# Annual Impact Report and Accounts 2022-2023
Registered office: Hythe House, 200 Shepherds Bush Road, London W6 7NL. VAT number 872571796. Turn2us is the operating name of Elizabeth Finn Care, a registered charity (207812 / SC040987) and a company limited by guarantee (515297) registered in England and Wales. Copyright © 2021 Turn2us.
Ian with family - Turn2us service user
## Contents
4. Welcome
8. Trustees’ report (including strategic report)
9. Delivering our 2020-23 strategy
11. Our strategic aims 2022-23
31. Looking to the future – a brief overview of our new strategy 2023-28
32. Financial activities of the charity
33. Legal, structure and governance
38. Streamlined energy & carbon reporting disclosure
40. Volunteers and staff
42. Management and administration
44. Statement of trustees’ responsibilities
46. Financial statements
71. Thank you
## An introduction to Turn2us
Turn2us is a national charity offering practical help and support to people struggling financially.
We see every day how the right support at the right time can transform lives.
Over the last 12 months, we have worked alongside people with lived experience of financial insecurity to evolve our information tools, services and grant funds, and begin the development of our new five-year strategy.
Our vision is that everyone in the UK has financial security so they can thrive.
Over the last year more people have been hit by financial shocks than ever before, as a result of both the global pandemic and ever-increasing costs of living. Yet, people who have the least are still carrying the heaviest burden financially.
Turn2us is also the parent body and owner of Elizabeth Finn Homes (EFH), operating nine care homes across England. The rent and profits from these, combined with voluntary fundraising and investment income, contribute to the running costs of the charity and the funding of our work.
Over the last 125 years we have supported people struggling with the impact of life events that can affect any of us at any time: bereavement, job loss, illness, disability. We want to prevent events like this plunging people into hardship or even destitution.
Collaboration is key to our work. Working strategically with our service users and partners across all sectors - we will work together to build a better future for all of us.
**Cover image:** Ramatoulie Saidykhan, Founder of Creative Minds Middlesbrough, part of the Middlesbrough Collaboration, a partnership between Turn2us, Buttle UK and the Smallwood Trust which aims to tackle the root causes of gendered and child poverty in the town.
**2** Annual Impact Report & Accounts 2022-2023 **Annual Impact Report & Accounts 2022-2023**
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## Welcome from Carrie Stokes, Chair
As we reflect on the last year, I am more troubled than ever by how circumstances have contrived to further deepen the financial insecurity millions of us face, even as the pandemic recedes in our memory. Continued economic uncertainty driving inflation, the cost of living hitting those on lower incomes the hardest, the on-going war in Ukraine impacting the price of fuel and oil - all of these make day-to-day living a constant juggle of decision-making and prioritisation for so many of us, our families and our communities.
There has been considerable discourse considering whether the challenges we face in our post Covid-19 world evoke a 1945 moment.
They are referring to the period of societal reshaping that followed the Second World War and led to the welfare reforms aimed at guaranteeing basic levels of personal and financial security to all. These included the launch of the UK’s first comprehensive system of social security and freedom from unaffordable healthcare costs - thanks to the creation of the NHS. Together they made reality the idea that everyone contributes to society as far as they can and is supported by society when they need it. If 2023/4 is indeed a 1945 moment, the year covered by this annual report should be seen as the challenging yet enlightening precursor to it, and that is definitely how it felt to us at Turn2us.
## “Continued economic
uncertainty driving inflation, the cost of living hitting those on lower incomes the hardest...”
We know this is both exhausting and demoralising and yet against this backdrop, when finding ourselves facing financial insecurity, despite budgeting, despite working hard, despite managing to care for those that need it, we are often labelled as irresponsible and shamed as a result. This is simply not fair or right.
This year’s annual impact report covers the successful final stage of our 2020-2023 strategy and introduces our new, five-year strategy which is both bold and ambitious. Importantly, it focuses on challenging the underlying causes of financial insecurity as we continue to offer support via our helpline, information tools and grants. This new strategy requires the leadership and staff teams to work in new ways, with new partners and be open to evolving their thinking as a result. It’s both an exciting and challenging time for all of us at the charity and care home business.
The reality is more complex and nuanced and requires changes at many levels of society if lasting financial security is to be experienced. We recognise that no one person, charity or organisation can achieve the level of change required.
However, by identifying how and when to partner with others, by deploying our resources strategically and by prioritising marginalised communities in the first instance, we believe we can make lasting change. As we face what can feel like monumental hurdles to financial security, we must be honest about our weaknesses and strengths so we can pool resources, skills, talents and experiences across society to bring about change. It’s a long road and we are committed to it.
care home business, to better understand the impact of our work and to recruit the staff and trustees needed to help deliver our new strategy. However, when I reflect on my first year as chair, I am struck by the passion and commitment of our co-production partners who are so integral to informing and shaping our work, our staff, our leadership team and our CEO, Tom Lawson.
The difference Turn2us makes is only possible through the hard work and endeavours of this remarkable group of people. I look forward to the coming year with confidence that we are taking definitive steps towards ensuring a future where financial security for all of us is a real possibility.
We have faced other challenges, too, this last year. We continue to actively manage our investments within fluctuating markets, to work to develop and grow our
“As we face what can feel like monumental hurdles to financial security, we must be honest about our weaknesses and strengths so we can pool resources, skills, talents and experiences across society to bring about change. It’s a long road and we are committed to it.”
Carrie Stokes, Turn2us chair of Trustees
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## An overview from Thomas Lawson, Chief Executive
During the final year of our strategy, we lived through one of the UK’s most extraordinary periods: the last throes of the pandemic, the ever-increasing daily costs of living, three prime ministers, the disastrous mini budget, the death of our Queen and the coronation of a new King.
Our strategy, which was focussed on life shocks, taught us so much about the concept and importance of financial security, which is why we have made achieving this the central focus of our future. We all face financial shocks; that’s life.
At Turn2us our vision is financial security for everyone. We should have enough money to cover our basics, enjoy our lives and make plans. Whether it’s the sudden cost of a funeral, the loss of a job, being ill or becoming disabled, not all of us have the financial security to withstand that kind of financial shock, and that’s what we want to change. We believe this is a basic right everyone should have, regardless of age, race, whether someone is gay, straight, trans, able-bodied, disabled, married or single.
For so many it has been a year of bruising rent rises and increased mortgage payments, and the brutal impact of everyday costs like food and fuel rising way above stated inflation figures. Also, we’ve seen our nation’s health and social care system stressed as it recovers from Covid-19, with ever-lengthening waiting times, and staff shortages because of the intensity of the role, coupled with low pay.
Last year we supported 3,000 people and families across the UK with direct grants of nearly £4m, including through Turn2us Edinburgh Trust. People completed over three million calculations on our free Benefits Calculator tool. During this same period, five million people visited our website for high-quality information and another 1.3 million people searched our website to find charitable funds that could give them vital breathing space – and avoid getting into unaffordable debt. Five million people visited our website for high-quality information and another 1.3 million people searched our website to find charitable funds that could give them vital breathing space – and avoid getting into unaffordable debt. Over 100,000 people contacted our helpline which, in this increasingly digital-first world, is there for those who find it harder to access our online tools and information or simply need to hear a friendly voice on the other end of a telephone line.
We’re no longer in the middle of a cost of living crisis. This is structural. When food and fuel prices rise by as much as 15 and 19%, way above inflation figures of eight to nine per cent, and that’s most of your household expenditure, it’s not surprising those of us with the least feel it the most.
There are narratives we need to challenge before we can succeed as a society. One is that the problem is too big for governments, civil society, business, and society to fix. The other is that poverty is the fault of those who suffer its effects the most. Neither is true.
We are dedicated to understanding how to improve our impact.
“Poverty and financial insecurity are complex problems, but agreeing on the values of the society we want to live in is not”
We talk to people with recent or current experience of financial hardship, who have found the support we offer vital to getting them back on their feet, and involve them as paid ‘co-production partners’. It’s their insights and expertise that helps us redesign our products, our strategy and more. Around 100 people now work with us in this way.
Our broader family incorporates Elizabeth Finn Homes, a group of nine care homes across England whose profits support our work at Turn2us. Last year was understandably challenging, reflecting care sector trends, with families worrying about the safety of homes which in turn affected our occupancy, and staff recruitment. In this new year, it is recovering well and aims to significantly increase its financial contribution. We are now committed to understanding how to support care staff as we look to put the business on a firm footing over the next few years. So, let’s work together.
Poverty and financial insecurity are complex problems, but agreeing on the values of the society we want to live in is not. We want to work in partnership across sectors to build and realise significant change.
We need to build a better framework of support for everyone, regardless of our starts in life, and we need to repair our safety net and employment support, so no-one falls through the gaps.
Thomas Lawson, Turn2us Chief Executive
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## Trustees’ report (Including strategic report)
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Ali - Turn2us service user
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## Our impact this year in numbers:
According to the government’s own figures, 14.4 million people are living in poverty in the UK including 4.2 million children, 8.1 million working-age adults and 2.1 million pensioners.[1]
Turn2us is committed to tackling the injustice of this financial insecurity and inequality. Highlights from the last financial year demonstrate how we are tackling this:
Last year we made grants of nearly £4m, supporting 3,000 people across the UK, including through the Turn2us Edinburgh Trust.
A further £650,000 was distributed to people with complex needs, in partnership with the charity Sense.
Our online Grants Search was used 1.3 million times, helping people find extra money to give them vital breathing space. These grants don’t impact benefits and don’t need to be paid back.
People completed over 3 million calculations using the free Turn2us Benefits Calculator.
4.3 million people visited our website for information to help them tackle financial shocks.
Our helpline received over 100,000 enquiries or requests from people needing support to access our services and those of others.
## Delivering our 2020-23 strategy
This report highlights the progress made in the last year of the 2020-23 strategy and outlines our future plans.
The final year of our strategy was a year of hard work, reflection and learning as we consolidated the lessons from the previous two years, and collaborated with people with lived experience to shape the strategy that will guide us through the next five.
## We delivered this through:
- Providing digital tools through the Turn2us website, including a Benefits Calculator outlining welfare benefits and tax credits people could be entitled to; a Grants Search tool outlining eligibility for more than 1,400 charitable funds; and information and resources designed to help people struggling to get by.
Through our storytelling, the design of our tools and our grant-making and place-based programmes, we continued to amplify the voices of people who experienced financial insecurity most acutely, enabling their real-life experiences and insights to drive our work.
We worked with people rooted in communities to look beyond traditional grant-making methods. We looked at different ways of offering this funding, and how it could be better integrated with other local and national systems of support. The aim is that people’s needs are considered holistically and support drawn from all available sources so it can be more helpful, and lead to positive changes to people’s lives over a longer period.
- Providing a freephone helpline, offering information and support to people who struggle with digital access, and translation services for people whose first language is not English.
- Offering direct financial help through a range of Turn2us grant funds, including the Turn2us Edinburgh Trust.
- Launching a new model of grant-making in Edinburgh, building on our track record over the last ten years.
- Tailoring the support we offer to reflect emerging national issues – for example, launching emergency grant funding and information.
- Expanding our place-based work by establishing a new programme in Barking & Dagenham, in London, building on our collaboration in Middlesbrough and scoping a programme on care in Manchester.
1(source: Households Below Average Income, 2021/22, published by the Department for Work and Pensions, March 2023)
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We’ve seen the demand for our work grow, alongside levels of need which are more acute than ever before. Many people come to us, or to our partners, unable to afford the basics they need to pay for food or energy.
## Our strategic aims 2022-23
On the following pages we share the detail behind the delivery of our six 2022-23 strategic aims:
## Strategic aim 1
Deliver high-quality, practical programmes that include information and financial support, so that people can build their own financial security and thrive.
This past year has been a period of transition across our products and programmes. Our focus has shifted from delivering separate services towards designing more integrated programmes. Our reach is more targeted, increasingly working in partnership with others to reach those most impacted by financial insecurity. Our product and programme designs incorporate more insights from people with lived experience of financial insecurity so that we can be confident they will be equitable and reduce stigma.
As we have continued to change our ways of working, it’s been a year of learning. A year of testing and trialling new approaches and sharing progress along the way, both what has worked well and where we need to improve. It’s been a year of consolidation, embedding key new members of staff who will drive forward the work as we move into our new strategy for 2023-2028.
It has also been a humbling and emotional year. We’ve seen the demand for our work grow, alongside levels of need which are more acute than ever before.
Many people come to us, or to our partners, unable to afford the basics they need to pay for food or energy. The information and support we provide can offer some short-term respite but it’s more important than ever that we design long-term impact into our work so that in the future everyone will have financial security so they can thrive.
