2023-03-31-accounts

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Company number: 748773 Charity Number: 244866

Birmingham Industrial Therapy Association Limited Operating as Better Pathways

Report and financial statements For the year ended 31 March 2023

Birmingham Industrial Therapy Association Limited

For the year ended 31 March 2023

Reference and administrative information ...................................................................................... 1 Annual Report of the Trustees and Chief Executive ........................................................................ 2 Independent auditor’s report ....................................................................................................... 16 Statement of financial activities (incorporating an income and expenditure account) ................... 21 Balance sheet ............................................................................................................................... 22 Statement of cash flows ................................................................................................................ 23 Notes to the financial statements ................................................................................................. 24

Birmingham Industrial Therapy Association Limited

Reference and administrative information

For the year ended 31 March 2023

Company number 748773 Country of incorporation United Kingdom Charity number 244866 Country of registration England & Wales Operating Name Better Pathways Registered office and 201-206 Alcester Street operational address Birmingham B12 0NQ Trustees Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows: Mr David Tucker (Chair) Mr Ben Brittain Resigned 12 December 2022 Dr Martin Commander Ms Chaitali Desai Ms Janine Garvie-Cole Mr Les A Latchman Resigned 12 December 2022 Ms Kimara Sharpe Key management personnel Ms Sue Roberts Chief Executive and Company Secretary Bankers CAF Bank Ltd Lloyds Bank Unity Trust Bank 25 Kings Hill Avenue PO Box 100 4 Brindley Place Kings Hill, West Mailing Andover Birmingham ME19 4JQ BX1 1LT B1 2JB Solicitor Shakespeare Martineau Somerset House Temple Street Birmingham B2 5DJ Auditor Sayer Vincent LLP Chartered Accountants and Statutory Auditor Invicta House 108-114 Golden Lane London EC1Y 0TL

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

The trustees and Chief Executive present their report and the audited financial statements for the year ended 31 March 2023.

Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the requirements of a directors’ report as required under company law, the memorandum and articles of association and the Statement of Recommended Practice - Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102.

Our Aims

The aims of the Charity as set out in the Articles of Association are to:

1 help people with mental health issues and learning difficulties and disabilities to secure opportunities for volunteering, training and education and progress them towards paid employment,

2 provide training and education to organisations that will support them to safeguard the mental health and wellbeing of their employees and other stakeholders,

3 deliver support programmes through our social enterprises to grow beneficiaries' confidence, sense of self-esteem and independence to enable them to stay well and take part in activities as full members of their communities,

4 provide mental health and wellbeing support to NHS and Local Authority client groups to enhance their potential for recovery and independent living, and

5 provide support to the carers of our beneficiaries, chiefly but not limited to the respite provided to families and carers arising from the participation of beneficiaries in the charity's activities.

Our Values

Inclusivity: we welcome without prejudice or judgement all those who want our help Tenacity: we strive tirelessly to do our best for those we serve Empowerment: we build confidence in people to help them become self-supporting Integrity: we are kind, honest and fair in all our dealings Partnership: we work together with our stakeholders to further our collective aims

Our services and support

Registered as a mental health charity on the 1st February 1963 and located in Alcester Street, Digbeth, since 1973, Better Pathways supports some of the most vulnerable people in our communities to move into paid employment, education, training and volunteering (see reference to our social enterprise LIVE Vocational Pathways programme below). We work with people with severe and enduring mental illness, with mild to moderate poor mental health, with learning

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

difficulties, learning disabilities and with other neurodiverse conditions. Participants come with a range of skills deficits and other support needs, for example, basic numeracy and literacy required in the workplace, with mobility problems, including poor manual dexterity, with travel anxieties, with varying intellectual capacities for basic and complex tasks and with personal circumstances impacting, for example, on familial relationships, housing, and economic wellbeing. The job of our experienced teams is to meet all needs holistically. Delivered in our social enterprises, or out in the community under contract to the statutory sector, we work with programme participants to develop their skills, general work preparedness, confidence, self-belief, and resilience to help them to achieve their vocational aspirations. The strengths-based approach we take seeks to empower participants on their journey towards an economically and socially active life, lived as independently as possible in good mental health so that they can enjoy the full range of community activities and services that others in society take for granted.

Our Social Enterprises

Better Packing: We are a valued supply chain partner, providing contract packing, assembly, and light engineering services to businesses in Birmingham, the West Midlands and beyond, supporting business partners to deliver high quality products to their customers. Our participants undertake contract packing and assembly work at the lower end of the skills spectrum, freeing up our commercial customers to do the higher-level skilled work that only they can do. We pack, label, and assemble a wide range of products including, a broad range of fixings, fixtures and fittings, healthcare products, plumbing and electrical products, vehicle parts and batteries. We unpack and repack products from bulk to small packs for retail and undertake re-work including, re-labelling, repricing, and flaw corrections. We work with electronics manufacturers, vehicle manufacturers, stationery suppliers and printers, distributors of health, homecare, and retail supplies, building trade manufacturers, gas and drainage component makers, hospital equipment suppliers, government, and community-oriented organisations.

Better Signage : Better Signage specialises in the design and production of interior and exterior signage, name badges, vehicle graphics, promotional banners, large format vinyl printed posters, vinyl lettering and corporate gifts. We provide engraving and printing services. We work with a range of organisations including the NHS, schools, construction companies and other businesses in Birmingham and beyond.

Better Woodwork : We produce items for sale made from reclaimed and donated timber. We are proud of our connection with the Edinburgh Napier University, whose students designed products for our people to craft based on a shared understanding of the skills, tools, and resources we have at our disposal. Our partnership with Pathcarvers’ JoJo Wood, an internationally renowned spoon carver, continues. JoJo continues to support with training, new product development and the sales plan.

Our social enterprises are the vehicle through which we deliver our Vocational Pathways Programme: Learning, Independence, Volunteering, Employment (LIVE). Adding significant social value to the supply chains of our commercial customers and making a long-term positive social impact on the lives of our participants, common to all pathways are the opportunities afforded by this programme for participants to make new friends and build relationships. Pathway 1: The 12-week employment preparation pathway covers 6 stages of support, overseen by a

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

senior vocational specialist: co-produced person-centred support agreements, vocational skills and strengths assessment, basic skills development, personal impact awareness, external placement (if desired) and graduation with a personal resilience plan. This pathway generates £45 per day per participant.

Pathway 2: The meaningful day activities programme, an alternative for participants that would otherwise attend social care funded day centre activities, is designed to stimulate, excite, and challenge participants. The range of activities provided is designed to be undertaken in groups where participants can socialise, share thoughts, feelings, experiences, whilst engaging in their chosen activities. The activities present opportunities for participants to engage with others whilst at the same time developing practical skills, dexterity, and emotional wellbeing. Above all, we aim for participants to enjoy their day. This pathway generates £35 per day per participant.

Pathway 3 : This pathway is for participants for whom employment is not a desired outcome and that do not need the support required by participants attending for meaningful day activities.

The activities coordinator is currently sitting alongside participants to ensure their aspirations are reflected in updated person-centred support plans with the aim being to encourage those with the potential to do so to move onto the vocational pathways programme. Where this does not happen, participants will participate in the supported volunteering pathway unless they are unable to fulfil the obligations of a volunteer, e.g., to participate in required induction and mandatory training. In this circumstance, they will participate in the meaningful day activities programme if they wish. This pathway is not revenue generating.

As of December 2023, there are 90 current participants across all 3 pathways of the LIVE programme.

