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2021-03-31-accounts

Charity Registration No. 1174197

Company Registration No. 10778305 (England and Wales)

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT AND ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Mr N C Johnson
Mrs C C Campbell
Mr T P Sharp
Mrs N Lee
Revd P L Southcombe
Mr R Allam
Mr R J Pringle
Mr D L F Cawdery
Secretary Miss F C Tasdelen
Chief Executive Mr S M Robinson
Charity number 1174197
Company number 10778305
Registered office Moran House
1 Holes Bay Park
Sterte Avenue West
Poole
Dorset
BH15 2AA
Auditors Saffery Champness LLP
Midland House
2 Poole Road
Bournemouth
BH2 5QY
Solicitors Lester Aldridge
Russell House
Oxford Road
Bournemouth
BH8 8EX
Investment advisors Smith and Williamson Investment Management
25 Moorgate
London
EC2R 6AY
Bankers Barclays
Barclays House
1 Wimborne Road
Poole
BH15 2FQ

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

CONTENTS

Page
Trustees report 1 - 12
Statement of trustees' responsibilities 13
Independent auditors' report 14 - 17
Consolidated Statement of financial activities 18
Consolidated Statement of financial position 19
Statement of consolidated cash flows 20
Notes to the accounts 21 - 41

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT

FOR THE YEAR ENDED 31 MARCH 2021

The directors and trustees present their annual report and the consolidated financial statements for the year ended 31 March 2021.

The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the Charity's Articles of Association, the Companies Act 2006 and 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 (FRS102) (effective January 2015).

Objectives and activities

The objects clause in the company's Articles of Association states:

The activities of the organisation in the year towards their objectives are outlined in Achievements and Performance.

Achievements and Performance

Established in 2017, The Prama Foundation is a Christian charity that fundraises for, and oversees, all Prama activities. PramaCare, the original charity, was founded in 1982 to provide help and care for people in their own homes, enabling them to live independently without being forced into residential care.

Dr. Chris Moran, a consultant at Christchurch Hospital, witnessed this growing need first-hand as he saw patients having to remain in hospital care because there was no support for them at home. His vision was to provide Pain Relief And Management, from which the name “PRAMa” originated. Since PramaCare’s formation, the vision has broadened to include personal care, health management, community activities, holidays, hospitality and entertainment, as well as influencing for change in attitudes to ageing.

Today, the work has grown from a handful of dedicated volunteers to around 600 volunteers and employees across five companies. As the work developed, Prama developed a group structure in 2017, with The Prama Foundation as the overarching charity to coordinate the work towards our vison of “a world where no one is unfairly disadvantaged or excluded because of age or infirmity and where everyone can enjoy life as they age”.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT

FOR THE YEAR ENDED 31 MARCH 2021

Each component part of the group now has focus on specific areas of work that can largely fit under the banner of a “life course approach to ageing”.

We should never be afraid of ageing. The challenges and changes of an ageing population brings the opportunity to celebrate long life and the contribution that the older population have made.

The Prama Foundation was created during 2017 following the transition to our group structure. This structure now enables us to give full attention to each of our branches of work and make sure that we are providing the best quality service we can in achieving our vision of “a world where no one is unfairly disadvantaged or excluded because of age or infirmity and where everyone can enjoy life as they age”.

The Prama Foundation aspires to bring about long-term improvements in wellbeing across the ageing process, particularly for the most vulnerable, by creating connections across boundaries which deliver social, cultural and environmental value. We have a focus on strengthening dignity and independence, as well as social connections, in ageing societies.

The Life-course approach to ageing

We all experience ageing in a different way and we are each a complex mix of the decisions and values we have made, the environment and government we have experienced, and the strengths and vulnerabilities our bodies inherited.

From the moment we are born, we all begin ageing. This is the start of a complex and varied life-course. Each of us live through different events, we make choices, we face the consequences of policies, systems and the intersecting forms of discrimination that influence our lives. As we grow older, the impact on us of these different experiences accumulates. Events, choices, policies and discrimination impact us – not just when they happen, but also long into our future. At the same time, as we grew older, our age intersects with other characteristics, which means we can face complex and unique forms of marginalisation and discrimination in older age. Reaching a peak of physical strength in our early adult life we usually see a gradual decline in well-being and resilience as life progresses. Although we usually recover from the physical, emotional and spiritual impacts that life brings often, as we age, recovery takes longer, and we frequently fail to make a full recovery.

Prama tries to recognise and support people throughout the life-course, recognising, and attempting to address, the things that can negatively impact the probability of enjoying a long and healthy life that is filled with joy and dignity.

Our work includes PramaCare, a charity and social business providing home care support to vulnerable older people, Envision, a service within PramaCare that supports those living with Acquired Brain Injury, a Nailcare service for older people, and PramaLife, which provides community-based support to older people and carers to enhance their health well-being, helping people to “Age Well”. Supporting this charitable activity are our nine Prama charity shop outlets which includes a distribution warehouse and online sales.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT

FOR THE YEAR ENDED 31 MARCH 2021

The Foundation brings vision and structure to all these efforts, facilitating their sustainability and growth and integrating good practice; whilst also influencing national and internal policy in relation to ageing.

2020/21 brought many challenges to our work but, due to careful stewardship, we have been able to sustain all our services even though we have experienced fluctuations in our income and the complications of delivering home care services and community activities during a pandemic and the resulting lockdown.

We are particularly proud of the following:

Not one of the (average) 480 people we support each month through PramaCare contracted Covid-19, this is a remarkable achievement given that the Care Sector received considerable media attention due to the catastrophically high levels of infection and deaths during the period. We place on record our deepest appreciation of our staff teams, their commitment and their dedication to infection control through such a difficult period.

As you will read below, even though our team experienced significant challenges they not only maintained our existing services but further developed them. The pandemic has had negative impact across the UK, but it has also meant for Prama, new schemes, new funding streams and new thinking.

Working through Covid-19

At the start of the pandemic we were approached by our local hospitals to see if we could help them avoid the much publicised “NHS overload” and we quickly worked with them to develop a crisis “Home from Hospital” service, where our trained staff could support vulnerable and shielding patients at home in order that hospital beds could be freed up. This was very successful and quickly rose to 300 hours of care per week on top of our services to our private clients.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT

FOR THE YEAR ENDED 31 MARCH 2021

Managing through Covid-19

Across the group, staff and volunteers had to adapt to new situations and practice very quickly. Whereas some staff took on more work, e.g. in Care, others were furloughed. There were times when teams had to work with uncertainty and did so with professionalism and commitment. The pandemic has been a catalyst for change in our working practices and we quickly moved to become a low infection risk environment, changed from in person contact and paper-based systems wherever we could and also invested in new IT to enable office staff to work from home. These changes have proven very successful and we have learnt how to create a flexible working environment which we will be continuing in the future, particularly as the pandemic is far from over.

Feedback from colleagues and clients describes a “can-do attitude” and a commitment from colleagues to do their best for Prama’s service users. Staff have learnt to work more flexibly and undertake tasks quickly which, in previous years, they would not have thought possible e.g. in assessing care clients in hours rather than weeks.

The can-do attitude was also reflected amongst our volunteers who quickly took on new activities including undertaking shopping trips and delivering medical prescriptions/hot meals. We have been able to recruit more volunteers for several reasons, including that people have developed a better understanding of what life can be like for other people if it becomes limited through unplanned events.

As a Christian charity we developed a new employee engagement model, based on our values, of Prama’s Pathways to Dignity; the aim is to enable our staff to live and work more productively, with a view to improving morale, retention and turnover, as well as productivity, and helping them live happier lives.

We cannot thank our staff and volunteers for their commitment and initiative over the past year, everyone contributed, ensuring that older people and carers could carry on enjoying a good level of health and well-being.

Organising and accommodating our staff and volunteers team: 2020/21 saw a major step forward in the development of appropriate and modern training facilities at Moran House (our original main office); we decided to divide our functions between Moran House and the offices above the new charity warehouse facility on the Nuffield Estate: Pathways House. This means that we now have a spacious, properly equipped training area at Moran House, whilst also being able to space out staff and volunteers across two sites to further enhance health and safety whilst also maintaining a high level of performance. Whilst many staff are now working flexibly between home and our offices, there are some teams, notably our administrative team for PramaCare who work more effectively when they are together.

