2021-03-31-accounts

TURN2US ANNUAL REPORT AND ACCOUNTS 2020-2021 +4 TURN•*US

Sally O’Sullivan, Chair of Trustees - Introduction

It’s hard to believe that, when writing our last Annual Report & Accounts, we were at the beginning of a global pandemic that would change the course of history and our lives.

Even in the best of times, we would be able to be proud of this work. But the last year has not been the best of times and it is testament to the hard work and dedication of all of our teams across the charity that they have been able to increase our reach and offer our services to as many people as possible. This has taken place under the leadership of our chief executive, Thomas Lawson, and our team of directors who drive forward our charity’s purpose and strategy.

Now, one year later, we have a far greater understanding of the impact Covid-19 has had on our lives, and livelihoods. We are also able to chart the impact Turn2us has had during this time and how we have managed to get immediate financial support and information to those of us at the point of crisis.

We are lucky to have such driven and talented leadership, guiding us through the current storm engulfing our nation and I would like to offer them all, along with their teams, my sincerest thanks for all that they have done and continue to do.

The economic implications of the pandemic are unrivalled and most of us in the UK have never experienced an event of such magnitude. The implications will be far reaching for generations to come and I am in no doubt that charities such as ours will continue to play a crucial role in helping people keep their heads above water while the economy embarks on its road to recovery.

As we provide you with this update on the year gone by, we do so with one eye also on the future. Our work and understanding of poverty in the UK, and the impact of life events on people’s financial security, is growing all the time.

We know that life events can happen to anyone. Of course, they won’t often be of the same magnitude as the coronavirus. But whether it’s through the death of a loved one, the diagnosis of a life limiting illness, a job loss, or even the birth of a baby, they can and do cause a significant financial shock and loss of income to many lives across the UK. Sadly, the most marginalised amongst us are the worst affected. Sometimes this is temporary, while other times it can be more long term and even be the catalyst for pushing people into financial crisis.

Next year, we celebrate our 125th Anniversary and recognise the incredible legacy left behind by our founder, Elizabeth Finn. As ever, we will strengthen our understanding of life events and of those of us who are increasingly plunged into financial insecurity, or even poverty. This work will enable us to write the next chapter for Turn2us. I am personally very proud to be a part of this and want to thank you for the role you continue to play in continuing our story. Hopefully we can look forward together to a future where charities like ours are no longer needed.

Over the course of this last year, we have invested a great deal of time and resources into providing vital support as these life events unfold for people. You will see from this report, that we have given out over £4.6 million in grants to 5,586 people and helped 2.6 million people understand their benefit entitlement through our benefits calculator tool.

Sally O’Sullivan, Chair of the Board of Trustees

We are lucky to have such driven and talented leadership, guiding us through the current storm engulfing our nation and I would like to offer them all, along with their teams, my sincerest thanks for all that they have done and continue to do.

Thomas Lawson, Chief Executive - An overview

Over the course of the last year, millions of us have been thrown into financial hardship and the coronavirus pandemic has shone a light on quite how precarious life really is. While unemployment, debt and poverty are predicted to continue to rise, our determination to fight the unfair and pernicious reality of not having enough money to live on is stronger than ever.

As Sally O’Sullivan mentioned, next year is an opportunity for us, together with all of you who make our work possible, to continue writing the story of Turn2us. Our plans for 2021/22 are ambitious, but so are the incredible people driving us forward. We know that poverty is not inevitable and for the fifth wealthiest nation in the world, it is our country’s greatest shame that a fifth of us face financial hardship. By working together, I am confident that we can continue to challenge the systemic issues that pull people down, and bring about real and meaningful change so everyone has the opportunity to thrive.

In response to the pandemic, we developed a joint crisis grant and information programme in partnership with six community-based organisations. The programme specifically targets Bangladeshi and Black African women who, as both our own research and government data shows, have been disproportionately affected by Covid-19. We also successfully appointed a new Helpline provider, Connect Assist. The new contact centre went live in November 2020 and has already started to deliver an increased level of support, with an additional 2,500 calls, web chats and emails answered in the first six months; compared to the same period of time the year before.

Thomas Lawson, Chief Executive of Turn2us

• Our emergency fundraising appeal in The Telegraph helped raise over £1.3 million , meaning we were able to get crisis cash grants to around 2,610 households in just a few weeks. Following this tremendous support, more donors were inspired to give an additional £1.2 million directly to the charity.

There has never been a more important time for the experiences and insight of people with lived experience of financial hardship to remain front and centre of our work. Our teams across the charity have been working closely with our co-production partners so that the services and support we offer to people meet their needs – in the best possible way and at the moment they need it. In just this financial year alone, we have co-designed our work with over 60 people on 29 different projects throughout the organisation.

• Over 8.8 million people visited our website over more than 13.3 million sessions; this equates to a thousand people per hour. Over 1.3 million people also carried out a grant search.

• Over 750 people were supported through the Edinburgh Trust, with grants totalling £513k .

As we reflect on the last year, we are reminded of all the people who made this possible. Our staff team, co-production partners and Board of Trustees, led by our dedicated Chair, Sally O’Sullivan, have been steadfast in their commitment to making sure we get all the help we can to people; as quickly and efficiently as possible. And our achievements would not have been conceivable without the wonderful support we receive from volunteers, our sector partners, donors and corporate supporters. Together, they have played an instrumental role so our grants and services can continue, and even grow, during an exceptionally difficult and challenging time.

• Three of our Elizabeth Finn Homes (30%) have achieved an ‘Outstanding’ rating with the Care Quality Commission; this compares to 5% in the industry as a whole. Five of the homes have achieved the Gold Standard Framework accreditation for end of life care, with three of the homes (Halliwell, Grove Court and Rashwood) achieving the prestigious Platinum status.

2

3

Annual Report & Accounts 2020/21

Our Year in Numbers

Today, in the UK, more than one in five of us is living in poverty – that’s at least 14.5 million people. Turn2us is committed to fighting this inequality and here are some key highlights from the last year that demonstrate how we are doing this.

We gave over £4.6 million in grants to 5,586 people in financial need

1.3m

2.6m

people completed a benefits calculation

grant searches were completed

8.8m

people visited our website for information to help them tackle financial shocks

After completing a benefits calculation online, at least 224,000 people claimed new benefits in the past financial year – that is 610 people a day claiming up to an additional £5,230 in benefit income each year

81k

Our helpline received over 81,000 contacts from people needing support to access our services and those of others

Turn2us’s purpose & strategy 2020-2023

Turn2us is a national charity that offers practical information and support to people facing financial shocks. We work alongside people who have experienced not having enough money to live on to develop practical information and support that helps people cope with life-changing events such as job loss, illness or bereavement.

Our purpose and three-year strategy puts the people for whom we exist at the heart of all we do. It clearly sets out our commitment and approach:

• Support and information should be co-produced and led by the people we serve: people with lived experience of not having enough money for a reasonable quality of life. They are the experts of their own situations and our role is to support them to be their own agents of change in their own lives.

We do this through:

• The Turn2us website ( www.turn2us.org.uk ), which includes: a Benefits Calculator to find out what welfare benefits and tax credits you could be entitled to; a Grants Search to find out if you might be eligible for support from over 1,500 charitable funds; and a range of information and resources to help people struggling to get by.

• Life-changing events - from the magnitude of coronavirus and lockdown to bereavement, or even the birth of a child - can often cause financial shocks. This in turn can lead to financial crisis; pulling people into poverty. We want to become deeply expert at knowing how to reach and support people at the pivotal moment: when they face the overwhelming stress of profound personal change and the consequent financial hardship.

• Offering direct financial assistance through a range of specific funds that are managed directly by the charity. This includes the Edinburgh Trust in Scotland, the Elizabeth Finn Fund, which supports people from over 120 different professions, and the Turn2us Response Fund which supports people when they have had a life-changing event in the last 12 months that has left them in financial hardship.

Turn2us is committed to collaborating with other organisations to tackle the causes of poverty. An increase in people’s income is not enough when systemic forces, such as stigma, housing shortages, and inequalities in the availability of goods and services perpetuate social exclusion. This Annual Impact Report outlines how we plan to do this and highlights the progress made to date.

The charity also has a wholly owned commercial subsidiary, Elizabeth Finn Homes Ltd (EFHL), which operates nine care homes across England and whose profits contribute to the running costs and charitable aims of the charity.

Our purpose: So everyone has the opportunity to build financial security and thrive, Turn2us offers the information and support people need in the face of life-changing events and collaborates to tackle the causes and symptoms of poverty.

4

5

Annual Report & Accounts 2020/21

Strategic Report

Objective 1:

Deliver high-quality, practical programmes that include information and financial support so that people can build their own financial sustainability and thrive

Achievements and Performance

Working with colleagues, our management team set a total of 38 objectives for 2020/21. Here we summarise our performance and some of our key achievements, as well providing an overview of how we will build on this, and deepen our impact, in 2021/22.

• During the last year, we began to streamline • Our Helpline was successfully retendered, with our grants process to improve how we the appointment of a new provider, Connect award grants to people, with dignity, respect, Assist, in July 2020. Our new service went live equality and accountability. This included in November 2020 and has already begun reviews of our partnership referral grants and to deliver a 20% uplift in volume of support, changes to the assessment documents for without compromising quality. As part of this the Edinburgh Trust. We designed a fast track work, we introduced a Stakeholders Panel, grant process for our emergency Covid-19 including four co-production partners, to fund, so we could more quickly award grants provide strategic oversight of the project to people who were impacted financially. We development and execution. We are working also worked with a digital partner to pilot with the new Helpline to meet the continued open banking for applicants. Looking ahead, increase in demand, resulting from the we will complete the in-depth review of impact of the pandemic on people’s lives. our main funds and consider further digital Furthermore, we are developing ways improvements and solutions to increase our to deliver support in multiple languages reach and impact. This includes ensuring we and through the addition of easy to use undertake grant making work through the automation. This will enable us to better meet development of Equity, Diversity and Inclusion the more complex needs of marginalised or lenses. We also plan to redevelop our excluded parts of society, by speaking their Customer Relationship Management solution own language and freeing up advisor time to improve reporting and management. to enable more in-depth interactions with people in the greatest need.

• Our grants and digital teams worked with co-production partners to redesign the Grants Search tool in order to create simple user journeys which enable people to more easily find and apply for grants. This year, we will implement the learnings from this to ensure a streamlined experience for users of the tool and other areas of the digital platform; making it easier for people to access support.

"Our grants and digital teams worked with co-production partners to redesign the Grants Search tool in order to create simple user journeys which enable people to more easily find and apply for grants."

• Early on in the year, we took the decision to re-prioritise our work in Scotland, whilst we continue to identify and approach donors to help fund a Scottish Benefits Calculator. In line with this, we are building upon existing infrastructure by focusing our work in Edinburgh. Following the release of the Edinburgh Poverty Commission report, which identified seven calls to action for eradicating poverty by 2030, we are developing our programmes which will lead to an expansion of our work in the city. Our information team will also develop specialist knowledge on Scottish Benefits.

6

7

Annual Report & Accounts 2020/21

Objective 2:

Deliver even better impact for people facing financial hardship through the co-production of our work with experts who have lived experience, in collaboration with other organisations and through a dedication to insight, evaluation and learning.

• At the heart of our strategy is a determination to design, deliver and evaluate our work hand-in-hand with people who know what it is like to not have enough money to live on. Our newly established co-production officer role within the charity has helped us to make great headway in this area. They have worked with lived expert partners to create our first co-production framework and toolkit which details best practice processes for developing our work. Last year, over 60 people were involved in both co-producing and improving our projects and programmes. This approach will remain at the forefront of how we deliver our programmes, services and communications. We will also continue to develop opportunities across the charity, increase the number of people involved, and establish a peer support network for co-production partners.

• The development of impact evaluation and learning plans, and the combination of data analysis and qualitative interviews with national research, has enabled us to build an evidence base for improvements to existing services and the creation of new ones. Through this work, we have been able to better reach the more marginalised and minoritised people who have previously been under represented in our work, and been able to respond to changing needs and contexts. We will now build our evidence base so that we can better understand the impact of our work and improve our offering for people economically impacted by life events. This includes developing a greater understanding of life events themselves.

• We have recruited a new volunteering team as an

• communications. We will also continue to integrated part of our Information Programmes.