Our Statutory sector services

Disability Inclusion Pathway project: The aim of this project, which is part-funded by the European Social Fund, is to support adults furthest away from the jobs market into employment, education and training. Mobilised in July 2021, (value £1.2m), this project will end on 31[st] December 2023 . Our employment specialists work intensively on a 1:1 basis with participants to deliver person-centred actions plans designed to achieve vocational goals. The team is networked with hundreds of organisations and groups across the city to secure, or signpost to, additional support needed by participants. The project has worked with 301 participants as of December 2023, with 72 moving into employment, education and active job searching.
Youth Promise Plus (YPP) Mental Health Wrap Around Support Service: The first participant on this project, (value £506k), was referred in September 2020. The project ended on 1[st] October 2023. Team members worked on a 1:1 basis with young people aged 16 – 29 experiencing mental health issues to help them stay engaged on employability programmes delivered by five YPP programme providers, Change Grow Live, University Hospitals Birmingham, Birmingham Youth Service, Birmingham Careers and The Prince’s Trust. Occasionally, referrals came from other sources. Over the course of this project, 148 young people were supported.
Primary Care Recovery Navigator Service (Mental Health Connector Service since August 2023). We were awarded this new service in May 2022, a 3-year sub-contract to deliver a mental health support service in the community, (value £406,725). Our team of navigators (mental health connectors) is working with lead provider Birmingham Mind and a second sub-contracted partner,

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

the Living Well Consortium, alongside NHS colleagues to support people with poor mental health to access the services they need in the community.
Meaningful Day Activities continue to be funded from direct payments allocated by Birmingham City Council’s Adult Social Care team to qualifying citizens. This is a very small spot-purchase arrangement open to social workers and citizens holding their own budgets looking for alternative opportunities to mainstream day centre services. As of December 2023, there are three people being supported under this arrangement. We anticipate this growing as the profile of this offer grows into the new year.
Birmingham City Council, Prevention and Communities Grant, Mental Health Support with Physical Education and Activities Project: With Sport4Life, we are jointly delivering two 3-year grant funded mental health with physical education and activities projects, aligned to community neighbourhood networks, (value £330k). This project is currently mobilising, and we anticipate formal launch in January/February 2024.

Other revenue generating activities

We continue to look for new markets for our Vulnerability Awareness Training and were pleased to deliver a workshop for Octopus Energy line managers in September 2023. Revenues from this activity were £12k. We are exploring, with NCFE, an awarding organisation and registered educational charity providing qualifications in England, Wales and Northern Ireland, the potential or incorporating our offer within NCFE’s entry level customer service training programme.
We welcomed new tenants MyBnk to our offices in Digbeth in September 2022 and are delighted that they and the young people they support are enjoying their new space. MyBnk is a national charity delivering financial awareness training to vulnerable young people, with a particular focus on debt and money management. Revenues from this activity are £20k per annum.
We are now renting out storage space to 528 Interiors. Rental income will be £3,640 per annum.

Who benefits from our services?

Our participant demographics have changed little since last year:

All participants are attending for support to maintain good mental health and wellbeing.
Approximately 70% have a diagnosed mental illness or poor mental health.
Approximately 80% have a learning disability or significant difficulty.
A number have dual diagnoses.
Females account for 21% of our participants (2020/21: 18%).
Participants from black and ethnic minority communities account for 40%
Our two longest attending participants have been coming to the service for over 40+ years.
Our oldest participant is in their 70s and our youngest in their 20s.
Following the launch of our LIVE vocational pathways programme in June 2022, the mix of long-term/short-term, older/younger, participants will change, with more, and younger, people coming to Better Pathways for short-term work experience placements going forward.

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

How we help

Unemployment in people with poor mental health, learning disabilities and other neurodiverse conditions is a major public health issue and Better Pathways helps to address this, (only 1.4% of the learning disabled population known to Birmingham City Council is in paid employment: Source: The PURE Project August 2023, Birmingham City Council (Quoting: NHS England, Measures from the Adult Social Care Outcomes Framework, England)). Inactivity and social isolation adversely impact the lives of those living with these conditions and their families, and we know that our work with participants addresses the loneliness they would otherwise feel from being socially isolated (see wellbeing survey below). In addition to the ‘hard’ outcomes we aim to achieve through our LIVE vocational pathways programme, we offer companionship, friendship, and a sense of belonging to those coming to our charity. Our impact is further enhanced by the values driven approach to all that we do, benefiting participants on our statutory sector contracts, and the commercial businesses we work with, adding significant social value to their procurement activities and supply chains.

Participant wellbeing survey

Our 2023 annual survey, designed to help us understand the impact of our support on participants’ wellbeing, happiness and confidence was answered by 38 participants (40%) and their feedback is as follows (numbers in brackets are the scores for 2022 & 2021, in that order). Some respondents are common to more than one survey, others, including participants on new pathways, responded for the first time, hence there is not a straight-line improvement rate in all scores.

92% report an increased ability to make friends and build new relationships (96%/77%) 92% report increased self-confidence (100%/68%) 100% feel supported (93%/74%) 86% have a sense of belonging when attending our services (96%/80%) 81% have increased ability and confidence to pick up new skills (93%/69%) 60% indicate improved ability to deal with problems in life (71%/51%) 97% have improved general happiness (86%/63%) 76% have positive feelings and hope for the future (89%/63%)

Thirty of our participants are living at home with families. Our support of participants provides respite for families, allowing parents and siblings free time to work during the day, to engage in their communities, to recharge their batteries and to maintain the resilience required to cope with the, often complex, needs of their family member. Family members supported number approximately 120 based on an average of 4 additional family members per participant.

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

Feedback from the family of KS

How does KS coming to Better Pathways help your family?

KS coming to Better Pathways is very good. I am always worrying about him. I am assured that he is safe. By coming to Better Pathways, I am happy that he is receiving support from the staff. Before coming to Better Pathways, he would stay in his room and was very isolated.

2 What have you noticed about KS as a result of him coming to Better Pathways?

Since coming to Better Pathways K is a lot fitter. He has recently got married, happily settling in and getting to know his new wife.

3 Would you say that your own mental health, or that of family members, improves with the

respite you receive when KS comes to Better Pathways .

I do worry about KS mental health. He can talk to the staff when he is frustrated, who are then able to liaise back with the family if concerns are about home.

Feedback from the family of A and H

How does A and H coming to Better Pathways help your family?

They have learnt more skills, they are more approachable, HM had lost his way.

2 What have you noticed about A and H as a result of them coming to Better Pathways?

A knows what she is doing, she has grown more confident. When they have been away from home, they return with having more ideas, and they are definitely more sociable. It has been very good for their overall wellbeing.

3 Would you say that your own mental health, or that of family members, improves with the respite you receive when A and H come to Better Pathways.

I acknowledge that they are never going to enter into a paid working environment but at least at Better Pathways they are both contributing to the environment.

Feedback from the family of D

1 How does D coming to Better Pathways help your family?

Gives him something to do and he does enjoy it. When he is not at Better Pathways he is upset, when he is ill for instance. Expressing that he should be there when he’s here. I am happy that he is happy.

2 What have you noticed about D as a result of him coming to Better Pathways? Since attending Better Pathways, he has shown an interest in looking for work, in a similar environment and where I was concerned about previous bullying, he says he gets on with everyone there, everyone is treating him good.

3 Would you say that your own mental health, or that of family members, improves with the respite you receive when D comes to Better Pathways.

Definitely, because D’s mental health has improved a lot.

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

Economic impact: the value of our social enterprise participant hours

‘In 2019 there were an estimated 208,000 volunteers working in 9,000 community businesses across England. These volunteers contributed up to an estimated 18 million hours of time and £250 millions of services in 2019. Volunteers provide a wide variety of support to community businesses. In 2019 the estimated average equivalent market hourly wage rate across this range of activities was around £13.70. This is slightly above the UK median hourly earnings rate for all occupations of £13.20 (by 3.5 per cent).’ Power to Change Assessing the value of volunteers in Community Businesses [2020].

We use the Real Living Wage to calculate the value of our participant hours. As of December 2023, our 92 participants attend Better Pathways for 1,034 hours per week. Assuming a 48-week attendance year, this equates to 49,632 hours and an economic value of £517,165.

The Year: 2022/2023

As was last year, this year has again been challenging from a financial perspective. Having set a deficit budget of £98,900 we ended the year with a deficit of £149,597. The biggest contributory factors to the worsening deficit were a) the ongoing impact of the loss of the IPS contract in the previous year which we always knew would take time to recover from b) lower than budgeted

revenues coming through the social enterprises as a consequence of the pandemic on customers and a general downturn in demand for their, and therefore our, services, (£42k under-budget), c) a failure to achieve budgeted income through donations and legacies (£24k under-budget) and d) unplanned expenditure on buildings maintenance, (£37k over-budget).

However, we are seeing a positive impact from the considerable efforts spent building new partnerships and a pipeline for growth through 2022/2023 and into 2023/2024 as set out elsewhere in this report and in the Financial Results below.

