# **ANNUAL REPORT Leading change from the inside 2023/4**
**Unlocked Graduates**
unlockedgrads.org.uk 020 3949 4750 hello@unlockedgrads.org.uk Charity No: 1187552 | Company No: 11448853
## **Contents**
## **Reports**
|**Reports**||
|---|---|
|Reference and administrative details|1|
|Trustees’ report|4|
|Report of the independent auditor|16|
|**Financial statements**||
|Statement of financial activities|20|
|Balance sheet|21|
|Statement of cash flows|22|
|Principal accounting policies|23|
|Notes to the financial statements|26|
Unlocked Graduates
## **Reference and administrative details**
|**Directors and Members**|Dame Sally A Coates|
|---|---|
||Angela O Daniel|
||James B H Darley|
||Robert D Farquharson|
||Rt Hon. David Laws|
||Nicola C Marfleet|
||Thomas P J Shinner|
||Nathan A White|
||Emma J Wilson|
|**Company number**|11448853|
|**Charity registration number**|1187552|
|**Registered Office**|7 Bell Yard|
||London|
||WC2A 2JR|
|**Auditor**|Buzzacott LLP|
||130 Wood Street|
||London|
||EC2V 6DL|
|**Solicitors**|Stone King LLP|
||Boundary House|
||91 Charterhouse St|
||Barbican|
||London|
||EC1M 6HR|
|**Bankers**|Barclays Bank Plc|
||1 Churchill Place|
||London|
||E14 5HP|
Unlocked Graduates **1**
**Trustees’ report** Year to 31 March 2024
## **MESSAGE FROM THE CHAIR**
The last year has seen Unlocked Graduates go from strength to strength. We have just finished recruiting our eighth cohort – the largest and most competitive in our history. Those who were selected have now begun their journey to become prison leaders on the landings of some of the country's toughest prisons. Alongside their Unlocked peers, they make up a group of almost 900 who continue to prove the model works: graduates who would otherwise never have considered a frontline public sector role in a prison have shown they will do so when offered genuine leadership opportunities.
It would be remiss not to acknowledge that much of the success of the programme has been achieved against the backdrop of what is inarguably a difficult time for prisons. With the wider system running very close to capacity and rates of violence and self-harm ever increasing, the role of the prison officer has never been more important. I am immensely proud of the role our participants play in the lives of the prisoners in their care. Despite the challenges, they show up day in, day out determined to have a positive and powerful impact on the outcomes of some of our society’s most complicated and vulnerable members.
As ever, the leadership of the Board has been crucial throughout this period. The diversity of background and experience of trustees has allowed it to effectively support and challenge the executive team, particularly with regards to the recent contract negotiations and the ultimate decision not to sign the new contract. We remain hopeful for a solution which will enable Unlocked to deliver a 2025 cohort.
This note would not be complete without a sincere thank you to all our partners. Your support is central to allowing Unlocked Graduates to grow in strength and deliver more impact each year.
Most important, of course, is His Majesty’s Prison and Probation Service and the Ministry of Justice, whose support for our model and work has made everything we have done possible. Their belief, that an external charity given the chance to work from the inside can drive bold change, is admirable and more parts of government could benefit from this approach.
I want to thank our donors - Adrian Swire Charitable Trust, Hadley Trust, Drapers Charitable Fund, Garfield Weston Foundation, Jeremy Lloyd, John Swire 1989 Charitable Trust, Portrack Charitable Trust, The Dulverton Trust, The Goldsmiths Company Charity, and Treebeard Trust. Their support not only enables the most innovative elements of our work but ensures our independence to take bold action.
Rt. Hon David Laws
Unlocked Graduates **2**
**Trustees’ report** Year to 31 March 2024
## **MESSAGE FROM THE CEO**
I feel a great sense of pride in what we have achieved at Unlocked over the past year.
We have continued to transform the status of the prison officer role, rising to 22nd on the Times Top 100 list of most prestigious graduate employers. 2024 was our most competitive and successful recruitment season ever, with more than 40 applications for every place on the programme. Our retention rates have further improved and remain higher than the standard entry route, and we continue to deliver a recruitment and training model that attracts, motivates, and supports the very best talent to pursue a career in the prison service and make a positive impact.
None of this would be possible without the staff, partners and supporters who have helped make it happen. Working alongside their dedicated colleagues, Unlocked participants and Ambassadors continue to inspire in all that they do, working tirelessly to deliver system change and give the people in their care the support they need.
But the scale and urgency of reform needed to improve prisons and better prepare prisoners for life post-release cannot be understated. There is still much to do to ensure our prisons are places that are focused on helping those in their care receive the help and support they need to desist from crime. The relationship between prison officers and prisoners is central to this.
In the year ahead, we will maintain our relentless focus on reaching more prisoners with brilliant people. We look forward to rolling out our middle leadership programme to improve the support prison officers get from their line managers. This is one of the most effective ways to recharge the engine room of prisons, addressing the middle leadership capability gap that participants and Ambassadors identify as the single biggest opportunity to scale culture change and impact on the prison landings, whilst also improving retention and performance of frontline staff. Alongside this, we will focus our efforts on exchanging evidence and identifying solutions that work, ensuring this is accessible for frontline staff given their uniquely powerful position to deliver change.
Our model only works from the ‘inside’ and our colleagues across His Majesty’s Prison and Probation Service and the Ministry of Justice have been incredible at making sure we can deliver our mission. From the Ministers and CEO, who have led the support for our approach, through to governors and frontline officers and staff who make the practicalities work: thank you.
We could not do it without all of you so thank you. I hope you will enjoy reading about a few of the achievements that you made possible this year.
## Natasha Porter
Natasha Porter (Nov 1, 2024 15:47 GMT)
Natasha Porter
01/11/24
Unlocked Graduates **3**
**Trustees’ report** Year to 31 March 2024
## **TRUSTEES’ REPORT**
The trustees (who are also directors of the charitable company for the purposes of the Companies Act) present their annual report together with financial statements of Unlocked Graduates (“the charity”) for the year ended 31 March 2024.
The financial statements have been prepared in accordance with the accounting policies set out on pages 23 to 25 of the attached financial statements and comply with the charity’s governing document, applicable laws 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 (FRS 102).
## **Structure, governance and management**
## **Constitution and background**
Unlocked Graduates is a company limited by guarantee and a registered charity established on 4[th] July 2018 and governed by its Memorandum and Articles of Association.
The directors of the charity are the trustees for the purpose of charity law and throughout this report are collectively referred to as “the trustees”. The number of trustees consists of nine persons, who collectively make up the Board of Trustees (“the Board”). The Articles of Association require a minimum of three trustees.
The charity’s objects are to promote the rehabilitation and education of prisoners and ex-prisoners, and to reduce reoffending through the provision of:
**1.** A specialised programme of education and training for graduate prison officers; **2.** Education and training of those engaged in the prison and probation services and the criminal justice system in the rehabilitation and education of prisoners and ex-prisoners.
## **Method of appointment and election of trustees**
The trustees are elected in accordance with the provisions of the Articles of Association. Normally, trustees are elected for a three-year term, with the possibility of reappointment for two consecutive terms, or three terms for founder trustees.
