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2024-03-31-accounts

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

REGISTERED COMPANY NUMBER: 01323762 (England and Wales) REGISTERED CHARITY NUMBER: 506791

CHESHIRE DEAF SOCIETY

REPORT OF THE TRUSTEES AND

AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 MARCH 2024

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 MARCH 2024

Page
Reference and Administrative Details 1
Report of the Trustees 2 to 12
Report of the Independent Auditors 13 to 15
Statement of Financial Activities 16
Balance Sheet 17
Cash Flow Statement 18
Notes to the Cash Flow Statement 19
Notes to the Financial Statements 20 to 34
Detailed Statement of Financial Activities 35 to 36

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 30 MARCH 2024

TRUSTEES D Ball (appointed 26.7.23)
D Fardoe (Chair)
Ms L Holmes (appointed 26.7.23)
Ms T L Lonergan
J Mander (Vice Chair)
P D Morley
D L Pane
Ms J Stringer (Treasurer)
COMPANY SECRETARY Mrs G Reeder
REGISTERED OFFICE 144 London Road
Northwich
Cheshire
CW9 5HH
REGISTERED COMPANY 01323762 (England and Wales)
NUMBER
REGISTERED CHARITY 506791
NUMBER
AUDITORS Murray Smith LLP
Chartered Accountants
Statutory Auditors
Darland House
44 Winnington Hill
Northwich
Cheshire
CW8 1AU
SOLICITORS Butcher & Barlow
2-3 Royal Mews
Gadbrook Park
Northwich
Cheshire
CW9 7UD
BANKERS National Westminster Bank
33 Eastgate Street
Chester
CHl lLG

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Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 MARCH 2024

The council of management present their report and financial statements for the year ended 30 March 2024.

Officers & Council of Management

Cheshire Deaf Society (operating as DSN) is both a registered charity and a company limited by guarantee. The society is governed by trustees collectively known as the Council of Management. The members of the Council are both Directors of the Company for the purposes of the Companies Act 2006 and charity trustees for the purposes of the Charities Act 2006.

The members of Council are responsible for the policy and strategy of the Society. They have special responsibility to ensure that all aspects of the Society's activities are properly conducted and carried out in full compliance with the Society's Memorandum and Articles of Association, although day to day management is the responsibility of the Chief Executive Officer and senior staff.

The Council of Management

The Council of Mangement during the year are documented in 'Reference and Administrative Details' on page 1.

Services are currently offered from four local centres:

Supported accommodation services are located at Stepping Stones, Lavender Lodge and two cluster homes, all based in Northwich.

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Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 MARCH 2024

OBJECTIVES AND ACTIVITIES

Objectives and aims

The object of the Charity as stated in our Memorandum and Articles of Association is the relief of Deaf persons in Cheshire, the north-west, and north Wales. DSN deliver this by providing the best choice and quality of services DSN can, as efficiently as DSN can, for as many people as possible, within the resources available to us.

DSN reviews its aims and objectives each year, seeking to deliver activities and outcomes that achieve them. This report will highlight achievements against those objectives and describe some of the activities carried out. DSN have referred to the guidance contained in the Charity Commission's general guidance on public benefits when reviewing our aims and objectives and in planning for our future activities. The charity seeks to meet its objectives through working to a set of agreed values and priorities.

Significant activities

Our main activities during the year are described below. Traditionally all our activities have focused upon providing services and support to Deaf people. This focus has further expanded into the provision of full sensory loss services (Deaf and visually impaired), enabling ever more citizens to take a full and active role in wider society and to further our charitable purposes for the public benefit.

DSN has been successful in retaining contracts and securing alternative investment streams to further develop services for the Deaf community of Cheshire and surrounding areas. DSN has been able to respond to real challenges by demonstrating the quality of the services DSN provides and the value DSN delivers through efficient and effective deployment of resources. DSN will continue to focus on Quality and Value, Person Centered Care, and Innovation in the years ahead.

DSN has successfully maintained the core of its established services across Cheshire whilst expanding its reach and service provision into North Wales. DSN continues to deliver high quality services valued by users and commissioners alike. DSN has maintained, and in some cases enhanced, its service delivery for sensory communities throughout the year.