Plan Progress 2022/2023

We are pleased to report the following progress against the priorities set out in our Annual Report for the year ended March 2021:

We will agree plans for the development of our building, either to improve our space and stay in Digbeth, or to sell and move elsewhere.

We have decided not to sell and move but to stay and improve our building. We have produced Stage 2 design drawings for a new roof, mezzanine floor and entrance and are grateful to the following organisations for their support, on a pro bono basis, to get this done: Webb Yates (Buildings Surveyor), Roberts Limbrick (Architect), WT Partnership (Quantity Surveyor), and The Engineering Practice (M&E works). First draft scheme costs are looking to be in the order of £1.9m and we are meeting with developers and other potential funders to explore donations in kind and fundraising schemes.
We have completed the extension to our woodwork workshop and will continue to work on product development and supporting more participants in this service.

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

We will generate income from sharing our space.

We are delighted to report the success of the MyBnk tenancy and the agreement of a new space rental agreement with 528 Interiors. Taken together, these arrangements will generate £23,640 per annum in rental revenues. We are currently negotiating an agreement with a fledging new catering start up, Toko Street Food Service, to rent our professional standard on-site kitchen. Initially, in lieu of rent, our participants will be provided with hot food. Over time, as Toko’s revenues grow, we anticipate a profit share agreement.

We will modernise our social enterprise pathways of care to ensure we maximise social impact for participants:

We continue to embed the new LIVE Vocational Pathways Programme. Accepting its first participants in August/September 2022, as at the end of October 2023:

67 referrals were received
12 participants had completed the 12-week employment preparation pathway (at June n=6):
✓ 3 started employment and continue also to volunteer at Better Pathways
✓ 2 went on to volunteer in a retail shop
✓ 3 have accessed health services
✓ 4 have stayed with Better Pathways on the meaningful day activities pathway
✓ 8 are volunteering at Better Pathways and continue to work with the team on their longer-term goals

We are expanding the support we offer through our social enterprises:

SEND school and college ‘taster days’ : Working with head teachers, we are hosting regular taster days for students with their teachers to support students with enrichment activities to help them with socialisation and life skills. As of December 2023, we have hosted upwards of 40 students. For the Spring term 2024, there is a plan to host Baskerville students, generating a one-off payment of £600 for 6 sessions with 10 students per session. This is a trial and will be repeated, and hopefully expanded to other schools, if successful.

Student nurse placements: Working with Fareshare and Birmingham City University, we are hosting student nurses for placements, growing their awareness of the holistic support needs of people with the range of complexities presented by our participants. As of December 2023, we have hosted 18 student nurses for week-long placements leading to additional revenues for the charity of £50 per student nurse per week.

Job Centre Work Experience Placements: Working with local job centres, we are now offering work experience placements to job seekers furthest away from the jobs market and needing support to maintain good mental health and wellbeing. Our support is designed to help job seekers evidence their commitment to learning and work-based discipline, ultimately helping them into paid employment. This is the newest of our new initiatives and as of December 2023 we have hosted 4 job seekers. This activity will grow but it is not revenue generating.

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

We will pursue a robust income generation strategy:

We have undertaken a rebranding exercise, updated our messaging so that our stakeholders understand the benefits of working with and supporting us from the angle of social value, social impact added, and updated our website. Additionally, we have significantly raised our social media presence, including on LinkedIn. We have worked closely with the GBSLEP Growth Hub to explore opportunities for new partnerships and are delighted to report that an introduction by our a GBSLEP growth expert to Widney, a local manufacturing business, has resulted in significant new business in Better Packing which we anticipate being in the region of £40k - £50k a year (full year effect). Better Signage is now printing name badges for Herefordshire and Worcestershire Health and Care Trust, and a garden trug produced by our Woodwork team is featuring in the 2023 Social Enterprise UK Christmas catalogue.

Grant income in 2022/2023 is confirmed in the Financial Results section below. So far in 2023/2024 we have secured the following grants:

Goodwill Solutions Foundation - £10k (unrestricted)
Garfield Weston Foundation - £40k (unrestricted)
The Eveson Trust - £40k – (Unrestricted)
The Henry Smith Charity - £162k over 3 years (Better Signage capacity expansion)
Birmingham City Council - £17.5k (LIVE Programme expansion)
Goldman Sachs - £10k (contribution to costs of new printer for Better Signage)
West Midlands Combined Authority and the Department of Business and Trade (DBT): Made Smarter West Midlands Programme - £16.3k (contribution to costs of new printer for Better Signage)
GBSLEP Clean Growth Grant - £8.6k (contribution to costs of a new boiler)

We will establish a more systematic approach to social impact reporting

We have yet to make meaningful progress with this aim. Social impact reporting does remain a priority for the charity, and we will further develop our approach with beneficiaries, their families, our partners, and experts as capacity to undertake this project allows.

Financial results 2022/2023

Total income for the year fell by 45% from £911,275 in 2021/22 to £790,436 in 2022/23. Significant reasons for this are as follows:

Recovery and employment income decreased by 4%. This reflected the net impact of the end the Respite plus and Veterans’ Stabilisation Worker contracts on the 31[st ] March 2022 and the extension of the YPP contract and the mobilisation of the new Primary Care Recovery Navigator service on 1[st] May 2022
Net trading income for the social enterprises fell by 21%. However, income for Express Signs increased by 45%.

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

Donation and grant income decreased by 53% which in large part was because of the departure of our fundraising manager.
L.I.V.E. programme revenues increased by 168%.

Because of the above, the number of employees reduced from 23.4 (2021/22) to 19.3 (2022/23).

Fundraising and Donations

For the year 2022/23 we raised £51,186 from grant giving trusts/foundations and £5,117 in public donations (2021/22: £114,440 and £4,627 respectively). We are grateful to the funders who have responded so positively to our bids for support, and we are pleased to acknowledge them later in this report.

We are grateful to the following organisations and for their generous grants and donations in 2022/23. These funds have helped us to deliver our activities for the benefit of our service users:

Birmingham City Council - £17.5k

Access, The Foundation for Social Investment’s Enterprise Development Programme - £27.4k Edward Gosling Foundation - £5k

UK Government Department for Business and Trade £50k bounce back loan: Year 1 interest donation - £1.2k

Misc Just Giving donations - £2.9k

We were immensely saddened at the sudden passing of Simon Lawrence, our Chair of Trustees until December 2021. Mourners at Simon’s funeral were invited to donate to Better Pathways in lieu of sending flowers. We were honoured to receive donations totalling £2.2k over the months following Simon’s funeral. Simon’s widow, Veronica, was kind enough to set up a Just Giving Page for the charity.

We are registered with the Fundraising Regulator and can confirm we have not received any complaints in the year. Currently, our fundraising activity is geared to submitting to grant giving bodies. We have hitherto raised funds from the public via JustGiving and Amazon Smile. We have recently moved to the Enthuse platform. We do not raise donations through door-to-door canvassing, but were we ever to do so, we would ensure that we have policies and procedures in place to identify and protect people in situations of vulnerability.

