OpenCharities

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

2024-07-31-accounts

NNECLI National Network For the Education of Care Leavers NNECL ANNUAL REPORT & ACCOUNTS 2023-24 1 August 2023 - 31 Jul 2024 Prepared by AJC Accountancy www.nnecl.com

Charity Registration No. 1180793

NATIONAL NETWORK FOR THE EDUCATION OF CARE LEAVERS CIO

Accounts

FOR THE YEAR ENDED 31 JULY 2024

2

NATIONAL NETWORK FOR THE EDUCATION OF CARE LEAVERS

Report and accounts

Contents

Page
Information 4
Trustees' Report 5 -11
Independent Examiner's Report 12
Statement of Financial Activities 13
Balance sheet 14
Notes to the Financial Statements 15 - 21

3

NATIONAL NETWORK FOR THE EDUCATION OF CARE LEAVERS

Legal and Administrative Information

Trustees

Mx AAJ Pile – Co-Chair Dr R Carr Mr Jonathan Wakeford - Co-Chair Ms S Sabapathy Dr N Harrison Ms N Turner Ms E Watson – Treasurer Mr M Hill Mr A Benvie

NNECL Director

Ms P Ambrose until July 2023 Ms D Rawls from October 2023

Accountant and Independent Examiner

Alison Cook FCA AJC Accountancy Unit 40, Thrales End Business Centre Thrales End Lane Harpenden Herts AL5 3NS

Registered office

The Clarence Centre for Enterprise and Innovation 6 St Georges Circus Elephant and Castle London SE1 6FE

Charity Number

1180793

4

NATIONAL NETWORK FOR THE EDUCATION OF CARE LEAVERS

Trustees' Report

The trustees present their report and financial statements for the year ended 31st July 2024.

We are grateful to Sian Edwards for expertly transitioning the organisation after the departure of Patricia Ambrose who stood down at the end of July 2023. We welcomed our new Executive Director, Denise Rawls, in October 2023 to lead NNECL to new heights and successfully deliver the next steps of NNECL’s growth.

The trustees present their report and audited financial statements for the twelve months ended 31 July 2024. The financial statement has been prepared in accordance with the accounting policies set out in our Charity’s Memorandum and Articles of Association, applicable law and the requirements of the Statement of Recommended Practice Accounting and Reporting by Charities, Charities SORP (FRS102).

The National Network for the Education of Care Leavers was registered with the Charities Commission on 22 November 2018.

Structure, governance and management

The Board of Trustees met on four occasions in 2023/24 and continued to operate effectively and in line with its Terms of Reference. In addition, the Co-Chairs meet weekly with the Executive Director as part of their remit to focus on finance, audit and risk, human resources and staff wellbeing and programmes and activity. These meetings are an opportunity to also focus on key areas of organisational risk, strategy and assurance. Trustees are recruited by the Board of Trustees. The selection is based on integrity and specific expertise required by the charity.

The Co-Chairs and the Executive Director are responsible for the trustee induction process. New trustees are provided with induction materials and induction sessions take place with the ED. Trustees receive continuous engagement with relevant staff on governance matters and are offered training opportunities to enhance their skills and effectiveness. Trustees serve for a maximum of three terms, with each term consisting of three years.

Our Board of Trustees continues to embrace the Charity Governance Code and review the charities policy and practice against it aligned to the Charity Commission guidelines.

Organisational structure and staffing

The trustees are responsible for setting the strategic direction and policies of the organisation. Our Executive Director reports to the Board of Trustees and is responsible for the day-to-day management of NNECL and the implementation of strategy and policies. The NNECL team report directly to the Executive Director.

Key management remuneration policy

5

The trustees consider our Board of Trustees and our ED as comprising the key management personnel of the charity, in charge of directing, controlling, running and operating the charity on a day-to-day basis. The trustees receive no remuneration.

Objectives and activities

Vision

Our vision is a nation where learners with care experience are empowered and supported to achieve their full educational potential.

Mission

Our mission is to create educational environments where people with care experience thrive.

Charitable objectives

The object of the charity is to transform the progression of young people with care backgrounds into and through further and higher education, including higher apprenticeships, so they can reach their full potential.

Since 2018, NNECL has supported, connected, inspired, and empowered a national community of 800 professionals and organisations who share our ambition: for more care experienced young people to consider, access, and thrive through further and higher education, into fulfilling careers which will sustain them for life.