• develop opportunities across the charity, Together with co-production partners, they

• increase the number of people involved, have started to re-think what volunteering for

• and establish a peer support network for Turn2us means and rolled out the first of a series co-production partners. of e-learning resources on grants and welfare benefits. This work is specifically being developed

• • As part of our Covid-19 response, we with volunteers in partner organisations working developed a joint crisis grant and to support their communities to ensure more information programme in partnership with people are enabled to access our information six local, community based organisations. and support at the point that they need it. This programme specifically targeted Working with lived experts, we will complete a Bangladeshi and Black African women co-production process for volunteering so we who, as research has shown, have are clear that this area of work best reflects the been disproportionately affected by the needs of our service users. We will also continue pandemic. The insights and learnings from the development and delivery of a volunteering our Covid programme will be reflected in strategy in collaboration with local, community our future approaches. This will ensure focused groups. This strategy will provide the we continue to target people who are at tools and information local groups need in order greatest risk of financial hardship following to help amplify their work. It will also establish life events. A local programmes strategy will partnerships that allow our Helpline to confidently also be developed, in order to help us to refer and signpost callers with problems outside increase our impact within communities. our core expertise to more specialist support within their communities.

The insights and learnings from our Covid programme will be reflected in our future approaches. This will ensure we continue to target people who are at greatest risk of financial hardship following life events.

Objective 3:

Build the profile of Turn2us and its work to reach people facing life-changing events and experiencing poverty, and secure support for our work.

• Following research into the people most • A thorough and fully co-produced evaluation affected by the coronavirus pandemic, of our brand was undertaken with lived we have started to target our media and experts, external stakeholders, colleagues awareness activity in order to ensure and trustees. A subsequent working group, we reach underrepresented groups of with pro-bono support from a specialist people. This includes women, people from brand agency, went on to evolve our Black, Asian and other ethnic minoritised brand according to our needs and make backgrounds, people who identify as recommendations for how best to move disabled, and self-employed workers. We will forward so our charity is fit for purpose in also use our 125th Anniversary to reach more a post-pandemic world. Continuing our people impacted by the financial implications collaboration with co-production partners of a life event. and colleagues alike, we will launch and implement our new visual identity across all channels and with all stakeholders. The

• • During the course of this year we undertook imagery, stories and videos that communicate

• several quantitative and qualitative surveys to our values and purpose will be used to

• understand the scale and impact of poverty reposition the charity towards the people

• in the UK. Our policy and programme teams used the findings to persuade government for whom it is here to serve and to make our services more visible and accessible amongst

• to make changes on policy areas such as the communities who need us.

• During the course of this year we undertook several quantitative and qualitative surveys to understand the scale and impact of poverty in the UK. Our policy and programme teams used the findings to persuade government to make changes on policy areas such as Universal Credit, Local Welfare Assistance Schemes and child benefits. Our charity wide integrated campaign will tackle the causes and symptoms of poverty and focus on delivering programmes that are rooted in insight and policy work. We will do this in collaboration with both co-production partners and sector partners, ensuring our policy work remains grounded in the needs of the people for whom we are here to serve.

• We have developed a number of new relationships with a range of partners to continue to deliver our local, grant making and information programmes. Notably, as part of the Covid-Response programme, we successfully developed new partnerships with six organisations in order to reach those people most in need. These relationships are based on the principles of equity and mutual benefit to ensure the programme has measurable and collective impact. We are continuing to develop a UK-wide partnership with the National Emergencies Trust, which means when a disaster happens in the UK, we can respond with grant making and information programmes that are relevant to the affected communities.

8

9

Annual Report & Accounts 2020/21

Objective 4:

Develop our influence on policy, practice and public opinion, tackling the prejudice towards people experiencing poverty and insisting on their fundamental rights to access social security.

• We undertook ongoing research on the impact the pandemic has had on people’s finances in order to advocate for temporary additional policy measures to protect people from crisis. This included contributing to joint campaigning with a number of sector partners, including the Joseph Rowntree Foundation and the End Child Poverty Coalition. Work during this period included a briefing in the immediate aftermath of lockdown and proactive lobbying around the Comprehensive Spending Review, the Budget and the scheduled end of the £20 uplift. In partnership with New Philanthropy Capital (NPC) and Buttle UK, we have started to develop a Local Needs Databank to combine our findings with data from other organisations from within the grant making sector. In the year ahead, our teams will implement a co-produced policy and advocacy strategy that aligns to our programmes and purpose. We will work towards understanding the impact of life-changing events and make the case for economic and welfare reform, and develop a piece of collaborative research with the Bennett Institute for Public Policy. We will also develop a digital campaigning platform so users of our website and programmes can advocate for themselves on the issues that affect them.

• In the latter half of 2020, we increased our efforts to amplify the voices of people living in poverty. This included the establishment of an External Affairs Committee, comprised of people with lived experience of financial hardship and many who have claimed benefits. Since the group was formed, it’s diverse membership of lived experts have helped steer our policy work, input into campaign creative, and contribute to Turn2us research. Members of the committee have helped shape our new values, review and develop the brand and co-design the new Benefits Calculator. Through ongoing public relations we will continue to place people with lived experience at the forefront of the discourse around poverty and to amplify their voices on the issues that matter to them.

Objective 5:

Invest in our culture, systems, knowledge and skills

• Following an extensive evaluation of our existing values with our staff team and co-production partners, we have established a new set of values for the charity. Led by a pro-bono specialist, this work was fully co-designed and has resulted in a set of four new values that better reflect the charity’s purpose and the way in which our people and our service users want to work. They are ‘Financial Security for All’, ‘Together We Succeed’, ‘Listen, Learn, Improve’ and ‘Impatient’. Our leadership team, with support from our Human Resources and Communication leads, will continue to work together to embed our new values throughout the charity and its work.

• We have improved our safeguarding governance and created a new safeguarding policy and reporting processes. Following this we delivered training to all staff at Turn2us and supported our new Helpline provider to adopt these processes. We will continue to develop our safeguarding culture and focus on ensuring a lens of social justice in programmatic risk management and partnership development with the aim of people being kept safe from harm.

• We reviewed our recruitment policy and revised it to emphasise our principles around diversity and co-production. It includes a more rigorous process to support recruitment and induction in order to ensure it is consistently applied across Turn2us. To support this work, we purchased new software (Applied) that allows 'blind' recruitment for all open positions; prevents unconscious bias within hiring teams and builds more diverse applicant slates. We will monitor diversity of applicants and identify more websites to advertise on to continue to build diversity. In addition, and in close conjunction with our equity, diversity and inclusion committee, we will review our approach to all intersections of inequality - race, gender, class, age and disability - to ensure Turn2us is a good and safe place to work.

• In order that the Board can oversee the financial management of the organisation, adequate financial systems and procedures must be in place. As a result of staff consultation in the previous year, the Trustees agreed to significant investment in finance software that will improve recording and reporting key information to Trustees, staff and stakeholders. This was rolled out at the end of the 20/21 financial year.

Objective 6:

Maximise our assets and secure income ethically to achieve impact

Securing funding for key programmes has been an integral part of our strategy this year. We established our first multi-year partnership with Royal London, with a joint focus on life events.

This flagship relationship represents an exciting opportunity for us to move beyond traditional fundraising partnerships and offers mutual benefit to both parties. Our relationship with Royal London generated increased strategic funding to deepen the reach and impact of our work, supporting those facing life shocks, with a specific focus on increasing capacity within our Helpline. In addition to this, and through awareness generated by our Covid Appeal, we obtained additional funding from Barclays, Direct Line, Oakley Advisory, and over 25 individual major donors. This helped to bolster our crisis response to the pandemic. We were also pleased to secure a locally based partnership with TSB Bank. Our work in this area raised a significant £893,000 – a 677% increase on our original target. We will continue to build on our work with current partners, as well as identifying and securing new business from other suitable sectors. As we move forward, we will be seeking funders to support us to reach more people, while ensuring we can deliver targeted work aimed at communities with the greatest need or deprivation.

In addition, we will look to secure funds from partners that will enable us to better tailor our services to specific groups of people and to support our local programme work, digital tools, grant funds and volunteering.

"Our relationship with Royal London generated increased strategic funding to deepen the reach and impact of our work"

10

11

Annual Report & Accounts 2020/21

FINANCIAL REVIEW

Investment Policy

Fundraising Performance and Compliance

Turn2us is registered with the Fundraising Regulator and adheres to the Fundraising Code of Practice. We employ a central team of professional fundraisers and commission the services of specialist consultants, for the purpose of raising money for the charity via contributions from members of the public, grant-making institutions, gifts in wills, companies and commercial trading. We do not currently use external agencies for fundraising.

Supporter income: We would particularly like to thank our generous supporters for donations and legacies this year, with over £4.6m raised. This is a 2% increase on the previous year. A large source of income was through a fundraising appeal in partnership with The Telegraph aimed at supporting people financially impacted by Covid-19.

For the 12 months to 31 March 2021, we received no complaints in relation to our fundraising activities. Via written policies and training, our staff received guidance regarding Data Protection (including GDPR) and regarding communications with vulnerable members of the public.

Care home income: Elizabeth Finn Homes Limited (EFHL), a subsidiary of Turn2us, operates nine care homes across the UK and is run separately from Turn2us, with surplus and rent from the care homes being invested back into the charity. In 2020/21, EFHL contributed £4.1m (2020: £5.1m) in both covenanted surplus and rent to Turn2us. The decline was due to the impacts of COVID-19 on the care home industry. The contribution figure is stated after investing £327k (2020: £391k) in our ongoing programme of maintaining the facilities to ensure excellent care.

Our income for the year was nearly flat, with a 3% decrease (2021: £34.9m; 2020: £35.8m). The Turn2us Group is fortunate to have three main sources of income which are not closely correlated: supporter income, care homes income and investment income.

Investment Income: The Trustees

have given our investment managers discretionary mandates, based on equity growth benchmarks. Investment income for the year totalled just over £900k. Investment valuation increased by £17.6m at year end. The sharp increase was largely due to the recovery of world markets after the Covid-19 recession in spring 2020.

For the 12 months to 31 March 2021, we received no complaints in relation to our fundraising activities.

Our charity revised its investment policy in 2019. This continues to recognise three critical groups of assets, which are monitored by the Investment Committee on a quarterly basis:

• An investment property portfolio, consisting of fourteen assets, mostly donated to the charity, plus tangible fixed assets, consisting of nine wholly owned care homes, operated by a commercial subsidiary for the purpose of providing residential and nursing care;

The overall investment objective, based on total return, was changed from ‘3 month £ LIBOR + 5%’ to ‘RPI + 4%’ in order to create a closer link between expected investment return and the ability to fund the charity’s expenditure on its work. The Trustees have given the investment managers discretionary mandates, based on equity growth benchmarks. The equity asset allocation is counterbalanced by the property portfolio noted above.

• Investments managed on behalf of the charity by two professional fund managers operating on a discretionary basis;

• Cash used for working capital purposes and managed in-house.

For the £56.8m funds held by Investment Managers (2020: £43.0m), the combined investment performance for both investment managers for this year was +35%, ahead of the composite benchmarks and in line with the overall investment objective.

The majority of property assets are reviewed as part of the continuing assessment of performance of the dedicated care homes subsidiary, Elizabeth Finn Homes Limited (EFHL). Investment properties, which do not form part of the care home portfolio, are reviewed regularly by the Investment Committee to determine their most appropriate use in maximising return.

The Edinburgh Trust portfolio is ring-fenced by fund managers, given its size and the specific nature of its activities. Other ongoing restricted funds are co-mingled into the main discretionary portfolio to optimise total returns for each fund over the long-term.

Our Finance & Investment Committee monitors the performance of the listed investments using defined criteria.

12

13

Annual Report & Accounts 2020/21

Risk Review

Expenditure

The Trustees believe that they have identified the major risks to which the charity and group are exposed. For the charity, these include: ongoing financial stability; maintaining good reputation in conducting the various charitable activities and operational resilience.

Total expenditure was a small increase on the previous year of about 3% (2021: £35.0m; 2020: £33.9m). Spend on charitable activity has gone up 10% (2021: £8.8m; 2020: £8.0m) with a large increase in grant making targeted at those financially impacted by the pandemic. Care home costs have increased 1%, and core running costs declined by 24%.

For the care home subsidiary the main risk is the quality of the personal care provided in the care homes and the impact of Covid-19 on occupancy levels. Risks have been categorised both by the likelihood of their occurrence and by their potential impact on the charity and group. Trustees review the adequacy of protection against these risks and, where this appears insufficient, put in place appropriate procedures to mitigate them.

Reserves Position and Policy

In drawing up the reserves policy, Trustees are mindful of the need to balance financial prudence with the importance of getting money quickly to the front line of our work.

To enable the charity to deliver upon its commitments to our beneficiaries and to avoid any risk of interruption to the primary objective, our prudent reserves policy is to retain between six and 12 months of group expenditure in free reserves. This will continue to be our goal as we manage the potential impact to revenue due to Covid-19, both in care home income and charitable giving. However, we are committed to maintaining our levels of charitable giving during a time when more people are facing financial crisis due to the pandemic.