On the following pages we share the detail behind our key activities and list them to show how they connect.
Blair - Turn2us service user 10 Annual Impact Report & Accounts 2022-2023
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## National grant programmes: Our evolving strategic approach
Building on our learnings gained over the previous three years, we worked with a range of partners and people with lived experience of financial insecurity to develop a new strategic approach to our National Grant Programmes:
- To ensure our grant programmes reach people who face multiple barriers to financial security.
- To deliver our grant programmes with people at the heart of the process
- To build collaborative and accountable partnerships with organisations who are best placed to reach people most impacted by financial insecurity.
- To empower people facing financial shocks.
We completed a thorough end-to-end redesign of the Elizabeth Finn Fund, working with a diverse group of lived experts to ensure their needs were at the centre of the remodelling. The new version of the fund is due to reopen later in 2023 with a greater focus on single parents.
In September 2022 we also reactivated an optimised version of the Turn2us Response Fund, creating a more flexible, accessible and person-centred approach. Operating from an assumption of trust, it enables applicants to receive their grants quicker through a more simplified process.
## Responding to increased need
Developing this two-part approach with referral partners enabled us to launch a second phase of the fund in March 2023, working again with Z2K (a welfare and benefits advice charity specialising in supporting people with complex needs), London-based North Paddington Food Bank and building a new partnership with Gingerbread (the charity supporting single parents) to couple grant-making with in-person support from our referral partners.
Emergency Grants Fund: From July to October 2022, our Emergency Grants Fund awarded 159 grants, worth a total of £299,800. Referrals came via the Turn2us helpline, North Paddington Foodbank and the charity Z2K. This fund allowed us to develop deeper partnerships and implement some of the initial learnings from the previous funding round.
The Cost of living Fund opened in December 2022, providing grants for single parents unable to afford food, energy and other basics for their families. We know speed is of the essence when cash is limited so we trialled a rapid response grant of £500 provided within 48 hours of application, with a follow-up call two weeks later for a second grant of up to £1,700. The initial £500 provides breathing space and the follow-up call allows us to understand the family’s situation better and support them as they decide how best to spend the follow-up grant.
Turn2us Edinburgh Trust launched its remodelled grant funding in April 2022, creating deeper relationships with a more targeted group of 39 partners across the city. During 2022/23 they distributed grants totalling £1,080,000 to 1,255 individuals and families, responding to increased need across the city.
Paul - Turn2us service user
Erica - Turn2us service user
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## Information programmes and tools: Driving continuous improvement
## We continued to help millions of people through our information hub.
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Noemi - Turn2us service user
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## Our aim is to continue to improve our tools and integrate them across our programmes to provide holistic support for people seeking help.
Benefits Calculator: Building on the new version of the Benefits Calculator that was launched in May 2021 we continued to improve the user journey. We also increased our reach through partnering with eight new organisations who hold trusted relationships with communities we aim to support. They include Christians Against Poverty, Disability Rights UK, the National Survivor User Network (NSUN) and Moneywise Credit Union - who all embedded the calculator on their websites.
Grants Search 2: Near the end of the financial year, we launched our redesigned Grants Search tool:
- Changes were made to the language and imagery used in the new tool to build in empathy and ensure diverse communities were better represented.
- Other practical improvements include being able to log in at any time, from any device.
“Callers interviewed during a January 2023 review of our helpline told us their financial security was impacted or even caused by the design of the current social security system.”
- A new Quick Check function provides more accurate potential eligibility results, helping reduce the number of unsuccessful applications.
Turn2us helpline: Our helpline is supported through our flagship partnership with Royal London, who helped us reach more people impacted by the increased cost of living and build their financial resilience.
Analysis of calls to our helpline between winter (September to January) 2021/2 and the same winter period in 2022/3 showed a 13 per cent increase in calls overall as well as a change in people’s reasons for calling. The two new main reasons for calling became debt and unaffordable living costs as opposed to changes to their employment, financial and housing circumstances which had been some of the main reasons for calls in the past. Fewer people called to check their benefits (down eight per cent) or make general enquiries about benefits (down 14 per cent) during this period.
Comparing winter 2021/2 to winter 2022/3;
- Calls about debt increased 22% (from 940 to 1147)
- Calls about general living costs rose 25% (from 2061 to 2585)
- Calls for specific help with costs for food rose 63% (from 936 calls to 1526)
- Calls about specific debts relating to energy costs increased 138% (from 612 calls to 1458)
- Calls about household bills increased 37% (from 4433 to 6052)
Perhaps most worryingly of all, we also saw a rise in people calling saying they had no income at all, up 18 per cent (4237 calls to 5020) between winter 2021/2 and winter 2022/3.
To help meet the increased demand, from January to March we made some changes to the helpline to reduce waiting times to more manageable levels. Looking ahead, we are exploring chatbots to both reduce demand on the live chat service and drive digitally enabled users to the website, freeing up helpline capacity for those who prefer a conversation, and people facing barriers to accessing support online.
Helpline insights: In addition to the analysis already mentioned, helpline call handlers reported that in general, more people were describing living with precarious financial situations such as snowballing debt, being at risk of homelessness, and Universal Credit not covering the basics. This meant more callers facing emergency situations and needing extra support.
In addition to concerns that Universal Credit is not enough, callers also reported difficulties accessing the social security system in the first place. Callers interviewed during a January 2023 review of our helpline told us their financial security was impacted or even caused by the design of the system. There was a consensus that welfare benefits were complicated, hard-won, and difficult to navigate. These negative experiences fuel a strong sense of mistrust and frustration with the welfare benefits system and callers explained the helpline was often a last resort after trying many other avenues. These learnings are being taken forward to assess how we can better support users through a helpline service in 2023 and beyond.
## Personal independence payment
(PIP) tool: We began the development of a new information tool to help people apply for Personal Independence Payment (PIP). Working with disabled people and experts in the disability sector, we listened to the challenges people face during the application process, often described as ‘complicated’ and affecting people’s mental health. Our aim is to design a tool that will help more people apply for PIP successfully, including by making the tool available to partners and advice organisations. The tool is due to be launched in early 2024.
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## Place-based programmes
Turn2us Edinburgh Trust is our longest established place-based programme having operated in the city for over a decade. In June 2022 we appointed our first Head of Edinburgh Trust. They are leading the team to increase collaborations across the city, in line with the Turn2us vision and the Just Capital Report vision[*] , which is to end poverty in Edinburgh by 2030. Last year, a monitoring, evaluation and learning plan was developed for the Turn2us Edinburgh Trust which found out the main reason people apply for a grant (92 per cent) is to cover essential living costs, housing and household items. This finding underlined our strategic objective that “no one has to go without the basic essentials they need to eat, keep clean and safe, and stay warm and dry (our basic rights)” – as set out in the Edinburgh Trust approach.
Middlesbrough Collaboration: In 2022 we established the Middlesbrough Collaboration - a partnership between Turn2us, Buttle UK and Smallwood Trust. Each organisation is contributing £1m over three years to tackle the root causes of gendered and child poverty and assess the effectiveness of a co-produced approach to grant-making, informed and developed by the experiences of women and their children. The collaboration planned to distribute its first round of grants in September 2023.
Barking & Dagenham Programme: Our collaborative approach with residents in Barking and Dagenham aims to shift power into residents’ hands by piloting new approaches to tackling financial insecurity. In consultation with local organisations and people with lived experience, we designed a programme which included: establishing a group of co-production partners to map local services and support, developing a training and research project to enable residents to advocate for local change, and connecting local organisations with Turn2us to establish referrals to our grant funds.
Exploring Care: In Autumn 2022, we began scoping a new programme in the North West of England in collaboration with local organisations. Early insights have given us a better understanding of the strategic connections between financial security, care, and informal care which will feed into the development of the programme’s next phase, working closely with North West communities.
> *A Just Capital: Actions to End Poverty in Edinburgh - Poverty Commission Edinburgh (edinburghpovertycommission.org.uk)
HRH Duchess of Gloucester meeting partners at the Barking & Dagenham Local Programme workshop, January 2023
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## Strategic aim 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, learning and improvement.
We co-produce our work, to learn from one another, and combine the power of Turn2us with the collective power of people with lived experience through:
Monitoring, evaluation and learning: As we deepened our commitment to co-production and participation, we strengthened our Monitoring, Evaluation & Learning (MEL) framework to better reflect this approach. We are committed to co-producing our evaluations to promote deeper learning and reinforce our commitment to equity, diversity, inclusion and belonging.
- Designing our services, information and tools alongside co-production partners to deliver even better impact for our users.
- Working with people living in financial insecurity to ensure they have influence over decisions that affect them.
We appointed five peer evaluators to deliver three evaluations over a six-month period, evaluating our grant search tool, helpline and Winter Grants Fund. All three projects explored the experiences of individuals after they used our services, to better understand the short and longer-term impacts of our work on the people we offer support to.
## We aim to shift power to people experiencing financial insecurity by:
- Committing to using our resources as a national charity to support people to tackle the causes of financial insecurity.
- Influencing the wider grant-making sector to take a more participatory, community-led approach.
Through the progression of our Place-based Programmes, we are learning lessons about how to establish and grow trust in local communities, and how to shift power to build and grow local networks to create meaningful and long-lasting change.
At the outset of our 2020-23 strategy, impact measurement, co-production and partnership working were being established at Turn2us. The last three years have seen these practices embedded across everything we do. This report demonstrates the power of incorporating lived experience into project and programme design, understanding the impact of programmes to recommend improvements, and leveraging the power of partnership working to take collective action and magnify impact.
As we developed our new five-year strategy we created a new way of evaluating, identifying three core objectives and impactfocussed “key results” to measure our progress against. Our strategy development process was fully co-produced, with people who have experienced financial insecurity joining our working groups and workshops to shape our new strategic direction. Strategy development also gave us the opportunity to engage with current and potential partners at a roundtable to discuss the cost of living crisis in November 2022.
Our 2023-28 strategy no longer highlights impact measurement, co-production and partnerships in the same way, but they continue to be foundational to our work.
Website redevelopment: During the period of this annual report our website platform approached expiry. It meant we needed to move all existing content to a new platform and it made sense to use this opportunity to undertake a full website redesign, taking advantage of everything the new platform has to offer and improving our digital service to people who come to us for information and support.
Through research and working with people with lived experience of financial insecurity, we worked towards the key priority of making the Turn2us website easier to use and more accessible for the people seeking support from our services, including our popular Benefits Calculator and Grants Search tools, which are now featured more prominently, on the homepage of our website.
Working in collaboration with design agency Fat Beehive and web agency Positive, (agencies that specialise in working with charities with limited resources) we kept the redesign on budget and launched it by the intended deadline of summer 2023.
We now have a website that is truly fit for purpose, with better accessibility and user-journeys, especially for service users experiencing crisis.
Justine - Turn2us service user
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## Strategic aim 3
Build the profile of Turn2us and its work to reach people facing life-changing events and experiencing poverty, and secure support for the work.
In summer 2022 we worked with our co-production partners to showcase their stories describing the magnitude of financial insecurity still affecting millions across the UK. We included their stories in our communications to supporters, influencers and members of the public. We partnered with BBC Radio 4 on an appeal which raised funds for our services and awareness of our information programmes so more people knew where to turn for support.
Over the last year our media awareness continued to grow, firmly positioning Turn2us as an expert voice on financial insecurity and welfare benefits, through building stronger relationships with national media alongside higher demand for our services.
Across national and regional online media coverage, Turn2us saw a 36 per cent increase in mentions compared to the previous year. Highlights included an in-depth story on Channel 4 News describing our helpline service, an interview in the Big Issue with our co-production partners Aneita Lewis and actor Will Poulter, followed by him being interviewed on This Morning. We also recorded a 25 per cent increase in broadcast coverage in this period across TV and radio.
The **#How Many More** campaign called for benefits to be increased in line with inflation and through an additional uplift to support people. It also called for investment in longer-term crisis support to enable local authorities to quickly respond to severe need.
In 2022/3 our brand awareness score rose from nine per cent to 11 per cent, as tracked through the YouGov Brand Index, panelpowered by YouGov’s 24 million+ registered members around the world.
The campaign secured multiple PR and media opportunities and enjoyed support from celebrities and influencers, including Will Poulter, Vicky McClure, Peter Komolafe and Jane Moore, helping to increase reach and engagement on all our social channels and website.
We tested a series of Facebook campaigns to support people over the festive period (December 2022–January 2023) increasing visibility of our Benefits Calculator, which resulted in a successful uplift of visitors.
