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2025-10-31-accounts

making a positive difference 1 together

Annual Report and Accounts 2025

Similarly, our Welcome Wednesdays, which hosted over 1,500 attendees, demonstrate the power of small grants in delivering substantial impact. We also welcomed Chealsie Stewart as Foundation Coordinator. Chealsie has brought creativity, organisation and enthusiasm to the role, building Welcome strong relationships with the charities we support, colleagues and suppliers. Working alongside 2025 marked the fifth anniversary of the McCarthy & Stone Foundation — a milestone year filled with energy, Julia Laister, Head of Foundation, they form a

We also welcomed Chealsie Stewart as Foundation Coordinator. Chealsie has brought creativity, organisation and enthusiasm to the role, building strong relationships with the charities we support, colleagues and suppliers. Working alongside Julia Laister, Head of Foundation, they form a highly effective team, consistently delivering positive impact.

generosity, and real impact. Thanks to the incredible enthusiasm and dedication of our employees, customers, and supply chain partners, and the invaluable support of the McCarthy & Stone business, we received £754,457, enabling us to award £407,908 to 138 charitable causes and touch the lives of more than 22,000 older people across the UK.

As I enter my final year as Chair of Trustees, I am immensely proud of the Foundation’s achievements over the past five years and grateful to all our supporters and for the unwavering commitment of my fellow Trustees, whose guidance continues to shape the charity’s future.

This impact was delivered through a diverse and growing range of programmes. Our Welcome Wednesday social groups entered their second year, continuing to build warm, supportive communities led by volunteers, while our multiyear grants continued to support befriending charities which help to reduce loneliness and isolation for people aged over 65.

Your contributions and efforts make a real and lasting difference to the lives of older people.

surpassed its fundraising target. Cold-water dips almost doubled the previous year’s results, reflecting their growing popularity among colleagues and supply partners. Residents at Cardinal Court in York organised a summer fair and weekly bake sales. The annual Gala Dinner, which raised an extraordinary £234,500, and the Oval cricket day were particular highlights.

The charity sector continues to face significant and growing pressure, including funding scarcity, rising costs and an increasingly challenging operating environment. As a Foundation we remain committed to providing unrestricted funding, enabling charities to continue to deliver vital services within their communities. In 2025, we adopted a thematic approach to grantmaking, to focus more on services which deliver on reducing loneliness and isolation for over-65s. With our Dementia Grant Programme, we will continue to gather insight into the evolving needs of older people to inform future programmes.

On behalf of the McCarthy & Stone Foundation Trustees, I am pleased to approve this Annual Report for 2025.

Thank you.

The Foundation has achieved year-on-year income growth since 2020, including an impressive 5% increase in 2025. This sustained progress is a testament to the strength of our partnerships and shared belief in the Foundation’s mission. The Surrey Peaks Walking Challenge welcomed a record number of supporters and significantly

Corporate match funding received in 2025 for income raised during 2024 reached a record £223,000. We are extremely grateful to the McCarthy & Stone Group for this continuing support. On behalf of the Trustees and the many causes we support, I would like to thank McCarthy & Stone and all of the Foundation’s supporters.

Paula Jordan Chair of Trustees 1 April 2026

Contents

Trustees Annual Report and Accounts for Year Ending October 31st 2025.

About Our Foundation Welcome Wednesday 04 18 06 Our Vision, Mission, and Values 22 Christmas Connection Grants Achievements and Fundraising and Volunteering 08 Performance 24 2025 in Numbers Financial Review 10 30 How We Make a Looking Ahead 12 Difference 38 Community Grants 14

02 Cover image: Dance Network Association credit Mikaela Jade Photography. Image top right: Alz Café Wolverhampton

03

About our foundation The McCarthy & Stone Foundation is an independent charity that supports grassroots, local charities, community groups and other non-profit organisations across England, Scotland and Wales. It principally provides financial grants to organisations working to improve the lives of people in later life.