Public Benefit

The trustees confirm that they have complied with the requirements of the Charities Act 2011 to have due regard to the Charity Commission’s general guidance on public benefit. The organisations activities, which include a quality assurance programme, consultancy, training, research and sector leadership all provide public benefits. Public benefit is also demonstrated throughout this report.

Our work

It is widely recognised that young people with experience of being in care achieve lower educational outcomes than their peers without care experience. We believe all young people should have the opportunity to start adulthood with a good education, leading them to a good career which will sustain them for life. With data telling us 14% of care leavers enter post16 education by the age of 19, three times less than their peers, our work supports, connects, inspires and empowers our community, with whom we share our overarching ambition, for more young people with care experience to consider, access and flourish through further and higher education into fulfilling careers and financially secure lives.

Our strategic objectives focus our work;

6

Our values shape our organisation and everything we do.

This year’s impact

7

✓

2023/24 was a year of many great achievements

In January 2023 we launched our Student Voice Network to give students with care backgrounds the opportunity to comment on and feed into our work. The online space has continued to grow with young people welcoming the dedicated space to discuss emerging themes and share their own experiences in a safe space.

✓

We introduced a new logo, brand colours and completed a website refresh to increase to support our work increasing the visibility of our organisation. We are grateful to the volunteers who worked with us to design the new logo, bringing a fresh new feel to the organisation. To be ready for growth we undertook a review of our IT security and online capacity and reached the decision that we would invest in our digital landscape and readiness for the future. We are confident the team are now in the best place to work well remotely with the necessary digital security to safeguard the organisation from external online risks.

✓

Stand Alone, the charity focused on supporting estranged young people, sadly closed in March 2024. This left a gap in where learners could access information about the support available to them when studying post 16. NNECL trustees unanimously agreed to weave the estranged experience into the Quality Mark framework and to incorporate supporting estranged students into the work of the charity as the experience intersects closely with those from a formal care background.

✓

In March 2024 we moved our registered address to The Clarence Centre for Innovation and Enterprise at London South Bank University. We took the decision to become a remote first organisation with the team coming together monthly at the university’s workspace to build cross-team relationships as well as relationships within the community in Southwark.

✓

To keep up with rising costs and maintain our income levels we agreed to increase both the costs of membership and of doing the NNECL Quality Mark, the increased costs came into effect in April 2024.

✓

✓

NNECL Quality Mark

NNECL Quality Marks are awarded for three years, the first cohort coming to an end in June

8

  1. We ensured our capacity was sufficient to support and encourage reaccreditation for those members as well as increase the number of institutions being awarded the accreditation. Across the year 6, new Quality Mark awards were made.

Alongside new awards and renewals and following a successful pilot, we worked with the Greater Manchester Combined Authority to develop an initiative which will see all the post16 education spaces in the region the Quality Mark by 2027. The first cohort will begin their accreditation in October 2024.

NNECL Annual Conference – Learning Together

De Monfort University generously hosted our Annual Conference in March 2024. We were joined in Leicester by 137 delegates enthusiastic to deepen their learning on supporting learners with care experience, estranged or sanctuary seeking backgrounds. The event was opened by Ryan Henson, Social Mobility Commissioner and featured presentations from Ellie Rowley (UCAS), the Verbatim Formula, Zara Clench (University of Sunderland) and Dr Zoe Baker (University of York). Our intention is that our next annual conference will take place in London on 10 November 2025.

Road to policy change

NNECL held discussions with the Department for Education to address their proposal of an accreditation scheme for universities to drive up standards for young people with care backgrounds. An unintended consequence of this publicly announced consideration was that NNECL membership and Quality Mark enquires slowed. Institutions told us not knowing if the DfE scheme would be mandatory or how and it would complement NNECL’s work was creating a barrier to them joining NNECL. DfE agreed the slowing of NNECL membership was an unintended consequence and that much of the feedback they had received during their discussions with stakeholders was that NNECL were considered to be the experts in this space and should be involved in any proposal they brought forward. A General Election was called before the Ministerial team could inform the sector, they would not be bringing forward an alternative quality assurance programme.

9

Webinars 1 August 2023 – 31 July 2024

Over the year around 300 people attended our termly webinars curated for members and the wider sector.

Volunteers

NNECL values the contribution made by volunteers who actively participate in our work through the National Strategy Group and our network of regional representatives and groups. This year we are particularly grateful to the volunteers who supported us with graphic design and increasing our social media visibility.