Principal funding sources

In respect of our statutory sector contracts our principal sources of funding are:

European Social Fund for the Disability Inclusion Pathway
Birmingham City Council for the Youth Promise Plus Mental Health Wrap Around Support Service
● Birmingham and Solihull Mental Health Foundation Trust (BSMHFT) via Birmingham Mind as the lead provider: Neighbourhood Mental Health Connector Service

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

Plans for 2023/2024

Our social enterprise LIVE Vocational Pathways programme will be further embedded:

Better Signage moved from Solihull in January 2023 to join our other enterprises in Digbeth and there will be a major focus on training more participants in signage production and printing skills.
The new arrangement with Toko Food Services, and the completion of our kitchen refurbishment, will enable us to establish a food hygiene, food preparation, training offer as part of our LIVE 12-week employment preparation pathway.
We will progress discussions with Serco and the Shaw Trust about supporting their participants on our LIVE vocational pathways programme.
We will make progress with plans to open a charity shop at our site in Digbeth, for its income generating potential, and to provide opportunities for extending our work experience offer and to raise our profile with the public, whom we will invite to collect their purchased woodcraft and other items.
We will work with NCFE to develop an accredited Better Pathways branded training programme to enhance the standing of our LIVE 12-week employment preparation pathway.
We will make progress with our beneficiaries and their families to strengthen our approach to impact measurement. The planned introduction of a new activity recording system, Tacklit, will make this easier to achieve.
We will explore all avenues for income generation
We will continue to look for statutory sector contract opportunities, including as subcontractors to larger organisations where our values align. We have produced a report for commissioners setting out the impacts and outcomes for young people supported by our YPP mental health wrap around support team and we will explore the potential for this model to add value in other contexts and settings. We will continue to liaise closely with local authority commissioners on plans to commission Shared Prosperity Funded projects to replace those currently funded with ESF monies.
We will progress discussions with a national construction company for the provision of signage services linked to a major new development opposite our site in Digbeth.
We will continue to seek corporate partnerships such as charity of the year agreements.
We will continue to submit bids to grant funding bodies, building on our successes so far in 2023/2024, looking for support for core costs wherever we can.
We will progress discussions with NCFE about the potential for our vulnerability awareness training to form part of NCFE’s customer service modules.
We will improve our building for the benefit of beneficiaries and to grow our business
We will make progress with improvements to our participant restroom facilities.
We will discuss with the developer/construction company of the site opposite our building, the potential to receive their support for the building of our new roof, mezzanine floor and front entrance.
We will launch a ‘Raise the Roof’ crowdfunding campaign, to raise the balance of funds needed after donations ‘in kind’ are secured.
We will continue to repair our roof in the meantime, making it watertight until a new roof is in place.

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

Principal risks and mitigations

The Charity’s principal risks:

A failure to maintain current customers and to grow the customer base in our social enterprises, will undermine their viability.
We have reshaped roles in the senior leadership team. There is now a senior leader dedicated to leadership of the social enterprises and the new arrangement will allow the CEO to focus more significantly on externally facing activities to grow the charity’s profile, partnerships and income generating opportunities.
The Senior Leadership Team is collectively building networks to maximise new business opportunities.
We are grateful for the support we continue to receive from ‘ambassadors’ who are informing our approach to achieving the growth we need for future sustainability, identifying potential new customers and making helpful introductions.
We have worked with branding and marketing experts to clarify our messaging and to update our branding and website. We will continue to grow our marketing activities to build on our recent LinkedIn campaigns.
We have undertaken a review of our pricing methodology and will take a more structured approach to applying annual price increases for our social enterprise activities.
We will continue to work with Pathcarvers, a local social enterprise, to develop our Woodcraft offer.
A failure to maintain a portfolio of statutory sector contracts will have a significant impact on the Charity’s financial position, reducing the contribution to overheads and margin.
We continue to seek out opportunities to bid for new contracts and to partner with other potential bidders.
We are in discussions about providing a 3-month PURE employability project from January – March 2024 in anticipation of having an opportunity to express an interest in a Shared Prosperity Funded project from 1[st] April 2024 (this will be a one year only project).
Discussions about our mental health wrap around support model will be progressed with commissioners.
A failure sufficiently to grow revenues/income from all sources, including from grant giving bodies, quickly enough, will lead to a depletion of reserves and to a drop in cash such as to put at risk the charity’s ability to deliver its activities and maintain its ‘going concern’ status.
We own our building and will develop a contingency plan to raise funds against the building should that be necessary.

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

Reserves policy and statement of going concern

The trustees’ policy is to maintain 90 days’ expenditure in general reserves to provide working capital for unforeseen reductions in cash flow. As of November 2023, there are reserves to cover 69 days of operation. The forecast for March 2024 is 87 days.

On 31 March 2023, Better Pathways had total funds of £317,519 to carry forward. These funds were made up as follows:

£105,520 - General Reserves
£38,528 – Restricted Funds
£173,471 - Designated Funds

The designated funds largely relate to the tangible fixed asset fund so do not form part of our calculation of general reserves. This fund represents the net book value of fixed assets purchased through general funds and depreciation is charged against this fund.

The general reserves on 31 March 2023 amounted to 42 days’ expenditure, down from 60 days in March 2022. However, on 30 November 2023, the position is much improved. General reserves are £163,437 translating to 69 days’ expenditure.

A cash flow forecast covering January 2024 – January 2025 shows month on month cash positions varying from highs of £177k (February 2024) and £155K (April 2024) to a low of £57k (November 2024) before improving to £71k (January 2025). Trustees are required to look ahead 12 months from the date of signing of the accounts and, on the basis of the 12 month cash flow forecast and by approving these accounts, Trustees and the Chief Executive are happy that Better Pathways remains a going concern.

Current Cash Position

At the end of November 2023, the charity’s cash position is £174k, an improvement on the £156k cash position at the end of March 2023.

General Reserves

We continue to grow the activities and income streams of the charity. We are better managing our working capital, getting cash in more quickly.

We are compiling a business case to present to a bank for funds which we will raise against the value of our building, which we own. This will be our fallback position should we find ourselves at risk of dangerously low cash.

Restricted Funds

We have and will continue to implement restricted fund projects, significantly reducing the restricted funds balance of £38k (of which 67% is for capital assets against which depreciation is being charged) by March 2023.

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

Designated Funds

After the year end, Future Investment for Social Enterprise and Premises Improvement funds totalling £20k, have been reallocated to the General fund. This is because there had been expenditure on items out of general funds that were a legitimate call on these designated funds.

Accreditations

We continue to meet the requirements of the Investors in People standard, the MATRIX standards, and Disability Confident Accreditation.
The charity is still an accredited Living Wage Employer after the year end.

Structure, governance and management

The organisation is a charitable company limited by guarantee, incorporated in England and Wales in September 1965, and registered as a Charity on 1st February 1963.

The company was established under a memorandum of association, which established the objects and powers of the charitable company and is governed under its articles of association. All trustees give their time voluntarily and receive no benefits from the Charity. The trustees have not claimed any expenses from the Charity during the year.

Trustees are elected at the annual general meeting and nominations for additional trustees may be made by Board members. All directors serve in an honorary capacity and are the trustees of the Charity. There is a rotational process in place with trustees retiring from the board each year; however, these trustees can offer themselves for re-election should they wish to do so. We aim to ensure that the Board is diverse in terms of age, gender and ethnicity and possess the skills required to direct the organisation.

At no time during the year did any trustee have an interest in a contract entered into by the Association in relation to the activities of the Association other than their involvement as employees of Mental Health Trusts. No remuneration or other benefits have been paid or are payable to any trustee of the Association either directly or indirectly from the funds of the Association. The overall policy of the Association is set by the trustees at regular meetings of the Board. Day to day running of the Association is managed by the Chief Executive, Sue Roberts.

Appointment of trustees

We use the guidance for trustee recruitment published by the Charity Commission. Skills audits are completed, gaps are identified, and new Trustees appointed based on these gaps.

Trustee engagement

New trustees meet with the Chair and Chief Executive as part of their induction and to agree expectations with respect to Trustee engagement in the charity’s business. The following is covered:

Trustee Role and Responsibilities

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

Trustee Code of Conduct, including Conflicts of Interest
Timetable of Annual Key tasks
Trustee Contact details
Expenses – How to claim travel and other expenses
Induction visits and meetings include:
➢ Attendance requirements and feedback
➢ Organisation background and history
➢ Mental Health First Aid (2-day accredited course) if desired
➢ Social Enterprise site visit

Required reading includes:

➢ Memorandum & Articles
➢ Audited Accounts and Annual Report
➢ Risk Register
➢ Strategic Plan
➢ Organisation Chart
➢ Policies and Procedures
➢ The Essential Trustee (CC3)
➢ Other relevant Charity Commission guidance

Related parties and relationships with other organisations

No formal relationships exist between the Association and any related parties and there are no subsidiary undertakings. The Association cooperates with other charities in the pursuit of its charitable objectives.

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

Remuneration policy for key management personnel

The Chair conducts the annual appraisal of the Chief Executive and agrees her salary, which is benchmarked against comparable organisations in the not-for-profit sector. The salary is endorsed by all members of the Board.

