**X**
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## X. Hyde Charitable Trust **Annual report 2022/23**
**Hyde Charitable Trust (a company limited by guarantee)**
**Report and Financial Statements for the year ended 31 March 2023**
**Company registration no. 1803707 | Charity registration no. 289888**
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## **Contents**
About us .............................................................................................................................................................3 Introduction from the Chair of the Board of Trustees ......................................................................................4 2022/23 highlights .............................................................................................................................................5 Where our funding goes ....................................................................................................................................6 Preventing homelessness .................................................................................................................................7 Supporting aspirations, choice and employability ...........................................................................................9 Connecting communities ................................................................................................................................10 Our grant-giving model ....................................................................................................................................13 Our Trustees .....................................................................................................................................................17 Looking forward to 2023/24 ...........................................................................................................................18 Financial review ................................................................................................................................................19 Governance ......................................................................................................................................................23 Risk management ............................................................................................................................................24 Statement of trustees’ responsibilities ...........................................................................................................29 Board and advisers .........................................................................................................................................30 Independent auditors’ report to the members of Hyde Charitable Trust .....................................................31 Statement of financial activities .....................................................................................................................34 Balance sheet ...................................................................................................................................................35 Notes to the financial statements ...................................................................................................................37
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## **About us**
The Hyde Charitable Trust (the “Charity”, the “Trust”) focuses its resources on benefiting the residents and communities of the Hyde Group, which is a major housing association based in England. The Charity’s grant-making activities support the aims and objectives of the Hyde Group’s dedicated Communities and Social Impact team, by supporting its Advice and Advocacy, and Communities programmes. The Charity provides individual grants to support residents in crisis and partners with community organisations, funding them to deliver essential services in Hyde communities.
- Our grant giving is aligned to our strategic aims: • Preventing homelessness
- Supporting aspirations, choice and employability • Connecting communities.
**The Hyde Charitable Trust is an independent charity and company limited by guarantee, funded primarily by an investment fund, with some additional fundraising.**
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## **Introduction from the Chair of the Board of Trustees**
The Hyde Charitable Trust had a fantastic 2022/23. We continued to maintain our grant giving and charitable expenditure at £1m over the year, and have awarded a wider array of grants than ever before.
We’re also in an exciting period of change when it comes to the HCT team. This year two new team members joined us in August: our new Grants and Operations Manager and our first ever Fundraising Manager (see page 13). Looking forward to 2023/24, we’re going to be recruiting several new Trustees, and, sadly, saying goodbye to some of our long-standing Trustee colleagues.
Our success in launching our response to the cost-of-living crisis with the Booster fund (see page 11) demonstrated our ability to respond quickly to meet the needs of our grantees, turning around a new fund and awarding £217k in grants in just three months.
We also launched our Hardship fund and our Energy fund to support Hyde residents impacted by the cost-of-living increases, which are seeing more people than ever fall into poverty, and poverty levels worsen for those already in financial hardship. We also launched our Growth fund for our community partners, recognising the fantastic work they’re doing by helping them to grow and develop new areas of work.
We’re going to be a very different HCT team by the end of 2023/24, and we also recognise we have some work to do, to make sure we’re a diverse leadership and operational team. This isn’t a challenge we take lightly, and I look forward to working with everyone to drive that change.
I’m excited by the work we’re doing to develop our own grantmaking practices, and incredibly proud that, this year, we signed up to the Institute of Voluntary Action Research’s **open and trusting** practices, making a commitment to be a flexible funder who aims to make life easier for those we fund. This isn’t often an area that gets the most focus, but it’s an important aspect of our work and we’ll continue to share our progress.
## **Katherine Rodgers**
Chair, Hyde Charitable Trust Board of Trustees
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## **2022/23 Highlights**
**8,878 2,367 393** people engaged and people experiencing food households supported supported across all funded insecurity helped by our with food vouchers community partners community partners totalling **£4,480 1,114 2,033 37** people engaged in people engaged in employment domestic abuse grants wellbeing activities and training support totalling **£22,000 1,332 555 257** young people engaged older people white goods/home in support activities supported appliances provided
**37** domestic abuse grants totalling **£22,000**
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## **Where our funding goes**
## **Our grants by location**
**----- Start of picture text -----**
£89k
Other/covers
all regions
£32k
East
£97k
N. London
£272k
£63k S. London
South East
£54k
Kent
£892k
£118k
£167k Grand Total
Brighton
Chichester
(in and around)
(in and around)
These figures are based on grants awarded to community partners and individuals across the different funds.
**----- End of picture text -----**
**£438k £433k** awarded directly awarded to to Hyde residents community partners
**SEVEN** new posts in Hyde’s Communities & Social Impact team supported
**£64k** awarded for innovation grants
**£0.5m** raised by community partners with our support
Source: Office for National Statistics licensed under the Open Government Licence v.3.0 Contains OS data © Crown copyright and database right 2018
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## **Preventing homelessness**
Our Successful Tenancies fund continues to support Hyde residents in crisis and at risk of losing their home. These grants provide a wide range of help, from white goods and furniture to food vouchers, and help to improve people’s financial security in the long-term, so they can pay their rent and bills, and stay in their homes.
Additionally, our Domestic Abuse fund supports those in financial difficulty through domestic abuse, and, this year, we launched our Energy fund and Hardship fund, both of which allow us to reach many more residents at risk of hardship as the cost-of-living continues to rise.
In 2022-23 we awarded 858 grants to Hyde residents in financial crisis or difficulty. The table below is a breakdown of all the items/ support that was given through these awards (1,023 in total: some grants awarded multiple items/services):
**----- Start of picture text -----**
Category Number of items awarded*
Vouchers (food/shopping) 492
Cooking (hob, microwave, oven) 104
Refrigeration (fridge, freezer) 78
Laundry (washing machine, dryer) 75
Energy vouchers 64
Furniture (chair, sofa, table, wardrobe) 43
Flooring 41
Sleeping (bed, mattress) 40
Dining (cutlery, dinner sets) 14
Clearance (cleaning, hoarding, skip) 13
Electronics and small appliances 13
Storage/moving costs 13
Home safety and security 11
Other 22
Total 1,023
**----- End of picture text -----**
*Includes items awarded through the Successful Tenancies, Domestic Abuse, Energy and Hardship funds
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## **Preventing homelessness - early intervention**
We supported Hyde to set up a dedicated Early Intervention team, which works with residents to resolve financial worries and to access the right services at the earliest opportunity. The team went live in October 2022. We contributed 50% of the salary costs, £53,000, from our designated funds in 2022/23.
## **Early Intervention team achievements:**
- More than 970 residents engaged
- 697 outcomes recorded.
## **Support included:**
- Helping residents make the shift to digital by managing their Hyde account online, using ‘MyAccount’
- Help with repairs issues
- Budgeting
- Benefits checks to maximise income.
## **Helping Angela to start a new life**
Early Intervention officer Kash supported Angela* who had moved into a new home with her three young children, after fleeing domestic abuse. Angela had left many of her belongings behind and she needed help to set up her new home. Kash worked with Angela to review her income, outgoings and debts, and explored ways to save money. Kash also applied for a Successful Tenancies grant for household items and gave Angela useful links for the future.
“Thank you Kash, I just wanted to say we also received our new cooker and washing machine today. I’ve cooked a lovely chicken curry for dinner tonight and done my first wash in the machine. It feels like heaven! Thank you, you’ve been amazing.”
*Name changed
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## **Supporting aspirations, choice and employability**
We work with partners providing local services that support and empower Hyde residents to create successful and resilient lives for themselves and their community. Working with Hyde’s Communities Team, we make grants to organisations delivering at a grass-roots level, addressing the needs in Hyde’s communities.
## **Code 7 – Family intervention service**
## **Growth fund - £24,000**
Code 7 works with excluded communities in Lambeth, with a focus on public health, curbing violence and creating positive opportunities for self development, education or employment. This three-year project will identify and work with young people and their families who have welfare, parenting, economic or health support needs, and help them to develop the motivation, resources and skills required to manage their personal wellbeing as the cost-ofliving continues to rise. Each family will be given a development and support package identifying their priority needs, and will be given access to a range of Code 7 projects and other specialists’ voluntary and statutory support services. The project aims to:
- Increase the available income, and reduce the debt of, seven families
- Give eight families control over their lives and make them confident about the future
- Improve the school attendance and educational attainment of seven young people
- Give two young people paid work experience at Code 7.
## **Where preventing homelessness and supporting aspirations meet**
Jay* was made homeless because of domestic abuse. Forced to leave her home town, she moved to a new area with no friends or family, and had to sleep in her car. Having been offered a job, she approached Hyde for an intermediate rent property. But because she didn’t have an address, her employer couldn’t give her a contract and because she didn’t have a job, she couldn’t pay the deposit for her new home.
Hyde supported Jay in making an application to our Domestic Abuse Fund and she was awarded a grant for the full amount she needed to secure her tenancy and get a job. We also referred her to the local social prescribing project, part-funded by our Communities grant, which helped her register with a GP and get specialist support for domestic violence-related mental health issues.