The Foundation is a corporate charity connected to McCarthy & Stone, the UK’s largest retirement living developer, which generously supported the Foundation in 2025 through goods and services valued at £178,413, alongside match funding of donations raised in 2024.

to be valued, connected and actively engaged within their communities. The Foundation is registered with the Fundraising Regulator and complies with the Fundraising Code of Practice and the Charity Governance Code.

Trustees meet quarterly to set the strategic direction of the Foundation and retain responsibility for all policy and decision-making. Trustees are appointed for a three-year term following a rigorous and inclusive recruitment process, with careful consideration given to the skills, experience and knowledge required for effective governance.

The Foundation’s charitable objectives are to further charitable purposes for the public benefit, in accordance with the law of England and Wales. Its primary focus is making grants that support people in later life, particularly older people living in areas of high deprivation, to improve wellbeing, reduce disadvantage, and enable them

“We are deeply grateful for this investment in our community. It will have a lasting and meaningful impact on the lives of older people and their families in Tendring.”

Gemma Wright, CEO, Dance Network Association

At least two members, or one third of the Board (whichever is greater), must be independent of McCarthy & Stone and its subsidiaries. The Foundation currently has six external Trustees.

During the year ended 31 October 2025, the dayto-day management of the Foundation was led by the Head of Foundation, operating within the Financial Controls Policy which sets out delegated authorities. Additional support was provided by the Foundation Coordinator, reporting into the Head of Foundation. Foundation staff are employed by McCarthy & Stone and seconded to the charity. Remuneration and performance

In 2025, the Foundation awarded 138 grants totalling £407,908 to charitable causes and supported the Welcome Wednesday social groups.

management are undertaken by McCarthy & Stone, with appropriate Trustee oversight.

The Trustees confirm they have complied with their duty to have regard to the Charity Commission’s guidance on public benefit and are pleased to present the annual report and financial statements for the year ended 31 October 2025. The financial statements have been prepared in accordance with the Foundation’s constitution, the Charities Act 2011, and the Statement of Recommended Practice (SORP): Accounting and Reporting by Charities FRS 102 (2019).

Mikaela Jade Photography

04 About Our Foundation

About Our Foundation

05

Our vision is a society where older people are valued, connected and engaged with their communities.

Our mission is to help grassroots charities and community groups support older people by engaging the McCarthy & Stone Group, People, Customers, and Partners.

Our values

• We are committed to improvement

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06 Our Vision, Mission and Values
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Friends of Windmill Gardens, Lambeth, London

“We can now run our weekly Club sessions which help our members to become part of the local community, increasing social participation and reducing loneliness.”

Catherine Hamilton, Centre Manager

Our Vision, Mission and Values 07

performance Achievements and This year has been a truly special one for the Foundation. Building on five years of progress, we continued to grow our fundraising, and thanks to the generosity of McCarthy & Stone colleagues, supply chain partners and customers, we were able to support 138 charitable causes across the UK. Every grant represents a real impact on people’s lives and seeing that difference first-hand is what makes our work so rewarding.

Chealsie Stewart and Julia Laister outside the McCarthy & Stone Foundation office

Reducing loneliness and social isolation among people aged over 65 continues to be at the heart of what we do. Through our grant programmes and Welcome Wednesday sessions, we help connect people, foster friendships, and support small, local organisations that know their communities best. By prioritising funding in the areas of greatest deprivation, we ensure our support reaches those who need it most.

This year saw the highest number of grant applications we have ever received, reflecting the growing pressures facing small charities. With the dedication of our team – the Head of Foundation, Foundation Coordinator, and our volunteer Grant Sub-committee – every application was reviewed carefully and fairly. To help more organisations in the future, we plan to introduce a closed funding round in

2026, giving previous applicants another chance

to receive support.

We continued to focus on unrestricted funding, helping charities cover operational costs and keep their services running. Grants were awarded through our Dementia, Creating Connections and Christmas Connection programmes, alongside the second instalments of our multi-year funding partnerships.

