waters/sea) - helping thousands of acutely unwell and vulnerable adults and children to improved and sustained positive mental health.

± Sea Sanctuary takes therapy out of sterile environments and onto the water a recipe that has helped improve mental and emotional wellbeing and has resulted in several prestigious national awards and significant media interest.

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SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

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Sea Sanctuary prides itself on delivering truly innovative and life-changing interventions. All of services, in their way, represent a change, or break, from traditional and conventional approaches to how mental ill health and low emotional threshold are supported and managed.

6HD 6DQFWXDU\¶V UHVHDUFK VKRZV WKDW PRVW RI WKH SHRSOH WKH Charity has supported in crisis have a history of trauma and multiple traumas (92%), and of those only 16% have received any support for the trauma itself, with limited success. Based on the CKDULW\¶V H[SHULHQFH 6HD 6DQFWXDU\ LV WKH RQO\ SURYLVLRQ ZLOOLQJ DQG DEOH to respond to people in acute mental health crisis and that can provide crisis assessment, support, and aftercare.

It is the CKDULW\¶V FRQVLGHUHG YLHZ WKDW WLPH-limited interventions frequently fail, as they do not address the core issues; people are often disconnected as a result of trauma, people have low-grade protective factors (or none at all), people are without purpose or meaning, people are shoe-horned into unsuitable treatments and DUH QRW DOORZHG WR µWHOO WKHLU VWRU\¶

It is the Police who routinely respond to incidents of mental ill health in Cornwall, particularly out-of-hours, and 6HD 6DQFWXDU\¶V WHDP DUH DORQJVLGH WKHP ZKHUHYHU SRVVLEOH 6HD 6DQFWXDU\¶V * SURMHFW KDV EHHQ GHVFULEHG DV WKH ³PHQWDO KHDOWK HPHUJHQF\ VHUYLFH´ E\ 3ROLFH SHUVRQQHO DQG E\ WKH SHRSOH KHOSHG

This is the current formula, and this must change. Sea Sanctuary's innovative approach to and provision for mental health care in the county is absent and desperately needed.

OUR ACTIVITIES IN DETAIL

Dutch Barge (The ARC) ± 2)67(' 5HJLVWHUHG &KLOGUHQ¶V +RPH

During the year to November 2021, the Charity continued to run an OFSTED registered childrHQ¶V KRPH RQ our Dutch Barge, known as the ARC. Because of the well-publicised difficulties recruiting suitably qualified care staff in Cornwall, the Trustees took the difficult decision in October 2021 to cease this activity, and the home was closed in February 2022. However, the home continued to be the major source of income for the Charity in 2021, and for the period prior to its closure.

± Dutch Barge (The ARC) Trauma and Therapy Centre

)ROORZLQJ WKH GHFLVLRQ WR VWRS XVLQJ WKH $5& DV D FKLOGUHQ¶V KRPH WKH GHFLVLRQ ZDV PDGH WR UH-purposed the boat as a Trauma and Therapy Centre, and it was formally launched as such in July 2022 with the assistance of a number of grants to fund the repairs and enhancements required to the boat and the quayside it is moored on.

Expanding upon our current services, we are developing this new and innovate floating wellbeing service, to ensure people are accurately assessed and treated for underlying trauma, where many of the issues XOWLPDWHO\ H[LVW &RKHVLYH DQG KROLVWLF ZH ZLOO DGGUHVV WKH URRW FDXVH RI DQ LQGLYLGXDO¶V PHQWDO LOO KHDOWK delivering impactful and life-FKDQJLQJ LQWHUYHQWLRQV HQDEOLQJ SHRSOH WR µ$FWXDOLVH 5HLQWHJUDWH DQG &KDQJH¶ WKH µ$5&

Helping individuals manage and better understand their emotional needs, the service will allow people time to recover, and offer emotional support tailored to their specific mental health needs. It will help prevent needless deaths through suicide and address ongoing poor mental health.

$OLJQHG ZLWK RXU 863 RI XWLOLVLQJ WKH VHD DQG ³EOXH KHDOWK´ WKH IORDWLQJ IDFLOLW\ ZLOO EH WKH RQO\ VHUYLFH RI LWV kind in the South West/ UK/ World Successfully creating and delivering life-changing mental health interventions on board a boat and quayside, the development of this well-being service is our CKDULW\¶V QH[W inevitable step.

Many clients, upon commencing their wellbeing journey with Sea Sanctuary, are not ready to embark on intense programmes straight away. They may find it difficult to express themselves with words or do not feel ready to explore their pasts with individual therapy. Our art group is a wonderful way for our clients to

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reconnect with people and build their confidence. Led by local Falmouth artist and illustrator Eve Bourrat, our art classes are small, friendly, relaxed and suitable for all abilities. Creating art lowers stress levels, and a recent review shows that all our clients feeling calmer after an art session. Art requires focus and is an ideal way of encouraging creativity - allowing self-expression without having to use words. The sessions enable our clients to focus on something positive and is an activity that can be continued in their own time. The accomplishment achieved from creating art installs a sense of pride and boosts self- esteem. These groups now take place on the relaunched ARC.

Sailing Activities

'XULQJ WKH \HDU WR 1RYHPEHU RXU VDLOLQJ DFWLYLWLHV PDLQO\ UHYROYHG URXQG 6DLO ,QWR /LIH ³6L/´ RXU award-winning residential sailing and person-centred therapeutic programme, using our yacht Winter. Sea Sanctuary is the only sailing Charity in the UK that specialises in a mental/ emotional health programme combined with a residential sailing experience. Achieving outstanding results, our SiL programme has featured on local, national and global TV, featured in several magazines/publications and is the recipient of several awards.

