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2022-03-31-accounts

give homeless Point young people a future IFINANCIAL TITEMENTS 2021-22

CENTREPOINT SOHO FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2022

CONTENTS

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Centrepoint Soho Financial Statements 2021-22

TRUSTEES’ REPORT

The directors, who are also the Trustees of the charity, present their annual report and the audited financial statements for the year ended 31 March 2022. In preparing this report, the Trustees have complied with the Statement of Recommended Practice for social housing providers: Housing SORP 2018. This report contains the Trustees’ Report and Strategic Report as required by company law.

Centrepoint Soho (Centrepoint) is both a registered charity and a registered provider and sees both of these areas represented significantly in its activities. The financial statements are prepared in accordance with Housing SORP 2018; however, aspects of the Charities SORP (FRS102) have been adopted to aid comparability with other Registered Charities'.

Please refer to the accounting policies, on page 64, for further information. A list of the Board, officers and advisers can be found on page 85.

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WELCOME

FROM SEYI OBAKIN OBE, CHIEF EXECUTIVE OFFICER

Thank you for taking the time to read and review Centrepoint’s annual report and financial statements for 2021-22. Centrepoint has been helping homeless young people get back on their feet since 1969, having been conceived by a group of passionate people who wanted to change things for the better.

With just £30 in the bank, they started an ambitious voluntary venture to provide a safe and secure place to stay for young people sleeping on the streets of London. Today, the problem of youth homelessness is even more acute, but we are doubly determined to help end this crisis; alongside the figures for 2021-22, we have included an overview of how Centrepoint helps young people to change their lives and leave homelessness behind.

2021-22 was an interesting year. Although the effects of the COVID-19 pandemic continued to create uncertainty, we wanted – and indeed, needed – to keep moving forward ambitiously for young people. As such, while we remained focused on the key priorities of keeping young people and staff safe, we also launched a new strategy that will spearhead our ambition to end youth homelessness by 2037.

So, why 2037? Well, any young person born in 2021 will turn 16 that year and could be looking for help from Centrepoint. We want to help end youth homelessness for the next generation by reducing it to a frictional experience.

Some have said this is not possible. We believe it is. We know the triggers for youth homelessness are many – breakdown of family relationships, for instance, or mental ill health. Nonetheless, we believe it’s possible over the next 15 years to reduce its occurrence to a negligible few and engender a society in which those few that are affected receive immediate and effective support that helps

them to move on into settled accommodation as soon as they are ready to live independently.

This, of course, is easier said than done. We know through our youth homelessness databank research that roughly 122,000 young people approached their Local Authority as homeless or at risk of homelessness over the last year. We know that the current cost of living crisis affects young people disproportionately. We know there is a worrying rise in mental ill health. And we know that there is a continuing lack of truly affordable housing for young people, alongside very high rates of youth unemployment, particularly among marginalized young people.

Our strategy between now and March 2026, is to start to move towards that 2037 vision with these challenges in mind. We will ensure that our services are exemplar and use insights from our experience to collate the most effective ways of supporting young people, and to campaign, influence and orchestrate change. We will also pilot innovative new solutions with a view to amplifying those that are successful, so that they can be scaled up by us and others.

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We started to implement this strategy during 2021-22. We launched HOMES, a new programme to join up all our direct services to young people and ensure that these services become the exemplars we want them to be. We have undertaken background work that will enable us to launch in 2022-23 a pilot programme for early identification of children who might be at risk of homelessness, and to identify interventions that would significantly reduce that risk and prevent them from becoming homeless in the first place. Furthermore, construction is underway at our first purpose-built Independent Living accommodation in Southwark, which is due to open shortly. These and other new initiatives mean we will be able to stop youth homelessness at the root, amplify solutions that are effective and orchestrate their scaling up.

We were only able to start these new initiatives with the continued support of so many people: donors, fundraisers, ambassadors, volunteers, and campaigners. We were in awe of the support we received during the pandemic – one of the most difficult periods in recent history for many, and we are so grateful that that fierce support continued into the 2021- 22 financial year. It is thanks to them that we have been able to ensure that young people don’t just survive but thrive . And it is thanks to them that we have the headspace to be genuinely ambitious for homeless young people. We look forward very much to continuing to have and grow your support, without which it would be impossible to end youth homelessness by 2037.

I also want to thank our local authority partners, key suppliers, development partners and our Centrepoint Partners Network, for working with us to take a proactive response to the pandemic. Finally, and certainly not the least, a special thank you to our staff, who showed resilience over an uncertain year and continue to adapt in the face of adversity. We wouldn’t be able to make this all-important progress without your unbounding enthusiasm and ingenuity.

Seyi Obakin OBE, Chief Executive Officer

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YOUTH HOMELESSNESS: THE ISSUE

Being homeless means not having a safe place to call home. Centrepoint’s research estimates that roughly 122,000 young people in the UK asked for help from their local authority in 2021 for this very reason – but they are just the tip of the iceberg. There are thousands more who have not sought help from a local authority but find themselves walking the streets at night, sleeping rough, or staying with strangers for a bed. These are known as the ‘hidden homeless’.

Young people find themselves in this precarious condition for a variety of reasons. Breakdown of family relationships is the most significant cause of youth homelessness. But there are myriad other reasons, too: young people also become homeless due to violence and domestic abuse; mental ill health; poorly managed life transitions such as leaving care, leaving an institution, or ending a tenancy; exclusion from school; gang crime; or being a refugee.

Whatever the cause, sleeping rough or being in precarious accommodation can have damaging and long-lasting ramifications on a young person’s life. Without decent housing, adequate sleep, and funds to buy nutritious food, physical health suffers. Feelings of abandonment and isolation have dangerous implications on mental health. And without a place to study, or positive mental and physical health, the opportunity to gain an education, training or a job moves further and further away. Youth homelessness means that the safety of already vulnerable young people becomes compromised, leaving them susceptible to manipulation and exploitation.

OUR VISION

We want youth homelessness to be eradicated by 2037 by reducing it to a fractional experience for any young person who might be in difficulty. Thus, by 2037 we envisage a society in which:

Centrepoint’s research estimates that young people in the UK asked for help from their local authority in 2021 122,000

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OUR IMMEDIATE RESPONSE

We help young people between the ages of 16-25, which is a crucial stage of life for any young person. What happens during this pivotal time will likely affect them for years to come, particularly without intervention. We want to reach young people before they start making desperate decisions to find a place to shelter.

Our support starts with sound advice through our national Helpline. The Helpline, established in 2017, provides advice to thousands of at-risk young people across the country, helping them avoid the downward spiral of homelessness.

For those in our care, our goal is that to the maximum extent possible, their individual homelessness should end by enabling them to leave Centrepoint with the skills they need to move on into a job and affordable home.

We strive for this goal by focusing on three key themes:

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INSPIRE, ENABLE AND MOTIVATE

SAFETY AND SECURITY

Centrepoint accommodation comes with that all-important support from staff, which is proactive and psychologically informed.

Our health services tackle the physical with diet and nutritional advice, while mental health issues are worked through with counselling and psychotherapy. Relationship difficulties are addressed with advice from our expert healthy relationship team, and we help young people to look to the future by reconnecting them with education and training, helping to develop those key skills and experiences to find and keep work.

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LIVE INDEPENDENTLY

Once in work, our Independent Living Programme aims to provide truly affordable housing for young people. Young people are expected to pay around one-third of their income in rent, which allows them to build their careers without the shackles of high housing costs, which can derail a career before it even gets going. The programme works with donors, ethical employers, and the property and construction sectors to not only create these single occupancy affordable homes but also ensure that skilled young people are linked to jobs in which they can build great careers.

This approach and the corresponding services we offer is represented on the charts overleaf.

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SAFETY AND SECURITY

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Complex
support
needs
Crisis
Management
Medium
support
needs
SAFETY
PREVENTING SAFE PLACE
AND
HOMELESSNESS TO STAY
SECURITY
Low
support
Crisis
needs
Advice
Floating
support
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INSPIRE, ENABLE AND MOTIVATE

ENABLE INSPIRE MOTIVATE

GET SKILLS SKILLS HEALTHY FOR LIFE FOR WORK Lifewise Emotional Wellbeing Functional skills Nutrition (Dietetics) Engagement activities Vocational skills Moneywise Bursaries Legal support Into work Mentoring & coaching Into further education Healthy relationships Information Advice and Guidance (IAG)

LIVE INDEPENDENTLY

Subsidised rent Centrepoint in Centrepoint apprenticeship Independent house Living homes

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LIVE
INDEPENDENTLY
Connecting Connecting
young people young people
with the private with public
rented sector
sector housing
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INFLUENCING

In addition to working directly with young people, we try to persuade central and local governments to enact policies and legislation that will improve young people’s lives. We do this by using evidence from the challenges homeless young people face to call for and orchestrate systemic change.

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STRATEGIC REPORT

OBJECTIVES AND ACTIVITIES

Centrepoint exists to give homeless young people a future. We believe every young person should have a home and a job, regardless of their background or start in life.

Our 50 years of experience tells us that no young person is the same, therefore the paths they take to independence will be different. As such, our specialist staff work individually with each young person, supporting them into take their next step, wherever they are on their journey.

The following pages highlight some of Centrepoint’s vital support services that have been offered to thousands of homeless young people during the course of 2021-22.

We continue to be inspired and driven by the talent and potential that we see in young people every day.

We have used pseudonyms and stock images for many of the young people who feature in this annual report and financial statement to protect their identity. Nevertheless, their stories and experiences are very real, as is the strength and determination they have shown in order to overcome the challenges that they have faced.

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ACHIEVEMENTS AND PERFORMANCE

Support

HOUSING & LIFE SKILLS – PROVIDING A SAFE PLACE TO STAY

Currently Centrepoint supports over 2,000 young people every day through our supported housing, floating support, rough sleeper and resettlement services.

In 2021-22 92% (2020-21 94%) of the young people we work with moved on positively from the service we offered.

Additionally 65% (2020-21 64%) of young people moved on from our services needing no further support at all.

2021-22 saw the consolidation of our HOMES change programme in the Support & Housing Directorate. We have incorporated this into our business as usual performance as well as the quality improvements that align with the priorities set out in our strategy. With input from teams across Centrepoint, we have delivered impactful support services for young people which enhanced their prospects for successful moves into housing, work and training.

We’re so proud to say in 2021-22 601 (92%) young people we worked with moved on positively from Centrepoint services. This has been improving constantly over the last two years: 2020-21 was 93% and in 2019-20, it was 88%. We are also happy to say 65% of young people moved on from our services needing no further support at all, compared to 64% and 60% in the previous two years. Our commitment to offering a psychologically informed environment underpins all our work and we are having notable successes, not only in improving our services’ appearance and ergonomics, but in shaping the way all our staff teams operate, collaborate, and co-produce.

Centrepoint progressed our mission to amplify best practice in the sector when we were awarded the prestigious Chartered Institute of Housing award for the ‘Supported Housing Landlord’ of the year. We have further led the way by successfully delivering the UK’s first Housing First scheme for young people. This service received a very positive independent evaluation on which we hope to build one and stimulate the wider commissioning of this type of service.

There have been ongoing challenges due to the pandemic in terms of managing and providing continuity in our services. The policy and procedural initiatives we introduced to address these challenges in the previous year, coupled with our

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staff’s enormous and ongoing commitment has enabled us to deliver services to young people throughout this difficult period. We have focused on safe working practices and safe–living practices that have meant that the infection rates in young people and our staff have remained low with only intermittent spikes in select localities. Disruption to staffing and service delivery has therefore remained low, meaning we can continue to provide resilient services that offer commissioners and young people the consistency and continuity they need.

Engaging young people was particularly challenging as social distancing measures prevented much of our traditional face-to-face delivery. However, young people needed connection and reassurance more than ever during successive lockdowns, so we adapted to provide more virtual support models including phone calls, e-mail, text, Zoom and MS Teams.

It was a challenge for our staff to learn these new skills and to use them in our operating environments as we did not have the technology and connectivity to deliver this at scale. Through our fundraising efforts, we were able to invest in and expand the Wi-Fi network in all Centrepoint supported accommodation services, so that young people were not digitally excluded. In-room Wi-Fi is now available to young people in over 70 Centrepoint services and the feedback has been excellent. We know that being connected is important for education, training and work, but it’s also key for young people to remain connected socially – this protects their mental health and wellbeing. We have more improvements to come with plans to expand our successes to the young person’s digital portal.

their biggest step towards independence – a secure, sustainable and safe home, and a launch pad for their future. Centrepoint is now in year two of our Independent Living Programme, with the aim of providing 300 new homes for single young people in London and Greater Manchester by 2026.

PROGRESSING TO INDEPENDENT LIVING

The availability of good quality, genuinely affordable housing remains one of the biggest barriers to young people moving out of supported housing accommodation or escaping overcrowded and unsafe homes. To tackle this, Centrepoint are continuing with our unique and ground-breaking Independent Living Programme, which provides affordable housing where we will never charge a young person more than around one-third of their salary in rent. This provides an opportunity for young people to take

We have been continuing and cementing our partnerships with local authorities and the property and construction sector to build self-contained, one-bedroom units of accommodation for single young people. We have a number of homes now in operation (three developments in total) and in the latter half of 2022 we will be opening our flagship development of 33 homes in Southwark.

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Alongside our completed properties we have a number of other developments (new builds and refurbishments) planned in London and Greater Manchester. We have a confirmed development pipeline of over 200 new homes and an agreed strategy and roadmap to deliver the remaining homes. The Independent Living Programme now has a working Growth Board comprising of senior professionals, investors, and developers from the property sector. They have been tasked with supporting the fundraising activities to support the build target.

“ Centrepoint would like to thank the Reuben Foundation and The Julia and Hans Rausing Trust for the significant contributions to our capital programme. We would also like to thank The Marandi Foundation for their incredible support in proving opportunities for our young people to gain sustained employment. Our Independent Living Programme remains crucial to tackling the lack of genuinely affordable homes for young people. ” Seyi Obakin.