In some instances, protection is provided by insurance cover; in others, by monitoring, reporting, continually assessing the risks concerned and the development of contingency plans. The Turn2us Audit, Risk & Governance Committee of the Board of Trustees regularly (twice a year) reviews the identification and mitigation of both new and existing risks.

The Covid-19 pandemic brings significant risk to our care homes, most importantly in regard to the health of our residents and staff, but also in potentially reducing the financial surplus that helps fund the charity. Negative impact on charitable fundraising is also possible; while many potential beneficiaries of Turn2us also face economic uncertainty. We are, however, well placed to assist during this time of heightened financial need. Our online financial information tools are web-based and are therefore scalable to assist any who may be adversely affected by financial difficulties caused by economic uncertainty uncertainty or who may wish to become better informed about their financial situation.

As at 31 March 2021, total funds were £69.7m, an increase of 34% from the previous year (2020: £52.2m). Unrestricted reserves, as described in the Balance Sheet, are funds freely available for use by the charity and therefore exclude restricted reserves and permanent endowment funds. Furthermore, although unrestricted, the designated funds represent the net book value of tangible property assets, primarily managed by the commercial subsidiary. They are therefore not regarded as free reserves available for spending.

At 31 March 2021, the charity held free reserves of £32.5m, which represents about 11 months of the group’s annual expenditure. The Trustees are confident that the reserves level is sufficient for current and proposed levels of activity.

"In drawing up the reserves policy, Trustees are mindful of the need to balance financial prudence with the importance of getting money quickly to the front line of our work."

"We are committed to maintaining our levels of charitable giving during a time when more people are facing financial crisis due to the pandemic."

14

Annual Report & Accounts 2020/21 15

Elizabeth Finn Homes

Elizabeth Finn Homes Ltd (EFHL) is a wholly owned commercial subsidiary of Turn2us and operates nine care homes. Any surplus profits from the care homes are invested back into the charity.

We invested in technology to enable families to video call their loved ones, and developed bubbles of residents where small groups could interact within the homes, maintaining social distance of course. We produced weekly newsletters that were sent out to families to keep them aware of latest developments. Across the network of homes, we added an additional home to our portfolio of outstanding homes. Shortly after this, one was re-inspected and moved to a good rating; we still have three (33%) which have achieved an ‘Outstanding’ rating with the Care Quality Commission which compares to 5% in the industry as a whole. Five of the homes have achieved the Gold Standard Framework accreditation for end of life care, with three of the homes (Halliwell, Grove Court and Rashwood) achieving the prestigious Platinum status.

During this financial year, we transferred the management of the only property we didn’t own (Oak Hall) to another operator, with the full agreement of the owners of that property.

While the financial performance of our remaining care homes for 2019-20 was largely unaffected by Covid-19, the impact of Covid-19 on care home admissions and on staff costs since March 2020 has had a financial bearing on EFHL, and has impacted on the financial contribution EFHL has been able to pass on to Turn2us. This contribution has been much reduced in 2020-21 and at £3.8m is down by approximately £1m from the initial forecast.

Some homes have, inevitably, had Covid-19 outbreaks; where this has happened staff ensured that infection rates were kept low and established extra measures to keep cross infection to a minimum. All homes have had a continuous supply of PPE, and full Covid testing as soon as it was available, which has resulted in fewer people passing away in 2020/21 than for the same period in the previous year. To date we have vaccinated 100% of our resident population, with over 80% of our staff also vaccinated.

The incredible dedication of all staff during the pandemic, for which the Directors of EFHL and the charity’s Trustees are hugely thankful, will mean that the financial impact will be less pronounced than it otherwise would have been, thereby enabling the care home business to continue to support the work of Turn2us. This is in addition to ensuring that we maintained the highest levels of Covid-19 security to keep both our staff and our residents as safe as we possibly could.

Over the last financial year, EFHL provided care to an average of 387 residents (431 in 2019/20) in the homes owned by Turn2us. This represents an average of 79% occupancy across the year (88% in 2019/20).

At the beginning of the year we could not have predicted the challenges our teams were going to face. We developed a business continuity plan which we put into place early in March 2020. EFHL’s focus on the provision of safe, quality care has continued through the year. All homes were inspected against the Care Quality Commission infection control standards and all passed without criticism.

All homes developed special visiting areas where once testing and the government guidance allowed visiting has been taking place.

FINANCIAL ACTIVITIES OF THE CHARITY (see note 14b in the Financial Statements)

----- Start of picture text -----
Legacies: £1,620,000
Donations & Grants: £3,678,000
Net profit donation from
Elizabeth Finn Trading Company: £23,000
Rental income from Elizabeth Finn Care Homes: £3,664,000
Net profit donation from Elizabeth Finn Care Homes: £436,000
Investment income: £901,000
0%
incoming
resources
2020/21
4%
16% 9%
----- End of picture text -----

£10.32m received

Contributions from Elizabeth Finn Care Homes were made possible by the generosity of previous supporters who financed or donated the care homes to charity.

----- Start of picture text -----
35%
----- End of picture text -----

----- Start of picture text -----
36%
----- End of picture text -----

----- Start of picture text -----
Grants given: £5,154,000
Helpline, online and face-to-face support: £2,591,000
Grant casework: 1,599,000
Trading activities for charitable benefit: £14,000
Income generation: £524,000
0%
15%
----- End of picture text -----

Income generation: £524,000 Investment management: £296,000 Property maintenance of Elizabeth Finn Care Homes: £326,000

----- Start of picture text -----
25%
----- End of picture text -----

£10.50m spent

Charitable activity accounts for 89% of the total financial activity of the charity or 89p for every £1 spent

----- Start of picture text -----
49%
----- End of picture text -----

16

17

Annual Report & Accounts 2020/21

Trustees’ Report

Legal Structure and Governance

Turn2us became the trading name of Elizabeth Finn Care on 18 May 2015. The charity was founded in 1897 as The Distressed Gentlefolks’ Aid Association and incorporated on 19 January 1953 as a charitable company limited by guarantee. It is governed by its Articles of Association which were last amended on 23 July 2019.

Our Board of Trustees consists of at least seven and not more than fifteen individuals, all of whom must be members of the charitable company. Membership is open only to the Trustees. Trustees are appointed through an open, competitive process. When filling vacancies, the Board takes into account the experience needed to maintain the Board’s ability to effectively direct the full range of the charity’s activities. The Board arranges appropriate induction for any new Trustee. The Board of Trustees currently meets at least four times a year.

Changes to Trustees

Two new Trustees joined the Board in December 2020: Edwina Johnston and Kalm Paul-Christian FRSA.

Objects

Our charity’s objects are to relieve and assist, in such ways as the Trustees think fit (but without regard to religious or political affiliation), residents or nationals of the United Kingdom:

• Who are from a professional or similar background and who are suffering from old age, infirmity, disablement or financial need; or

• Edwina Johnston retired from Choice Care in August 2020 where she was CEO from 2009 and prior to that Financial Director from 2002. Before this, Edwina was Finance Director at another business having previously qualified as an ACA with Price Waterhouse. As well as extensive leadership experience, Edwina brings over 10 years of specialist safeguarding knowledge to her role as trustee. She has also joined the Board of Elizabeth Finn Homes.

• Kalm Paul-Christian FRSA is an investment banker working in the Financial Institutions Advisory Team at NatWest Markets. He began his career with Rothschild & Co before joining The Social Investment Consultancy where he advised charities, social enterprises and investment funds. Kalm is a graduate of the University of Oxford, Fellow of the Royal Society of the Arts and a member of the Worshipful Company of International Bankers. He also brings with him personal experience and insight into financial hardship as a child growing up in a low income family in the UK.

One new Trustee joined the Board in June 2021:

Natasha Otero-Nevitt joined the board in June 2021 and has a career history in school leadership and school improvement, having worked as part of senior management in schools and as a Specialist Leader of Education. After helping parents access special educational needs support, Natasha started volunteering for legal charities, something which she enjoys immensely and continues to do. From this pro bono legal experience of casework and advocacy, Natasha won scholarships and awards to undertake the Graduate Diploma in Law. She subsequently won further scholarships to study for the Bar, which she has just completed, and which confirmed her passion for equality and access to justice. Natasha had experience of working with Turn2us in co-production before becoming a trustee.

We had one trustee retire during this financial year:

Christine Lenihan retired as Trustee on 30 June 2020. We are grateful to Christine for all of her tireless support and dedication to the charity during her time on the Board and wish her every success for her future endeavours.

• Who are otherwise in conditions of need, hardship or distress.

18

19

Annual Report & Accounts 2020/21

Public Benefit Statement

Under Charity Commission guidance on public benefit, all charities must be able to demonstrate that their main activity is charitable, according to the specific descriptions in the Charities Act 2011.

One of these descriptions is ‘the prevention or relief of poverty’. The Trustees confirm that they have complied with their duty to have due regard to the guidance on public benefit published by the Charity Commission in exercising their powers and duties.

As explained above under ‘Objects’, Turn2us has the primary aim of assisting people who live in poverty and all of its resources are focused on achieving its purpose to reach people facing a financial shock in the event of a life-changing event. House of Commons’ Library statistics estimate that there are 14.5 million people living in poverty in the UK. It is the charity’s goal to help them to understand and apply for their entitlement to state benefits, as well as for the support they may be eligible to receive from other charitable sources, including the Elizabeth Finn Fund. There are no restrictions as to who can access the Turn2us national helpline and website services without charge.

Trustees’ Review

The Trustees of Turn2us consider they have acted in accordance with their duties codified in law, which includes their duty to act in the way in which they consider, in good faith, would be most likely to promote the success of the charity. Considerations under section 172 of the Companies Act 2006 are embedded in decision-making at board level and throughout Turn2us. The issues and factors which the Trustees have considered when discharging their duty under section 172 are detailed throughout this report. The Board, and each Trustee, has a clear understanding of their responsibilities. These are set out in the matters reserved to the Board. The Board meets at least quarterly and receives regular reporting on key aspects of the charity’s operations, including reporting on material activities, regulatory matters, resilience, communications, programmes monitoring, together with financial and performance metrics.

When making decisions, the Board considers the insights obtained through relevant committees, staff and stakeholder engagement activities as well as the need to maintain a reputation for high standards of conduct and the long-term consequence of its decisions.

We have continued with the implementation of our three-year strategy, which was approved in 2019 after significant consultation and input from beneficiaries, staff members and other key stakeholders. Subsequently, this year’s budget was approved by the Board following a comprehensive review of our priorities and risks to our operation.

The year has included a national crisis in the form of the Covid-19 pandemic. The heaviest economic burden of this has fallen on members of our society who were already facing the greatest barriers to earning a living and making ends meet. The longer the pandemic continues, the greater those structural inequalities will become. Given this evidence, we have addressed how we continue to promote our success and achieve our charitable purpose.

We strive for a sense of high competence and work hard together with our staff – including through rigorous debate - on how to improve our long-term success and impact. That, combined with regular evaluation of our programmes and data insight, makes the development of all of our work – policy influencing, fundraising, communications as well as programming, much more sustainable. The Board and executive leadership team share a common vision of how we should go about achieving our goals and have clear roles and responsibilities.

"The longer the pandemic continues, the greater those structural inequalities will become."

External Stakeholders

Over the course of last year we worked closely alongside, and in collaboration with, a range of organisations, including Shelter, Hopscotch Women’s Centre and Fair Money Advice, to deliver high quality and practical programmes that support individuals to build financial security and to thrive.

Our new approach to partnerships centres on sharing knowledge, experience, and insight. This enables us to deliver impactful and holistic support, as well as drive organisational accountability and learning. We also work in co-production with experts by experience and have worked with over 60 co-production partners on 117 events within 29 different projects in this financial year.

Our campaigning work, backed by robust research, data and insight, gained important traction in 2020, with a particular focus on working as part of a sector wide coalition to introduce vital safeguards and financial support to people most detrimentally impacted by the Covid-19 pandemic. Our work in this area has helped us to build important relationships with government officials and policymakers. This includes the Minister for Welfare Delivery, Will Quince; the Department for Work and Pensions’ Change Director, Neil Couling and Member of the Work and Pensions Select Committee, Debbie Abrahams. We continue to work with a wide range of partners and lived experts to create and promote solutions that meet their needs. We also continued to work as part of a collation with End Child Poverty (ECP) to raise vital awareness of the indefensible numbers of children living in poverty.