In early 2022, we were kindly offered the use of a traditional tall ship (Irene), for an initial 5 year period, free of charge. Our yacht Winter was therefore sold, and in April 2022 we took delivery of Irene and launched a much more comprehensive sailing programme. Irene of Bridgwater is over 100 years old, and is a 120 foot long twin masted gaffer. From this we continue to deliver Sail into Life, but have also added various half day, day and week sails, some with therapists on board, and some purely using the boat for a sailing experience, executive retreats or holiday. At all times, we are emphasising the benefits of Blue Health.

The 4-day residential SiL programmes operating from May-October focus on anxiety and depression and how to improve mental wellbeing. This programme is open to individuals who have the belief in themselves to make positive changes in their mental health and wellbeing. Feedback has shown that some client sailors appreciated the time on board to reflect their moods, challenge unwanted behaviours and establish healthy ways to cope. Meanwhile, others found that being in a safe environment - but out of their comfort zone ± enabled them to not have to focus on their emotions, and instead gave them the time and space to clear their mind of racing thoughts and be completely in the moment. All those who have sailed with us, agreed that the Sail Into Life programme improved confidence and self-esteem and instilled the hope and self-belief that they could tackle and change the psychological or emotional issues that have been holding them back.

One-to-One Therapy

Previously carried out in our office, our one-to-one therapy sessions can now take place on the ARC or our newly developed wooden cabins (pods) on the quayside. Our team of experienced and qualified therapists use evidence-based, fully accredited talking therapies and counselling techniques to build resilience, gain empowerment and overcome mental obstacles.

G999

Our Golf-999 project is the first of its kind in the country and run in partnership with Devon & Cornwall Police. 3ROLFH RIILFHUV DQG 6HD 6DQFWXDU\¶V PHQWDO KHDOWK FOLQLFLDQV UHVSRQG WR SHRSOH LQ DFXWH FULVLV L H DWWHPSWHG suicide, deliberate-self injury addiction issues). On average, the G999 team will respond to two incidents each night and will case manage until such time as a successful outcome has been achieved.

G999 has been responsible for preventing many deaths and has won both a regional and national award in recognition of its effectiveness and professionalism in the community. Our G999 project was featured on the %%& µ,QVLGH 2XW¶ GRFXPHQWDU\ DQG KDV EHHQ PHW ZLWK ZLGHVSUHDG SUDLVH IURP PHPEHUV RI WKH SXEOLF WKH EURDGHU SROLFH VHUYLFH DQG PHGLFDO SHUVRQQHO ZKR KDYH UHIHUUHG WR LW DV ³WKH HPHUJHQF\ PHQWDO KHDOWK servLFH´

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EAP

We are seeing a growth in our Employee Assistance Programmes (EAP) activity, supporting the mental health/wellbeing of several hundred employees. This is a particular area of growth for us. We are supporting both statutory and non-statutory organisations, including the Devon & Cornwall police.

GRANTS AND OTHER INCOME

A key focus of the Charity is to secure grants to help meet our costs. During the financial year ending ± November 2021, a number of funding applications were developed and submitted with some achieving results/responses after the close of our financial year. The following grants totalling £62,000 were awarded during the year 1st December 2020 to 30th November 2021 and is included in the income for the year.

----- Start of picture text -----
FUNDER RESTRICTIONS AMOUNT (£)
Cornwall Community Foundation - Viscountess Boyd SiL Running Costs 5,000
Fund
±
Cornwall Community Foundation Emergency Fund G999 Running Costs 5,000
Toyota Parasport Fund / Sports England - Return to SiL equipment 10,000
Play
RYA Foundation / Sports England SiL Running Costs 10,000
Cornwall Council Additional Local Restrictions Core costs 10,000
Support Grant
Tudor Trust Running costs 2,000
Invictus Trust G999 Running Costs 20,000
----- End of picture text -----

In addition to these grants awarded and received, Sea Sanctuary also received a pledge of £25,000 from the Clothworkers Foundation in November 2021 towards the purchase of a new RIB (payable when the balance is raised/secured).

Since the end of the financial year 30th November 2021, the National Lottery Community Fund awarded the Charity £487,979, from their Reaching Communities pot to be paid over 3 years to assist with the setting up of the Trauma and Therapy Centre on the ARC. The first payment of £100,000 was received in April 2022.

In addition to these grants, bursary income in the year to 30[th] November 2021 amounted to £87,000, of which £65,000 was provided by the Sophie Clark Foundation. The majority of this bursary was utilised in the year to 30th November 2022.

ACHIEVEMENTS AND PERFORMANCE

Sea Sanctuary changes and saves the lives of some of the most underrepresented people in society, affected and often debilitated by poor mental health. Through individual therapy and various outreach/community projects, the Charity improves health outcomes and prevents the death of young people and adults.

Based on feedback and testimonies from beneficiaries, Sea Sanctuary provides effective, impactful and lifeFKDQJLQJ LQWHUYHQWLRQV 3HRSOH ³VWXFN´ ZLWK PDODGMXVWHG FRSLQJ VWUDWegies have discovered new and positive methods for moving forwards in their lives.

Without Sea Sanctuary, some individuals already treated, based on their psychiatric history, would in all likelihood have died through suicide or misadventure. Personal testimonies from clients describes the CKDULW\¶V ZRUN DV ³OLIH-VDYLQJ´ DWWULEXWLQJ WKHLU FRQWLQXHG H[LVWHQFH WR 6HD 6DQFWXDU\¶V XQLTXH PHWKRG RI support.

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6HD 6DQFWXDU\¶V ZRUN KDV SURYLGHG WKH RSSRUWXQLW\ IRU EHQHILFLDULHV WR

3HRSOH ³VWXFN´ ZLWK FHUWDLQ PDODGMXVWHG FRSLQJ VWUDWHJLHV KDYH GLVFRYHUHG QHZ DQG SRVLWLYH PHWKRGV IRU moving forwards.