Fundraising has been a highlight of the year. Record numbers of people took part in Cold Water Dips, the South Downs Walking Challenge and Dementia Action Week. Our annual Gala Dinner was a truly memorable evening, raising an incredible £234,500 thanks to the generosity of McCarthy & Stone’s suppliers.

In January, we welcomed Chealsie Stewart as Foundation Coordinator. Her energy, creativity and organisational skills have already made a big difference to the team. Visiting the charities we support continues to be one of the most rewarding parts of our work. Seeing the joy, connection and support these groups bring to people’s lives is a powerful reminder of why the Foundation exists.

Thank you to everyone who has supported the Foundation this year. Your generosity, time and energy make all of this possible, and together we are creating lasting change.

Julia Laister Head of Foundation

08 Achievements and Performance

Achievements and Performance 9

over 2025 in £338,301 £102,000 £234,500 numbers donations and support costs raised by McCarthy & Stone raised by our Gala Dinner from McCarthy & Stone homeowners and employees £754,457 22,000 £407,908 138 income raised older people supported charitable activities charitable through our funding causes supported 10 2025 in Numbers 2025 in Numbers 11

The average turnover of the organisations we supported was £76,000, reflecting our philosophy of backing grassroots causes.

Our Strategic Aims for 2025:

Through our grants program, over 22,000 older people were directly impacted.

To achieve these aims in 2025, we delivered five principal programs, each designed to support grassroots groups and reach older people within their communities:

Additionally, more than 1,571 individuals aged 65 and over attended our Welcome Wednesday social groups.

1. Christmas Connections Grants

2. Dementia Grants

A total of £407,908 in grants was distributed to support small charities, including four multi-year grants that directly support core costs and provide

3. Creating Connections Grants 4. Multi-year Funding Partnerships 5. Welcome Wednesday Social Groups

stability to these partners.

12 How We Make a Difference Making a difference

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£ Grant
locations
in 2025
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We assessed our success based on the number of organisations we reached with funding and the total amount disbursed. While our reporting with grant recipients is light touch, it is largely based on trust, reflecting the size of both the grants and the organizations supported. Every grant awarded underwent due diligence and was made in accordance with the Foundation’s grant policy, available in full at: www.mccarthystonefoundation.org

Additional monitoring was carried out through case studies, photography, video, and site visits by our Foundation team throughout the year. We are pleased to share some of these stories with you in this report.

West Norfolk, Befriending

“We are so grateful to the McCarthy & Stone Foundation for helping to fund the work that we do supporting isolated older people across West Norfolk.”

Colin Perriss, Chief Executive

How We Make A Difference 13

Reach Family Project

grants Community In 2025, we moved to a more thematic programme-led approach to our grantmaking, enabling us to focus our funding more strategically.

This included a Dementia Grants Programme, delivered in close alignment with our Dementia Fundraising Week in May, allowing us to deepen our impact in this area.

strengthening community connections for people aged 65 and over through social groups, befriending services, and community transport initiatives.

Across both programmes, we awarded a total of 53 grants, with a maximum grant value of £7,500. Our 4 multi-year grants were £10,000 each.

In the autumn, we launched our Creating Connections Programme, aimed at reducing isolation and

“The grant funding has enabled us to grow and strengthen our befriending service, supporting older and isolated people across our community. Thanks to this funding, we now have over 200 volunteers providing one-to-one support to hundreds of service users, helping to reduce loneliness and improve wellbeing which we are really proud of.”

Michelle Hardman, Chief Operating Officer

Deep Roots Tall Trees

“Thanks to the McCarthy & Stone Foundation’s support, we are bringing older people in Kettering together through singing, writing, and performing - helping them build friendships, share memories, and feel truly connected. Their funding is already making a meaningful difference to those at risk of loneliness.”