Policy for employment of disabled persons

The Association has an Equality and Diversity policy which commits the Association to examine its selection and appointment process, personnel procedures, and training provisions to ensure the elimination of direct or indirect discrimination and the provision of equality of opportunity for the protected characteristics contained with the Equality Act 2010. There are regular reviews to maintain good employment practices and those engaged in the selection process will be made aware of the Equality and Diversity Policy, the Acts, and their personal liability to law.

Employee information

The Association aims to provide employees with as much information as possible on matters of concern to them as employees. Responsibility for doing this rests with the Senior Leadership Team.

Funds held as custodian trustee on behalf of others

No funds are held by the Association as custodian trustee on behalf of others.

Statement of responsibilities of the trustees

The trustees (who are also directors of Birmingham Industrial Therapy Association Ltd for the purposes of company law) are responsible for preparing the trustees’ annual report including the strategic 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, which give a true and fair view of the state of affairs of the charitable company, and of the incoming resources and 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 SORP.
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. They are also responsible for

Birmingham Industrial Therapy Association Limited

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

safeguarding the assets of the charitable company 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.

Trustees are appointed at the AGM which is attended by the charity’s trustees. There were 6 trustees in the year 21/2022 (20/2021:11).

The trustees’ annual report has been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.

The trustees’ annual report has been approved by the trustees on 12 January 2023 and signed on their behalf by

David Tucker, Chair of Trustees

Sue Roberts, Chief Executive Officer

Independent auditor’s report

To the members of

Birmingham Industrial Therapy Association Limited

Opinion

We have audited the financial statements of Birmingham Industrial Therapy Association Limited (the ‘charitable company’) for the year ended 31 March 2023which comprise the statement of financial activities, balance sheet, statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Give a true and fair view of the state of the charitable company’s affairs as of 31 March 2023 and of its incoming resources and application of resources, including its income and expenditure for the year then ended
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

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the 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 Birmingham Industrial Therapy Association Limited's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

Independent auditor’s report

To the members of

Birmingham Industrial Therapy Association Limited

Other Information

The other information comprises the information included in the trustees’ annual report other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements, or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

The information given in the trustees’ annual report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
The trustees’ annual 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 charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ annual report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
The financial statements are not in agreement with the accounting records and returns; or
Certain disclosures of trustees’ remuneration specified by law are not made; or
We have not received all the information and explanations we require for our audit; or
The directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemptions in preparing the trustees’ annual report and from the requirement to prepare a strategic report.

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 charitable company for the purposes of

Independent auditor’s report

To the members of

Birmingham Industrial Therapy Association Limited

company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud 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 finance committee, which included obtaining and reviewing supporting documentation, concerning the charity’s policies and procedures relating to:
Identifying, evaluating, and complying with laws and regulations and whether they were aware of any instances of non-compliance;
Detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected, or alleged fraud;
The internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations.
We inspected the minutes of meetings of those charged with governance.
We obtained an understanding of the legal and regulatory framework that the charity 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 charity from our professional and sector experience.

Independent auditor’s report

To the members of

Birmingham Industrial Therapy Association Limited

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. 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: 12th January 2024

for and on behalf of Sayer Vincent LLP, Statutory Auditor Invicta House, 108-114 Golden Lane, LONDON, EC1Y 0TL

Birmingham Industrial Therapy Association Limited

Statement of financial activities (incorporating an income and expenditure account)

For the year ended 31 March 2023

Unrestricted £ 11,367 490,867 117,570 125,650 46	Restricted £ 44,936 - - - -	£ 56,303 490,867 117,570 125,650 46 2023 Total	£ 119,067 512,741 131,984 147,399 84 2022 Total
745,500 583,034 123,835 109,760	44,936 - 95,968 27,436	790,436 583,034 219,803 137,196	911,275 721,402 203,967 108,968
816,629	123,404	940,033	1,034,336
(71,129) 350,121	(78,468) 116,994	(149,597) 467,115	(123,062) 590,177
278,992	38,527	317,519	467,115

All of the above results are derived from continuing activities, except where shown. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in Note 20 to the financial statements.

Birmingham Industrial Therapy Association Limited

Balance sheet

As at 31 March 2023

£ 5,466 181,081 156,123	2023 £ 199,181	£ 5,466 325,506 170,042	2022 £ 194,766
	199,181 148,337		194,766 322,350
342,670 194,333		501,014 178,664
173,471 105,520		185,815 164,306
	347,518 (30,000)		517,116 (50,000)
	317,519		467,115
	38,527 278,992		116,994 350,121

	317,519		467,115

Approved by the trustees on 12 January 2024 and signed on their behalf by

David Tucker Chair

Birmingham Industrial Therapy Association Limited

Statement of cash flows

For the year ended 31 March 2023

Note £ £ 21 22,259 46 (26,223) (26,177) (10,000) Change in cash and cash equivalents in the year (13,918) Cash and cash equivalents at the beginning of the year 170,041 Cash and cash equivalents at the end of the year 156,123 Analysis of cash and cash equivalents and of net debt At 1 April 2022 £ Cash at bank and in hand 170,041 Total cash and cash equivalents 170,041 Loans falling due after more than one year (50,000) Total 120,041 Cash flows from financing activities: Repayment of borrowings 2023 Cash flows from operating activities Net cash used in investing activities Net cash used in operating activities Cash flows from investing activities: Interest received Purchase of fixed assets	£ £ (264,335) 84 (738) (654) - (264,989) 435,030 170,041 Cash flows At 31 March 2023 £ £ (13,917) 156,123 (13,917) 156,123 10,000 (40,000) (3,917) 116,123 2022	£ £ (264,335) 84 (738) (654) - (264,989) 435,030 170,041 Cash flows At 31 March 2023 £ £ (13,917) 156,123 (13,917) 156,123 10,000 (40,000) (3,917) 116,123 2022
	Cash flows £ (13,917)
(10,000)		-
(13,918) 170,041		(264,989) 435,030
156,123		170,041
At 1 April 2022 £ 170,041		At 31 March 2023 £ 156,123
170,041 (50,000)	(13,917) 10,000	156,123 (40,000)
120,041	(3,917)	116,123

Birmingham Industrial Therapy Association Limited

Notes to the financial statements

For the year ended 31 March 2023

1 Accounting policies
a) Statutory information

Birmingham Industrial Therapy Association Limited is a charitable company limited by guarantee and is incorporated in the United Kingdom. The registered office address and principal place of business is 201-206 Alcester Street, Digbeth, Birmingham, B12 0NQ.

b) Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) - (Charities SORP FRS 102, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy or note.

In applying the financial reporting framework, the trustees have made a number of subjective judgements, for example in respect of significant accounting estimates. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The nature of the estimation means the actual outcomes could differ from those estimates. Any significant estimates and judgements affecting these financial statements are detailed within the relevant accounting policy below.

c) Public benefit entity

The charitable company meets the definition of a public benefit entity under FRS 102.

d) Going concern

The trustees consider that there are no material uncertainties about the charitable company's ability to continue as a going concern as explained in the trustees' annual report. The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

e) Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the income have been met, it is probable that the income will be received and that the amount can be measured reliably.

Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

Income received in advance of the provision of a specified service is deferred until the criteria for income recognition are met.

f) Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.
g) Fund accounting
Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria is charged to the fund.

Unrestricted funds are donations and other incoming resources received or generated for the charitable purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular purposes.

h) Expenditure and irrecoverable VAT

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:

Expenditure on charitable activities includes the costs of providing education, volunteering and employment services to the service users undertaken to further the purposes of the charity and their associated support costs
Other expenditure represents those items not falling into any other heading Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

i) Allocation of support costs

Resources expended are allocated to the particular activity where the cost relates directly to that activity. However, the cost of overall direction and administration of each activity, comprising the salary and overhead costs of the central function, is apportioned on the following basis which are an estimate, based on staff time, of the amount attributable to each activity. Where information about the aims, objectives and projects of the charity is provided to potential beneficiaries, the costs associated with this publicity are allocated to charitable expenditure. Where such information about the aims, objectives and projects of the charity is also provided to potential donors, activity costs are apportioned between fundraising and charitable activities on the basis of staff time by each activity.