DSN focuses continually on introducing operational efficiencies by re-designing service delivery and enhancing its partnerships with commissioners. The Organisational Management Team ("OMT") works hard at fostering ever-improving relationships with key commissioners and funders to ensure DSN is in the strongest possible position for upcoming and longer-term contract negotiations. DSN recently, through a tendering process, successfully secured a further 5 year +1, +1 contract with Flintshire and Wrexham Local authorities to deliver services.

To avoid over-reliance on limited funding pools, DSN looks continuously at opportunities to develop alternative income streams. This strategy allows DSN to be better equipped to make informed assessments of all funding opportunities and develop a shared understanding of our priorities and objectives and how they will be achieved. It also ensures DSN allocates our limited resources to opportunities that will provide the most beneficial outcome for DSN and its service users. DSN has applied to and is awaiting results from the Big Lottery Community Fund for funding for Youth Services.

When identifying suitable opportunities DSN considers our key skills and track record, emerging government policy and available resources (both internal and external). DSN's efforts have been focused on enhancing our community engagement in addition to the pursuit of grants and trust funding.

DSN has completed a new strategy document and will produce an annual outcomes and action plan report highlighting key areas in which the charity wishes to make further progress in the year ahead.

DSN formally reviews all policies and procedures annually and this exercise considers changes in legislation, regulations, and developments in good practice. OMT undertakes this process and changes made to any policies and procedures are highlighted to and ratified at board level by all trustees and shared with all staff at all locations.

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Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 MARCH 2024

Compliance

In these challenging financial times, and to help funders decide to invest in our services, it is important that DSN evidence what DSN are doing and how DSN deliver value for money. By looking at the services DSN provides and measuring the impact of those services on peoples' lives, DSN can demonstrate the value of the work DSN does to commissioners, funders, and the communities DSN serve. This commitment helps us to raise the profile of DSN and increases awareness of the high-quality help and support that DSN consistently delivers.

DSN collects information in the form of facts and figures, e.g., how many people DSN has supported, how many pieces of equipment DSN have supplied, how many training courses DSN has delivered, etc., and feedback from service users and other stakeholders using questionnaires, meetings, and capturing comments, compliments, complaints, etc.

Corporate Social Responsibility (CSR)

DSN is committed to delivering excellent services for our community, with an emphasis on meeting evolving user needs and enhanced innovation. DSN aim to deliver this commitment whilst ensuring that impact on the environment is minimised and that all activities are conducted safely by well-trained and qualified employees.

Overall responsibility for developing and reviewing the effectiveness of corporate policies on social, ethical, and environmental matters lies with OMT. These policies are communicated and applied across all departments to ensure compliance with the policies. DSN's policies and procedures, including those relating to social, environmental, health and safety, employment, and ethical matters, are communicated to all staff via induction training, on-going personal developmental training, and internal communications. All policies and procedures are reviewed annually, and updates are communicated to staff.

Whilst as an organisation our major focus is on meeting the needs of Deaf people, their families and carers in Cheshire and surrounding areas, DSN has broadened its reach to provide sensory services to include the blind and partially sighted in some areas. DSN continually strives to engage and interact with the wider community and to have a voice on wider issues of social importance.

As a result of this outward facing attitude, DSN are delighted to have worked in partnership with other charitable and public benefit organisations to raise awareness of over-arching social issues including the combatting of social isolation and loneliness, awareness raising and the fight against hate crime (DSN offices act as a safe space, published in the local area for the reporting of hate crime) and the development of youth services.

DSN is delighted to report that we have been awarded accreditation with the Good Business Charter. This demonstrates our commitment to CSR.

Operations Division

Social Care

For the year to 30th March 2024, DSN is pleased to report continued provision of our social care contracts with the four local authorities. DSN are currently in contract with Cheshire West and Chester (CWaC), Cheshire East Council (CEC), Flintshire County Council (FCC), and Wrexham County Borough Council (WCBC).