HEALTH – TRANSFORMING HEALTH

It has been a busy year for the Health & Wellbeing team: over the past 12 months, we have supported 500 young people and delivered nearly 3,400 individual sessions, 90% of which focused on emotional wellbeing using our mental health and psychotherapy services. Additionally, our work around food poverty has seen a 194% increase in demand for emergency food support, with 66% of young people reporting they had skipped meals because of changes to Universal Credit. As we move through the aftermath of the pandemic, we continue to work hard on reducing the waiting lists for therapy but in many instances, young people are waiting up to 12 weeks for this vital support due to the pressure on existing resources.

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SKILLS & EMPLOYMENT – INTO EDUCATION AND WORK

digital and hospitality sectors over the year, with warehousing, health & social care and fashion design planned for the future.

During 2021-22, Centrepoint Works supported over 550 young people to progress into education, training and employment, using one-to-one Information, Advice and Guidance support (IAG) and training programmes tailored to their needs. Training was severely hit in the peak of the pandemic, but luckily has recovered well. We continue to offer a wide range of accredited qualifications, short courses and programmes across all our locations, which will help move young people into employment, furt ~~her~~ education, and apprenticeships.

Our ‘Get Into’ courses are short, one-week access courses that support young people into jobs with employers such as Pret A Manger and Change Please.

We have also developed our own accredited programme, M’Power, which provides young people with a toolbox of skills and techniques that allow them to become confident, independent and contributors in their communities. The units include wellness, confidence building, and resilience.

The training team supported learners to achieve 151 qualifications over the year, including functional skills (maths, English and ICT), employability accredited units and vocational qualifications such as Level 1 Health and Safety for Construction.

During the year we also developed our ‘Get Set Go’ and ‘Get Into’ programmes, which provide young people with a structured programme of learning, the opportunity to gain qualifications and unit accreditation, and the chance to participate in relevant work experience linked to their career goals. The focus of the ‘Get Set Go’ programme is to move young people closer to or into employment, and we have developed strong relationships with employers who provide work placements, interviews and jobs (Zero Carbon Farms, Evolution Training and RI Design & Build are just a few). This has allowed us to deliver programmes for the construction,

Get Set Go: Construction

Our ‘Get Set Go: Construction’ programme in the North East has seen some fantastic successes. Delivered in conjunction with Kier Construction – who are supporting us with enrichment activities and work placement – the learners undertake a number of employability units that prepare them for work. This sits alongside a Level 1 Award in Health and Safety in the Construction Environment, followed by the CITB Health and Safety Environment test, which enables them to get their CSCS card, a legal requirement for all construction sites. Out of three completed programmes in February and March, we have had a 100% pass rate on the construction exams, and seven young people have secured jobs.

Young people who attended the course told us:

I believe this course will gain a lot of traction as everyone is very helpful, wants the best for you and will do anything they can to help you succeed.

Centrepoint have been a massive help and I wouldn’t have done without Claire and the team’s determination to get me through it.”

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CASE STUDY: JET TEAM

When Kyle first joined us he wasn’t in employment, education or training and was referred to the Jobs & Education Team (JET) for guidance. Kyle wanted to apply to work for the London Metropolitan Police as a serving Officer. At first he wasn’t keen on meeting with a JET advisor, and was resistant to any face-to-face work or general support. With lots of encouragement, Kyle’s JET advisor was able to convince him to engage in his employment, education, and training journey.

Knowing the MET application process would be a long one, Kyle’s JET advisor encouraged him to apply for jobs while still processing the application, and he successfully secured work as a personal trainer in a gym. Although his MET application was unsuccessful, he secured full-time work as a senior sales consultant and a part-time personal trainer at the gym. Due to his hard work and dedication, the gym is paying for his Level 3 Personal Trainer qualification.

Furthermore, with support from his advisor, Kyle is now setting up his own part-time business as a personal trainer and diet and nutrition advisor. He is currently living in a Centrepoint Independent Living property.

Youth Employment Initiative – Tees Valley

Our European Social Fund Youth Employment Initiative contract is now in its seventh year, following two successful contract extensions. The aim of the programme is to move those who are furthest away from the labour market closer to or into employment, education and training through individualised, supported intervention. The programme has seen some great outcomes for young people over the last year:

73% 81% of participants have of participants have progressed into training completed supported or employment, with the intervention, in most majority going into cases to gain some sort employment. of work experience.

83%

of participants referred for housing support are now in their own homes.

55%

of Centrepoint residents who took Centrepoint training courses in 2021-22 finished with a qualification (compared to 60% in 2020-21).

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Amplify

POLICY & INFLUENCE – INFLUENCING GOVERNMENT POLICY THROUGH QUALITY RESEARCH

This past year has seen the culmination of a number of major Centrepoint research projects, through which we have built a strong evidence base to influence government policy. A particular highlight was the publication of our Benefits to Society report at a launch event in Westminster, hosted by Stephen Timms MP. This was the final stage of a research project into homeless young people’s experiences of Universal Credit, led by a group of young people trained as peer researchers. These young people remained at the core of the work throughout and presented their findings at a number of important forums, including the All Party Parliamentary Group on Universal Credit. Drawing on this evidence, we coordinated a joint letter with nearly 50 youth homelessness agencies, calling for the Universal Credit uplift to be retained.

2021-22 saw the publication of a two-year evaluation project into our Housing First for Care Leavers pilot in Haringey. The research, conducted by the University of York, highlighted the positive outcomes for young people on the project, including high levels of tenancy sustainment and a reduction in offending. The report was published at a virtual

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launch event with Neil Coyle MP, Haringey council and the University of York, which allowed Centrepoint to raise awareness of this model of support for young people with complex needs.

We also conducted our latest annual estimate of the scale of the youth homelessness crisis in the UK through the Youth Homelessness Databank. Under the Freedom of Information Act, Centrepoint requests and collates the relevant figures from local authorities to develop the most comprehensive data on the scale of youth homelessness in the UK. This year’s report, which was launched at an event with the Deputy Mayor of London, Tom Copley, showed that in 202021, 122,000 young people approached their local authority because they were homeless or at risk of homelessness. You can see the scale of the issue in your area by visiting our dedicated databank website.

Over the past year, we have developed our capacity to engage with the public in our policy campaigns. Following the recruitment of a dedicated campaigns officer, we have developed a new online mobilisation tool that helps raise awareness of the changes facing young people. We have also engaged our campaigners in a number of important campaign actions – for example, persuading over a thousand campaigners to take action following our Universal Credit report, including tweeting the Chancellor asking him to keep the Universal Credit uplift, which was extended (but only for six months).

PARTNERING WITH OTHER YOUNG PEOPLE SERVICES

Collaboration and partnership work is at the core of Centrepoint’s strategy. With 122,000 young people approaching their local authority to request homelessness support on a yearly basis, we know that ending youth homelessness must be a collaboration. We are actively exploring new prevention models and working in partnership with others to increase the reach and effectiveness of our work.

We collaborate with a wide range of partners in a variety of ways to help to ensure that we are able to offer support and opportunities to every young person. We are doing this by developing and expanding our thriving membership scheme called Centrepoint Partnering, a network of over 100 local and regional organisations who are just as committed to ending youth homelessness as we are.

Collectively, Centrepoint Partnering reaches over 10,000 young people, and we draw upon this reach to undertake extensive research upon the scale and scope of youth homelessness. This evidence is used to lobby government for changes in policy and legislation and to improve the lives and experiences of homeless young people. Members of the network benefit from legal advice, bursaries for young people, training for staff and volunteering and networking events, which not only improves the capacity of our partners but also raises the profile of youth homelessness.

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PREVENTION – PREVENTING YOUTH HOMELESSNESS

The Centrepoint Helpline, based in London and Manchester, has once again seen an unprecedented demand over this last year with the pandemic and its lockdown measures still looming large over vulnerable young people. Call volumes have increased from the previous year, with the Helpline supporting 6,877 young people (compared to 6,500 in 2020- 21).

Each young person who calls the Helpline has personal circumstances that put them at risk of homelessness, including domestic violence, abuse, family breakdown and poor mental health. The Helpline team are trained to take their time in listening to callers to make sure they understand their personal circumstances, before providing bespoke advice that supports them in taking their next step to leave homelessness behind.

“ Centrepoint would like to thank The Co-operative Bank for another year ~~of on~~ going support. This longstanding partnership has been instrumental in supporting the expansion of the national Centrepoint Helpline and the growth of our regional service in Manchester through their support for The Future Foundations refurbishment programme. ” Seyi Obakin.

Q3 of 2021-22 saw the launch of our Young Asylum Seekers Legal Advice Clinic (YASLAC). This new pro-bono endeavour offers young people access to immigration advice, all provided by qualified lawyers. Working in partnership with the University of Hertfordshire and law firm Duncan Lewis, who are highly regarded as one of the leading firms in this field, the project has been shortlisted for an industry-leading award.

Continuing on the success of last year’s legal clinic, which focused on housing benefits, we underwent a restructure that now enables an unlimited number of referrals to be channelled through this clinic. We continue with our 100% success rate of all challenges made to Housing Benefit departments; our data indicates the average award in backdated benefits equates to approximately £3k per young person accessing the clinic.

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Optimise

FUNDRAISING

We would like to thank all of our supporters for sticking with us during this year, enabling us to support young people through a difficult time as we started to come through the recovery phase of the pandemic.

This year we were able to increase our face-to-face activity, meaning we were able to have thousands of positive conversations with the public about our vital work with young people. We also continued to invest in our media campaigns, specifically launching three new TV adverts, to which we have seen a fantastic response from the public.

After two years of disruption, in-person challenge events also returned, including the London Marathon and our flagship fundraising event, Sleep Out, which took place in November 2021. Further restrictions in the future could impact the safety and scale of these events, so we have contingency plans for virtual versions if the need arises.

It was important for us to ensure that we remained engaged with our supporters and sent regular updates on how their donations enabled us to work towards our goal of ending youth homelessness by 2037. A highlight of the year was our Christmas campaign, which exceeded both our expectations and what we had raised in the previous year.

Finally, we are grateful for the support of our high value partners across all areas of our work. We wanted to extend special thanks to:

The Fidelity Foundation, the Garfield Weston Foundation and the Wolfson Foundation for their support towards the refurbishment of our Oldham Street centre in Manchester, which will allow us to offer transformational services for young people in the city.

The Standard Life Foundation who funded our food insecurity research.

The Marandi Foundation for their three-year grant towards the new Centrepoint Apprenticeship Academy.

Lloyds of London, who provided £150,000 in support of our education and employment work and PIE approach across all services.

The Co-Operative Bank who provided over £242,000 to the Helpline, Oldham Street and unrestricted funds.

ASOS who have provided in excess of £240,000 to our health, helpline and digital inclusion projects.

Selfridges who have provided over £174,000 to our vital services including digital inclusion.

Centrepoint is also particularly grateful to our generous major donors who together have contributed in excess of £1.5 million towards Centrepoint’s work in 2021-22, as well as being advocates for the young people we support.

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APPROACH TO FUNDRAISING

Centrepoint works with a number of agencies and suppliers that enable us to deliver our campaigns and other activities. These partnerships are essential to raising the income needed to fund our vital work with young people. We do not have the resources in-house to deliver all of these activities, so it is much more cost-effective for us to work with third parties for certain aspects of our work.

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FUNDRAISING PRACTICE

Centrepoint always follows best practice and complies with all fundraising regulations. We are members of all fundraising regulatory bodies, including the Fundraising Regulator, Institute of Fundraising, the Direct Marketing Association, and the Information Commissioner’s Office.

We have never failed to comply with the Fundraising Regulator’s Code of Practice. All of our partner agencies adhere to their relevant regulations.

We have a clear set of due diligence guidelines that we monitor our agencies by on a regular basis. All of our agencies have data protection and vulnerable person and complaints policies in place.

HOW WE MONITOR FUNDRAISING ACTIVITY

Centrepoint and its agencies’ monitoring guidelines include:

COMPLAINTS

We received 73 complaints in 2021-22, compared to 50 in 2020-21. This increase of 46% can be attributed to fundraising activities returning to a normal level post-pandemic, particularly public fundraising. Public fundraising accounted for around 40% of the overall complaints we received. Considering we recruited more than 16,000 new donors through public fundraising in 2021-22, this is a very small number of complaints. This is thanks to the great work of our Acquisition team in training our fundraisers to a very high standard. All complaints were resolved, and none escalated beyond the first stage of Centrepoint’s complaints procedure.

PROTECTING VULNERABLE PEOPLE WHEN FUNDRAISING

All of our partner agencies that communicate with new or existing supporters have a Vulnerable Person Policy in place. Before working with any agency, we review their policy. With face-to-face and door-to-door agencies, we attend all fundraiser training that covers talking to vulnerable people.

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OUR SUPPORTER PROMISE

1. Donations are the supporter’s decision

We are committed to making a difference to the lives of homeless young people. That is why we encourage people to make a donation to Centrepoint if they are able to. But we also recognise it is their decision and supporters need to make it in their own time.

2. We’ll always respect privacy

3. We’ll never sell or swap details

4. We’ll keep our supporters updated

5. We’ll use all donations carefully

6. We’ll act quickly

8. We’ll respect our supporters’ wishes

For more information about how we work with supporters, please visit our website.

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RESPONSE TO COVID-19 PANDEMIC

Another year of unpredictability due to the pandemic meant that Centrepoint has continued to adapt and adjust alongside the ever-changing government regulations. As such, we have updated and amended the Management of Influenza policy at each stage in line with the government guidance.

Alongside this, each week Centrepoint’s dedicated COVID-19 Business Continuity Group (CBCG) discuss any relevant changes in legislation and update the necessary procedures accordingly. The Data, Insight and Performance team also monitors all pandemic related incidents across staff and young people which are subsequently reviewed by the CBCG.

Every service has completed a topic-specific risk assessment for the building’s environment, and an infection control lead is appointed at each location to ensure that the pandemic precautions are followed and PPE is provided. All Service locations have been internally audited to ensure that all procedures have been complied with.