*Name changed
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## **Connecting communities**
We work with partners that address local issues, meet gaps in provision, increase social connection and give a voice to the community, helping to make sure Hyde communities are places residents can be proud of and where they want to live. Working with the Hyde Communities Team, we make grants to community organisations delivering directly to Hyde communities. This year we also developed micro-philanthropy projects, bringing Hyde colleagues and service providers together to support Hyde’s residents and communities.
## **Petworth Community Garden CIC:**
## **Petworth Community Garden Hub**
## **Communities fund - £11,673**
Petworth Community Garden CIC delivers a range of therapeutic horticultural and wellbeing projects at its community garden and kitchen space. This one-year project aims to increase support for local people by creating a ‘safety net’ for those who need it, by increasing wellbeing, reducing isolation, providing skills and training (growing and cooking food, rural crafts and sustainable horticulture), reducing food poverty and signposting people to other support services. Each week the project delivers:
- Open-access outdoor gardening sessions to help reduce food poverty and promote healthy eating
- Sessions for isolated and older men, creating sustainable and environmentally-friendly rural crafts with mental health support
- Quieter sessions for a smaller group of low-income isolated individuals, including those with mental health support needs.
## **Micro-philanthropy campaign: ‘What a pile of pants’**
This year we piloted new ways of connecting our Hyde colleagues with our community partners. These microphilanthropy campaigns can offer quick solutions to urgent needs, and we’re exploring how we can invite other partners to get involved in the future.
For example, colleagues collected 600 pairs of new underwear for Chichester foodbanks. Campaigns like this are vital in providing people with dignity and confidence and can make all the difference to a child at school who feels able to change for sport in front of their classmates, or to those fleeing domestic abuse.
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## **Connecting communities**
## **Our Booster fund: Responding to the cost-of-living increases**
The cost-of-living crisis means people often don’t have enough money for the basics and having to make choices between whether to heat their homes or put food on the table. The charity and third sector have also been hit by rising utility bills, the need to provide their staff with cost-of-living pay increases, and increased demand for their services. Many organisations are being left with a significant deficit and are having to take difficult decisions.
Our Booster fund was launched towards to the end of 2022. It provides top-up grants to partners delivering in Hyde communities, to cover rising costs not previously budgeted for. Organisations can also apply for additional funding to cover new issues they, or their beneficiaries, are experiencing due to the rising cost of living. We awarded £217,000 to 29 partners through the Booster fund and have increased grant limits for 2023/24, to cover further cost increases..
|**Booster fund aims**|**Number of partners**
**who used their grant to**
**address these issues**|
|---|---|
|Help organisations better respond to beneficiaries’
needs and increase provision over the coming months|Engage with more beneficiaries
**19**|
||Deliver more sessions
**19**|
||Keep centres open longer for beneficiaries
**10**|
||Active outreach with an on-the-ground presence
**16**|
|Support organisations with rising costs|Energy and utility bills
**17**|
||Delivery
**20**|
||Staff costs
**19**|
|Support the organisation’s staff and volunteers|Emotional support and wellbeing
**13**|
||Investing in training and upskilling
**9**|
|Time to reflect, think and imagine|Adapting existing activity
**14**|
||Developing plans for the future
**1**|
“Thank you so much for your support and trust in allowing us to pilot new activities and for giving us more capacity for face-to-face time with our young people. We are exceptionally proud to be supported by Hyde and are always grateful for transparent and easy application processes.” **The Boury Academy**
“The flexibility of this fund was incredibly helpful to us and much appreciated.”
## **Henry Fawcett Primary**
“This funding allowed us to deliver a six-month pilot programme to focus on an area of provision we’ve been keen to concentrate on. The overall success of the programme and the feedback we received from participants means we will seek further funding to allow us to expand [the programme].” **The Jason Roberts Foundation**
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## **Our Business Development fund**
Our Business Development fund cuts across our strategic objectives and is used to provide grants for research, pilot projects and development.
This year, we did some great partnership work with Hyde’s Social Value team, which works with Hyde’s supply chain to secure contributions that support Hyde residents and communities, over and above the goods and services they’re contracted to provide.
## **Match My Project**
This year, we awarded a £20,400 business development grant to extend the Match My Project platform – a virtual meeting point giving community organisations and Hyde residents the chance to find and receive help with their projects and look for jobs and training offered by Hyde’s supply chain partners.
## **Social Value Officer**
This year we also awarded a business development grant to joint fund a two-year pilot for a new Social Value Officer post within the Hyde Communities and Social Impact team. The aims of the pilot were to:
- Create an employment opportunity for a job seeker living in a Hyde community, with training and support
- To increase the number of suppliers engaged in social value commitment and delivery
- To increase the value of social value commitments and delivery.
- A Social Value Officer was recruited from a key London borough where Hyde is one of the main providers of social housing, at the beginning of 2023/34.
- They’ve played a vital role in the implementation of the Match My Project platform; enabled the team to engage with more suppliers and better track and monitor their commitments. They’ve also contributed to a £400k increase on the social value generated, compared to the previous year.
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## **Fundraising - generating income to increase our impact**
This year we employed our first ever fundraiser. Our grant giving has risen to over £1m annually and for us to keep growing and keep supporting more Hyde residents and communities we need to grow our income.
In 2020 we were able to set aside £5m in designated reserves which has meant we can increase our grant giving to more than £1m annually. We now need to prepare for when our designated reserves are spent so we can maintain our grant giving levels.
In 2021-22 we developed our first fundraising strategy and this year we employed our first-ever Fundraising Manager, Nimi Shephard-Patel. Nimi’s priorities are to develop corporate partnerships and seeking new opportunities to deliver micro-philanthropy. She will also be exploring fundraising opportunities offered by the celebration of HCT’s 40[th] anniversary in 2024.
Our fundraising strategy has four themes:
- **Community fundraising:** We want to ensure our key community partners can access the funds and resources they need, and work with them to develop their own fundraising work, providing additional capacity and supporting them to access additional funds.
- **Collaborative partnerships:** We’re in the early stages of finding the right partnerships with corporate and ‘major’ donors, as well as Hyde’s partners, to bring more resources to Hyde’s residents and communities.
- **Colleague engagement:** We’ve been working with Hyde colleagues to raise money for projects, with events like the Santa in the City Run and the London to Brighton 100km event. Colleagues have also donated money and items to various campaigns in Hyde’s communities.
- **Traditional fundraising:** We set up a new donation platform to support much of our fundraising work .
- and look for funding from trusts, foundations and statutory funders that align with our mission
Hyde colleagues taking part in the ‘Santa in the City 2022’ festive fun run to raise funds for HCT
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## **Our grant-giving model**
## **Our aims and objectives**
At HCT we invest our funds and use the income to further our charitable objects, which are ‘the prevention or relief of poverty or financial hardship’. We direct this income towards improving the quality of life, and life chances of, residents who are experiencing, or at risk of experiencing, social and economic exclusion.
## **Our partnership with Hyde**
As a member of the Hyde Group, we’re committed to making sure our aims and objectives compliment the Group’s strategic objectives. Hyde’s vision is ‘a great home for everyone’ and Hyde’s broader charitable and community aims are achieved by Hyde Foundation, the Group’s Communities and Social Impact team.
As a Board of Trustees, we’ve decided we can best support the Hyde vision and achieve our own aims and objectives by developing shared strategic objectives with the Communities and Social Impact team. These are:
- Preventing homelessness
- Supporting aspirations, choice and employability
- Connecting communities.
And by working with the following target groups:
- Children and young people
- Working age adults
- Older people.
We’ve given the Communities and Social Impact team delegated authority to administer our grants. This generates cost savings to the Charity, as the team already has the mechanisms in place to engage with, and directly support, Hyde residents and communities. It also means there aren’t additional steps and processes for our target beneficiaries to access our grants. For organisations and residents working with the team, it’s a ‘one-stop-shop’ for both their services and our grants.
## **How we spend our funds**
Most of our annual expenditure is awarded as grants (see below), but as we’ve developed plans to spend our designated funds, we also have expenditure focused on charitable activity or enabling us to deliver more in the future, that’s not awarded through our grants programme.
In 2022/23 we had the following additional expenditure:
**----- Start of picture text -----**
We agreed to fund 50% of the costs of the new
Early intervention team Early intervention team in the Hyde Communities £53,000
and Social Impact team
We agreed to release funds for this new post to
Fundraising manager £34,900
develop our fundraising work
Fundraising costs Expenditure to support our fundraising activities £2,000
**----- End of picture text -----**
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## **Our grant-giving model**
## **Grant-giving in 2022/23 and key performance indicators**
We achieve our aims and support our strategic objectives through our grant giving programme. We have several funds and provide grants to community partners (usually charities and community organisations) and individual awards (directly to Hyde residents) that alleviate poverty and hardship; increase their skills, aspirations and access to employment; promotes community cohesion and social connection. We set target expenditure for each fund for the year, but we monitor demand and expect some variance against the target during the year. We manage these variances within the total annual budget.