Providing a sustainable financial model for the work of Prama: The Foundation used 2020/21 to implement a new reserves policy across the group structure. The new policy will ensure that the respective charities will have appropriate levels of unrestricted funds to cover any liabilities, mitigate the impact of any loss of income and ensure good levels of cash flow.

The pandemic affected our charity shops which normally generate much needed income to support our charitable work and during lockdowns each of our shops had to close. This experience accelerated a different approach to developing our retail offering, including establishing a warehouse at Prama Pathways House and developing our online sales. We intend to continue building on this successful work.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT

FOR THE YEAR ENDED 31 MARCH 2021

We also experimented with a new “pop up” shop license in opening our new Boscombe shop. Although not having the security of a longer term formal lease this has proven successful and we will add this form of retail to our future working.

Based on our experience with the warehouse and our online sales we are exploring the development of a large “signature” shop e.g. one with significant retail space in a prominent/accessible location where we could sell high value items.

Promoting Prama

We revised the websites for the Foundation, PramaCare and PramaLife, ensuring that we have up to date websites which are focused on generating business and take up of our activities, rather than just telling people what we do. As a result, we saw increases in referrals and volunteers coming through our websites.

Our Twitter feeds have also enjoyed success:

@pramauk and @transformageing

We are building on this work by developing a strong Prama brand across our respective charities; a brand which celebrates our Christian values and the positive impact we make on people’s lives.

National and international policy

The pandemic disrupted a lot of the work we were seeking to achieve, and this was coupled with the need to prioritise and focus upon maintaining our community based work. However, despite the pressures of the pandemic we developed, in partnership with the UK National Care Forum (NCF), a workbook highlighting the issues of older people who are ageing without children (AWOC). We presented to over 350 care providers across the UK and it is now being promoted outside the NCF networks as outstanding practice in care delivery.

We also spoke at an AWOC conference in May which was oversubscribed, with over 70 attendees participating in the discussions about ageing without children in a Covid-19 world. Following the national AWOC conference in May we held a further conference in August to look at research issues and this too went very well.

The Foundation is still maintaining an AWOC network of 3,000 followers on twitter and 2,000 members on a private Facebook page. The Foundation will continue to influence national and international partners about the need to develop support for people ageing without children. We are exploring the development of an “app” to support this potential user group as well as those who are unpaid carers.

For some years we have been a part of the Global Alliance for the Rights of Older People as well as the European Covenant on Demographic Change and we helped prepare the papers for, and attended (virtually), the 11th session of the open ended working group (OEWG) on the development of a Human Rights instrument protecting older people which took place at the United Nations building New York. Due to issues around the pandemic, although the ambassadors and state representatives met in person, the meeting was closed to non-governmental organisations (NGO). It became very clear during the meetings that the impact of Covid-19 has disproportionately led to the alienation and abuse of older people on an international scale. Since those meetings the Foundation was asked to chair the discussions between UK and EU NGOs and independent national human rights institutions to formulate plans to engage at governmental level and we are involved in approaching the United Kingdom Foreign Office to prepare for the 2022 position statement.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT

FOR THE YEAR ENDED 31 MARCH 2021

Financial review

Following its incorporation on 18 May 2017, The Prama Foundation took ownership of the subsidiary companies for which it was created as parent. The charity was established with its own funds from within the group and the consolidated results include the subsidiaries' activities.

Following its incorporation, the charity received a gift of investments from its subsidiary PramaCare, which had previously been given to PramaCare as an expendable endowment to use for the expansion of activities that benefit older people. The broader objects of the Foundation are more compatible with the purpose of the endowment and the fund continues to provide a capital base for the charity.

The net result at 31st March 2021 for the charity leaves the expendable endowment fund with a balance of £34,782 (2019/20: £35,642), restricted reserves with a balance of £329 (2019/20: £5,000) and the unrestricted reserves at £135,026 (2019/20: £89,042).

The consolidated income and expenditure account shows funds carried forward of £1,369,002 at the end of the period (2019/20: £1,076,281), of which £170,137 relates to the charity (2019/20: £129,686). The net operating surplus for the charity was £40,457 for the period (2019/20 surplus of £46,332).

Results

The results for the year, the state of the charity's affairs and transfers between the restricted and unrestricted funds are shown in the attached financial statements.

Fundraising

The Prama Foundation undertakes its own fundraising activities and does not use the services of a professional fundraiser or commercial participator. In doing so it provides information to individuals who express an interest in donating to the charity or leaving a legacy but it does not directly canvass individuals for fundraising purposes. The charity has not at this time signed up to a voluntary fundraising regulation scheme or standard. During 2020/21, no complaints were received in respect of the charity's fundraising activities.

Investments

The charity's investments are held in the Charities Property Fund managed by Savills Investment Management. During 2020/21, no withdrawals have been completed. At 31 March 2021 the investment units were valued at £34,782 (2019/20: £35,642). While the fund has performed consistently well in the past, during 2020/21 there was a loss on the underlying value of investments of £860 (2019/20: £6,860).

Other investments within the group are held in listed stocks and shares.

Currently the trustees' policy is to invest as much cash as is not needed for current working requirements with Smith and Williamson Investment Management and allow the fund managers to choose investments for a balanced return with medium risk. There is currently no specific limitation for social, environmental or ethical investment purposes but the trustees have confirmed that they intend to undertake a review of the investments held during 2021/22.

Reserves policy

During 2020/21, the trustees completed a full review of the reserves policy of The Prama Foundation and its charitable entities. During which, trustees confirmed that the ongoing requirement for reserves is to provide for the long term need for working capital as a result of the monthly invoicing cycle, provide for short term fluctuations in income from trading, donations and grants, and provide sufficient resource if the charity should close.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

As a result of this review, trustees concluded that the group should hold reserves of £661,500 made up of the following amounts held by the individual charities: The Prama Foundation: £96,500 PramaCare: £475,000 PramaLife: £90,000

The charity's unrestricted and undesignated funds amount to £135,026 (2019/20: £89,042) and for the group £626,149 (2019/20: £365,597).

During 2020/21, the charity's unrestricted and undesignated funds reserves have improved significantly and except for PramaLife, the Prama charity entities are holding the correct level of reserves. The trustees have noted this and aim through the business planning process to address the reserves position over the medium term while continuing to deliver the objects of the PramaLife charity.

Note 28 to the accounts identifies those funds that can only be realised through the sale of tangible fixed assets and investments. The value of free reserves (the total of unrestricted and undesignated funds less functional assets) at 31 March 2021 amounted to £593,001 (2019/20: £316,579).

Fixed assets

Full details of movements in tangible fixed assets are set out in note 18 to the financial statements. The Prama Foundation does not hold any fixed assets in its own name.

Sources of funding

The charity derives its income from donations and grants from other charities and trusts. Further funds are generated in the group from charity shops selling donated goods, and from investment income. The charity shops are held in the subsidiary PramaCare but the trustees policy is to donate all profits to The Prama Foundation for wider use in the Prama Group.

Any profits generated from other charitable business operations in the group are normally retained within the relevant subsidiaries, PramaCare and PramaLife. From 1st April 2018 any profits generated by the trading subsidiaries PramaTrade and Prama Services are gifted to The Prama Foundation.

Remuneration policy

None of the trustees receives any remuneration or benefits.

A number of management and administrative staff are jointly employed by The Prama Foundation and PramaCare and from 1st April 2018 staff costs have been apportioned to The Prama Foundation in respect of the management of the charity, oversight of group operations and fundraising.

The remuneration of the chief executive is set by the trustees, and other members of the senior management team by the chief executive, having regard to market rates, experience needed and the degree of responsibility held.

Employee involvement

The charity operates a Joint Consultative Committee which is attended by elected members of staff from different areas of the organisation, the chief executive officer and a trustee. This forum is used formally as a means of consultation and dissemination of information and meets three times per year.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

The charity seeks to give full and fair consideration to all applications for employment made to the charity by disabled people and make efforts in respect of the continuing employment and training of employees who may become disabled while employed by the company. The charity seeks to introduce, maintain and develop arrangements involving employees, providing systematic relevant information, undertaking employee consultation and providing necessary training and career development to all staff members.