Over the past year, lateral flow tests have been supplied to all front-line staff – and after the government’s withdrawal of free tests, Centrepoint has supplied kits to key staff in services free of charge.

VOLUNTEERS

We could not have responded to the needs of vulnerable young people facing hardship during the pandemic without the support of a team of pandemic responder volunteers. In 2021-22 we have been supported by 384 volunteers (a rise from 164 in 2020-21). The continued dedication of volunteers to coordinate the distribution of personal protection equipment is just one way in which the team has demonstrated their ability to provide solutions to the organisational need. A new recruitment cycle has been introduced to create a more effective and efficient process for prospective volunteers and supervisors. With effective collaboration, new routes into volunteering have been identified for corporate partners, student placements and community volunteers, and in new areas of the organisation.

The work Centrepoint does is key, not only to the wellbeing of the individual, but to how we live in society. In carrying out this vital work, it helps strengthen the communities in which we all live. The work of Centrepoint gives individuals the skills to live independently in a safe environment, whilst providing opportunities so that all can reach their future potential. All young vulnerable young people should have this opportunity, and to do this Centrepoint needs as much support as possible.

I wanted to help the homeless in London and helping young people through education has long been an interest of mine. The young people are very interesting and I enjoy talking to them – it’s really rewarding when a young person realizes that they can understand something that eluded them before. The organization does amazing, essential work and there is a growing need for their services.

Brian H, volunteer tutor

Susan H, volunteer

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THE IMPORTANCE OF A PSYCHOLOGICALLY INFORMED ENVIRONMENT (PIE)

Centrepoint remains committed to developing services taking the psychological and emotional needs of young people into account. Homeless young people often experience neglect and abuse, and the impact of these traumatic experiences can continue to affect their thinking and behaviour long after they are no longer exposed to the actual trauma. By continuing to practice in a psychologically informed environment, we can help young people to heal from past trauma, which is essential for progression beyond Centrepoint, and reaching our ultimate goal of ‘a home and job’.

Throughout 2021-22, we have developed and commenced delivery of a PIE strategy for the next five years, funded by both Centrepoint and Lloyd’s of London, the latter of which has contributed a further £150,000 of funding. This strategy aims to ensure that:

PIE is embedded across the organisation (through Staff Training & Development):

The session went into great detail about PIE, which was well planned and structured. The training content was really good.

Excellent – I found this very informative and useful as it’s relevant to my job role. I certainly will utilise in my job practice.

The training was fantastic and I really appreciate that this is an organisation that provides such important, thoughtful training, and creates such thoughtful and compassionate spaces for young people.

Further training on ‘Working with gang-involved young people’, ‘Working with asylum seekers’ and ‘Suicide/ Self-Harm’ are in development and will be launched shortly. As of the end of February 2022, 62 PIE modules have been delivered to 534 frontline staff members.

Reflective practice is undertaken across the organisation:

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Centrepoint Soho Financial Statements 2021-22 | Trustees’ report

consultations and 1:1 staff support sessions – the latter in conjunction with the established Employee Assistance Programme.

Staff feedback from the reflective practice sessions include:

This service has proved invaluable not only for myself with all the challenges I face managing a service, but for my team. They have an open space to discuss how they’re feeling and are provided direction with the type of cases we deal with.

Reflective practice has enabled me to learn from the incidents that have occurred within my service, and to develop and improve my future practice and responses. It enriched my understanding of certain situations thereby improving the quality of my work.

All physical environments are PIE informed:

Delivery will be informed by PIE research and evaluation:

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Processes, policies, procedures, organisational strategies and business development is PIEinformed and co-produced

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FUTURE PLANS

Centrepoint’s 2021-26 strategy ‘Change the Story: Ending Youth Homelessness All Together’ sets out our vision to end youth homelessness by 2037. The threat of homelessness can never be removed for young people because of the multiple factors that cause it. However, we believe it is possible to significantly reduce the number of young people facing homelessness, so that there is a clear, accessible and effective pathway for each of those young people at the point of crisis. Therefore, ending youth homelessness requires three things:

Systemic change is required to meet these challenges. Centrepoint cannot end youth homelessness alone; this can only be achieved by organisations and individuals working together.

As the UK’s leading youth homelessness charity, Centrepoint will spearhead the endeavour to end youth homelessness by 2037 by delivering exemplar services to young people, and using the insight from these to campaign, influence and orchestrate systemic change.

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For this vision to become a reality, we must:

SUPPORT

Those who suffer homelessness are supported to achieve a job and a home.

  1. We will provide exemplar support and homes that are psychologically informed, including some that can be accessed directly by young people; and we will test innovative new models of housing and support provision.

  2. We will provide specialist learning and employment work, focusing on securing qualifications and sustainable job opportunities for young people.

  3. We will offer health interventions, with a focus on providing young people with the mental health support that they need to reach their full potential.

  4. We will build life skills, working with young people to help them develop the skills required to live independently.

  5. We will develop independent living opportunities, proving that housing for young people can be both truly affordable and sustainable by linking rent to jobs and income.

AMPLIFY

Solutions that break the youth homelessness cycle are undertaken at scale.

  1. We will undertake and share evaluation of the interventions that we deliver, both internally to improve outcomes and externally to influence scaling of leading practice.

  2. We will encourage and support other organisations to deliver services that are proven to reduce youth homelessness. This includes innovations in supported housing services and Independent Living.

  3. We will seek partnerships with others who deliver the services that we do not deliver ourselves. Such partnerships will range from joint advocacy through to joint ventures where necessary.

PREVENT

Those who face immediate homelessness are prevented from experiencing it.

  1. We will increase the reach of the Centrepoint Helpline, working in partnership with local authorities and other organisations.

  2. We will partner with and support organisations that provide direct prevention advice and support, including but not limited to Local Authorities, Youth Offending Institutions, and those working in early identification of children and young people at risk, mental health of children and young people, family mediation and support for looked-after young people.

  3. We will orchestrate and campaign for prevention activity to be undertaken across the welfare, housing, education, and care sectors.

OPTIMISE

Centrepoint will have the optimum capacity to deliver our strategy.

  1. We will invest in our people, through Centrepoint’s People Strategy, to be a resilient organisation that is inclusive, efficient, productive and adaptable.

  2. We will become a digitally enabled organisation. Our staff will have the ability to connect wherever they are, young people will be digitally included, services will be delivered digitally, and data will drive decisionmaking.

  3. We will invest in our properties so that every residential service meets our HOMES standards.

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FINANCIAL REVIEW

INCOME

Income for the year ending 31 March 2022 was £50.2 million, an increase of £6.2 million compared to 2020-21 total income £44 million, primarily due to fundraising for Independent Living.

Income from charitable activities was £17.0 million which was slightly more than 2020-21, at £16.9 million. Income from rent and charges amounted to £7.7 million, an increase on the previous year at £7.3 million. Income from supported housing grants reached £8.3 million (2020-21 £8.4 million) and income from other grants and contracts was £1.0 million (2020-21 £1.2 million).

EXPENDITURE

Expenditure during the year ending 31 March 2022 was £39.8 million, an increase of £1.9 million from 2020-21.

Expenditure on charitable activities was £28.4 million. This is £0.9 million more than the previous year. Centrepoint’s operating model focuses on ensuring that every young person has access to the opportunities that they need to achieve a job and a home. We have continued to invest in prevention, housing, health, skills and employment, and life skill services to meet the needs of young people.

The cost of raising donations and legacies was £11.4 million, an increase of £1.0 million on the previous year.

Expenditure on support costs increased slightly to £4.1 million in 2021-22 from £3.6 million in 2020-21. In 2020-21 we invested and transformed our IT infrastructure to provide a solid foundation from which to deliver sustainable services. We will continue to strive to improve efficiency and to increase the number of young people that we can support.

NET INCOME

The net income for the year was £10.5 million (£6.1 million in 2020-21). £5.9 million (0.3 million in 202021) of this is for restricted projects and £4.6 million (£5.8 million in 2020- 21) is for unrestricted reserves.

STATEMENT OF FINANCIAL POSITION AND CASH FLOW

The statement of financial position and cash flow remains strong; we invested £7.9 million in our fixed assets, including for our Independent Living Programme and refurbishment of Oldham Street, Manchester. The working capital ratio at year-end was 5.32:1 (4.75:1 in 2020-21). The working capital ratio is a measure of liquidity showing Centrepoint’s ability to meet its payment obligations.

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VALUE FOR MONEY

This report outlines our approach to value for money (VfM). What we have achieved over the last financial year ensures we delivered the outcomes required under the Regulator of Social Housing’s Value for Money Standard and are able to get the most out of our resources.

Every year the key decision taken by the Board is the approval of the business plan and budget, which sets the framework for the group’s operations.

Centrepoint has a clear framework for achieving VfM, incorporating the following:

1. APPROACH AGREED BY THE BOARD TO ACHIEVE VFM IN MEETING CENTREPOINT’S STRATEGIC OBJECTIVES AND DEMONSTRATE DELIVERY OF VFM TO STAKEHOLDERS

Our business planning, decision-making process and VfM strategy are designed to work together to obtain better outcomes for young people that ultimately lead to a job and a home. VfM is an integral part of all of our planning, from our strategic plan, business plan, and team plans to our individual objectives. It is not just about cost savings – it is about getting the most from our money for young people.

Our approach to VfM will:

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2. DECISIONS ABOUT HOW WE USE OUR RESOURCES TO DELIVER STRATEGIC OBJECTIVES

Centrepoint’s strategy to 2026 outlines our strategic choices:

Our resources are aligned to achieve the objectives of our strategy, which also contributes to achieving our overall mission: to give homeless young people a future.

The Board has approved relevant strategies and oversees their implementation through relevant Board committees and the Senior Executive Team (SET). The strategies inform our objective and priorities for the year and we remain focused on the delivery of our overall organisational objectives.

We have outlined in this report how we have performed against our 2021-22 plans. These include:

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Through our strategic objectives, we articulate our strategy for delivering homes that meet a range of needs

At the end of the financial year, we had the capacity for 830 young people in supported housing and general needs. This included 677 bed spaces in London and 153 bed spaces in regions outside of London, including Barnsley, Bradford, Manchester and Sunderland.

We have been cementing our partnerships with local authorities and the property and construction sector to build self-contained, one-bedroom accommodation units for single young people. We have a number of homes now in operation (three developments in total) and in late summer 2022, we will be opening our flagship off-site construction housing development of 33 homes in Southwark. This unique development will be offering self- contained living at rents linked to around one third of a young person’s earnings.

55% of Centrepoint residents who took Centrepoint Works training courses in 2021-22 finished with a qualification (2020-21 60%). 56% of young people receiving support from Centrepoint’s psychotherapy and mental health team felt the severity of their symptoms were reduced (2020-21 66%).

Alongside our completed properties and works nearly completed we have a number of other developments (new builds and refurbishments) in plan in London and Greater Manchester. We have a confirmed development pipeline of over 200 new homes and an agreed strategy and roadmap to deliver the remaining homes. The Independent Living Programme now has a working Growth Board comprising of senior professionals, investors and developers from the property sector. They are tasked with supporting the fundraising activities to support the current budget of £23 million to meet our 300 home build target.

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3. ENSURING THAT OPTIMAL BENEFIT IS DERIVED FROM RESOURCES AND ASSETS, AND OPTIMISING ECONOMY, EFFICIENCY AND EFFECTIVENESS IN THE DELIVERY OF OUR STRATEGIC OBJECTIVES

This report covers our aim to work collaboratively, harnessing the innovation and creativity of our staff, our young people and stakeholders to deliver improvements in efficiency, effectiveness and economy.

Our VfM performance is measured by the Board against targets set under the key elements of economy, efficiency and effectiveness. The measures below are a combination of Centrepoint’s measures and those required by the Regulator of Social Housing (RSH). The RSH’s metrics are designed for social housing; however, what Centrepoint delivers is wider than this, including health, skills and employability, Helpline, CP partnering and our policy and influencing work. Those metrics in bold are the seven metrics required by the RSH.

Economy:

----- Start of picture text -----
2021-22 2021-22 Target 2020-21
Fundraising return on investment [1] £2.90 £2.46 £2.54
Business support cost [2] 10% 16% 10%
Void loss [3] 11% 9% 9%
Cost per young person worked with (£’000) [4] £2.24 £2.62 £1.96
Headline social housing cost per unit (£’000) [5] £27.71 £25.37 £26.59
----- End of picture text -----

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Efficiency:


quarterly performance reports.
2021-22
2021-22 Target
2020-21
Repairs completed on tme %
Reinvestment %6
Operatng margin %7
Overall8
Social housing letng
Return on capital employed9		 78%
80%
81%
29%
19%
3%
21%
5%
14%
(42%)
(24%)
(33%)
19%
0%
13%
Earnings Before Interest, Tax, Depreciaton, Amortsaton, Major Repairs Currently, Centrepoint do not have any borrowing or
included (EBITDA MRI) Interest Cover %10. interest on borrowing. However, a property strategy is
Gearing % being developed which will likely result in increased
investment in propertes and lead to Centrepoint
borrowing in the future.

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Effectiveness:

----- Start of picture text -----
2021-22 2021-22 Target 2020-21
Number of young people worked with 12,646 NA 13,874
Positive move on % 92% 90% 94%
Young people in education, employment or training (EET) on departure or
made significant progress during stay 60% 61% 60%
Young people managing their mental health better 55% 75% 66%
Young people’s satisfaction with services 90% 90% 88%
New supply delivered % [11] (Social housing units) 3% 4% 1%
----- End of picture text -----

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4. BENCHMARKING OUR PERFORMANCE AGAINST OTHER ORGANISATIONS DELIVERING SIMILAR SERVICES

We complete VfM reviews of our activities, including:

The last time we benchmarked housing management data was in 2020-21, with six other peers. Here are the areas where benchmarking tells us that we perform relatively well compared to our peers:

We recognise the importance of comparing our performance with others, and our activities are benchmarked in several different ways. Centrepoint is an active member of a benchmarking group with other homelessness organisations who provide supported housing.