We use key outcomes and indicators to measure our success in the reporting year. The following tables show the grant funds we gave in 2022/23.
## **Individual grants to Hyde residents**
**----- Start of picture text -----**
Grant Fund Impact to beneficiaries Indicator Actual expenditure Target expenditure Outcome Comments
Grants to provide financial support for households in crisis and at risk of losing Additional spend reflects increased need and was
Amount of
Successful Tenancies fund their tenancy, and that will ultimately contribute to increasing household income £187,000 £150,000 More than achieved managed by reallocating unspent funds from the
grant awarded
in the long-term total budget
This new fund has been set up to support residents with low-level energy debt, Amount of We awarded the funds to National Energy Action
Energy fund £50,000 £50,000 Achieved
struggling to pay their bills or top up their pre-payment meter grant awarded to administer on our behalf
Grants for residents who are victim-survivors of domestic abuse and need financial Amount of
Domestic Abuse fund £22,000 £28,000 Substantially achieved Balance carried forward to 2023/24
assistance grant awarded
This new fund supports any resident who is experiencing financial hardship by Amount of New fund in pilot stage. Balance carried forward
Hardship fund £9,300 £50,000 Not achieved
addressing a temporarily difficult situation grant awarded to 2023/24
Amount of Grant ended this year. Unspent funds returned to
Rent Relief fund Support for residents with rent arrears who have no means to pay off this debt £208,000 £250,000 Substantially achieved
grant awarded designated funds for re-allocation
**----- End of picture text -----**
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## **Our grant-giving model**
## **Grants to organisations delivering essential services in Hyde communities**
**----- Start of picture text -----**
Grant Fund Impact to beneficiaries Indicator Actual expenditure Target expenditure Outcome Comments
Supports partners to continue delivering work meeting an identified need and to Amount of
Communities fund (invitation only) £102,000 £125,000 Substantially achieved Unspent funds reallocated to other grants this year
ensure the sustainability of their provision grant awarded
This new fund supports partners to develop and deliver new provision or add value to Amount of £16,200 of grants paid this year. Multi-year grant:
Growth fund (invitation only) £66,000 £55,000 More than achieved
existing provision in Hyde communities grant awarded additional awards within overall fund limit
Set up to support current grantees through the cost-of-living crisis; provide funding to
Amount of One-off fund to address a specific need. Balance
Booster fund address increased operating costs and to provide additional services in response to £216,800 £250,000 Substantially achieved
grant awarded returned to designated funds for future years
the cost-of-living crisis
Grow Back Greener fund Grants to transform four disused or under-used green/grey spaces across Kennington Amount of Funded with support from the GLA’s Grow Back
£41,000 £46,500 Substantially achieved
(Kennington’s Green Escape) Park estate in Lambeth grant awarded Greener fund. Balance carried forward to 2023/24
Mayors Young Londoners’ fund
Grants awarded for partners providing education, training and recreational Amount of Funded with support from the GLA’s Mayors Young
(‘HYPE’ Hyde Young £18,300 £18,300 Achieved
opportunities for young Lambeth residents grant awarded Londoners Fund
People’s Experience)
Berkely Foundation Targeted programme of support for primary school children and their families in Amount of
£11,300 £11,300 Achieved Funded with support from the Berkely Foundation
(supporting transitions) Kennington (Lambeth) to ensure supported transition into secondary education grant awarded
**----- End of picture text -----**
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## **Our grant-giving model**
## **Business Development fund**
**----- Start of picture text -----**
Grant Fund Impact to beneficiaries Indicator Actual expenditure Target expenditure Outcome Comments
Supports the business needs of Hyde Foundation and Hyde Charitable Trust Amount of Underspend from other grants used for
Business Development Fund £79,000 £51,000 More than achieved
through funding research, pilot projects and development grant awarded additional awards
Micro-philanthropy
Support delivered outside of our grant programmes
Campaign Detail Support
Help a mother out Supporting the Rotary in Chichester with Christmas gifts for women and their families affected by domestic abuse £600
What a pile of pants New underwear collection to support people who can’t afford to buy underwear for themselves or their children in Chichester. More than 600 pairs of underwear donated
**----- End of picture text -----**
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## **Our Trustees**
We’re committed to recruiting a Board of Trustees with a wide range of skills and interests. Trustees typically serve a or six-year term, comprising two terms of office of three years. This may be renewed for further periods by the Group Board to a maximum of nine years in total. We’re committed to improving the diversity of our board members through our ongoing recruitment and looking forward we’re working to recruit a resident trustee.
*Katherine is also a member of Hyde’s Group Investment Committee and the Group Board.
Katherine Rodgers **Chair of the Hyde Charitable Trust***
Jessica Skilbeck **Trustee**
Clare Ferguson **Trustee**
Patrick Law
**Trustee**
Junior Moka **Trustee**
Brid O’Dwyer **Trustee**
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## **Our Trustees**
## **Meet the trustees: Brid and Patrick**
Brid and Patrick joined HCT as Trustees in 2017 and will be leaving the board in 2024, after an extension to their tenure while we recruit their replacements.
Before they leave us, we wanted to catch up with them and find out a bit more about their time with HCT.
## **Why did you join HCT?**
Brid: I’d been working at a senior level for various charities for a few years and really enjoyed working closely with Boards; I was keen to experience the workings of a charity from ‘the other side’. I was really excited about the chance to help steer an organisation that was relatively small but clearly doing valuable work.
Patrick: I think it was similar for me. Housing Associations need to invest in the long-term wellbeing of their communities, and how well we do this has a real bearing on the success or otherwise of these communities. As trustees, we make a real difference, by guiding and scrutinising the considerable investment HCT is making.
## **What are you most proud of?**
Patrick: These are difficult times and low-income families are facing more challenges now than they have for a generation. HCT’s ability to be flexible and to channel resource to have the greatest and immediate impact, has been a great achievement.
## **What are your hopes for HCT’s future?**
Brid: I hope HCT continues to make brave choices about projects and organisations to support. I hope we continue to be a compassionate and responsive funder that’s committed to supporting individuals and grassroots organisations.
Patrick: We need to ensure our support for communities is sustainable. That means continuing to maximise our impact by carefully selecting the projects and partners we fund, and demonstrating their long-term social impact.
Brid: It’s also worth remembering that sometimes communities and their organisations need a funder to be willing to take a calculated risk and learn alongside them. I’m always proud when HCT does that.
Brid: I’m really glad we’ve been able to mobilise more than £5m extra investment in communities and to have tested and refined some really new ideas. There’s always more to do, but we’ve genuinely helped people.
**’** More details about our Trustees can be found on **Hydes website** .
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## **Looking forward to 2023/24**
2023/24 promises to be another year of exciting developments for HCT. We’ll be launching a new fund and will continue to develop the funds we launched this year. We’re in a stronger position to develop our work beyond our grant giving, continuing to develop our fundraising and further developing our work to be an open and trusting funder.
## **The Evolve fund**
## **Open and trusting grant making**
## **Reporting our impact**
We’ll launch this £250,000 fund in summer 2023. This open access fund will support new partners working in Hyde’s communities, helping to strengthen our overall network of community partners. We are also opening up the geography of where we will provide funding (see below).
## **New geography**
We’ve focused our grants for community partners working in five priority communities in recent years – Brent, Islington and Lambeth, Brighton and Chichester (and its surrounding areas) – where almost half of Hyde’s residents live. Working alongside the Hyde Communities Team, we want to expand our reach and support more communities. Starting with the Evolve fund, we’ll support partners in the Croydon, Greenwich, Harrow, Lewisham and Southwark. We’ll also be supporting communities in Midhurst, Reigate and Banstead, Selsey, Havant, Shoreham-by-Sea, and across Kent, Peterborough and Cambridgeshire.
This year we signed up to the Institute for Voluntary Action Research’s open and trusting principles, making a commitment to be a flexible funder and to make life easier for those we fund. This is a long-term commitment and, starting next year, we’ll explore how we can do more, working with our partners to understand their experience of applying for and being funded by HCT, understanding the impact of our reporting requirements on partners and the support we can give them.
## **HCT 40[th] anniversary**
We’re celebrating our 40[th] anniversary in 2024. We’ll be marking this with a number of events, showcasing the fantastic work our partners do, to help us achieve our mission of improving the quality of life, and the life chances of Hyde’s residents and communities.
## **Investments review**
We’ll be undertaking a wholesale review of our investment in 2023/24, including our strategy for future investments. We’ll be appointing independent advisors to support us to develop a refreshed investment policy and strategy, and to then review our current investments, and support us to make any changes to ensure they’re aligned to the new strategy.
Working with colleagues in the Hyde Communities and Social Impact team, we’ve tried to better-understand how we can report on the impact of our work. For the last two years, we’ve reported more than £18m in social impact delivered by the Hyde team and HCT, using a bespoke framework. In 2023/24 we’ll explore some new options for more accurately capturing and reporting the impact of our grant giving, to strengthen our overall impact story.