Structure, governance and management

The organisation is a charitable company limited by guarantee, incorporated on 18th May 2017, and registered as a charity with the Charity Commission on 9th August 2017. The company was formed under a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articles of Association. Under the terms of the Memorandum of Association each member of the company guarantees to contribute £10 towards the assets of the company in the event of its being wound up while he/she is a member, and towards the costs, charges and expenses of winding up. None of the trustees have any beneficial interest in the company.

The trustees, who are also directors for the purpose of company law, and who served during the year were: Mr N C Johnson Mrs C C Campbell Mr T P Sharp Mrs N Lee Revd P L Southcombe Mr R Allam Mr R J Pringle Mr D L F Cawdery

The Prama Foundation has a board of directors which receives recommendations and information from four sub-committees focussing on:

The chair of each committee is held by a director of The Prama Foundation and these make recommendations to the full Board of The Prama Foundation.

The directors, who are also charity trustees, establish policies that are then implemented by the Chief Executive officer (CEO) who is responsible for the employment of staff that carry out the objectives of the company.

New director/trustees are appointed following a review of skills by a nominations sub-committee. Each trustee elected meets with the CEO and then observes a board or sub-committee meeting before final decisions are taken on appointment. The nominations sub-committee report to the board. Persons considered to be able to offer particular expertise to the charity are given a Trustee Handbook and Strategic Plan and meet with the CEO to receive a full explanation of the purposes, ethos and practices of The Prama Foundation before being invited to serve on the board.

Day to day management of the charity is delegated to the CEO - Mr S Robinson and the senior management team.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Risk assessment

Identification and reporting of risk has been strengthened through being a standing item at each of the sub-committees. A risk register is maintained to focus on specific areas of the organisation's activities and is reported to The Prama Foundation board on a regular basis. The Estates Manager is designated as Health and Safety officer.

The principal risks of the business relate to:

a) The global Covid-19 pandemic: The Foundation had added a pandemic to its risk register in 2019. Even though we did not anticipate the full impact of the pandemic this early decision enabled us to implement a range of plans to mitigate its impact, including the use of Personal Protection Equipment, infection control, remote working and the challenges of staff/volunteers needing to isolate.

b) Recruiting sufficient care staff to meet demand: As we come out of the pandemic we have been challenged to find that issues such as “long COVID” and delayed NHS referrals have created considerable additional demand for our care work. In order to address the challenge of recruiting and retaining good staff to meet this need we have recently created the new position of “Pastoral Support” for our teams in their first months in a new role.

c) Maintaining good governance: In common with many other charities it is challenging to find skilled and committed individuals to act as charity Trustees in an increasingly complex corporate environment and where the time required to exercise good governance is considerable. In 2016 we adopted the principles of best practice as recommended within the sector based on the Nolan Principles for public life and introduced robust standing orders to govern day to day business.

d) Maintaining funding streams: The Prama Foundation raises funds for its own activities from a variety of sources but is dependent on trading surpluses and voluntary income to cover the costs of administration and governance of the group. Financial performance and cash flow are monitored centrally to ensure that finances are managed effectively.

e) Newly acquired organisations taking time to establish themselves financially: During 2018 The Foundation invested £20k in the formation of a subsidiary company, Prama Travel, with a view to seeing the company develop as an income generator of unrestricted income in future years. There were considerable complications in the establishment of this company which was not able to start trading properly until November 2019 and trustees decided to suspend its work in early 2020. The project was not viable for re-establishment during the COVID-19 pandemic and, in 2021/22 has now been renamed Prama Services, and will be used to provide services such as training and community education in the coming years.

Public Benefit

The trustees have given due regard to public benefit when planning the charity's activities, in accordance with sections G2 and G3 of the Charity Commission's General Guidance on Public Benefit (January 2010).

The paragraphs in this report set out our activities, achievements, and performance during the year, which are directly related to the objects and purposes for which the charity exists. The charity achieves its principal objects and purposes through care to any members of the public in the local community who have needs arising from a physical or psychological infirmity. These benefits are directly related to the aims of the charity and are fully compliant with Principles 1 and 2 of the Charity Commission Principles on Public Benefit.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Plans for the future

This year saw the start of the UN Decade of Health Ageing and we will continue our involvement and promotion of this agenda. As we look to the future we intend to take our learning from the changes we made during the pandemic and use them as a platform to develop our future. In particular we will seek to serve our mission as a Christian charity “to enable those who live with vulnerability or isolation to enjoy their independence, lead fulfilling lives and fully contribute to society” by engaging with the NHS and Social Care commissioners to look at effective ways of joint working as both a charity and also as a social business. We want to develop models of good practice on how a Christian charity can work with statutory providers, to support individuals within communities to age well and with dignity.

Our principles for development are: (in priority order)

  1. Develop what we do.

  2. Develop complementary activity.

  3. Invest in activities with new features.

  4. Invest in activities in new areas.

Like all organisations the pandemic has affected the strategic development of the Foundation and its group structure, however 2020/21 saw the Foundation take significant steps with the following strategic aims which we will be further developing in future years. This infographic shows the four key strategic areas of work the Foundation will continue to address in the coming years.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Dignity and Independence

Developing what we can provide at home to vulnerable adults is a priority and we will be appointing a Head of Care and Business Development during 2021/22, to lead on this.

Building Prama

Digitisation is an important priority. Prama currently uses a cloud-based IT system, enabling staff to work flexibly and has added to it by implementing the Microsoft Teams system across the group structure to enable file sharing, collaborative working, conferencing and immediate video dial up between colleagues in remote locations.

A key aim for 2021/22 is to purchase and implement a contemporary care management software system and equip PramaCare staff with technology to a live IT system which will enable us to:

The Foundation and PramaLife are also exploring how we can use technology more to support older people and carers, including online support sessions, and help for older people to develop their IT skills and to access the internet.

Age Friendly Communities

We are confident that our services and support is already contributing to areas of Bournemouth, Christchurch and Poole and Dorset being a good place for older people and carers to live, work and age in. However, this is not enough, and we will continue to lobby for BCP to formally register as a recognised Age Friendly Community. Over the coming years we are aiming to do more to support people to make plans for their older age. For example, the emphasis used to be on retirement whereas now, for many people, it is a balance between some retirement and some work.

Likewise, the Foundation is investing significant time in raising awareness of the needs of people ageing without children. It is estimated that there 1.5 million in the UK aged 65+ without children. This has implications for how they are supported in their later life, e.g. they are 25% more likely to have to enter residential care than their peers who have children. We are exploring a range of measures to address this, including the development of peer support networks amongst people ageing without children.

Building the Church

The Foundation is developing a "Christian Care Network", linking and equipping churches to work with older people, in their congregations, their communities and their local care homes. We will specifically be looking to develop our network of 120 Dementia Friendly Churches, including sharing the practice we are developing nationally.

During the coming period we want to continue to make PramaLife activities and services available to PramaCare clients and become an outstanding provider of care in the areas of safety, effectiveness, care, responsive and well led. We want to create “excellent leaders of outstanding staff”. We also want to develop new and innovative ways of addressing the issues affecting older people in our field of reach and this will include exploring online support, apps and health monitoring, the development of community nurse and falls lifting services along with consulting with older people themselves on what they consider will constitute the Prama of the future.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

With the global lessons of how the pandemic disproportionately affected older people now being only too obvious, during 2022 we will continue to play our part in pressing for the adoption of an instrument recognising the Human Rights of Older People, meeting with the FCO when we are able. We also want to learn from others in the field of gerontology and ageing, in different situations, so that we can continue to be fresh, innovative and relevant; the best that we can be in the fulfilment of our mission.

Auditors

Saffery Champness LLP are auditors to the charity and in accordance with Section 485 of the Companies Act 2006 the trustees will propose a motion re-appointing the auditors at their annual general meeting.

Disclosure of information to auditors

Each of the directors has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditors are aware of such information.

On behalf of the board of trustees

Mr N C Johnson, Chairman

29[th] September 2021

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

STATEMENT OF TRUSTEES RESPONSIBILITIES

The trustees, who are also directors of the Prama Foundation (Charitable Company Limited by Guarantee) for the purpose of company law, are responsible for preparing the Trustees' Report and the accounts in accordance with applicable law and United kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare accounts for each financial year which 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 charitable company for that year.