We also worked closely with both Virgin Money and Lloyds Banking Group to shape bespoke content for their respective social media channels, to help raise awareness of Turn2us and our financial tools. Both campaigns were successful in helping to signpost Virgin Money and Lloyds Banking Group customers to the calculator to maximise their income.
“We partnered with BBC Radio 4 on an appeal which raised funds for our services and awareness of our information programmes so more people knew where to turn for support.”
## Strategic aim 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.
Cost of living crisis: We continued to engage with policy makers and influencers through our network of campaigners to amplify our call for change as the cost of living spiralled. We used our ‘Write to your MP’ platform to provide a way for people to advocate for change by sharing their experiences directly with their local MP.
Polling commissioned by the coalition showed more than one in three people hadn’t been able to afford to put the heating on; one in five had missed rent payments in the past six months and almost one in three had missed a bill payment.
Forty-one per cent of people said their mental health had worsened as a result of the cost of living crisis and the North West of England was highlighted as the place where most people (45 per cent) reported their mental health had worsened because of the crisis.
Supporters participated in the End Child Poverty October Day of Action with sector peers and sent a total of 4,998 letters to MPs across the country, calling on the government to bolster cost of living support. More than 1,712 of our supporters took part in the campaign before Chancellor Jeremy Hunt’s Autumn Statement, calling for and resulting in welfare benefits being uprated in line with inflation.
The campaign secured widespread media coverage, including articles in the Guardian, The Mirror, Wales Online and other regional media, and more than 64,000 people signed an open letter presented to the Treasury calling on the Chancellor Jeremy Hunt and Prime Minister Rishi Sunak to “not let this become our new normal”, prior to the Chancellor’s 2023 Spring Statement.
We joined forces with Save The Children UK, Shelter, 38 Degrees and Little Village to establish the ‘Together Through This Crisis’ coalition offering a portal for those who were worried, in need of support, or wanting to make a difference during the cost of living crisis.
#TogetherThroughThisCrisis campaign coalition partners at Downing Street letter hand-in, March 2023
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Invest in our culture, systems, knowledge and skills.
## All-Party Parliamentary Group on
Universal Credit: Turn2us provided the Secretariat for the All-Party Parliamentary Group (APPG) on Universal Credit, working with Co-Chairs Debbie Abrahams MP and Nigel Mills MP. Last year the APPG examined: the cost of living crisis, the inadequacy of Universal Credit (UC), and the impact of disability, sanctions and gender on people’s experiences in relation to Universal Credit.
1,712 of our supporters participated in a campaign prior to the Chancellor Jeremy Hunt’s Autumn Statement, calling for and resulting in welfare benefits being uprated, in line with inflation.
The APPG successfully increased direct engagement with key policy makers, leveraged support across the sector by engaging with session speakers and highlighted the work of the APPG in supporting people on the lowest incomes.
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Jo - Turn2us service user
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## Strategic Aim 5
Reflecting our ongoing commitment to equity, diversity, inclusion and belonging (EDIB), in early 2023 we recruited our first Head of EDIB to bring together safeguarding, accountability and co-production into one team.
Turn2us is fully committed to improving equity, diversity, inclusion and belonging within all aspects of its work to create an inclusive working environment. We recognise that working with staff, trustees and volunteers from diverse backgrounds brings new ideas and innovative approaches to how we work with people to whom we offer our support.
Safeguarding: An external review of the approach to equity, diversity, inclusion and belonging (EDIB) within our safeguarding framework was completed in December 2022, and an externally led assessment of safeguarding compliance with Charity Commission regulation took place in March 2023.
Safeguarding training continues to be developed, updated, and delivered for all staff, co-production partners and trustees. The Safeguarding Policy and response guidance were updated to reflect changes in ways of working and improve accessibility, respectively.
Projects and teams across the organisation have continued to incorporate safeguarding measures (including risk management) and new guidance on child safeguarding has been shared to support our place-based community-led work.
We developed bespoke safeguarding training for co-production partners and separately updated our co-production toolkit.
We improved our IT processes and upgraded our platforms and security in advance of rolling out our updated tools.
Human Resources: During the financial year, the charity grew considerably, from 66 to 81 members of staff. Our HR team focussed on improving our recruitment and induction practice, with excellent results.
We commissioned a year-long management course for all people managers in the charity to help improve and standardise our management practice. We also strengthened our parental leave policy, providing enhanced pay for new parents for six months.
Family of Ian Anderson - Service user
22 Annual Impact Report & Accounts 2022-2023
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## Strategic Aim 6
Maximise our assets and secure income ethically to achieve impact.
The charity has three main sources of income charitable fundraising, rent and profit from our subsidiary care home business and income from investments. These varied income streams help the charity to effectively mitigate financial risk.
Our total income for the year combining these income streams saw a seven per cent increase (2023: £34.2 million; 2022: £31.82 million).
## Voluntary income and fundraising compliance
During the 2022-23 financial year, we secured voluntary income of £1.9 million, exceeding our target. Despite several posts being vacant for significant portions of the year, several income streams saw growth from pre-pandemic levels. We raised: £500,000 from corporate partners; £800,000 total income from gifts left in people’s wills, individual giving and fundraising events and £600,000 from Philanthropy. This income enabled us to provide vital support across the organisation to help people through the cost of living crisis.
Royal London generously match funded our Crowdfunder Cost of Living Campaign, which helped to more than double our donations and number of supporters, enabling us to support more families in desperate need.
- Corporate partnerships remained a core part of our engagement and income generation:
- Gas distribution company Cadent Gas supported our crisis responses programmes.
- Virgin Money renewed its partnership and created social media campaigns signposting customers to our Benefits Calculator.
Our flagship strategic partnership with Royal London engaged staff across their UK network of offices who participated in events throughout the year, including payroll giving, fundraising and challenge events culminating in the Yorkshire Three Peaks hike last autumn. Setting off at 5.30am, 28 Royal London colleagues walked solidly for 12 hours and climbed over 1,700m of ascent to show their support and raise funds.
- Lloyds Banking Group (LBG) renewed our partnership and created bespoke content targeting customers in need of financial support.
- We agreed a new ‘Charity of the Year’ partnership with Insolvency Practitioners Association (IPA).
Overall we raised £540k from Trusts and Foundations, including continuation funding from the Oak Foundation and the John Laing Charitable Trust. We received a grant from the Westminster Foundation to support our Crisis Grant Funds and the Pears Foundation pledged to support the Turn2us Response Fund. We attracted new investment from Trusts and Foundations including the Robertson Trust for our work in Edinburgh.
Together we launched marketing & PR campaigns, including marketing Royal London’s pensions savings app. During this campaign, for every app download Royal London donated to Turn2us.This campaign ran for two months, and was promoted through a range of channels including customer and employer emails, web features, social content and internal communications articles.
We bolstered the Income Generation team through bringing new colleagues on board to mitigate existing gaps which will enable us to drive forward our work across Philanthropy and Partnerships and Public Engagement.
A new digital ad campaign ran from February to the end of March 2023 asking people on Facebook and Instagram to sign up to receive updates and donate to us, which will inform our donor acquisition strategy.
Challenge events had strong uptake in 2022/3 with the Great North Run, Tough Mudder and London Marathon raising £18k.
Turn2us is registered with the Fundraising Regulator and adheres to the Fundraising Code of Practice.
“Challenge events had strong uptake in 2022/3 with the Great North Run, Tough Mudder and London Marathon raising £18k.”
We employ a 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 employ external digital agencies to support specific fundraising campaigns to bolster supporter acquisition.
For the 12 months to 31 March 2023, we received no formal 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 at-risk members of the public.
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25
The majority of property assets are reviewed as part of the continuing assessment of performance of the dedicated care home subsidiary, Elizabeth Finn Homes. Investment properties, which do not form part of the care home portfolio, are reviewed regularly by the Finance and Investment Committee to determine their most appropriate use in maximising return.
## Care Home Income:
Elizabeth Finn Homes is run separately from Turn2us, with surplus and rent from the care homes being invested back into the charity. In 2022-23, Elizabeth Finn Homes contributed £3.2 million (2022: £5 million) in both covenanted surplus and rent to Turn2us. The contribution figure is stated after investing £593,000 (2022: £328,000) in our ongoing programme of maintaining the facilities to ensure excellent care.
Our Finance & Investment Committee monitors the performance of the listed investments using defined criteria. The overall investment objective, based on total return, is ‘Retail Price Index (RPI) + 4%’ to create a 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.
While there was a sharp decline in contribution in the audited year, mostly due to a difficult trading environment across the care sector, there is a plan in place to return the business to the typical levels of profitability achieved in the previous financial years.
## Investment Portfolio and Policy:
Our investment portfolio already excludes lenders which may be using so-called predatory lending practices, and we are in the process of creating an Ethical Investment Policy which will take a broader look at how well our portfolio is aligned to our charitable aims.
We last updated our Investment Policy in 2019. This continues to recognise three critical groups of assets, which are monitored by the Finance and Investment Committee on a quarterly basis:
- An investment property portfolio, consisting of fourteen assets, mostly donated to the charity, plus tangible fixed assets, including the freehold of eight care homes, with an additional home held on a long lease at a ground rent of £15,000 pa.
For the £49m in funds held by investment managers (2022: £56.5 million), the combined investment performance for both investment managers for this year was -2.6 per cent, which was below the composite benchmarks and our budgeted return objectives for the financial year.
- Investments managed on behalf of the charity by two professional fund managers operating on a discretionary basis.
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.
- Cash used for working capital purposes and managed in-house.
- “We are in the process of creating an Ethical Investment Policy to take a broader look at aligning our portfolio to our charitable aims.”
The charity has responsibility for a historical defined benefit pension scheme, which is closed to new joiners. The scheme is governed by a separate board of trustees. The charity must maintain appropriate funding levels to ensure the scheme can meet its liabilities. Currently, the charity has committed to a repayment plan of £533k over 10 years to meet the funding requirements identified in the last triennial review dated 30 June 2020. This commitment can be met while still retaining appropriate levels of reserves.
## Expenditure
Total expenditure was £40m, an increase of £5.1m on the previous year. Spend on charitable activity went up five per cent (2023: £9.8m; 2022: £9.3m), while the cost of running our care homes increased by 17 per cent (2023: £29.1m; 2022: £24.8m). The central running costs of the charity increased by 27 per cent (2023: £1.8m; 2022: £1.4m), largely driven by increases in training and recruitment costs and growth in our HR team to support higher staff numbers.
As of 31 March 2023, total funds were £63.1 million, a decrease of nine per cent from the previous year (2022: £69.5 million). 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.
## Reserves Position and Policy
In drawing up our Reserves Policy, trustees are mindful of the need to balance financial prudence with the importance of delivering money quickly to the front line of our work.
To enable the charity to deliver upon its commitments to the people we offer support to and to avoid any risk of interruption to our programmes, our prudent Reserves Policy is to retain between six and 12 months of group expenditure in free reserves, which is between £20m-£40m in the audited financial year.
On 31 March 2023, the charity held free reserves of £28 million, which represents about eight months of the group’s annual expenditure. The trustees are confident that the reserves level is sufficient for current and proposed levels of activity.
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**----- Start of picture text -----**
Syeda -
Turn2us
service user
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## Risk Review
The board, which is supported by the Audit, Risk & Governance Committee, has overall responsibility for risk management of the group. A strategic risk register covering key strategic risks is reviewed by the Audit, Risk & Governance Committee and the board. The group’s Risk Policy was last reviewed and updated in 2023.
Inflation and rising costs are key financial risks for the charity. In the short term, the cost of running our care home business will rise, and this will likely have an impact on its financial contribution to the charity. In addition, continued volatility in global markets could have a negative impact on our returns. The charity, however, has strong reserves, which will support us through this period.
In looking at the key financial risks and in view of financial projections over the next 18 months, trustees are satisfied that the charity is in a stable financial position.
Key operational risks include difficulty recruiting sufficient numbers of high calibre staff to deliver the strategic plan, failing to reach those who are most in need of our support, and reputational risk arising from entering poor partnerships. For the care home subsidiary, the main operational risks are general staffing and inability to recruit sufficient care home staff, occupancy and safeguarding.
Trustees ensure that there are appropriate measures in place to mitigate the impact and likelihood of risks occurring. Where possible, insurance protection is taken out against risks materialising and, where insurance is not available, frequent monitoring and surveillance of the mitigation measures takes place.