We continue to effectively monitor our service delivery and adhere to all contractual monitoring requirements. In addition to this DSN utilises its commitment to capture service user experience and satisfaction, enabling us to use the qualitative and quantitative data to improve customer experience and deliver sustainable improvements. Our compliance officer is constantly looking at new and innovative ways to collect data.

The model also allows us to inform the commissioners in the local authorities of our success measures, including outputs, outcomes, and impact for our service(s) on users.

Health Awareness and Deafness (HAnD)

This project aims to improve understanding of wider health and well-being issues from a Deaf perspective. The "topic" for the workshops are co-produced with Deaf attendees and Initiatives included in the HAnD project vary depending on people's wishes. This project is funded by Cheshire East Physical Health Support Grants 2023-2024. They have invited DSN to apply for their "Fund it Forward" support to allow the project to continue for a further year.

Health inequalities continue to be experienced by Deaf people such as making their own GP appointments, accessing pharmacy services, and arriving for a hospital appointment to find an interpreter has not been booked. DSN will continue to address barriers to service provision whilst promoting new and innovative ways of Health education.

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Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 MARCH 2024

DSN continues to deliver health messages and support people in a variety of different ways and continues to spread the word about mental health, supporting staff and service users alike. DSN believes that there is no health without mental health.

Positive Hearing

Positive Hearing LLP (Audiology) continues to operate as a partnership with DSN and Silk Hearing. This partnership operates from DSN's registered office at 144 London Road, Northwich. DSN receives a 50% share of the profits from the LLP.

Community Engagement

DSN's Community Liaison Officer promotes our work in the Community and provides information to potential new service users.

DSN used a legacy fund to purchase a new Community vehicle. This enables out-reach work and the promotion of services across Cheshire and North Wales, particularly in the more remote, rural areas covered by DSN.

Sensory Loss & Dementia

DSN's research project alongside the University of Manchester has recommenced following a suspension due to maternity leave.

I'm Hear!

Following our successful bid for a further 3 years of funding, the I'm Hear! Project, funded by BBC Children in Need is continuing, and the project will run until 30th June 2025.

The I'm Hear project offers support, tailored to meet the communication needs of each individual child and their family. Bespoke resources are used to improve communication; use of different coping strategies; how to include a Deaf child in family activities; ways to avoid conflict with siblings; signposting to support services; identifying social activities or clubs in which a child is interested and wants to participate. Children aged 8+ are signposted to DSN's "Youth Vibe", where they can meet and interact with other Deaf children and siblings. Since the project started on 1st October 2014, DSN has supported over 200 Deaf children/young people, aged from birth to 18 years, and their families across Cheshire East, Cheshire West and Chester, Halton, Warrington, Liverpool, and the Wirral.

We offer two larger 'Family Events' for both children and families who are / have been supported through the programme. These group activities enable parents to meet other parents of Deaf children, to practice communication and share experiences.

The funding allows DSN to offer up to 10 home-based communication sessions with families of Deaf children. To ensure the support is flexible, we offer remote sessions via video, or a hybrid arrangement using a mix of in-person and remote sessions.

Youth Service - Youth Vibe

DSN's Youth Service, Youth Vibe, provides opportunities and activities for young people aged between 8 to 19 years and linked to deafness: deaf, hearing impaired, friends and siblings of/or Children of Deaf Adults (CODA). DSN also supports young Deaf adults up to 25 years, taking them on as young volunteers, and supporting them to achieve their Duke of Edinburgh's Award. Our current Youth Vibe delivers:

Our membership database now includes children and young people from Cheshire and surrounding areas with 20-30 attending each week. There is a variety of communication methods used at Youth Vibe for young people, from BSL, signed supported English and speech.

Incus Training

lncus - A standard in sensory inclusion for Care Providers, and the training department for DSN.

Deaf Awareness Training is part of our remit, and this training is available to any organisation where it would benefit staff within their working environment.

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Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 MARCH 2024

Further agreements have also been reached, in that incus Training will take on the responsibility for all "in house" staff training.

BSL tuition is available from Level 1 to Level 6 and Level 6 interpreter, and interest from schools and other education establishments has begun to increase. The BSL Act and recognition of BSL as a language has prompted this growth.