Financial Review

We are grateful to the Esmee Fairbairn Foundation for their continued support through a three-year grant, to 2025/26 to support with core costs as we continue to develop our long-term strategic objectives and financial stability. We will announce our 2024 – 2027 strategic objectives early in our next operational year.

Reserves Policy

It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to four months’ expenditure (approximately £27,150 in 2023/24). The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. The reserves policy will be reviewed as part of the strategic review undertaken by the incoming Executive Director.

Current free reserves

Free reserves on 31 July 2024 were £25,101.

10

Risks

NNECL maintains a risk register which is regularly updated and reviewed at Board meetings. The Trustees have assessed the major risks to which the charity is exposed and are satisfied that systems are in place to mitigate exposure.

NNECL Treasurer - Emma Watson

NNECL Co-Chair – Jon Wakeford

11

NATIONAL NETWORK FOR THE EDUCATION OF CARE LEAVERS INDEPENDENT EXAMINER'S REPORT

TO THE TRUSTEES OF THE NATIONAL NETWORK FOR THE EDUCATION OF CARE LEAVERS

I report to the trustees on my examination of the financial statements of National Network for the Education of care Leavers (the charity) for the year ended 31 July 2024.

Responsibilities and basis of report

I report in respect of my examination of the charity's financial statements carried out under section 145 of the 2011 Act. In carrying out my examination, I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

Your attention is drawn to the fact that the charity has prepared statements in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but which has now been withdrawn.

I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for accounting periods beginning on or after 1 January 2015.

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

  1. accounting records were not kept in respect of the charity as required by section 130 of the 2011 act; or

  2. the financial statements do not accord with those records; or

  3. the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.

Alison Cook FCA Chartered Accountant

Unit 40 Thales End Business Centre Thrales End Lane Harpenden Herts AL5 3NS

17 April 2025

12

NATIONAL NETWORK FOR THE EDUCATION OF CARE LEAVERS Statement of financial activities

including income and expenditure account for the year ended 31 July 2024

Income and endowments from:
Donations and legacies
3
Charitable activities
4
Other income
5
Total income
Expenditure on:
Raising funds
6
Charitable activities
7
Total resources
Net income / (expenditure)
for the year/
Net movement in funds
Opening fund balances
Closing fund balances		 Unrestricted
Funds
Restricted
funds
Total
2024
2024
2024
81,264
-
81,264
3,000
3,000
20,607
-
20,607
104,871
-
104,871
100
0
100
81,344
-
81,344
81,444
-
81,444
23,427
-
23,427
1,674
22,125
23,799
25,101
22,125
47,226		 Unrestricted
funds
Restricted
funds
Total
2023
2023
2023
36,708
350
37,058
3,489
3,489
10,172
10,172
50,369
350
50,719
490
490
86,380
2,435
88,815
86,870
2,435
89,305
-36,501
-2,805
-38,586
38,175
24,210
62,385
1,674
22,125
23,799

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derives from continuing activities.

13

NATIONAL NETWORK FOR THE EDUCATION OF CARE LEAVERS

Balance Sheet

as at 31 July 2024

Fixed assets
Notes
Tangible assets
11
Current assets
Debtors
12
Cash at bank and in hand
Creditors: amounts falling due
within one year
13
Net current assets
Net assets
Income Funds
Restricted Funds
Unrestricted Funds		 410
64,983		 2024
£
126
47,100
47,226
22,125
25,101
47,226		 410
42,549		 2023
£
-

23,799

65,393
(18,294)
42,959
(19,160)
23,799

22,125
1,674
23,799

Trustee Approved by the Trustees on 17 April 2025

14

NATIONAL NETWORK FOR THE EDUCATION OF CARE LEAVERS Notes to the Accounts for the year ended 31 July 2024

1 Accounting policies

Charity Information

National Network for the Education of Care Leavers is a Charitable Incorporated Organisation.

Accounting convention

The financial statements have been prepared in accordance with the charity's governing document, the Charities Act 2011 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS102.

The charity has taken advantage of the provision in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.

The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice, which is referred to in the Regulations, but which has since been withdrawn.

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

The financial statements have been prepared under the historical cost convention. The principal policies adopted are set out below.

Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus, the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

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 financial statements.

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.

Income

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.

15

NATIONAL NETWORK FOR THE EDUCATION OF CARE LEAVERS Notes to the Accounts for the year ended 31 July 2024 (cont.)

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.