## Elizabeth Finn Homes
## The board of directors of Elizabeth Finn Homes Limited is comprised of:
- Thomas Lawson, Executive Chair
- Elizabeth Marsh, Non-Executive Director (appointed 6 September 2022)
- Edwina Johnston, Deputy Chair, NonExecutive Director (Trustee of Turn2us)
- Thomas Mathew, Non-Executive Director (appointed 6 September 2022, resigned 6 June 2023)
- David Abas, Human Resources Director
- Jonathan Crisp, Interim Chief Executive (1 July – 26 March 2023), Finance Director (from 27 March 2023)
- Julienne Meyer, Non-Executive Director
- Richard Midmer, Non-Executive Director (Trustee of Turn2us) (appointed 3 June 2014, resigned 30 June 2022)
- Olivia Curno, Chief Executive (from 27 March 2023)
- Richard Hawes, Chief Executive (resigned 30 June 2022)
- Thomas Morgan, Non-Executive Director (Trustee of Turn2us)
- Alistair How, Non-Executive Director (appointed 6 September 2022)
- Carrie Stokes, Non-Executive Director (Chair and Trustee of Turn2us)
- Catherine Lines, Clinical Director (from 14 December 2022)
28 Annual Impact Report & Accounts 2022-2023
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Elizabeth Finn Homes (continued)
## The 2022-23 financial year proved to be another challenging period for both Elizabeth Finn Homes and the wider care sector in general.
With a dedicated focus, we have been able to make significant progress in both recruiting and retaining staff and vacancy levels are now comfortably below the current industry norm. The decision to become a real Living Wage employer at the start of the year with the associated impact on pay rates has also had a positive effect in recruiting permanent staff. Our FTE headcount during the year was 576 staff.
The key focus for the business remained the delivery of safe, quality care throughout the year with investment in our quality and compliance team to help develop and share best practice. Rashwood was the only home to be inspected by CQC during the year and it retained its overall rating of ‘Good.’ One third of our homes continue to be rated ‘Outstanding’ against an industry average of 5 per cent. All our other homes are rated ’Good.’
We have slowly been able to reduce the impact of Covid-19 and its associated restrictions throughout the year whilst ensuring that we have adhered to the latest government guidelines at all times. We have been able to welcome back friends and relatives and also increase the level of activities available to enhance the lives of our residents.
Five of our homes hold Gold Standard Framework accreditation for end-of-life care with three of them (Halliwell, Grove Court and Rashwood) holding the prestigious Platinum status.
We continue to be highly appreciative of the staff whose dedication and commitment ensured that we were able to continue to deliver exceptional care for all our residents.
Elizabeth Finn Homes provided care to an average 403 residents in 2022/23 (389 in 2021/22) across the nine homes. This represents an average of 85 per cent occupancy across the year (81 per cent in 2021/22).
The financial performance of the business was below expectations with a net contribution of £2.3m returned to Turn2us through rent and surplus. Reduced levels of occupancy, and the increased spend on agency staff were the two main factors affecting our net financial performance
Retaining and recruiting staff was particularly difficult and gave rise to a significant increase in the use of agency staff across nearly all our homes. Occupancy showed some improvement during the year but still remains significantly below the levels experienced pre-Covid-19. The board of directors of Elizabeth Finn Homes and the trustees of the charity continue to be highly appreciative of the staff whose dedication and commitment ensured that we were able to continue to deliver exceptional care for all our residents.
Whilst the operational challenges remain, we are confident that with a continuing focus on delivering high quality care in beautiful surroundings along with increased attention on the operational and commercial business, we will see a significant improvement in performance.
- “We continue to be highly appreciative of the staff whose dedication and commitment ensured that we were able to continue to deliver exceptional care for all our residents.”
## Looking to the future – a Brief overview of our new strategy 2023-28
## Tackling financial insecurity together
– Help build a fair economy through systems change. Building on our data, insight and learning, and embedded throughout our work, we will campaign for a fair and just economy and work in partnership to create new systems that build financial security for all.
Our previous work enabled us to build strong foundations for our bold ambition to build financial security for everyone and empower people to thrive, not just survive.
Looking to the next five years, and beyond, our new strategy focuses on the underlying inequalities that leave too many communities disadvantaged and sets out three strategic priorities:
- Offer high quality information and support. We will be led by people experiencing financial insecurity, our partners and the communities we work with, and our improvement-focused evaluation, to develop integrated services people need.
- Strengthen communities through place-based programmes. We will develop existing programmes and start new ones designed by and rooted in communities across the UK. Led by local organisations and people with experience of financial hardship we will address financial insecurity and economic injustice together.
Aneita - Turn2us service user and co-production partner
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31
## Financial activities of the charity
(see note 14b in the Financial Statements)
**----- Start of picture text -----**
8%
15% Legacies: 0%
Incoming Investment income: £485,000 Net profit donation
resources 2022/2023 £884,000 from Elizabeth Finn Trading
Company: £25,500
2%
Net profit donation
from Elizabeth Finn Homes
Limited: £97,000 23%
Donations & Grants:
£1,448,500
52%
Rental Income from
Elizabeth Finn Homes
Limited: £3,150,000
**----- End of picture text -----**
Contributions from Elizabeth Finn Homes were made possible by the generosity of previous supporters who financed or donated the care homes to the charity.
## £6.09 million received
**----- Start of picture text -----**
2% 5%
Outgoing
Investment Property maintenance of Elizabeth
resources 2022/2023 management: Finn Homes Limited: £593,000
£188,000
8%
Income
generation:
£957,000
30%
Grants given: £3,427,000
20%
Grant casework:
£2,346,000
0%
33%
Trading activities
for charitable benefit: Helpline, online and
£17,000 face-to-face support: £3,851,000
**----- End of picture text -----**
## £11.9m million spent
of the charity or 84p for every £1 spent
## Legal, structure and governance
The charity was founded by Elizabeth and Constance Finn in 1897 as the ‘Distressed Gentlefolk’s Aid Association’ and incorporated under that name on 19 January 1953 as a charitable company limited by guarantee.
The charity changed its name to Elizabeth Finn Trust in 1999 and to Elizabeth Finn Care in 2005. The operating name of Turn2us was adopted in 2015.
The charity is governed by Articles of Association (last amended 23 July 2019). The objects are to relieve and assist residents or nationals of the United Kingdom or the Republic of Ireland from a professional or similar background suffering from old age, infirmity, disablement or financial need or are otherwise in conditions of need, hardship or distress.
## Role of the board of trustees
The Board of Trustees (see full list page 35) is ultimately responsible for promoting the long-term success of Turn2us. Trustees lead and provide direction in setting strategy and overseeing its implementation. They are also responsible for oversight of the charity’s systems of governance, internal control and risk management.
The trustees have acted in accordance with their legal duties which includes their duty to act in the way they consider would most likely promote the success of the charity and their duties under the Companies Act. Considerations under section 172 of the Companies Act 2006 are embedded in decision-making at board level and throughout Turn2us.
Specific key decisions and matters have been reserved for the board. These include overall management of the charity, ensuring compliance with the charity’s objects and relevant legislation, the strategic aims and objectives of the charity, approval of annual budgets and business plans, approval of the scheme of delegation to the board’s sub-committees and their terms of reference and appointment of trustees and directors of subsidiary companies.
At each meeting of the board, trustees receive reports on key aspects of the charity’s operations, including financial performance and resilience, material activities, regulation, communications and programmes monitoring. 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.
Our trustees are volunteers, and not remunerated for their work, but may claim reasonable expenses incurred by attending meetings or carrying out other duties.
## Appointment, effectiveness and attendance of trustees
The Articles of Association provide that the board shall consist of between seven and 15 individuals, all of whom must be members of the charity. At the year end, the charity’s board was comprised of 11 trustees. The names of those who served on the board during the year are detailed on page 35.
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33
Board members are trustees of the charity and directors of the company limited by guarantee. Membership is only open to trustees. Members of the charity guarantee to contribute up to £1 to the assets of the charity in the event of winding up.
The balance of the board’s diversity, skills and experience is kept under constant review and new trustees are appointed by the existing board on recommendation of the Nominations & Remuneration Committee. Recruitment is based on objective selection criteria after a transparent and competitive process.
Trustees who left during the year were Jo Wickremasinghe and Olivia Curno. We give huge thanks to both Jo and Olivia for their tremendous contributions to the sound governance of the charity over the years.
Following an objective and rigorous search and selection process to determine the best candidate capable of fulfilling the role, Olivia Curno was appointed Chief Executive of Elizabeth Finn Homes from March 2023.
During the year, we welcomed three new trustees to the board – Denise Ramsey, Holly Tippett Simpson and Philippe Lintern. Each was appointed following a robust recruitment exercise including wide advertising and an application procedure which anonymised candidates and reduced the potential for unconscious bias in recruitment.
Philippe Lintern spent twenty years working in investment banking as a trader, and then as head of a risk management division. In 2020, Philippe joined the Bank of England specialising in trading risk management and in 2022 became Head of the Foreign Exchange Division. Philippe is passionate about social and financial inclusion. From an early age he was aware of inequalities and financial insecurity and working in a job centre in France, he saw first-hand the devastation wrought by long term unemployment.
As a volunteer for Shelter, Philippe regularly helped people use our Benefits Calculator and apply for Turn2us grants and in doing so witnessed first-hand the life changing positive impact Turn2us can have on peoples’ lives. Philippe is now a trustee and vice chair of Shelter. Philippe is a member of the Audit, Risk & Governance Committee and the Finance & Investment Committee.
Denise Ramsey is Director for Social Entrepreneur Support for UnLtd. Having spent the past five years leading on delivering equitable funding and support, she has the ability to steer strategic direction whilst leading people to be operationally sound in deliverables. During 2020/21 this leadership enabled £11m to be distributed to social entrepreneurs, as well as a £10m partnership. She was instrumental in getting muchneeded funds to 600+ people in communities during lockdown, whilst driving UnLtd’s equity audit and the organisation’s response to it. For the past 20 years Denise has worked across entrepreneurship, business, education, safeguarding and VAWG (Violence Against Women and Girls) within the public and private sector. Denise has significant depths of both lived and learnt expertise and has the ability to challenge and ask great questions with real courage, generosity and empathy. She leads with equity in order to achieve justice. Denise is a member of the Nominations & Remuneration Committee.
Holly Tippett Simpson is senior strategic funding advisor at the British Red Cross, enabling the organisation to respond to change and emerging sector trends. She coordinates the business planning process, delivers fundraising research, and has experience managing the Red Cross’s largest emergency appeal - The Ukraine Crisis Appeal. Previously, she worked at The Salvation Army, in a policy and public affairs role advocating for homelessness policy changes.
The board of trustees currently meets four times a year plus one strategy away day. Attendance by trustees at board and committee meetings during the year is shown in the table below.
There, she developed a cross-sector emergency rough sleeping initiative, to help provide safe spaces during the pandemic. Holly’s passion for ensuring support is available for everyone in financial hardship developed through her voluntary work with people experiencing homelessness and in women’s refuge services, alongside the completion of her MA in Human Rights in 2019.
|
people experiencing homelessness and
in women’s refuge services, alongside the
completion of her MA in Human Rights
in 2019.
Each new trustee is required to engage
in a tailored induction programme to
enable them to engage with their role
quickly and fully. Additionally, all trustees
are required to undertake appropriate
training throughout the year arranged by
the charity on identifed areas of risk or
where knowledge needs strengthening,
for example annual safeguarding training.
We are currently engaged in the triennial,
externally commissioned governance
review. The review has made a number of
recommendations to the trustees which
have been accepted and these will be
implemented during the year.|Trustee
Board meeting
attendance %
Helen Chambers
100 (4/4)
Olivia Curno
0 (0/1)
Steven Hunter
100 (4/4)
Edwina Johnston
100 (4/4)
Philippe Lintern
100 (2/2)
Sandy MacDonald
100 (4/4)
Richard Midmer
100 (1/1)
Thomas Morgan
100 (4/4)
Natasha Otero-Nevitt
100 (4/4)
Kalm Paul-Christian
50 (2/4)
Denise Ramsey
50 (1/2)
Holly Tippett-Simpson
100 (2/2)|
|---|---|
Karen - Turn2us service user and co-production partner
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35
## Public benefit statement
The charity’s trustees have had due regard to the Charity Commission and OSCR (Scottish Charity Regulator) guidance in relation to delivering public benefit. The work of Turn2us is specifically aimed at the prevention or relief of poverty and all the charity’s resources are focused on achieving its charitable purposes.