Upon appointment, trustees complete a variety of incorporation documents, and their details are submitted to Companies House and the Charity Commission. Trustees must declare any conflicts of interest throughout their term of office. Training needs are monitored on an ongoing basis. Trustees attend an annual away day which provides a more in-depth opportunity for strategic discussion and offers a training opportunity for new and existing members. New trustees also meet with existing Board members and the Senior Leadership Team (SLT) and are introduced to Unlocked Graduates’ mission and strategy.
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**Trustees’ report** Year to 31 March 2024
## **Organisation structure and decision making**
The day to day running of the charity is delegated by the trustees to the Chief Executive Officer (CEO) and key management personnel which consists of the COO and three directors.
The trustees meet quarterly at Board meetings (and more if required on an ad-hoc basis) to review the progress relative to plans, monitor compliance with policies, and to review and approve plans for the year ahead. The Finance, Audit and Risk committee (FARC) was established in December 2020 and meets quarterly to discuss and review the charity’s financial position and principal risks, and reports to the Board.
Salary banding and remuneration policy is reviewed and approved by the Board annually. The Board also approves the CEO’s salary. The CEO approves all salaries within the organisation. This is based on a benchmarking exercise against similar charities to ensure competitiveness and fairness, and ultimately, is focussed on maximising effective use of resource towards the Unlocked Graduates mission.
## **Risk management**
Unlocked Graduates is committed to managing risk effectively to safeguard the future of the charity and achieve its charitable aims. Risk management is a key focus of the Board. In particular, the FARC monitors risk, and the actions taken by the SLT in response to risk, at each of its quarterly meetings.
The SLT leads on identifying and managing risks and implementing appropriate contingency planning. This is reviewed and monitored by FARC and the Board.
## **Volunteers and supporters**
We are grateful to the trustees who are all volunteers and provide their time and expertise without payment. We have also benefited from some voluntary pro-bono contributions from supporters. Besides this, the operations and activities of Unlocked Graduates are run by paid staff and not reliant on volunteers.
Trustees are entitled to the reimbursement of any reasonable expenses incurred in carrying out the business of the charity, but are encouraged to keep their expense claims to a minimum. Trustees’ expenses reimbursed during 2023/24 are detailed in Note 7.
## **Key management personnel**
The key management personnel of the charity in charge of controlling, running and operating the charity on a day-to-day basis comprise the trustees and personnel comprising the CEO, COO and three Directors.
## **Public benefit**
The trustees confirm that they have given due regard to the Charity Commission’s guidance on public benefit when reviewing the charity’s aims and planning its objectives. The main activities undertaken to further the charity’s aims are set out in
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**Trustees’ report** Year to 31 March 2024
this report. The charity meets its obligations to provide a public benefit by working with anyone in need regardless of age, gender reassignment, marital status, pregnancy, disability, race, colour, nationality, ethnic or national origin, religion or belief, sex or sexual orientation.
## **Activities and approach**
## **Main activities**
The Unlocked Graduates mission is to break cycles of reoffending through developing outstanding leaders in prison and wider society. The main activities the charity seeks to fulfil its charitable objects and this mission, are:
**1.** Recruitment of a brilliant, diverse group of graduates who are motivated to break cycles of reoffending.
**2.** Provision of a two-year leadership programme for selected graduates, working on the frontline of prisons to directly break cycles of reoffending.
**3.** Development of an Ambassadors’ network to drive meaningful system change and break cycles of reoffending.
## **Our approach**
We have always believed that prisons and cycles of reoffending can be changed through prison officers. The prison officer is the only professional who can build a relationship with every single prisoner – including the most vulnerable and challenging. They set the culture on the landings and have the power to create a safe and secure environment that is focused on rehabilitation.
Our vision is a prison system where every prisoner receives the support that they need to flourish and desist from crime. Our 2023-2026 strategy reflects on everything we have learnt over the past five years, and the steps we now need to take to build the prison system we need. With this in mind we have committed to four areas of work:
1. Recruit, develop and retain more high-quality graduates as Prison Officers.
2. Support Ambassadors to progress into operational prison leadership roles. 3. Mainstream our solutions so all Prison Officers benefit from our research & work.
4. Prove what works in prisons to catalyse whole system change.
All Unlocked Graduates activities feed into this strategy, and achieving these aims is key to furthering our charitable objectives.
## **Achievements and performance**
During this reporting period, Unlocked Graduates has made further significant progress against its goals with work continuing to ensure that we can meet our ambitious strategy for 2023 to 2026. This is summarised below.
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**Trustees’ report** Year to 31 March 2024
**Recruit, develop and retain more high-quality graduates as prison officers** We continue to focus relentlessly on recruiting, developing and retaining the best and most diverse pool of graduates to work as prison officers. Our focus on graduates is, in part, because they are under-represented in the prison service, and we believe that their addition will diversify the problem-solving skills available in the workforce – critical given the magnitude of the challenge. We also focus on this audience because one way to raise the status of the job of a prison officer is to actively target this ambitious group of jobseekers that society views as our ‘best and brightest’.
## **What we did**
## **Recruit**
We attract, recruit and select brilliant, diverse and mission-aligned candidates to become prison officers. Since launch, we have placed almost 900 prison officers in 38 prisons across England and Wales, helping transform the lives of tens of thousands of prisoners.
In 2023-2024 we received our most applications ever, with nearly 6,000 started applications and more than 40 applications per place. Our recruitment strategy is designed to attract high-calibre candidates, particularly those graduates who would not have considered a role in the prison service. This year we reached even more people who would not have entered the service, with 90% of Unlocked participants telling us they had not considered a job in the prison service before hearing about our mission.
We also succeeded in recruiting our most diverse cohort of participants ever, with one in five participants coming from an ethnic minority background (compared with one in ten of the broader prison officer population). 72% were women, compared with 41% of the prison workforce nationally).
We continue our work to improve the status of the prison officer role, rising to 22[nd] on the Times Top 100 list of graduate employers in 2023; the first time the prison service has been represented on that list.
## **Develop**
We believe that the right training and support can radically accelerate the time it takes for a frontline workforce to make a difference.
Weaving practical and theoretical learning throughout the programme, we support and develop outstanding individuals who excel in their roles, take on additional responsibilities, and influence best practice on and off the landings.
The initial training in Summer Institute is followed by intensive mentoring support which runs throughout the two years alongside the theoretical study enabled by the MSc in Applied Custodial Leadership. This is co-designed and delivered by Leeds
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**Trustees’ report** Year to 31 March 2024
Trinity University but fully integrated into every element of the programme. The Summer Institute was highlighted as a particular strength by participants, with 99% rating the quality of training as excellent or good.
Once in role these officers are supported and challenged by their Mentoring Prison Officers (MPOs) from day one to meaningfully contribute to making their prisons more rehabilitative. All of our support and learning aims to create a framework to empower these officers and push them to innovate.
The Unlocked Graduates curriculum is evidence-based and informed by a range of influencers, including Scandinavian models of prison officer training. Our training offer sits across multiple years in recognition of the time it takes to refine expert practice. We also require a high level of prior academic attainment so training can be pitched at a high level. This enables us to accommodate the difficulty of the theories involved in the course as well as build in deep critical analysis and significant independent research.
Practice-based learning underpins our pedagogy for the sections of our curriculum which focus on prison officer skills and professionalism. We have also been informed by the work of Professor Alison Liebling around balancing different components of the prison officer role. We have shared these approaches with other training organisations and the wider prison service, and elements have already been adopted by the mainstream prison officer training scheme as well as other organisations.