Simon Steptoe, General Manager

14 Community Grants

COMMUNITY GRANTS 15

The Community Forget Me Not Choir

“The grant allowed the Community Forget Me Not choir to start up a much needed choir in Campbeltown. The Choir has gone from strength to strength, so much so the choir are one of the finalist for the “Spirit of Campbeltown” award. ”

Louise Curtis, Founder/Chief Executive

Dementia Caring

“We are deeply grateful to the McCarthy & Stone Foundation. The funds have enabled us to deliver a wide range of activities to our members, helping them maintain their cognitive abilities for longer and live well in the local community.”

Angela Brookes, Project Manager

Conversation Works CIC

“Your funding has enabled our special Memory Café to keep steaming ahead - providing a years worth of monthly trips for people affected by dementia on a working steam train. This joyous afternoon provides belonging, connection, laughter and a chance to step away from the everyday stresses of living with the disease and to come together as a community of fellow travellers.”

Kathrine Bailey, Coordinator

Ballers Academy

“The grant enabled the delivery of chair mobility sports sessions for people living with dementia at the Alzheimer’s Society Daffodil Club in Nunhead, supporting participants to stay active, engaged and socially connected. This work is improving quality of life, reducing isolation and promoting physical well-being through inclusive, innovative activity.”

Richard White, Community Director

Friends for Life

“The grant received helps to fund our Volunteer Lead, whose role is instrumental in training and overseeing our volunteers. The multiyear funding we have received has provided financial stability, allowing us to move forward with our plans and reach more residents.”

Kathryn Hughes, Fundraising Lead

16 Community Grants

Community Grants 17

Welcome Wednesday

Our Welcome Wednesday social groups have continued to go from strength to strength in 2025. Running monthly in 5 community cafés across the country, they bring together the over 65’s for a warm drink and lunch. We welcomed 1,571 attendees this year, many of whom live alone and really value the chance to meet others without worrying about paying for their meal.

Now in their 2nd year, the groups have built a loyal following, and it is wonderful to see new friendships flourishing and the difference these gatherings make to the local communities. McCarthy & Stone volunteers remain at the heart of their success, helping to serve meals and chat with everyone who attends.

Celebrating the first Anniversary of the Winton Welcome Wednesday in April.

18 Welcome Wednesday

Welcome Wednesday

19

A group of regulars at the Hub on the Heath in Poole

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Regular members enjoying
a warm drink and lunch at
the Welcome Wednesday
in Rochford
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Smiles all round at Southend on Sea Welcome Wednesday Group

There’s always a special festive session in December at our Welcome Wednesdays

20 Welcome Wednesday

Welcome Wednesday

21

Christmas connection grants

This year we continued to extend our reach, awarding 61 grants ranging from £250 to £1,000, with a total of £38,065.

These grants aimed to touch the lives of older people during the festive season by supporting small, local charities and community groups.

For others, it was the heartwarming gesture of opening a venue at Christmas, offering a warm meal and a sense of belonging to those who needed it most.

Teams and Bensham Community Care

“Your funding support has helped our charity to continue our lunch clubs and men’s groups for older people in our community. Those who are at risk of isolation and loneliness can enjoy a hot meal and activities together.”

For some, this meant providing essential food supplies or small, thoughtful gifts, bringing smiles to faces that might otherwise be forgotten.

Our mission remained the same: to create connection and community, reminding older people that they are cherished and not alone during the festive season.

Michelle Scott, Project Development Coordinator

Upper Norwood Association for Community Care (UNACC)

Gateshead 50+

“We used the funding to offer a programme of Christmas social activities to those who attend our hub. Most who

“Food parcels and Christmas dinners were driven to people’s houses by volunteers, who provided a friendly face and a chat to those who find the festive period a lonely time.”

attend do not have disposable income and this meant they could socialise together.”

Lola McPartland, Project Manager

Natalie Fernandez, Manager

22 Christmas Connection Grants

Fundraising and volunteering

2025 marked the fifth consecutive year of fundraising growth for the Foundation, with over £754,457 raised thanks to the generosity and commitment of colleagues, suppliers, customers, and the McCarthy & Stone Group.