## Board sub-committees The board has four sub-committees:
## The Finance & Investment Committee
## Audit Risk & Governance Committee
provides oversight of the financial reporting process, the audit process, the systems of internal controls and compliance with laws and regulations on behalf of the boards of both the charity and Elizabeth Finn Homes. Members are:
is responsible for providing the necessary scrutiny and oversight of the financial management of the charity and its subsidiary and for giving assurance to the boards of both entities about the ongoing financial sustainability. The Chair of the committee is the charity’s treasurer. The committee has also appointed two external members to strengthen its financial and investment expertise. Members include:
## Edwina Johnston, chair
## Steven Hunter
Philippe Lintern (from 14 December 2022)
## The Edinburgh Trust Committee, operating
as a restricted fund, was formed to oversee the Turn2us Edinburgh Trust, reporting to the Turn2us board of trustees. It was formed in accordance with the Deed of Appointment dated 11 July 2011 between the charity and the City of Edinburgh Council for the transfer of assets of several poverty related charities and trusts in Edinburgh. The committee has two external members who strengthen its local knowledge and expertise in the field of poverty relief. Members are:
## Steven Hunter (chair)
Helen Chambers (to 21 June 2023) Richard Buxton (external member) David Causer (external member) Philippe Lintern (from 14 December 2022)
## Nominations & Remuneration
Committee leads the process for appointments to the board of the charity, its subsidiary and committees, ensuring orderly succession and overseeing the development of a diverse succession pipeline. The committee also recommends to the board policy on staff and executive remuneration and benefits. Members are:
## Helen Chambers (chair)
## Sandy MacDonald
## Carrie Stokes
## Lord Provost of the City of Edinburgh
(ex officio)
## Carrie Stokes (chair)
Cammy Day (City of Edinburgh Council nominee)
Olivia Curno (to 10 August 2022)
Kalm Paul-Christian (to 6 March 2023) Denise Ramsey (from 14 December 2022)
Mary Craig (external member) Mark Upward (external member) Gillian Russell (from 29 September 2022)
## Turn2us 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 to support normal daily living.
## All applications for support will be assessed:
- Against the eligibility criteria of the fund(s)
- 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.
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37
## Streamlined energy & carbon reporting disclosure
**----- Start of picture text -----**
Streamlined Energy & Carbon Current reporting year Previous reporting year
Reporting disclosure (2022-2023) - restated (2021-2022)
for the period UK & offshore UK & offshore
April 2022 – March 2023
Total energy consumption used to 9,925,821 10,301,619
calculate emissions in kWh
Emissions from combustion of 1,312.0 1,137.4
gas (Scope 1) – includes natural
gas and LPG
Emissions from other activities 217.6 434.8
which the company own or
control including operation of
facilities (Scope 1) – gas oil used
for heating
Emissions from the combustion 12.0 38.1
of fuel used in company owned
vehicles (Scope 1)
Emissions from 450.5 499.1
purchased electricity
(Scope 2, location - based)
Emissions from business travel in 3.8 15.3
rental cars or employee -owned
vehicles where company is
responsible for purchasing the
fuel (Scope 3)
Total gross tCO2e based on above 1,995.9 2,124.6
Intensity ratio: gross tCO2e / FTE 3.09 3.32
**----- End of picture text -----**
## Methodology
As a 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 Turn2us is responsible. This includes energy used in our offices and care homes and fuel used in company owned or operated vehicles or private vehicles on 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 2022. Any estimates included in our totals are derived from actual data.
## Energy efficient actions
During the reporting year, we upgraded the lighting and control systems at all our Care Homes. Additionally, the largest investment has been the 120 solar PV panels now installed and operating at Grove Court.
38 Annual Impact Report & Accounts 2022-2023
**39**
Oliver Bellamy, Caseworker, Turn2us and Anna Stevenson, Senior Welfare Benefits Specialist
## Staff
We have a paid workforce of 656 full-time equivalent staff (2022:640) based across the UK. Of this workforce, 576 FTE staff work in our dedicated care home business, Elizabeth Finn Homes, while 81 staff are employed by the charity, Turn2us.
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.
Throughout the year, the board received reports from the directors of each directorate on the landscape and the plans they are putting in place to respond to changing demands. Directors also provide regular updates on performance and focus on areas which give the board insight into issues and concerns.
In summer 2022, Turn2us introduced a Hybrid Working policy. This allows staff to work mainly from home, with four days per month in the office. We have maintained regular communications with all staff through a daily update and monthly online all-staff meetings.
It has been a busy year for recruitment with 36 people having been hired across all functions and at all levels between April 2022 and March 2023. This includes one staff member recruited through an Apprenticeship scheme.
We have continued to improve the coordination of training with a number of key sessions for staff including safeguarding and a people leader training programme. Some staff have also received bespoke individual training to support their development, particularly via coaching and mentoring.
We have updated our HR policies to ensure they continue to reflect current working practices and the values of Turn2us. During 2022-23 we created a Hybrid Working policy, updated the Bullying and Harassment policy and created a new Whistleblowing policy.
## Volunteers
Turn2us is fortunate to have worked with a number of committed volunteers and we are grateful for their support. There have been significant changes in how we can work with volunteers in recent years, and we will be looking to review our approach to volunteering as we deliver our new strategy.
**----- Start of picture text -----**
Patrycja Kupiec, Head of Turn2us
Edinburgh Trust and Kemi
Fontaine, Co-production Officer
**----- End of picture text -----**
## Remuneration policy
The charity adopted a new Remuneration Policy in December 2020 with transparent salary bandings and objective job level criteria to help drive consistency in pay and help us attract and retain the highest quality people to lead and develop our work.
Pay for all staff is reviewed annually by the board to take account of rises in the cost of living. Going into the current financial year, taking into consideration the very high rates of inflation, trustees approved salaries increased on a sliding scale dependent on job level with the most junior staff receiving 9.2 per cent (linked to the CPI inflationary index) and directors receiving 4.6 per cent and the CEO receiving no cost of living increase.
Our Gender and Race Pay Gap Report, as of April 2022, showed a mean gender pay gap of 18 per cent. This is mostly explained by junior and entry level roles within the charity being mostly filled by women. The gender pay gap from April 2023 showed an encouraging improvement to 10 per cent. The race pay gap as of April 2022 was 8 per cent, and that improved slightly to 7 per cent in April 2023.
As well as our transparent remuneration policy, we have introduced anonymised shortlisting through “Applied”, to help reduce bias in recruitment. We continue to offer placements for the year-long mentoring and training programme with Black Charity Leaders to support people of colour within the organisation to develop into leadership positions.
Turn2us is committed to the principles of equitable opportunities and treatment for all employees, regardless of sex, race, religion or belief, age, marriage or civil partnership, pregnancy/maternity, sexual orientation, gender reassignment, or disability.
## Policy for the employment of Disabled people
At Turn2us and Elizabeth Finn Homes we fully embrace as part of our values, beliefs and working practices, that Disabled people will have equal opportunities with recruitment, training, promotion and career development.
We will ensure that people with disabilities in our employment are, when necessary, offered specialist knowledge, support and advice to assist them in their working lives. Disability inclusion aligns closely to our commitment to equity, diversity, inclusion and belonging, which is an essential part of our fabric and business strategy. We are dedicated to ensuring we create an environment in which all employees are valued and respected.
“Our Gender and Race Pay Gap Report showed a mean gender pay gap of 18 per cent. In April 2023 this improved to 10 per cent.”
40 Annual Impact Report & Accounts 2022-2023
41
## Management and administration
## Patron
## HRH The Duchess of Gloucester
## Chief Executive:
Thomas Lawson
## Patron and President for Scotland
Dr Mary, Dowager Countess of Strathmore (to June 2022)
## Chair
Carrie Stokes
## Deputy Chair
Richard Midmer (to 30 June 2022) Olivia Curno (from 1 July 2022 to 10 August 2022) Steven Hunter (from 11 August 2022)
## Treasurer
Steven Hunter
## Trustees
## Helen Chambers
Olivia Curno (resigned 10 August 2022) Steven Hunter
Edwina Johnston
Philippe Lintern (appointed 21 October 2022) Sandy MacDonald
Richard Midmer (appointed 3 June 2014, resigned 30 June 2022)
Tom Morgan
Natasha Otero-Nevitt
Kalm Paul-Christian (resigned 19 June 2023 Denise Ramsey (appointed 10 October 2022 Carrie Stokes
Holly Tippett Simpson (appointed 10 October 2022)
Jo Wickremasinghe (resigned 24 November 2022)
## Executive Directors
Our Executive Team is responsible for planning, directing and controlling the activities of the charity as delegated by the trustees:
Director of Finance & Resources: Thomas Mathew
## Director of Impact & Innovation:
Joanna Kerr (parental leave started 31 October 2022)
Interim Director of Impact & Innovation: Michael Clarke (appointed 31 October 2022)
Director of Income & External Affairs: Claire Atchia McMaster
Director of Programmes & Partnerships: Sonya Ruparel (resigned 30 June 2022) Sarah McLoughlin (appointed 3 October 2022)
## Board Secretary: Caroline Rose
## Company Secretary: Thomas Mathew
Auditor: Sayer Vincent LLP, Invicta House, 108-114 Golden Lane, London EC1Y 0TL
Bankers: Lloyds Bank Plc, 179 Earls Court Road, London SW5 9RE
Investment Advisors: Evelyn Partners, 45 Gresham St, London EC2V 7BG; McInroy & Wood, Easter Alderston, Haddington, East Lothian EH41 3SF
Solicitors: Farrer & Co LLP, 66 Lincoln’s Inn Fields, London WC2A 3LH
Registered Office: Turn2us, Hythe House, 200 Shepherds Bush Road, London W6 7NL
Telephone: 0208 834 9225
## Websites
www.turn2us.org.uk and www.efhl.co.uk
## Charity Commission registration:
England & Wales 207812; Scotland SC040987
Companies House registration: Elizabeth Finn Care, (working name Turn2us): 515297; Elizabeth Finn Homes Limited: 5225008; Elizabeth Finn Trading Limited: 3499586; Turn2us (dormant company): 06136422; Turntous Limited (dormant company): 06136521
42 Annual Impact Report & Accounts 2022-2023
43
## Statement of trustees’ responsibilities:
The trustees are also Directors of Elizabeth Finn Care, operating as Turn2us. For the purposes of company law, the trustees 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).
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:
- 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.
- 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.
- Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping 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).
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.
- 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.
The trustees’ annual report, which includes the strategic report, has been approved by the trustees on 21[st] September 2023 and signed on their behalf by:
## Name: Carrie Stokes
## Title: Chair
Date: 21[st] September 2023
Carrie Stokes, Ali Miah and Turn2us colleagues
44 Annual Impact Report & Accounts 2022-2023
45
## Independent auditor’s report to the members of Elizabeth Finn Care
## Opinion
## Basis for 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 2023 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).
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.
## In our opinion, the financial statements:
## Conclusions relating to going concern
- 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 2023 and of the group’s incoming resources and application of resources, including its income and expenditure, for the year then ended
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.
- 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 responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
## 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.
Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
## Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- The information given in the trustees’ 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.
46 Annual Impact Report & Accounts 2022-2023
47
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 noncompliance 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 non-compliance 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.
## 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: 5 December 2023
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
48 Annual Impact Report & Accounts 2022-2023
49
31 March 2023
Elizabeth Finn Care, operating as Turn2us
## Consolidated Statement of Financial Activities (incorporating income and expenditure account)
## Year to 31 March 2023
||||||||||
|---|---|---|---|---|---|---|---|---|
|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 (expenditure)/income for the year before investments
gains and losses
Net gains/(losses) on investments
Net realised gains/(losses) on investments
8
Net unrealised (losses)/gains on investments
8
Net (expenditure)/income for the year before transfers
Transfers between funds
Other recognised gains/(losses):
Actuarial gains on defned beneft pension scheme
16
Net movement in funds
Reconciliation of funds:
Funds Brought Forward
Total funds carried forward at 31 March 2023
12
ear to 31 March 2023|Unrestricted
Funds 2023
£'000
776
385
-
100|Restricted
Funds 2023
£'000
314
100
315
-||Endowment
Funds 2023
Total
Funds 2023
Total
Funds 2022
£'000
£'000
£'000
-
1,090
840
-
485
615
-
315
452
-
100
44
-
31,350
29,010
-
884
885
-
34,224
31,846
-
957
622
-
29,116
24,790
6
188
215
6
30,261
25,627
(6)
3,963
6,219
-
3,969
3,184
-
3,427
4,284
-
2,347
1,770
-
48
43
-
9,791
9,281
6
40,052
34,908
(6)
(5,828)
(3,062)
64
1,424
984
(154)
(2,558)
1,369
(90)
(1,134)
2,353
(96)
(6,962)
(709)
(1,290)
-
-|||||
||31,350
469||-
415||-
-|31,350
884|29,010
885||
||33,080||1,144||-|34,224|31,846||
||946
29,116
131||11
-
51||-
-
6|957
29,116
188|622
24,790
215||
||30,193||62||6|30,261|25,627||
||||||||||
||2,887||1,082||(6)|3,963|6,219||
||3,650
2,081
2,090
48||319
1,346
257
-||-
-
-
-|3,969
3,427
2,347
48|3,184
4,284
1,770
43||
||7,869||1,922||-|9,791|9,281||
||||||||||
||38,062||1,984||6|40,052|34,908||
||||||||||
||(4,982)||(840)||(6)|(5,828)|(3,062)||
||773
(1,030)||587
(1,374)||64
(154)|1,424
(2,558)|984
1,369||
||(257)||(787)||(90)|(1,134)|2,353||
||(5,239)||(1,627)||(96)|(6,962)|(709)||
||1,290||-||(1,290)|-|-||
||||||||||
||521||-||-|521|486||
||(3,428)||(1,627)||(1,386)|(6,441)|(223)||
||41,309||25,797||2,400
–|69,506
–|69,729
–||
||37,881||24,170|1,014||63,065|69,506||
||||||||||
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 on pages 54 to73 are an integral part of this financial statement.