In line with our philosophy of ongoing learning, practitioner skills are developed throughout the programme. Participants receive 30 half-days of in-prison training which focuses on specialised aspects of the prison officer role. The focus on practitioner skills is central to the programme’s impact. Our participants continue to develop over the two years, meaning their skills are always up to date, relevant and in line with best practice. The programme includes a significant independent research element. This empowers these frontline professionals to make an immediate contribution to rehabilitation in their prisons.
The quality of our programme was recognised nationally in 2023, winning the Institute for Student Employers Graduate Development Programme of the Year.
## **Retain**
Retention has remained an area of focus for the organisation, recognising the pressing need for the prison service to retain the very best talent in the frontline operational roles.
We carried out a benchmarking exercise with our partner prisons, with representation from prisons from the north, Midlands, Greater London and the south. We were looking to compare the retention of Band 3 officers in the 2022/23 year to understand how well the retention of our Unlocked officers compared to those that entered the service via the standard route. The analysis showed that the
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**Trustees’ report** Year to 31 March 2024
retention of Unlocked participants is 14 per cent higher during our two-year programme compared to those entering via the standard route. This is despite increasing numbers of participants being actively approached for other roles during their time on the programme.
The support and challenge from our MPOs is key to this. Feedback from participants about their MPOs continues to be exceptionally high, with 94% rating the quality of the support positively. One participant noted: “I would not have got through my role (as a prison officer) without my MPO”.
We also had a paper published in the 17[th] Edition of the Journal of the International Corrections and Prisons Association, evidencing our solutions and learning to date on the factors contributing to prison officers leaving the service and proposed solutions.
## **Support Ambassadors to progress into operational prison leadership roles**
## **What we did**
Ambassadors are key to our mission of developing outstanding leaders to break cycles of reoffending in prison and throughout society. Our aim is to create a network of Ambassadors with exceptional leadership skills using their frontline experience to impact systemic changes in prisons, the wider criminal justice system, and beyond.
We focus our efforts on supporting Ambassadors to progress into operational roles and empowering them to work together on prison reform after the programme, given the pressing need for the service to retain the very best talent in frontline operational roles. 79% of Ambassadors from our most recent cohort to graduate were still operational in the prison service or the Ministry of Justice six months after they finished the programme. 85% were promoted or took on additional responsibility during their time on the programme, including roles as Band 4 supervising officers, counter-terrorism liaison officers and equalities officers.
72% of those who have completed the programme since 2017 continue to work towards the mission of breaking cycles of reoffending in their primary role, with 36% of everyone who has ever completed the programme still operational in prison. A small number have now reached governor grades, with many more taking on roles as Custodial Managers.
Ambassadors continue to have a remarkable impact on the landings and beyond. By way of example, in the past year, one Ambassador has launched a Think Tank to connect research and evidence about what works and help frontline staff solve the most pressing problems facing the service.
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**Trustees’ report** Year to 31 March 2024
We continue to use community organising principles to better formalise the Ambassador network and develop their influence as leaders together, led by our first Ambassador Network Manager, Karan Rai, himself a graduate of our Leadership Development Programme. This includes networking events and study visits, and evidence-gathering trips to other prisons (including trips overseas to visit reform-oriented institutions).
**Mainstream our solutions so all Prison Officers benefit from our research and work.**
## **What we did**
We have spent the past eight years researching what makes the most effective prison officers and applying this to our recruitment, training and leadership development. Our approach to training and support has influenced wider prison officer training and development, and organisations from across the world regularly reach out to us to learn from our work.
We are working hard to mainstream our solutions and to share what works between our cohorts and in the entire service, covering workforce issues such as recruitment, wellbeing, progression and retention. This varies from private meetings with those with agency, advocating for change with the Ministry of Justice (e.g. a retention roundtable event), speaking at national and international conferences, publishing peer-reviewed research in credible journals and leading the sector to catalyse whole system change.
Prison officers joining the service through Unlocked Graduates are less likely to leave the service in their first two-years. In the last year, overall retention of Unlocked participants was 14 per cent higher than prison officers joining via the standard route. We were proud to receive the 2023 Gary Hill Memorial Award for Staff Wellbeing and Development from the International Corrections and Prisons Association. We also launched an evidence-based ‘wellbeing workout’ for Unlocked participants at our March 2024 Conference. This event was opened-up to officers in the standard entry route, as well as leadership from across the prison service. We have also invested fundraised income to pilot a Middle Leadership Programme, with the aim of improving the support prison officers get from line managers. The pilot programme is due to launch in Autumn 2024.
Unlocked Graduates can only challenge and change the prison service with the support of those within it, and we remain grateful to our partners and colleagues across the service. 100 percent of governors recently surveyed said they thought Unlocked Graduates were contributing positively to the prison service and all would recommend Unlocked Graduates to other prisons. Consistent with this positive feedback, a Custodial Manager in one of our partner prisons noted how our solutions were benefiting the prison: “The three of them (Unlocked participants) have been a revelation. They listen to prisoners and use their education in a good way – they see things from a different viewpoint…by having the way my staff talk
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**Trustees’ report** Year to 31 March 2024
to everyone down there better – that is how it’s been so successful. And that is slowly rubbing off. It’s just a different way to be a prison officer.”
It is also noteworthy that Unlocked Graduates was featured as an example of leading practice in a thematic review of behaviour in prisons, led by HM Chief Inspector of Prisons (published April 2024). The report highlighted the rigour of our recruitment, initial training, ongoing development and support for prison officers, translating into improved prisoner experiences and outcomes. To quote:
‘They listen to prisoners… they see things from a different viewpoint… The Unlocked [Graduates] people are good at talking to people. They have good communication skills. And those skills have rubbed off on other members of staff. When Unlocked are redeployed onto other wings – they take more time with prisoners, and people usually on that wing realise prisoners aren't coming out shouting and swearing because someone spoke politely to them and given them the time of day – told them they will sort out their problem instead of just shutting their flap.’
Prison Custodial Manager
## **Prove what works in prisons to catalyse whole system change**
## **What we did**
To ensure that there was sufficient expertise and capacity within Unlocked Graduates, we restructured the senior team to create a new role, Associate Director of Impact and Insights. Dr Liam Fenn joined in this role in March 2023, bringing extensive experience in process and impact evaluation in the criminal justice sector.
Over the last year we have worked with leading academics and expert thinkers to celebrate excellence and share evidence-based approaches with the frontline. This includes the launch of our Evidence Exchange series to facilitate the frontline exchange of ideas. We published our research on prison officer retention in the 17[th] edition of Advancing Corrections (Journal of the International Corrections and Prisons Association) and were also invited to present at the prestigious Stockholm Criminology Symposium to share our learning on the prison workforce.
An evidence-base is vitally important to drive rehabilitation in the prison service. As part of their Master’s degree, participants continue to undertake a research project based on a problem, question or initiative that they co-identify with the prison governor as an area of interest. These are focused on making targeted, tangible recommendations, whether to policy-makers or practitioners of the prison, developing the evidence-base on topics including prisoner wellbeing, rehabilitative practices and culture change.
We have continued our work to find ways to robustly measure our impact with independent experts and behavioural scientists, resulting in a feasibility paper that
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**Trustees’ report** Year to 31 March 2024
we are now looking to operationalise. We also commissioned independent analysis to evaluate our contribution to society from an economic perspective – providing indicative evidence that for every £1 spent on Unlocked Graduates at least £59 is saved to society over a five-year period.
