## HARINGEY LAW CENTRE
Registered Charity and Company Limited by Guarantee
## FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31[ST] MARCH 2023
Charity number: 274760 Company number: 1332867 (England and Wales)
1
## **HARINGEY LAW CENTRE YEAR ENDED 31[ST] MARCH 2023**
## **Registered Charity Number** : 274760 **Registered Company Number:** 1332867
## **Principal address:**
7 Holcombe Road Tottenham London, N17 9AA
## **Directors and Trustees:**
Olive Walter – Chair Mohammad Amirul Islam – Not a trustee from 17[th] November 2023 Patrick Passley Henry Egenti – Not a trustee from 19[th] August 2022 Valerie Williams Ruth Hayles
## **Governing document:**
The charity is operated under the rules of its Memorandum and Articles of Association.
## **Bankers:**
The Cooperative bank
## **Independent Examiner and Accountant:**
TACTS Accountant Chartered Certified Accountant 61 Fountains Crescent London, N14 6BD
2
## **HARINGEY LAW CENTRE**
## **FINANCIAL ACCOUNTS**
## **FOR YEAR ENDED 31[ST] MARCH 2023**
## **CONTENTS**
## **Pages**
- **4-7. Directors and Trustees Report**
**8. Independent Examiners Report**
**9. Statement of Financial Activities**
**10. Balance Sheet**
## **11-15. Notes to the Accounts**
3
## **HARINGEY LAW CENTRE TRUSTEE’S REPORT FOR THE YEAR ENDED 31 MARCH 2023**
The Trustees present their report and the financial statements for the year ended 31 March 2023.
The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015).
## **Principal activities and review of activities**
The Law Centre is a charity whose objects, as defined by the Memorandum of Association are:
- To provide, by employing solicitors and other staff, free legal advice and assistance to disadvantaged resident in the London Borough of Haringey and neighbouring Boroughs (hereinafter referred to as the “designated area”) but should the Law Centre so decide, priority in carrying out its objects may be given to that part of the designated area which is the parliamentary constituency of Tottenham. In furtherance of this object and as ancillary thereto the Law Centre may institute, conduct and defend any proceedings before any court, Commission, Tribunal or Inquiry.
- To undertake or co-operate in the education of residents of the designated area in the law and its operation.
- To undertake research into the special problems causing and arising from the poverty and lack of education of the inhabitants of the designated area to promote encourage and assist like organisations and institutions to undertake such research.
## **Activities**
The principal activity of the Charity continues to be the provision of legal advice, assistance and representations to persons who are resident or working within Greater London with priority given to those who live or work or have a connection with the London Borough of Haringey and the adjoining boroughs.
## **Review of activities**
The Law Centre provides advice, assistance and representation in the following areas of social welfare law: housing, debt, employment, welfare benefits, immigration and general litigation. The organisation also holds the Legal Aid Agency Specialist Quality Mark in the area of housing/debt advice and therefore provides advice, assistance and representation in this area of law. In order to ensure that all people are aware of their legal rights, the Law Centre also provides legal training and support to local community groups as well as taster and volunteering opportunities for aspiring lawyers from the community. We offer advice, assistance and representations in courts and tribunals when required in funded areas of our work.
## **Achievements and Performance during the year**
The Law Centre provided legal advice, assistance and representations to over 5,500 clients during the year. In addition, basic advice was provided in a number of new areas e.g., housing disrepair. We were funded by Reaching Community Lottery, London Borough of Haringey, Trust for London, Access to Justice, City bridge, LLST, ABC Trust and City of London Solicitors, to deliver on the above activities during this year. HLC continues to deliver the Legal Aid Agency awarded contract in Legal Aid contract in Housing Law category.
4
## **Financial review**
Main funding sources are from grants, donations and legal services.
This year has continued to be challenging for the Law Centre particularly in combatting hybrid work delivery in response to the post pandemic and its aftermath impacting rising costs, huge rent and council arrears. The Trustees were able to find innovative ways of increasing the Centre’s human resource capacity through working with and recruiting qualified lawyers and some professionals willing to work on a pro bono basis when necessary to continue to provide housing, immigration, employment and debt support for the area. Although, the existing and new volunteers of the Centre continue to be an invaluable source to the work of the Centre to date and the Trustees remain grateful for their support, it is to be noted that there were 6 volunteers for this reporting period.
## **Reserves Policy and Going Concern**
The Trustees have considered the following factors when considering a reserves policy:
- The organisation’s contractual obligations to its staff in terms of parental rights, sickness pay and redundancy provisions.