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Our charity ball raised
a record breaking
£234,500
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Their dedication has enabled us to improve the lives of older people across the country and create meaningful connections that truly make a difference. The Foundation relies on the support of our people and partners.

Some of the record-breaking fundraising highlights include:

Raising thousands of pounds for the Foundation at this year’s Surrey Peaks Walking Challenge

Fundraising and Volunteering

Fundraising and Volunteering

24

25

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McCarthy & Stone colleagues came
together for a sea dip in 5 locations
across the UK to raise money and
celebrate International Women’s Day
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Suppliers helped to raise money at the London Golf Club Charity Day

Volunteers were at the heart of the Foundation’s work. Colleagues used their volunteering days to support events, cheering on participants, and fostering connections at Welcome Wednesday groups. This created opportunities for older people to connect, converse, and feel valued, making a real difference in communities across the country.

Customers got to soak the Manager for charity at Lock House Lorna Rogers from McCarthy & Stone volunteering at Wolverhampton Alz Café

We extend our heartfelt thanks to every colleague, supplier, customer, and community member who contributed in 2025. Your generosity, commitment, and determination have raised vital funds, strengthened communities, and reminded older people that they are valued, supported, and not alone.

Team Hamro at the first Charity Cricket Day at the Kia Oval

A Christmas event at McCarthy & Stone’s

Race Night at McCarthy & Stone’s Justice Court Fairway View

26 Fundraising and Volunteering

Fundraising and Volunteering 27

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Supply partners enjoying
the charity ball
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Denim for Dementia day for
McCarthy & Stone colleagues
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Head Office pilates and a Fun Quiz
for Dementia Action Week
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McCarthy & Stone People Team volunteering in the community

Volunteers at the Allendale Food Bank

28 FUNDRAISING AND VOLUNTEERINGundraising and Volunteering

Fundraising and Volunteering 29

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Finance
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The McCarthy & Stone Group remains the primary funding source for the Foundation, supplemented by donations

from colleagues, customers, and supply chain partners. While the housing market and broader economy continued to be challenging in 2025, support for the Foundation remained consistently high, resulting in a total income of £754,457 for the financial year.

The Foundation planned for an increased surplus in 2025 to provide a buffer in case of economic fluctuations. Total expenditure amounted to £610,581, of which £407,908 was allocated to charitable activities and £202,673 to fundraising efforts. This represented a more conservative approach to grant-making than in 2024.

funds. This balances prudent provision for additional contingency in a challenging economic climate while still being reasonable in proportion to the Foundation’s expenditure.

Given the Foundation’s reliance on the McCarthy & Stone Group for income, this remains a critical consideration. The Memorandum of Understanding helps manage this relationship effectively. Consequently, the Trustees are confident in the charity’s ability to operate as a going concern.

Despite ongoing market uncertainties, the continued support from the McCarthy & Stone Group means that Trustees remain optimistic about achieving the charity’s income and grantmaking targets in 2026.

Risk management remains a key priority. Trustees review potential risks at quarterly meetings, while the Head of Foundation oversees day-to-day management. Risks are monitored across six key categories: governance, regulatory compliance, external factors, operations, finances, and grant-making. Mitigation is supported by a robust risk register, ensuring clear oversight.

In line with the Foundation’s risk strategy, reserves are maintained to support cash flow or fulfil contractual obligations should operations cease unexpectedly. Trustees usually set a target reserve range of £25,000–£30,000 but are at liberty to flex this according to changing circumstance. At the year-end the Foundation held £148,202 in freely available unrestricted

Paula Jordan Chair of Trustees 1 April 2026

Independent Examiners Report

I report to the Trustees on my examination of the financial statements of McCarthy & Stone Charitable Foundation (the Charity) for the year ended 31 October 2025.

Responsibilities and basis of report

As the Trustees of the Charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011.