Recovery and Employment 63%
Social Enterprise - Better Assembly Services 23%  Social Enterprise - Express Signs 14%

Birmingham Industrial Therapy Association Limited

Notes to the financial statements

For the year ended 31 March 2023

1 Accounting policies (continued)

j) Operating leases

Rental charges are charged on a straight line basis over the term of the lease.

k) Tangible fixed assets

Items of equipment are capitalised where the purchase price exceeds £250. Depreciation costs are allocated to activities on the basis of the use of the related assets in those activities. Assets are reviewed for impairment if circumstances indicate their carrying value may exceed their net realisable value and value in use.

Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:

Freehold Building 50 years
Motor Vehicles, Computer Equipment 4 years  Plant, Fixture and Fittings 10 years

l) Stocks

Stocks are stated at the lower of cost and net realisable value. In general, cost is determined on a first in first out basis and includes transport and handling costs. Net realisable value is the price at which stocks can be sold in the normal course of business after allowing for the costs of realisation. Provision is made where necessary for obsolete, slow moving and defective stocks. Donated items of stock, held for distribution or resale, are recognised at fair value which is the amount the charity would have been willing to pay for the items on the open market.

m) Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

n) Cash at bank and in hand

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

o) Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

p) Financial Instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

q) Pensions

The charity has a NEST pension scheme to offer all employees. The charity is contributing a minimum employer contribution percentage into the scheme set by the Pension Regulator.

2 Detailed comparatives for the statement of financial activities (prior year)

Detailed comparatives for the statement of financial activities (prior year)
Recovery and Employment Social Enterprise - Better Assembly Services Social Enterprise - Express Signs Recovery and Employment Social Enterprise - Express Signs Social Enterprise - Better Assembly Services Income from: Donations and grants Total expenditure Charitable activities: Expenditure on: Charitable activities: Bank interest Net (expenditure) / income for the year Total income	£ 24,627 512,741 131,984 147,399 84 Unrestricted activities	Restricted activities £ 94,440 - - - -	2022 Total £ 119,067 512,741 131,984 147,399 84
	816,835	94,440	911,275
	721,402 193,328 108,968	- 10,638 -	721,402 203,966 108,968
	1,023,698	10,638	1,034,336

	(206,863)	83,802	(123,062)

Birmingham Industrial Therapy Association Limited

Notes to the financial statements

For the year ended 31 March 2023

3 Income from donations

Income from donations
Grants recieved Donations	Unrestricted £ 6,250 5,117	Restricted £ 44,936 -	2023 Total £ 51,186 5,117	Unrestricted £ 20,000 4,627	Restricted £ 94,440 -	2022 Total £ 114,440 4,627
	11,367	44,936	56,303	24,627	94,440	119,067

4a Income from charitable activities (current year)

Income from charitable activities (current year)
Earned Income Total for Social Enterprise - Express Signs Total income from charitable activities Total for Recovery and Employment Birmingham City Council Day Care Earned Income Birmingham Solihull Mental Health Trust Total for Social Enterprise - Better Assembly Services Other European Social Fund - Disability Inclusion Pathway Birmingham City Council - Youth Promise Plus Birmingham MIND -PCRN Birmingham Solihull Mental Health Trust - Respite Birmingham Solihull Mental Health Trust - Veteran	£ 195,197 - - 146,364 124,277 25,028 Unrestricted activities	Restricted activities £ - - - - - -	2023 Total £ 195,197 - - 146,364 124,277 25,028	2022 Total £ 119,850 72,000 96,025 170,571 - 54,295
	490,867 19,302 98,269	- - -	490,867 19,302 98,269	512,741 7,206 124,778
	117,570 99,046 26,604	- - -	117,570 99,046 26,604	131,984 129,046 18,353
	125,650	-	125,650	147,399
	734,087	-	734,087	792,124

Unrestricted activities £ 119,850 72,000 - - 54,295 - - 96,025 170,571 -	Restricted activities £ - - - - - - - - - -	2022 Total £ 119,850 72,000 - - 54,295 - - 96,025 170,571 -
512,741 7,206 124,778	- - -	512,741 7,206 124,778
131,984 129,046 18,353	- - -	131,984 129,046 18,353
147,399	-	147,399
792,124	-	792,124

Birmingham Industrial Therapy Association Limited

Notes to the financial statements

For the year ended 31 March 2023

5a Analysis of expenditure (current year)

Charitable activities

Recovery and Employment £ 237,965 72,111 969 991 - 1,081 299 2,038 - - - 9 - - - 6,977	Social Enterprise - Better Assembly Services £ 85,933 - 99 96 14,940 10,015 308 792 892 - 8,689 (144) - - - 4,077	Social Enterprise - Express Signs £ 53,752 - 6,017 - 819 240 1,073 1,749 4,870 - 14,500 (4,757) - - - 69	Governance costs £ - - - - - - - - - - - 9,900 - - -	Support costs £ 241,663 - - 6,124 90 996 5,359 27,389 23,551 22,442 61,096 (3,562) - 3,052 4,781 10,686	2023 Total £ 619,313 72,111 7,085 7,211 15,849 12,332 7,039 31,968 29,314 22,442 84,285 (8,455) 9,900 3,052 4,781 21,809	2022 Total £ 667,926 70,076 10,628 7,746 27,183 11,647 4,255 59,643 34,025 19,104 57,027 8,589 8,600 1,059 13,240 33,588
322,438 254,358 6,238	125,697 91,853 2,253	78,333 57,455 1,409	9,900 - (9,900)	403,665 (403,665) -	940,033 - -	1,034,336 - -
583,034	219,803	137,196	-	-	940,033	1,034,336
721,402	203,967	108,968	-	-

5b Analysis of expenditure (prior year)

Charitable activities	Charitable activities	Charitable activities	Governance costs £ - - - - - - - - - - - - 8,600 - - -	Support costs £ 235,574 - - 3,093 - 1,664 - 24,619 5,973 5,201 10,040 5,415 - 288 3,604 21,786	2022 Total £ 667,926 70,076 10,628 7,747 27,183 11,647 4,255 59,642 34,025 19,104 57,027 8,589 8,600 1,059 13,240 33,588
Recovery and Employment £ 309,564 70,076 - 2,565 2,008 2,946 2,689 23,513 24,276 9,334 22,173 2,379 - 518 9,636 6,411	Social Enterprise - Better Assembly £ 79,968 - 365 1,766 24,321 7,037 1,133 7,724 1,192 4,569 9,266 795 - 170 - 5,391	Social Enterprise - Express Signs £ 42,820 - 10,263 323 854 - 433 3,786 2,584 - 15,548 - - 83 - -
488,088 227,156 6,158	143,697 58,680 1,591	76,694 31,421 852	8,600 - (8,600)	317,257 (317,257) -	1,034,336 - -
721,402	203,968	108,968	-	-	1,034,336

Birmingham Industrial Therapy Association Limited

Notes to the financial statements

For the year ended 31 March 2023

6 Net income / (expenditure)

This is stated after charging:

Operating lease rentals: Auditors' remuneration (excluding VAT): Depreciation Other Audit	2023 £ 21,809 32,566 9,900	2022 £ 33,588 14,347 8,600

7 Analysis of staff costs, trustee remuneration and expenses, and the cost of key management personnel

Staff costs were as follows:

Staff costs were as follows:
Salaries and wages Social security costs Redundancy and termination costs Other Staff Costs Employer’s contribution to defined contribution pension schemes	2023 £ 522,342 - 44,104 43,180 9,688	2022 £ 562,381 3,000 48,904 42,820 10,821
	619,313	667,926

In 2023 no employee was made redundant in the year (2023: £nil) (2022: 2). No redundancy and termination costs (2022: £3,000) were settled and paid.

The total employee benefits (including employer's pension contributions and employer's national insurance) of the key management personnel were £57,256 (2022: £56,992).

The charity trustees were not paid or received any other benefits from employment with the charity in the year (2023: £nil). No charity trustee received payment for professional or other services supplied to the charity (2022: £nil). No trustees' expenses were paid in 2023 and 2022.

8 Staff numbers

The average number of employees (head count based on number of staff employed) during the year was as follows:

Recovery & Employment Support Social Enterprise- Better Assembly Services	2023 No. 7.1 5.0 7.3	2022 No. 12.4 4.1 6.9
	19.3	23.4

9 Related party transactions

Aggregated donations from related parties were £nil (2023: £nil). There are no donations from related parties which are outside the normal course of business and no restricted donations from related parties.