Sea Sanctuary is able to assess its achievements through extensive evaluation. The Charity captures data throughout the life of projects, including feedback from beneficiaries. Information is fed to Board level, where a former beneficiary sits on our Board as Chair. Routine assessment includes:

The Charity uses NICE recommended psychological modalities such as EMDR and TF-CBT, as they are useful for part of the support process. Internal evaluation and validated evaluation tools are also incorporated to measure against key performance indicators including:

Relevant lived experience is at the heart of the organisation, enabling learning and the evolution of services. It also ensures Sea Sanctuary has the expertise, experience and passion to challenge the current statutory system and inform/ redefine Best Practice.

Each year, on average, the Charity historically supported between 350-450 acutely unwell people. Over the past year (the time period would have been affected by COVID-19) numbers and waiting lists have increased. The Charity anticipates seeing in the region of 400-500 in the coming year.

Sea Sanctuary stresses that its care is focused on the impact on and quality of care for each and every beneficiary, rather than high numbers of individual beneficiaries. Each person will have complex needs which will require significant investment in terms of time and therapeutic activity. These are the people, who left unattended, will be repeatedly present in crisis and be at risk of suicide.

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SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

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Over its years of operation, the Charity has noticed an alarming theme of undiagnosed and therefore untreated trauma. 75% of the people we have supported report a history of trauma and of those, 83% have QRW UHFHLYHG DQ\ IRUP RI VSHFLILF WUHDWPHQW IRU WKH LQFLGHQWV RU PXOWLSOH LQFLGHQWV RI WUDXPD 2XU µ* ¶ SROLFH project provides more worrying statistics - over 90% of people supported whilst in crisis report a history of trauma, with only a small percentage (18%) having received trauma related therapy.

Sea Sanctuary provides a different approach to the usual NHS offering and stives to help the overstretched mental health services within Cornwall, particularly during unsociable hours. 90% of the people helped have no other support mechanism in place.

DESCRIPTION OF RISKS AND UNCERTAINTIES FACED BY THE CHARITY

Sea Sanctuary routinely carries out both SWOT/ PEST analysis (alongside a register of risk) to provide a broad scope of both threats and opportunities to the organisation.

As a mental health service, we have experienced both service growth and demand on our services and this is evidently set to continue given the current climate.

The main risk and uncertainty faced by the Charity relates to the setting up of the two new activities - sailing activities on Irene and the Trauma and Therapy Centre on the ARC. Income from these two operations is unlikely to be sufficient to cover all costs, and therefore securing of further grant income is essential. A great start has been made with the award of the National Lottery grant (see earlier in the report), but further approaches to trust and grant making organisations will continue to be a major focus of our fundraising work.

Employee Assistance Programmes (EAP) continue to be a source of further growth.

PRINCIPAL FUNDING SOURCES

Like many organisations, our income streams fluctuate from time-to-time. However, several streams provide a sustained and increasing level of income to the Charity.

Our principal sources are as follows:

PLANS FOR FUTURE PERIODS

As a Charity, we believe in investing in our services, always seeking to improve them each year.

The Charity is both innovative and extremely driven to provide the best possible care and outcomes and as a result, we have achieved excellent results for both our beneficiaries and for the people and organisations who have invested in our services.

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SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

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Our plans going forward have been set out earlier in this report and include:

HOW DECISIONS ARE MADE ± BY TRUSTEES AND STAFF

Decisions within the Charity (day-to-day) are managed by the senior management team with regular input from the Board of Trustees.

The strategic decision making is driven by the CEO and Board of Trustees who are allocated a specific area of work and/or expertise.

A regular skills-DXGLW LV FDUULHG RXW DFURVV WKH RUJDQLVDWLRQ ZKLFK KLJKOLJKWV D µEHVW ILW¶ DSSURDFK WR WKH allocation of duties alongside taking into consideration the wishes and aspirations of specific Board members.

GOING CONCERN STATEMENT

7KH FORVXUH RI WKH $5& DV D FKLOGUHQ¶V KRPH KDV KDG DQ DGYHUVH LPSDFW RQ WKH Charity, and it is now undergoing a significant change to its service delivery, concentrating on:

  1. The new Trauma and Therapy centre on the refurbished ARC

  2. Sailing activities on Irene

  3. Building up income from Employee Assistance Programmes (EAP)

In order to cover the income shortfall during this period of change, the Trustees are regularly reviewing short, medium and long term cash forecasts, and are specifically looking at two potential sources of funds:

  1. Additional grants ± we await the results of a number of grant applications, and are about to submit a large application in relation to the costs of running Irene

  2. Medium or long term bank finance

The absolute fall-back position for the Charity would be a sale of its main asset, the ARC, but this would only be considered if no other options were available.

The ever-changing circumstances make it difficult to predict the long-term impact, but at the current time we are confident in our ability to continue delivery in a safe and secure way. Because of this we believe the financial LPSDFW ZLOO EH OLPLWHG DQG GRHV QRW SRVH DQ\ VLJQLILFDQW DGGLWLRQDO WKUHDW WR WKH RUJDQLVDWLRQ¶V viability. 7KH 7UXVWHHV¶ DUH WKHUHIRUH RI WKH YLHw that the Charity is a going concern.

FINANCIAL REVIEW

$V QRWHG HDUOLHU LQ WKLV UHSRUW ZH KDG GLIILFXOW\ UHFUXLWLQJ VXLWDEO\ TXDOLILHG VWDII IRU WKH $5& FKLOGUHQ¶V KRPH The consequence of this was that our occupancy level fell short of what was required to make an overall surplus. We are therefore reporting a loss for the year of £156,668 (2020: loss of £94,918).