- the organisation’s obligation to maintain a safe and clean working environment
- that certain equipment is essential for our work
- That an increasing proportion of the organisation’s income is now derived from funds received. This increases the need to be able to employ locum to cover staff absences caused by sickness and other leave.
The Board has assessed the charity’s requirements for reserves in the light of the main risks to the organisation. As a result, the Board has approved a policy whereby the unrestricted funds not committed, should be held in reserve and maintained at a level which ensures that HLC’s core activity could continue during a period of unforeseen difficulty. The target reserve amount represents at least 6 months’ (26 weeks) expenditure and will be reviewed annually.
## **Recruitment and Training of Trustees**
The Centre is committed to ensuring that its membership reflects the diversity of the population it serves in the area of Haringey and surrounding boroughs. To achieve this, we undertake annual skills audits of Trustees to ensure that we maintain a balance of developmental, financial, legal and management skills across the Board of Trustees to enable it to discharge its duties.
## **Company and Charity Status**
The Company was incorporated on 6[th] October 1977 under the Companies Act 1948 to 1976. The restrictions imposed on the Charity are set out in the Company’s Memorandum of Association. The Company is limited by guarantee and registered at Companies House under the number 01332867. The Company is registered as a Charity under the number 274760. In addition, The Guidance for companies and charities during the pandemic – Update March (COVID-19) applies for accounts ending 31[st] March 2022.
## **Structure, Governance and Management**
The Law Centre is a registered charity and a company limited by guarantee. It is governed by a Memorandum and Articles of Association which were last amended on 30[th] April 2007. It is controlled by a voluntary Board of Trustees which has corporate and legal responsibility for all activities and functions of the organization. The Trustees discharge their functions through the following mechanisms: board meetings take place on a bi-monthly basis, agreeing annual/revised budget, carrying annual staff and trustee review, and holding AGM annually.
5
Appointment of Trustees is by election by the membership of the people who live or work in Haringey and Enfield.
The Trustees have an overall responsibility of ensuring that the charity has an appropriate system of controls, financial and otherwise. The system of internal controls is designed to provide reasonable but not absolute assurance against material misstatement or loss. They include:
- a strategic plan and an annual budget approved by the Trustees
- Regular consideration by the Trustees of financial information, variance from budgets and non-financial performance indicators.
- delegation of authority and segregation of duties
- Identification and management of risks.
## **Risk Management**
The Trustees continue to appraise the management risk facing the organisation. This involves identifying the types of risk the charity faces, prioritising them in terms of potential impact and likelihood of occurrence, and identifying ways of mitigating the risks. As part of this process, the Trustees have reviewed the adequacy of the Centre’s current internal controls. The Trustees are pleased to report that the Centre’s internal financial controls, in particular, conform to guidelines issued by the Charities Commission.
In light of the COVID-19 Pandemic, HLC’s emergency business response was activated which mitigated for associated risks and amend accordingly the previous reporting period which falls in the early stage of the pandemic. It is to be noted that the trickling effects of the pandemic has led to the cost-of-living crisis which is impacting service need. However, the business resilience continues to responsive and strong to ensure business resilience and sustainability.
## **Statement of Trustees’ responsibilities**
The Trustees are responsible for preparing the annual report and the financial statements in accordance with applicable law and the 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 company and of the surplus or deficit of the company for that period. In preparing those financial statements, the Trustees are required to:
- select suitable accounting policies and then apply them consistently;
- make judgements and estimates that are reasonable and prudent;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
- So far as each of the members of the Trustees are aware at the time the report is approved:
- there is no relevant audit information of which the company’s auditors are unaware, and
- 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 auditors are aware of that information.
6
## **Our volunteers**
HLC provide volunteering opportunities to students from minoritized background who are pursuing legal careers. This reporting period 6 volunteers assisted with our on-going activities. We, however continue to wish and to thank our volunteers for their loyal support and contribution.
## **Statement of public benefit**
In line with the requirement of the Charities Commission under the Charities Act 2011 for Charities to demonstrate that their aims are for the public benefit, the Trustees of HLC are confident that their aims and objectives meet the requirements of the public benefit.
## **Independent Examiner**
The Management committee will seek the re-appointment of an external and reputable Accountant to act as independent examiner for the next year’s financial account.
## **Small Company Provisions**
This report has been prepared in accordance with the provisions applicable to companies’ subject to the small companies’ regime.