## Comparative Consolidated Statement of Financial Activities (incorporating income and expenditure account)
|||||
|---|---|---|---|
|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 (expenditure)/income for the year before investments
Net gains/(losses) on investments
Net realised gains/(losses) on investments
Net unrealised gains/(losses) on investments
Net income/(expenditure) for the year before transfers
Transfers between funds
Other recognised gains/(losses):
Actuarial gains on defned beneft pension scheme
16
Net movement in funds
Reconciliation of funds:
Funds Brought Forward
Total funds carried forward at 31 March 2022
Year to 31 March 2022|Unrestricted
Funds 2022
£'000
499
615
-
44|Restricted
Funds 2022
£'000
341
-
452
-|Endowment
Funds 2022
Total Funds
2022
£'000
£'000
-
840
-
615
-
452
-
44|
||28,177
468|833
417|-
29,010
-
885
-
31,846
-
622
-
24,790
7
215
7
25,627
(7)
6,219
-
3,184
-
4,284
-
1,770
-
43
-
9,281
7
34,908
(7)
(3,062)
45
984
21
1,369
66
2,353
59
(709)
-
-
-
486
59
(223)
2,341
69,729
2,400
69,506|
||29,803|2,043|-|
||611
23,956
135|11
834
73|-
-
7|
||24,702|918|7|
|||||
||5,101|1,125|(7)|
||2,646
2,760
1,484
43|538
1,524
286
-|-
-
-
-|
||6,933|2,348|-|
|||||
||31,635|3,266|7|
|||||
||(1,832)|(1,223)|(7)|
||539
819|400
529|45
21|
||1,358|929|66|
||(474)
-
486|(294)
-
-|59
-
-|
||12
41,297|(294)
26,091|59
2,341|
|||||
||41,309|25,797|2,400|
|||||
|||||
50 Annual Impact Report & Accounts 2022-2023
51
31 March 2023
Elizabeth Finn Care, operating as Turn2us
## Group and Charity Balance Sheets as at 31 March 2023
|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
16
Net assets
12
The funds of the charity:
Permanent Endowment
12
Restricted
12
Designated
12
Unrestricted Reserves
12
Total charity funds
12
The accompanying notes on pages 54 to 73 are an integral part of the
Approved by the Board of Trustees on 21stSeptember 2023 and
Notes|||||
|---|---|---|---|---|
||£'000
8,379
55,678
Group 2023
|Group 2022|£'000
8,379
55,678
Charity 2023|Charity 2022|
|||£'000
8,391
62,123||£'000
8,391
62,123|
||64,057|70,514|64,057|70,514|
||1,380
665|1,425
1,067|445
158|582
279|
||2,045
(4,507)|2,492
(4,398)|603
(3,065)|861
(2,767)|
||(2,462)|(1,906)|(2,462)|(1,906)|
||61,595
1,470|68,608
898|61,595
1,470|68,608
898|
||63,065|69,506|63,065|69,506|
||1,014
24,170
8,379
29,502|2,400
25,797
8,390
32,919|1,014
24,170
8,379
29,502|2,400
25,797
8,390
32,919|
||63,065|69,506|63,065|69,506|
||se balance sheets.
signed on their behalf by:||||
The accompanying notes on pages 54 to 73 are an integral part of these balance sheets.
Approved by the Board of Trustees on 21[st] September 2023 and signed on their behalf by:
## Consolidated Cash Flow Statement for the year ended 31 March 2023
|Reconciliation of net (expenditure)/income for the year
to net cash infow from operating activities:
Net (expenditure)/income for the year before transfers
Dividend, interest and rental income shown in investing activities
Depreciation charge
Losses on disposal of fxed asset
Losses/(gains) on investments
Decrease/(increase) in debtors
Increase/ (decrease) in creditors
Net cash (used in)/provided by operating activities
Cash fows from investing activities:
Dividends
Interest
Rental income
Purchase of fxed assets
Purchase of investment securities
Receipts from sale of investment securities
Proceeds of sale of tangible fxed assets
(Increase)/decrease in short-term deposits held by investment managers
Net cash provided by/(used in) investing activities
Repayment to defned beneft pension scheme
Net cash provided by/(used in) fnancing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents brought forward
Cash and cash equivalents carried forward
a)|2023
2022
£'000
£'000
(6,961)
(709)
(884)
(885)
137
137
61
-
1,134
(2,353)
45
(664)
109
914
(6,359)
(3,560)
838
857
2
-
44
28
884
885
(187)
(93)
(5,195)
(5,835)
11,988
7,209
-
-
(1,482)
754
6,008
2,920
(51)
(33)
(51)
(33)
(402)
(673)
1,067
1,740
665
1,067|2023
2022
£'000
£'000
(6,961)
(709)
(884)
(885)
137
137
61
-
1,134
(2,353)
45
(664)
109
914
(6,359)
(3,560)
838
857
2
-
44
28
884
885
(187)
(93)
(5,195)
(5,835)
11,988
7,209
-
-
(1,482)
754
6,008
2,920
(51)
(33)
(51)
(33)
(402)
(673)
1,067
1,740
665
1,067|2022
£'000|
|---|---|---|---|
||||(709)
(885)
137
-
(2,353)
(664)
914|
||||(3,560)|
|||||
||||2,920|
||||(33)|
||||(33)|
|||||
||||(673)|
||||1,740|
|||665|1,067|
Carrie Stokes, Chair of Trustees
Company Number: 00515297 Charity No: England and Wales No: 207812; and Scotland: SC04098
52 Annual Impact Report & Accounts 2022-2023
53
31 March 2023
Elizabeth Finn Care, operating as Turn2us
Notes forming part of the financial statement
## 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 43. 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 performance-related 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.
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.
Donations, grants and legacies accruing for the general purposes of the charity are credited to unrestricted funds.
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.
## 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.
Dividend income is credited when receivable.
Income from investment properties is recognised in the period to which the rental income relates.
## ciii) Income from Elizabeth Finn Homes Limited
Turnover, which is wholly derived in the UK, represents fees receivable from residents of the homes, net of value added tax, recognised on an accruals basis.
## 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.
## e) Fixed Assets
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.
## 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.
- 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.
## 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.
- h) Foreign currency balances have been translated at the rate current at the balance sheet date.
## 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.
54 Annual Impact Report & Accounts 2022-2023
55
31 March 2023
Elizabeth Finn Care, operating as Turn2us
Notes forming part of the financial statement (Continued)
- 2 Accounting Policies (Continued)
Restricted Funds – these represent funds 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.
- are made to third
- j) Grants to beneficiaries 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.
## 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.
## l) Pensions
- The Charity has adopted full disclosures under FRS102 for the defined benefit pension scheme in note 16. The service and finance costs of the Scheme are allocated to specific activities of the resources expended based on finance cost attributions.
- m) Judgements and Key Sources of Estimation 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.
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.
## 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, including legacies, management considers factors including the financial circumstances of the debtor, the ageing profile of debtors and historical experience.
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. Investment properties are measured at fair value at each balance sheet date.
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.
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 uninvoiced at the year end, with an accrual being calculated accordingly.
## mii) Key areas of Future Uncertainty
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 cost of living crisis, driven by higher rates of inflation, which could further put pressure on financial management.
The UK’s decision to leave the European Union, the current instability of the British government, and the Russia-Ukraine war bring 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 high net liabilities figure is linflated by the intercompany balance driven by cash flow which the Trustees are comfortable with since 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.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
## Basic financial assets
Basic financial assets, which include trade and other receivables and cash and bank balances, are 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.
56 Annual Impact Report & Accounts 2022-2023
57
31 March 2023
Elizabeth Finn Care, operating as Turn2us
Notes forming part of the financial statement (continued)
## 3 Donations and legacies
||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
||2023|||2023|||2023|||2022|||2022|||2022|
||Unrestricted|||Restricted|||Total|||Unrestricted|||Restricted|||Total|
||Funds|||Funds||||||Funds|||Funds||||
||£'000|||£'000|||£'000|||£'000|||£'000|||£'000|
|Donations|||||||||||||||||
|Donations|776|||314|||1,090|||499|||341|||840|
|County treasurers|||||||||||||||||
||776|||314|||1,090|||499|||341|||840|
||||||||||||||||||
|Legacies|385|||100|||485|||615|||-|||615|
||1,161|||414|||1,575|||1,114|||341|||1,455|
||||||||||||||||||
||||||||||||||||||
## In 2023 £nil donations or legacies received were endowments (2022: £nil).
The Charity has received notification of 9 legacies with estimated future distributions of £255,400 (2022: £206,000), which have not been recognised as income as at 31 March 2023. They will be recognised when appropriate in future periods.
|Investment Income|||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
||2023|||2023|||2023|||2022|||2022|||2022|
||Unrestricted|||Restricted|||Total|||Unrestricted|||Restricted|||Total|
||Funds|||Funds||||||Funds|||Funds||||
||£'000|||£'000|||£'000|||£'000|||£'000|||£'000|
|Property rent and services|44|||-|||44|||28|||-|||28|
|Dividends|424|||414|||838|||440|||417|||857|
|Interest on bonds and short-term deposits|1|||1|||2|||-|||-|||-|
||469|||415|||884|||468|||417|||885|
||||||||||||||||||
||||||||||||||||||
## 4 Investment Income
## 5a Expenditure (year ended 31 March 2023)
|Activities
Income Generation
Refurbishment and
maintenance for the
care homes*
Residential & nursing
care expenditure*
Investment
management
Support and
Information Services
Grants & allowances
Casework
Trading activities for
charitable beneft
Total
Net income/(e
This is stated after charg
In 2022/2023 we awarded||||||||||DIRECT|2023
2022|2023
2022|
|---|---|---|---|---|---|---|---|---|---|---|---|---|
|||||CE|NTRA|L SUP|ORT|OSTS||COSTS|ALL COSTS TOTAL||
|||£'000
37
-
-
-
125
-
92
3
CEO Offce|£'000
24
-
-
49
52
-
41
2
Finance|£'000
76
-
-
-
257
-
190
5
Human Resource|£'000
36
-
-
-
120
-
89
2
IT|£'000
59
-
-
-
198
-
146
4
Property Services|£'000
11
-
-
-
35
-
26
-
Administration|£'000
11
-
-
7
31
-
28
5
Governance|£'000
254
-
-
56
818
-
612
21
Total|£'000
703
593
28,523
132
3,151
3,427
1,735
27|£'000
957
593
28,523
188
3,969
3,427
2,347
48|£'000
622
328
24,462
215
3,184
4,284
1,770
43|
|||257|168|528|247|407|72|82|1,761|38,291|40,052|34,908|
||xpendi
ing
2,991 grant||ture) fo
s. In 2021/20|r the y
22 we award|ear
ed 3,821 gr|ants.|||||||
||2023
£
2022
£
||||||||||||
|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 Committee
137,000
-
304,360
70,296
16,500
16,500
5,100
3,530
4,000
137,058
-
303,360
58,200
18,200
18,100
4,500
3,950
4,400|||||||||||||
In 2022/2023 we awarded 2,991 grants. In 2021/2022 we awarded 3,821 grants.
|Net income/(expenditure) for the year
This is stated after charging|||
|---|---|---|
||2023|2022|
||£|£|
|Depreciation|137,058|137,000|
|Loss on disposal of fxed assets|-|-|
|Operating lease rentals payable|||
|- Property|303,360|304,360|
|- Other|58,200|70,296|
|Auditors remuneration – audit of charity|18,200|16,500|
|Auditors remuneration – audit of subsidiaries|18,100|16,500|
|Auditors remuneration – defned beneft pension scheme audit|4,500|5,100|
|Auditors remuneration – tax advice & tax returns|3,950|3,530|
|Auditors remuneration – Audit, Risk & Governance Committee|4,400|4,000|
* These two items make up the Self-funding residential and nursing care heading for expenditure on the SOFA.