In preparing these accounts, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the accounts comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charity's website. Legislation in the United Kingdom governing the preparation and dissemination of accounts may differ from legislation in other jurisdictions.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT

TO THE TRUSTEES OF PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

Opinion

We have audited the financial statements of the Prama Foundation (the ‘parent charitable company’) and its subsidiaries (the ‘group’) for the year ended 31 March 2021 which comprise the Consolidated Statement of Financial Activities, Consolidated Statement of Financial Position, Charity Statement of Financial Position, Consolidated Statement of Cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including 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 Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group 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 trustees are responsible for the other information. The other information comprises the information included in the annual 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 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

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT

TO THE TRUSTEES OF PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

misstatement of this other information we are required to report that fact.

We have nothing to report in this regard.

Other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ Annual Report.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Trustees’ Responsibilities Statement set out on page 13, the trustees (who are also directors of the parent 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 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 charitable company or to cease operations, or have no realistic alternative to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditors under the Companies Act 2006 and report in accordance with regulations made under that Act.

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

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT

TO THE TRUSTEES OF PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

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 specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud are detailed below.

Identifying and assessing risks related to irregularities:

We assessed the susceptibility of the group and parent charitable company’s financial statements to material misstatement and how fraud might occur, including through discussions with the trustees, discussions within our audit team planning meeting, updating our record of internal controls and ensuring these controls operated as intended. We evaluated possible incentives and opportunities for fraudulent manipulation of the financial statements. We identified laws and regulations that are of significance in the context of the group and parent charitable company by discussions with management and updating our understanding of the sector in which the group and parent charitable company operate.

Laws and regulations of direct significance in the context of the group and parent charitable company include The Companies Act 2006 and guidance issued by the Charity Commission for England and Wales.

Further the group is subject to other laws and regulations where the consequences of non-compliance could have a material effect on amounts or disclosures in the financial statements, through significant fine, litigation or restrictions on the charity’s operations. We identified the most significant laws and regulations to be those issued by the Care Quality Commission.

Audit response to risks identified:

We considered the extent of compliance with these laws and regulations as part of our audit procedures on the related financial statement items including a review of financial statement disclosures. We reviewed the parent charitable company’s records of breaches of laws and regulations, minutes of meetings and correspondence with relevant authorities to identify potential material misstatements arising. We discussed the parent charitable company’s policies and procedures for compliance with laws and regulations with members of management responsible for compliance.

During the planning meeting with the audit team, the engagement partner drew attention to the key areas which might involve non-compliance with laws and regulations or fraud. We enquired of management whether they were aware of any instances of non-compliance with laws and regulations or knowledge of any actual, suspected or alleged fraud. We addressed the risk of fraud through management override of controls by testing the appropriateness of journal entries and identifying any significant transactions that were unusual or outside the normal course of business. We assessed whether judgements made in making accounting estimates gave rise to a possible indication of management bias. At the completion stage of the audit, the engagement partner’s review included ensuring that the team had approached their work with appropriate professional scepticism and thus the capacity to identify non-compliance with laws and regulations and fraud.

There are inherent limitations in the audit procedures described above 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. Also, the risk of not detecting a material 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 or intentional misrepresentations, or through collusion.

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

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT

TO THE TRUSTEES OF PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

Use of our report

This report is made solely to the parent charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the parent charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the parent charitable company and the parent charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Nicholas Fernyhough (Senior Statutory Auditor) for and on behalf of Saffery Champness LLP Chartered Accountants Midland House 2 Poole Road Bournemouth BH2 5QY

Statutory Auditors

Date: 18 October 2021

Saffery Champness LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES INCLUDING CONSOLIDATED INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2021

Unrestricted Unrestricted Restricted Endowment Total Total
Funds Funds Funds Funds 2021 2020
General Designated Continuing Discontinued
Operations Operations
Income and Endowments from: Notes £ £ £ £ £ £ £
Donations and legacies 3 582,579 - 15,817 - 598,396 492,023 40,715
Charitable activities 4 3,229,871 - - - 3,229,871 3,015,502 67,151
Other trading activities 5 414,238 - - - 414,238 538,346 86,632
Investments 6 3,016 - - - 3,016 5,991 -
Other income 7 2,515 - - - 2,515 1,994 920
-------------- -------------- -------------- -------------- -------------- -------------- --------------
Total income and endowments 4,232,219 - 15,817 - 4,248,036 4,053,856 195,418
-------------- -------------- -------------- -------------- -------------- -------------- --------------
Expenditure on:
Raising funds 8 401,327 - - - 401,327 479,066 90,923
Charitable activities 9 3,539,966 - 36,414 - 3,576,380 3,489,612 145,065
-------------- -------------- -------------- -------------- -------------- -------------- --------------
Total expenditure 3,941,293 - 36,414 - 3,977,707 3,968,678 235,988
-------------- -------------- -------------- -------------- -------------- -------------- --------------
Net income/(expenditure)
from activities 290,926 - (20,597) - 270,329 85,178 (40,570)
Net gain/(loss) on investments 14 23,253 - - (860) 22,393 (6,860) -
-------------- -------------- -------------- -------------- -------------- -------------- --------------
Net income before transfers 314,179 - (20,597) (860) 292,722 78,318 (40,570)
Transfers between funds (53,627) 56,009 (2,382) - - - -
-------------- -------------- -------------- -------------- -------------- -------------- --------------
Net movements in funds 260,552 56,009 (22,979) (860) 292,722 78,318 (40,570)
Fund balances at 1 April 2020 365,597 534,004 141,037 35,642 1,076,280 997,963 40,570
-------------- -------------- -------------- -------------- -------------- -------------- --------------
Fund balances at 31 March 2021 626,149 590,013 118,058 34,782 1,369,002 1,076,281 -
-------------- -------------- -------------- -------------- -------------- -------------- --------------

For Companies Act purposes, the charity surplus in the year was £40,457 (2019/20: deficit of £46,332).

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

AS AT 31 MARCH 2021

Notes Group Group Charity Charity
2021 2020 2021 2020
Fixed Assets £ £ £ £
Intangible assets 17 - - - -
Property, Plant and Equipment 18 598,777 634,170 - -
Investments 19 185,793 162,748 34,783 35,643
-------------- -------------- -------------- --------------
784,570 796,918 34,783 35,643
Current assets
Inventories 21 4,500 4,500 - -
Trade and other receivables 22 393,892 581,866 58,956 193,516
Cash at bank and in hand 902,964 127,723 113,347 5,949
-------------- -------------- -------------- --------------
1,301,356 714,089 172,303 199,465
Current Liabilities
Amounts falling due within one year: 24 (666,924) (434,726) (36,949) (105,422)
-------------- -------------- -------------- --------------
Net current assets 634,432 279,363 135,354 94,043
-------------- -------------- -------------- --------------
Total assets less current liabilities 1,419,002 1,076,281 170,137 129,686
Creditors: amounts falling due after 1 year 24 (50,000) - - -
-------------- -------------- -------------- --------------
Net Assets 1,369,002 1,076,281 170,137 129,686
-------------- -------------- -------------- --------------
Capital funds
Expendable Endowment funds 27 34,782 35,642 34,782 35,644
Income funds
Restricted funds 27 118,058 141,038 329 5,000
-------------- -------------- -------------- --------------
152,840 176,680 35,111 40,644
-------------- -------------- -------------- --------------
Unrestricted funds:
Designated funds 590,013 534,004 - -
Other charitable funds 626,149 365,597 135,026 89,042
-------------- -------------- -------------- --------------
1,216,162 899,601 135,026 89,042
-------------- -------------- -------------- --------------
Total funds 1,369,002 1,076,281 170,137 129,686
-------------- -------------- -------------- --------------

The accounts were approved by the trustees on 29th September 2021

Mr N C Johnson, Chairman Company Registration No. 10778305

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

STATEMENT OF CONSOLIDATED CASH FLOWS

FOR THE YEAR ENDED 31 MARCH 2021

Group Group
2021 2020
£ £
Cash flows from operating activities:
Cash generated from/(absorbed by) operations (Note 33) 731,453 (215,410)
-------------- --------------
Cash flows from investing activities
Dividends and interest received 3,016 5,991
Purchase of equipment (11,406) (10,210)
Proceeds from the sale of fixed assets 7,900 20,000
Proceeds from the sale of investments - 67,464
Purchase of investments (5,722) -
Proceeds from Bounce-back loan 50,000
-------------- --------------
Net cash provided by investing activities 43,788 83,245
-------------- --------------
Change in cash and cash equivalents in the reporting period 775,241 (132,165)
Cash and cash equivalents at 1st April 2020 127,723 259,888
-------------- --------------
Cash and cash equivalents 31st March 2021 902,964 127,723
-------------- --------------

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

Company information

The Prama Foundation (Charitable Company Limited by Guarantee) is a private company limited by guarantee incorporated in England and Wales. The registered office is Moran House, 1 Holes Bay Park, Sterte Avenue West, Poole, Dorset BH15 2AA.