## **Bigger and better**
We plan to spend about £1.3m supporting Hyde’s residents and communities in 2023/24:
- £345,000 for Hyde residents through individual grants
- More than £700,000 of grants for partners delivering essential services in Hyde communities
- More than £280,000 across our other activities, including the Innovation fund , continuing to support the Early intervention and Social Value teams, and our fundraising work.
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## **Financial review**
The trustees present their report and financial statements for the year ended 31 March 2023, which have been prepared in accordance with the Charities SORP (FRS 102), the Companies Act 2006 and the Charities Act 2011, and applicable accounting standards in the United Kingdom.
The Statement of Financial Activities for the past two years are summarised below:
||**2023**
**£’000**
**2022**
**£’000**|
|---|---|
|**Incoming/(outgoing) resources**||
|Incoming resources|**503**
444|
|Resources expended|**(1,100)**
(1,145)|
Grant-making during the year was £1,100k (2021/22: £1,145k). Donations of £106k (2021/22: £130k) were received during the year and the Charity had investment income of £396k (2021/22: £315k). The investments showed a net loss of £932k in the year (2021/22: net gain £596k). Further details on the reserves position is provided in the next section.
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## **Financial review**
## **Reserves position**
The unrestricted reserves of the Charity are held to generate dividends from the investments which are used to fund the activities of the Charity. The trustees have reviewed the reserves and investments of the Charity on a regular basis during the year due to the volatility of the financial markets. The value of investments held by the Charity has decreased by £932k (2021/22: increased by £596k ). Designated funds of £3,408k (2021/22: £4,035k) and restricted funds £109k (2021/22: £115k) were held at the year end. During the year, the Charity’s general reserve decreased to £9,913k (2021/22: £10,809k). Dividends and investment income generated from the investments are the Trust’s main source of recurring income.
The table below breaks down the reserves position which shows that, although there are sufficient reserves to continue as a going concern, remaining “free reserves”, due to the timing of debtor and creditor amounts owed/due, mean there is a shortfall at the year end of free reserves. This is explained in more detailed in the Reserves Policy.
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Total reserves £13,429k
Less investment funds (£10,376k)
Less designated reserves (£3,408k)
Less restricted reserves (£108k)
Remaining free reserves (£463k)
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## **Reserves Policy**
The trustees’ policy is to maintain a reasonable level of reserves. There is no set level of “free reserves” however the trustees do require that income generated from investments is made available for grant making.
The guiding principles are to:
- Not build up cash reserves
- Not decrease the Charity’s level of investments
- Ensure the longevity of the Charity
- Ensure good levels of investment income are generated.
In practice there may be low take up of funds within a financial year, or the trustees may designate use of funds over more than one financial year. Additionally, the Trust may receive ‘one off’ donations which sometimes have restricted use over more than one year. This will give rise to additional reserves being held from time to time.
Exceptionally the trustees may, where the activity is highly congruent with the objectives of the Trust, decrease the level of its investments to fund these activities whilse ensuring that sufficient funds remain for the future ongoing operations of the charity.
The trustees consider the level of funds to be sufficient, including the £3,407k of designated funds, and there are appropriate plans in place to ensure the designated funds are used appropriately over the next three years (to March 2026) and for the Trust to continue as a going concern.
Any amounts unutilised will be returned to the general fund. The trustees recognise the long-term adverse effect of the pandemic and the ‘cost of living crisis’, and that Hyde Group residents and communities are likely to be impacted for many years to come.
The Trust has therefore developed a focused grant giving strategy for the next three years to address these longer-term challenges and the specific use of these monies longer-term challenges and the specific use of these monies.
22
## **Financial review**
## **Investment policy and returns**
To diversify risk, the Charity invests in two investment funds, CCLA COIF Charities Investment Fund (COIF) and JM Finn portfolio, in approximately equal shares. The two investment managers work towards a benchmark which is provided by a composite market comparator. During the year, the closing return on the stock market investment comparator was at -3.97% (2021/22: 11.7%) and the COIF fund overperformed this, at -0.09% (2021/22: 11.6%), and the JM Finn Portfolio underperformed this, at -10.98% (2021/22: 4.7%).
The comparative performance of the FTSE, CCLA COIF Charities Investment Fund and JM Finn Portfolio is shown below:
||**2023**
**2022**|
|---|---|
|Market comparator|**-3.97%**
11.7%|
|COIF|**-0.90%**
11.6%|
|JM Finn Portfolio|**-10.98%**
4.7%|
Comparator - composite: From 01/01/21, MSCI WORLD 75%, MSCI UK Monthly Property 5%, iBoxx £ Gilts 15% & SONIA 5%. From 01/01/18, MSCI UK IMI 30%, MSCI World ex UK 45%, MSCI UK Monthly Property 5%, iBoxx £ Gilt 15% & 7 Day LIBID 5%. Source CCLA COIF Charities Investment Fund.
Investment funds are susceptible to a number of risks, such as market risk, credit risk and currency risk.
The risk profile of the CCLA Fund is classified as 3 out of 7, meaning it’s classified as being medium-low risk. This classification is not guaranteed and may change over time, and may not be a reliable indication of the future risk profile of the fund. The risk
profile of the JM Finn fund is deemed at 1.86% high, 92.3% medium risk and 5.84% low risk.
To mitigate the market risk, fund investments are diversified through various asset classes and sectors. The Trust adopts a long-term view for potential currency risks associated with a global investment portfolio.
Within the CCLA Fund risk is managed through the ‘Holt’ system, probability of default measure, which screens out any security that flags as high and is kept track of on an ongoing basis. The JM Finn Fund assesses risk by taking credit ratings into account where available, market capitalisation and the level of diversification.
The fair value measurement of both funds, the nature and management of their risks as well as disclosure of market price risk including sensitivity analysis is provided in Note 9 to the financial statements.
As permitted by the Trust’s memorandum and articles of association, the trustees have given the investment managers discretion to manage the portfolio, but regularly review performance.
23
## **Financial review**
## **Going concern**
## **Fundraising statement**
After making enquiries, including a review of the restricted, designated and unrestricted reserves, the trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for at least 12 months from the date of signing the financial statements. Donation and dividend income earned by the Trust is used to support grant making activities. The Charity has unrestricted funds of £13,320k, which is made up of liquid assets including investments and cash. Based on budgets for the next 12 months, existing liquid assets and cash are expected to comfortable meet the future obligations of the Charity. The Charity therefore continues to adopt the going concern basis in preparing its financial statements.
Under the Charities (Protection and Social Investment) Act 2016, charities are required to make a statement regarding fundraising activities. The legislation defines fundraising as ‘soliciting or otherwise procuring money or other property for charitable purposes’. In relation to this statement, the Charity does not currently undertake fundraising from the general public, but we are intending to reassess our status in relation to this with the Charity Commission in 2023/24.
All monies are generated from donations by Hyde staff, donations generated from our online fundraising platform, donations from other Hyde Group entities, income generated from investments, and grants that have been secured by applying to statutory or charitable funders.
This year we made funds available to Hyde Foundation to recruit a full-time Fundraising Manager who started in post in August 2022 (see p13).
24
## **Governance**
## **Governing document**
Hyde Charitable Trust (the Trust, HCT, the “Company” or the “Charity”) is a charity registered with the Charity Commission on 25 July 1984 and a company limited by guarantee, incorporated on 27 March 1984. The Company was established under a Memorandum of Association which establishes the objects and powers of the charitable company and is governed under its Articles of Association. It operates as a charity to prevent or relieve poverty or financial hardship.
## **How our activities deliver public benefit**
The majority of our charitable activities focus on meeting the needs of Hyde Group residents by promoting social and economic inclusion. National research shows that social housing tenants are one of the most disadvantaged groups in the UK; the greatest gulf in wealth inequality exists between homeowners and social tenants. More of Hyde’s residents are feeling the strain on household finances with the continued roll out of Universal Credit and the cost of living crisis.
The activities of the Trust, which promotes social and economic inclusion among social housing residents, therefore clearly demonstrate public benefit. The trustees have prepared this report regarding the Charity Commission guidance on public benefit in section 4 of the Charities Act 2011.
## **Trustees**
All appointments to the Board of Trustees are made by the Hyde Group Board. As permitted by the Articles of Association, the trustees have the benefit of an indemnity which is a qualifying third-party indemnity provision as defined by Section 234 of the Companies Act 2006. The indemnity was in force throughout the last financial year and is currently in force. The Company also purchased and maintained throughout the financial year trustees’ and officers’ liability insurance in respect of itself and its trustees.
During the year the Chair of the Board of Trustees tendered his retirement and recruitment for a new Chair was undertaken. The new Chair took up their role from July 2022.
## **Corporate governance**
The Company falls under the wider corporate governance framework of The Hyde Group. The overall governance of the Group and its subsidiaries is found within the Group’s annual report and financial **-** statements, which can be found at **www.hyde housing.co.uk** .