Martin Commander, Vice Chair Board of Trustees is a paid consultant to Birmingham Solihull Mental Health Trust (BSMHFT). During the year the charity receieved income of £110,180 (2022: £297,071) from BSMHFT which was provided on an arms length basis.

10 Taxation

The charitable company is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.

Birmingham Industrial Therapy Association Limited

Notes to the financial statements

For the year ended 31 March 2023

11 Tangible fixed assets

Freehold property £ 312,910 6,210 -	Plant, fixtures and fittings £ 305,330 20,013 (67,160)	Computer equipment £ 197,406 - (86,657)	Total £ 815,646 26,223 (153,817)
319,120	258,183	110,749	688,052
167,152 7,969 -	272,908 12,754 (67,160)	180,820 1,085 (86,657)	620,880 21,809 (153,817)
175,121	218,502	95,248	488,872

143,999	39,681	15,501	199,181
145,758	32,422	16,586	194,766

Land with a value of £36,625 (2022: £36,625) is included within freehold property and not depreciated.

All of the above assets are used for charitable purposes.

12 Stock

12 Stock
13 Finished goods Debtors Trade debtors Prepayments Accrued income	2023 £ 5,466	2022 £ 5,466
	2023 £ 50,892 12,946 117,243	2022 £ 168,953 8,658 147,895
	181,081	325,506

All of the charity’s financial instruments, both assets and liabilities, are measured at amortised cost. The carrying values of these are shown above and also in note 14 below.

14 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
Deferred income (note 15) Taxation and social security Trade creditors Accruals Bank loans	2023 £ 10,000 134,218 9,688 40,427 -	2022 £ - 25,986 26,113 114,012 12,554
	194,333	178,664

15 Deferred income

Deferred income comprises participant costs received in advance.

Deferred income comprises participant costs received in advance.
Balance at the beginning of the year Additions within the year Amount released to income in the year	2023 £ 12,554 17,500 (30,054)	2022 £ 16,529 - (3,975)
	-	12,554

Birmingham Industrial Therapy Association Limited

Notes to the financial statements

For the year ended 31 March 2023

16 Creditors: amounts falling due after one year

Bank loans	2023 £ 30,000	2022 £ 50,000

The Bounce Bank Loan balance as at 31 March 2023 £40,000 (2022: £50,000) is unsecured. The terms of the loan are 72 months with an interest rate of 2.5%. The UK Government funded the interest payment for the first 12 months through the Business Interruption Payment (BIP) £1,250 and the monthly loan repayments commenced April 2022.

17 Pension Scheme

The charity offers an auto-enrolment into the NEST pension scheme. At the end of the year the liability of the NEST pension scheme was £2,001 (2022: £2,219).

Past and present employees are covered by the provisions of the two NHS Pension Schemes. Details of the benefits payable and rules of the Schemes can be found on the NHS Pensions website at www.nhsbsa.nhs.uk/pensions. Both are unfunded defined benefit schemes that cover NHS employers, GP practices and other bodies, allowed under the direction of the Secretary of State in England and Wales. They are not designed to be run in a way that would enable NHS bodies to identify their share of the underlying scheme assets and liabilities. Therefore, each scheme is accounted for as if it were a defined contribution scheme: the cost to the NHS body of participating in each scheme is taken as equal to the contributions payable to that scheme for the accounting period. In order that the defined benefit obligations recognised in the financial statements do not differ materially from those that would be determined at the reporting date by a formal actuarial valuation, the FReM requires that “the period between formal valuations shall be four years, with approximate assessments in intervening years”. An outline of these follows:

a) Accounting valuation

The present value of the liabilities as at 31 March 2023 has been determined using the Projected Unit Credit Method (PUCM), with allowance for expected future pay increases in respect of active members, and the demographic and financial assumptions applying as at 31 March 2023. The current service cost (expressed as a percentage of pensionable pay) in respect of accruing costs in the year ended 31 March 2023 was determined using the PUCM and the demographic and financial assumptions applicable at the start of the year, that is, those adopted as at 31 March 2022 in the 2021-20 Annual Report and Accounts.

b) Full actuarial (funding) valuation

A full actuarial (funding) valuation is undertaken every four years and its purpose is to assess the liability in respect of the benefits due under the Schemes (taking into account recent demographic experience), and to recommend contribution rates payable by employees and employers. The latest actuarial valuation undertaken for the NHS Pension Scheme was completed as at 31 March 2016. The results of this valuation set the employer contribution rate payable from 1 April 2019 at 20.6% of member pensionable pay.

The 2016 funding valuation was also expected to test the cost of the Scheme relative to the employer cost cap set following the 2012 valuation, however, on 30 January 2019 the Government announced a pause to the cost control mechanism which was to form part of the valuation. This was due to the Court of Appeal ruling in December 2018 relating to the transitional protection offered to some members in the 2015 pension reforms. On 4 February 2021, the Government announced that the cost cap mechanism calculations would be completed allowing for the transitional protection remedy costs. HMT published valuation directions dated 7 October 2021 that set out the technical detail of how the costs of remedy are included in the 2016 valuation process. Following these directions, the Scheme Actuary has completed the cost control element of the 2016 valuation for the NHS Pension Scheme.

The results for the Scheme were set out in the Government Actuary’s Department report of 7 February 2022, which stated that the cost cap cost was within the +/-2% corridor specified in the HMT regulations and so no changes to benefits or member contributions were required.

The Government has set out changes to the operation of the employer cost cap that will be effective from the valuation of the Scheme as at 31 March 2020. The new mechanism will only allow for the reformed Scheme, will have an increased cost cap corridor of +/-3% and will also now include an economic check, which means that a breach would only result in changes if there was still a breach once the impact of any change in the discount rate has been taken into account.

The 2020 valuation will set the employer contribution rate payable from April 2024 and test the cost of the Scheme relative to the employer cost cap. This 2020 valuation is currently in progress and will be based upon further valuation directions provided by HMT. The final directions to enable completion of the 2020 valuation are expected from HM Treasury during 2022. The results of the 2020 valuation including the employer cost cap will be reported in the 2022-23 NHS Pension Scheme Annual Reports.

In December 2021 several unions filed for a joint Judicial Review against the Government on the inclusion of the McCloud remedy costs within the cost control mechanism. On 4 July 2022 the Judicial Review was granted permission to be heard, with no further detail currently available on the timeline for a hearing. Even if the Judicial Review is successful, it is unclear what remedy the court may order, and the Government would then need to consider how to proceed following that. Any attempt to predict such outcomes, such as any impact on Scheme liabilities, would be highly speculative at this stage.

Birmingham Industrial Therapy Association Limited

Notes to the financial statements

For the year ended 31 March 2023

18a Analysis of net assets between funds (current year)

18a Analysis of net assets between funds (current year)
18b 19a Eveson Charitable Trust Edward and Dorothy Cadbury Trust Prince's Charities Roger and Douglas Trust G J W Turner Trust CB & HH Taylor 1984 The Grimmitt Trust Radcliffe Trust Grant Warwick Masonic Trust The Rowlands Trust National Lottery Fund Allison Hillman Charitable Trust William A. Cadbury Trust Resonance Grant The Foundation for Social Investment Birmingham City Council Total restricted funds Total designated funds General funds Total unrestricted funds Total funds at 31 March 2023 Tangible fixed assets Net current assets Long term liabilities Net assets at 31 March 2022 Tangible Fixed Assets Funds Future Investment for Social Enterprises Tangible fixed assets Net assets at 31 March 2023 Designated funds: Premises Improvement Fund Unrestricted funds: ERDF Catalysts Enterprises Grant The Rowlands Trust Net current assets Restricted funds: Freehold Property Movements in funds (current year) Long term liabilities Analysis of net assets between funds (prior year)	At 1 April 2022 £ 23,219 5,733 2,100 4,495 2,000 3,000 3,000 3,000 1,000 2,000 5,000 1,000 2,000 9,448 1,000 15,000 34,000 - -	General unrestricted £ 0 135,521 (30,000)	£ 173,471 - - Designated	Restricted £ 25,710 12,817 -	Total funds £ 199,181 148,337 (30,000)
		105,521	173,471	38,527	317,519
		£ - 214,306 (50,000) General unrestricted	£ 165,815 20,000 - Designated	Restricted £ 28,952 88,043 -	£ 194,767 322,349 (50,000) Total funds
		164,306	185,815	116,994	467,115
		Income £ - - - - - - - - - - - - - - - - - 27,436 17,500	Expenditure £ (2,600) (642) (783) (4,495) (2,000) (3,000) (3,000) (3,000) (1,000) (2,000) (1,124) (1,000) (2,000) (9,448) (1,000) (15,000) (34,000) (27,436) (9,876)	Transfers £ - - - - - - - - - - - - - - - - - - -	At 31 March 2023 £ 20,619 5,091 1,317 - - - - - - 3,876 - - - - - - - 7,625
	116,995	44,936	(123,404)	-	38,527
	165,815 10,000 10,000	- - -	(18,567) - -	26,223 (10,000) (10,000)	173,471 - -
	185,815	-	(18,567)	6,223	173,471
	164,306	745,500	(798,063)	(6,223)	105,520
	350,121	745,500	(816,629)	-	278,992