DSN has, for the first time, introduced a trainee programme for BSL Tutors and has appointed a young Deaf individual who has successfully passed the first year modules of the course.

Supported Living Service

DSN's Supported Living service continues to provide a residential environment and operates from four group homes within the Northwich area.

This service is a specialist service designed to meet the needs of those tenants with complex needs (Deaf, deafblind, with an additional disability).

Our Tenants integrate into the wider local Deaf Community, enabling social interactions, friendship, and activities for them to join in.

Due to the complex needs of our tenants, it is important that our staff are trained and skilled in all aspects of care/support. Many of our staff are Deaf and prove to be positive role models for our Tenants. It is DSN's policy that all staff are required to achieve a minimum of level 2 British Sign Language (BSL).

DSN staff are committed to supporting each individual tenant to achieve the highest possible level of independence. By using a person-centred approach within an outcome framework, goals and aspirations are set for each tenant and achievements are recorded via annual reviews.

Our services are regularly inspected and monitored by Cheshire West and Chester Council and the Care Quality Commission. We also have tenants who reside with us from out of our catchment area, for example Stockport, Rochdale, Bradford, etc.

Day Services

The Tannery is the focus of our Day Services provision, based in Northwich. The Tannery is a specialist service for Deaf and deaf blind people with complex needs from across the region. This service is provided from Tuesday to Friday each week.

Our programme is designed to encourage each person attending to develop and learn, thus reaching their full potential.

Our staff and volunteers ensure that the most appropriate communication method is used for each individual attending.

DSN's Day Service has a variety of activities, including a weekly gym session provided by a qualified gym instructor, and is also a safe place where people meet and share friendships and continue to develop their social skills. The Tannery prevents isolation and loneliness.

Communication Service

DSN's Communication Services provides an excellent and professional service.

We have a number of British Sign Language Interpreters who are all qualified and registered with the NRCPD who we can utilise for BSL interpreter requests.

We can provide note takers and palantypists for meetings, and are able to provide virtual interpreters via video link if required.

Currently, there are fewer than 1,000 qualified Interpreters in the UK. DSN are committed to employing qualified interpreters. We currently employ 3 fully qualified Interpreters and 1 trainee.

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Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 MARCH 2024

STRATEGIC REPORT

Statement of Financial Activities - Income and expenditure

DSN have delivered a financial performance at operational level that is broadly in line with the results from the previous year. Looking at this performance in more detail, income has decreased to £2,298,669 compared with £2,403,780 in 2023. Management of operating expenditure has continued this year and remains a focus of the Board. Tthere have been some increased costs for the revised service provision within the Social Care and Supported Living services and investment in IT infrastructure. Overall expenditure has decreased to £2,670,463 compared with £2,696,955 in 2023.

The net effect of the above is an operational deficit of £315,746 compared with an operational deficit of £293,175 in 2023. Following the gain on revaluation of our investment portfolio and the loss linked to our responsibilities under the Local Government Pension Scheme ("LGPS") our overall net deficit was £664,158 compared with a net deficit of £2,608 in 2023.

Balance Sheet

In terms of our Balance Sheet, our investment portfolio increased by a market revaluation of £115,636. Furthermore, there were withdrawals of £1,050,000 taken from the investments during the year. These withdrawals have funded the purchase of a new property, and have assisted with cashflow. Funds have also been placed into a High Interest Treasury account in order to achieve higher income returns. The investment fund valuation excludes the investment income received in the year which is shown in the Income and Expenditure statement. At the year end the valuation of investments was £1,269,739 compared with £2,204,103 in 2023.

At 30 March 2024 there were cash and short term investment balances of £480,891 compared with £109,594 in 2023. Current assets cover current liabilities in a ratio of 3.5:1. The value of our asset under the LGPS reduced by £271,000 to an asset ceiling figure of £nil. Further details are disclosed within the notes to the accounts. Our net assets at 30 March 2024 were £3,661,400 (2023: £4,325,558).

Additional commentary on our investment policy, reserves and focus on financial sustainability are detailed later in this report.

Investment policy and objectives

The governing documents of the charity (Memorandum & Articles of Association) provide the trustees with the power to invest any monies not immediately required for any purpose, as considered appropriate.