## **The subsidiary framework**
The Trust’s board of management at Hyde Charitable Trust comprises seven trustees bringing together professional skills and support from the Group and the wider community. The Board is responsible for the overall strategy and policy of the Charity and meets formally four times a year to consider and monitor performance.
25
## **Risk management**
## **Risk Management**
The Charity’s risk management process involves identifying the types of risks that the Charity faces, prioritising them in terms of potential impact, likelihood of occurrence, and identifying the means of mitigating the risks. As part of this process, the trustees have reviewed the adequacy of the Charity’s current internal controls and compliance with guidelines issued by the Charity Commission. The management accounts are presented to the Board on a quarterly basis and coupled with a direct channel of communication with the Managing Director. This provides a route for reporting of significant incidents.
Risk management strategies have been implemented, including delegation of authority and segregation of duties, as well as the identification and management of risks.
## **Principal Risks and Uncertainties**
In line with the Risk Management Framework for the Group, risks have been assessed against a risk matrix, considering the impact of a risk occurring as well as the likelihood, resulting in an overall risk score. The review has also documented high level risk causes (what could go wrong for a risk to materialise) as well as setting out the expected controls.
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RISK RISK CAUSE CONTROLS
Strategic direction
Any lack of clear strategic • Failure to define the strategy of the Trust • Approved HCT strategy
focus will result in a poor use
• Failure to monitor delivery of the strategy • Annual impact statement
of resources, financial loss,
• Failure to act in accordance with charitable objectives. • External reporting (annual report)
stakeholder dissatisfaction,
• Trustee oversight
reputational damage and
potential regulatory action. • Charity commission oversight
• Periodic independent assurance
• Independent assurance review scheduled.
Conflicts of interest
Conflicts of interest (perceived • Conflicts around decisions that may negatively • Rigorous Trustee recruitment, selection and induction processes
or actual) result in actions taken impact the Group
• Terms of reference clearly set out expectations around conflicts of interests
by the Trust being subject to
• Trustees also acting as Director for the Group or other
• Investment policy setting out requirement to declare any conflicts
enhanced scrutiny, reputational
Group companies
• Third-party advice sought where appropriate
damage, stakeholder
• Investment conflicts (eg investing in a potential or actual
dissatisfaction and potential • Declarations made at each meeting
Group or Group Company partner)
regulatory action.
• List of standing declarations to be shared at each meeting.
• Conflicts with grant recipients (trustee/officer relationship
with grant recipients).
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## **Risk management**
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RISK RISK CAUSE CONTROLS
Availability of funding
Lacking a viable funding strategy would • Poor performance of investments • Funding strategy
prevent HCT’s ability to deliver its objectives,
• Lack of funding strategy • Oversight of fund managers
resulting in stakeholder dissatisfaction and
• Lack of financial management. • Regular reconciliations between fund reporting and actual income.
reputational damage.
Investment risk
Lacking a clear investment strategy that aligns to • Funds invested in schemes perceived to be unethical/not aligned to HCT Values (e.g. tobacco, arms, • Fund advisers appointed via competitive tender process
the objectives and values of the Trust would result fossil fuels etc.)
• Regular reporting of fund performance
in financial loss, stakeholder dissatisfaction and
• Poor delivery and quality of fund advisors.
• An up-to-date investment policy setting out investment principles
reputational damage.
• Period re-tendering of fund advisors
• Review of investment policy
• Consider re-tender of advisors.
Trustee capability
There is a risk that the make-up of the Trustee • Failure to understand the skills or experience required in trustees to deliver the objectives of the Trust • Rigorous trustee recruitment, selection & induction processes
Board lacks the skills and experience to deliver
• Trustees lack the skills or experience to oversee the Charity • Terms of reference clearly setting out roles and responsibilities
the objectives and provide appropriate oversight
• Lack of supporting infrastructure to enable the trustees to carry out their role. • Ongoing training and development opportunities for trustees
of the Trust resulting in financial loss, stakeholder
• Adminstrative/Company Secretary support available
dissatisfaction, reputational damage and potential
regulatory action. • Ongoing review of skills and tenure to feed into succession planning
• Appointments to the trust board are made by the Hyde Group. Tenures are in line with best practice guidance
and exceptions are with the consent of the parent
• Ongoing trustee recruitment and skills analysis.
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## **Risk management**
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RISK RISK CAUSE CONTROLS
Grants Process
There is a risk that the Trust and, via its • Poor performance of investments • Funding strategy
delegations, the Foundation fail to embed • •
Lack of funding strategy Oversight of fund managers
robust controls around grants processing
• •
Lack of financial management. Regular reconciliations between fund reporting and actual income.
resulting in financial loss, failure to
deliver charitable objectives, stakeholder
dissatisfaction, reputational damage and
potential regulatory action.
Investment Risk
• •
Lacking a clear investment strategy that Failure to document the grants administration process Documented grants process
aligns to the objectives and values of the Trust • •
Failure to define eligibility criteria for grant funding Flexi-grant system which documents the process and has built in system controls
would result in financial loss, stakeholder
• •
Lack of guidance or training for grants administrating staff Defined eligibility criteria and associated guidance
dissatisfaction and reputational damage.
• •
Failure to embed segregation of duties Ongoing training and development of grants administration staff
• •
Lack of reporting on administration process. Segregation of duties in grants approvals
•
Ongoing performance management of grants administration staff
•
Periodic management audits
•
Trustee oversight.
Safeguarding
There is a risk that the Trust and, via its • Failure to assess safeguarding arrangements as part of application process. • Safeguarding assessed as part of application process
delegations, Hyde Foundation fail to design •
Onsite inspection of partner organisations
and embed appropriate controls around
•
Safeguarding considered as part of Grant Panel checks.
safeguarding resulting in stakeholder
dissatisfaction, reputational damage and
regulatory action.
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## **Risk management**
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RISK RISK CAUSE CONTROLS
Use of grants (fulfilment of objectives)
There is a risk that the Trust fails to embed • Failure to clearly define grant purpose/expected outcomes in the grant agreement • Grant applications are assessed by a panel
appropriate reporting and monitoring arrangements
• Lack of monitoring and reporting processes • Grant agreements state purpose and expected outcomes – signed by recipients
around grant expenditure resulting in financial loss,
• Unspent funds are not recovered • Grant recipients provide regular updates and milestone reporting and evidence to support expenditure –
failure to deliver charitable objectives, stakeholder
linked to the release of further payments
• Failure to receipt goods
dissatisfaction, reputational damage and potential
• Payments to individuals should not be made in cash; eg should be items/equipment, payment direct to a
regulatory action. • Individuals do not use grant funding for stated purpose
supplier, travel costs etc
• Failure to deliver grant funding in stages
• Ongoing monitoring of grant recipients through the Communities team
• Lack of financial control or monitoring.
• Grant conditions specify that unspent funds must be returned
• Items are delivered first to a Hyde office and then passed to recipients
• Periodic management audits
• Ongoing review of service user feedback
• Regular reconciliation of payments
• Trustee oversight
• Annual impact statement.
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## **Risk management**
**RISK RISK CAUSE**
## **CONTROLS**
## **Service delivery and reputation**
- Flexi-grant system sets out clear expectations and service standards and expectations
There is a risk that the Trust • Failure to share service standards and expectations to fails to embed appropriate grant applicants processes to assess the delivery • Failure to support grant recipients post-award of services and impact of the • Lack of process to monitor service delivery Trust and its activities resulting • Lack of process for monitoring service satisfaction. in stakeholder dissatisfaction, reputational damage and financial loss.
- Standards and expectations set in to grant agreements
- Key contact provided for all grant recipients for ongoing contact
- Ongoing satisfaction surveys of service user
- Ongoing reporting of service delivery progress
- Trustee oversight.
## **Internal controls assurance**
The Group Board is ultimately responsible for ensuring the Group and Trust establishes and maintains a system of internal controls appropriate to the various business environments in which it operates. Such a system is designed to manage rather than eliminate the risk of failure to achieve business objectives and can only provide reasonable and not absolute assurance against material misstatement or loss. **-** . The Group’s internal controls framework is found within the Group’s Annual report and financial statements at **www.hyde housing.co.uk**
30
## **Statement of trustees’ responsibilities**
The trustees (who are also directors of Hyde Charitable Trust for the purposes of company law) are responsible for preparing the Trustees’ Report and the Financial Statements in accordance with applicable law and regulation.
Company law requires the trustees to prepare financial statements for each financial year. Under that law the trustees have prepared the financial statements in accordance with United Kingdom Accounting Standards, comprising FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”, and applicable law (United Kingdom Generally Accepted Accounting Practice).
Under company law, the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of the 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:
## In so far as the trustees are aware:
a. there is no relevant audit information of which the charitable company’s auditors are unaware; and b. 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.
## **Small companies’ exemption**
The Trustees’ Report, which is also the Directors’ Report, has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies which gives exemption from preparing the full Directors’ Report. The exemption has been taken to not prepare a Strategic Report as the Charity is a small company.