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

Independent examiner’s statement

Since the Charity’s gross income exceeded £250,000, the independent examiner must be a member of a body listed in section 145 of the Charities Act 2011. I confirm that I am qualified to undertake the examination because I am a member of Association of Chartered Certified Accountants, which is one of the listed bodies.

Your attention is drawn to the fact that the charity has prepared the financial statements in accordance with the relevant version of the Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial 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 has now been withdrawn. I understand that this has been done in order for the financial statements to provide a true and fair view in accordance with UK Generally Accepted Accounting Practice.

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 Charities Act 2011.

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 financial statements set out in the Charities (Accounts and Reports)

Regulations 2008 other than any requirement that the financial statements 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.

Signed:

Frances Wilde FCCA, Warner Wilde Limited, Chartered Certified Accountants, 4 Marigold Drive, Bisley, Surrey GU24 9SF Date: 13 February 2026

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Statement of Financial Activities 2025 2024
Unrestricted Unrestricted
Categories by activity Notes
funds (£) funds (£)
Income from:
Donations and legacies 3 501,133 493,858
Charitable activities 4 253,324 222,570
Total 754,457 716,428
Expenditure on:
Raising funds 5 202,673 189,527
Charitable activities 6 407,908 588,140
Total 610,581 777,667
Net expenditure and movement in funds 143,876 (61,239)
Reconciliation of funds:
Fund balances at 1 November 2023 4,326 65,565
Fund balances at 31 October 2024 148,202 4,326
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Statement of Financial Activities

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

30 Financials

Financials

31

As at 31 October 2025

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2025 2024
Current assets £ £ £ £
Debtors 1,700 3,350
Cash at bank and in hand (note 13) 196,915 82,522
Total current assets 198,615 85,872
Creditors: amounts falling due within
(50,413) (41,546)
one year (note 14)
Net current assets 148,202 44,326
Creditors: amounts falling due after (40,000)
more than one year (note 15)
Net assets 148,202 4,326
Funds of the Charity
Unrestricted funds (note 17) 148,202 4,326
148,202 4,326
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The financial statements were approved by the Trustees on 1 April 2026.

Paula Jordan Chair of Trustees

For the year ended 31 October 2025

1. Accounting policies

Charity information McCarthy & Stone Charitable Foundation is a Charitable Incorporated Organisation.

1.1 Accounting convention

The financial statements have been prepared in accordance with the Charity’s governing document, the Charities Act 2011, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” and the Charities SORP “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)”. The Charity is a Public Benefit Entity as defined by FRS 102.

The Charity has taken advantage of the provisions in the SORP for charities 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, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.

1.2 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.

1.3 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 or grantors 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.

1.4 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 income will be received.

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

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

1.5 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.

Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

1.6 Cash and cash equivalents

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

1.7 Financial instruments

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

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

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

Basic financial assets

Basic financial assets, which include 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 measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

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.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Charity’s contractual obligations expire or are discharged or cancelled.

32 Financials

Financials

33

1.8 Employee benefits

4. Income from charitable activities

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

e cost o any unuse oay enttement s recognse n te pero n wc te empoyees
services are received.
Termination benefts are recognised immediately as an expense when the Charity is demonstrably
committed to terminate the employment of an employee or to provide termination benefts.
1.9 Retirement benefts
Payments to defned contribution retirement beneft 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. Te estimates and associated assumptions are based on
historical experience and other factors that are considered to be relevant. Actual results may difer
from these estimates.
Te 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 afects only that period, or in the period of the revision and future periods where the
revision afects both current and future periods.
Unrestricted
funds 2025 (£)
Unrestricted
funds 2024 (£)
Donations and gifts
322,720
138,852
Donated goods and services
178,413
355,006
Total
501,133
493,858
Donations and gifts
315,567
130,830
Gift Aid
7,153
8,022
Total income
322,720
138,852
3. Income from donations and legacies		 5. Expenditure on raising funds
6. Expenditure on charitable activities
Fundraising and publicity
Unrestricted
funds 2025 (£)
Unrestricted
funds 2024 (£)
Staging fundraising events
150,931
131,284
Incurred seeking donations
2,066
1,884
Other fundraising costs
6,446
11,992
Staff costs
39,418
38,406
Support costs
3,812
5,961
Total
202,673
189,527
Charitable activities
Unrestricted
funds 2025 (£)
Unrestricted
funds 2024 (£)
Fundraising events
253,324
222,570
Charitable activities
2025 (£)
Charitable activities
2024 (£)
Direct costs
Operations
5,150
9,426
Travel and Hospitality
4,075
3,388
Website
744
-
Membership
360
480
Prizes and Gifts
500
2,326
Monitoring and Reporting
716
6,221
Total
11,545
21,841