Having considered the options available and financial advice received, the trustees selected a long-term partner to provide guidance and professional services to facilitate the optimisation of returns, within agreed risk and ethical parameters. The Fund is managed by CCLA who are one of the UK's largest charity fund managers according to the latest Charity Finance Survey. CCLA only manages investments for charities, religious organisations, and the public sector and as such understand the particular needs and challenges facing charity investors.

DSN also utilises a high interest treasury account operated by NatWest.

The Trustees have decided to continue utilising some portion of the established Free Reserves to support the delivery of the adopted organisational strategy.

The Trustees, with regard to the liquidity requirements of the organisation and to the reserves policy, operate a policy of maintaining the available funds necessary to meet day-to-day operational requirements.

The performance of our investment has provided an invaluable contribution in recent years that helps to support funding in much needed services such as youth provision, which may otherwise go unfunded.

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Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 MARCH 2024

STRATEGIC REPORT

Financial review

Reserves policy

The trustees receive information from the OMT that forecasts the expected level of income for the next 12 months based on the best evidence that is reasonably available. They then assess associated opportunities, contingencies, and risks. The trustees have examined the charity's reserves in the context of the key risks identified.

In the light of current economic conditions and the likelihood of short to medium term reductions in the level or availability of funding, the trustees have elected to utilise a proportion of Free Reserves to develop and maintain the provision of existing services. Free Reserves are defined as Total Funds less Designated or Restricted Funds less amounts invested in tangible and intangible fixed assets. As per the Balance Sheet, at 30 March 2024, Free Reserves were calculated to be £1,228,040 (2023: £1,956,060).

There was an expectation from the trustees that there would be deficits over previous years, given their commitment to funding services that otherwise would not be funded. However, the Trustees' emphasis now is to reduce ongoing deficits by managing costs and increasing income wherever possible. The 2024-2025 budget should reflect this.

The trustees agreed to commit funds to allow the charity to continue providing vital services. In addition, reserves should:

Internal Controls

To provide reasonable assurance against material misstatements, DSN have in place effective internal controls covering income, expenditure, and commitments. The appropriate management information is prepared and· reviewed regularly by both the Organisational Management Team (OMT) and the Board of Trustees. Through a combination of these internal controls and our annual budgets approved by the trustees, DSN seek to ensure that the charity is committed to a sustainable level of expenditure and retains adequate resources to continue as a going concern.

The Trustees along with the OMT continue to ensure that adequate consideration is given to the longer-term funding challenges that may arise when applying for or considering new or continuing service provision. Over the coming years DSN will aim to retain, expand, or secure our current service provision in line with our Mission Statement and in support of the charity's beneficiaries.

Financial Sustainability

Our budget for the next financial year (to March 2025) shows a deficit of £461,461. This budget reflects anticipated reductions in income, along with increased expenditure required to allow us to continue unfunded but necessary services and research along with a requirement to make a cash payment of £108,000 (paid over 12 months) to the Local Government Pension Scheme. We are in negotiation to exit this scheme and are hopeful that this will be concluded in 2024-2025. In addition we are reviewing working practices and are hopeful that our deficit for 2024-2025 will be much lower than indicated in our budget.

The Charity continues to work hard to manage and reduce the use of agency staff, which has an adverse impact on financial performance. Our investment strategy and effective management of reserves provides DSN with the opportunity to invest in our staff and services to ensure that DSN continues to innovate and achieve a sustainable balance of high quality and efficient services.

Annual General Meeting

On 17 July 2024, the Council of Management approved the 2023-2024 Report and Statement of Accounts.

To raise public awareness of the charity's work and to demonstrate that its aims continue to be carried out for the public benefit, the charity holds its Annual General Meeting in public. The 47th Annual General Meeting will be held in November 2024 at which the Council's 2023-2024 Report and Statement of Accounts will be presented to Members.

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Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 MARCH 2024

STRATEGIC REPORT

Outlook for Future Periods

Although our funding streams are consistent there are concerns about the future. Before the pandemic struck, public spending on adult social care provision had fallen in real terms over the past decade and now, as a result in the global economic downturn, DSN anticipates that funding will be further squeezed. Our ability to plan for the future of our contracts and services remains uncertain and the lack of legislative progress on matters relating to Health and Social Care is a concern.