- 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, comprising FRS 102, have been followed, subject to any material departures disclosed and explained in the financial statements; and
- Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions and 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 safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by the Board of Trustees and signed on behalf of the Board.
## **Katherine Rodgers**
Chair, Hyde Charitable Trust
Date: 5 December 2023
Company registration no. 1803707 | Charity registration no. 289888
31
## **Board and advisers**
**Board of Trustees Registered office and Principal office** Katherine Rodgers (Chair) 30 Park Street London Jonathan Prichard (Retired 21 July 2022) SE1 9EQ Jessica Skilbeck Tel: 020 3207 2600 Patrick Law **- www.hyde housing.co.uk** Clare Ferguson Brid O’Dwyer **Bankers and Investment Advisers** Junior Moka National Westminster Bank Plc 143 High Street Bromley BR1 1JH **Managing Director** Kerry Starling Charities Official Investment Fund Management Limited Senator House 85 Queen Victoria Street **Secretary** London EC4V 4ET Zoe Ollerearnshaw JM Finn 25 Copthall Avenue London EC2R 7AH
## **Solicitors**
Trowers and Hamlins 3 Bunhill Row London EC1Y 8YZ **Independent Auditors** BDO LLP Chartered Accountants and Statutory Auditors 55 Baker Street London W1U 7EU **Internal Auditors** Beever & Struthers 150 Minories London EC3N 1LS
32
## **Independent auditors’ report to the members of Hyde Charitable Trust**
## **Opinion on the financial statements**
## C **onclusions related to going concern**
## **Other Companies Act 2006 reporting**
In our opinion, the financial statements:
- give a true and fair view of the state of the Charitable Company’s affairs as at 31 March 2023 and of its incoming resources and application of resources for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Companies Act 2006.
We have audited the financial statements of Hyde Charitable Trust Limited (“the Charitable Company”) for the year ended 31 March 2023 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
## **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 believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Independence**
We remain independent of the Charitable Company in accordance with the ethical requirements relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard and the provisions available for small entities, in the circumstances set out in note 1 to the financial statements, and we have fulfilled our other ethical responsibilities in accordance with these requirements.
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 the Charitable Company’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.
## **Other information**
The Trustees are responsible for the other information. The other information comprises the information included in the Report and Financial Statements, other than the financial statements and our auditor’s report thereon. The other information comprises the trustees’ 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Trustees’ Report, which includes the Directors’ Report prepared for the purposes of Company Law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Directors’ Report, which are included in the Trustees’ Report, has been prepared in accordance with applicable legal requirements.
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 Trustee’s 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 Charitable Company, or returns adequate for our audit have not been received from branches not visited by us; or
- the Charitable Company financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of Directors’ remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit; or
- the trustees 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 directors’ report and from the requirement to prepare a strategic report.
33
## **Independent auditors’ report to the members of Hyde Charitable Trust**
## **Responsibilities of Trustees**
As explained more fully in the Trustees’ responsibilities statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determines 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**
We have been appointed as auditor under the Companies Act 2006 and report in accordance with the Act and relevant regulations made or having effect thereunder.
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.
34
## **Independent auditors’ report to the members of Hyde Charitable Trust**
## **Extent to which the audit was capable of detecting irregularities, including fraud**
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 is detailed here.
## **Non-compliance with laws and regulations**
## Based on:
- Our understanding of the Charitable Company and the sector in which it operates;
- Discussion with management and those charged with governance including the Group Audit Committee; and
- Obtaining and understanding of the Charitable Company’s policies and procedures regarding compliance with laws and regulations.
We considered the significant laws and regulations to be the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102), the Charities SORP, UK tax legislation, Employment Taxes, Health and Safety and the Bribery Act 2010.
The Charitable Company is also subject to laws and regulations where the consequence of non-compliance could have a material effect on the amount or disclosures in the financial statements, for example through the imposition of fines or litigations. We identified such laws and regulations to be the health and safety legislation.
## Our procedures in respect of the above included:
- Review of minutes of meeting of those charged with governance for any instances of non-compliance with laws and regulations;
- Review of correspondence with regulatory and tax authorities for any instances of non-compliance with laws and regulations; and
- Review of financial statement disclosures and agreeing to supporting documentation
## **Fraud**
We assessed the susceptibility of the financial statements to material misstatement, including fraud. Our risk assessment procedures included:
- Enquiry with management and those charged with governance including the Group Audit Committee regarding any known or suspected instances of fraud;
- Obtaining an understanding of the Charitable Company’s policies and procedures relating to:
- Detecting and responding to the risks of fraud; and
- Internal controls established to mitigate risks related to fraud;
- Read minutes of meetings of those charged with governance and reviewed correspondence with HMRC and the Charity Commission;
- Discussion amongst the engagement team as to how and where fraud might occur in the financial statements; and
- Performing analytical procedures to identify any unusual or unexpected
- relationships that may indicate risks of material misstatement due to fraud.
Based on our risk assessment, we considered the areas most susceptible to fraud to be improper revenue recognition and management override of controls.
Our procedures in respect of the above included:
- Testing a sample of journal entries throughout the year, which met a defined risk criteria, by agreeing to supporting documentation;
- Challenging assumptions made by management in their significant accounting
- estimates in particular in relation to income recognition and the valuation of
investments; and
- Testing the application of cut off on revenue for evidence that it was recorded in the correct period;
We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.
misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.
A further description of our responsibilities for the audit of the financial statements is located 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.
## **Philip Cliftlands (Senior Statutory Auditor)**
Statutory Auditor London
## 07 December 2023
Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material
BDO LLP is a limited liability partnership registered in England and Wales
(with registered number OC305127)
35
## **Statement of Financial Activities for the Year Ended 31 March 2023**
Including Income and Expenditure Account
||**Note**
**Unrestricted Funds**
**2023**
**£’000**
**Designated Funds**
**2023**
**£’000**
**Restricted Funds**
**2023**
**£’000**
**Total**
**2023**
**£’000**
**Unrestricted Funds**
**2022**
**£’000**
**Designated Funds**
**2022**
**£’000**
**Restricted Funds**
**2022**
**£’000**
**Total**
**2022**
**£’000**|
|---|---|
|**Income**
Donations and legacies
Income from investments||
||**4**
71
35
-
106
130
-
-
130|
||**5**
396
-
-
396
315
-
-
315|
|**Total income**|**467**
**35**
**-**
**502**
**445**
**-**
**-**
**445**|
|**Expenditure on**
Costs of generating funds:
Expenditure on Charitable activities||
||**2**
(431)
(662)
(7)
(1,100)
(630)
(491)
(24)
(1,145)|
|**Total expenditure**|**(431)**
**(662)**
**(7)**
**(1,100)**
**(630)**
**(491)**
**(24)**
**(1,145)**|
|(Losses)/Gains on revaluation of investments
**Net (expenditure)/income**|**9**
(932)
(932)
596
-
-
596|
||**(896)**
**(627)**
**(7)**
**(1,530)**
**410**
**(491)**
**(24)**
**(104)**|
|**Net movement in funds**
Fund balances brought forward at 1 April|**(896)**
**(627)**
**(7)**
**(1,530)**
**411**
**(491)**
**(24)**
**(104)**|
||**3**
**10,809**
**4,035**
**115**
**14,959**
**10,398**
**4,526**
**139**
**15,063**|
|**Fund balances carried forward at 31 March**|**9,913**
**3,408**
**108**
**13,429**
**10,809**
**4,035**
**115**
**14,959**|
All gains and losses recognised in the current and prior year are included in the Statement of Financial Activities.
All income and expenditure in the current and prior year is derived from continuing activities.
The above Statement of Financial Activities also forms the Profit and Loss Account for Companies Act 2006 purposes.
36
## **Balance Sheet as at 31 March 2023**
||**Note**|**2023**
**£’000**
**2022**
**£’000**|
|---|---|---|
|**Fixed assets**
Investments|||
||**9**|10,376
11,308|
|**Total fixed assets**||**10,376**
**11,308**|
|**Current assets**
Debtors
Cash at bank and in hand|||
||**10**|90
86|
||**11**|3,373
4,005|
|**Total current assets**||**3,463**
**4,091**|
|**Current liabilities**
Creditors: amounts falling due within one year|||
||**12**|**(410)**
**(441)**|
|**Net current assets**||**3,053**
**3,650**|
|**Total assets less current liabilities**||**13,429**
**14,958**|
|**The funds of the charity**
Unrestricted income funds
General fund reserves
Designated income funds|||
||||
|||9,914
10,810|
|||3,406
4,034|
|**Total unrestricted income funds**
**Restricted income funds**||**13,320**
**14,844**|
|||**109**
**115**|
|**Total charity funds**|**3**|**13,429**
**14,959**|
The financial statements on pages 38 to 43, which includes the notes to the financial statements, were approved by the Board of Trustees and signed on its behalf. These financial statements have been prepared in accordance with the special provisions applicable to companies subject to the small companies’ regime.