Turnover in 2021 exceeded the £1million threshold and therefore the 2021 financial statements have been audited for the first time. The Trustees took this opportunity to put the audit work out to tender, and as a result of the tender process, Bishop Fleming LLP, were appointed, to replace the previous Independent Examiners Francis Clarke LLP.

On 30 November 2021 reserves totalled £840,395 consisting of £21,834 in restricted grant funds and £818,561 in unrestricted funds. Of this, £874,864 is invested in fixed assets with the remaining unrestricted funds being unrestricted operating funds.

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SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

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On 24 January 2018 the wholly owned trading subsidiary Company, Sea Sanctuary Services Limited, was incorporated. Following a loan to the subsidiary Company by the Charity, the subsidiary purchased the vessel on which the ARC is based. During the year to 30th November 2021, the subsidiary Company maintained the vessel and leased it to the Charity. Since the year end, the Trustees have decided to transfer the vessel from the subsidiary to the Charity at book value, and it has taken place in late July 2022. Accordingly, the financial statements of the subsidiary Company, Sea Sanctuary Services Limited, have been prepared on a basis other than that of a going concern.

POLICY ON RESERVES

The Operating Reserve Fund is defined as a designated amount set aside by action of the Board of Trustees and Chief Executive Officer. The minimum amount to be designated as Operating Reserve will be established as an amount sufficient to maintain ongoing operations and programmes for a set period of time, measured in months. The Operating Reserve serves a dynamic role and will be reviewed and adjusted in response to internal and external changes.

Whilst the Charity has significant unrestricted reserves, the main constituent of these on a consolidated basis is the Dutch Barge known as the ARC. This is treated in the financial statements as a fixed asset, and as such would normally be excluded from the Operating Reserve Fund. As a result of this, the Trustees have GHFLGHG WR DGRSW D SROLF\ RI RQH PRQWK¶V XQUHVWULFWHG DQG IUHH UHVHUYHV KHOG LQ WKH DFFRXQWV DW DOO WLPHV (£80,000), to enable the time needed to liquidate this asset if deemed necessary. Alongside this, the Charity will regularly monitor and assess forecasted budget and expenditure to ensure that cash inflows over the coming 12 months are sufficient to cover known expenditure together with a contingency for unforeseen expenditure. Over the next 18-24 months the CKDULW\ ZLOO DOVR EXLOG XSRQ WKH RQH PRQWK¶V XQUHVWULFWHG DQG free reserves, to build them to the equivalent of six months running costs, and at that point revisit and revise LWV SROLF\ WR D ³VL[ PRQWKV UHVHUYHV´ SROLF\

REMUNERATION

Financial and non-financial benefits of all employment packages are set by the CEO and the Trustees based on mid-point market values. Salaries are subject to an annual review.

TRUSTEES AND TRAINING

Trustees are appointed based on their experience and the skills they have to offer. Where gaps are identified in the Board, Trustees will be sought to meet those specific skill set needs. Trustees are formally inducted by the CEO and current Board.

OUR THANKS

Finally, we would like to offer our sincere thanks to the following people:

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SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

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Lastly, should anyone be considering working with Sea Sanctuary or providing financial assistance (in any form), they should feel confident that they will be contributing to or working towards helping both children and adults; and, in most cases, they will be supporting people who without our help, will undoubtedly find the road to wellbeing difficult and in some cases, impossible.

If we can help in any way, or provide any further information, please contact us at;

Sea Sanctuary, Waterside Court, Penryn, Cornwall, TR10 8AW

admin@seasanctuary.org.uk

01326 378919

Approved by order of the members of the Board of Trustees and signed on their behalf:

.........................................

Mrs M A B Gorman Trustee Date: 16 August 2022

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STATEMENT OF TRUSTEES' RESPONSIBILITIES

The Trustees (who are also the directors of the Charity for the purposes of company law) are responsible for preparing the Trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Group and the Charity and of their incoming resources and application of resources, including their income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Group and the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Approved by order of the members of the Board of Trustees and signed on their behalf:

.........................................

Mrs M A B Gorman Trustee Date: 16 August 2022

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SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SEA SANCTUARY

OPINION

We have audited the financial statements of Sea Sanctuary (the 'parent charitable company') and its subsidiaries (the 'group') for the year ended 30 November 2021 which comprise the Consolidated Statement of Financial Activities, the Consolidated Balance Sheet, the Charity Balance Sheet, the Consolidated Statement of Cash Flows and the related notes, 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).

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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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 Group's or the parent charitable company'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 other information comprises the information included in the Annual Report other than the financial statements and our Auditors' 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.

Page 13

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SEA SANCTUARY (CONTINUED)

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

We have nothing to report in respect of the following matters where 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 Trustees' Responsibilities Statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

AUDITORS' RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS

We have been appointed as auditor under section 151 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 Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Page 14

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SEA SANCTUARY (CONTINUED)

financial statements and any potential indicators of fraud.

As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud, which included incorrect recognition of revenue, management override of controls using manual journal entries, purchase ledger and payroll, and identified the greatest potential for fraud as incorrect recognition of revenue and management override using manual journal entries.

In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. We also obtained an understanding of the legal and regulatory frameworks that the Charity operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act, The Charities Act and tax legislation.

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the Charity’s ability to operate or to avoid a material penalty. These included data protection regulations, occupational health and safety regulations and employment legislation.

Our procedures to respond to risks identified included the following:

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 an 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 would become aware of it.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.

OTHER MATTERS

The financial statements of the Charity for the year ended 30 November 2020 were not audited.

Page 15

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SEA SANCTUARY (CONTINUED)

USE OF OUR REPORT

This report is made solely to the charitable company's members, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.