As previously reported, DSN has upskilled staff to meet the increasing requirement from Local Authorities for more generic workers. The multi-skilled staff DSN employs put us in a strong position to meet any new contracts or current contractual redesigns. The skill base DSN have also opens the possibility of more partnership opportunities should they arise. Given the outlook for the UK, DSN believes that funders will be looking for added value that DSN can provide within the contracts.

There is ongoing restructuring of funding streams within Local Authorities which may impact on the funding DSN receive for the provision of our Supported Living Service. DSN remains fully involved in user assessments and on-going commissioner negotiations in respect of Supporting People and Care funding. This is consistent with the charity's overall approach going forward.

Our financial prudence and management of reserves leaves DSN well placed to meet these challenges and DSN continues to actively target income generation from non-traditional resources. The economic downturn will impact for the next couple of years at a minimum and DSN know this will present us with challenges, but DSN also hopes there will be opportunities. Therefore, DSN will continue with the strategy of extending our funding base, which has been successful to date.

By embracing wider health and social care agendas and demonstrating a commitment to effective partnership development to deliver sensory-centric services that will meet the criteria for success in these areas, DSN will continue to provide valued specialist services. This will help to safeguard essential programmes and develop new initiatives in the years ahead.

Our ongoing research work into Dementia and sensory loss and our partnership with The Hearing Centres in the Positive Hearing programme are good examples of taking appropriate routes to secure continued growth. DSN continues to positively engage with users and commissioners and we strongly believe that this enables us to deliver innovative person-led services leading to a reputation for quality, effectiveness, and value.

STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document

The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

The organisation is a charitable company limited by guarantee and as such it does not have a share capital. The company was established under a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articles of Association.

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CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 MARCH 2024

STRUCTURE, GOVERNANCE AND MANAGEMENT Recruitment and appointment of new trustees

The directors of the company are also charity trustees for the purposes of charity law and under the company's articles are known as members of the Council of Management. Under the requirements of the Memorandum and Articles of Association the members of the Council are elected to serve for a period of three years, after which they must be re-elected at the next Annual General Meeting of members.

The Council seeks to ensure that the needs of Deaf people are appropriately reflected through the diversity of the trustee body. To enhance the potential pool of trustees the charity continually seeks to identify Deaf individuals, who would be willing to become members of the Council, through networking with other organisations in the local area and throughout the local Deaf communities.

Traditional business skills are also well represented on the Council. To maintain this broad skill mix, Council members are requested to provide an up-to-date list of their skills and in the event of particular skills being lost to retirements from the Council, new individuals are approached to offer themselves for election. DSN will continue to actively look to enhance the skill base of the Council of Management through personal development of existing members and appointment of new trustees where appropriate.

Mr D Horrocks resigned as CEO on 15 August 2023 and Mrs G Reeder was appointed as interim CEO on this date.

Organisational structure

Under its constitution, the charity has a Council of Management of more than 3 members who meet quarterly and are responsible for the strategic direction and policy of the charity. The Company Secretary, who is also the Chief Executive Officer, sits on the Council but has no voting rights. As of 30 March 2024, there were a total of 8 members.

A scheme of delegation is in place and day to day responsibility for the provision of the service rests with the Chief Executive Officer, along with the OMT. The Chief Executive Officer is responsible for ensuring that the charity delivers the services specified and that key performance indicators are met. The OMT has responsibility for the day-to-day operational management of the charity, individual supervision of the staff and ensuring staff continue to develop their skills and working practices in line with good practice.

Induction and training of new trustees

Most trustees are familiar with the practical work of the charity, having already been involved with the charity, or the local Deaf community, in one form or another. Additionally, new trustees are invited and encouraged to visit the charity's various offices and meet with the Chief Executive Officer and Chair to familiarise themselves with the charity and the context within which it operates.

A trustee induction pack is provided which includes the following information:

An annual trustee strategy session, held off-site for one day each year, also addresses issues of trustee development and considers the strategic development of the organisation.