58 Annual Impact Report & Accounts 2022-2023
59
31 March 2023
Elizabeth Finn Care, operating as Turn2us
Notes forming part of the financial statement (continued)
## 5b Prior year’s comparative for expenditure (year ended 31 March 2022)
## 6 Trustees and staff
Aggregate staff costs are made up as follows:
|Activities
Income Generation
Refurbishment and maintenance for the
care homes*
Residential & nursing care expenditure*
Investment management
Support and Information Services
Grants & allowances
Casework
Trading activities for charitable beneft
Total|||||||||||2022|
|---|---|---|---|---|---|---|---|---|---|---|---|
|||CENTRAL SUPPORT COSTS||||||||DIRECT
COSTS|ALL COSTS
TOTAL|
|||CEO Offce
£'000
32
-
-
-
109
-
97
3|Finance
£'000
15
-
-
32
34
-
29
2|Human Resource
£'000
40
-
-
-
136
-
120
3|IT
£'000
28
-
-
-
97
-
86
2|Property Services
£'000
54
-
-
-
182
-
162
4|Administration
£'000
7
-
-
-
25
-
22
-|Governance
£'000
8
-
-
6
25
-
23
5|Total
£'000
184
-
-
38
608
-
539
19|£'000
438
328
24,462
177
2,576
4,284
1,231
24|£'000
622
328
24,462
215
3,184
4,284
1,770
43
34,908|
|||241|112|299|213|402|54|67|1,388|33,520||
|||||||||||||
|Aggregate staff costs are made up as follows:|||
|---|---|---|
|Wages and salaries
Agency staff
Social security costs
Employer's contribution to defned contribution schemes
Other staff related costs
Redundancies and Terminations
Operating costs of closed defned beneft scheme|||
||2023
£'000
18,697
3,387
1,722
912
143
133 7
24,994
(25)
24,969|2022
£'000
17,725
1,471
1,509
832
129
71|
|||21,737
(8)|
|||21,729|
The average number of employees, both full and part time, during the year was 720 (2022: 713), representing full-time equivalents of 646 (2022: 640)
The total, stated on a full-time equivalent basis, comprised:
|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|2023
Full-time
309
9
33
8
4
4
7
9
383|2023
Part-time
249
-
10
2
1
-
1
-|2022
Full-time
308
9
33
5
3
2
6
8
374|2022
Part-time
254
-
8
2
1
-
1
-|
|||263||266|
The number of staff in the group whose remuneration (excluding employer pension contributions) fell within each of the following bands was:
||2023|2022|
|---|---|---|
|£60,001 to £70,000|12|9|
|£70,001 to £80,000|4|3|
|£80,001 to £90,000|1|1|
|£100,001 to £110,000|1|1|
|£120,001 to £130,000|1|-|
|£130,001 to £140,000|-|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 £190,292 (2022: £165,759). 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 six Directors from Turn2us, (2022: four), one senior staff from Turn2us (2022: nil) and eleven (2022: eleven) senior commercial subsidiary staff.
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 £591,428 (2022: £394,683).
Trustees are not remunerated. Refreshments and reimbursement of travel expenses for the Trustees attending meetings amounted to £154 in 2023 (2022: £149).
* These two items make up the Self-funding residential and nursing care heading for expenditure on the SOFA.
60 Annual Impact Report & Accounts 2022-2023
61
31 March 2023
Elizabeth Finn Care, operating as Turn2us
## Notes forming part of the financial statement (continued)
## 7 Tangible Fixed Assets
**----- Start of picture text -----**
Freehold
Furniture and IT Infrastructure
Land Buildings Equipment Hardware Total
Cost £'000 £'000 £'000 £'000 £'000
**----- End of picture text -----**
||Freehold
Furniture and
Equipment
Land
Buildings
£'000
£'000
£'000|Freehold
Furniture and
Equipment
Land
Buildings
£'000
£'000
£'000|Freehold
Furniture and
Equipment
Land
Buildings
£'000
£'000
£'000|IT Infrastructure
Hardware
Total
£'000
£'000|IT Infrastructure
Hardware
Total
£'000
£'000|
|---|---|---|---|---|---|
||Land
£'000|Buildings
£'000||||
|At 1 April 2022
Additions
Disposals
At 31 March 2023
Depreciation
At 1 April 2022
Disposals
Charge for year
At 31 March 2023
Net Book Amount
At 31 March 2023
At 31 March 2022|1,746
-
(61)|
10,292
187
(68)|35
-
-|
204
-
(134)|
12,277
187
(263)|
||1,685|
10,411|35|
70|
12,201|
||-
-
-|
3,667
(68)
132|21
-
2|
199
(134)
3|
3,887
(202)
137|
||-|
3,731|23|
68|
3,822|
||1,685
1,746|
6,680|12
15|
2|
8,379|
|||
6,625||
5|
8,391|
|||||||
|||||||
## 9 Debtors
|9 Debtors||||
|---|---|---|---|
|Amount due from subsidiaries
Trade debtors
Other debtors
Prepayments and accrued income|GROUP
2023
2022
£'000
£'000
-
-
730
746
19
17
631
662
1,380
1,425|CHARITY||
||2023
£'000
-
730
19
631
1,380|2023
£'000
-
9
3
433
445|2022
£'000
16
52
-
514|
||||582|
## 10 Cash at Bank
|10 Cash at Bank|||
|---|---|---|
|Cash at bank and in hand|GROUP
2023
2022
£'000
£'000
665
1,067|CHARITY|
|||2023
2022
£'000
£'000
158
279|
The land and buildings shown in Tangible Fixed Assets in the group accounts are used for care homes operated by Elizabeth Finn Homes Limited.
## 11 Creditors: Amounts falling due within one year
## 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
Listed
Investments
Property
Group Total|Cash for
investment
Listed
Investments
Property
Group Total|Cash for
investment
Listed
Investments
Property
Group Total|Cash for
investment
Listed
Investments
Property
Group Total|Cash for
investment
Listed
Investments
Property
Group Total|Cash for
investment
Listed
Investments
Property
Group Total|Cash for
investment
Listed
Investments
Property
Group Total|Charity's
shares in
subsidiaries|Charity Total|
|---|---|---|---|---|---|---|---|---|---|
||£'000
£'000
£'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 2022
474
Additions at cost
-
Proceeds from disposals
-
Movement in cash
1,482
Net realised gains / (losses)
-
Net unrealised (losses) / gains
-
At 31 March 2023
1,956|474
-
-
1,482
-
-|||56,002
4,995
(11,988)
-
1,424
(3,368)||5,647
62,123
200
5,195
-
(11,988)
-
1,482
-
1,424
810
(2,558)||-
-
-
-
-
-|62,123
5,195
(11,988)
1,482
1,424
(2,558)|
||1,956|||47,065||6,657|
55,678|-|55,678|
|||||10,287
1,416
7,985
29
19,239
8,109
47,065
2023
£'000||2022
£'000
13,749
1,602
7,884
30
22,346
10,391
56,002||||
|*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
2023
2022
£'000
£'000
-
-
1,275
893
420
389
2,142
2,566
670
550
4,507
4,398
GROUP
2023
2022
£'000
£'000
621
643
648
621
(621)
(643)
648
621|CHARITY|CHARITY|
|---|---|---|---|
|||2023
£'000
1,967
519
102
404
73
3,065|2022
£'000
1,724
396
69
553
25|
||||2,767|
|||||
||2023
£'000
621
648
(621)
648|||
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.
62 Annual Impact Report & Accounts 2022-2023
63
31 March 2023
Elizabeth Finn Care, operating as Turn2us
Notes forming part of the financial statement (continued)
## 12a Analysis of Group Net Assets as at 31 March 2023 between Funds
|||||||Designated
Unrestricted
Total|Designated
Unrestricted
Total|Designated
Unrestricted
Total|Designated
Unrestricted
Total|Designated
Unrestricted
Total|Designated
Unrestricted
Total|Designated
Unrestricted
Total|Designated
Unrestricted
Total|Designated
Unrestricted
Total|Designated
Unrestricted
Total|
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
||FUNDS
Income
Expenditure
Gains/(losses)
Transfers between funds
At 31 March 2021
Fixed assets
Tangible fxed assets
Investments
Net current assets/(liabilities)
Actuarial unrealised pension asset
Net assets
Funds
At 1 April 2022
Income
Expenditure
Gains/(losses)
Transfers between funds
At 31 March 2023|-
-
-
-
(3)
(4)
-
(7)
282
329
-
611
-
-
-
-
Permanent Endowment Funds
Arthur
Hurst
Will Trust
Dresden
Homes
Trust
Other
Total
£'000
£'000
£'000
£'000
-
-
-
-
1,002
-
12
1,014
-
-
-
-
-
-
-
-
1,002
-
12
1,014
1,046
1,342
12
2,400
-
-
-
-
(3)
(4)
-
(7)
(41)
(48)
-
(89)
~~-~~
~~(1290)~~
~~-~~
~~(1290)~~||||Restricted Funds
Fund
Reserves|||||||||Funds|
||||Dresden
Homes
Trust
£'000
-
-
-
-|
Other
£'000
-
12
-
-||Edinburgh
Trust
£'000
-
17,259
324
-|
Arthur
Hurst Will
Trust
£'000
-
9
56
-|Dresden
Homes
Trust
£'000
-
29
248
-|Lloyds
Support
Fund
£'000
-
4,888
968
-|Homes'
amenity
funds
£'000
-
-
317
-|Other
£'000
-
-
72
-|Total
£'000
-
22,185
1,985
-|£'000
8,379
-
-
-|£'000
-
32,479
(4,447)
1,470|£'000
8,379
55,678
(2,462)
1,470|
|||||||17,583|
65|277|5,856|317|72|24,170|8,390|29,502|63,065|
||||
-|
12||||||||||||
|||||||19,154
338
(1,337)
(572)
-|
62
17
(14)
-
-|262
20
(4)
(1)
-|6,036
85
(52)
(213)
-|217
108
(8)
-
-|66
576
(570)
-
-|25,797
1,144
(1,985)
(786)
-|8,390
-
-
-
(11)|32,919
33,080
(38,060)
262
1,301|69,506
34,224
(40,052)
(613)
-|
||||-
(4)
329
-
1,342
-
(4)
(48)
~~(1290)~~|-
-
-
-
12
-
-
-
~~-~~||||||||||||
|||1,019
~~1002~~|
~~,~~||2,341
~~,~~
~~1014~~|17,583|
65|277|5,856|317|72|24,170|8,379|29,502|63,065|
||||1,310
~~-~~|12
~~12~~||||||||||||
|||~~, ~~|
|
|
~~, ~~|||||||||||
|||||||||||||||||
|||||||||||||||||
## Permanent Endowments
## Restricted Funds
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)**
## 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)
In February 2023 the Charity Commision consented to the charity’s resolution to release the endowment into unrestricted funds due to the limited number of beneficiaries who could access the funds.
The Edinburgh Trust 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.