Alison Oliver FCA (Senior statutory auditor) Bishop Fleming LLP

Chartered Accountants Statutory Auditors Chy Nyverow Newham Road Truro Cornwall TR1 2DP

Date: 19th August 2022

Bishop Fleming LLP are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.

Page 16

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 30 NOVEMBER 2021

Note
INCOME FROM:
Donations and legacies
3
Charitable activities
4
TOTAL INCOME
EXPENDITURE ON:
Raising funds
Charitable activities
5
TOTAL EXPENDITURE
Net gains on investments
NET MOVEMENT IN FUNDS
RECONCILIATION OF FUNDS:
Total funds brought forward
15
Net movement in funds
15
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds
2021
£
106,309
851,987
958,296
71,702
1,043,176
1,114,878
-
(156,582)
975,143
(156,582)
818,561		 Restricted
funds
2021
£
64,939
-
64,939
-
65,025
65,025
-
(86)
21,920
(86)
21,834		 Total
funds
2021
£
171,248
851,987
1,023,235
71,702
1,108,201
1,179,903
-
(156,668)
997,063
(156,668)
840,395		 Total
funds
As restated
2020
£
150,353
691,461
841,814
61,121
875,610
936,731
-
(94,917)
1,091,980
(94,917)
997,063

Page 17

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE) REGISTERED NUMBER:10671707

CONSOLIDATED BALANCE SHEET AS AT 30 NOVEMBER 2021

Note
FIXED ASSETS
Tangible assets
9
CURRENT ASSETS
Debtors
11
Cash at bank and in hand
19
Creditors: amounts falling due within one
year
12
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT
LIABILITIES
Creditors: amounts falling due after more
than one year
13
TOTAL NET ASSETS
CHARITY FUNDS
Restricted funds
15
Unrestricted funds
15
TOTAL FUNDS		 73,626
178,035
251,661
(180,700)		 2021
£
874,864
874,864
70,961
945,825
(105,430)
840,395
21,834
818,561
840,395		 54,399
218,594
272,993
(87,802)		 As restated
2020
£
949,756
949,756
185,191
1,134,947
(137,884)
997,063
21,920
975,143
997,063

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

Mrs M A B Gorman Trustee Date: 16 August 2022

The notes on pages 21 to 37 form part of these financial statements.

Page 18

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE) REGISTERED NUMBER:10671707 CHARITY STATEMENT OF FINANCIAL POSITION FOR THE YEAR ENDED 30 NOVEMBER 2021

Note
FIXED ASSETS
Tangible assets
9
Investments
10
CURRENT ASSETS
Debtors
11
Cash at bank and in hand
19
Creditors: amounts falling due within one
year
12
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT
LIABILITIES
Creditors: amounts falling due after more
than one year
13
TOTAL NET ASSETS
CHARITY FUNDS
Restricted funds
15
Unrestricted funds
15
TOTAL FUNDS		 875,114
84,870
959,984
(341,894)		 2021
£
226,845
1
226,846
618,090
844,936
(8,680)
836,256
21,834
814,422
836,256		 837,093
83,594
920,687
(140,152)		 As restated
2020
£
249,547
1
249,548
780,535
1,030,083
(14,134)
1,015,949
21,920
994,029
1,015,949

The Charity's net movement in funds for the year was £(179,693) (2020 - £(116,221)).

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

Mrs M A B Gorman Trustee Date: 16 August 2022

The notes on pages 21 to 37 form part of these financial statements.

Page 19

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 NOVEMBER 2021

CASH FLOWS FROM OPERATING ACTIVITIES
Net cash (provided by)/ used in operating activities
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of tangible fixed assets
Disposal proceeds
NET CASH PROVIDED BY/(USED IN) INVESTING 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		 2021
£
(43,769)
(14,985)
18,195
3,210
(40,559)
218,594
178,035		 2020
£
138,339
(144,223)
134,747
(9,476)
128,863
89,731
218,594

The notes on pages 21 to 37 form part of these financial statements

Page 20

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

1. GENERAL INFORMATION

Sea Sanctuary is a Charity incorporated as a private Company limited by guarantee and does not have share capital. In the event of the Company being wound up each member is liable to contribute a sum not exceeding £10 towards the debts and liabilities of the Company and the costs, charges and expenses of winding up. The Company is incorporated in England and Wales. The registered number and office is as stated on page 1.

2. ACCOUNTING POLICIES

2.1 BASIS OF PREPARATION OF FINANCIAL STATEMENTS

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Sea Sanctuary meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The Consolidated Statement of Financial Activities (SOFA) and Consolidated Balance Sheet consolidate the financial statements of the Charity and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis.

The Charity has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Financial Activities in these financial statements.

The financial statements are presented in pounds sterling which is the functional currency of both entities and is rounded to the nearest £.

2.2 GOING CONCERN

The Trustees have assessed the Statement of Financial Position and likely future cash flows at the date of approving these financial statements. The Trustees have a reasonable expectation that the Charity have adequate resources to continue in operational existence and to meet its financial obligations as they fall due for at least 12 months from the date of signing of these financial statements. Accordingly, the Trustees are of the opinion that the going concern basis is appropriate.

2.3 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.

Grants are included in the Consolidated Statement of Financial Activities on an entitlement basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance Sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.

Page 21

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

2. ACCOUNTING POLICIES (continued)

2.4 EXPENDITURE

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Expenditure on raising funds includes all expenditure incurred by the Group to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.

All expenditure is inclusive of irrecoverable VAT.

2.5 GOVERNMENT GRANTS

Government grants of a revenue nature are credited to the Statement of financial activities as the related expenditure is incurred.

2.6 TANGIBLE FIXED ASSETS AND DEPRECIATION

Tangible fixed assets costing £500 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, on both the straight line basis and reducing balance basis.