Our Innovation Accelerations Programme (IAP) continues to support and amplify the impact participants can have by offering funding for small-scale, evidence driven innovation projects in their prisons. To receive funding, participants must demonstrate how they work closely with other non-Unlocked Graduates prison officers in their prison to develop an idea that will achieve senior buy-in and has the potential to be sustainable long-term. Through this we have invested £17,527 in frontline prison innovation, including projects creating libraries on the prison wings, providing hair products for Afro Caribbean hair and developing a Retirement Hub to support elderly people in prison.
## **Financial review**
The charity’s total income during the period was £4,527,027 (2023 - £4,207,773). The main source of income was from our contract with the Ministry of Justice (MOJ) which generated income of £3,992,477 (2023 - £4,044,912). In addition, Unlocked Graduates raised income of £534,550 (2023 – 160,161) from trusts and other donations. Of these donations, £410,000 (2023 - £1,424) was restricted income and £124,550 (2023 - £158,737) was unrestricted income.
The large increase in restricted income was driven by funding for our middle leadership programme, which totalled £310,000 from the Garfield Weston Foundation.
Expenditure totalled £4,282,883 (2023 - £4,446,680) of which £1,392,306 (2023 - £1,301,656) was spent on recruitment activities and £2,751,801 (2023 - £3,029,730) on graduate programme delivery. Expenditure on raising funds came to £65,764 (2023 - £35,503).
Restricted funds were spent on building our evidence based through the support of the Hadley Trust (£47,657), our Innovation Acceleration Programme through the support of the John Armitage Charitable Trust (£17,527), and on launching our middle leadership programme (£7,828).
## **Risks and uncertainties**
As part of the charity’s commitment to effective risk management, the trustees review identified risks, as well as the plans and strategies for managing those risks. The principal risks and uncertainties facing the charity are:
- Loss of the MOJ contract, or failure to secure a new contract. Mitigations include continual evidencing of impact and value for money; continuing strong performance against the contract KPIs; and close involvement of the CEO and Board in contract extension negotiations.
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**Trustees’ report** Year to 31 March 2024
- Lack of stakeholder support from government, the civil service, or prison governors. Mitigations include relationship building with all relevant stakeholders, gaining cross-party support, and demonstrating the positive impact of the charity.
- Reputational risks relating to participants, such as negative media coverage or a high-profile departure of a participant. Mitigations include a rigorous recruitment process, strong training and mentoring for participants on the programme, internal evaluation and continual improvement, close monitoring and detailed reporting systems, involvement of MOJ press office and a formalised crisis communications strategy.
- Cyber security or data breach. Mitigations include Cyber Essentials Plus and ISO 27001 audit and compliance, use of data protection agreements with subcontractors, staff training and strict IT policies.
## **Reserves policy**
As of 31 March 2024, Unlocked Graduates had total reserves of £818,188 (2023: £574,044) of which £356,988 (2023: £20,000) were restricted, leaving unrestricted reserves of £461,200 (2023: £554,044). Unrestricted reserves consist of two designated funds – new ventures fund of £119,232, and ambassadors fund of £31,248 – leaving free unrestricted reserves of £310,720 (2023: £324,044). The new ventures fund is to be reallocated to a new designation in 2024/2025, and the ambassadors fund is to be spent over the next two years on mobilisation costs of our ambassador programme. As a newly independent charity, we are proud of the work over several years to fundraise unrestricted income to build our reserves.
In this financial period, we have taken a prudent position in relation to reserves as we establish the most effective use of non-contractual funding. Now that Unlocked Graduates has established itself as an independent charity, we have ambitious plans to use this income to further our charitable objectives. The growth of our noncontractual activity, enabled by fundraised income, is key to the next phase of our strategy. The surplus against the minimum level of reserves represents funds that will be used over the next three years as we grow to enable delivery of our ambassadors’ programme, innovation acceleration within prisons, and strategic expansion.
The trustees have examined the requirements for reserves in light of the main risks to the charity. The trustees have established a reserves policy to protect the charity and its long-term charitable activities by providing time to adjust to changing financial circumstances.
The level of reserves is set to cover a minimum of one busy month’s expenditure and three months’ expenditure outside of busy periods. Based on forecast expenditure for 2024-25, the trustees have approved a minimum level of free unrestricted reserves of £400,000. A minimum level of £400,000 reserves is deemed to be necessary predominantly based on working capital requirements and to mitigate against the financial impact of risks. Given the strategic focus to date has been on income generation to enable stability as a newly independent charity, the trustees have not currently set a maximum level of reserves.
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**Trustees’ report** Year to 31 March 2024
Working capital and cash flow requirements include costs such as monthly salaries, VAT bills and office rents. The charity currently operates under seven-day payment terms with the Ministry of Justice (MOJ), which lowers risks relating to cash flow. However, we must mitigate against delays in payments of invoices to the MOJ: as the charity’s main funding source, delays can have a significant impact. Exit costs (including office lease commitments, staff redundancy costs and university exit costs) are included in the MOJ contract which significantly reduces financial risk relating to termination of the contract.
## **Fundraising**
Unlocked Graduates is registered with the Fundraising Regulator and adheres to their fundraising codes of practice. When donations from individuals are received, the charity aims to protect personal data, never sells data or swaps data with other organisations, and undertakes to promptly and thoroughly investigate any complaints regarding its fundraising activities. We aim to learn from complaints and improve operations accordingly. During 2023/24, Unlocked Graduates received no complaints about fundraising activities.
## **Post balance sheet events, future plans and going concern**
The trustees have assessed the resources, activities and risks of the charity to assess whether the use of the going concern basis is appropriate. This assessment has been made for a period of at least one year from the date of approval of the financial statements. Our income from the graduate programme is contracted with the Ministry of Justice until at least 2026 (and in the event of termination of the contract, exit provisions cover most costs incurred). In addition, the charity has a healthy reserves position. The trustees have reviewed the expenditure plans and are assured these can be met from existing resources and expected future income. The trustees have therefore concluded the charity is a going concern and therefore, the accounts and financial statements have been prepared on this basis.
The Graduate Prison Programme contract with the MoJ went out for retender in the year and Unlocked Graduates was successful in securing the tender. Since the balance sheet date, we have been negotiating the terms of the new contract. Unfortunately, we have been unable to reach an agreement on the terms of the new contract and so have not signed. This means that, as things stand, we will not be recruiting any future cohorts. We are hopeful that in the coming weeks the government will work with us to find a solution. Our current contract runs through to October 2026.
Future plans for the charity continue to be focused on its aforementioned aims:
## **1. Recruit, develop and retain more high-quality graduates as Prison Officers.**
## **2. Support Ambassadors to progress into operational prison leadership roles.**
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## **3. Mainstream our solutions so all Prison Officers benefit from our research & work.**
## **4. Prove what works in prisons to catalyse whole system change.**
## **Statement of trustees’ responsibilities**
The trustees (who are also directors of Unlocked Graduates for the purposes of company law) are responsible for preparing the trustees’ report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and the income and expenditure of the charity for that year.
In preparing these financial statements, the trustees are required to:
- Select suitable accounting policies and then apply them consistently;
- Observe the methods and principles in the Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable to the United Kingdom and Republic of Ireland (FRS 102);
- Make judgements and estimates that are reasonable and prudent;
- State whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps to prevent and detect fraud and other irregularities.
The above report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.