1.1 Accounting convention

These accounts have been prepared in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' ('FRS 102'), 'Accounting and Reporting by Charities' the Statement of Recommended Practice for charities applying FRS 102, the Companies Act 2006 and UK Generally Accepted Accounting Practice as it applies from 1 January 2019. The charity is a public benefit entity as defined by FRS 102.

The accounts are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The accounts have been prepared on the historical cost convention, modified to include the revaluation of certain financial instruments at fair value. The principal accounting policies adopted are set out below.

1.2 Basis of consolidation

The consolidated accounts consolidate the accounts of the charity and its subsidiary undertakings for the year ended 31 March 2021.

The Prama Foundation is the sole member of PramaCare, PramaLife, PramaTrade Limited and Prama Travel Limited.

No statement of financial activities is presented for the charity as permitted by section 408 of the Companies Act 2006. The charity made a surplus for the financial year of £40,457 (2019/20: deficit of £46,332).

1.3 Going concern

At the time of approving the accounts, the trustees have reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. There are no material uncertainties about the charity's ability to continue and thus the trustees continue to adopt the going concern basis of accounting in preparing the accounts.

1.4 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes.

Designated funds comprise funds which have been set aside at the discretion of the trustees for specific purposes. The purposes and uses of the designated funds are set out in the notes to the accounts.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the accounts.

Endowment funds comprise funds which are retained for the benefit of the charity as a capital fund. Where the trustees have a power to convert endowed capital into income, these funds are expendable endowments.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Accounting policies

(Continued)

1.5 Incoming resources

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that the income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known the legacy is treated as a contingent asset.

Gifts in kind and donated facilities are recognised as income, if a value can be reliably measured, at the value to the charity when received. In accordance with the Charities SORP (FRS 102), no amounts are included in the financial statements for services donated by volunteers, including professional services provided directly by volunteers.

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

1.6 Resources expended

Expenditure is recognised on an accruals basis. Expenditure has been allocated according to the Statement of Recommended Practice 'Accounting and Reporting by Charities'.

Resources expended attributable to each of raising of funds and charitable activities are allocated to cost categories for each. Where expenses are attributable to more than one of these, the cost category is split on the basis of estimates by the charity's management. Wages are apportioned based on employees' roles and time spent.

1.7 Intangible assets

Intangible assets are initially measured at cost and subsequently measured at cost, net of amortisation and any impairment losses.

Amortisation is recognised so as to write off the cost or valuation of the asset over its useful life on the following basis

Goodwill

Over 10 years, straight line

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Accounting policies

(Continued)

1.8 Property, plant and equipment

Property, plant and equipment are initially measured at cost, and subsequently measured at cost, net of depreciation and any impairment losses.

Items are capitalised when their individual value is greater than £500.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Freehold land is not depreciated Freehold buildings Over 15 years straight line Leasehold property Over 50 years straight line, or if the term of lease or option to break is less, over the remaining term or period to the break date Shop fixtures and fittings 20% straight line basis Furniture and equipment 15% reducing balance basis Motor vehicles 25% reducing balance basis Computer equipment 33% straight line basis

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year.

1.9 Non-current investments

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year.

All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value. Unrealised gains and losses are calculated as the difference between the fair value at the year end and the carrying value. Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities. Transaction costs are expensed as incurred.

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

1.10 Impairment of non-current assets

At each reporting end date the charity reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

1.11 Inventories

Inventories are stated at the lower of cost, on a first in first out basis, and estimated selling price less costs to complete and sell.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Accounting policies

(Continued)

1.12 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.13 Financial instruments

The Charity has elected to apply the provisions of Section 11 'Basic Financial Instruments, and Section 12 Other Financial Instruments Issues' of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include trade and other receivables and cash and bank balances, are measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and changes in fair value are recognised in net income/(expenditure)

Impairment of financial assets

Financial assets, other than those held at fair value through income and expenditure, are assessed for indicators of impairment at each reporting end date. Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected.

The impairment loss is recognised in net income/(expenditure) for the year.

Basic financial liabilities

Basic financial liabilities, including trade and other payables and bank loans are recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Concessionary loans are initially recognised at the amount received. Subsequently the loans are adjusted for any applicable repayments or interest.

1.14 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received.

Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate employment of an employee or to provide termination benefits.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Accounting policies

(Continued)

1.15 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.16 Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

Assets held under finance leases are recognised as assets at the lower of the asset's fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the statement of financial position as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to net income/(expenditure) for the year so as to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals payable under operating leases, including any lease incentives received, are charged to income on a straight line basis over the term of the relevant lease.

2 Critical accounting estimates and judgements

In the application of the charity's accounting policies the trustees are required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. On 23 June 2021, the trustees of the Prama Foundation considered the extant approach to capitalising assets. It was decided that the existing policy of a limit of £250 below which items are not capitalised should be revised to "Items are capitalised when their individual value is greater than £500". This change has been applied to assets purchased during the 2020/21 year.

3 Donations and legacies

2021 2020 2020 2020 2020
Unrestricted Restricted Total Unrestricted Unrestricted Restricted Restricted
Funds Funds Funds Funds Funds Funds
£ £ £ £ £ £ £
Continuing Discontinued Continuing Discontinued
Operations Operations Operations Operations
£ £ £
Donations and gifts 227,382 15,817 243,199 146,119 40,715 170,904 -
Legacies receivable 74,628 - 74,628 175,000 - - -
Government grants 280,569 - 280,569 - - - -
-------------- -------------- -------------- -------------- -------------- -------------- --------------
582,579 15,817 598,396 321,119 40,715 170,904 -
-------------- -------------- -------------- -------------- **-------------- ** -------------- --------------

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

4 Charitable activities 2021 2020 2020
Continuing Discontinued
Operations Operations
£ £ £
Provision of domiciliary care services
Private clients 2,909,913 2,942,568 -
Local Authority 319,958 62,312 -
Bus service - 2,611 -
Operation of community centre
Rents and room hire - - 31,585
Coach tours - - 21,789
Theatre shows - - 11,348
Functions and events - - 2,429
Other community activities - 8,011 -
-------------- -------------- --------------
3,229,871 3,015,502 67,151
-------------- -------------- --------------
5 Other trading activities
2021 2020 2020
Continuing Discontinued
Operations Operations
£ £ £
Charity shops and community activities 100,906 530,493 -
Grants from Government in respect of Charity Shops 313,332 7,853
Community centre theatre bar - - 7,324
Community centre café - - 74,126
Travel agency and holidays - - 5,182
-------------- -------------- --------------
414,238 538,346 86,632
-------------- -------------- --------------
6 Investments
Unrestricted Restricted 2021 2020
funds funds
£ £ £ £
Income from listed investments 1,635 - 1,635 3,272
Income from charity investments 1,381 - 1,381 2,719
-------------- -------------- -------------- --------------
3,016 - 3,016 5,991
-------------- -------------- -------------- --------------
7 Other income 2021 2020 2020
Continuing Discontinued
Operations Operations
£ £ £
Miscellaneous income 2,515 1,994 920
-------------- -------------- --------------

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

8 Expenditure on raising funds 2021 2020 2020
Continuing Discontinued
Operations Operations
Fundraising and publicity £ £ £
Staff costs 44,083 30,088 -
Other fundraising costs 8,396 12,628 -
-------------- -------------- --------------
52,479 42,716 -
-------------- -------------- --------------
Fundraising trading: costs of goods sold and other costs
Operating charity shops 348,848 436,350 -
Community centre theatre bar - - 5,530
Community centre café - - 70,682
Package holiday costs and operations - - 14,711
-------------- -------------- --------------
348,848 436,350 90,923
-------------- -------------- --------------
Total 401,327 479,066 90,923
-------------- -------------- --------------

All of the expenditure detailed above in both 2020/21 and the comparative year, 2019/20, was unrestricted.