Depreciation is provided on the following bases:

ARC development - Over 15 years straight line
Boats and vessels - Over 15 years straight line
Motor vehicles - 25% reducing balance basis
Office equipment - 20% reducing balance basis
Boat equipment - 15% reducing balance basis

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Page 22

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

2. ACCOUNTING POLICIES (continued)

2.7 INVESTMENTS

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance Sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Consolidated Statement of Financial Activities.

Investments in subsidiaries are valued at cost less provision for impairment.

2.8 DEBTORS

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

2.9 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.

2.10 LIABILITIES AND PROVISIONS

Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Consolidated Statement of Financial Activities as a finance cost.

2.11 FINANCE LEASES AND HIRE PURCHASE

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the Group. Obligations under such agreements are included in creditors, net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the Consolidated Statement of Financial Activities so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

2.12 PENSIONS

The Group operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Group to the fund in respect of the year.

Page 23

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

2. ACCOUNTING POLICIES (continued)

2.13 FUND ACCOUNTING

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Group for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

3. INCOME FROM DONATIONS AND LEGACIES

Unrestricted
funds
2021
£
Donations
16,800
Grants
86,665
Government grants
2,844
106,309
Unrestricted
funds
2020
£
Donations
29,154
Grants
5,090
Government grants
15,987
50,231		 Restricted
funds
2021
£
-
62,000
2,939
64,939
Restricted
funds
2020
£
-
100,122
-
100,122		 Total
funds
2021
£
16,800
148,665
5,783
171,248
Total
funds
2020
£
29,154
105,212
15,987
150,353

4. INCOME FROM CHARITABLE ACTIVITIES

As restated
Unrestricted Total Total
funds funds funds
2021 2021 2020
£ £ £
Care service 851,987 851,987 691,461

Page 24

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

5. ANALYSIS OF EXPENDITURE BY ACTIVITIES

Provision of care service
Provision of care service		 Activities
undertaken
directly
2021
£
717,530
Activities
undertaken
directly
2020
£
577,314		 Support
costs
2021
£
390,671
Support
costs
2020
£
298,296		 Total
funds
2021
£
1,108,201
Total
funds
2020
£
875,610

Page 25

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

5. ANALYSIS OF EXPENDITURE BY ACTIVITIES (CONTINUED)

ANALYSIS OF SUPPORT COSTS

Staff costs
Staff Training
Other staff costs
Rent
Light, power and heating
Insurance
IT software and consumables
Legal and professional fees
Other office expenses
Telephone and internet
Equipment hire
Repairs and maintenance
Subscriptions and donations
Advertising and marketing
Accountancy and bookkeeping
Printage, postage and stationery
Motor and travel expenses
Interest payable
Profit on disposal of tangible fixed assets
Sundry expenses
Governance costs
6.
AUDITORS' REMUNERATION
Fees payable to the Charity's auditor for the audit of the Charity's annual
accounts
Fees payable to the Charity's auditor in respect of:
All taxation services not included above
Fees payable to the Charity's Independent Examinator
All non-audit services not included above		 Total
funds
2021
£
217,787
15,224
3,713
12,124
2,102
22,382
20,120
6,324
4,547
5,466
9,343
2,964
4,401
9,284
18,518
2,228
13,465
244
4,621
7,414
8,400
390,671
2021
£
10,080
500
-
1,120		 Total
funds
2020
£
179,327
12,312
3,855
11,072
1,843
14,809
11,190
3,447
3,791
4,325
1,114
6,839
1,918
7,266
17,597
2,266
11,067
1,072
-
3,186
-
298,296
2020
£
-
-
4,950
-

Page 26

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

7. STAFF COSTS

Wages and salaries
Social security costs
Other pension costs		 Group
2021
£
677,923
52,642
12,575
743,140		 Group
2020
£
566,992
44,334
12,129
623,455		 Charity
2021
£
677,923
52,642
12,575
743,140		 Charity
2020
£
566,992
44,334
12,129
623,455

The average number of persons employed by the Charity during the year was as follows:

Group Group Charity Charity
2021 2020 2021 2020
No. No. No. No.
Employees 35 29 35 29

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

Group Group
2021 2020
No. No.
In the band £60,001 - £70,000 1 1

The Charity considered it's key management personnel in the year to comprise the Trustees and the chief executive officer as disclosed on page 1.

The total employment benefits including employer pension contributions of the key management personnel were £84,453 (2020: £60,520).

8. TRUSTEES' REMUNERATION AND EXPENSES

During the year, no Trustees received any remuneration or other benefits (2020 - £NIL).

During the year ended 30 November 2021, no Trustee expenses have been incurred (2020 - £NIL).

Page 27

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

9. TANGIBLE FIXED ASSETS

GROUP

ARC
development
£
COST
At 1 December 2020
100,024
Additions
-
Disposals
-
At 30 November
2021
100,024
DEPRECIATION
At 1 December 2020
(as previously
stated)
13,336
Prior Year
Adjustment
-
At 1 December 2020
(as restated)
13,336
Charge for the year
6,667
On disposals
-
At 30 November
2021
20,003
NET BOOK VALUE
At 30 November
2021
80,021
At 30 November
2020 (as restated)
86,688		 Motor
vehicles
£
41,644
1,000
(16,495)
26,149
11,706
-
11,706
3,861
(3,593)
11,974
14,175
29,938		 Boats and
vessels
£
120,513
7,058
(1,700)
125,871
5,742
-
5,742
8,635
(149)
14,228
111,643
114,771		 Office
equipment
£
26,834
6,927
-
33,761
8,684
-
8,684
4,071
-
12,755
21,006
18,150		 Boat
equipment
£
782,843
-
-
782,843
30,444
52,190
82,634
52,190
-
134,824
648,019
700,209		 Total
£
1,071,858
14,985
(18,195)
1,068,648
69,912
52,190
122,102
75,424
(3,742)
193,784
874,864
949,756