This report was approved by the trustees and signed on their behalf by:
David Laws
Approved on:
Unlocked Graduates **15**
**Independent auditor’s report** Year to 31 March 2024
## **Independent auditor’s report to the members of Unlocked Graduates**
## **Opinion**
We have audited the financial statements of Unlocked Graduates (the ‘charitable company’) for the year ended 31 March 2024 which comprise the statement of financial activities, the balance sheet, the statement of cash flows, the principal accounting policies and the notes to the financial statements. 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:
- ♦ give a true and fair view of the state of the charitable company’s affairs as at 31 March 2024 and of its income and expenditure for the year then ended;
- ♦ have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- ♦ have been prepared in accordance with the requirements of the Companies Act 2006.
## **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 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 accounts 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 charitable company’s ability to continue as a going concern for a period of at least twelve months from when the accounts 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.
Unlocked Graduates **16**
**Independent auditor’s report** Year to 31 March 2024
## **Other information**
The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
## **Opinions on other matters prescribed by the Companies Act 2006**
In our opinion, based on the work undertaken in the course of the audit:
- ♦ the information given in the trustees’ report, which is also the directors’ report for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- ♦ the trustees’ report, which is also the directors’ report for the purposes of company law, has been prepared in accordance with applicable legal requirements.
## **Matters on which we are required to report by exception**
In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
- ♦ adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- ♦ the financial statements are not in agreement with the accounting records and returns; or
- ♦ certain disclosures of trustees’ remuneration specified by law are not made; or
- ♦ we have not received all the information and explanations we require for our audit; or
- ♦ the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemptions in preparing the trustees’ report and from the requirement to prepare a strategic report.
Unlocked Graduates **17**
**Independent auditor’s report** Year to 31 March 2024
## **Responsibilities of trustees**
As explained more fully in the trustees’ responsibilities statement, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees 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 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 but to do so.
## **Auditor’s responsibilities for the audit of the financial statements**
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
- ♦ We obtained an understanding of the legal and regulatory frameworks that are applicable to the charitable company and determined that the most significant are the Companies Act 2006, the Charities SORP FRS 102 and the Charities Act 2011.
- ♦ We understood how the charitable company is complying with those legal and regulatory frameworks by making enquiries to management and those responsible for legal, compliance and governance procedures. We corroborated our inquiries through our review of trustee meetings and papers provided to the trustees.
We assessed the susceptibility of the charitable company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
- ♦ making enquiries of management and those charged with governance as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
- ♦ considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.
Unlocked Graduates **18**
**Independent auditor’s report** Year to 31 March 2024
**Auditor’s responsibilities for the audit of the financial statements** (continued) To address the risk of fraud through management bias and override of controls, we:
- ♦ performed analytical procedures to identify any unusual or unexpected relationships;
- ♦ tested journal entries to identify unusual transactions; and
- ♦ assessed whether judgements and assumptions made in determining the accounting estimates set out in the accounting policies were indicative of potential bias.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
- ♦ agreeing financial statement disclosures to underlying supporting documentation;
- ♦ reviewing the minutes of trustees’ meetings;
- ♦ enquiring of management and those charged with governance as to actual and potential litigation and claims; and
- ♦ reviewing any available correspondence with HMRC.
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. International Standards on Auditing also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any.
A further description of our responsibilities for the audit of the accounts is located on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
## **Use of this report**
This report is made solely to the 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 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 charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.
Hugh Swainson (Senior Statutory Auditor) For and on behalf of Buzzacott LLP, Statutory Auditor 130 Wood Street London EC2V 6DL
15 October 2024
Unlocked Graduates **19**
## **Statement of financial activities** Year to 31 March 2024
(incorporating the income and expenditure account)
|Notes|
**Restricted**
**funds**
**£**|**Un-**
**restricted**
**general**
**Funds**
**£**|**Year to**
**31 March**
**2024**
**£**|**Year to**
**31 March**
**2023**
**£**|
|---|---|---|---|---|
|**Income from:**
Donations
1
Charitable activities
2
Other income
**Total income**
**Expenditure on:**
Raising funds
3
Charitable activities
4
**Total expenditure**
**Net income (expenditure) and**
**movement in funds for the**
**period**
6
**Reconciliation of funds:**
Funds brought forward
at 1 April 2023
**Funds carried forward**
**at 31 March 2024**|
**410,000**
**—**
**—**|**124,550**
**3,992,477**
**—**|**534,550**
**3,992,477**
**—**|160,161
4,044,912
2,700|
||**410,000**|**4,117,027**|**4,527,027**|4,207,773|
||
**—**
**73,012**|**65,764**
**4,144,107**|**65,764**
**4,217,119**|35,503
4,411,177|
||**73,012**|**4,209,871**|**4,282,883**|4,446,680|
||
**336,988**
**20,000**|**(92,844)**
**554,044**|**244,144**
**574,044**|(238,907)
812,951|
||**356,988**|**461,200**|**818,188**|574,044|
All activities derive from continuing operations.
All recognised gains and losses are included in the statement of financial activities.
Unlocked Graduates **20**
## **Balance sheet** 31 March 2024
|Notes|
**31 March**
**2024**
**£**|
**31 March**
**2024**
**£**|
31 March
2023
£|
31 March
2023
£|
|---|---|---|---|---|
|**Fixed assets**
Tangible fixed assets
8
**Current assets**
Debtors
9
Cash at bank and in hand
**Creditors**: amounts falling due
within one year
10
**Net current assets**
**Creditors**: amounts falling due
after one year
**Total net assets**
**The funds of the charity:**
Restricted fund
12
Unrestricted funds:
General funds
13
Designated funds
13|
**888,638**
**804,879**|**38,543**
**779,645**
**—**|875,994
728,132|64,033
511,261
(1,250)|
||**1,693,517**
**(913,872)**||1,604,126
(1,092,865)||
||
||||
|||**818,188**||574,044|
|||**356,988**
**310,720**
**150,480**||20,000
324,044
230,000|
|||**818,188**||574,044|
The financial statements were approved by the trustees and signed on their behalf by:
Approved on:
Unlocked Graduates: A company limited by guarantee, Company Registration No.11448853 (England and Wales).
Unlocked Graduates **21**
**Statement of cash flows –** Year ended 31 March 2024
|Notes|**Year ended**
**31 March**
**2024**
**£**|
Year ended
31 March
2023
£|
|---|---|---|
|**Net cash flows provided by operating activities**
A
**Net cash flows used in investing activities**
B
**Change in cash and cash equivalents**
**Cash and cash equivalents at 1 April 2023**
**Cash and cash equivalents at 31 March 2024**|**83,847**
**(7,100)**|75,844
(35,735)|
||**76,747**
728,132|40,109
688,023|
||**804,879**|728,132|
## **Notes to the statement of cash flows for the year ended 31 March 2024**
## **A Reconciliation of net movement in funds to net cash flows from operating activities**
|||**Year to**
**31 March**
**2024**
**£**
**244,144**
**32,590**
**(12,644)**
**(180,243)**
**83,847**
**Year to**
**31 March**
**2024**
**£**
**(7,100)**
**(7,100)**|Year to 31
March
2023
£
(238,907)
33,683
(163,049)
444,117
75,844
Year to 31
March
2023
£
(35,735)
(35,735)
Year to 31
March
2023
£
728,132
728,132|
|---|---|---|---|
|Net income (expenditure)
Depreciation
(Increase) in debtors
(Decrease) increase in creditors
**Net cash provided by operating activities**||||
|||||
|**Cash flows from investing activities**||||
|**Investing activities**
Purchase of fixed assets
**Net cash flows used in investing activities**||||
|**Cash and cash equivalents**||**Year to**
**31 March**
**2024**
**£**||
|Cash at bank
**Total**||**804,879**||
|||**804,879**||
## **B Cash flows from investing activities**
## **C Cash and cash equivalents**
Cash and cash equivalents at the year-end consisted solely of cash at bank and no other cash instruments. No cash has been borrowed and no debt repayments are outstanding at year-end.