Expenditure

A liability is recognised when either a constructive or legal obligation is identified. Central costs are apportioned between costs of generating funds and charitable activities on the basis of the specific activities of members of staff. Irrecoverable VAT is allocated to the same expenditure heading as the cost to which it relates. Basic financial liabilities are recognised at transaction cost.

Tangible fixed assets

Tangible fixed assets are measured at cost less accumulative depreciation and any accumulative impairment losses. Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows:

Plant and equipment

over 3 years

Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible 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).

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.

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.

16

NATIONAL NETWORK FOR THE EDUCATION OF CARE LEAVERS Notes to the Accounts for the year ended 31 July 2024 (cont.)

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially 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 measure 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.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments 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.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employees’ services are received.

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

Retirement benefits

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

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 amount 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. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods here the revision affects both current and future periods.

17

3
4
5		 Donations and legacies
Donations and gifts
Grants receivable
Donations
Membership fees
Less: deferred income
Donations and gifts
Grants receivable
Membership fees
Less: deferred income
Grants receivable for core activities
Esmee Fairbairn Foundation
Esmee Fairbairn training (restricted)
Charitable activities - income
Quality Mark Fees
Other Income
Conference & Webinar Income
Other income





Unrestricted
funds
2024
£
41,000
5,000
52,045
-16,781
81,264
Unrestricted
funds
2023
£
-
54,414
-17,706
36,708
Unrestricted
funds
2024
£
20,399
208
20,607		 Restricted
funds
2024
£
-
-
Restricted
funds
2023
£
350
350
2024
£
41,000
-
-
41,000
2024
£
3,000
3,000
Restricted
funds
2024
£
-
0
-		 Total
2024
£
41,000
5,000
52,045
-16,781
81,264
Total
2023
£
350
54,414
-17,706
37,058
2023
£
-
-
350
350
2023
£
3,489
3,489
2023
£
9,716
456
10,172

18

6
7
8		 Raising funds
Fundraising and publicity
Other fundraising costs
Charitable activities - expenditure
Staff costs
Depreciation
Consultancy costs
Conference costs
Website and internet costs
Printing, postage and stationery
Telephone
Other staff costs
Quality Mark expenditure
Quality Mark expenditure (restricted)
Sundry expenses
Share of support costs (see note 8)
Share of governance costs (see note 8)
Analysis by fund
Unrestricted funds
Restricted funds
Support costs
Support
Insurance
Subscriptions
Governance
Independent Examiner fees
Trustee travel
Bank charges		 Unrestricted
funds
2024
£
100
100
2024
£
67,588
63
300
1,702
3,734
-
213
2,938
1,600
-
200
78,338
1,806
1,200
81,344
81,344
-
81,344
2024
£
907
899
1,806
1,140
-
60
1,200		 2023
£
490
490
2023
£
70,460
-
5,727
1,501
117
213
1,185
3,800
2,435
200
85,638
1,474
1,704
88,816
86,381
2,435
88,816
2023
£
768
706
1,474
1,170
474
60
1,704

19

9 Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.

10
Employees
Average monthly number of employees during the year was:
Employment costs
Wages and salaries
Pension costs		 2024
Number
2
2024
£
63,945
3,644
67,589		 2023
Number
2
2023
£
65,730
4,729
70,459

11 Tangible fixed assets

Cost
At 1 August 2023
Purchases
At 31 July 2024
Depreciation
At 1 August 2023
Charge for the year
At 31 July 2024
Net book value
At 31 July 2024
At 31 July 2023
12
Debtors
Other debtors
13
Creditors: amounts falling due within one year
Deferred income
Accruals		 2024
£
410
410
2024
£
16,781
1,513
18,294		 Plant and
machinery
etc
£
0
189
189
-
63
63
126
-
2023
£
410
410
2023
£
17,706
-
17,706

20

14
Deferred income
Other deferred income
15
Analysis of net assets between funds
Fund balances at 31 July 2024
are represented by:
Tangible Assets
Current assets / (liabilities)
Fund balances at 31 July 2023
are represented by:
Tangible Assets
Current assets / (liabilities)		 Unrestricted
funds
2024
£
126
24,975
25,101
Unrestricted
funds
2023
£
-
1,674
1,674		 2024
£
16,871
Restricted
funds
2024
£
-
22,125
22,125
Restricted
funds
2023
£
22,125
22,125		 2023
£
17,706
Total
2024
£
-
126
47,100
47,226
Total
2023
£
-
23,799
23,799

16 Related party transactions

No trustees received reimbursement of travel and subsistence expenses (2023: Nil)

21