9 Expenditure on charitable activities

Expenditure on charitable activities
2021 2020 2020
Continuing Discontinued
Operations Operations
Provision of care services £ £ £
Staff costs 2,192,023 2,024,163 -
Staff travel and expenses 205,364 202,171 -
Office and other expenses 70,432 52,769 -
Care fees subsidy scheme 14,514 60,403 -
Facilitation of community groups and activities
Staff costs - community facilitation 142,620 103,807 -
Community activity expenses 7,620 34,123 -
Other activity and project costs 5,967 4,995 8,300
Bus Service Expenses 506 19,093 -
Coach tours and holidays
Staff costs - - 9,104
Coach hire and travel expenses - - 10,869
Accommodation and attractions - - 7,830
Theatre shows
Performers fees - - 7,699
Licences - - 1,610
Advertising and publicity - - 2,928
Community Centre building
Staff costs - - 25,297
Utilities - - 15,492
Maintenance and repairs - - 2,898
-------------- -------------- --------------
2,639,046 2,501,524 92,027
Support costs (note 10) 911,878 963,105 52,624
Governance costs (note 11) 25,456 24,983 414
-------------- -------------- --------------
3,576,380 3,489,612 145,065
-------------- -------------- --------------

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

9 (Continued) 2021 2020 2020
Continuing Discontinued
Operations Operations
Analysis by fund £ £ £
Unrestricted funds - general 3,539,966 3,406,562 136,765
Unrestricted funds - designated - 9,307 -
Restricted funds 36,414 73,743 8,300
-------------- -------------- --------------
3,576,380 3,489,612 145,065
-------------- -------------- --------------
10 Support costs 2021 2020 2020
Continuing Discontinued
Operations Operations
£ £ £
Staff costs - management and administration 521,636 605,574 22,240
Travel costs - management and administration 2,175 12,679 -
Rent 11,742 6,447 -
Heat light and water 7,190 7,635 1,721
Repairs and maintenance 48,874 16,697 -
Insurance 17,265 16,936 562
Miscellaneous expenses 45,236 8,663 231
Computer expenses 73,803 69,490 491
Printing postage and stationery 38,196 47,938 2,091
Advertising 5,938 8,669 -
Archive storage 3,173 5,501 -
Telephone 12,133 13,070 1,488
Professional fees 18,148 18,075 -
Staff - other costs 21,823 23,096 340
Staff costs - training 33,088 48,367 -
Expenses - training 13,532 12,359 -
Loss on sale of fixed assets 641 - 19,756
Depreciation 37,285 41,909 3,008
Amortisation of goodwill - - 696
-------------- -------------- --------------
911,878 963,105 52,624
-------------- -------------- --------------
11 Governance costs 2021 2020 2020
Continuing Discontinued
Operations Operations
£ £ £
Audit fees 15,546 14,728 -
Bank charges and interest 5,185 6,351 414
Legal and professional 4,725 3,904 -
-------------- -------------- --------------
25,456 24,983 414
-------------- -------------- --------------

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

12 Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits. No trustees received any expenses during the year (2019/20: £0).

13 Employees

Number of employees

The average weekly number of employees during the year was:

2021 2020 2021 2020
Headcount Headcount Full time Full time
equivalent equivalent
Direct charitable activities 180 177 69 69
Trading activities 19 31 9 16
Fundraising 1 1 1 1
Management and administration 43 55 33 38
-------------- -------------- -------------- --------------
243 264 112 124
-------------- -------------- -------------- --------------
Employment costs
2021 2020 2020
Continuing Discontinued
Operations Operations
£ £ £
Wages and salaries 2,909,704 2,826,078 105,913
Social security costs 151,146 150,311 5,140
Other pension costs 52,730 50,603 1,053
-------------- -------------- --------------
3,113,580 3,026,991 112,105
-------------- -------------- --------------
The number of employees whose annual remuneration was
£60,000 or more were: 2021 2020
number number
£70,000 - £80,000 1 1
-------------- --------------

Contributions totalling £3,751 (2019/20: £1,519) were made to defined contribution pension schemes on behalf of employees whose emoluments exceeded £60,000.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

14 Net gains/(losses) on investments

Unrestricted Endowment 2021 2020
funds funds
£ £ £ £
Revaluation of investments 23,253 (860) 22,393 (6,860)
-------------- -------------- -------------- --------------
23,253 (860) 22,393 (6,860)
-------------- -------------- -------------- --------------
15 Net income from activities 2021 2020 2020
Continuing Discontinued
Operations Operations
Net income from activities is stated after charging: £ £ £
Depreciation 37,285 41,909 3,008
Amortisation - - 696
Loss on disposal of fixed assets 641 - 19,756
Auditors remuneration - audit fees current year 15,206 13,944 -
- audit fees prior years 628 784 -
- other services 1,836 2,036 -
-------------- -------------- --------------

16 Taxation

The following group companies are exempt from taxation due to their charitable status: The Prama Foundation

The Prama Foundation
PramaCare
PramaLife
17 Intangible assets 2021 2020 2020
Continuing Discontinued
Operations Operations
£ £ £
Goodwill at cost at 1 April - - 16,700
Disposals - - (16,700)
-------------- -------------- --------------
Goodwill at cost at 31 March - - -
-------------- -------------- --------------
Amortisation at 1 April - - 3,340
Charged - - 696
Disposals - - (4,036)
-------------- -------------- --------------
Amortisation at 31 March - - -
-------------- -------------- --------------
Net book value as at 31 March - - -
-------------- -------------- --------------

Goodwill represents the value of net liabilities taken over on adoption of the business at the Barrington Centre, Ferndown, Dorset. The goodwill was transferred to Ferndown Town Council on the 31 August 2019, the date on which the Centre was transferred to Ferndown Town Council.

The charity has no intangible assets.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

18 Property, Plant and Equipment

Freehold Computer Leasehold Leasehold Shop Furniture Motor Total
property equipment property property fixtures & and vehicles
and & software long term short term fittings equipment
alterations
£ £ £ £ £ £ £ £
Cost
At 1 April 2020 764,272 97,040 62,043 22,494 24,983 49,762 32,322 1,052,916
Additions 1,674 3,549 - 4,528 - 1,655 - 11,406
Disposals - (52,880) - - - (7,226) (23,707) (83,813)
-------------- -------------- -------------- -------------- -------------- ---------------------------- --------------
At 31 March 765,946 47,709 62,043 27,022 24,983 44,191 8,615 980,509
2021 -------------- -------------- -------------- -------------- -------------- ---------------------------- --------------
Depreciation
At 1 April 2020 219,532 85,647 21,631 16,127 24,352 33,553 17,903 418,745
Charged 19,957 7,419 1,241 2,997 505 3,291 1,875 37,285
Disposals - (52,880) - - - (7,226) (14,192) (74,298)
-------------- -------------- -------------- -------------- -------------- ---------------------------- --------------
At 31 March 239,489 40,186 22,872 19,124 24,857 29,618 5,586 381,732
2021 -------------- -------------- -------------- -------------- -------------- ---------------------------- --------------
Net book value
31 March 2021 526,457 7,523 39,171 7,898 126 14,573 3,029 598,777
-------------- -------------- -------------- -------------- -------------- ---------------------------- --------------
31 March 2020 544,740 11,393 40,412 6,367 631 16,209 14,419 634,171
-------------- -------------- -------------- -------------- -------------- ---------------------------- --------------

The carrying value of land included in freehold property at 31 March 2021 was £258,941.

The charity has fixed assets of £nil.

The trustees have assessed the value in use of the property to the charity as being the carrying value.

Commitments:

There were no capital commitments at 31 March 2021.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

19 Investments
Group Group Charity Charity
2021 2020 2021 2020
£ £ £ £
Unit Trusts and Bonds 109,958 93,169 - -
Listed Securities 32,610 20,424 - -
Commercial Property Fund 34,781 35,641 34,781 35,641
Cash 8,444 13,514 - -
Shares in group undertakings
PramaTrade Limited - - 1 1
Prama Travel Limited - - 1 1
-------------- -------------- -------------- --------------
185,793 162,748 34,783 35,643
-------------- -------------- -------------- --------------

Fixed asset investments revalued

All investments are carried at fair value. Investments in equities and fixed interest securities are all traded in quoted public markets, primarily the London Stock Exchange. Holdings in unit trusts are at bid price.