The Board has continued its interaction with our regulators; ensuring we fulfil our legal obligations and accountability to our stakeholders (e.g. funders, staff, service users and the public). The interests of stakeholders are represented in the charity and act as a link with the important groups and organisations we work with, with a particular focus on both sector intermediaries and co-production partners.

Following the establishment of our Safeguarding Committee in the previous financial year, the charity gained good momentum in moving forward safeguarding best practice as the underpinning foundations for how we work with others.

Grant Making Policy

Turn2us Grant Programmes provide support to individuals and their families to:

• Address issues that may impact upon their financial stability and security

• Mitigate the impact that a change in circumstances may have on their physical or mental wellbeing

• Enable them to maintain or regain their independence and to control their lives for normal daily living.

All applications for support will be assessed:

• Against the eligibility criteria of the fund

• To establish specific need(s), which are essential to the financial stability, physical/mental wellbeing and independence to maintain normal daily living

• To understand the full circumstances of the individual and their family

• To establish the type and level of support needed.

Grant applications will be processed in accordance with relevant legislation, including the General Data Protection Regulation (GDPR) and any successor UK regulations in respect of GDPR and other relevant charity policies, including, but not limited to, Complaints and Compliments, Confidentiality, Safeguarding, Privacy and IT.

20

21

Annual Report & Accounts 2020/21

Streamlined Energy & Carbon Reporting disclosure

----- Start of picture text -----
GHG emissions and energy use Current reporting year Previous reporting year
data for the period: April 2020 (2020-2021) (2019-2020)
- March 2021 UK & offshore UK & offshore (restated)
----- End of picture text -----

GHG emissions and energy use data for the period: April 2020 - March 2021	Current reporting year (2020-2021) UK & ofshore	Previous reporting year (2019-2020) UK & ofshore (restated)
Total energy consumption used to calculate emissions in kWh	10,491,452	10,675,862
Emissions from combustion of greenhouse gas (Scope 1) - includes natural gas and LPG	1,502.8	1,367.1
Emissions from other activities which the company own or control including operation of facilities (Scope 1) - gas oil used for heating	202.5	167.3
Emissions from the combustion of fuel used in company owned vehicles (Scope 1)	8.4	36.5
Emissions from purchased electricity (Scope 2, location -based)	560.4	619.1
Emissions from business travel in rental cars or employee-owned vehicles where company is responsible for purchasing the fuel (Scope 3)	39.5	78.8
Total gross tCO2e based on above	2,313.7	2,268.7
Intensity ratio: gross tCO2e / FTE	3.27	3.25

Methodology

As a large charitable organisation, Turn2us is required to report its energy use and carbon emissions in accordance with the Companies (Directors’ Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 2018.

The data detailed in this table represent emissions and energy use for which we are responsible, including energy used in our offices and care homes and fuel used in company owned or operated vehicles or for company business. We have used the main requirements of the Greenhouse Gas Protocol Corporate Standard to calculate our emissions, along with the UK Government GHG Conversion Factors for Company Reporting 2020. Any estimates included in our totals are derived from actual data. We have restated last year's data, as our emissions from LPG had been calculated incorrectly. This error did not affect our energy use calculations.

Energy Efficiency Actions

Charitable Activity in Scotland

Overall, Turn2us supported 955 (2020: 920) people in Scotland with grants totalling £727k in 2021 (2020: £463k).

We operate a grant making programme in Scotland called the Edinburgh Trust. It is a restricted fund within the charity, which resulted from the City of Edinburgh Council transferring its responsibility as custodian for 35 poverty related charities and trusts to Turn2us in 2011. The 35 charities and trusts, together with their £12m funds and a small 10 bed care home (now sold and the £483k proceeds incorporated into the fund), were pooled together under the Edinburgh Trust. The Trust has four sub-funds that meet the spirit of the original trusts and charities, with updated eligibility criteria:

• The Edinburgh Support Fund (for residents of Edinburgh)

• Trinity Hospital Fund (for people over 55)

• Sir James Steel Fund (for older people, with a preference for the building trade)

• John Watson Fund (for residents of Leith, Cramond or Corstorphine)

The Edinburgh Trust Committee was formed to oversee the trust and it reports to the Turn2us Board of Trustees. It includes the Lord Provost (ex officio) and a Councillor from the City of Edinburgh Council.

Over 750 beneficiaries were supported in 2021 through the Edinburgh Trust (2020: 798) with grants totalling £513k (2020: £384k).

We have a dedicated office in Edinburgh with two caseworkers and a manager.

Volunteers

We are fortunate to have a large number of committed, informed and inspirational volunteers.

Many of these volunteers are among the most experienced and longest serving in the charity. Over the course of 2020/2021, we have had the support of 221 registered volunteers. Whilst the majority of these volunteers have been inactive due to the pandemic, 40 plus volunteers have been continuing to contact some of our long-term grant recipients by phone. In the coming months we will be developing our volunteer programme, working in partnership with local community organisations to utilise our existing volunteer support most effectively on a local level.

We will be supporting volunteers already active within their local communities to use our tools and resources more effectively, with the aim of developing a network of local volunteers supported by both Turn2us and local organisations. We will also be developing a new Volunteer Strategy to grow our volunteer programme further to include a wider range of roles and opportunities, enriching our team with the skills, experience, motivation and enthusiasm which volunteers bring.

Due to the impacts of the Covid-19 pandemic, no energy efficiency actions were implemented in the reporting year.

22

23

Annual Report & Accounts 2020/21

Staff

We have a paid workforce of 689 full-time equivalent staff (2020:698) based across the UK. Of this workforce, 608 (2020:642) work in our dedicated care homes.

As Trustees we are committed to transparency in our work and include staff in our decisions. We continuously interact and communicate with staff through meetings, committees, joint working groups, day-to-day management and away days. We also convey information regularly via the internal publication of our meeting papers, minutes and actions. Where this has not been possible to do in person, we have replicated with virtual workshop sessions and meetings.

Every year we conduct an annual review of Board effectiveness. This includes how board meetings are conducted, the clarity of board roles, the extent to which a common vision for the organisation exists, the ability to manage conflict between the Board and staff, the quality of communication between the Board and staff, and whether Trustees and the executive leadership team periodically review how they work together. Resulting actions are prioritised.

Throughout the year, the Board received reports from the directors of each directorate on the landscape for their operational area and the plans in place to respond to changing demands. Directors also provided regular updates on performance and focus on areas which gave the board insight into issues and concerns.

During the course of the year, the whole Turn2us staff team has been working remotely. Our executive leadership team has continued to keep an ‘open door’ policy for staff at all times and has ensured regular communications through a daily update and monthly all staff meeting, which has continued throughout the duration of the pandemic.

We have continued to improve the coordination of training, with a number of key training sessions for staff, and trustees that included management, safeguarding, and equity, diversity and inclusion (EDI).

In May 2020 we undertook a wellbeing survey to check in on our newly remote working staff. From this we provided resources to support staff in working from home in terms of office infrastructure and IT. In February and March 2021, we undertook a wellbeing survey in order to understand their levels of wellbeing, with additional plans to support this being rolled out later this year.

Turn2us is fully committed to improving diversity among our trustees, employees, and within all aspects of our work and to create an inclusive working environment. Our EDI committee has updated the charity’s EDI policy which emphasises our principles around diversity and co-production. We recognise that working with staff, Trustees and volunteers, who all come from different backgrounds, brings new ideas and innovative approaches to the way we work and develop resources and support for service users. We view our staff as the sum of many parts rather than a single entity and we want to recruit to build a diverse group of talented people, collectively working towards a shared vision. We strive to build a culture that recognises and values the background, knowledge and experience of each individual who can help the charity to flourish.

"Our executive leadership team has continued to keep an ‘open door’ policy for staff at all times and has ensured regular communications through a daily update and monthly all staff meeting, which has continued throughout the duration of the pandemic."

Board of Trustees

The key management personnel (as defined by FRS102) are the Trustees and the executive leadership of the charity. The executive leadership of the charity (to whom the responsibility for planning, directing and controlling of the activities of the charity has been delegated by trustees) have been as follows during the financial year:

The charity’s Trustees, and those who served as a trustee in the financial year ended 31 March 2021 and up to the approval date of the financial statements, were as follows:

• Sally O’Sullivan (Chair)

• Chief Executive: Thomas Lawson

• Richard Midmer* (Deputy Chair)

• Director of Programmes and Partnerships: Sonya Ruparel

• Richard Carter* (retired on the 30 June 2021)

• Director of Impact and Innovation: Joanna Kerr

• Helen Chambers

• Director of Income and External Affairs: Jamie Grier (left in March 2021) Andrew Gould (interim March – July 2021) Sadiya Shaikh (joined June 2021)

• Dr Olivia Curno

• Henry Elphick (retired on the 30 June 2021)

• Steven Hunter*

• Director of Finance and Resources: Thomas Mathew

• Edwina Johnston* (joined on the 16 December 2020)

Turn2us has a remuneration policy designed to attract and retain the highest quality of people to lead and develop our work. Rates of pay for senior members of staff are determined by considering external benchmarks across the sector and are reviewed annually to take into account the cost of living. Pay and benefits for senior members of staff are published in our Financial Statements and are determined by the Remuneration Committee. This includes total pay and benefits for all the Group’s operations including our commercial and investment operations which provide significant income to enable the charity to carry out its charitable objectives. In accordance with legislation which came into force in April 2018, gender pay gap information has been added to our website.

• Christine Lenihan (retired on the 30 June 2020)

• Thomas Morgan

• Natasha Otero-Nevitt (joined on the 16 June 2021)

• Kalm Paul-Christian (joined on the 16 December 2020)

• Lord John Sharkey

• Joanne Wickremasinghe

• Members of the Audit, Risk & Governance Committee

Bankers and Principal Advisers

Auditor: Sayer Vincent, Invicta House, 108-114 Golden Lane, London, EC1Y 0TL

Bankers: Lloyds Bank Plc, 179 Earls Court Road, London, SW5 9RE

Solicitors: Farrer & Co LLP, 66 Lincoln’s Inn Fields, London, WC2A 3LH

Investment Managers:

Smith & Williamson Investment Management Limited, 25 Moorgate, London, EC2R 6AY McInroy & Wood, Easter Alderston, Haddington, East Lothian EH41 3SF

Registered Office:

Companies House Registration numbers:

Turn2us, Hythe House, 200 Shepherds Bush Road, London, W6 7NL Tel: [phone] Websites: www.turn2us.org.ukwww.efhl.co.uk Charity Commission Registration number England & Wales: 207812; Scotland: SC040987

Elizabeth Finn Care, (working name Turn2us): 515297 Elizabeth Finn Homes Limited: 5225008 Elizabeth Finn Trading Limited: 3499586 Turn2us (Dormant Company): 06136422 Turntous Ltd (Dormant Company): 06136521

24

25

Annual Report & Accounts 2020/21

Statement of Trustees’ Responsibilities

The Trustees are also Directors of Elizabeth Finn Care, which is trading as Turn2us. For the purposes of company law, they are responsible for preparing the trustees’ annual report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

They are also responsible for safeguarding the assets of the charitable company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the Trustees are aware:

• There is no relevant audit information of which the charitable company’s auditor is unaware.

Company law requires the Trustees to prepare financial statements for each financial year. These statements give a true and fair view of the state of affairs of the charitable company. They provide details of incoming resources and the application of resources, including the income and expenditure of the charitable company for that period. In preparing these financial statements, the trustees are required to:

• The Trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information.

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

• Select suitable accounting policies and then apply them consistently

• Observe the methods and principles in the Charities Statement of Recommended Practice

• Make judgements and estimates that are reasonable and prudent

The Trustees’ Annual Report, which includes the strategic report, has been approved by the Trustees on 21 September 2021 and signed on their behalf by:

• State whether applicable UK Accounting Standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements

Name: Sally O'Sullivan

• Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation

Title: Chair of Trustees

Date: 21/09/2021

The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended).

Independent Auditor’s Report to the Trustees of Elizabeth Finn Care

Conclusions relating to going concern

Opinion

We have audited the financial statements of Elizabeth Finn Care (the ‘parent charitable company’) and its subsidiaries (the ‘group’) for the year ended 31 March 2021 which comprise the consolidated statement of financial activities, the group and parent charitable company balance sheets, the consolidated statement of cash flows and the notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

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

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on Elizabeth Finn Care's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.

In our opinion, the financial statements:

• Give a true and fair view of the state of the group’s and of the parent charitable company’s affairs as at 31 March 2021 and of the group’s incoming resources and application of resources, including its income and expenditure, for the year then ended

Other Information

The other information comprises the information included in the Trustees’ annual report, including the strategic 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.