	467,115	790,436	(940,033)	-	317,519

Birmingham Industrial Therapy Association Limited

Notes to the financial statements

For the year ended 31 March 2023

19b Movements in funds (prior year)

Movements in funds (prior year)
Other Small Restricted Grants Total restricted funds Total designated funds General funds Total unrestricted funds Total funds at 31 March 2022 The Rowlands Trust ERDF Catalysts Enterprises Grant Designated funds: Future Investment for Social Enterprises Premises Improvement Fund Restricted funds: MIND Charity (Say well programme) Freehold Property Eveson Charitable Trust Edward and Dorothy Cadbury Trust Prince's Charities Roger and Douglas Trust GJW Turner Trust GB & HH Taylor 1984 The Grimmitt Trust William A. Cadbury Trust Resonance Grant Radcliffe Trust Grant Warwick Masonic Trust Allison Hillman Charitable Trust Unrestricted funds: National Lottery Fund Football Foundation The Rowlands Trust Tangible Fixed Assets Funds	At 1 April 2021 £ 24,253 5,988 2,100 - - - - - - - - - - - - - - 852	Income £ - - - 10,000 1,992 2,000 3,000 3,000 3,000 1,000 2,000 5,000 1,000 2,000 9,448 1,000 1,000 15,000 34,000 -	Expenditure £ (1,034) (255) - (5,505) (1,992) - - - - - - - - - - (1,000) - - - (852)	Transfers £ - - - - - - - - - - - - - - - - - - -	At 31 March 2022 £ 23,219 5,733 2,100 4,495 - 2,000 3,000 3,000 3,000 1,000 2,000 5,000 1,000 2,000 9,448 - 1,000 15,000 34,000 -
	33,193	94,440	(10,638)	-	116,995
	197,375 10,000 10,000	- - -	(32,298) - -	738 - -	165,815 10,000 10,000
	217,375	-	(32,298)	738	185,815
	339,609	816,835	(991,399)	(738)	164,306
	556,984	816,835	(1,023,697)	-	350,121

	590,177	911,275	(1,034,335)	-	467,115

20a Purposes of restricted funds

Freehold Property: Funding received from The Big Lottery Fund for improvement to the reception area of the Digbeth premises. Depreciation will be charged to this fund.

ERDF Catalyst Enterprise Grant: This grant was matched funded and assisted us to fund capital items and some salary for Production Assembly Services social enterprise.

The Rowlands Trust: The funds were donated towards a new heating system for Better Assembly Services.

The Allison Hillman Charitable trust, The Rowlands trust, CB & HH Taylor 194, and Edward & Dorothy Cadbury Trust: These funds were donated towards a counselling service for service users in Beter Assembly Services.

William A. Cadbury Trust: The funds were donated towards a wellbeing cente for service users in Better Assembly Services.

The Grimmitt Trust and Eveson Charitable Trust: The funds were donated towards hiring a support coordinatior for the service users. The post was filled in August 2021.

The National Lottery Fund, Radcliffe Trust Grant and Roger & Douglas Trust: The funds were donated to fund a therapeutic carpentry programme at the Woodcraft Centre, located within better Assembly Services.

Prince's Charities: Money towards the costs of the therapeutic work and training programme in Better Assembly Services.

MIND Charity (Stay Well Programme): The funds were donated towards the stay well programme.

Resonance Grant: Money specifically for the business development of Express Signs.

The Foundation for Social Investment’s Enterprise Development Programme: The funds were towards the business development of Express Signs.

Birmingham City Council: This grant was towards the funding of Development Worker salary cost in Better Assembly Services.

Birmingham Industrial Therapy Association Limited

Notes to the financial statements

For the year ended 31 March 2023

20b Purpose of designated funds

Tangible Fixed Assets fund: This fund represents the net book value of fixed assets purchased through general funds. Depreciation will be charged against this fund.

Subsequent to the year end, Future Investment for Social Enterprise and Premises Improvement funds totalling £20k, have been reallocated to General fund.

21 Reconciliation of net income / (expenditure) to net cash flow from operating activities

Reconciliation of net income / (expenditure) to net cash flow from operating activities
Net income / (expenditure) for the reporting period (as per the statement of financial activities) Depreciation charges Bank interest Decrease in stocks Increase/(Decrease) in debtors Increase/(Decrease) in creditors - excluding bank loan Net cash provided by / (used in) operating activities	2023 £ (149,597) 21,809 (46) - 144,425 5,669	2022 £ (123,062) 33,588 (84) 753 (116,816) (58,714)
	22,259	(264,335)

22 Operating lease commitments

The charity's total future minimum lease payments under non-cancellable operating leases is as follows:

Less than one year One to five years	2023 2022 £ £ 11,069 8,977 21,498 5,961 32,566 14,938 Equipment	2023 2022 £ £ 11,069 8,977 21,498 5,961 32,566 14,938 Equipment
	32,566	14,938

23 Legal status of the charity

The charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1.

Birmingham Industrial Therapy Association Limited Operating as Better Pathways

Contents

Reference and administrative information

Our Aims

Our Values

Our services and support

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

Our Social Enterprises

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

Our Statutory sector services

For the year ended 31 March 2023

Other revenue generating activities

Who benefits from our services?

For the year ended 31 March 2023

How we help

Participant wellbeing survey

Feedback from the family of KS

Feedback from the family of A and H

Feedback from the family of D

Economic impact: the value of our social enterprise participant hours

The Year: 2022/2023

Plan Progress 2022/2023

For the year ended 31 March 2023

Financial results 2022/2023

Fundraising and Donations

Principal funding sources

Plans for 2023/2024

Principal risks and mitigations

Reserves policy and statement of going concern

Current Cash Position

General Reserves

Restricted Funds

Designated Funds

Accreditations

Structure, governance and management

Appointment of trustees

Trustee engagement

Annual Report of the Trustees and Chief Executive

For the year ended 31 March 2023

Related parties and relationships with other organisations

Remuneration policy for key management personnel

Policy for employment of disabled persons

Employee information

Funds held as custodian trustee on behalf of others

Statement of responsibilities of the trustees

Birmingham Industrial Therapy Association Limited

Opinion

Basis for opinion

Conclusions relating to going concern

Birmingham Industrial Therapy Association Limited

Other Information

Opinions on other matters prescribed by the Companies Act 2006

Matters on which we are required to report by exception

Responsibilities of trustees

Birmingham Industrial Therapy Association Limited

Auditor’s responsibilities for the audit of the financial statements

Capability of the audit in detecting irregularities

To the members of

Birmingham Industrial Therapy Association Limited

Use of our report

DATE: 12th January 2024

Birmingham Industrial Therapy Association Limited

Statement of financial activities (incorporating an income and expenditure account)

For the year ended 31 March 2023

Balance sheet

As at 31 March 2023

Statement of cash flows

For the year ended 31 March 2023

Notes to the financial statements

For the year ended 31 March 2023

i) Allocation of support costs

For the year ended 31 March 2023

1 Accounting policies (continued)

j) Operating leases

k) Tangible fixed assets

l) Stocks

m) Debtors