**Katherine Rodgers** Chair Date: 5 December 2023
Company registration no. 1803707 Charity registration no. 289888
37
## **Notes to the Financial Statements**
## 1. Accounting policies
## **Basis of preparation**
The financial statements of Hyde Charitable Trust (the Trust, HCT, the “Company” or the “Charity”) comply with the Charities SORP, FRS 102, Charities Act 2011 and the Companies Act 2006. The Trust is a public benefit entity under FRS 102. The following accounting policies have been applied consistently in the periods in dealing with items which are considered to be material in relation to the financial statements of the Hyde Charitable Trust.
The Trust is a wholly owned subsidiary of Hyde Housing Association and provides funding to the parent company to employ resources to project manage some of its activities. The financial statements are for the Trust and are presented in pounds sterling.
The Trust has taken advantage of the exemptions under FRS 102, “The Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland” and has not prepared a cash flow statement.
## **Going concern**
After making enquiries, including a review of the restricted, designated and unrestricted reserves, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for at least 12 months from the date of signing the financial statements. Donation and dividend income earned by the Trust is used to support grant making activities. The Charity has unrestricted funds of £13,320k which is made up of liquid assets including investments and cash. Based on budgets for the next 12 months, existing liquid assets and cash are expected to comfortable meet the future obligations of the charity. The
Charity therefore continues to adopt the going concern basis in preparing its financial statements.
## **Income**
All income is accounted for when the Charity has entitlement to the funds, probability of receipt and the amount is measurable. When income is received in advance of a performance of another specified service, it is deferred until the Charity is entitled to that income. Income is recognised when receivable by the Charity. All monetary donations are gifts and are included in full in the income and expenditure account when receivable, provided that there are no donor-imposed restrictions as to the timing of the related expenditure, in which case recognition is deferred until the pre-condition has been met. Investment income is classified as operating income, including associated income tax recoverable and is recognised when receivable.
## **Grants payable**
Grants are charged to the income and expenditure account when a legal or irrevocable commitment has been made to pay the grants.
## **Expenditure**
Expenditure is recognised as soon as there is a legal or constructive obligation committing the Charity to the expenditure. All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to that category.
## **Charitable expenditure**
Charitable expenditure comprises those costs incurred by the Charity in the delivery of activities and services to its
beneficiaries. Costs are recognised on an accrual’s basis. Support costs are governance costs, which comprise the statutory audit fees that are borne by the parent and disclosed in note 6. Other support costs, such as employee costs, cannot be separately identified. As governance costs are not material, these are not separately disclosed and allocated to the activities of the Charity.
## **Investment assets**
Investments held by the Charity are recognised at market value with any gain or loss for the year recognised in the Statement of Financial Activities.
## **Income tax recoverable**
The Hyde Charitable Trust is a registered charity, and as such is entitled to certain tax exemptions on income and profits from investments, and surpluses on any trading activities carried on in furtherance of the Charity’s primary objectives, if these profits and surpluses are applied solely for charitable purposes.
## **VAT**
The Hyde Charitable Trust recovers only a small proportion of input VAT. Expenditure is therefore shown inclusive of VAT, to the extent that it is not recoverable, with non-attributable input tax recovered being credited against management expenses.
## **Unrestricted funds**
Unrestricted funds are held to support the Charity in its future charitable objectives and are represented by the investment and other assets. The unrestricted funds are reviewed annually and include both the designated reserves and the fair value reserve.
## **Designated reserves**
Designated reserves are those reserves that are designated for a specific purpose and form part of unrestricted funds. Transfers to and from designated reserves are made at the discretion of the Board. The designated reserves are reviewed annually. Further details on the designations and restrictions are provided in note 3.
## **Restricted reserves**
The restricted reserve consists of grants from third parties which may only be expended in accordance with the terms of the grant.
## **Financial assets**
The Charity recognises a financial asset when it gains a contractual right to the asset. The exception is where the financial asset is consideration from customers for services provided. In these cases, the Charity recognises the financial asset when the revenue recognition criteria are met. The Charity removes a financial asset from its balance sheet when it no longer has a contractual right to the asset, or when the asset is transferred to another party. The Trust’s financial assets are classified as loans and receivables and on initial recognition are measured at transaction price. Subsequent to initial recognition the Trust’s loans and receivables are measured at amortised cost. 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.
38
## **Notes to the Financial Statements**
## 1. Accounting policies (continued)
## **Impairment of financial assets**
The Charity assesses, at each balance sheet date, whether there is objective evidence that its financial assets are impaired. Assets are impaired if the future cash flows associated with the asset have been reduced by events before the balance sheet date, and if the effect on future cash flows can be reliably estimated. Events that could trigger impairments include a breach of terms or default by a counterparty on a contract, significant financial hardship of a counterparty or an emerging pattern of lower than expected recovery on a class of assets. The Charity measures the amount of impairment loss as the difference between the asset’s carrying amount and the revised recoverable amount. The amount of the loss is recognised in the Trust’s Statement of Financial Activities in the period of impairment.
## **Financial liabilities**
The Charity recognises a financial liability when it becomes a party to the contractual provisions of the financial instrument. The exception is any liability related to the purchase of goods or services in the normal course of the Trust’s business. In these cases, the financial liability is recognised when, and to the extent that, the goods or services are provided. The Charity removes a financial liability from its balance sheet, when it is extinguished, i.e. when the obligation in the contract is paid, is cancelled or expires. On recognition the Charity recognises financial liabilities at transaction price and subsequently at amortised cost. 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.
## **Significant accounting judgements and estimation uncertainty**
The preparation of financial statements requires management to make judgements and estimates that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Estimates are those which contain key assumptions concerning the future, and other key sources of estimation uncertainty at the year end, that have a risk of causing material adjustments to the carrying amounts of assets and liabilities within the next financial year. There are no such estimates made by management.
## **Judgements**
Judgements are those management has made in applying the Association’s accounting policies that have the most significant effect on the amounts recognised. The most significant judgements are as follows:
• **Valuation of Investment Funds at Fair Value levels 1, 2 and 3.** The CCLA has a proportion of its portfolio valued on this basis. The valuation of investment funds are kept under review by the Trustees on a regular basis as well as the basis of those valuations. The Charity considers that the proportion of investment fund valuations not at Level 1 are not significant enough to materially impact the valuations provided in the financial statements. The basis of valuation is provided by the fund managers on an annual basis and is regularly reviewed. The fair value levels of funds are based on the definitions included within Section 34 - Specialised Activities of FRS 102.
## 2. Expenditure on charitable activities
The Charity has committed £1,100k during the year to various charitable projects (2021/22: £1,145k). Grants are made to both individuals and Institutions. Support costs allocated are £Nil.
|**Grants**|**Expenditure on**
**Charitable Activities 2023**
**£’000**
**Expenditure on**
**Charitable Activities 2022**
**£’000**|
|---|---|
|||
|**Grants to individuals**
Successful Tenancies Fund
Emergency Relief Fund – individuals1
Domestic Abuse Fund
Barclays Covid Fund
Rent Relief Fund
Hardship Fund
Energy Grant||
||187
127|
||(2)
-|
||22
34|
||-
10|
||208
491|
||9
-|
||50
-|
|||
|**Grants to Institutions**
Successful Places Fund1
Communities Fund
Mayors Young London Fund
Grow Back Greener Fund
Ambition20
Battersea Power Station CHO Fund
Berkeley Foundation Fund
Booster Fund
Growth Fund
Emergency Community Fund1
**Business Development**
Business Development Fund||
||3
293|
||102
-|
||18
53|
||41|
||-
32|
||-
24|
||11
11|
||217
-|
||66
-|
||(1)
(16)|
|||
||79
86|
|**Other Expenditure**
Other2||
||88
-|
|||
|**Total**|**1,100**
**1,145**|
- 1 Amounts including residual spend and accrual reversals from previous year grant awards.
2 Expenditure to fund Hyde Foundation activities of the Parent and Group (£53k: early intervention team; £35k: fundraising manager).