Page 28

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

9. TANGIBLE FIXED ASSETS (CONTINUED)

CHARITY

COST
At 1 December 2020
Additions
Disposals
At 30 November 2021
DEPRECIATION
At 1 December 2020
Charge for the year
On disposals
At 30 November 2021
NET BOOK VALUE
At 30 November 2021
At 30 November 2020		 Freehold
property
£
100,024
-
-
100,024
13,336
6,667
-
20,003
80,021
86,688		 Motor
vehicles
£
41,644
1,000
(16,495)
26,149
11,706
3,861
(3,593)
11,974
14,175
29,938		 Office
equipment
£
120,513
7,058
(1,700)
125,871
5,742
8,635
(149)
14,228
111,643
114,771		 Computer
equipment
£
26,834
6,927
-
33,761
8,684
4,071
-
12,755
21,006
18,150		 Total
£
289,015
14,985
(18,195)
285,805
39,468
23,234
(3,742)
58,960
226,845
249,547

Page 29

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

10. FIXED ASSET INVESTMENTS

CHARITY
COST OR VALUATION
At 1 December 2020
AT 30 NOVEMBER 2021
NET BOOK VALUE
AT 30 NOVEMBER 2021
AT 30 NOVEMBER 2020		 Investments
in
subsidiary
companies
£
1
1
1
1

PRINCIPAL SUBSIDIARIES

The following was a subsidiary undertaking of the Charity and included in the consolidation:

Name Company Registered office or principal Principal activity Holding
number place of business
Sea Sanctuary Services 11167114 Waterside Court, Falmouth Road, Other transportation 100%
Limited Penryn, Cornwall, England, support activities
TR10 8AW

The financial results of the subsidiary for the year were:

Name Income Expenditure Profit/(Loss) Net assets
£ £ / Surplus/ £
(Deficit) for
the year
£
Sea Sanctuary Services Limited 102,000 (78,975) 23,025 4,141

Page 30

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

11. DEBTORS

DUE WITHIN ONE YEAR
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income		 Group
2021
£
14,104
-
3,368
56,154
73,626		 Group
As restated
2020
£
800
-
1,046
52,553
54,399		 Charity
2021
£
14,104
801,755
3,101
56,154
875,114		 Charity
As restated
2020
£
800
783,505
235
52,553
837,093

12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Bank loans
Trade creditors
Amounts owed to group undertakings
Other taxation and social security
Obligations under finance lease and hire
purchase contracts
Other creditors
Accruals and deferred income		 Group
2021
£
27,000
17,379
-
20,594
4,240
101,294
10,193
180,700		 Group
2020
£
11,250
13,606
-
40,915
4,240
2,503
15,288
87,802		 Charity
2021
£
-
17,379
189,594
20,594
4,240
101,294
8,793
341,894		 Charity
2020
£
-
13,606
65,000
40,915
4,240
2,503
13,888
140,152

13. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Bank loans
Net obligations under finance lease and hire
purchase contracts		 Group
2021
£
96,750
8,680
105,430		 Group
2020
£
123,750
14,134
137,884		 Charity
2021
£
-
8,680
8,680		 Charity
2020
£
-
14,134
14,134

Page 31

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

14. PRIOR YEAR ADJUSTMENTS

The prior year has been adjusted to recognise depreciation on fixed assets of £52,190 for the trading subsidiary, Sea Sanctuary Services Limited, in line with the Company's accounting policy. This has resulted in an adjustment to 2019/20 for the Group to decrease fixed assets and closing funds by £52,190.

The prior year has also been adjusted to recognise an additional £30,601 of care income for the Charity which had been received and recognised post year end. This has resulted in an adjustment to 2019/20 to increase charitable activity income, accrued income and closing funds by £30,601.

15. STATEMENT OF FUNDS

STATEMENT OF FUNDS - CURRENT YEAR

UNRESTRICTED FUNDS
General Funds
RESTRICTED FUNDS
G999
Lottery Community Grant Fund
Invictus G999
Sail Into Life
Sport England
Other Restricted Revenue Grants
COVID-19 Grant
TOTAL OF FUNDS		 As restated
Balance at 1
December
2020
£
975,143
-
18,586
3,334
-
-
-
-
21,920
997,063		 Income
£
958,296
5,000
10,000
20,000
15,000
10,000
2,000
2,939
64,939
1,023,235		 Expenditure
£
(1,114,878)
(5,000)
(28,586)
(1,500)
(15,000)
(10,000)
(2,000)
(2,939)
(65,025)
(1,179,903)		 Balance at
30
November
2021
£
818,561
-
-
21,834
-
-
-
-
21,834
840,395

Page 32

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

15. STATEMENT OF FUNDS (CONTINUED)

The specific purposes for which the funds are to be applied are as follows:

G999 (Devon and Cornwall Police) - grant funding contributing towards the cost of staff members (mental health clinicians), write ups/reports, evaluations and refreshments during shifts. The shifts cover weekend periods and unsociable hours.

Lottery Community Grant Fund - grant funding awarded specifically in response to COVID-19. Funding contribution towards the provision of mental health services in the community and to be used for G999 after-care where possible. The award was time limited (had to be spent within 6 months) and covered the broader core costs (administration, office costs etc.)

Invictus G999 - grant funding contribution towards G999 staffing costs, research and evaluations.

Sail Into Life - this includes income from the RYA Foundation & the Viscountess Boyd Fund. The purpose of these grants is a contribution to the costs of boat rigging.