## **Related parties and co-operation with other organisations**
None of our trustees receive remuneration or other benefit from their work with the charity. Except for the Administrator who has the dual role of an employee as well as functions as a trustee (unpaid) (executes the administrative function for the Board) – in accordance to Charity’s Guidance, the matter adopted the Guidance as outlined, discussed and agreed by the full Board of Trustees. Any connection between a trustee and senior manager of the charity with its members must be disclosed to the full board of trustees in the same way as any other contractual relationship with a related party.
This report was approved by the Trustees on 21[st] December 2023 and signed on its behalf by:
**......................................................................** Mrs Olive Walter (Chairperson)
7
## **Independent examiner’s report to the trustees of Haringey Law Centre**
I report on the accounts of the charity for the year ended 31[st] March 2023, which are set out on pages 9 to 15.
## **Respective responsibilities of trustees and examiner**
The trustees (who are also the directors of the company for the purposes of company law) are responsible for the preparation of the accounts. The charity’s trustees consider that an audit is not required for this year under section 144 of the Charities Act 2011 (the Charities Act) and that an independent examination is needed. I am qualified to undertake the examination by being a qualified member of the Association of Chartered Certified Accountants.
It is my responsibility to:
- examine the accounts under section 145 of the Charities Act,
- to follow the procedures laid down in the general Directions given by the Charity Commission (under section 145(5)(b) of the Charities Act, and
- to state whether particular matters have come to my attention.
## **Basis of independent examiner’s statement**
My examination was carried out in accordance with general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a ‘true and fair’ view and the report is limited to those matters set out in the statement below.
## **Independent examiner's statement**
In connection with my examination, no matter has come to my attention (other than that disclosed below *) to indicate that:
- accounting records have not been kept in accordance with section 386 of the
- Companies Act 2006;
- the accounts do not accord with such records:
- where accounts are prepared on an accruals basis, whether they fail to comply with relevant accounting requirements under section 396 of the Companies Act 2006, or are not consistent with the Charities SORP (FRS102)
- any matter which the examiner believes should be drawn to the attention of the reader to gain a proper understanding of the accounts.
## Chartered Certified Accountant
TACTS ACCOUNTANT, 61 Fountains Crescent, London, N14 6BD
8
## **HARINGEY LAW CENTRE STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR END 31 MARCH 2023**
|**INCOMING RESOURCES:- **
**Donations:**
Blyth Watson Charitable Trusts
BD Pitman
Indigo Trusts
Joseph & Lilian Sully Foundation
City of London Sollicitors
Other donations
London Borough of Haringey
AB Charitable Trust
Broadwater Community
**Incoming resources from charitable**
**activities**
Grants
**Investment income:**Bank Interest
**Other Income:**Legal services
**TOTAL INCOMING RESOURCES**
**RESOUCES EXPENDED**
Expenses in charitable activities
**TOTAL RESOUCES EXPENDED**
Net Incomings & (outgoings)resources
**Balances Brought Forward**
**Balances Carried Forward 31st Mar 2023**|**Notes**
(18)
(18)
(19)
(14)||**Unrestricted**
**Funds**
**£**
3,000
5,000
3,000
10,000
4,167
500
-
15,000
-
-
103
191,865
**232,635**
231,199
**231,199**|**Unrestricted**
**Funds**
**£**
3,000
5,000
3,000
10,000
4,167
500
-
15,000
-
-
103
191,865
**232,635**
231,199
**231,199**||**Restricted**
**Funds**
**£**
-
-
-
-
5,000
-
38,000
-
-
215,317
-
-
**258,317**
285,737
**285,737 **|**Restricted**
**Funds**
**£**
-
-
-
-
5,000
-
38,000
-
-
215,317
-
-
**258,317**
285,737
**285,737 **|**Total**
**Total**
**Funds**
**Funds**
**2023**
**2022**
**£**
**£**
**3,000**
3,000
**5,000**
8,000
**3,000**
2,000
**10,000**
10,000
**9,167**
**-**
**500**
1,256
**38,000**
20,000
**15,000**
**-**
-
10,000
**215,317**
153,125
**103**
299
**191,865**
131,685|
|---|---|---|---|---|---|---|---|---|
||||||||||
|||||||||**490,952 **
**339,365**|
|||||||||**516,936**
338,789|
|||||||||**516,936**
**338,789**|
||||||||||
|||||**1,436**|||**(27,420)**|**(25,984)**
**576**|
|||||**69,929**|||**27,420**||
|||||||||**97,350**
**96,774**|
||||||||||
|||||**71,366**|||**-**|**71,366**
**97,350**|
There were no recognized gains or losses for the above period other than those shown in the statement of financial activities for the above financial year. All incoming resources and resources expended are derived from continuing activities.