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Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 MARCH 2024

STRUCTURE, GOVERNANCE AND MANAGEMENT

Related parties

In so far as it is complementary to the charity's objectives, the charity is guided by both local and national policy. Services are delivered in partnership and attract funding from various organisations that include:

DSN has a wholly owned subsidiary company, DSN Cymru, which is currently dormant.

Risk management

The Council of Management conducts a regular review of the major risks to which the charity is exposed. A risk register has been established and is updated regularly. Where appropriate, systems or procedures have been established to mitigate and manage the risks the charity faces - appropriate assurances being given to the officers and trustees by the Organisational Management Team (OMT).

OMT met every two weeks to discuss operational issues and ensure that associated risks are identified, managed, and mitigated in a pro-active manner. This approach to risk management is further underpinned and informed by an annual review of DSN's policies which ensures a more rounded approach to stakeholder involvement in the identification and management of risk.

DSN continually works to improve its reporting framework to enhance strong governance. The reporting dashboard for trustees and senior managers continues to be revised as appropriate and has proved to be of significant benefit to trustees and senior managers in monitoring operational performance. This is a live process which will continue to develop to ensure it best meets business needs.

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The trustees (who are also the directors of Cheshire Deaf Society for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

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CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 MARCH 2024

AUDITORS

The auditors, Murray Smith LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.

Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on 17 July 2024 and signed on the board's behalf by:

D Fardoe - Trustee

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Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

Opinion

We have audited the financial statements of Cheshire Deaf Society (the 'charitable company') for the year ended 30 March 2024 which comprise the Statement of Financial Activities, the Balance Sheet, the 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 (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether 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:

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Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees.

We have nothing to report in respect of the following matters where 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 (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Our responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors 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.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

The audit procedures designed to identify irregularities included:

There are inherent limitations in the audit procedures described above 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 would become aware of it. Also, 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, intentional misrepresentations or through collusion.

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 Report of the Independent Auditors.

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Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Michael Benson (Senior Statutory Auditor) for and on behalf of Murray Smith LLP Chartered Accountants Statutory Auditors Darland House 44 Winnington Hill Northwich Cheshire CW8 1AU 18-07-2024 Date: .............................................

Page 15

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 MARCH 2024

Notes
INCOME AND ENDOWMENTS FROM
Donations and legacies
3
Charitable activities
5
Supported living
Commication services
Day services
Social care
Training service
Youth services
Projects
Investment income
4
Other income
Total
EXPENDITURE ON
Charitable activities
6
Supported living
Commication services
Day services
Social care
Training service
Youth services
Projects
Total
Net gains/(losses) on investments
NET INCOME/(EXPENDITURE)
Other recognised gains/(losses)
Actuarial gains/(losses) on defined benefit
schemes
Net movement in funds
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds
£
3,525
1,523,456
282,339
87,191
247,489
32,780
1,763
503
57,297
19,002
2,255,345
1,814,770
230,189
62,836
324,940
124,867
70,615
31,480
2,659,697
115,636
(288,716)
(408,000)
(696,716)
4,293,230
3,596,514		 Restricted
funds
£
1,000
-
-
-
-
(102)
42,426
-
-
-
43,324
4,800
-
-
5,759
-
207
-
10,766
-
32,558
-
32,558
32,328
64,886		 2024
Total
funds
£
4,525
1,523,456
282,339
87,191
247,489
32,678
44,189
503
57,297
19,002
2,298,669
1,819,570
230,189
62,836
330,699
124,867
70,822
31,480
2,670,463
115,636
(256,158)
(408,000)
(664,158)
4,325,558
3,661,400		 2023
Total
funds
as restated
£
3,549
1,602,237
247,551
67,265
285,406
54,819
41,389
4,483
75,673
21,408
2,403,780
1,430,900
274,069
102,035
542,952
108,665
122,662
115,672
2,696,955
(163,433)
(456,608)
454,000
(2,608)
4,328,166
4,325,558

CONTINUING OPERATIONS

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

The notes form part of these financial statements

Page 16

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY (REGISTERED NUMBER: 01323762)