The investments are held to provide a medium risk return for the charity whilst maintaining capital value. The portfolio is managed by specialists and covers a spread of sectors in order to minimise the impact of fluctuations in markets globally.

The Expendable Endowment Fund is invested in a professionally managed commercial property fund. Disposal is subject to the rules of the fund but there is a strong demand for units and short term liquidity is considered to be low risk.

Group Group Charity Charity
2021 2020 2021 2020
Movements in non-current investments £ £ £ £
Market value at 1 April 162,748 228,382 35,643 97,165
Disposals at opening book value - (67,464) - (60,000)
Acquisitions at cost 5,628 - - -
Income accumulations 94 - - -
Change in value in the year 22,393 (6,860) (860) (1,522)
Net movement in cash (5,070) 8,690 - -
-------------- -------------- -------------- --------------
Market value at 31 March 185,793 162,748 34,783 35,643
-------------- -------------- -------------- --------------
Carrying amount
At 31 March 185,793 162,748 34,783 35,643
-------------- -------------- -------------- --------------
Historical cost
At 31 March 141,486 139,290 37,794 36,247
-------------- -------------- -------------- --------------

The significance of financial instruments to the ongoing sustainability of the charity is considered in the Trustees' Report.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

20 Financial instruments Group Group Charity Charity
2021 2020 2021 2020
£ £ £ £
Carrying amount of financial assets at fair value
through profit and loss 185,793 162,748 34,781 35,641
-------------- -------------- -------------- --------------
21 Inventories Group Group Charity Charity
2021 2020 2021 2020
£ £ £ £
Finished goods and goods for resale 4,500 4,500 - -
-------------- -------------- -------------- --------------
22 Trade and other receivables
Group Group Charity Charity
2021 2020 2021 2020
£ £ £ £
Amounts falling due within one year
Trade receivables 88,701 133,725 - -
Other receivables 94,551 244,443 470 364
Prepayments and accrued income 210,640 203,698 2,708 653
Amounts owed by group undertakings - - 35,778 122,499
Loans to group undertakings - - 20,000 70,000
-------------- -------------- -------------- --------------
393,892 581,866 58,956 193,516
-------------- -------------- -------------- --------------
23 Borrowings Group Group Charity Charity
2021 2020 2021 2020
£ £ £ £
Concessionary loan payable within one year 250,000 250,000 - -
Bounceback Loan 50,000 - - -
-------------- -------------- -------------- --------------
300,000 250,000 - -
-------------- -------------- -------------- --------------

The loan of £250,000 from the Valentine Charitable Trust has no set repayment date. There is no interest payable during the term of the loan and there are no instalments due. Repayment will be the greater of £250,000 or 41.67% of the value of the property at the time of repayment. This loan is secured against the freehold property.

The loan of £50,000 relates to a government backed "bounce back" loan in the name of PramaLife. The loan was obtained to mitigate the risk of uneven cashflows as a result of the pandemic. The intention is to repay this loan before interest accrues.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

24 Liabilities Group Group Charity Charity
2021 2020 2021 2020
£ £ £ £
Amounts falling due within one year:
Borrowings (Note 23) 250,000 250,000 - -
Trade payables 170,743 35,333 2,321 2,245
Taxes and Social Security costs 37,051 39,929 - -
Other payables 43,055 19,108 100 -
Accruals and deferred income 166,075 90,356 5,626 3,020
Amounts owed to group undertakings - - 28,902 100,157
-------------- -------------- -------------- --------------
666,924 434,726 36,949 105,422
Amounts falling due after more than one year:
Borrowings (Note 23) 50,000 - - -
-------------- -------------- -------------- --------------
716,924 434,726 36,949 105,422
-------------- -------------- -------------- --------------
25 Pension
The company operates a defined contribution scheme.
Group Group Charity Charity
2021 2020 2021 2020
£ £ £ £
Contributions paid in year
Care services 43,522 44,385 - -
Community centre and activities 8,555 6,819 3,503 2,452
Trading activities - 452 - -
-------------- -------------- -------------- --------------
52,077 51,656 3,503 2,452
-------------- -------------- -------------- --------------

The contributions are all allocated to unrestricted funds.

26 Related parties

Control

Throughout the period, The Prama Foundation was controlled ultimately by its members who meet annually at the Annual General Meeting. The Board of Directors and Trustees elected by the members governs the affairs of the charitable company between Annual General Meetings.

Transactions

During the year, income of £11,250 (2019/20: £4,310) was received in respect of community workers from Hope in the Community, a charity where a trustee, Rev P Southcombe is also a trustee.

In addition, PramaLife granted Hope in the Community £3,000 to develop community projects in the Bournemouth area for older people.

The total remuneration and benefits of the Senior Management Team amounted to £198,637 (2019/20: £266,593).

Other transactions with the trustees are set out in note 12.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

27 Analysis of funds - 2019/20 Prior Year Comparative

Balance at Income in Expenditure Gains on Transfers Balance at
1.4.2019 year in year investments 31.3.2020
£ £ £ £ £ £
Capital Funds
Expendable endowment funds
Greenhill Fellowship Trust 97,163 - - (1,521) (60,000) 35,642
-------------- -------------- -------------- -------------- -------------- --------------
Income Funds
Designated funds:
Intangible asset fund 13,360 - - - (13,360) -
Fixed asset fund 356,349 - - - (21,197) 335,152
Mortgage repayment fund 173,319 - - - 25,533 198,852
Minibus fund 9,307 - (9,307) - - -
-------------- -------------- -------------- -------------- -------------- --------------
552,335 - (9,307) - (9,024) 534,004
-------------- -------------- -------------- -------------- -------------- --------------
General funds:
Unrestricted funds 336,858 4,078,370 (4,113,316) (5,339) 69,024 365,597
-------------- -------------- -------------- -------------- -------------- --------------
Restricted funds:
Furnishings fund 8,300 - (8,300) - - -
Home Safely project 3,526 - (1,430) - - 2,096
Sporting memories project 1,172 100 - - - 1,272
Memory clubs 5,219 626 (5,042) - - 803
Magic table fund 1,688 - (126) - - 1,562
Digital display board 4,001 - (4,001) - - -
Ferndown conversation 1,033 - - - - 1,033
Carers support groups - 307 - - - 307
Befriending scheme 1,103 30 (18) - - 1,115
Healthwatch 700 - - - - 700
Sorted in Dorset 872 - (140) - - 732
Dementia friendly comm. 2,795 - (2,795) - - -
Minibus fund 7,309 12 (164) - - 7,157
PramaLife Development - 915 (160) - - 755
Reaching Communities - 100,000 (36,454) - - 63,546
Valentine Trust - 10,000 (10,000) - - -
Cancer Awareness - 8,129 (5,703) - - 2,426
Old Rope Walk Refurb. - 50,785 (7,710) - - 43,075
End of life training 8,485 - - - - 8,485
Broadcasting project 5,000 - - - - 5,000
Other minor funds 974 - - - - 974
-------------- -------------- -------------- -------------- -------------- --------------
52,177 170,904 (82,043) - - 141,038
-------------- -------------- -------------- -------------- -------------- --------------
Total funds **1,038,533 ** 4,249,274 (4,204,666) (6,860) - 1,076,281
-------------- -------------- -------------- -------------- -------------- --------------