Unlocked Graduates **22**
**Principal accounting policies –** Year ended 31 March 2024
The principal accounting policies, adopted judgements and key sources of estimation uncertainty in the preparation of the financial statements are laid out below:
## **Basis of preparation of financial statements**
These financial statements have been prepared for the year ended 31 March 2024. The financial statements have been prepared under the historical cost convention with items initially recognised at cost or transaction value unless otherwise stated in the relevant accounting policy notes.
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (‘Charities FRS 102 SORP’) and the Charities Act 2011.
The charity constitutes a public benefit entity as defined by FRS 102.
The financial statements are presented in sterling and are rounded to the nearest pound.
## **Critical accounting estimates and areas of judgement**
No significant judgments and/or estimates have been made by the trustees in preparing these financial statements.
## **Assessment of going concern**
The trustees have assessed the resources, activities and risks of the charity to assess whether the use of the going concern basis is appropriate. This assessment has been made for a period of at least one year from the date of approval of the financial statements. Our income from the graduate programme is contracted with the Ministry of Justice until at least 2026 (and in the event of termination of the contract, exit provisions cover most costs incurred). In addition, the charity has a healthy reserves position. The trustees have reviewed the expenditure plans and are assured these can be met from existing resources and expected future income. The trustees have therefore concluded the charity is a going concern and therefore, the accounts and financial statements have been prepared on this basis.
## **Income**
Income is recognised in the period in which the charity has entitlement to the income, the amount of income can be measured reliably and it is probable that the income will be received.
## _Contract and grant income_
Contract funding is recognised over the term of the contract term as services are delivered.
Grant funding is recognised when receivable, except where there are performance conditions, where it is recognised as the related services or outcomes are delivered.
Unlocked Graduates **23**
**Principal accounting policies –** Year ended 31 March 2024
## **Income (continued)**
## _Donations_
Income from donations is recognised in the period in which the charity becomes entitled to the donation and where receipt is probable and its amount can be measured reliably.
## **Expenditure**
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. All costs are inclusive of irrecoverable VAT.
Expenditure comprises direct costs and support costs. The classification between activities in direct costs and support costs is as follows:
- Expenditure on raising funds includes any expenditure associated with raising funds for the charity and includes direct costs associated with fundraising events. An allocation of support costs is made against fundraising activities based on the amount of staff time involved.
- Expenditure on charitable activities comprises direct expenditure on the charity’s two primary charitable activities and includes support costs.
## **Support and governance costs**
Support costs represent indirect charitable expenditure. In order to carry out the primary purposes of the charity it is necessary to provide support in the form of a finance function and other overheads such as the maintenance of websites etc.
Governance costs comprise the costs related to the public accountability of the charity and costs in respect of its compliance with applicable regulations and good practice.
## **Financial assets and liabilities**
Financial assets and financial liabilities are recognised in the balance sheet when the charity becomes party to the contractual provisions of the instrument.
## **Financial instruments**
The charity only holds basic financial instruments as defined in FRS 102. The financial assets and financial liabilities of the charity and their measurement basis are as follows:
_Financial assets_ – trade and other debtors are basic financial instruments and are debt instruments measured at amortised cost as detailed in note 9. Prepayments are not financial instruments.
_Cash at bank_ – is classified as a basic financial instrument and is measured at face value.
_Financial liabilities_ – accruals and other creditors are financial instruments and are measured at amortised cost as detailed in note 10. Deferred income is not deemed to be a financial liability, as the cash settlement has already taken place and there is an obligation to deliver services rather than cash or another financial instrument.
Unlocked Graduates **24**
## **Principal accounting policies –** Year ended 31 March 2024
## **Debtors**
Debtors are initially recognised at their settlement amount and subsequently at amortised cost or their recoverable amount. Impairment provisions are recognised when there is objective evidence, such as significant financial difficulties on the part of the counterparty or default or a significant delay in payment, that the charity will be unable to collect all of the amounts due.
Prepayments are valued at the amount prepaid.
## **Cash at bank and in hand**
Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months from the date of acquisition.
## **Creditors and provisions**
Creditors and provisions are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be measured or estimated reliably.
Creditors and provisions are initially recognised at fair value, being the amount the charity anticipates it will pay to settle the debt, and subsequently at amortised cost.
## **Fund accounting**
General funds represent those monies which are freely available for application towards achieving any charitable purpose that falls within the charity’s charitable objects.
There are designations made to Unrestricted (general) funds by the trustees for specific programmes of work, details of which can be found in note 13 to the accounts.
Restricted funds comprise monies received for, or their use is restricted to, a specific purpose or have donor-imposed conditions.
Unlocked Graduates **25**
**Notes to the financial statements** – Year ended 31 March 2024
## **1. Donations**
||**Restricted**
**funds**
**£**
**410,000**|**Unrestricted**
**general**
**funds**
**£**|
**Total**
**funds**
**2024**
**£**|
|---|---|---|---|
|Donations from Trusts and Foundations
**2024 Total funds**||**124,550**|**534,550**|
||**410,000**|**124,550**|**534,550**|
||_Restricted_
_funds_
_£_
_1,424_|_Unrestricted_
_general_
_funds_
_£_|_Total_
_funds_
_2023_
_£_|
|_Donations from Trusts and Foundations_
**_2023 Total funds_**||_158,737_|_160,161_|
||_1,424_|_158,737_|_160,161_|