## _**(The notes form part of the financial statements)**_
9
|**HARINGEY LAW CENTRE**|**HARINGEY LAW CENTRE**|||
|---|---|---|---|
|**BALANCE SHEET AS AT 31 MARCH 2023**||||
|Notes
**Fixed Assets**
Tangible assets
(11)
**Current Assets:**
Debtors - Work in Progress
(12)
Cash at Bank
**Current Liabilities:**
**Creditors:**
Amount falling due within one year:
Accruals and creditors
(13)
**Net Assets**
**As Represented By:**
Designated Fund
(17)
Unrestricted Fund
Restricted Fund
(16)
**Total Funds**|**FUND**
**2023**
**£**
47
37,767
35,102
1,550
**71,366**
50,000
21,366
-
**71,366**|**FUND**
**2022**
**£**
3,460
5,000
91,913
3,023||
||||**97,350**|
||||50,000
19,929
27,421|
||||**97,350**|
The directors are satisfied that the company is entitled to exemption from the provisions of the Companies Act 2006 (the Act) relating to the audit of the financial statements for the year by virtue of section 477, and that no member or members have requested an audit pursuant to section 476 of the Act.
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.
This report has been prepared in accordance with the provisions applicable to companies’ subject to the small companies’ regime.
The accounts were approved by the Directors on 21[st] December 2023 and signed on their behalf by: -
………………………......
Director and Chair Mrs O Walter
10
## **HARINGEY LAW CENTRE NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31[ST] MARCH 2023**
## **1. Accounting basis.**
The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:
## **a) 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) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. HLC meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognized at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).
## **b) Preparation of the accounts on a going concern basis**
The Charity trustees are of the view that measures taken subsequent to the year-end to reduce operating costs and successful in applying for continuation funding have secured the immediate future of the Charity for the next 12 to 18 months and that on this basis the charity is a going concern.
## **2. Cash Flow Statement**
The trustees have taken advantage of the exemption in Financial Reporting Standard No 1 (revised) from including a cash flow statement in the financial statements on the grounds that the charity is small.
## **3. Incoming Resources**
Income is recognized in the period to which it relates, unless specified otherwise by the funder. Project funding is, in general, repayable if not expended within the relevant project. Such income is only recognized to the extent that it ceases to be repayable. The income is accounted for on a receivable basis.
## **4. Resource Expended**
Resources expended are included in the Statement of Financial Activities inclusive of VAT which cannot be recovered. Direct charitable expenditure includes the direct costs of the activities. Where such costs relate to more than one functional cost category, they have been apportioned in line with the direct costs of the relevant service.
## **5. Taxation**
Haringey Law Centre is a registered charity and is not liable for corporation tax on its income under section 505 of the Income and Corporation Taxes Act 1988 to the extent that it is applied to its charitable activities.
## **6. Tangible fixed assets**
Fixed assets are stated at cost less accumulated depreciation.
Depreciation is provided to write off the cost, of all fixed assets over their expected useful life as follows: -
Fixtures and Fittings - 25% – Reducing balance Computer Equipment and Machinery - 33.33% – Straight line.
11
## **7. Staff Costs**
Salary Costs
|**2023**
**£**
**264,041**|**2022**
**£**|
|---|---|
||165,696|
The number of staff were 11 and none of the employees’ received emoluments in excess of £60,000 in the year or the previous year.
2 self-employed workers supported the charity in this financial year.
A trustee was remunerated in this financial year. This trustee was not paid to act as trustee for HLC. (This appointment had the board approval and until further review).
## **8. Related party Transactions**
There were no other related party transactions in this financial year.
## **9. Operating Leases**
Rentals applicable to operating leases where substantially all the benefits and risks of ownership remain with the lessor are charged to the statement of financial activities as incurred.
|incurred.|||
|---|---|---|
||**2023**|**2022**|
||**£**|**£**|
|Expiring: Within one year|1,440|1,440|
|Expiring: Within two to five years|15,000|15,000|
## **10. Stock and Work in progress**
Work in progress is valued at the lower of cost and net realisable value.