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

27 Analysis of funds - 2020/21 Current Year Analysis of funds - 2020/21 Current Year
Balance at Income in Expenditure Gains on Transfers Balance at
1.4.2020 year in year investments 31.3.2021
£ £ £ £ £ £
Capital Funds
Expendable endowment funds
Greenhill Fellowship Trust 35,642 - - (860) - 34,782
-------------- -------------- -------------- -------------- -------------- --------------
Income Funds
Designated funds:
Fixed asset fund 335,152 - - - (19,524) 315,628
Mortgage repayment fund 198,852 - - - 25,533 224,385
Digitisation of Care fund - - - - 50,000 50,000
-------------- -------------- -------------- -------------- -------------- --------------
534,004 - - - 56,009 590,013
-------------- -------------- -------------- -------------- -------------- --------------
General funds:
Unrestricted funds 365,597 4,232,219 (3,941,293) 23,253 (53,627) 626,149
-------------- -------------- -------------- -------------- -------------- --------------
Restricted funds:
Home Safely project 2,096 - (1,446) - - 650
Sporting memories project 1,272 817 (62) - - 2,027
Memory clubs 803 - (803) - - -
Magic table fund 1,562 - (127) - - 1,435
Digital display board - - - - - -
Ferndown conversation 1,033 - - - (1,033) -
Carers support groups 441 - - - (441) -
Befriending scheme 1,115 - - - - 1,115
Healthwatch 700 - - - (700) -
Sorted in Dorset 732 - - - - 732
Co-Operative Community Grant 7,157 - - - - 7,157
PramaLife Development 755 - - - - 755
Reaching Communities 63,546 - (19,347) - (208) 43,991
Valentine Trust - 15,000 (7,402) - - 7,598
Cancer Awareness 2,426 - (2,426) - - -
Old Rope Walk Refurb. 43,075 - - - - 43,075
End of life training 8,485 - - - - 8,485
Broadcasting project 5,000 - (4,671) - - 329
Registered Managers Network 840 - (130) - - 710
-------------- -------------- -------------- -------------- -------------- --------------
141,038 15,817 (36,414) - (2,382) 118,059
-------------- -------------- -------------- -------------- -------------- --------------
Total funds **1,076,281 ** 4,248,036 (3,977,707) 22,393 0 1,369,003
-------------- -------------- -------------- -------------- -------------- --------------

Expendable Endowment Funds

The Greenhill Fellowship Trust Fund represents a gift of investments, the income from which is to be used to support charitable activities that enhance the quality of life for the charity's clients and other vulnerable adults in the Dorset area, and family members who are caring for them. The capital may be used at the discretion of the trustees.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Designated funds

The income funds of the group include the following designated funds which have been set aside out of unrestricted funds by the trustees to ensure that the charity has adequate funding for future requirements:

Fixed Asset Fund

An amount equal to the net book value of freehold and long term leasehold assets less the long term funding of PramaCare's freehold property. The transfer from general funds during the year accounts for the net additions to fixed assets less the depreciation charged.

Mortgage repayment fund

An amount set aside to provide the funds necessary to repay the long term funding of PramaCare's freehold property. An amount is being transferred from general funds each year to build up a fund of £250,000 by 31st March 2022.

Digitisation of Care Fund

An amount set aside to provide the funds necessary to cover the set up costs of the Digitisation of Care project.

Restricted funds

The income funds of the group include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes.

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

27 (Continued)

28 Analysis of net assets between funds

Unrestricted Designated Restricted Endowment Total
The Prama Foundation Group funds funds funds funds
2019/20 - Prior Year Comparative £ £ £ £ £
Fund balances at 31 March 2020 are
represented by:
Tangible fixed assets 49,018 585,152 - - 634,170
Intangible fixed assets - - - - -
Investments - 127,106 - 35,642 162,748
Current assets 501,305 71,746 141,038 - 714,089
Creditors (amounts falling due (184,726) (250,000) - - (434,726)
within one year)
-------------- -------------- -------------- -------------- --------------
365,597 534,004 141,038 35,642 1,076,281
The Prama Foundation Group -------------- -------------- -------------- -------------- --------------
2020/21 - Current Year
Fund balances at 31 March 2021 are
represented by:
Tangible fixed assets 33,149 565,628 - - 598,777
Intangible fixed assets - - - - -
Investments - 151,010 - 34,783 185,793
Current assets 1,059,924 123,374 118,058 - 1,301,356
Creditors (amounts falling due (416,924) (250,000) - - (666,924)
within one year)
-------------- -------------- -------------- -------------- --------------
676,149 590,012 118,058 34,783 1,419,002
-------------- -------------- -------------- -------------- --------------

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

28 Analysis of the Charity net assets between funds (Cont'd)

Unrestricted Designated Restricted Endowment Total
The Prama Foundation Charity funds funds funds funds
2019/20 - Prior Year Comparative £ £ £ £ £
Fund balances at 31 March 2020 are
represented by:
Investments - - - 35,642 35,643
Current assets 194,465 - 5,000 - 199,465
Creditors (amounts falling due (105,422) - - - (105,422)
within one year)
-------------- -------------- -------------- -------------- --------------
89,043 - 5,000 35,642 129,686
-------------- -------------- -------------- -------------- --------------
The Prama Foundation Charity
2020/21 - Current Year
Fund balances at 31 March 2021 are
represented by:
Investments - - - 34,783 34,783
Current assets 171,974 - 329 - 172,303
Creditors (amounts falling due (36,949) - - - (36,949)
within one year)
-------------- -------------- -------------- -------------- --------------
135,025 - 329 34,783 170,137
-------------- -------------- -------------- -------------- --------------

29 Contingent liabilities

PramaCare has an obligation to repay the loan from the Valentine Charitable Trust (see note 23) at the higher of £250,000 or 41.67% of the value of the property, Moran House, 1 Holes Bay Park, Sterte Avenue West, Poole. In view of additional expenditure on the property by the Charity, the trustees of the Valentine Charitable Trust have agreed to review the percentage payable in light of advice from professional valuers before repayment.

30 Commitments under operating leases

At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Land and Other Total
Buildings Equipment 2021 2020
£ £
Within one year 100,954 19,945 120,899 142,656
Between two and five years 89,317 10,335 99,652 178,178
5 years + 5,900 - 5,900 6,000
-------------- -------------- -------------- --------------
196,171 30,280 226,451 326,834
-------------- -------------- -------------- --------------
Lease payments recognised as an expense in the accounts 142,444 155,210
-------------- --------------

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

31 Auditors' Ethical Standards

The relevant circumstances requiring disclosure in accordance with the requirements of APB Ethical Standard - Provisions Available for Small Entities are that, in common with many charities of our size and nature we use our auditor to assist with the preparation of the accounts.

32 Subsidiaries

Details of the charity's subsidiaries at 31st March 2021 are as follows:

Name of Company No. Nature of Company No. Nature of Degree of
undertaking Business control
PramaCare Limited 02359751 Provider of Sole 100% Direct
Charity No. 801967 domiciliary member
care
PramaLife Limited 10638675 Community Sole 100% Direct
Charity No. 1172716 centre and member
activities
PramaTrade Limited 10764189 Dormant Ordinary 100% Direct
shares
Prama Services Limited 11190177 Dormant Ordinary 100% Direct
shares
Abba Care Limited 10244357 Dormant Ordinary 100% via PramaCare
shares

The registered office for all subsidiaries is:

Moran House, 1 Holes Bay Park, Sterte Avenue West, Poole, Dorset, BH15 2AA

33 Cash generated from/ (absorbed by) operations

Cash generated from/ (absorbed by) operations
Group Group
2021 2020
£ £
Net surplus for the year (as per the statement of financial activities) 292,722 37,748
Adjustments for:
Depreciation charges 37,285 44,917
Amortisation charges - 696
(Gains)/Losses on investments (22,393) 6,860
Dividends and interest (3,016) (5,991)
Loss on disposal of property, plant and equipment 1,613 19,756
Movements in working capital:
Decrease/(increase) in stocks - 746
Decrease/(Increase) in debtors 187,974 (201,442)
Decrease/(Increase) in cash with investment managers 5,070 (8,690)
Increase/(Decrease) in creditors’ 232,198 (110,010)
-------------- --------------
Cash generated/(absorbed) by operations 731,453 (215,410)
-------------- --------------

PRAMA FOUNDATION (CHARITABLE COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

34 Analysis of changes in net debt
2019/20 - Prior Year Comparative
At 1 April Other non- At 31 March
2019 Cash flows cash changes 2020
£ £ £ £
Cash 259,888 (132,165) - 127,723
Cash equivalents - - - -
Overdraft - - - -
Loans due within 1 year (250,000) - - (250,000)
Loans due after 1 year - - - -
-------------- -------------- -------------- --------------
9,888 (132,165) - (122,277)
-------------- -------------- -------------- --------------
2020/21 - Current Year
At 1 April Other non- At 31 March
2020 Cash flows cash changes 2021
£ £ £ £
Cash 127,723 775,241 - 902,964
Cash equivalents - - - -
Overdraft - - - -
Loans due within 1 year (250,000) - - (250,000)
Loans due after 1 year - (50,000) - (50,000)
-------------- -------------- -------------- --------------
(122,277) 725,241 - 602,964
-------------- -------------- -------------- --------------