2021-22 2020-21 Peer results 2020-21 Peer results 2020-21 Peer results
Centrepoint Centrepoint Group Mean Group Median
% of all departures that were to known destnatons
% of clients abandoned services
% of formal complaints responded within target		 96%
1%
72%		 96%
1%
72%		 83%
4%
73%		 82%
3%
72%
% of complainants by clients supported 4% 10% 7% 7%

Here are the areas where benchmarking shows us that there is room for improvement:

2021-22 2020-21 Peer results 2020-21 Peer results 2020-21 Peer results
Centrepoint Centrepoint Group Mean Group Median
% of all repairs completed to deadline
78%
% of bednights empty per total bednights
13%
Void loss as % of annual rent due
11%
Current tenant arrears as % of annual gross rental income
8%
Former tenant arrears as % of annual gross rental income
11%
Bad debt writen of
6%
% of departures which were evictons
11%		 73%
8%
9%
8%
7%
4%
6%		 89%
6%
7%
7%
4%
2%
8%		 92%
6%
6%
8%
5%
2%
7%

We use the benchmarking data to inform our housing targets, being mindful that our client group of young people, predominantly in supported housing, have lives that can be more chaotic than other general needs clients.

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Repairs completed on time

Complaints responded to on time

Void loss

Rent collection

Ensuring that performance is managed and monitored

In addition to the key performance measures, we have also achieved the following through procurement activity focusing on quality and price:

Our planning process starts with our strategic plan and identifies the direction in which we are heading. The business plan and financial plan show how we will achieve our goals and what they will cost. During the annual budget process, resources are allocated based on the business plan and financial plan. We also consult individual teamwork plans, so all teams are working together to achieve efficiencies alongside our strategic objectives.

We have policies and procedures in place that guide our staff in day-to-day activities. For example, our procurement policy and procedure, alongside our financial regulations and delegations, guide staff on purchasing decisions and the inter-connection of quality and price.

We are committed to getting feedback from young people through regular surveys and resident ‘speakouts’. This year, we have invested in our Young People Involvement Strategy to ensure we continue to get their feedback and enable them to shape and

influence our services.

We publish evidence in the financial statements to enable our stakeholders to understand:

We also provide evidence regarding the following:

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5. EFFECTIVENESS PLANS FOR 2022-23

We shall address areas of underperformance to improve VfM in these areas:

services to meet the needs of young people.

We want to build on our success and learn from experience to help us fulfil our vision – that means ensuring young people involvement is embedded in every team and in all aspects of our strategy.

We will continue our work to ensure we have a positive impact on the lives of the young people we support. Over the next year, we plan to review our approach to outcomes and impact so we can better demonstrate the effectiveness and value of our interventions. We also review our approach to moving on and resettlement so we can do more in helping young people make positive moves.

How the Board has gained assurance Our Board receives regular reports on:

The development of Centrepoint’s operating model will help us to deliver our mission: a job and a home for every young person. It will reduce administrative tasks, improve performance management and improve the young person experience and outcomes.

Investment policy

We hold our investments to earn revenue on designated and restricted funds until they are required. We also hold reserves for any future shortfall in income to ensure we can continue to provide an uninterrupted high-quality service to young people. Our policy is to hold investments in cash on short-term deposit to be readily available.

Centrepoint’s operating model focuses on ensuring that every young person has access to the opportunities that they need to achieve a job and a home. We have continued to invest in prevention, housing, health, skills and employment, and life skills

We will continue our work to ensure we have a positive impact on the lives of the young people we support.

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Reserves

We hold reserves to ensure the uninterrupted provision of high-quality services to young people. This includes keeping their homes in a good state of repair and continuing to campaign on their behalf to influence public policy appropriately.

Through its Resources Committee, the Board annually reviews the minimum level of reserves it needs to continue activities in the event of financial difficulties. The review takes account of the risks attached to all categories of our income and expenditure. Based on this review, the Board has set a target of achieving general reserves (i.e. free reserves) of at least £5.4 million (£4.7 million in 2020-21).

At the end of 31 March 2022, our unrestricted reserves stood at £34 million, of which £29.3 million has been designated for the various essential activities we plan to carry out in the immediate future or has already been invested in fixed assets. Of the £29.3 million designation, £16 million represents the housing assets where young people live, and other fixed assets such as computers. A further £8 million has been designated to invest in property, including new housing and safe spaces for young people. These funds will be used to purchase properties to help young people move to Independent Living. In the prior year, the trustees designated a further £6.2 million to advance the five-year strategy to end youth homelessness. This includes capital projects for an extensive planned maintenance programme, digital for young people, office accommodation and capacity building.

The remaining £4.9 million of our unrestricted reserves is held in general reserves as an important part of our financial management and planning. This funding will ensure we maintain essential services for young people in the event of financial difficulties or an unplanned setback. This is below the £5.4 million target set by our Board, however is within the tolerance allowed by our reserves policy.

Transfers between funds primarily represent the designation of funds by the Trustees for use for specific purposes and fixed assets purchased through restricted funds.

Financial position

The board reviewed Centrepoint’s detailed annual forecasts for the period to 31 March 2023 and long-term financial plan in November 2021. Stress testing of the long-term financial plan was completed to take into consideration different income and expenditure scenarios, based on our risk profile. As part of signing off these financial statements, the Board have revisited these forecasts and are assured that future plans are affordable, and the financial statements should be prepared on a going concern basis.

Given the strength of the statement of financial position and the availability and liquidity of cash and deposits, the Board believes that while uncertainty exists, scenario planning assures them that this does not pose a material uncertainty that would cast doubt on Centrepoint’s ability to continue as a going concern.

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Internal controls

In recognition of its responsibilities for Centrepoint’s system of internal control, the Trustees have established control systems that aim, in part, to provide reasonable but not absolute assurances against material misstatement or loss.

The controls in place include:

In addition to the general controls described above, specific control systems in respect of computer systems are also in place. These include the restriction of access to computer equipment, systems and suites of programmes, including amendment of standing data to designated personnel, through approved measures such as compulsory use of passwords and access rights.

The Trustees have and continue to review the effectiveness of the system of internal control through delegated authority to appropriate personnel or by engaging outside agencies.

The reviews carried out in the financial year ended 31 March 2022 have not revealed weaknesses in internal control resulting in material losses, contingencies, or uncertainties which the Trustees regard as material, and therefore requiring disclosure in the financial statements.

Risk management

The Board has direct responsibility for overseeing the management of risk.

We seek to be a ‘risk intelligent’ organisation, which means being able to balance risk and opportunity. This may involve providing assurance for risk management processes, and the management and reporting of key risks. It also means creating an appropriate culture and performance management systems to deal with risk appropriately.

We have a formal register that identifies the key risks facing Centrepoint. These are risks that, in our judgement, may have significant effects on the

achievement of our mission, our objectives and our operational performance. The register is updated on an ongoing basis and is formally presented to, and reviewed by, the Audit and Risk Committee at each of its meetings. It is also presented to the Board every quarter.

The current top five risks are:

The key risks identified in our risk register are prioritised in terms of their potential impact and likelihood of occurrence. We consider ways of mitigating the risks and of identifying a lead executive to be responsible for taking any necessary actions.

As well as the register of significant risks, senior managers review the risks in their own area and take appropriate actions to mitigate any emerging risks.

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STREAMLINED ENERGY AND CARBON REPORT (SECR)

The combined energy consumption for the reporting period for Centrepoint was 4,811,508kWh for the year ended 31 March 2022 (2020-21 5,665,605kWh).

The combined greenhouse gas emissions for Centrepoint was 935.7tCO2e for the year ended 31 March 2022 (2020-21 1,165.1tCO2e).

These include the emissions associated with UK electricity and natural gas consumption and business travel in Centrepoint vehicles, as required to be disclosed by the legislation. An intensity ratio of 19 tonnes of CO2e per £million of income (2020-21 26.6 tonnes CO2e) has been calculated to enable future year-on-year comparison against the normalised income.

Energy consumption

The combined energy consumption for the reporting period for Centrepoint was 4,811,508 kWh for the year ended 31 March 2022 (2020-21 5,665,605 kWh).

Table 1: Energy consumption by fuel (kWh)

Metric FY 2021-22 Disclosure Unit
Total energy use
Centrepoint Charity Income 2020-21
Intensity metric		 4,811,508
£48,944,881
98,305		 Kilowat-hours(KWh)
£GBP
Kilowat-hours per £million charity income(KWh/£million)
Electricity consumpton 1,820,221 Kilowat-hours_(KWh)_
Gas consumpton 2,965,743 Kilowat-hours_(KWh)_
Purchased transport fuel consumpton 25,544 Kilowat-hours_(KWh)_

Energy disclosure comparison with previous years

----- Start of picture text -----
Energy use per £million (KWh)
180,000
163,522
160,000
140,000
129,450
120,000
98,305
100,000
80,000
60,000
40,000
8,000,00020,000
2019/20 2020/21 2021/22
Energy use KWh per £million charity income
----- End of picture text -----

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Methodology for energy disclosure – property

Property energy use has been calculated from invoices and billing data for electricity and gas provided for Centrepoint’s property in the UK. The primary consumption data from invoices was not available in aggregate so a calculation has been made from financial data covering the disclosure period. The energy calculation consists of:

Methodology for energy disclosure – transport

The scope of SECR for transport covers situations where Centrepoint pay for the fuel – either for their own vehicles or when reimbursing employees for claims made for using private vehicles for business purposes (mileage claims).

For this disclosure – Centrepoint had two data sets:

This data set was used to estimate the total energy consumption in kilowatt-hours from transport fuel by first converting to an estimate of associated carbon emissions (using the 2021 UK Government conversion factors for company reporting of greenhouse gas emissions. https://www.gov.uk/government/collections/ government-conversion-factors- for-company-reporting)

This figure was then converted into litres of diesel and then kilowatt-hours using conversion factors from the same source.

12 Actual Quantity (AQ) - Is the sum of the annual consumption of all meters on a site. This comes from National Grid and is based on historical usage from previous years and therefore does not constitute actual consumption for the 2020-21 period – but can be used for validation purposes.

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Table 2: Carbon disclosure (greenhouse gas emissions)

Metric FY 2021-22 Disclosure Unit
Total carbon disclosure 935.7 Tonnes carbon dioxide equivalent_(tCO2e)_
Intensity metric 19 Tonnes carbon dioxide equivalent per £million charity income
(tCO2e/£million)
Breakdown:
Scope 1 direct 545 Tonnes carbon dioxide equivalent(tCO2e)
Scope 2 indirect 386 Tonnes carbon dioxide equivalent(tCO2e)
Scope 3 indirect 4.7 Tonnes carbon dioxide equivalent(tCO2e)

Scope 1. Direct carbon emissions

Scope 1 covers the direct emissions from owned or controlled sources.

For Centrepoint, this includes the greenhouse gas emissions from the gas consumed in boilers for hot water and space heating and any emissions from the company van.

Scope 2. Indirect carbon emissions

Scope 2 covers the indirect emissions from the generation of purchased electricity, steam, heating and cooling consumed by the reporting company.

For Centrepoint, this includes greenhouse gas emissions from all electricity taken from the National Grid.

Scope 3. Indirect carbon emissions

Scope 3 includes all other indirect emissions that occur in a company’s value chain.

For Centrepoint this includes emissions from the employee use of their own vehicle for business travel. It should be noted that this excludes other sources of indirect Scope 3 emissions such as those related to other forms of business travel (e.g. public transport), procurement, investments, waste disposal and others.

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Carbon comparison with previous years

Energy and carbon reduction

Carbon per £million (tonnes CO2e)

----- Start of picture text -----
40.0
35.7
35.0
30.0
26.6
25.0
19.1
20.0
15.0
10.0
5.0
8,000,0000.0
2019/20 2020/21 2021/22
Energy use KWh per £million charity income
----- End of picture text -----

Carbon footprint calculation methodology

The carbon disclosure was calculated using the methodology set out in The Greenhouse Gas Protocol – Corporate Accounting and Reporting Standard. This is downloadable from https://ghgprotocol.org/sites/default/files/standards/ ghg-protocol-revised.pdf.

The greenhouse gas emission factors used in the calculations were the 2020 UK Government conversion factors for company reporting of greenhouse gas emissions.

These are downloadable from:

https://www.gov.uk/government/collections/government-conversion-factorsfor-company- reporting

Centrepoint continues to develop a collaborative approach to environmental and sustainability within its property management activities that over the longer-term creating opportunities for both staff and young persons in residence.

The property management team working with external consultants have undertaken full and detailed property surveys resulting in the development of a structured planned maintenance programme across our property portfolio. The Centrepoint Board have approved a significant budget for this work to be undertaken and additional resources. The Facilities team working with the New Ways of Working Group are developing improvements to our offices including ventilation, heating, and lighting and where possible this will be included when planned works are scheduled.

Throughout the period since our last report the majority of staff have worked from home for extended periods and when required to do so through government legislation. A conscious decision was made by the Centrepoint Senior Management to encourage staff to return to the office at least once or twice a week, when possible. However, as with last year our reduced business mileage has resulted in maintaining previous reductions in our carbon footprint.

At the end of March 2022, our two-year fixed price gas contract came to an end and a new contract at a significantly higher price due to government removing the cap on pricing and the global shortage was negotiated and put in place. The impact on the changes will be monitored during 2022-23.

The Facilities team continue to work towards ISO14001 Certification with the environmental procedures manual close to completion. The aspects and impacts register and legal register have been completed. A pre-audit is scheduled for the end of July 2022.

Where practicable the recommendations from the Energy Savings Opportunities Scheme (ESOS) report have been actioned.

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HEALTH AND SAFETY

We are committed to the continual improvement of our health and safety performance. We recognise our duty of care to our staff, volunteers, and members of the public and to the young people using our services. To ensure that our policy is implemented and maintained, we have a health and safety management system in place to assist with the compliance of health and safety legislation and good practice.

We review our health and safety policies on a rolling programme and review them annually at a minimum. The Chief Executive Officer will review the health and safety policy and its arrangements on a biannual basis with the Board of Trustees.