## **11. Tangible Assets**
|**Cost**
Brought forward
Addition 2020/2021
Carried Forward
**Depreciation**
Brought forward
Charge for the year
Carried Forward
**Net Book Value**
At March 2023
At March 2022|Fixtures &
Fittings
3,952
-
3,952
3,889
16
3,905
47
64|Office
Equipment
15,162
9,620
24,782
21,386
3,396
24,782
-
3,396|**Total**|
|---|---|---|---|
||||**19,114**
-|
||||**28,734 **|
||||**25,275**
**3,412**|
||||**28,687 **|
||||**47**|
||||**3,460**|
12
## **12. Debtors**
|**12. Debtors**||
|---|---|
|Clients Work in progress|**2023**
**2022**
**£**
**£**
37,767
5,000|
||37,767
5,000|
## **13. Creditors**
|**13. Creditors**||
|---|---|
|Independent Examination
Other Creditors|**2023**
**2022**
**£**
**£**
1,550
1,550
-
1,473|
||1,550
3,023|
## **14. Charitable Expenditure**
|**Charitable Expenses**
Wages
Sessional Worker
Publicity and Adverts
Staff Expenses
Governance
Training and Conference
IT and Web Expenses
Photocopying and Printing
Membership and Subscription
Professional and Consultancy fees
Payroll administration
Insurance
Premises Cost
Bank Charges
Depreciation
Office and administration cost
Direct legal services||**Unrestricted**
**Funds**
£
53,901
-
-
-
314
-
-
3,104
-
9,678
424
403
29,278
302
3,412
2,079
128,304
231,199|**Restricted**
**Funds**
£
210,140
8,461
407
1,846
-
60
7,517
2,071
3,395
28,622
176
404
19,520
-
-
3,119
-
285,737|**2023**
2022
**Funds**
Funds
**£**
£
**264,041**
165,696
**8,461**
12,272
**407**
282
**1,846**
-
**314**
638
**60**
550
**7,517**
8,880
**5,175**
761
**3,395**
2,079
**38,300**
24,550
**600**
300
**807**
581
**48,798**
10,359
**302**
138
**3,412**
3,229
**5,198**
2,855
**128,304**
105,618|
|---|---|---|---|---|
||||||
|||||**516,936**
338,789|
13
## **15. Support Cost and Governance**
Allocation of support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back-office costs, finance, personnel, and governance costs which support the Charity activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities. The bases on which support costs have been allocated are set out below.
|IT and Web Expenses
Photocopying and Printing
Membership and Subscription
Governance
Insurance
Premises Cost
Bank Charges
Depreciation
Office and administration cost|**General Support**
**£**
8,880
761
-
-
-
10,359
-
3,229
2,855
26,084|**Governance**
**£**
-
-
2,079
638
581
-
138
-
-
3,437|**Total**
**£**
**8,880**
**761**
**2,079**
**638**
**581**
**10,359**
**138**
**3,229**
**2,855**|
|---|---|---|---|
||||**29,521**|
## **16. Restricted Fund Analysis**
|Big Lottery Fund
London Borough of
Haringey
Trust For London
City of London solicitors
LLST-LCN
Access to Justice
City Bridge Foundation|**Balance at**
**1st April**
**2022**
**Incoming**
**resources**
**Outgoing**
**resources**
**Balance at**
**31st March**
**2023**
**£**
**£**
**£**
**£**
**-**
121,202
121,202
**-**
-
38,000
38,000
**-**
24,963
25,500
50,463
**-**
2,458
5,000
7,458
**-**
-
9,500
9,500
**-**
-
14,672
14,672
**-**
-
44,443
44,443
**-**|
|---|---|
||**27,421**
**258,317**
**285,737**
**-**|
## **17. Designated Fund**
The purpose of the Designated Fund of £50,000 is to cover organisation contingencies, IT Systems Upgrade and Strategic Planning to develop future plans and strategies for HLC.
14
## **18. Restricted Funds receivable**
|**Funds**
**Purpose of Funds**
City of London Sollicitors
Housing, debt and welfare advice
London Borough of Haringey
Housing, debt and welfare advice
LLST-LCN
Welfare housing benefit advice
Access to Justice
Cost of living support
Big Lottery Funds
Immigration, Housing & Debt advice
City Bridge Foundation
Emergency Legal Services
Trust For London
Welfare benefit advice
**Total Restricted Funds**|**Grants,**
**£**
5,000
38,000
9,500
14,672
121,202
44,443
25,500|
|---|---|
||**258,317**|
## **19. Grants details breakdown**
|**Funds**
**Purpose of Funds**
LLST-LCN
Welfare housing benefit advice
Access to Justice
Cost of living support
Big Lottery Funds
Immigration, Housing & Debt advice
City Bridge Foundation
Emergency Legal Services
Trust For London
Welfare benefit advice
**Total Grants**|**Grants,**
**£**
9,500
14,672
121,202
44,443
25,500|
|---|---|
||**215,317**|
15