## **2. Income from charitable activities**
||**Restricted**
**funds**
**£**
**—**
**—**
**—**|**Unrestricted**
**general**
**funds**
**£**|
**Total**
**funds**
**2024**
**£**|
|---|---|---|---|
|Graduate Prison Officers Programme
Participant Recruitment Activities
**2024 Total funds**||**2,595,110**
**1,397,367**|**2,595,110**
**1,397,367**|
|||**3,992,477**|**3,992,477**|
||_Restricted_
_funds_
_£_
**—**
**—**
**—**|_Unrestricted_
_general_
_funds_
_£_|_Total_
_funds_
_2023_
_£_|
|_Graduate Prison Officers Programme_
_Participant Recruitment Activities_
**_2023 Total funds_**||_2,554,681_
_1,490,231_|_2,554,681_
_1,490,231_|
|||_4,044,912_|_4,044,912_|
## **3. Expenditure on raising funds**
|Support costs (see note 5)
**2024 Total expenditure**|**Restricted**
**funds**
**£**|**Unrestricted**
**general**
**funds**
**£**|
**Total**
**funds**
**2024**
**£**|
|---|---|---|---|
||**—**|**65,764**|**65,764**|
||**—**|**65,764**|**65,764**|
Unlocked Graduates **26**
**Notes to the financial statements** – Year ended 31 March 2024
## **Expenditure on raising funds (continued)**
||_Restricted_
_funds_
_£_|_Unrestricted_
_General_
_funds_
_£_|_Total_
_funds_
_2023_
_£_|
|---|---|---|---|
|_Support costs (see note 5)_
**_2023 Total expenditure_**|**_—_**|_35,503_|_35,503_|
||**_—_**|_35,503_|_35,503_|
## **4. Expenditure on charitable activities**
|**4. Expenditure on charitable activities**||||
|---|---|---|---|
||**Restricted**
**funds**
**£**|**Unrestricted**
**general**
**funds**
**£**|
**Total**
**funds**
**2024**
**£**|
|**Activities undertaken directly**
Graduate Prison Officers Programme
Participant Recruitment Activities
**Support costs**(see note 5)
Graduate Prison Officers Programme
Participant Recruitment Activities
**2024 total expenditure**|**73,012**
**—**|**2,473,804**
**1,242,616**|**2,546,816**
**1,242,616**|
||**73,012**|**3,716,420**|**3,789,432**|
||**—**
**—**|**277,997**
**149,690**|**277,997**
**149,690**|
||**—**|**427,687**|**427,687**|
|||||
||**73,012**|**4,144,107**|**4,217,119**|
||_Restricted_
_funds_
_£_|_Unrestricted_
_general_
_funds_
_£_|_Total_
_funds_
_2023_
_£_|
|**_Activities undertaken directly_**
_Graduate Prison Officers Programme_
_Participant Recruitment Activities_
**_Support costs_**_(see note 5)_
_Graduate Prison Officers Programme_
_Participant Recruitment Activities_
**_2023 total expenditure_**|_79,791_
**—**|_2,705,589_
_1,112,573_|_2,785,380_
_1,112,573_|
||_79,791_|_3,818,162_|_3,897,953_|
||**—**
**—**|_324,141_
_189,083_|_324,141_
_189,083_|
||**—**|_513,224_|_513,224_|
|||||
||_79,791_|_4,331,386_|_4,411,177_|
Unlocked Graduates **27**
**Notes to the financial statements** – Year ended 31 March 2024
## **5. Analysis of support costs**
||**Raising**
**funds**
**£**|**Unrestricted**
**Charitable activities**|**Unrestricted**
**Charitable activities**|**2024**
**Total**
**£**|
|---|---|---|---|---|
|||**Graduate**
**Prison**
**Officers**
**Programme**
**£**|**Participant**
**Recruitment**
**activities**
**£**||
|Human resources:
-
Shared staff costs allocations
-
Other HR related shared costs
Finance
Information Technology
Premises and office running costs
Governance costs:
-
Auditor’s remuneration
-
Legal, professional and accountancy
-
Bank charges
-
Other governance costs
**Totals**|**30,310**
**2,603**
**752**
**8,220**
**20,903**
**1,030**
**1,747**
**150**
**49**|**55,522**
**16,330**
**4,716**
**51,587**
**131,174**
**6,462**
**10,961**
**938**
**307**|
**29,896**
**8,793**
**2,540**
**27,777**
**70,632**
**3,479**
**5,902**
**505**
**166**|**115,728**
**27,726**
**8,008**
**87,584**
**222,709**
**10,971**
**18,610**
**1,593**
**522**|
||**65,764**|**277,998**|
**149,690**|**493,451**|
||_Raising_
_funds_
_£_|**_Unrestricted_**
**_Charitable activities_**|**_Unrestricted_**
**_Charitable activities_**|_2023_
_Total_
_£_|
|---|---|---|---|---|
|||_Graduate_
_Prison_
_Officers_
_Programme_
_£_|_Participant_
_Recruitment_
_activities_
_£_||
|_Human resources:_
-
_Shared staff costs allocations_
-
_Other HR related shared costs_
_Finance_
_Information Technology_
_Premises and office running costs_
_Governance costs:_
-
_Auditor’s remuneration_
-
_Legal, professional and accountancy_
-
_Bank charges_
-
_Other governance costs_
**_Totals_**|_28,613_
_323_
_302_
_654_
_5,185_
_171_
_215_
_40_
_0_|_87,466_
_11,098_
_10,387_
_22,455_
_178,104_
_5,860_
_7,398_
_1,365_
_8_|
_51,022_
_6,474_
_6,059_
_13,099_
_103,893_
_3,419_
_4,316_
_796_
_5_|
_167,101_
_17,895_
_16,748_
_36,208_
_287,182_
_9,450_
_11,929_
_2,201_
_13_|
||_35,503_|_324,141_|
_189,083_|
_548,727_|
Unlocked Graduates **28**
**Notes to the financial statements** – Year ended 31 March 2024
## **Analysis of support costs** (continued)
Support costs are allocated on the following bases, which reflect an estimate of staff time, spent on fundraising activities and the direct staff time on the primary charitable activities of running the programme and recruitment activities:
||**2024**
**%**|2023
%|
|---|---|---|
|Fundraising
Charitable activities:
(i)
Graduate Prison Officers Programme
(ii)
Participant Recruitment Activities
**Total allocations**|**9%**
**59%**
**32%**|2%
62%
36%|
||**100%**|100%|
## **6. Net income (expenditure)**
This is stated after charging the following against unrestricted funds:
||**2024**
**Total**
**£**|2023
Total
£|
|---|---|---|
|Staff costs (see note 7)
Auditor’s remuneration
Depreciation
Operatinglease rentals|**1,790,422**
**10,970**
**32,590**
**174,341**|1,864,055
9,450
33,684
232,723|
## **7. Staff costs and trustees’ remuneration**
|**7. Staff costs and trustees’ remuneration**|||
|---|---|---|
||**2024**
**£**|2023
£|
|Staff costs during the period were as follows:
Wages and salaries
Social security costs
Termination payments
Pension costs|**1,490,845**
**154,717**
**—**
**144,860**|1,511,297
160,730
14,902
177,126|
||**1,790,422**|1,864,055|
The average number of employees during the period was:
||**2024**
**Number**|2023
Number|
|---|---|---|
|Management and Leadership
Programme
Recruitment
Operations
External Relations|**4**
**13**
**30**
**4**
**3**|6
14
29
3
2|
||**54**|54|
Unlocked Graduates **29**
**Notes to the financial statements** – Year ended 31 March 2024
## **Staff costs and trustees’ remuneration** (continued)
During the current accounting period, there were three (2023 - three) employees who earned £60,000 or more (including taxable benefits but excluding employer pension contributions).
||**2024**
**Number**|2023
Number|
|---|---|---|
|£60,001 – £70,000
£70,001 – £80,000
£80,001 – £90,000
£90,001 – £100,000
£100,001 – £110,000
£110,001 – £120,000|**1**
**—**
**—**
**1**
**—**
**1**|**—**
1
1
**—**
1
**—**|
No trustee received any remuneration in respect of their services during the year (2023 - £nil) and no expenses were reimbursed to the trustees during the year (2023 - £83).