• Have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice

• Have been prepared in accordance with the requirements of the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and regulations 6 and 8 of the Charities Accounts (Scotland) Regulation 2006 (as amended)

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.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group 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.

We have nothing to report in this regard.

26

27

Annual Report & Accounts 2020/21

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’ annual report, including the strategic report, for the financial year for which the financial statements are prepared is consistent with the financial statements

• The Trustees’ annual report, including the strategic report, 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 group and the parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ annual report, including the strategic report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and Charities Accounts (Scotland) Regulations 2006 (as amended) requires us to report to you if, in our opinion:

• Adequate accounting records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us; or

• The parent charitable company 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.

Responsibilities of Trustees

As explained more fully in the statement of trustees’ responsibilities set out in the Trustees’ annual report, the Trustees (who are also the directors of the parent charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and under the Companies Act 2006 and report in accordance with regulations made under those Acts.

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, are set out below.

Capability of the audit in detecting irregularities

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

• We enquired of management and the audit, risk and governance committee, which included obtaining and reviewing supporting documentation, concerning the group’s policies and procedures relating to:

• Identifying, evaluating, and complying with laws and regulations and whether they were aware of any instances of non-compliance;

• Detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected, or alleged fraud;

• The internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations.

• We inspected the minutes of meetings of those charged with governance.

• We obtained an understanding of the legal and regulatory framework that the group operates in, focusing on those laws and regulations that had a material effect on the financial statements or that had a fundamental effect on the operations of the group from our professional and sector experience.

• We communicated applicable laws and regulations throughout the audit team and remained alert to any indications of noncompliance throughout the audit.

• We reviewed any reports made to regulators.

• We reviewed the financial statement disclosures and tested these to supporting documentation to assess compliance with applicable laws and regulations.

• We performed analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud.

• In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments, assessed whether the judgements made in making accounting estimates are indicative of a potential bias and tested significant transactions that are unusual or those outside the normal course of business.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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

28

29

Annual Report & Accounts 2020/21

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Use of our 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 and section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005. 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.

Fleur Holden (Senior statutory auditor)

Date: 14 October 2021

for and on behalf of Sayer Vincent LLP, Statutory Auditor

Invicta House, 108-114 Golden Lane, LONDON, EC1Y 0TL

Sayer Vincent LLP is eligible to act as auditor in terms of section 1212 of the Companies Act 2006

Consolidated Statement of Financial Activities (incorporating income and expenditure account) Year to 31 March 2021

Notes INCOME AND ENDOWMENTS Donations and legacies: Donations 3 Legacies 3 Charitable activities: Grants Trading activities for charitable beneft Other trading activities: Residential and nursing care income Investment Income: 4 Total income and endowments EXPENDITURE Expenditure on raising funds: Income generation 5a Residential and nursing care expenditure 5a Investment management costs 5a Total Cost of Raising Funds Net income available for charitable activities Expenditure on Charitable activities: Support & Information Services 5a Assistance given to those in need 5a Casework 5a Trading activities for charitable beneft 5a Expenditure in furtherance of charitable objectives Total expenditure Net (expenditure)/ income before investments Net gains/(losses) on investments Net realised gains/(losses) on investments 8 Net unrealised gains/(losses) on investments 8 Total net gain/(losses) on investments Net income/(expenditure) for the year before transfers Other recognised gains/(losses): Actuarial gains on defned beneft pension scheme 17 Net movement in funds Reconciliation of funds: Funds Brought Forward 12 Total funds carried forward at 31 March 2021	Unrestricted Funds 2021 £'000 729 1,620 - 58	Restricted Funds 2021 £'000 2,300 - 649 -	Endowment Funds 2021 £'000 - - - -	Total Funds 2021 £'000 3,029 1,620 649 58	Total Funds 2020 £'000 939 3,639 237 63
	27,599 486	1,009 415	- -	28,608 901	29,879 1,061
	30,492	4,373	-	34,865	35,818
	524 24,369 220	- 1,009 68	- - 7	524 25,378 295	473 25,120 260
	25,113	1,077	7	26,197	25,853
	5,379	3,296	(7)	8,668	9,965
	2,117 2,498 1,071 48	474 2,114 528 -	- - - -	2,591 4,612 1,599 48	2,661 3,595 1,672 95
	5,734	3,116	-	8,850	8,023
	30,847	4,193	7	35,047	33,876
	(355)	180	(7)	(182)	1,942
	35 10,606	(246) 6,549	3 608	(208) 17,763	344 (6,649)
	10,641	6,303	611	17,555	(6,305)
	10,286 146	6,483 -	604 -	17,373 146	(4,363) 423
	10,432 30,865	6,483 19,608	604 1,737	17,519 52,210	(3,940) 56,150
	41,297	26,091	2,341	69,729	52,210

All the above results are derived from continuing activities and this financial statement includes all gains and losses recognised in the year. The accompanying notes are an integral part of this financial statement.

30

31

Annual Report & Accounts 2020/21

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Comparative Consolidated Statement of Financial Activities (incorporating income and expenditure account)

Group and Charity Balance Sheets as at 31 March 2021

Year to 31 March 2020

Notes INCOME AND ENDOWMENTS FROM: Donations and legacies: Donations 3 Legacies 3 Charitable activities: Grants Trading activities for charitable beneft Other trading activities: Residential and nursing care income Investment Income: 4 Total income and endowments EXPENDITURE Expenditure on raising funds: Income generation 5a Residential and nursing care expenditure 5a Investment management costs 5a Total Cost of Raising Funds Net income available for charitable activities Expenditure on Charitable activities: Support & Information Services (beneft calculator, grant search etc) 5a Assistance given to those in need (grants and allowances) 5a Casework 5a Trading activities for charitable beneft 5a Expenditure in furtherance of charitable objectives Total expenditure Net income/(expenditure) before investments Net gains/(losses) on investments Net realised gains/(losses) on investments Net unrealised gains/(losses) on investments Total net gains/(losses) on investments Net income/(expenditure) before transfers Other recognised gains/(losses): Actuarial gains on defned beneft pension scheme 17 Net movement in funds Reconciliation of funds: Funds Brought Forward Restated 12 Total funds carried forward at 31 March 2020	Unrestricted Funds 2020 £'000 567 3,639 - 63 29,879	Restricted Funds 2020 £'000 372 - 237 - -	Endowment Funds 2020 £'000 - - - - -	Total Funds 2020 £'000 939 3,639 237 63 29,879
	555	506	-	1,061 35,818 473 25,120 260 25,853 9,965 2,661 3,595 1,672 95 8,023 33,876 1,942 344 (6,649) (6,305) (4,363) 423 (3,940) 56,150 52,210
	34,703	1,115
	473 25,120 199	- - 54	- - 7
	25,792	54	7
	8.911	1,061	(7)
	2,529 3,021 1,516 95	132 574 156 -	- - - -
	7,161	862	-
	32,953	916	7
	1,750	199	(7)
	226 (3,593)	100 (2,724)	18 (332)
	(3,367)	(2,624)	(314)
	(1,617) 423	(2,425) -	(321) -
	(1,194) 32,059	(2,425) 22,033	(321) 2,058
	30,865	19,608	1,737

Notes FIXED ASSETS Tangible assets 7 Investments 8 Total fxed assets CURRENT ASSETS Debtors 9 Cash at Bank and in hand 10 Total current assets LIABILITIES Amounts falling due within one year 11 Net current liabilities Total assets less current liabilities Provisions for liabilities: Defned beneft pension scheme asset 17 Net assets THE FUNDS OF THE CHARITY: Permanent Endowment 12 Restricted 12 Designated 12 Unrestricted Reserves 12 Total charity funds The accompanying notes are an integral part of these balance Approved by the Board of Trustees on 21st September 2021 a	2021 2020 £'000 £'000 GROUP	2021 2020 £'000 £'000 GROUP	2021 2020 £'000 £'000 CHARITY	2021 2020 £'000 £'000 CHARITY
		2020 £'000
	8,435 61,898	8,592 44,572	8,435 61,898	8,592 44,572
	70,333	53,164	70,333	53,164
	761 1,740	1,419 574	188 429	466 222
	2,501 (3,484)	1,993 (3,180)	617 (1,600)	688 (1,875)
	(983)	(1,187)	(983)	(1,187)
	69,350 379	51,977 233	69,350 379	51,977 233
	69,729	52,210	69,729	52,210
	2,341 26,091 8,433 32,864	1,737 19,608 8,592 22,273	2,341 26,091 8,433 32,864	1,737 19,608 8,592 22,273
	69,729	52,210	69,729	52,210
	sheets. nd signed on th	eir behalf by:

The accompanying notes are an integral part of these balance sheets.

Approved by the Board of Trustees on 21st September 2021 and signed on their behalf by:

Sally O’Sullivan, Chair of the Board of Trustees

Company Number: 00515297 Charity No: England and Wales No: 207812; and Scotland: SC04098

32

33

Annual Report & Accounts 2020/21

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Consolidated Cash Flow Statement

Notes forming part of the financial statement

For the year ended 31 March 2021

RECONCILIATION OF NET INCOMING RESOURCES FOR THE YEAR TO NET CASH INFLOW FROM OPERATING ACTIVITIES Net income/ (expenditure) for the year before transfers Dividend, interest and rental income shown in investing activities Depreciation charge Losses on disposal of fxed asset (Gains)/ losses on investments Decrease/ (increase) in debtors Increase/ (decrease) in creditors Increase in pension asset Net cash provided by operating activities CASH FLOWS FROM INVESTING ACTIVITIES: Dividends Interest Rental income Purchase of fxed assets Purchase of investment securities Receipts from sale of investment securities Proceeds from sale of tangible fxed assets (Increase)/ decrease in short-term deposits held by investment managers Net cash provided by/(used in) investing activities Change in cash and cash equivalents in the year Cash and cash equivalents brought forward Cash and cash equivalents carried forward a)	2021 2020 £'000 £'000 17,519 (3,940) (901) (1,061) 139 187 19 13 (17,555) 6,305 657 (90) 304 (180) (146) (423) 36 811 870 978 - 55 31 28 901 1,061 - (13) (12,331) (8,770) 12,806 5,206 - 3 (246) 975 1,130 (1,538) 1,166 (727) 574 1,301 1,740 574	2021 2020 £'000 £'000 17,519 (3,940) (901) (1,061) 139 187 19 13 (17,555) 6,305 657 (90) 304 (180) (146) (423) 36 811 870 978 - 55 31 28 901 1,061 - (13) (12,331) (8,770) 12,806 5,206 - 3 (246) 975 1,130 (1,538) 1,166 (727) 574 1,301 1,740 574	2020 £'000
			(3,940) (1,061) 187 13 6,305 (90) (180) (423)
			811
			(1,538)
			(727) 1,301
		1,740	574

1 Status of Company

Elizabeth Finn Care (trading as Turn2us) is a company limited by guarantee and does not have share capital. It is incorporated in England and Wales. The registered office address is Hythe House, 200 Shepherds Bush Road, London W6 7NL. The members of the company are the Trustees who are named on page 25. All members, in the event of the company being wound up whilst they are members or within one year of their ceasing to be members, are required to contribute an amount not exceeding £1.

2 Accounting Policies

a) The charity's individual and consolidated 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 SORP FRS 102). The Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The charity is a public benefit entity for the purposes of FRS 102 and is a registered charity. The charity has therefore also prepared its individual and consolidated financial statements in accordance with 'The Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with FRS 102' (The Charities SORP (FRS 102).

The financial statements have been prepared on a going concern basis and on the historical cost basis, except for the measurement of investments and certain financial assets and liabilities at fair value, with movements in value reported within the Statement of Financial Activities (SOFA). The principal accounting policies adopted are set out below and have been applied consistently throughout the year.

The financial statements have been prepared in accordance with the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006, the Charities (Accounts and Reports) regulations 2008, and the Charities Act 2011. The Charity has taken advantage of section 408 of the Companies Act 2006 and has not produced a separate full unconsolidated profit and loss account. A summary of the profit and loss account for the Charity and for each subsidiary is shown in Note 14.

b) Group Accounts

These Financial Statements consolidate on a line by line basis the results of the Charity, seven charities for which the Charity was given uniting directions or allotted trusteeship (linked charities) and the Charity’s wholly owned subsidiaries: Elizabeth Finn Homes Limited, Elizabeth Finn Trading Limited, and dormant companies Turn2us and Turntous Ltd.

c) Income Recognition

All income is recognised once the charity has entitlement to the income, the economic benefit is probable and the amount can be reliably measured.

ci) Income from donations, grants and legacies

Donations and grants which do not impose specific future performance-related or other specific conditions are recognised on the date upon which the charity has entitlement to the resource, the amount can be reliably measured and the economic benefit to the charity of the donation or grant is probable. Donations and grants subject to performancerelated conditions are recognised as and when those conditions are met. Donations and grants subject to other specific conditions are recognised as those conditions are met or their fulfilment is wholly within the control of the charity and it is probable that the specified conditions will be met.