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Share of support and governance costs (see note 8) 50,515 47,935 Analysed between
Support 11,845 4,212 Fundraising 3,812 5,961
Total 407,908 588,140 Charitable activities 62,360 52,147
Analysis by fund Total 66,172 58,108
Unrestricted funds 407,908 588,140 Governance costs comprise
Independent Examination fee 1,382 1,546
7. Grants payable Volunteer Expenses 169 84
Governance costs 10,294 2,582
Charitable activities Charitable activities
2025 (£) 2024 (£) Total 11,845 4,212
Grants to institutions:
Christmas Connections 38,065 40,829 9. Net movement in funds
Community Grants 186,413 387,158
Other 109,525 86,165 2025 (£) 2024 (£)
Total 334,003 514,152 The net movement in funds is stated after charging/(crediting)
Fees payable for the independent examination of the
charity’s financial statements 1,382 1,546
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8. Support costs allocated to activities

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2025 (£) 2024(£)
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10. Trustees

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

Staff costs
IT and Equipment
Facilities and Services
Expenses
Training
Governance costs
Total		 39,418
125
10,370
4,075
339
11,845
66,172		 38,406
1,155
9,470
3,388
1,477
4,212
58,108

11. Employees

2025 2024 The average monthly number of employees during 2 2 the year was:

34 Financials

Financials 35

11. Employees (continued)

2025 2024
Employment costs
Wages and salaries 68,130 66,970
Social security costs 7,642 6,828
Other pension costs 3,064 3,014
Total 78,836 76,812

Foundation staff are employed and paid directly by McCarthy & Stone and on permanent secondment to the charity. The average headcount of the charity for 2025 was 1.8 FTE (2024: 1.6 FTE)., with the Head of Foundation employed full-time and the Foundation Coordinator on a part-time basis.

There were no employees whose annual remuneration was more than £60,000.

Remuneration of key management personnel
Aggregate compensation		 2025 (£)
78,837		 2024 (£)
76,812

12. Taxation

The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.

13. Debtors

2025 (£) 2024 (£)
Amounts falling due within one year
Trade debtors 1,700 2,850
Prepayments and accrued income - 500
Total 1,700 3,350

14. Creditors: amounts falling due within one year

15. Creditors: amounts falling due within one year

2025 (£)
2024 (£)
Other creditors
47,485
40,000
Accruals and deferred income
2,928
1,546
Total
50,413
41,546		 2025 (£)
2024 (£)
Other creditors
-
40,000

16. Retirement benefit schemes

2025 (£) 2024(£)
Defned contribution schemes
Charge to proft or loss in respect of defned
contribution schemes		 3,064 3,014

The Charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the Charity in an independently administered fund.

17. Unrestricted funds

The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.

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At 1 November Incoming Resources At 31 October
2024 (£) resources (£) expended (£) 2025 (£)
General funds 4,326 754,457 (610,581) 148,202
At 1 November Incoming Resources At 31 October
2023 (£) resources (£) expended (£) 2024(£)
General funds 65,565 716,428 (777,667) 4,326
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18. Related party transactions

The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.