The key management personnel of the charity in charge of directing and controlling, running and operating the organisation on a day-to-day basis comprise the trustees together with five employees: the Chief Executive Officer, the Chief Operating Officer, the External Relations Director, Recruitment Director and Programme Director. The total remuneration (including taxable benefits and employer’s national insurance contributions) payable to key management personnel during the year is set out below.
||**2024**
**£**|2023
£|
|---|---|---|
|Key Management Personnel – Gross pay
Key Management Personnel – Employer pensions
Key Management Personnel – Employer NI|**434,597**
**43,848**
**48,241**|440,670
47,361
53,312|
||**526,686**|541,343|
## **8. Tangible fixed assets**
|**8. Tangible fixed assets**|||||
|---|---|---|---|---|
||**Computer**
**equipment**
**£**|**Furniture,**
**fixtures**
**equipment**
**£**|**Leasehold**
**improve-**
**ments**
**£**|**2024**
**Total**
**£**|
|**Cost**
At 1 April 2023
Additions
At 31 March 2024
**Depreciation**
At 1 April 2023
Charge for period
At 31 March 2024
**Net book values**
At 31 March 2024
At 1 April 2023|**78,515**
**7,100**|
**31,376**
**—**|**8,520**
**—**|**118,411**
**7,100**|
||**85,615**|
**31,376**|**8,520**|**125,511**|
||**36,670**
**25,036**|
**10,466**
**6,276**|**7,242**
**1,278**|**54,378**
**32,590**|
||**61,706**|
**16,742**|**8,520**|**86,968**|
||||||
||**23,909**|**14,634**|**—**|**38,543**|
||**41,845**|**20,910**|**1,278**|**64,033**|
Unlocked Graduates **30**
**Notes to the financial statements** – Year ended 31 March 2024
## **9. Debtors**
||**2024**
**£**
**493,264**
**337,186**
**51,028**
**7,160**
**888,638**|2023
£
448,930
341,433
85,631
**—**
875,994|
|---|---|---|
|Trade debtors
Prepayments
Accrued income
Other debtors|||
## **10. Creditors: amounts falling due within one year**
||**2024**
**£**|2023
£|
|---|---|---|
|Trade creditors
Other creditors
Tax and social security
Accruals and deferred income|**237,842**
**99,495**
**161,779**
**414,757**|364,118
64,393
163,056
501,298|
||**913,873**|1,092,865|
## **11. Creditors: amounts falling due after one year**
||**2024**
**£**|2023
£|
|---|---|---|
|Lease liability|**—**|1,250|
||**—**|1,250|
## **12. Restricted funds**
||**At 1 April**
**2023**
**£**|
**Income**
**£**|
**Expenditure**
**£**|
**At 31**
**March**
**2024**
**£**|
|---|---|---|---|---|
|**Restricted funds**
John Armitage Charitable Trust
Garfield Weston Foundation
Hadley Trust
**Total**|
**20,000**
**—**
**—**|
**20,000**
**310,000**
**80,000**|
**(17,527)**
**(7,828)**
**(47,657)**|
**22,473**
**302,172**
**32,343**|
||**20,000**|**410,000**|
**(73,012)**|**356,988**|
## **Restricted funds**
John Armitage Charitable Trust: to support the prison innovation acceleration project. Garfield Weston Foundation: to support the launch of the Middle Leadership Programme. Hadley Trust: to support work towards increasing our evidence base.
Unlocked Graduates **31**
**Notes to the financial statements** – Year ended 31 March 2024
## **13. Analysis of net assets between funds**
|**13. Analysis of net assets between funds**||||
|---|---|---|---|
||**Restricted**
**funds**
**£**|**Unrestricted**
**general**
**funds**
**£**|**Total**
**funds**
**2024**
**£**
**38,543**
**1,693,517**
**(913,872)**
**—**
**818,188**|
|**Fund balances at 31 March 2024 are represented by:**
Tangible fixed assets
Current assets
Current liabilities
Non-current liabilities
**Total net assets**|**—**
**356,988**
**—**
**—**|
**38,543**
**1,336,528**
**(913,872)**
**—**||
||**356,988**|**461,200**||
Unrestricted funds at 31 March 2024 include designated funds as follows:
- New ventures fund of £119,232, to be reallocated to new designation in 2024/2025 due to programme of work coming to an end in 2023/2024 with no further expenditure expected.
- Ambassadors fund of £31,248, to be increased in 2024/2025 and spent over the next two years on mobilisation costs of our new ambassador programme.
|**Designated funds**
New ventures fund
Ambassadors fund
**Total**|**At 1**
**April**
**2023**
**£**
**139,000**
**91,000**
**230,000**|**Income**
**£**
**—**
**—**
**—**|**Expenditure**
**£**
**(19,768)**
**(59,752)**
**(79,520)**|**At 31**
**March**
**2024**
**£**|
|---|---|---|---|---|
|||||**119,232**
**31,248**|
|||||**150,480**|
||_Restricted_
_funds_
_£_|_Unrestricted_
_general_
_funds_
_£_|_Total_
_funds_
_2023_
_£_|
|---|---|---|---|
|**_Fund balances at 31 March 2023 are represented by:_**
_Tangible fixed assets_
_Current assets_
_Current liabilities_
_Non-current_ _liabilities_
**_Total net assets_**|**—**
_20,000_
**—**
**—**|_64,033_
_1,584,126_
_(1,092,865)_
_(1,250)_|_64,033_
_1,604,126_
_(1,092,865)_
_(1,250)_|
||_20,000_|_554,044_|_574,044_|
## **14. Operating lease commitments**
At 31 March 2024, the balance sheet date, the Charity had operating lease commitments as follows:
||**2024**
**£**
**163,800**
**36,400**
**200,200**|2023
£|
|---|---|---|
|On office space
Due within one year
Due between one and two years||75,552
**—**|
|||75,552|
Unlocked Graduates **32**
## **Notes to the financial statements** – Year ended 31 March 2024
## **15. Taxation**
Unlocked Graduates is a registered charity and therefore is not liable to income tax or corporation tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities.
## **16. Members’ liability**
Each member of the charitable company undertakes to contribute to the assets of the company in the event of it being wound up while he/she is a member, or within one year after he/she ceases to be a member, such amount as may be required, not exceeding £1 for the debts and liabilities contracted before he/she ceases to be a member.
## **17. Post balance sheet events**
The Graduate Prison Programme contract with the MoJ went out for retender in the year and Unlocked Graduates was successful in securing the tender. Since the balance sheet date, we have been negotiating the terms of the new contract. Unfortunately, we have been unable to reach an agreement on the terms of the new contract and so have not signed. This means that, as things stand, we will not be recruiting any future cohorts. We are hopeful that in the coming weeks the government will work with us to find a solution. Our current contract runs through to October 2026.
Unlocked Graduates **33**
## 1016_UGA001_Unlocked Graduates - Annual Report 2324_buzz signed
## Final Audit Report
2024-11-01
Created: 2024-11-01 By: Mike Sheppard (mike.sheppard@unlockedgrads.org.uk) Status: Signed Transaction ID: CBJCHBCAABAAeWzhK6lJOfn3N9hmzFQ-fEHXp-c8gF9_
## "1016_UGA001_Unlocked Graduates - Annual Report 2324_buz z signed" History
Document created by Mike Sheppard (mike.sheppard@unlockedgrads.org.uk) 2024-11-01 - 2:53:50 PM GMT
Document emailed to Natasha Porter (natasha.porter@unlockedgrads.org.uk) for signature 2024-11-01 - 2:54:02 PM GMT
Email viewed by Natasha Porter (natasha.porter@unlockedgrads.org.uk) 2024-11-01 - 3:46:42 PM GMT
Document e-signed by Natasha Porter (natasha.porter@unlockedgrads.org.uk)
Signature Date: 2024-11-01 - 3:47:04 PM GMT - Time Source: server
## Agreement completed.
2024-11-01 - 3:47:04 PM GMT