34

35

Annual Report & Accounts 2020/21

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Notes forming part of the financial statement (Continued)

e) Fixed Assets

Legacies are recognised following grant of

probate and once the charity has received sufficient information from the executor(s) of the deceased's estate to be satisfied that the gift can be reliably measured and that the economic benefit to the charity is probable. Where legacies have been notified to the charity or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.

Depreciation is provided as follows:

• i) Freehold buildings - 2% on a reducing balance basis

• ii) Motor vehicles - 25% on a reducing balance basis

• iii) Furniture and equipment - 12.5% on a reducing balance basis

• iv) IT Equipment - 20% on a straight line basis

Donations, grants and legacies accruing for the general purposes of the charity are credited to unrestricted funds.

Freehold land is not depreciated.

Items of building work and equipment are capitalised where the purchase price exceeds £10,000. Building work in progress is capitalised while the building work progresses. When the building work is complete the value is transferred to freehold buildings and depreciated thereafter. Expenditure on replacement computer hardware and software and sundry small items of equipment is written off as incurred.

Donations, grants and legacies, which are subject to conditions as to their use (imposed by the donor or set by the terms of an appeal) are credited to the relevant restricted fund or, where the donation, grant or legacy is required to be held as capital, to the endowment funds.

Donated professional services and donated facilities are recognised as income when the charity has control over the item or received the service, any conditions associated with the donation have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), volunteer time is not recognised so refer to the trustees’ annual report for more information about their contribution.

f) Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. Any change in fair value will be recognised in the statement of financial activities. Investment gains and losses are shown in the statement of financial activities. The charity does not acquire put options, derivatives or other complex financial instruments.

cii) Investment Income

Interest on bank balances is accounted for on an accruals basis with interest recognised in the period to which the interest relates.

• g) 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.

Dividend income is credited when receivable.

Income from investment properties is recognised in the period to which the rental income relates.

• h) Foreign currency balances have been translated at the rate current at 31 March 2021.

d) Expenditure Recognition

All expenditure is charged to the SOFA on an accruals basis including the charge for VAT which is not recoverable. Central support costs (including governance costs) are allocated to each activity cost category on the basis of either relevant staff numbers or proportion of time spent on each activity by the staff of each support cost centre.

i) Fund accounting

Permanent Endowment Funds - these represent funds permanently held in trust for the charity. For further details on endowment funds see Note 12 to the accounts.

Notes forming part of the financial statement (Continued)

Restricted Funds - these represent funds

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

received for preferential purposes specified by the donor or by the charitable objects of the charities that have merged with Elizabeth Finn Care.

Designated Funds - this represents the net book value of the tangible fixed assets.

Unrestricted Reserves - this fund can be used in accordance with the charitable objects at the discretion of the Trustees.

mi) Estimation Uncertainty

The company makes an estimate of the recoverable value of trade and other debtors. When assessing the recoverability of trade and other debtors, management considers factors including the financial circumstances of the debtor, the ageing profile of debtors and historical experience.

• j) Grants to beneficiaries are made to third parties in furtherance of the charity's objects. Single or multi-year grants are accounted for when either the recipient has a reasonable expectation that they will receive a grant and the trustees have agreed to pay the grant without condition, or the recipient has a reasonable expectation that they will receive a grant and that any condition attaching to the grant is outside of the control of the charity.

Investment valuations are dependent upon stock market and investor confidence, movements in exchange rates and in underlying economic indicators. The charity's specific investment performance is subject to investment managers' predictions about how their asset allocation and stock selection will determine performance over time.

k) Operating Leases

Rents paid under operating leases are charged to the SOFAs equally over the lease term. Any rent concessions are spread equally across the term of the lease.

The defined benefit pension scheme asset/ liability is calculated by the pension scheme's actuary, based upon a triennial asset & obligation valuation, and is influenced by estimates of future interest rates, inflation rate scenarios and movements in life expectancy tables.

l) Pensions

• The Charity has adopted full disclosures under FRS102 for the defined benefit pension scheme in note 17. The service and finance costs of the scheme are allocated to specific activities of the resources expended based on finance cost attributions.

Accruals have been made in relation to renovation projects in the care homes that are in progress at the year end. An evaluation is made of the work completed on each project that remained un-invoiced at the year end, with an accrual being calculated accordingly.

m) Judgements and Key Sources of Estimation Uncertainty

mii) Key areas of Future Uncertainty

In the application of the company’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis.

With respect to the next financial year, the most significant areas of uncertainty which affect the carrying value of assets held by the Charity (and its subsidiaries) are the performance of the investment markets and the residents' occupancy rates of Elizabeth Finn Homes Limited's care homes. This uncertainty is heightened by the effect of COVID-19 on the UK economy in general and on the care home sector in particular.

36

37

Annual Report & Accounts 2020/21

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Notes forming part of the financial statement (Continued)

Notes forming part of the financial statement (Continued)

Accounting Policies (Continued)

The UK’s decision to leave the European Union brings with it uncertainty about stock market investment income and also uncertainty in being able to cost-effectively attract and retain a sufficient number of high calibre staff, particularly in our care home teams.

n) Going Concern

The Trustees have assessed going concern and have considered possible events or conditions that might cast significant doubt on the ability of the charitable company to continue as a going concern.

The Trustees have made this assessment for a period of at least one year from the date of the approval of these financial statements. In particular, the Trustees have considered the charitable company’s forecasts and projections and have taken account of pressures on income and net current liabilities. The charity is in a position to settle debts through divestment of its equity portfolio, if required. The Trustees have concluded that there is a reasonable expectation that the charitable company has adequate resources to continue in operational existence for the foreseeable future. The charitable company therefore continues to adopt the going concern basis in preparing its financial statements.

o) Financial Instruments

The charitable company 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 charitable company's balance sheet when the charitable company becomes party to the contractual provisions of the instrument.

Basic financial assets

Basic financial assets, which include trade and other receivables and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. The impairment loss is recognised in profit or loss.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including trade and other payables, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

3 Donations and legacies

	2021			2021			2021			2020			2020			2020
	Unrestricted			Restricted			Total			Unrestricted			Restricted			Total
	Funds			Funds						Funds			Funds
	£'000			£'000			£'000			£'000			£'000			£'000
DONATIONS
Donations	722			2,300			3,022			559			369			928
County treasurers	7			-			7			8			3			11
	729			2,300			3,029			567			372			939
LEGACIES	1,620			-			1,620			3,639			-			3,639
	2,349			2,300			4,649			4,206			372			4,578
n 2021 £nil donations or leg	acies received were endowments						(2020: £ni		l)	.

In 2021 £nil donations or legacies received were endowments (2020: £nil).

The Charity has received notification of 5 legacies with estimated future distributions of £115,972 (2020: £759,500), which have not been recognised as income as at 31 March 2021. They will be recognised when appropriate in future periods.

4 Investment Income
	2021			2021			2021			2020			2020			2020
	Unrestricted			Restricted			Total			Unrestricted			Restricted			Total
	Funds			Funds						Funds			Funds
	£'000			£'000			£'000			£'000			£'000			£'000
Property rent and services	31			-			31			28			-			28
Dividends	455			415			870			473			505			978
Interest on bonds and short term deposits	-			-			-			54			1			55
	486			415			901			555			506			1,061

4 Investment Income

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.

38

39

Annual Report & Accounts 2020/21

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Notes forming part of the financial statement (Continued)

Notes forming part of the financial statement (Continued)

5a Expenditure (year ended 31 March 2021)

ACTIVITIES Income generation Care home maintenance Care home expenditure Investment management Support & information services Grants & allowances Casework Trading activities for charitable beneft Total NET INCOME/(EXPENDIT This is stated afer chargi In 2020/21 we awarded										DIRECT
					CENTRAL	SUPPORT C	OSTS			COSTS	ALL COSTS TOTAL
		£'000 26 - - - 107 - 102 3 CEO Ofce	£'000 23 - - 62 63 - 56 2 Finance	£'000 21 - - - 87 - 82 2 Human Resource	£'000 16 - - - 66 - 63 2 IT	£'000 44 - - - 178 - 169 4 Property Services	£'000 2 - - - 6 - 6 - Administration	£'000 5 - - 5 18 - 17 4 Governance	£'000 137 - - 67 525 - 495 17 Total	£'000 387 327 25,051 228 2,066 4,612 1,104 31	2021 £'000 524 327 25,051 295 2,591 4,612 1,599 48	2020 £'000 473 391 24,729 260 2,661 3,595 1,672 95
		238	206	192	147	395	14	49	1,241	33,806	35,047	33,876
	URE) FOR THE YEAR ng 2021 £ 2020 £ 5,586 grants. In 2019/20 we awarded 2,766 grants.
	2021 £ 2020 £
Depreciation Loss on disposal of fxed assets Operating lease rentals payable - Property - Other Auditors remuneration - audit of charity Auditors remuneration - audit of subsidiaries Auditors remuneration - defned beneft pension scheme audit Auditors remuneration - tax advice & tax returns Auditors remuneration - Audit, Risk & Governance Commitee 186,704 12,922 233,000 29,000 15,250 15,500 3,500 3,250 3,750 139,587 - 302,460 69,624 15,500 15,800 3,500 3,350 3,900

	2021	2020
	£	£
Depreciation	139,587	186,704
Loss on disposal of fxed assets	-	12,922
Operating lease rentals payable
- Property	302,460	233,000
- Other	69,624	29,000
Auditors remuneration - audit of charity	15,500	15,250
Auditors remuneration - audit of subsidiaries	15,800	15,500
Auditors remuneration - defned beneft pension scheme audit	3,500	3,500
Auditors remuneration - tax advice & tax returns	3,350	3,250
Auditors remuneration - Audit, Risk & Governance Commitee	3,900	3,750

5b Prior Year's Comparative for Expenditure (year ended 31 March 2020)

ACTIVITIES Income generation Care home maintenance Care home expenditure Investment management Support & information services Grants & allowances Casework Trading activities for charitable beneft Total		CENTRAL SUPPORT COSTS	CENTRAL SUPPORT COSTS	CENTRAL SUPPORT COSTS	CENTRAL SUPPORT COSTS	CENTRAL SUPPORT COSTS	CENTRAL SUPPORT COSTS	CENTRAL SUPPORT COSTS	CENTRAL SUPPORT COSTS	DIRECT COSTS	ALL COSTS TOTAL
		CEO Ofce £'000 25 - - - 129 - 115 6	Finance £'000 19 - - 63 67 - 57 4	Human Resource £'000 11 - - - 61 - 54 3	IT £'000 18 - - - 94 - 84 4	Property Services £'000 51 - - - 265 - 237 11	Administration £'000 16 - - - 83 - 74 4	Governance £'000 6 - - 7 27 - 24 5	Total £'000 146 - - 70 726 - 645 37	£'000 327 391 24,729 190 1,935 3,595 1,027 58	2020 £'000 473 391 24,729 260 2,661 3,595 1,672 95 33,876
		275	210	129	200	564	177	69	1,624	32,252

• These 2 items make up the Self-funding residential and nursing care heading for expenditure on the SOFA.

• These 2 items make up the Self-funding residential and nursing care heading for expenditure on the SOFA.

40

41

Annual Report & Accounts 2020/21

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Notes forming part of the financial statement (Continued)

6 Trustees and Staff

Aggregate staff costs are made up as follows:

Aggregate staf costs are made up as follows:
Wages and salaries Agency staf Social security costs Employer's contribution to defned contribution schemes Other staf related costs Redundancies and Terminations Operating costs of closed defned beneft scheme	2021 £'000 18,979 596 1,546 863 131 7 22,122 (5) 22,117	2020 £'000 17,308 716 1,407 878 104 61 20,474 14 20,488

The average number of employees, both full and part time, during the year was 798 (2020: 789), representing full time equivalents of 722 (2020: 698)

The total, stated on a full time equivalent basis, comprised:

In the Homes At Headquarters: Homes Department Operations Fundraising Finance IT Human Resources Chief Executive's Department and Communications	2021 Full-time 374 8 25 5 3 2 6 8 431	2021 Part-time 280 - 8 1 1 - 1 - 291	2020 Full-time 339 8 24 6 4 2 5 7 395	2020 Part-time 295 - 5 - 1 - 1 1 303

Notes forming part of the financial statement (Continued)

7 Tangible Fixed Assets

----- Start of picture text -----
FREEHOLD
Furniture and IT
Land Buildings Equipment Motor Vehicles Equipment Total
Cost £'000 £'000 £'000 £'000 £'000 £'000
----- End of picture text -----

		EHOLD	EHOLD	EHOLD	EHOLD	EHOLD
		Buildings £'000
At 1 April 2020 Additions Disposals At 31 March 2021 Depreciation At 1 April 2020 Disposals Charge for year At 31 March 2021 Net Book Amount At 31 March 2021 At 31 March 2020 he land and buildings shown i	1,685 - -	10,279 - (19)	35 - -	- - -	204 - -	12,203 - (19)
	1,685	10,260	35	-	204	12,184
	- - -	3,395 - 137	16 - 2	- - -	199 - -	3,610 - 139
	-	3,532	18	-	199	3,749
	1,685 1,685	6,728	17 18	-	5	8,435
		6,884		-	5	8,592
	n Tangible Fixed	Assets in the grou	p accounts are use	d for care homes operated by Elizabeth Finn

The land and buildings shown in Tangible Fixed Assets in the group accounts are used for care homes operated by Elizabeth Finn Homes Limited.