39
## **Notes to the Financial Statements**
## 2. Expenditure on charitable activities (continued)
The table below shows the total number and value of grants and expenditure made to individuals and institutions. No single individual or institution received more than £200k. The average grant amount being £10.6k each.
|**Grants**|**Total Value**
**2023**
**Number of Grants**
**2023**
**Total Value**
**2022**
**Number of Grants**
**2022**|
|---|---|
|Grants to individuals|**£’000**
**£’000**
474
858
662
410|
|Grants to Institutions|625
59
483
48|
|**Total**|**1,100**
**917**
**1,145**
**458**|
## 3. Fund accounting
Summary of fund movements: analysis of assets and liabilities between general, designated and restricted funds.
||**Unrestricted Fund**
**2023**
**£’000**
**Designated Fund**
**2023**
**£’000**
**Restricted Fund**
**2023**
**£’000**
**Total**
**2023**
**£’000**
**Unrestricted Fund**
**2022**
**£’000**
**Designated Fund**
**2022**
**£’000**
**Restricted Fund**
**2022**
**£’000**
**Total**
**2022**
**£’000**|
|---|---|
|Investments
Debtors
Cash at bank and in hand
Creditors falling due within one year|10,376
-
-
10,376
11,308
-
-
11,308|
||90
-
-
90
86
-
86|
||(142)
3,406
109
3,373
(144)
4,034
115
4,005|
||(410)
-
-
(410)
(441)
-
-
(441)|
|**Total**|**9,914**
**3,406**
**109**
**13,429**
**10,809**
**4,034**
**115**
**14,958**|
40
## **Notes to the Financial Statements**
## 3. Fund accounting (continued)
|**Summary of Fund Movements**|**1 April 2022**
**£’000**
**Income**
**£’000**
**Expenditure**
**£’000**
**(Loss)**
**£’000**
**31 March 2023**
**£’000**|
|---|---|
|**Restricted income funds**||
|Battersea CHO Fund|95
-
-
-
95|
|Hennessey Fund|13
-
-
-
13|
|Solutions for Aging Society Fund1|7
-
(6)
-
1|
|**Total Restricted income funds**|**115**
**-**
**(6)**
**-**
**109**|
|||
|**Unrestricted income funds**||
|General Fund|10,810
467
(431)
(932)
9,914|
|Designated Fund|4,034
35
(663)
-
3,406|
|||
|**Total Funds**|**14,959**
**502**
**(1,100)**
**(932)**
**13,429**|
|1£7k related to excess restricted funds at the end of the programme. The donor confirmed these funds could be allocated to the general||
|fund. Funds were used during the year in the Business Development fund.||
|**Summary of Fund Movements**|**1 April 2021**
**£’000**
**Income**
**£’000**
**Expenditure**
**£’000**
**(Loss)**
**£’000**
**31 March 2022**
**£’000**|
|**Restricted income funds**||
|Battersea CHO Fund|95
-
(24)
-
95|
|Hennessey Fund|13
-
-
-
13|
|Solutions for Aging Society Fund|7
-
-
-
7|
|**Total Restricted income funds**|**115**
**-**
**(24)**
**-**
**115**|
|||
|**Unrestricted income funds**||
|General Fund|10,810
-
(185)
596
10,810|
|Designated Fund|4,034
-
(491)
-
4,034|
|||
|**Total Funds**|**14,959**
**-**
**(700)**
**596**
**14,959**|
Within the general fund, £3,644k (2021/22: £4,576k) relates to cumulative fair value movements on investments.
## 4. Donations and legacies
During the financial year, the Charity received total general donations of £106k of which £41k came from Grow Back Greener Fund, £18k from the Mayor’s Young Londoners Fund and £11k from the Berkeley Foundation. A further £20k from Social Value for the Domestic Abuse Fund and £15k came from staff fund raising (£35k in total) were designated by the Trustees. All donations were unrestricted (2021/22: £130k, all unrestricted).
## 5. Income from investments
|Dividends from CCLA COIF Charities Investment Fund and JM Finn Portfolio|**2023**
**£’000**
**2022**
**£’000**|
|---|---|
|Unrestricted|316
312|
|Interest receivable|81
3|
|**Total**|**397**
**315**|
Interest and investment income is included within total income as it forms part of the Charity’s income. All investment income is paid through intermediaries who are not listed.
## 6. Auditors’ remuneration
The notional charge for the audit of the financial statements was £5.3k (2021/22: £4.2k) exclusive of VAT. This was paid by the Parent, Hyde Housing Association Limited. No other services relating to the Charity were performed by the auditors.
## 7. Employee information and costs
The Charity has no employees (2021/22: none). Staff costs, including those of the managing director, are incurred within Hyde Housing Association reflecting the work of Hyde Foundation. These costs are not specifically identifiable as a recharge to HCT.
## 8. Directors’ emoluments
The Trustees received no emoluments or reimbursed expenses during the current or preceding years in respect of their services to the Charity. The Managing Director is paid by Hyde Housing Association Limited, the Parent. As such, the Trust does not have a remuneration policy.
41
## **Notes to the Financial Statements**
## 9. Investments
|At 1 April|**2023**
**£’000**
**2022**
**£’000**
11,308
10,712|
|---|---|
|(Loss)/gain on revaluation|(932)
596|
|**At 31 March**|**10,376**
**11,308**|
Investments are shown after JM Finn Portfolio fees and charges of £33k] (2021/22: £38k) and of £[Nil] (2021/22: £Nil) for the CCLA COIF Charities Investment Fund. The COIF incurs internal costs which are charged to the Funds capital. The ongoing charges ratio is 0.75% of the Fund’s value per annum.
|**Investment statement**|**Units**
**Original cost**
**Market value**
**2023**
**Market value**
**2022**|
|---|---|
|CCLA COIF Charities Investment Fund|**£’000**
**£’000**
**£’000**
321,490
3,638
6,024
6,261|
|JM Finn Portfolio|1,721,944
3,814
4,352
5,048|
|**Total**|**2,043,434**
**7,452**
**10,376**
**11,309**|
The proportion of assets held in each fund are analysed as follows:
|**Asset Value 2023**
**CCLA**
**£’000**
**JM Finn**
**£’000**|**Return 2023**|
|---|---|
||**CCLA**
**%**
**JM Finn**
**%**|
|Fixed interest
472
508
Equities and funds
4,464
2,890
Alternatives
801
907
Cash
287
47|7.8
11.7|
||74.1
66.4|
||13.3
20.8|
||4.8
1.1|
|**Total**
**6,024**
**4,352**|**100**
**100**|
|||
|**Asset Value 2022**
**CCLA**
**£’000**
**JM Finn**
**£’000**|**Return 2022**|
||**CCLA**
**%**
**JM Finn**
**%**|
|Fixed interest
0
547
Equities and funds
4,700
3,341
Alternatives
1,027
1,145
Cash
533
15|0.0
10.8|
||75.1
66.2|
||16.4
22.7|
||8.5
0.3|
|**Total**
**6,260**
**5,048**|**100**
**100**|
The valuation of CCLA COIF Charities Investment Fund (COIF) is measured at fair value. At the COIF accounting date (31 December 2022) 79% (2021: 7%) was assessed at fair value level 1, 14% level 2 (2021: 7%) and 7% (2021: 6%) level 3. The JM Finn portfolio is assessed at Fair Value level 1, using the unadjusted stock market quoted price with a value of £4,352k as at 31 March 2023.
If the price of the COIF investment fund moves by 10% and there is no change in the number of units held, then the value they hold will also move up or down by 10% or £602.4k. As at 31 March 2023, if the price of the investments held in the JM Finn portfolio Fund increased or decreased by 10% and with all other variables remaining constant, then the net assets attributable to unit holders and profit or loss would increase or decrease respectively by 10% or £435.2k.
42
## **Notes to the Financial Statements**
## 10. Debtors
|Amounts owed by group undertakings|**2023**
**£’000**
**2022**
**£’000**
29
-|
|---|---|
|Other debtors|62
86|
|**Total**|**91**
**86**|
## 11. Cash at bank and in hand
||**2023**
**£’000**
**2022**
**£’000**|
|---|---|
|Restricted cash at bank|109
115|
|Designated cash at bank|3,406
4,034|
|Unrestricted cash at bank|(142)
(144)|
|**Total**|**3,373**
**4,005**|
Cash has been allocated to Restricted and Designated Reserves first with the remainder in Unrestricted. They are all usable, as additional cash requirements can be met by future dividend income or drawing down from the investment funds.
## 13. Provisions for liabilities and charges
There were no provisions for liabilities and charges during the
year (2021/22: £nil).
## 14. Capital and financial commitments
There were no capital and other financial commitments at the balance sheet data (2021/22: £nil).
## 15. Operating leases
There were no operating leases held during the year (2021/22: £nil).
## 16. Contingent liabilities
There were no contingent liabilities at the balance sheet data (2021/22: £nil).
## 17. Control
The ultimate parent company and controlling party, Hyde Housing Association Limited, is a housing association incorporated under the Co-operative and Community Benefit Societies Act 2014 which is registered in England and Wales. Hyde Housing Association Limited is a public benefit entity and registered provider for social housing incorporated in the United Kingdom. The composition of the Trustees of the Charity is determined by Hyde. Hyde Housing Association Limited exercises control through the power to remove and appoint Trustees. A copy of Hyde’s financial statements can be obtained from 30 Park Street, London, SE1 9EQ.
## 18. Liability of the members
The Charity is a company limited by guarantee without share capital. The liability of the members, including the directors of Hyde Charitable Trust, is limited to £1 each.
## 19. Related party transactions
## 12. Creditors: amounts falling due within one year
|Trade creditors|**2023**
**£’000**
**2022**
**£’000**
63
18|
|---|---|
|Amounts owed to group undertakings|3
9|
|Accruals and deferred income|344
414|
|**Total**|**410**
**441**|
There were no related party transactions requiring disclosure during the year.
Amounts owed to Group undertakings represent intercompany balances which are unsecured, interest free and are settled throughout the year.
43
eJHO
PJ
Hyde
Charitable Trust