The 2021-22 People Health and Safety Strategy is based on the continual improvement of the health, safety and wellbeing of all staff, young persons and visitors, and achieving and maintaining legal compliance. The strategy requires reviewing and updating to ensure that it captures all current practices. The main objectives are:

PUBLIC BENEFIT

The Trustees have viewed the Charity Commission’s general guidance on public benefit and its supplementary guidance on fee-charging and are satisfied that we provide considerable public benefit as demonstrated in this report. We have referred to the guidance when reviewing our purpose and mission. In particular, consideration is given to how the planned future activities will contribute to our strategy.

All staff and Trustees are covered for professional indemnity under Centrepoint’s insurance policy.

Managing risk

Lone Working

Risk assessments have been completed by all services and training for staff is provided. This is ongoing along with safety devices being distributed to users at each service location.

We are committed to the continual improvement of our health and safety performance. We recognise our duty of care to our staff, volunteers, and members of the public and to the young people using our services

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STRUCTURE, GOVERNANCE AND MANAGEMENT

Structure and decision-making process

Centrepoint is a registered charity legally organised in the form of a company limited by guarantee and governed by its articles of association. The Board of Trustees are members of the company and their liability in the event of the company being wound up is limited to £1 each. Centrepoint is also a registered provider and acts entirely as a non-profit organisation.

It has two subsidiary companies – CP Trading Limited and The American Friends of Centrepoint. CP Trading Limited is a non-charitable company that gifts all its profits to the charity. The American Friends of Centrepoint is a charitable company registered in New York which donates its income to Centrepoint. We have consolidated the results of these subsidiaries into these financial statements.

Centrepoint is controlled by a Board of Trustees, as set out on page 85. The Trustees are volunteers who have distinguished careers in a wide variety of activities. They provide the full range of experience and expertise required to add significant value to the work of the charity. They do not receive any remuneration for their roles as Trustees.

Trustees are recruited through a combination of newspaper adverts, recruitment consultants and referrals. They are appointed for three-year periods but may be re-elected twice, subject to performance and need. Newly appointed Trustees

receive a letter of appointment and an induction programme that covers general responsibilities, committee membership and involvement outside formal Trustee meetings. Ongoing training for Board members consists of training courses, regular spotlights at Board meetings and away day that include horizon scanning and sector developments.

The Board sets the overall mission, direction, and strategies for successful fulfilment of Centrepoint’s purposes and continued development as a viable enterprise. It scrutinises performance to secure effective implementation of strategy, exercises overall accountability to major stakeholders and oversees major policies and policy positions. Details of implementation are the responsibility of the Senior Executive Team (SET), led by the Chief Executive Officer.

To perform its role effectively, the Board has established the Audit and Risk Committee, the Resources Committee, and the Remuneration Committee.

The Audit and Risk Committee is responsible for detailed oversight of safeguarding, corporate assurance and risk management, compliance, internal control, internal audit, and external audit. It comprises four board members and meets at least three times each year.

The Resources Committee is responsible for oversight of finances, people, property, major

investments, and technology matters. It comprises four board members and meets at least three times each year.

The Remuneration Committee is responsible for senior executive remuneration policy and for reviewing executive performance and setting senior executive pay annually. It also acts as a nominations committee and in that role is responsible for Board renewal. It comprises three board members and meets as required but at least once a year.

The full Board meets every quarter to deal with major strategic issues, including taking stock of the operating environment and its impact on the organisation; scrutinise performance in relation to its strategic intent and objectives; and receive reports of its committees. Two further meetings are held each year in the early autumn and late winter to review strategy and adjust direction if necessary.

The Trustees, who are also the Directors of the company, have implemented the recommendations of the National Housing Federation (NHF) code of governance in the context of Centrepoint’s features as a charity and will continue to abide by the principles and requirements of the Code.

The Trustees have reviewed the Governance and Financial Viability Standard Code of Practice, introduced by the Regulator of Social Housing, and have assessed that Centrepoint fully complies with it.

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CORPORATE SOCIAL RESPONSIBILITY

STATEMENT BY THE TRUSTEES IN PERFORMANCE OF THEIR STATUTORY DUTIES IN ACCORDANCE WITH S172(1) COMPANIES ACT 2006

The Board (both individually and collectively) consider that they have responsibly and appropriately discharged their duties under the Companies Act 2006 to act in the way that they consider, in good faith, would be most likely to promote the success of the Company for the benefit of its members as a whole, having due regard in doing so for the matters set out in s172 (1) (a) to (f) in the Act.

During the year ended 31 March 2022, the Board exercised its duties to set the group’s strategy and values, approve its operating plans, policies, processes, and oversee its management structures, amongst others.

Key decisions during the year related to approval of the long-term financial plan, including plans for property repairs and planned maintenance; approval of the budget for the forthcoming period; approval of the purchase of properties in the London Borough of Hammersmith and Fulham; involvement of young people; rejection of proposals to offer an Alternative to Custody service for youth offenders; approval of plans for environmental sustainability and carbon neutrality; approval of plans to maintain equity, diversity and inclusion at all levels; and approval of the direction of the Independent Living Programme. In making these decisions, the Board considered the views of stakeholders as appropriate.

BUSINESS FOR GOOD AND COMMUNITY INVOLVEMENT

We are the UK’s leading charity for homeless young people. At Centrepoint, our vision is to end youth homelessness by 2037 and our mission is to give homeless young people a future. We support around 12,500 homeless 16-25 year olds into a home and a job every year, working directly in London, Manchester, Yorkshire and the North East of England, and partner with other organisations across the UK. We also influence government policy with the overall aim of ending youth homelessness. HRH, The Prince of Wales is our Patron.

Centrepoint works in partnership with local authorities through contractual relationships. Local authorities have statutory responsibilities to provide support and accommodation to certain groups of vulnerable young people. The first group are young people assessed by the authority to be at risk of homelessness (usually 16- to 17-year-olds, and 18-year-olds who have specific vulnerabilities). The second group are young people who are preparing to leave the care system who are 16 to 21 years old.

We also influence government policy with the overall aim of ending youth homelessness.

YOUTH HOMELESSNESS: THE BIG PICTURE

Our research estimates 122,000 young people in the UK asked for help from their local council in 2020-21 because they were homeless or at risk of homelessness. We supported more than 12,646 young people directly and through our partnerships across the UK during 2021-22. We operate 830 supported housing bed spaces. We support 551 people through floating support.

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OUR IMPACT FOR GOOD WITHIN THE COMMUNITY

WHO WE SUPPORT

For the Financial Year 2021-22:

92%

of young people moving on from Centrepoint positively. (sector standard measure – Positive Moves).

65%

of young people moving on in EET.

6,877 young people supported by the Centrepoint Helpline.

55%

of Centrepoint residents who took Centrepoint Works training finished with a qualification.

56%

of young people whose health has improved as a result of interventions. (Positive Clinical or Reliable Change).

----- Start of picture text -----
24%
of Centrepoint residents have slept rough.
38%
of Centrepoint residents are care leavers.
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14% of Centrepoint residents are aged 16 or 17.

60% of Centrepoint residents identify as male, 39% as female, and 1% as transgender.

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63%
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of Centrepoint residents are BAME.

6% of Centrepoint residents are refugees. (with Refugee Status only).

8% of Centrepoint residents have a disability.

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OUR COMMITMENT

We are committed to providing an excellent service to young people. Our Customer Satisfaction Survey May 2021 results suggest that 91% of young people we support feel safe and 89% feel satisfied. We have provided a quality service, but we know that there is always room for improvement. To find ways that we can improve, we involve young people and the community we serve in our process of continuous progression.

OUR PEOPLE

We are dedicated to offering young people a caring and considerate environment. We want to reflect that same level of care and consideration internally for all team members. We focus on equality and respect for young people, and we want to extend that focus to create an equal experience for every team member at Centrepoint.

We want to build a resilient, caring, and inclusive organisation where the way you develop your career, manage your work-life, receive recognition, and get paid feels fair, consistent and transparent.

TECHNOLOGY

We have invested in technology which has enabled over 200 staff members to work remotely. Our resilience as an organisation has in part been down to our ability to adapt to ongoing changes in government guidance, as well as cultural shifts. Thanks to a significant improvement to our core IT platform, it can now support staff to move to a hybrid way of working. As such, the next phase of IT projects will see improvements made to Centrepoint’s desktop, allowing a more seamless, collaborative experience, and ensuring the proliferation of hybrid working across the organisation.

ENGAGEMENT

Empowering our people, and having all voices heard, is of great importance to us. Our last Employee Survey, January 2022, found that 87% of employees would recommend Centrepoint as a good employer.

Staff Survey – January 2022

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I would recommend Centrepoint as a good employer.
Target 80%
206
respondents 0% 87% 100%
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EQUALITY AND DIVERSITY

The most important thing we have done is to ensure, through the establishment of diversity networks, Inclusion Week and regular communications, that diversity remains an important consideration for all staff, in any work they do. We want Centrepoint to be an inclusive organisation, where staff feel comfortable to be their authentic selves. We want to celebrate our differences and appreciate what those differences can bring. By pushing diversity up the organisational agenda we are seeing a change in how individuals approach the recruitment selection process. Other activities, which have, or are taking place within the people team, include:

By undertaking these activities, we can demonstrate that we have increased the representation of Black, Asian, and ethnic minority staff in grades 1-3 in the last 12 months. Further work is required, including the Modular Development Programme, the Allyship programme, the appointment of an EDI lead, increased use of equality impact assessments throughout the organisation and minority/ underrepresented focused progression projects.

Optimise - B12. Diversity and Inclusion

----- Start of picture text -----
BOARD OF TRUSTEES
AND SET
MARCH 2022 0% 30% 100%
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Optimise - B12. Diversity and Inclusion

----- Start of picture text -----
Target 30%
0% 10% 100%
----- End of picture text -----

GRADE 1-3 MARCH 2022

Optimise - B12. Diversity and Inclusion

----- Start of picture text -----
Target 50%
0% 35% 100%
----- End of picture text -----

GRADE 4-5

MARCH 2022

Optimise - B12. Diversity and Inclusion

----- Start of picture text -----
0% 50% 100%
----- End of picture text -----

GRADE 6-9 MARCH 2022

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CENTREPOINT’S BENEFITS

Staff have access to a wide range of benefits, including annual leave, cycle to work scheme, employee assistance programme, osteopathy discount, pension, payroll giving, and travel loans.

FUTURE PEOPLE PLANS

Our People Strategy aims to build an employeeinformed and people-driven culture. It is comprised of six pillars:

THE SIX PILLARS OF PEOPLE STRATEGY

1 2 3 4 5 6 Manager Fair and Leadership and Wellbeing and Internal Future proofing Capability: Transparent Culture: Inclusion: Communications the organisation: Processes: and Employee Engagement: We are investing in our We are reviewing and We are providing clarity To create an environment Ensuring our teams are Operational discipline current and future improving our processes for leaders at all levels of where every team member informed, aligned and around proactive resource managers, so they feel to provide a fair and the organisation around feels safe, included and engaged, with access to planning to ensure we can transparent approach to what it means to be a well. A consistently robust the right information when effectively deliver. A empowered to make our talent management, leader at Centrepoint, and caring working they need it. We will be culture of learning and decisions and have the career development, reinforcing our values, and environment for all team listening and responding growth supported by right tools and resources performance management bringing them to life members underpinned by to feedback in a timely reflective practice, use of at their fingertips. and compensation. through policies, practices aligned policies and way, as well as celebrating insights and evidence and Through this, we are and daily interactions. practices. our successes. performance development. creating an employee experience that attracts and retains talent.

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ACHIEVEMENTS SO FAR FOR THE PEOPLE STRATEGY

Manager Capability

Fair & Transparent Processes

Leadership & Culture

Wellbeing & Inclusion

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training programmes. In our last Employee Survey reviewing October 2020 – January 2022, we found that that 89% of our employees felt that Centrepoint is dedicated to diversity and inclusion, that 83% felt that they could bring their whole self to work and that 89% felt supported in their wellbeing by their manager.

Internal Communications & Engagement

Future Proofing the Organisation

• Social media recruitment campaign

The impact of the People Strategy and its effect on our staff will be reviewed over the next year and continue to be reviewed into future years. This is done by speaking to staff, collecting survey data and looking at corresponding people and business metrics.

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STATEMENT OF TRUSTEES’ RESPONSIBILITES

The trustees (who are also directors of Centrepoint for the purposes of company law) are responsible for preparing the strategic report, annual report and the financial statements in accordance with applicable law and regulations.

Company law and social housing legislation requires the trustees to prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). 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 affairs of the group and charity, and of the net income or net expenditure of the group and charity, for that period.

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the group and charity’s transactions. They must also disclose, with reasonable accuracy and at any time, the financial position of the group and charity, to ensure that the financial statements comply with the Companies Act 2006, the Housing and Regeneration Act 2008 and the Accounting Direction for Private Registered Providers of Social Housing 2019. They are also responsible for safeguarding the assets of the charity, and as such, for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustees are responsible for ensuring that the report of the trustees is prepared in accordance with the Statement of Recommended Practice: Accounting by registered social housing providers 2018.

Financial statements are published on the group’s website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements, which may vary from legislation in other jurisdictions. The maintenance and integrity of the group’s website is the responsibility of the trustees. The trustees’ responsibility also extends to the ongoing integrity of the financial statements contained therein.

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DISCLOSURE OF INFORMATION TO AUDITORS

In so far as the Trustees are aware:

Further information about getting help, the issue of youth homelessness, the solution and getting involved can be found on our website www.centrepoint.org.uk.