The number of staff in the group whose remuneration (excluding employer pension contributions) fell within each of the following bands was:

	2021	2020
£60,001 to £70,000	12	3
£70,001 to £80,000	3	3
£80,001 to £90,000	2	3
£90,001 to £100,000	-	1
£100,001 to £110,000	1	1
£130,001 to £140,000	2	1
£140,001 to £150,000	-	1

Total pension contributions for all of the higher paid staff of Elizabeth Finn Care and Elizabeth Finn Homes Limited were £179,171 (2020: £141,796). These are all payments to defined contribution schemes - none of the higher paid staff were members of the closed defined benefit scheme.

The higher paid employees were five Directors from Turn2us, (2020: three), and fifteen (2020: ten) senior commercial subsidiary staff (who had earned performance related bonuses in those years). The Group's key management personnel, (who have authority and responsibility for planning, directing and controlling the activities of the Group), were the charity's Trustees and the directors of the charity.

The total employee benefits including Employer's NI and pension of the charity's key management personnel were

£474,724 (2020: £477,882). Trustees are not remunerated. Refreshments and reimbursement of travel expenses for the Trustees attending meetings amounted to £nil in 2021. In 2020 three Trustees were reimbursed £2,183.

42

43

Annual Report & Accounts 2020/21

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Notes forming part of the financial statement (Continued)

8 Fixed Assets - Investments

----- Start of picture text -----
Cash for Listed Property Group Total Charity's Charity Total
investment Investments shares in
subsidiaries
Market value: £'000 £'000 £'000 £'000 £'000 £'000
----- End of picture text -----

Cash for investment Market value: £'000	Cash for investment £'000	Cash for investment £'000	Cash for investment £'000	Cash for investment £'000	Listed Investments £'000	Listed Investments £'000	Property Group Total Charity's shares in subsidiaries Charity Total £'000 £'000 £'000 £'000	Property Group Total Charity's shares in subsidiaries Charity Total £'000 £'000 £'000 £'000	Property Group Total Charity's shares in subsidiaries Charity Total £'000 £'000 £'000 £'000	Property Group Total Charity's shares in subsidiaries Charity Total £'000 £'000 £'000 £'000
UK Listed equities UK Fixed Interest investments UK funds Unlisted Investments Overseas funds Listed or regulated overseas Listed investments at market value comprised : At 1 April 2020 982 Additions at cost - Proceeds from disposals - Movement in cash 246 Net realised gains / (losses) - Net unrealised gains / (losses) - At 31 March 2021 1,228	982 - - 246 - -				42,024 12,122 (12,806) - (208) 14,451		1,566 44,572 - 44,572 209 12,331 - 12,331 - (12,806) - (12,806) - 246 - 246 - (208) - (208) 3,312 17,763 - 17,763
		1,228			55,583		5,087	61,898	-	61,898
					15,104 1,396 8,197 28 21,521 9,337 55,583 2021 £'000		2020 £'000 13,504 1,836 563 23 14,434 11,664 42,024

No shareholdings of over 5% were held by the group in any listed investment.

The fair value of investment land and property is based on a valuation by an independent chartered surveyor who holds a recognised professional qualification and has recent experience in the location and class of the investment land and property being valued.

The valuations of investment properties have been undertaken on the basis of existing use values and where appropriate, allowance has been made for increases in value due to town planning Local Plan allocations. The valuations are not Red Book compliant but represent assessments of current market value. Certain asset are held in Trust and are not liquid so have therefore been valued at a nominal £1.

Individual assessments of value have taken account of known maintenance obligations.

Notes forming part of the financial statement (Continued)

9 Debtors

9 Debtors
Amount due from subsidiaries Trade debtors Other debtors Prepayments and accrued income	GROUP 2021 2020 £'000 £'000 - - 580 856 1 8 180 555 761 1,419	CHARITY
	2021 £'000 - 580 1 180 761	2021 £'000 109 - 1 78 188	2020 £'000 44 15 8 399
			466

10 Cash at Bank

Cash at bank and in hand	GROUP 2021 2020 £'000 £'000 1,740 574	CHARITY 2021 2020 £'000 £'000 429 222

11 Creditors: Amounts falling due within one year

Movement in Deferred Income Amount due to subsidiaries Trade creditors Social security and other taxes Accruals and deferred income Sundry creditors Amount brought forward Increase in deferred income Released in the year Amount carried forward	GROUP 2021 2020 £'000 £'000 - - 497 510 367 353 2,474 2,193 146 124 3,484 3,180 GROUP 2021 2020 £'000 £'000 770 830 643 770 (770) (830) 643 770	CHARITY	CHARITY
		2021 £'000 879 295 67 339 20 1,600	2020 £'000 1,475 142 70 169 19
			1,875
	2021 £'000 770 643 (770) 643

44

45

Annual Report & Accounts 2020/21

Elizabeth Finn Care, trading as Turn2us

Elizabeth Finn Care, trading as Turn2us

31 March 2021

lizabeth Finn Care, trading as Turn2us							31 March 2021	31 March 2021	31 March 2021
otes forming part of the fnancial statement(Continued)
2 Analysis of Group Net Assets as at 31	March 2021 between Funds
				PERMANENT ENDOWMENT FUNDS
	Arthur Hurst Will Trust			Dresden Homes Trust			Other		Total
	£'000			£'000			£'000		£'000
FIXED ASSETS
Tangible fxed assets	-			-			-		-
Investments	1,019			1,310			12		2,341
Net current assets/(liabilities)	-			-			-		-
Actuarial unrealised pension asset	-			-			-		-
Net assets	1,019			1,310			12		2,341
FUNDS
At 1 April 2020	740			985			12		1,737
Income	-			-			-		-
Expenditure	(3)			(4)			-		(7)
Gains/(losses)	282			329			-		611
Transfers between funds	-			-			-		-
At 31 March 2021	1,019			1,310			12		2,341

Notes forming part of the financial statement (Continued)

Notes forming part of the financial statement (Continued)

12 Analysis of Group Net Assets as at 31 March 2021 between Funds

																				DESIGNATED		UNRESTRICTED		TOTAL
							RESTRICTED FUNDS													FUND		RESERVES		FUNDS
	Edinburgh Trust			Covid-19 Appeal Fund			Arthur Hurst Will Trust		Dresden Homes Trust			Lloyds Support Fund		Homes' amenity funds		Other		Total
	£'000			£'000			£'000		£'000			£'000		£'000		£'000		£'000		£'000		£'000		£'000
	-			-			-		-			-		-		-		-		8,433		-		8,433
	19,516			-			98		28			5,769		-		-		25,411		-		34,147		61,899
	(713)			813			(30)		215			77		221		97		680		-		(1,662)		(982)
	-			-			-		-			-		-		-		-		-		379		379
	18,803			813			68		243			5,846		221		97		26,091		8,433		32,864		69,729
	14,284			275			71		221			4,350		256		151		19,608		8,592		22,273		52,210
	323			2,248			18		21			90		8		1,664		4,372		-		30,493		34,865
	(647)			(1,711)			(19)		(4)			(51)		(43)		(1,718)		(4,193)		-		(30,848)		(35,048)
	4,843			-			-		5			1,456		-		-		6,304		-		10,787		17,702
	-			-			-		-			-		-		-		-		(159)		159		-
	18,803			812			70		243			5,845		221		97		26,091		8,433		32,864		69,729

Permanent Endowments

Restricted Funds

Arthur Hurst Will Trust (Charity No. 207812-7) This charity was transferred to Elizabeth Finn Care by the Public Trustee on 28 September 2013, following discharge of obligations to certain former beneficiaries. The income from this Trust is applied to the relief of distressed gentlewomen; clergy who have to retire through ill health; and education of clergy orphans.

Dresden Homes Trust (Charity No. 207812-4) This charity was represented by a permanent endowment fund until 19 January 2012 when the Charity Commision consented to the charity's

resolution to release the restriction on expenditure on the permanent endowment at that date. £750,000 is held as permanent endowment to make grants for the relief of former residents of the Dresden Homes Trust.

Other

Included in the Other category above with current assets valued at £12,088 is permanent endowment for The C.J. and E.J. Melbourne Trust (Charity No. 207812-1).

The Edinburgh Trust

This is a restricted fund that reflects the transfer to the Charity by the City of Edinburgh Council in July 2011 of its responsibility for 35 poverty related charities and trusts together with their £12m funds and a small 10 bed care home.

The care home was transferred to a similar organisation during 2015/16 and the proceeds added to the Edinburgh Trust restricted fund.

Arthur Hurst Will Trust

Elizabeth Finn Care administers this fund. The objects of this Trust fall within those of Elizabeth Finn Care.

Dresden Homes Trust (Charity No. 207812-4) The income supports the general charitable activities of Elizabeth Finn Care, but preference must be given to making grants for the relief of former residents of the Dresden Homes Trust.

The Lloyd's Support Fund (Charity 207812-6)

The income supports the general charitable activities of Elizabeth Finn Care, but preference must be given to making grants for the relief of severe financial hardship as a result of meeting or attempting to meet their respective underwriting liabilities at Lloyd's and the family of such persons.

Homes' Amenity funds

Funds have been raised or given over the years, and are used for the benefit of the residents of the Homes. These are therefore restricted funds.

Other

A collection of individual funds received for restricted purposes, the balance of which is being held over to be used according to the donors' wishes in future years.

46

47

Annual Report & Accounts 2020/21

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Notes forming part of the financial statement (Continued)

13 Charity's shares in subsidiaries

The Charity owns the whole of the ordinary share capital of two trading subsidiaries (both consisting of two £1 ordinary shares):

	Company No:	Country of Incorporation
Elizabeth Finn Trading Limited	3499586	England & Wales
Elizabeth Finn Homes Limited	5225008	England & Wales
The Charity also owns the whole of the ordinary share capital of two dormant subsidiaries:
	Company No:	Country of Incorporation
Turn2us	6136422	England & Wales
Turntous	6136521	England & Wales

All four companies have the registered address: Hythe House, 200 Shepherds Bush Road, London W6 7NL

14 Charity and subsidiary results

a) Related Party transactions with wholly owned subsidiaries

Notes forming part of the financial statement (Continued)

c) Financial activities of Elizabeth Finn Homes Limited

Income Cost of services Net surplus Covenant to charity Retained surplus Current assets Current liabilities Net assets (in £) Share capital (in £)	2021 £'000 29,151 (28,715) 436 (436) - 1,401 (1,401) 2 2	2020 £'000 29,879 (28,392)
		1,487 (1,487)
		-
		2,729 (2,729)
		2
		2

No related party transactions were entered into during the year to 31 March 2021 with exception of those with regards to Elizabeth Finn Homes Limited and Elizabeth Finn Trading Limited, both subsidiary companies of Elizabeth Finn Care.

During the year Elizabeth Finn Care charged EFHL rent of £3,663,843 (2020: £3,663,843) for the use of its properties and office premises and recharged staff costs of £31,976 (2020: £77,563).

At 31st March 2021 EFC owed EFHL a net balance of £879,397 (2020: £1,474,795) – see note 11.

During the year Elizabeth Finn Care recharged EFTL staff costs £nil (2020: £10,191).

At 31st March 2021 EFTL owed EFC a net balance of £109,009 (2020: £43,675) which includes gift aid of £23,374 – see note 11.