64 Annual Impact Report & Accounts 2022-2023
65
31 March 2023
Elizabeth Finn Care, operating as Turn2us
Notes forming part of the financial statement (continued)
## 12b Prior year’s comparatives for Analysis of Group Net Assets as at 31 March 2022 between Funds
||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
||||||||||||||||
|FUNDS
Income
Expenditure
Gains/(losses)
Transfers between funds
At 31 March 2021
Fixed assets
Tangible fxed assets
Investments
Net current assets/(liabilities)
Actuarial unrealised pension asset
Net assets
Funds
At 1 April 2021
Income
Expenditure
Gains/(losses)
Transfers between funds
At 31 March 2022|-
-
-
-
(3)
(4)
-
(7)
282
329
-
611
-
-
-
-
Permanent Endowment Funds
Arthur
Hurst
Will Trust
Dresden
Homes
Trust
Other
Total
£'000
£'000
£'000
£'000
-
-
-
-
1,046
1,342
12
2,400
-
-
-
-
-
-
-
-
1,046
1,342
12
2,400
1,019
1,310
12
2,341
-
-
-
-
(4)
(4)
-
(8)
31
36
-
67
~~-~~
~~-~~
~~-~~
~~-~~||||Restricted Funds||||||||
Fund|Reserves|
|||Dresden
Homes
Trust
£'000
-
1,342
-
-|
Other
£'000
-
12
-
-||Edinburgh
Trust
£'000
-
19,579
(425)
-|
Covid-19
Appeal
Fund
£'000
-
-
-
-|Arthur
Hurst Will
Trust
£'000
-
61
1
-|Dresden
Homes
Trust
£'000
-
31
231
-|Lloyds
Support
Fund
£'000
-
5,669
367
-|Homes'
amenity
funds
£'000
-
-
217
-|Other
£'000
-
-
66
-|Total
£'000
-
25,340
457
-|£'000
8,390
-
-
-|£'000
-
34,384
(2,363)
898|
||||||19,154|
-|62|262|6,036|217|66|25,797|8,390|32,919|
|||
1,342|
12||||||||||||
||||||18,803
329
(746)
768
-|
812
1
(813)
-
-|70
17
(25)
-
-|243
21
(4)
2
-|5,845
88
(55)
158
-|221
5
(9)
-
-|97
750
(781)
-
-|26,091
1,211
(2,433)
928
-|8,433
-
-
-
(43)|32,864
31,105
(32,936)
1,843
43|
|||-
(4)
329
-
1,310
-
(4)
36
~~-~~|-
-
-
-
12
-
-
-
~~-~~||||||||||||
||1,019
~~1046~~|
|
|2,341
~~2400~~|19,154|
-|62|262|6,036|217|66|25,797|8,390|32,919|
|||1,310
~~1342~~|12
~~12~~||||||||||||
||~~, ~~|
~~, ~~|
|
~~, ~~|||||||||||
||||||||||||||||
||||||||||||||||
|Permanent Endowments
Included in the Other category above with current assets valued at £12,088 is permanent endowment
The CJ and EJ Melbourne Trust (Charit No 207812-1)||||for|||||||||||
The Edinburgh Trust 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.
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)
## Arthur Hurst Will Trust (Charity No. 207812-7)
The care home was transferred to a similar organisation during 2015/16 and the proceeds added to the Edinburgh Trust restricted fund.
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.
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)
This charity was represented by a permanent endowment fund until 19 January 2012 when the Charity Commission 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.
## 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.
66 Annual Impact Report & Accounts 2022-2023
67
31 March 2023
Elizabeth Finn Care, operating as Turn2us
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|
|No related party transactions were entered into during the year to 31 March 2023 with exception of those wit|
|and Elizabeth Finn Trading Limited, both subsidiary companies of Elizabeth Finn Care.|
|During the year Elizabeth Finn Care charged EFHL rent of £3,154,500 (2022: £3,190,000) for the use of its prope|
|costs of £126,238 (2022: £46,613).|
|At 31st March 2023 EFC owed EFHL a net balance of £1,967,219 (2022: £1,723,579) – see note 11.|
|During the year Elizabeth Finn Care recharged EFTL staff costs £26,628 (2022: £24,256).|
|At 31st March 2023 EFTL owed EFC a net balance of £nil (2022: £15,642) – see note 9.|
|2023
b)
Financial activities of the Charity|
|£'000|
No related party transactions were entered into during the year to 31 March 2023 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 £3,154,500 (2022: £3,190,000) for the use of its properties and office premises and recharged staff costs of £126,238 (2022: £46,613).
|
|||
|---|---|---|
|b)
Financial activities of the Charity|2023|2022|
||£'000|£'000|
|Gross incoming resources|5,972|5,982|
|Elizabeth Finn Trading covenant due|25|16|
|Elizabeth Finn Homes Limited covenant due|97|1,827|
||6,094|7,825|
|Expenditure on raising funds:|||
|Income generation|(957)|(622)|
|Landlord refurbishment/maintenance of care homes|(593)|(328)|
|Investment management costs|(188)|(215)|
|Expenditure on Charitable activities:|||
|Support & Information Services(Benefts Calculator, Grants Search,|(3,969)|(3,184)|
|etc)|||
|Assistance given to those in need (grants and allowances)|(3,851)|(4,752)|
|Casework|(2,347)|(1,770)|
|Trading activities for charitable beneft|(17)|(16)|
|Net (expenditure)/ income|(5,828)|(3,062)|
|Investment gains/ (losses)|(1,134)|2,353|
|Actuarial gains on defned beneft pension scheme|521|486|
|Net income/ (expenditure) for the year|(6,441)|(223)|
|Total funds brought forward|69,506|69,729|
|Total funds carried forward|63,065|69,506|
## 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 £)
Turnover
Cost of sales
Gross proft
Administrative costs
Operating proft
Interest income
Proft / (loss) before and after tax
Covenant payment to Elizabeth Finn Care
Retained proft / (loss)
Loss brought forward
Total reserves carried forward
Current assets
Current liabilities
Net assets (in £)
Share capital (in £)
Reserves
Total Funds (in £)
d)
Elizabeth Finn Trading Limited|2023
£'000
31,774
(31,677)
97
(97)
-
3,410
(3,410)
2
2
2023
£'000
57
(27)
30
(5)
25
-
25
(25)
-
-
-|2022
£'000
29,479
(27,652)|
|---|---|---|
|||1,827
(1,827)|
|||-|
|||3,327
(3,327)|
|||2|
||||
|||2|
|||2022
£'000
44
(24)|
|||20
(4)|
|||16
-|
|||16
(16)
-
-|
|||-|
||-
-
-|41
(41)|
|||-|
||2
-
2|2
-|
|||2|
Elizabeth Finn Trading was made dormant on 30th March 2023 and all assets and liabilities were transferred to Turn2us.
68 Annual Impact Report & Accounts 2022-2023
69
31 March 2023
Elizabeth Finn Care, operating as Turn2us
## 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|
|---|---|---|---|---|
||2023
£'000
457
229
-
686|2022
£'000
457
686
-
1,143|2023
£'000
37
25
-
62|2022
£'000
68
58
-|
|||||126|
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|
|---|---|---|---|---|
||2023
£'000
457
229
-
686|2022
£'000
457
686
-
1,143|2023
£'000
-
-
-
-|2022
£'000
1
-
-|
|||||1|
## 16 Defined benefit pension scheme
||31 March|31 March|
|---|---|---|
||2023|2022|
|Increases for pensions in payment:|||
|Post 31 October 2006 (RPI max. 5%)|3.10%|3.50%|
|Pre 31 October 2006 (RPI max. 2.5%)|2.10%|2.30%|
|Liability discount rate|4.90%|2.80%|
|Infation assumption (RPI)|3.30%|3.80%|
|Consumer Price Infation|2.90%|3.30%|
|Deferred pension revaluation (CPI 2.5% cap)|2.90%|3.30%|
|Deferred pension revaluation (CPI 5% cap)|3.30%|3.80%|
|Assuming retirement at age 65, the life expectancy in years is as follows:|||
|For a male aged 65 now|21.2|21.5|
|At 65 for a male member aged 45 now|22.6|22.8|
|For a female aged 65 now|23.0|23.2|
|At 65 for a female member aged 45 now|24.5|24.7|
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
|Assets|||
|---|---|---|
||As at 31 March|As at 31 March|
||2023|2022|
||£'000|£'000|
|Total market value of assets|4,348|4,675|
The charity has two pension schemes; one is the defined benefit scheme (the Scheme) which was closed to new members in 2001 and the other is the stakeholder pension scheme, which is open to all employees of the Charity and its subsidiary, Elizabeth Finn Homes Limited.
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 and the value of the Scheme’s liabilities has been determined by the Scheme’s actuary based on the results of the full actuarial valuation that was carried out as at 1 July 2020. The scheme was closed to future accrual on 31 March 2013.
The most recent triennial (dated 30 June 2020) identified a deficit of £533,000 on the defined benefit scheme. This differs from the net asset position as per the balance sheet in the statutory accounts and the reporting disclosures below provided by the actuary. This is due to the different assumptions used by the actuary for the statutory accounts reporting and for the triennial valuation. The trustees of Turn2us have agreed to a 10-year repayment plan to help finance the pension deficit, of which £84,333 has been paid as at 31 March 2023.
For statutory accounts reporting purposes, we have continued to disclose the net pension assets as provided by the actuary in line with the FRS102 requirement.
## Net Defined Benefit Liability
|Net Defned Beneft Liability|||
|---|---|---|
|Total market value of assets
Value of funded obligations
Net pension (liability)/asset|As at 31 March
2023
£'000
4,348
(2,878)
1,470|As at 31 March
2022
£'000
4,675
(3,777)|
|||898|
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)|2023
£'000
(2,878)
4,348|2022
£'000
(3,777)
4,675
898|2021
£'000
(4,008)
4,387
379|2020
£'000
(3,388)
3,621
233|2019
£'000
(3,850)
3,660|
|---|---|---|---|---|---|
||1,470||||(190)|
70 Annual Impact Report & Accounts 2022-2023
71
31 March 2023
Elizabeth Finn Care, operating as Turn2us
## Notes forming part of the financial statement (continued)
## 16 Defined benefit pension scheme **(continued)**
## Analysis of the amount charged to SOFA operating results:
|Service cost
Net interest income
Past service cost
Settlements on curtailments
Total operating charge|2023
£'000
-
25
-
-
25|2022
£'000
-
8
-
-|
|---|---|---|
|||8|
## Analysis of the change in the defined benefit obligation:
|At 1 April 2022
Movement in year:
Current service costs
Interest cost
Actuarial loss/(gain)
Settlements or curtailments
Benefts paid
Total movement in year
At 31 March 2023|2023
£'000
3,777
-
105
(916)
-
(88)
(899)
2,878|2022
£'000
4,008
-
83
(189)
-
(125)|
|---|---|---|
|||(231)|
||||
|||3,777|
## Analysis of the actuarial loss recognised in the SOFA – Other recognised gains/(losses)
|Actual return less interest income recognised in the SOFA
Experience gains (losses) arising on beneft obligation
Effect of assumptions changes on beneft obligation
Effect of changes in the amount of surplus that is not recoverable
Total amount recognised in other comprehensive income
Difference 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|2023
£'000
(420)
(228)
1,144
(547)
(51)
(420)
10%
(228)
8%
521
18%|2022
£'000
289
(5)
194
(511)|
|---|---|---|
|||(33)|
|||289
6%
(5)
0%
486
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
Analysis of the change in the fair value o|2023
£'000
4,675
130
(420)
51
(88)
4,348
f plan assets|2022
£'000
4,387
91
289
33
(125)|
|---|---|---|
|||4,675|
The asset (loss)/gain is the actual asset return over the year of £290,000 (2022: £380,000) less the interest income of £130,000 (2022: £91,000).
The employer paid £51,000 contributions to this defined benefit pension plan in the year to 31 March 2023 (year to 31 March 2022: £33,000 based on triennial calculations).
72 Annual Impact Report & Accounts 2022-2023
73
Ali - Turn2us service user
Noemi - Turn2us service user
## Thank you
We could not have helped to provide vital support to people facing financial insecurity across the UK without our wonderful donors, partners, volunteers and fundraisers. Thank you so much.
Thank you to people who left us Legacies in their will:
- Camburn, D M Will Trust
- Vanessa Harrison
- KKL charity
- J Lennox
- Jennifer Race
- Nancy Skjold
- Jill Strickland
Thank you to our Funders and Partners
- Buttle UK
- Cadent Gas
- Catalyst Works
- Consumer Council for Water
- Everyone’s Edinburgh
- Experian
- Greater London Authority
- Hopscotch Women’s Centre
- Insolvency Practitioners Association
- Lloyds Banking Group
- Royal London Group
Thank you to individuals and companies who provided pro bono support
- SAWN (Support & Action Women’s Network)
- SENSE
- Smallwood Trust
- The Lane Media Agency Limited
- United Utilities
- Frances Jackson and OPX
- Baker McKenzie Solicitors
- Sidley Austin Solicitors
- Virgin Money
74 Annual Impact Report & Accounts 2022-2023
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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:
Partnerships@turn2us.org.uk Fundraising@turn2us.org.uk
Turn2us Turn2us_org Turn2us @turn2us_org
Turn2us is the operating name for Elizabeth Finn Care, a charity registered in England and Wales No: 207812; and in Scotland No: SC04098
People featured in images without name captions are part of the Turn2us image library but are not Turn2us staff, service users or co-production partners
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