The Trustees’ Report, prepared under the Charities Act 2011, which also contains all information required in a Trustees’ Report by the Companies Act 2006, and the incorporated Strategic Report, prepared under the Companies Act 2006, were approved by the Board, as Trustees and Directors, on 4 August 2022 and signed on its behalf by:

Symon Elliott, Oluseyi Obakin, Chair Secretary

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INDEPENDENT AUDITORS REPORT

TO THE MEMBERS OF CENTREPOINT SOHO

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OPINION ON THE FINANCIAL STATEMENTS

In our opinion, the financial statements:

We have audited the financial statements of Centrepoint Soho (“the company”) and its subsidiaries (“the group”) for the year ended 31 March 2022 which comprise the consolidated statement of financial activities (incorporating an income and expenditure account), the consolidated and company statement of financial position, the consolidated cash flow statement 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 Group and Parent Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements.

CONCLUSIONS RELATED TO GOING CONCERN

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

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group and the parent 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.

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OTHER INFORMATION

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

We have nothing to report in this regard.

OPINIONS ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006

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

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:

RESPONSIBILITIES OF TRUSTEES

As explained more fully in the Statement of Trustees’ Responsibilities, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ Report (incorporating the strategic report).

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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.

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 below:

Based on our understanding of the company and the sector in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to their registration with the Regulator of Social Housing, the Charities Commission and Companies House, and we considered the extent to which non-compliance might have a material effect on the Financial Statements or their continued operation. We also considered those laws and regulations that have a direct impact on the financial statements such as compliance with tax legislation.

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We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate journal entries to manipulate financial results and management bias in accounting estimates.

The audit procedures to address the risks identified included:

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 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 members of the company, as a body, in accordance with the Housing and Regeneration Act 2008 and Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Association’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 Company and the members as a body for our audit work, for this report, or for the opinions we have formed.

Laurence Elliott (Senior Statutory Auditor)

For and on behalf of BDO LLP, Statutory Auditor 2 City Place Beehive Ring Road Gatwick RH6 0PA

Date: 30 September 2022

BDO LLP is a limited liability partnership registered in England and Wales (with registered number OC305127).

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CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES

(INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2022

Note Unrestricted Unrestricted Restricted & Total Total
General Designated Endowment 2022 2021
£’000 £’000 £’000 £’000 £’000
Income from
Donatons & legacies 2a 23,804 – 9,075 32,879 26,458
Charitable actvites 2b 16,786 178 60 17,024 16,921
Investment income 6 – – 6 16
Other 2c 264 49 26 339 627
Total income 4 40,860 227 9,161 50,248 44,022
Expenditure on
Raising donatons & legacies 2d 10,195 – 1,180 11,375 10,423
Raising Funds 10,195 – 1,180 11,375 10,423
Net income for charitable applicaton 30,665 227 7,981 38,873 33,599
Expenditure on charitable actvites
Support
Support & housing 21,502 1,255 700 23,457 22,292
Health 653 1 738 1,392 1,363
Skills & employment 1,305 7 319 1,631 2,013
Amplify
Partnering with other YP services 169 – 10 179 231
Policy & infuence
Preventon		 271 – 16 287 266
Preventon 1,111 12 329 1,452 1,339
Total charitable expenditure 2d 25,011 1,275 2,112 28,398 27,504
Net income/(defcit) 5,654 (1,048) 5,869 10,475 6,095
Transfers 13 (5,169) 6,024 (855) – –
Net movements in funds 485 4,976 5,014 10,475 6,095
Reserves brought forward 4,422 24,344 3,930 32,696 26,601
Reserves carried forward 13 4,907 29,320 8,944 43,171 32,696

All of the above results relate to continuing activities. These financial statements were approved and authorised for issue by the Board of Trustees on 3 August 2022 and signed on their behalf by:

Symon Elliott, Chair Robert Kerse, Treasurer

Centrepoint Soho Financial Statements 2021-22 | Consolidated statement of financial activities

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CONSOLIDATED AND PARENT STATEMENT OF FINANCIAL POSITION

AS AT 31 MARCH 2022, COMPANY REGISTRATION NUMBER 01929421

Note 2022 2022 2021 2021 2021
£’000 £’000 £’000 £’000
Company Group Company Group
Fixed assets
Intangible assets and goodwill 8a 147 147 261 261
Housing propertes 8b 32,825 32,825 26,619 26,619
Depreciaton and impairment on housing propertes 8b (5,125) (5,125) (4,538) (4,538)
Net housing propertes 27,700 27,700 22,081 22,081
Other tangible fxed assets 8b 1,961 1,961 2,096 2,096
Investments 12 24 – 24 –
29,832 29,808 24,462 24,438
Current assets
Debtors 9 5,081 5,062 4,732 4,713
Cash deposits 3,202 3,202 3,202 3,202
Cash at bank and in hand 22,767 22,801 19,149 19,185
31,050 31,065 27,083 27,100
Creditors: amounts falling due within one year 10 (5,835) (5,835) (5,703) (5,703)
Net current assets 25,215 25,230 21,380 21,397
Total assets less current liabilites 55,047 55,038 45,842 45,835
Creditors: amounts falling due afer one year 11 (11,867) (11,867) (13,139) (13,139)
Net assets 43,180 43,171 32,703 32,696
Reserves
Restricted reserves
Permanent endowment fund 13 172 172 172 172
Restricted reserves 13 8,772 8,772 3,758 3,758
Total restricted reserves 8,944 8,944 3,930 3,930
Unrestricted reserves
Designated 13 29,320 29,320 24,344 24,344
General 13 4,916 4,907 4,429 4,422
Total unrestricted reserves 34,236 34,227 28,773 28,766
Total reserves 43,180 43,171 32,703 32,696

Centrepoint is a company incorporated in England and Wales and has taken advantage of section 408 of the Companies Act 2006 and has not included its own SoFA (Profit and Loss Account) in these financial statements. The parent company’s surplus for the year was £10.5 million (2021 £6.1 million).

Symon Elliott, Chair Robert Kerse, Treasurer

These financial statements were approved and authorised for issue by the Board of Trustees on 3 August 2022 and signed on their behalf by:

Centrepoint Soho Financial Statements 2021-22 | Consolidated and parent statement of financial position

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CONSOLIDATED CASH FLOW STATEMENT

FOR THE YEAR ENDED 31 MARCH 2022

FOR THE YEAR ENDED 31 MARCH 2022
Note 2022 2022 2021 2021
£’000 £’000 £’000 £’000
Net cash generated by operatons 18 9,936 7,324
Interest 6 16
Capital expenditure (7,414) (1,010)
Proceeds from sale of tangible fxed assets 457 309
Purchase of intangible fxed assets (20) (87)
Social housing grants and other public grants received 651 (427)
Cash (used in) investng actvites (6,320) (1,199)
Increase in cash and cash equivalents 3,616 6,125
Cash and cash equivalents at the beginning of the year 19 22,387 16,262
Cash and cash equivalents at the end of the year 19 26,003 22,387

Centrepoint Soho Financial Statements 2021-22 | Consolidated cash flow statement

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NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2022

1. ACCOUNTING POLICIES

own SoFA (Profit and Loss Account) in these financial statements. The parent company’s surplus for the year was £10.5 million (2021 £6.1 million).

The following accounting policies have been applied consistently in dealing with items that are considered to be material in relation to the financial statements of Centrepoint.

a. Basis of accounting

The financial statements have been prepared under the historical cost convention and in accordance with UK General Accepted Accounting Practice (FRS102), the Statement of Recommended Practice Accounting for Registered Social Housing Providers 2018 (Housing SORP), the Accounting Direction for Private Registered Providers of Social Housing 2019 and Accounting and Reporting by Charities: Statement of Recommended Practice 2019 (Charities SORP). Centrepoint is a public benefit entity.

Centrepoint is both a registered charity and a registered social landlord and sees both of these areas represented significantly in its activities. In particular, it receives a large amount of charitable income and incurs expenditure to do this. As a leading UK charity, the trustees have prepared these financial statements to both comply with applicable accounting standards and reflect its purpose.

To ensure compliance with the Housing SORP, in addition to the inclusion of a Statement of Financial Activities, a separate Statement of Comprehensive Income and Statement of Changes in Funds have been presented in notes 24 and 25. Furthermore, the Statement of Financial Activities and related notes have been configured to separate the performance of housing and non-housing activities.

Centrepoint is a company incorporated in England and Wales and has taken advantage of section 408 of the Companies Act 2006 and has not included its

The financial statements are presented in Sterling (£) and rounded to the nearest whole £1,000, except where otherwise indicated.

The Board reviewed Centrepoint’s forecasts for the period to 31 August 2024 and the long- term financial plan for the five-year period to 31 March 2027 and were assured that these plans were affordable and that the financial statements should be prepared on a going concern basis.

However, the impact of the pandemic outbreak, Brexit, the impacts of inflation and the war in Ukraine and its financial effect has meant that the Senior Executive Team (SET) and Board have reviewed financial plans for the next 12 months and the long-term financial plan to ensure Centrepoint can remain a going concern. Centrepoint has modelled a number of scenarios based on current estimates of donations. The board will continue to review plans with SET to make the necessary changes to continue to work with our stakeholders to deliver exceptional services in a friendly, solution-focused way.

The pandemic is by no means over but in 2022, we have a better understanding of the effect it has had on us as an organisation and thus what it means for our finances. As such, we have processes in place to manage cash flow on a regular basis and review our financial stability regularly.

Based on forecasts, given the strength of the statement of financial position and availability and liquidity of cash and deposits, the board are assured that, while uncertainty exists, this does not pose a material uncertainty that would cast doubt on Centrepoint’s ability to continue as a going concern. The Board, therefore, consider it appropriate for the financial statements to be prepared on a going concern basis.

Centrepoint Soho Financial Statements 2021-22 | Notes to the financial statements

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1. ACCOUNTING POLICIES CONTINUED

b. Income

Income is generally recognised on a receivable basis and is reported gross of related expenditure, where the amount is probable and when there is adequate probability of receipt. The specific bases used are as follows:

c. Basis of consolidation

d. Adoption of FRS 102

e. Expenditure

Expenditure is recognised when it is incurred and is reported gross of related income on the following basis:

Centrepoint Soho Financial Statements 2021-22 | Notes to the financial statements

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1. ACCOUNTING POLICIES CONTINUED

Support costs represent centrally incurred costs, principally relating to Finance, Information and Communication Technology, Human Resources, Compliance, Information and Management, which cannot be attributed to specific activities but provide the organisational infrastructure that enables those activities to take place. Support costs are allocated on a per capita basis, based on the number of people employed within an activity.

f. Fund accounting

g. VAT

All income and expenditure is shown exclusive of VAT. Any irrecoverable VAT is included as part of general expenditure.

h. Taxation

Centrepoint is a registered charity and is, therefore, exempt from taxation of income and gains falling within Sections 478-488 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992 to the extent these are charitably applied. No tax charge has arisen in the year.

i. Operating leases

Payments made under operating leases are charged to the statement of financial activities as incurred.

j. Fixed asset investments

Fixed asset investments comprise investments in subsidiary undertakings and are recorded at cost less provision for any impairment.

k. Intangible fixed assets

Intangible fixed assets include software licences and are capitalised and writtenoff evenly over the duration of the licence.

Goodwill is capitalised and written-off evenly over ten years as in the opinion of the Trustees, this represents the period over which the goodwill is expected to give rise to economic benefits.

l. Tangible fixed assets – housing properties

Housing properties are properties for the provision of social housing and are principally available for rent.

Hostel and housing properties are stated at cost less provision for any impairment in value. As a result of the introduction of component accounting in the RSL SORP 2018, components of properties are recorded at cost and depreciated over their estimated useful life.

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1. ACCOUNTING POLICIES CONTINUED

The components of housing property and their estimated useful lives are:

Component Estmated useful
life in years
Land Not depreciated
Structure
Kitchens
Bathrooms
Central heatng systems
Boilers		 100
15
15
30
10
Lifs 30
Roofs 60
Windows
Doors
Electrical wiring		 30
20
30

Housing properties under the course of construction are recorded at cost less provision for impairment in value and are not depreciated until they are brought into use.

Leasehold properties are stated at cost and depreciated evenly over the length of the lease, or useful life, if shorter.

Other fixed assets are stated at cost and depreciate on a straight-line basis, as follows:

Asset Estmated useful
life in years
Vehicles 5
Equipment 3
Furniture 4

m. Capitalisation of development overheads

Directly attributable development administration costs are capitalised. These include the staffing costs of employees arising from the acquisition or construction of the property and the incremental costs that would have been avoided if the property had not been acquired or constructed.

n. Impairments of fixed assets

An assessment is made at each reporting date, at scheme level, of whether there are indications that a fixed asset (including housing properties) may be impaired or that an impairment loss previously recognised has fully or partially been reversed. If such indications exist, Centrepoint estimates the recoverable amount of the asset.

Shortfalls between the carrying value of fixed assets and their recoverable amounts, being the higher of fair value less costs to sell and value-in-use of the asset based on its service potential, are recognised as impairment losses in the SoFA.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Reversals of impairment losses are recognised in income and expenditure. On reversal of an impairment loss, the depreciation or amortisation is adjusted to allocate the asset’s revised carrying amount (less any residual value) over its remaining useful life.

o. Cyclical maintenance

Cyclical maintenance is carried out as required and charged to the SoFA in the year in which it is carried out.

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1. ACCOUNTING POLICIES CONTINUED

p. Managed properties

All income and expenditure incurred by Centrepoint relating to services where the properties are owned by partner associations and managed by Centrepoint have been accounted for in these financial statements.

q. Pension costs

Centrepoint has a defined contribution pension scheme. The amount charged to the SoFA in respect of pension costs and other post-retirement benefits is the contributions payable in the year. Differences between contributions payable in the year and contributions actually paid are shown as either accruals or prepayments in the statement of financial position.

r. Current asset investments

Cash deposits

This includes cash on deposit and cash equivalents with a maturity of less than one year held for investment purposes rather than to meet short-term cash commitments as they fall due.

Cash at bank and in hand

This is held to meet short-term cash commitments as they fall due rather than for investment purposes and includes all cash equivalents held in the form of short-term highly liquid investments.

s. Government grants

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received. Government grants received for housing properties are recognised in income over the useful economic life of the structure of the asset and, where applicable, the individual components of the structure (excluding land) under the accruals model.