Better Understanding of Dementia for Sandwell

“The grant supports the running costs of our weekly activity sessions. The sessions give people living with dementia the opportunity to remain socially active, maintain friendships and be part of their local community. Thank you so much for your support.”

Claire Mahmood, Development Manager

36 Financials

Financials 37

Looking ahead

2025 has been another remarkable year for the Foundation, despite the ongoing challenges in the wider market. As we look ahead to 2026, our commitment remains clear: to make a tangible difference in reducing isolation and loneliness for those in later life.

The current environment is challenging for small charities, with the sector facing significant funding pressures. With an ageing population and the continued cost-of-living crisis, we are determined to focus our support on causes that can deliver the greatest social impact.

growing support from our customers, colleagues and supply partners, ensuring the Foundation remains sustainable and resilient.

We will continue to provide funding during the Christmas period through our Festive Connections programme, supporting over 50 small charities – a tradition that remains close to our hearts.

In 2026, we will continue to strengthen our alignment with McCarthy & Stone, with a greater focus on supporting communities where the business operates. To ensure our grants have maximum impact, we will continue to target funding to areas where deprivation and loneliness are most acutely felt among older people.

Following the successful launch of our Dementia Grant Programme in 2025, we will run it again in Spring 2026. Connecting our fundraising efforts to this campaign was widely welcomed across McCarthy & Stone, and we look forward to building on this success.

As our funding model evolves, including changes to matched funding during the year, we will place increased emphasis on diversifying income and

Havens Happy Clubs

“We are so grateful to the McCarthy & Stone Foundation for helping to keep our minibus on the road, so that we can continue to pick up our members for Havens Happy Clubs every week.”

Michaela Twaits, Manager

Wherever possible, we will continue to provide unrestricted funding, recognising how critical this flexibility is for the sustainability of small charities. This adaptable approach to funding is a core strength of the Foundation, and one we are proud to maintain.

charities seeking funding, while also showcasing the positive impact of our grants. We hope this will drive further support from our supply partners, colleagues, and customers.

We will continue to raise awareness of the Foundation across McCarthy & Stone communities. Our customers have been incredible supporters to date, and we plan to grow this support through targeted fundraising campaigns.

Our Welcome Wednesday social groups will also continue into 2026, bringing a sense of community and belonging to participants each month. Given the high demand for grants in 2025 and the resources required to run these groups, we will focus on maintaining their quality and impact rather than expanding numbers.

Finally, we remain deeply grateful for the ongoing support of the McCarthy & Stone Group, its people, customers, and supply partners, all of whom make our work possible. Our experienced and committed board and team are dedicated to delivering meaningful impact and ensuring a sustainable future for the Foundation.

Having celebrated five years of the Foundation in 2025, it is a fitting time to refresh our website. The redesign will prioritise the user experience for

38 Looking Ahead

Looking Ahead

39

We are grateful to the Trustees of the Foundation who provide invaluable support, knowledge and commitment throughout the year.

Trustees

Paula Jordan (Chair), Martin Edwards, Paul Teverson, Sarah Allport, Elizabeth Marsh, Fiona Carleton, Kimberley Smith (Resigned 5th October 2025), Andrew Burrett (Appointed November 2025)

Head of Foundation Julia Laister

Foundation Coordinator Chealsie Stewart

Help us make a difference to the lives of older people by giving your support. For more information, please get in touch.

Independent Examiner

Frances Wilde FCCA DChA, Warner Wilde Limited, Chartered Certified Accountants

Registered address

4 Marigold Drive, Bisley, Surrey, GU24 9SF

Bankers

HSBC, PO Box 10, 59 Christchurch Road, Bournemouth BH1 1EH

mccarthystonefoundation.org

The McCarthy and Stone Charitable Foundation (working name: McCarthy & Stone Foundation) is a Charitable Incorporated Organisation (CIO) registered in England and Wales no. 1191504. It is governed by constitution, dated 28th September 2020, which sets out the Foundation’s charitable objects.