Gross incoming resources Elizabeth Finn Trading covenant due Elizabeth Finn Homes Limited covenant due Expenditure on raising funds: Income generation Landlord refurbishment/maintenance of care homes Investment management costs Expenditure on Charitable activities: Support & Information Services(Benefts Calculator, Grants Search, etc) Assistance given to those in need (grants and allowances) Casework Trading activities for charitable beneft Net (expenditure)/ income Investment gains/ (losses) Actuarial gains on defned beneft pension scheme Net income/ (expenditure) for the year Total funds brought forward Total funds carried forward b) Financial activities of the Charity	2021 £'000 9,864 23 436	2020 £'000 9,539 1 1,487 11,027 (473) (391) (259) (2,661) (3,596) (1,672) (32) 1,943 (6,306) 423 (3,940) 56,150 52,210
	10,323 (524) (327) (296) (2,591) (5,154) (1,599) (14)
	(182) 17,555 146 17,519
	52,210
	69,729

d) Elizabeth Finn Trading Limited

Turnover Cost of sales Gross proft Administrative costs Operating proft Interest income Proft / (loss) before and afer tax Covenant payment to Elizabeth Finn Care Retained proft / (loss) Loss brought forward Total reserves carried forward Current assets Current liabilities Net liabilities (in £) Share capital (in £) Reserves Total Funds (in £) d) Elizabeth Finn Trading Limited	2021 £'000 58 (31) 27 (4) 23 - 23 (23) - - - 148 (148) - 2 - 2	2020 £'000 63 (58)
		5 (4)
		1 -
		1 (1) - -
		-
		95 (95)
		-
		2 -
		2

48

49

Annual Report & Accounts 2020/21

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Notes forming part of the financial statement (Continued)

15 Operating lease commitments payable as a lessee

The group's total future minimum lease payments under non-cancellable operating leases is as follows for each of the following periods:

Less than one year One to fve years Over fve years	PROPERTY	PROPERTY	EQUIPMENT	EQUIPMENT
	2021 £'000 362 1,139 - 1,501	2020 £'000 268 1,500 - 1,768	2021 £'000 75 99 - 174	2020 £'000 50 89 -
				139

The charity's total future minimum lease payments under non-cancellable operating leases is as follows for each of the following periods:

Less than one year One to fve years Over fve years	PROPERTY	PROPERTY	EQUIPMENT	EQUIPMENT
	2021 £'000 362 1,139 - 1,501	2020 £'000 268 1,500 - 1,768	2021 £'000 1 1 - 2	2020 £'000 1 2 -
				3

Notes forming part of the financial statement (Continued)

17 Defined benefit pension scheme (Continued)

17 Defned beneft pension scheme(Continued)
	31 March	31 March
	2021	2020
Increases for pensions in payment:
Post 31 October 2006 (RPI max. 5%)	3.10%	2.60%
Pre 31 October 2006 (RPI max. 2.5%)	2.10%	1.90%
Liability discount rate	2.10%	2.40%
Infation assumption (RPI)	3.30%	2.60%
Consumer Price Infation	2.80%	2.10%
Deferred pension revaluation (CPI 2.5% cap)	2.80%	2.10%
Deferred pension revaluation (CPI 5% cap)	2.50%	2.10%
Assuming retirement at age 65, the life expectancy in years is as follows:
For a male aged 65 now	21.4	21.1
At 65 for a male member aged 45 now	22.7	22.5
For a female aged 65 now	23.1	23.0
At 65 for a female member aged 45 now	24.7	24.6

The market value of assets in the scheme, the present value of the liabilities in the scheme and the long term expected rate of return at the balance sheet date were as follows:

ASSETS

16 Volunteers

We currently have 221 registered volunteers and while the majority of these volunteers have been inactive due to the pandemic, 40 plus volunteers have been continuing to contact some of our long term grant recipients by phone where the caseworker feels this would be beneficial. In the next few months we will be developing our volunteer programme working in partnership with local community organisations to utilise our existing volunteer support most effectively on a local level. We will be supporting volunteers already active within their local communities to use our tools and resources more effectively with the aim of developing a network of local volunteers supported by both Turn2us and local organisations. We will also develop a new Volunteer Strategy growing our volunteer programme further to include a wider range of roles and opportunities, enriching our team with the skills, experience, motivation and enthusiasm which volunteers bring.

17 Defined benefit pension scheme

The charity has three pension schemes: one is the defined benefit scheme (the Scheme) which was closed to new members in 2001 and to future accrual on 31 March 2013, and the other two are active stakeholder pension schemes, which are open to employees of the Charity and its subsidiary, Elizabeth Finn Homes Limited.

As at 31 March 2018, an accrual of £14,000 had been made to finance the deficit on the defined benefit scheme, calculated as at the triennial valuation date of 30 June 2017. This amount was paid at the end of 2018, in accordance with the actuary's recommendations.

FRS102, paragraphs 28.9 to 28.28 requires the Charity to include in its own accounts the net assets or liabilities based on fair values of the defined benefit pension scheme. The standard also requires the net operating cost of providing the retirement benefits to current staff members and finance costs or income to be included in the Charity's accounts. The SOFA meets the reporting requirements. The value of the Scheme's liabilities has been determined by the Scheme's actuary by adjusting and updating the preliminary results of the 30 June 2020 scheme funding valuation.

The preliminary 30 June 2020 triennial report, which uses a different methodology from the FRS102 – Section 28 Disclosure Report required for auditing purposes, indicates a funding shortfall of £533k in the Scheme. The trustees of the charity have agreed a recovery plan of £50k + 3% per annum for ten years to meet the shortfall, which will commence in the 2021-22 financial year.

ASSETS
	As at	31	March	As at	31	March
			2021			2020
			£'000			£'000
Total market value of assets			4,387			3,621

NET DEFINED BENEFIT LIABILITY

Total market value of assets Value of funded obligations Net pension (liability)/asset	As at 31 March 2021 £'000 4,387 (4,008) 379	As at 31 March 2020 £'000 3,621 (3,388)
		233

The accrual of future benefits for active members was terminated with effect from 31 March 2013 and hence both future pension cost and future employee contributions are nil.

Surplus/(deficits) for the current and previous four periods are as follows:

Defned beneft obligation Plan assets Surplus / (defcit)	2021 £'000 (4,008) 4,387	2020 £'000 (3,388) 3,621 233	2019 £'000 (3,850) 3,660 (190)	2018 £'000 (3,590) 3,467 (123)	2017 £'000 (3,910) 3,595 (315)
	379

50

51

Annual Report & Accounts 2020/21

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Elizabeth Finn Care, trading as Turn2us

31 March 2021

Notes forming part of the financial statement (Continued)

Notes forming part of the financial statement (Continued)

17 Defined benefit pension scheme (Continued)

ANALYSIS OF THE ACTUARIAL LOSS RECOGNISED IN THE SOFA - OTHER RECOGNISED GAINS/(LOSSES)

ANALYSIS OF THE AMOUNT CHARGED TO SOFA OPERATING RESULTS:

ANALYSIS OF THE AMOUNT CHARGED TO SOFA OPERATING RESULTS:
Service cost Net interest income Past service cost Setlements on curtailments Total operating charge	2021 £'000 - 5 - - 5	2020 £'000 - (4) - -
		(4)

ANALYSIS OF THE CHANGE IN THE DEFINED BENEFIT OBLIGATION:

At 1 April 2020 Movement in year: Current service costs Interest cost Actuarial loss/(gain) Setlements or curtailments Benefts paid Total movement in year At 31 March 2021	2021 £'000 3,388 - 81 596 - (57) 620 4,008	2020 £'000 3,850 - 88 (495) - (55)
		(462)
		3,388

Actual return less interest income recognised in the SOFA Experience gains (losses) arising on beneft obligation Efect of assumptions changes on beneft obligation Efect of changes in the amount of surplus that is not recoverable Total amount recognised in other comprehensive income Diference between the asset return and the interest income recognised in the SOFA (£'000) as % of scheme's assets Experience gains / (losses) on obligation (£'000) as % of obligation Total amount recognised in SOFA (£'000) as % of obligation	2021 £'000 737 (107) (489) (141) 0 737 17% (107) 3% 146 4%	2020 £'000 (68) 24 471 (233)
		194
		(68) 2% 24 1% 423 13%

Volatility of the net pension asset/liability

As the scheme stands, the Trustees should expect the net pension asset or liability and the gains/losses recognised in the SOFA to be volatile from year to year. This is because the trustees currently invest the assets partly in equities, property and bonds whereas the liability value depends on the yield on long-dated corporate bonds. These asset classes can move in different directions, causing the pension disclosure on the balance sheet to improve or deteriorate rapidly.

The actuarial loss/(gain) on obligation is made up of the effect of change of assumptions for valuing obligations at the end of the year and an amount due to experience over the year differing from that assumed at the start of the year.

ANALYSIS OF THE CHANGE IN THE FAIR VALUE OF PLAN ASSETS

Opening fair value of plan assets Interest income Actuarial gains (losses) Contributions Benefts paid Closing fair value of plan assets	2021 £'000 3,621 86 737 - (57) 4,387	2020 £'000 3,660 84 (68) - (55)
		3,621

The asset gain (loss) is the actual asset return over the year of £823,000 (2020: £16,000) less the interest income of £86,000 (2020: £84,000).

The employer paid £nil contributions to this defined benefit pension plan in the year to 31 March 2021 (year to 31 March 2020: £nil, based on triennial calculations).

52

53

Annual Report & Accounts 2020/21

Our work over the last year would not have been possible without the kind support of a number of individuals, corporate partners, trusts and the generous donations left to us as legacies. We would like to thank the following:

People who have kindly offered us pro-bono support

• Angela Hawke, copy writer

• Baker & McKenzie

• Boston Consulting Group

• Carrie Stokes, brand consultant

• Damian Low and Freud Communications

• Paul Bassham Charitable Trust

• PF Charitable Trust

• Scott Eredine Charitable Trust

• Sir Donald and Lady Edna Wilson Charitable Trust

• • Sir James Reckitt Charity

• Sir James Steel's Trust

• Sir John Priestman Charitable Trust

• Wixamtree Charitable Trust

• Frances Jackson and OPX

• Peter McCorkell and Chris Morgan at Sidley Austin LLP

• Slater King, photographer

Corporate Supporters

• Barclays

• Direct Line Group

• Inflexion Private Equity Partners LLP

• Lloyds Banking Group

• Oakley Advisory Ltd

• Royal London

• TSB Bank

• United Utilities

Legacies

• Mr John Arkwright

• Mrs E M Attwood

• Sir J Barlett

• Mrs Audrey Bedford

• Ms Margherita Elaina Francesca Butler

• Doris Camburn

• Mrs Nancy Carter

• Major R L P Colman

• Miss Sonia Marjorie Deadman

• Mrs Eva Goodhew

• Miss Pamela Hanbury

• Ms Brenda Margaret Hodges

• Mr Jorg Wilfred Keilbach

Trusts and Foundations

• Alice Ellen Cooper Dean Foundation

• Anton Jurgens Charitable Trust

• Barrow Cadbury Trust

• Casa Stella Trust

• Catalyst CAST

• Charles & Elsie Sykes Trust

• Charlotte Bonham Carter Charitable Trust

• Copley May Foundation

• G M Morrison Charitable Trust

• Gale Family Trust

• Ganzoni Charitable Trust

• Good Gifts Catalogue

• Hugh Fraser Foundation

• Hull and East Riding Charitable Trust

• John Laing Charitable Trust

• John Swire 1989 Charitable Trust

• • Joseph and Annie Cattle Trust

• Lawson Trust

• Nesta Foundation

• Oak Philanthropy (UK)

• Ofenheim Trust

• Ann Marie Lavery

• Mrs Joan Mary Lea

• Dorothy Leopold

• Mrs Gertrude Beryl Lloyd

• Mrs Peggy Lucy

• Mr Ian Robert Kumar Maclaren

• CJ & EJ Melbourne Trust

• Mrs M D Mitchell

• Mrs Pamela Montgomerie Neighbour

• • Mr William Eyre Nobblett

• Miss E A Pemberton-Barnes

• • Mr Alan Pitt-Clark

• E M Richards

• Miss Nancy Julie Skjold

• Mrs Irene Margaret Smart

• Mr John Yeo Smart

• Marguerite Tabor

• Miss Ann Turner

• Ms Frances Jane Wallin

• Mr Peter Sydney Goodwin Westbury

• Mr Joseph Woolwich

• Mr David Wray

54

Annual Report & Accounts 2020/21 55

Partner with us:

If you would like to find out more about our work and how you or your organisation can get involved or lend support, please contact our partnership or fundraising teams: [e-mail] [e-mail]

Turn2us Turn2us_org Turn2us @turn2us_org

Turn2us is a trading name for Elizabeth Finn Care, a charity registered in England and Wales No: 207812; and in Scotland No: SC04098

56