Government grants relating to revenue are recognised as income over the periods when the related costs are incurred once reasonable assurance has been gained that Centrepoint will comply with the conditions and the funds will be received.

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1. ACCOUNTING POLICIES CONTINUED

t. Financial instruments

The group has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102, in full, to all of its financial instruments.

Financial assets and financial liabilities are recognised when Centrepoint becomes a party to the contractual provisions of the instrument, and are offset only when Centrepoint currently has a legally enforceable right to set off the recognised amounts and intends either to settle on a net basis or to realise the asset and settle the liability simultaneously.

u. Employee benefits

The best estimate of the expenditure required to settle an obligation for termination benefits is recognised immediately as an expense when Centrepoint is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

v. Critical accounting estimates, assumptions and areas of judgement

The key assumptions relate to the useful lives of social housing assets and components included in note 1(l) and note 8 (b) and the bad debt provision, set out in note 9, under tangible fixed assets and debtors. We undertake impairment reviews across our supported housing portfolio, at each reporting date, to ascertain whether an indicator of impairment exists. If such an indicator exists, we carry out an impairment assessment and estimate the recoverable amount of the asset or cash-generating unit (CGU). The carrying amount is compared to the recoverable amount to determine any impairment loss.

Key judgements that Centrepoint has made which have a significant impact on the accounts include legacy income (see (1)(b) above and note 2 below). The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

69

2. ANALYSIS OF INCOME

a. Analysis of donations and legacies

a. Analysis of donations and legacies
Individualgiving
Legacyand in memoriam
Corporate donatons(includingRegional and EYH)
Independent Livingappeal		 2022
£’000
17,932
1,372
4,793
4,947		 2021
£’000
16,860
1,004
5,421
72
Statutoryand trust donatons
Major donors
Other donatons andgifs		 1,332
1,706
797		 1,473
1,038
590
32,879 26,458

b. Analysis of income from charitable activities

Other
Rent and
Supported		 grants and
charges
£’000		 housing grant
£’000		 contracts
£’000		 Total
£’000
2022
Support
Support & housing 7,701 8,310 205 16,216
Health – – 25 25
Skills & employment – – 123 123
Amplify
Partneringwith other YP services
Preventon		 – – – –
Preventon – – 660 660
Total 7,701 8,310 1,013 17,024
2021
Support
Support & housing 7,332 8,415 379 16,126
Health – – – –
Skills & employment – – 250 250
Amplify
Partneringwith other YP services
Preventon		 – – – –
Preventon – – 545 545
Total 7,332 8,415 1,174 16,921

c. Analysis of other income

c. Analysis of other income
2022 2021
£’000 £’000
Surplus on disposal of fxed assets 49 –
Other income 290 161
Coronavirusjob retenton scheme – 466
339 627

d. Analysis of expenditure

d. Analysis of expenditure
Staf Other direct Support Total
costs costs costs
£’000 £’000 £’000 £’000
2022
Support
Support & housing 11,331 9,696 2,430 23,457
Health 990 190 212 1,392
Skills & employment 841 361 429 1,631
Amplify
Partneringwith other YP services 99 39 41 179
Policy& Infuence
Preventon		 140 33 114 287
Preventon 951 140 361 1,452
Total direct charitable expenditure 14,352 10,459 3,587 28,398
Raisingdonatons & legacies 2,873 7,960 542 11,375
Total expenditure 17,225 18,419 4,129 39,773
2021
Support
Support & housing 11,884 8,208 2,200 22,292
Health 1,002 177 184 1,363
Skills & employment 1,191 461 361 2,013
Amplify
Partneringwith other YP services 90 105 36 231
Policy& Infuence
Preventon		 107 62 97 266
Preventon 802 232 305 1,339
Total direct charitable expenditure 15,076 9,245 3,183 27,504
Raisingdonatons & legacies 2,727 7,232 464 10,423
Total expenditure 17,803 16,477 3,647 37,927

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3. ANALYSIS OF SUPPORT AND GOVERNANCE COSTS

Governance costs are included within the support costs above.

----- Start of picture text -----
Human
Finance ICT Resources Management Governance Total
£’000 £’000 £’000 £’000 £’000 £’000
2022
Support
Support & housing 696 1,005 391 217 121 2,430
Health 72 84 33 18 5 212
Skills & employment 144 168 65 36 16 429
Amplify
Partnering with other YP services 14 16 5 4 2 41
Policy & influence 39 45 18 10 2 114
Prevention
Prevention 121 141 55 31 13 361
Optimise
Raising funds 184 213 83 46 16 542
Total 1,270 1,672 650 362 175 4,129
2021
Support
Support & housing 770 829 291 185 125 2,200
Health 62 70 25 15 12 184
Skills & employment 127 137 47 31 19 361
Amplify
Partnering with other YP services 12 13 4 3 4 36
Policy & influence 36 37 13 8 3 97
Prevention
Prevention 108 116 40 26 15 305
Optimise
Raising funds 171 177 62 39 15 464
Total 1,286 1,379 482 307 193 3,647
----- End of picture text -----

Centrepoint Soho Financial Statements 2021-22 | Notes to the financial statements

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4. PARTICULARS OF TURNOVER AND SOCIAL HOUSING ACTIVITIES

2022 2022 2022 2021 2021 2021 2021
Turnover Operatng cost Surplus / (defcit) Turnover Operatng cost Surplus / (defcit)
Group £’000 £’000 £’000 £’000 £’000 £’000
Social housing letngs
Gross rental income 7,701 (10,921) (3,220) 7,332 (9,781) (2,449)
Supported housing grant 8,310 (11,784) (3,474) 8,415 (11,226) (2,811)
Other grants and contracts 205 (291) (86) 379 (506) (127)
16,216 (22,996) (6,780) 16,126 (21,513) (5,387)
Non-Social housing actvites
Support
Support & housing – (461) (461) – (779) (779)
Health 25 (1,392) (1,367) – (1,363) (1,363)
Skills & employment 123 (1,631) (1,508) 250 (2,013) (1,763)
Amplify
Partnering with other YP services – (179) (179) – (231) (231)
Policy & infuence
Preventon
Preventon
Optmise
Raising funds		 –
660
32,879		 (287)
(1,452)
(11,375)		 (287)
(792)
21,504		 –
545
26,458		 (266)
(1,339)
(10,423)		 (266)
(794)
16,035
Other 339 – 339 627 – 627
Investment income 6 – 6 16 – 16
50,248 (39,773) 10,475 44,022 (37,927) 6,095
2022 2021
£’000 £’000
Social housing income
Rental income net of identfable service charges 4,996 5,235
Service charges 3,686 2,831
Gross rental income 8,682 8,066
Rental losses from voids (981) (734)
7,701 7,332
Statutory grants 8,515 8,794
16,216 16,126
Social housing expenditure
Services 21,282 20,758
Management – 116
Routne maintenance 967 627
Planned maintenance 258 59
Bad debts 539 158
Impairment
Operatng cost on social housing letngs
Operatng defcit on social housing letngs		 (50)
22,996
(6,780)		 (205)
21,513
(5,387)

Centrepoint Soho Financial Statements 2021-22 | Notes to the financial statements

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5. GRANTS AND CONTRACTS

5. GRANTS AND CONTRACTS
2022 2021
£’000 £’000
Supported housing grant 8,310 8,415
Skills and employment contracts 123 250
Other 890 924
9,323 9,589

6. EMPLOYEE INFORMATION

b. Staff costs

b. Staff costs
2022 2021
£'000 £'000
Wages and salaries 16,203 16,720
Social securitycosts 1,578 1,591
Pension costs 618 615
Redundancycosts 53 110
Apprentceshiplevy 70 64
18,522 19,100
Agencystaf & concierge 2,041 1,892
20,563 20,992

a. Staff numbers

The average full-time equivalent number of persons (including executives) employed and calculated per week during the year was:

2022 2021
Group Number Number
Support & housing 267 302
Health 18 23
Skills & employment 27 39
Partneringwith other YP services 2 3
Policy& infuence 5 6
Preventon 23 20
Raisingdonatons and legacies 45 51
Business support 75 68
462 512

The average number of persons (including executives) employed during the year was:

year was:
2022 2021
Group Number Number
Support & housing 332 378
Health 20 25
Skills & employment 28 42
Partnering with other YP services 2 3
Policy & infuence 7 8
Preventon 25 20
Raising donatons and legacies 48 55
Business support 81 74
543 605

c. Emoluments of directors and employees

The number of employees, including the Chief Executive, whose emoluments as defined for taxation purposes exceeded £60,000 was as follows:

2022 2021
Number Number
£60,001 - £70,000 12 12
£70,001 - £80,000 4 3
£80,001 - £90,000 2 2
£90,001 - £100,000 2 2
£130,001 - £140,000 1 –
£140,001 - £150,000 – 1

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7. SURPLUS FOR THE YEAR

The surplus for the year is stated after charging / (crediting):

2022 2021
£’000 £’000
Audit fee (gross) 55 50
Depreciaton 1,142 761
Impairment (50) (205)
Operatng leases-ofce equipment 66 30
Operatng leases-other 866 675
Amortsaton of intangible assets 134 170
Net (loss)/proft on disposal of fxed assets 49 (283)
Foreign change gain/(loss) 28 (38)

8. FIXED ASSETS

a. Intangible fixed assets

IT Sofware Goodwill Total
Group and company £’000 £’000 £’000
Cost
At 1 April 2021 962 81 1,043
Additon of assets 20 – 20
At 31 March 2022 982 81 1,063
Amortsaton and impairment
At 1 April 2021 (701) (81) (782)
Amortsaton (134) – (134)
At 31 March 2022 (835) (81) (916)
Carrying amount
At 31 March 2022 147 – 147
At 31 March 2021 261 – 261

Centrepoint Soho Financial Statements 2021-22 | Notes to the financial statements

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8. FIXED ASSETS (CONTINUED)

b. Tangible fixed assets

b. Tangible fixed assets
Group and company Hostels & housing propertes for letng
Freehold Long leasehold Short leasehold Assets under course
of constructon		 Total Other
propertes		 Vehicles equipment
& furniture		 Total
£’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000
Cost
At 1 April 2021 8,045 15,690 2,263 621 26,619 2,410 2,710 31,739
Additons – 65 – 7,640 7,705 – 219 7,924
Disposals (1,341) – – (158) (1,499) – – (1,499)
Transfers 2,767 107 – (2,874) – – – –
At 31 March 2022 9,471 15,862 2,263 5,229 32,825 2,410 2,929 38,164
Depreciaton and impairment
At 1 April 2021 (1,459) (1,944) (1,135) – (4,538) (914) (2,110) (7,562)
Charge for year (218) (454) (116) – (788) (34) (320) (1,142)
Disposals 151 – – – 151 – – 151
Reversal of past impairment 50 – – – 50 – – 50
At 31 March 2022 (1,476) (2,398) (1,251) – (5,125) (948) (2,430) (8,503)
Net book value
At 31 March 2022 7,995 13,464 1,012 5,229 27,700 1,462 499 29,661
At 31 March 2021 6,586 13,746 1,128 621 22,081 1,496 600 24,177

Included above for the year is £250,000 in relation to the reversal of a past impairment of hostels and housing properties for letting.

Centrepoint Soho Financial Statements 2021-22 | Notes to the financial statements

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9. DEBTORS

9. DEBTORS
2022 2021
Group £’000 £’000
Residents occupancy 1,940 1,350
Less provision for bad debts (1,444) (995)
496 355
Accrued income 2,267 2,303
Trade debtors 1,967 1,673
Other debtors 14 17
Prepayments 318 365
5,062 4,713

Included in above financial assets are financial instruments measured at amortised cost of £4.7 million (2021: £4.2 million).

Centrepoint has been notified of further legacies amounting to £19,000 (2021: £495,000), which have not been recognised as income at 31 March 2022 because the conditions of the accounting policy for legacies have not been met. When these conditions are met these amounts will be included in future years.

2022 2021
Company £’000 £’000
Residents occupancy 1,940 1,350
Less provision for bad debts (1,444) (995)
Accrued income 496
2,267		 355
2,303
Trade debtors 1,967 1,673
CP Trading Limited 3 3
The American Friends of Centrepoint 16 16
Other debtors 14 17
Prepayments 318 365
5,081 4,732

10. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2022 2021
Group £’000 £’000
Trade creditors 1,101 831
Other taxes and social security costs 398 391
Accruals and deferred income 1,311 2,659
Deferred capital grants 178 178
Recycled capital grants 1,027 64
Other creditors 1,820 1,580
5,835 5,703

The above includes outstanding pension contributions of £104k (2021: £98k).

Included in above financial liabilities are financial instruments measured at amortised cost of £5.4 million (2021:£5.1 million).

Company
Trade creditors
Other taxes and social security costs		 2022
£’000
1,101
398		 2021
£’000
831
391
Accruals and deferred income 1,311 2,659
Deferred capital grants 178 178
Recycled capital grants 1,027 64
Other creditors 1,820 1,580
5,835 5,703

The above includes outstanding pension contributions of £104k (2021: £98k).

Recycled Capital Grant Fund 2022 2021
Group and Company £’000 £’000
As at 1 April 2021 1,418 1,475
Capital grant released on sale – 391
Recycled grant repaid – (448)
As at 31 March 2022 1,418 1,418
Due within one year 1,027 64
Due afer more than one year 391 1,354
1,418 1,418

Centrepoint Soho Financial Statements 2021-22 | Notes to the financial statements

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11. CREDITORS: AMOUNTS FALLING DUE AFTER ONE YEAR

2022 2021
Group and Company £’000 £’000
Deferred Capital Social Housing Grant greater than one year 11,475 11,785
Recycled Social Housing Grant greater than one year 392 1,354
11,867 13,139

12.SUBSIDIARIES

Centrepoint had two wholly-owned subsidiary undertakings during 2021-22. CP Trading Limited is incorporated in England and Wales. The principal activity is the organisation of fundraising events and activities. The American Friends of Centrepoint is registered in the United States of America. Its principal activity is to fundraise on behalf of Centrepoint.