Sport England - grant funding contributing towards the cost of staffing and equipment.

Other Restricted Revenue Grants - this includes funding from the Tudor Trust for the purpose of wellbeing.

COVID-19 Grant - this is the funding received from the government in respect of the Coronavirus Job Retention Scheme.

Page 33

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

15. STATEMENT OF FUNDS (CONTINUED)

STATEMENT OF FUNDS - PRIOR YEAR

Balance at
1 December
2019
£
UNRESTRICTED FUNDS
General Funds
152,791
RESTRICTED FUNDS
LIBOR
845,857
G999
-
Clothworks
37,334
Garfield Weston
55,998
Lottery Community Grant Fund
-
Invictus G999
-
ESC Fund
-
RYA Foundation
-
939,189
TOTAL OF FUNDS
1,091,980
16.
SUMMARY OF FUNDS
SUMMARY OF FUNDS - CURRENT YEAR		 As restated
Income
£
736,602
-
15,000
2,280
-
65,000
10,000
7,932
5,000
105,212
841,814		 Expenditure
£
(804,949)
(44,102)
(15,000)
(2,666)
(4,002)
(46,414)
(6,666)
(7,932)
(5,000)
(131,782)
(936,731)		 Transfers
in/out
£
890,699
(801,755)
-
(36,948)
(51,996)
-
-
-
-
(890,699)
-		 As restated
Balance at
30
November
2020
£
975,143
-
-
-
-
18,586
3,334
-
-
21,920
997,063
General funds
Restricted funds		 Balance at 1
December
2020
£
975,143
21,920
997,063		 Income
£
958,296
64,939
1,023,235		 Expenditure
£
(1,114,878)
(65,025)
(1,179,903)		 Balance at
30
November
2021
£
818,561
21,834
840,395

Page 34

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

16. SUMMARY OF FUNDS (CONTINUED)

SUMMARY OF FUNDS - PRIOR YEAR

General funds
Restricted funds		 Balance at
1 December
2019
£
152,791
939,189
1,091,980		 As restated
Income
£
736,602
105,212
841,814		 Expenditure
£
(804,949)
(131,782)
(936,731)		 Transfers
in/out
£
890,699
(890,699)
-		 Balance at
30
November
2020
£
975,143
21,920
997,063

17. ANALYSIS OF NET ASSETS BETWEEN FUNDS

ANALYSIS OF NET ASSETS BETWEEN FUNDS - CURRENT YEAR

Unrestricted
funds
2021
£
Tangible fixed assets
874,864
Current assets
229,827
Creditors due within one year
(180,700)
Creditors due in more than one year
(105,430)
TOTAL
818,561		 Restricted
funds
2021
£
-
21,834
-
-
21,834		 Total
funds
2021
£
874,864
251,661
(180,700)
(105,430)
840,395

ANALYSIS OF NET ASSETS BETWEEN FUNDS - PRIOR YEAR

Tangible fixed assets
Current assets
Creditors due within one year
Creditors due in more than one year
TOTAL		 Unrestricted
funds
2020
£
949,756
251,073
(87,802)
(137,884)
975,143		 Restricted
funds
2020
£
-
21,920
-
-
21,920		 Total
funds
2020
£
949,756
272,993
(87,802)
(137,884)
997,063

Page 35

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

18.
RECONCILIATION OF NET MOVEMENT IN FUNDS TO NET CASH FLOW
ACTIVITIES
Net expenditure for the year (as per Statement of Financial Activities)
ADJUSTMENTS FOR:
Depreciation charges
Depreciation on disposal
Increase in debtors
Increase in creditors
NET CASH PROVIDED BY/(USED IN) OPERATING ACTIVITIES
19.
ANALYSIS OF CASH AND CASH EQUIVALENTS
Cash in hand
20.
ANALYSIS OF CHANGES IN NET DEBT		 FROM OPERATING
Group
Group
2021
2020
£
£
(156,668)
(94,917)
75,424
74,319
(3,742)
(21,254)
(19,227)
(1,831)
60,444
182,022
(43,769)
138,339
Group
Group
2021
2020
£
£
178,035
218,594
Cash at bank and in hand
Debt due within 1 year
Debt due after 1 year
Finance leases		 At 1
December
2020
£
218,594
(11,250)
(123,750)
(18,374)
65,220		 Cash flows
£
(40,559)
(15,750)
27,000
5,454
(23,855)		 At 30
November
2021
£
178,035
(27,000)
(96,750)
(12,920)
41,365

21. PENSION COMMITMENTS

The Group operates a defined contribution pension scheme. The assets of the schemes are held separately from those of the Group in an independently administered fund. The pension costs charge represents contributions payable by the Group to the funds and amounted to £12,575 (2020: £12,129). Contributions totaling £2,547 (2020: £2,503) were payable to the funds at the Balance Sheet date.

Page 36

SEA SANCTUARY (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2021

22. RELATED PARTY TRANSACTIONS

The Charity has taken advantage of the exemption in section 33.1A of FRS 102 in not disclosing intragroup transactions where 100% of the voting rights are controlled within the group.

During the year, a Trustee, paid a total of £Nil (2020: £570) for services provided by the Charity. At the end of the year, a total of £Nil (2020: £Nil) was owed to the Charity.

At the year end, a balance of £161 (2020: £222) was due from the Charity to a member of key management personnel in relation to funds introduced.

23. POST BALANCE SHEET EVENTS

The ARC, which was operated by the Charity as a children's home during the year, is included in fixed assets for the Group with a net book value of £648,019. Post year end, the ARC ceased to operate as a children's home, and the asset has been transferred from Sea Sanctuary Services Limited to Sea Sanctuary.

24. CONTROLLING PARTY

The Charity and Group is controlled by its Trustees.

Page 37