All subsidiaries are wholly owned by Centrepoint. Cost of investment in subsidiaries is £24k (2021: £24k).

The only material transactions between Centrepoint and its subsidiaries, which are not registered providers of social housing, are gift aid and are shown below.

a. CP Trading Limited

b. The American Friends of Centrepoint

2022
£’000
2021
£’000
Income
–
–
Expenditure
(1)
(1)
Operatng loss
(1)
(1)
Retained loss
(1)
(1)
Assets
26
26
Liabilites
(3)
(3)
Funds
23
23		 2022
£’000
2021
£’000
Income
–
1
Expenditure
(1)
(7)
Operatng loss
(1)
(6)
Retained loss
(1)
(6)
Assets
10
10
Liabilites
(17)
(16)
Defcit
(7)
(6)

Centrepoint Soho Financial Statements 2021-22 | Notes to the financial statements

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13. STATEMENT OF FUNDS

Our designated funds represent

The following designations have been set up as part of the strategy to 2026.

Our restricted funds represent

Centrepoint Soho Financial Statements 2021-22 | Notes to the financial statements

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13.STATEMENT OF FUNDS (CONTINUED)

Transfers between funds primarily represent fixed assets purchased from restricted funds where the acquisition of the fixed assets has discharged the restriction and the assets are transferred to unrestricted funds.

1 April 2021 Income Expenditure Transfers 31 March 2022
£’000 £’000 £’000 £’000 £’000
Unrestricted reserves
Designated funds
Housing property 8,078 – – 94 8,172
Prevent 750 – – (250) 500
Support 3,150 – – (2,650) 500
Amplify 750 – – – 750
Optmise 1,554 – – 1,621 3,175
Fixed assets 10,062 227 (1,275) 7,209 16,223
Total designated funds 24,344 227 (1,275) 6,024 29,320
General reserves 4,422 40,860 (35,206) (5,169) 4,907
Total unrestricted reserves 28,766 41,087 (36,481) 855 34,227
Restricted reserves
Support
Support & housing 1,459 1,771 (700) (626) 1,904
Health 370 674 (738) 12 318
Skills & employment 589 425 (319) (113) 582
Amplify
Partneringwith other YP services 38 18 (10) (1) 45
Policy& infuence (2) 20 (16) 2 4
Preventon
Preventon		 61 388 (329) 201 321
Optmise
Raisingdonatons & legacies		 1,243 5,865 (1,180) (330) 5,598
Total restricted charitable donatons andgrants 3,758 9,161 (3,292) (855) 8,772
Restricted endowment 172 – – – 172
Total restricted reserves 3,930 9,161 (3,292) (855) 8,944
Total funds 32,696 50,248 (39,773) – 43,171

Centrepoint Soho Financial Statements 2021-22 | Notes to the financial statements

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13.STATEMENT OF FUNDS (CONTINUED)

1 April 2020
£’000
Income
£’000
Expenditure
£’000
Transfers
£’000
31 March 2021
£’000		 1 April 2020
£’000
Income
£’000
Expenditure
£’000
Transfers
£’000
31 March 2021
£’000
Unrestricted reserves
Designated funds
Housing property 8,078
–
–
–
8,078
COVID-19 500
–
(500)
–
–
Prevent –
–
–
750
750
Support –
–
–
3,150
3,150
Amplify –
–
–
750
750
Optmise –
–
–
1,554
1,554
Fixed assets 10,687
192
(960)
143
10,062
Total designated funds 19,265
192
(1,460)
6,347
24,344
General reserves 3,512
41,113
(33,999)
(6,204)
4,422
Total unrestricted reserves 22,777
41,305
(35,459)
143
28,766
Restricted reserves
Support
Support & housing 1,280
935
(613)
(143)
1,459
Health 544
513
(687)
–
370
Skills & employment 675
209
(295)
–
589
Amplify
Partnering with other YP services 19
21
(2)
–
38
Policy & infuence
 (2)
7
(7)
–
(2)
Preventon
Preventon
 77
270
(286)
–
61
Optmise
Raising donatons & legacies
 1,059
762
(578)
–
1,243
Total restricted charitable donatons and grants 3,652
2,717
(2,468)
(143)
3,758
Restricted endowment 172
–
–
–
172
Total restricted reserves 3,824
2,717
(2,468)
(143)
3,930
Total funds 26,601
44,022
(37,927)
–
32,696
Included in the restricted raising donatons and legacies noted above is End
Youth Homelessness (EYH). EYH is a restricted fundraising campaign within
Centrepoint that enables eleven youth homelessness organisatons across the
UK to form a natonal platorm to generate voluntary income and share
experiences. The fnancial outurn is noted opposite:		 Group and company
2022
£’000
2021
£’000
Donatons
1,244
1,232
Less cost of raising donatons
(443)
(475)
Net income for charitable applicaton
801
757
Distributed to partners’youth homelessness services
(524)
(577)
Distributed to Centrepoint’s youth homelessness services
(72)
(90)
Total distributed to youth homelessness services
(596)
(667)
Net surplus
205
90
Funds brought forward
961
871
Total funds
1,166
961

Centrepoint Soho Financial Statements 2021-22 | Notes to the financial statements

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14. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Endowment Restricted Designated General 2022 Total
£’000 £’000 £’000 £’000 £’000
Fixed assets – 510 29,298 – 29,808
Debtors – – – 5,062 5,062
Cash deposits 172 – 3,030 – 3,202
Cash at bank and in hand – 8,262 10,064 4,475 22,801
Creditors: amounts falling due within one year – – (1,205) (4,630) (5,835)
Creditors: amounts falling due afer one year – – (11,867) – (11,867)
172 8,772 29,320 4,907 43,171
Endowment Restricted Designated General 2021 Total
£’000 £’000 £’000 £’000 £’000
Fixed assets – – 24,438 – 24,438
Debtors – – – 4,713 4,713
Cash deposits 172 – 3,030 – 3,202
Cash at bank and in hand – 3,758 10,257 5,170 19,185
Creditors: amounts falling due within one year – – (242) (5,461) (5,703)
Creditors: amounts falling due afer one year – – (13,139) – (13,139)
172 3,758 24,344 4,422 32,696

15. FINANCIAL GUARANTEES AND CONTINGENT LIABILITIES

The total Social Housing Grant included in the Statement of Financial Position and SoFA, at 31 March 2022, is £13.9 million (£14.1 million in 2021). These grants which would require to be recognised as a liability if the properties funded were disposed of or ceased to be used for social housing purposes.

16. OPERATING LEASE COMMITMENTS

At 31 March, the future minimum operating lease payments are as follows:

2022 2022 2021 2021
Land & Ofce Land & Ofce
buildings equipment buildings equipment
Group and company £’000 £’000 £’000 £’000
Within one year 404 86 356 24
Between one and fve years 753 126 1,004 36
1,157 212 1,360 60

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17. ACCOMMODATION IN MANAGEMENT

As at As at
31 March
2021		 Additons Disposals Change
in tenure		 31 March
2022
Group and company Number Number Number Number Number
Owned or lease held by Centrepoint
Hostel bed spaces 138 1 (16) – 123
Other bed spaces 190 1 – 14 205
328 2 (16) 14 328
Owned by partner registered providers
Hostel bed spaces 312 21 – – 333
Other bed spaces
Total Managed accommodaton		 171
483
811		 –
21
23		 –
–
(16)		 (14)
(14)
–		 157
490
818
Units managed by other
associatons
Total owned and managed		 12
823		 –
23		 –
(16)		 –
–		 12
830

18. RECONCILIATION OF NET INCOME TO NET CASH GENERATED BY OPERATIONS

Net income 2022
£’000
10,475		 2021
£’000
6,095
Net (gain)/loss on disposal of fxed assets
FX		 (50)
(28)		 298
–
Interest receivable
Depreciaton charges		 (6)
1,142		 (16)
761
Impairment charge
Amortsaton of intangible assets		 (50)
134		 (205)
170
Amortsaton of social housing grant (179) (179)
Operatng cash fows before movement in working capital 11,438 6,924
Increase in debtors (349) (1,075)
(Decrease)/increase in creditors (1,153) 1,475
Cash generated by operatons 9,936 7,324

19. ANALYSIS OF CHANGES IN NET FUNDS

At 1 April At 31 March
2021 2022
Group £’000 Cashfows £’000
Cash deposits 3,202 – 3,202
Cash at bank and in hand 19,185 3,616 22,801
Net Funds 22,387 3,616 26,003
Company
Cash deposits 3,202 – 3,202
Cash at bank and in hand 19,149 3,618 22,767
Net Funds 22,351 3,618 25,969

20. COMPANY LIMITED BY GUARANTEE

Centrepoint is a company limited by guarantee. If, upon the winding-up or dissolution of the company, there remains, after the satisfaction of all its debts and liabilities, any property whatsoever, the same shall not be paid to or distributed among the members of the company but shall be given or transferred to some other charitable institution or institutions having objects similar to the objects of the company. Every member of the company undertakes to contribute to the assets of the company, in the event of the same being wound up, such amount as may be required not exceeding the sum of £1. There are currently 12 members (2021: 13).

21. CAPITAL COMMITMENTS

21. CAPITAL COMMITMENTS
2022 2021
Group and company £’000 £’000
Capital expenditure commitments - contracted but not provided for 684 –

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22. RELATED PARTY TRANSACTIONS

The following transactions are with 100% owned entities which are non-regulated group members:

23. COMPARATIVE SoFA

23. COMPARATIVE SoFA
Note Unrestricted Unrestricted Restricted & Total
Income from General
£’000		 Designated
£’000		 Endowment
£’000		 2021
£’000
Donatons & legacies
Charitable actvites
Investment income
Proft on sale of fxed assets
Other		 2a
2b
2c		 23,832
16,675
16
–
590		 –
192
–
–
–		 2,626
54
–
–
37		 26,458
16,921
16
–
627
Total income 4 41,113 192 2,717 44,022
Expenditure on
Raising donatons & legacies 2d 9,807 38 578 10,423
Raising funds 9,807 38 578 10,423
Net income for charitable applicaton 31,306 154 2,139 33,599
Expenditure on charitable actvites
Support
Support and Housing 20,390 1,289 613 22,292
Health 656 20 687 1,363
Skills & employment 1,638 80 295 2,013
Amplify
Partnering with other YP services 226 3 2 231
Policy & infuence
Preventon		 253 6 7 266
Preventon 1,029 24 286 1,339
Total charitable expenditure 2d 24,192 1,422 1,890 27,504
Net income (deficit) 7,114 (1,268) 249 6,095
Transfers 13 (6,204) 6,347 (143) -
Net movements in funds 910 5,079 106 6,095
Reserves brought forward 3,512 19,265 3,824 26,601
Reserves carried forward 13 4,422 24,344 3,930 32,696

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24. STATEMENT OF COMPREHENSIVE INCOME

We present the Statement of Comprehensive income as required by the Housing SORP.

Unrestricted Unrestricted Restricted & Total Total
General Designated Endowment 2022 2021
£’000 £’000 £’000 £’000 £’000
Turnover 40,854 227 9,161 50,242 44,006
Operatng expenditure (35,206) (1,275) (3,292) (39,773) (37,927)
Operatng surplus/(defcit) 5,648 (1,048) 5,869 10,469 6,079
Interest receivable 6 – – 6 16
Interest payable and similar charges – – – – –
Surplus/(defcit) before tax 5,654 (1,048) 5,869 10,475 6,095
Taxaton – – – – –
Surplus/(defcit) for the year 5,654 (1,048) 5,869 10,475 6,095
Other comprehensive income – – – – –
Total comprehensive income/(loss) for the year 5,654 (1,048) 5,869 10,475 6,095

25. STATEMENT OF CHANGES IN FUNDS

We present the Statement of Changes in Funds as required by the Housing SORP.

Unrestricted Restricted & Total
General Designated Endowment
£’000 £’000 £’000 £’000
Balance as at 31 March 2020 3,512 19,265 3,824 26,601
Surplus / (defcit) 7,114 (1,268) 249 6,095
Transfers (6,204) 6,347 (143) –
Balance as at 31 March 2021 4,422 24,344 3,930 32,696
Surplus/(defcit) 5,654 (1,048) 5,869 10,475
Transfers (5,169) 6,024 (855) –
Balance as at 31 March 2022 4,907 29,320 8,944 43,171

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BOARD, OFFICERS AND ADVISERS

Board of Trustees

Symon Elliott Chair Cheryl Avery Appointed 24 August 2021 Tsion Balcha Sir David Carter Frances Corner Darren Douglas Amanda Holgate Robert Kerse Clare Montagu Ndidi Okezie Resigned 5 August 2021 Olubukola Olorunlogbon Appointed 24 August 2021 Sally Scriminger Resigned 5 August 2021 Mike Westcott Thomas Wood Will Yerburgh Resigned 8 March 2022

Secretary

Seyi Obakin

Senior Executive Team

Seyi Obakin Chief Executive Officer Balbir Chatrik Director of Policy & Communications Karen Gibson Director of Finance & Compliance Julie Milnes Director of Fundraising Sally Orlopp Director of People, Property and Independent Living Adam Pemberton Director of Strategy and Performance, Appointed 16 August 2021 Ed Tytherleigh Director of Support & Housing

Registered office Central House 25 Camperdown Street London E1 8DZ

Solicitors

BDB Pitmans LLP McCarthy Denning Ltd One Bartholomew Close Minster House London 42 Mincing Lane EC1A 7BL London EC3R 7AE

Registration details

Charity registration number 292411 Company registration number 01929421 Homes England registration number H1869

Auditor

BDO LLP 2 City Place Beehive Ring Road Gatwick RH6 0PA

Bankers

Barclays Royal Bank of Scotland Group Level 12, 1 Churchill Place 9th Floor Canary Wharf 280 Bishopsgate London London E14 5HP EC2M 4RB

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Centrepoint Head Office, Central House, 25 Camperdown Street, London E1 8DZ Tel 0800 23 23 20 Fax 0845 466 3500 www.centrepoint.org.uk

Charity Number 292411