BALANCE SHEET 30 MARCH 2024

2024 2023
as restated
Notes £ £
FIXED ASSETS
Tangible assets 13 1,868,474 1,566,170
Investments 14 1,269,739 2,204,103
3,138,213 3,770,273
CURRENT ASSETS
Debtors 15 248,835 435,020
Investments 16 400,000 -
Cash at bank 80,891 109,594
729,726 544,614
CREDITORS
Amounts falling due within one year 17 (206,539) (260,329)
NET CURRENT ASSETS 523,187 284,285
TOTAL ASSETS LESS CURRENT
LIABILITIES 3,661,400 4,054,558
PENSION ASSET 21 - 271,000
NET ASSETS 3,661,400 4,325,558
FUNDS 20
Unrestricted funds:
General fund 3,096,514 3,522,230
Pension fund - 271,000
Designated fund 500,000 500,000
3,596,514 4,293,230
Restricted funds 64,886 32,328
TOTAL FUNDS 3,661,400 4,325,558

The financial statements were approved by the Board of Trustees and authorised for issue on 17 July 2024 and were signed on its behalf by:

D Fardoe - Trustee

The notes form part of these financial statements

Page 17

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

CASH FLOW STATEMENT FOR THE YEAR ENDED 30 MARCH 2024

Notes
Cash flows from operating activities
Cash generated from operations
1
Net cash used in operating activities
Cash flows from investing activities
Purchase of tangible fixed assets
Sale of tangible fixed assets
Sale of fixed asset investments
Addition of current asset investments
Interest received
Dividends received
Net cash provided by investing activities
Change in cash and cash equivalents in
the reporting period
Cash and cash equivalents at the
beginning of the reporting period
Cash and cash equivalents at the end of
the reporting period		 2024
£
(546,990)
(546,990)
(536,042)
347,032
1,050,000
(400,000)
10,344
46,953
518,287
(28,703)
109,594
80,891		 2023
as restated
£
(393,835)
(393,835)
(531,477)
-
868,000
-
-
75,673
412,196
18,361
91,233
109,594

The notes form part of these financial statements

Page 18

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE CASH FLOW STATEMENT FOR THE YEAR ENDED 30 MARCH 2024

1. RECONCILIATION OF NET EXPENDITURE TO NET CASH FLOW FROM OPERATING ACTIVITIES

RECONCILIATION OF NET EXPENDITURE TO NET CASH FLOW FROM
ACTIVITIES		 OPERATING
Net expenditure for the reporting period (as per the Statement of
Financial Activities)
Adjustments for:
Depreciation charges
(Gain)/losses on investments
Profit on disposal of fixed assets
Interest received
Dividends received
Decrease/(increase) in debtors
Decrease in creditors
Difference between pension charge and cash contributions
Net cash used in operations		 2024
a
£
(256,158)
78,738
(115,636)
(192,032)
(10,344)
(46,953)
186,185
(53,790)
(137,000)
(546,990)		 2023
s restated
£
(456,608)
39,296
163,433
-
-
(75,673)
(53,436)
(10,847)
-
(393,835)

2. ANALYSIS OF CHANGES IN NET FUNDS

At 31.3.23 Cash flow At 30.3.24
£ £ £
Net cash
Cash at bank 109,594 (28,703) 80,891
109,594 (28,703) 80,891
Liquid resources
Deposits included in cash - - -
Current asset investments - 400,000 400,000
- 400,000 400,000
Total 109,594 371,297 480,891

The notes form part of these financial statements

Page 19

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 MARCH 2024

1. CHARITY STATUS

Cheshire Deaf Society is a private company limited by guarantee incorporated in England and Wales. The registered office is 144 London Road, Northwich, Cheshire CW9 5HH.

2. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

Going concern

At the time of approving the financial statements, the Council of management have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Council of management continue to adopt the going concern basis of accounting in preparing the financial statements.

Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

Expenditure

Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure includes any VAT which cannot be recovered and is reported as part of the expenditure to which it relates. All costs are allocated between the expenditure categories of the SOFA on the basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly, others are apportioned based on estimated usage.

Support costs include central functions and have been allocated to activity cost categories on the basis consistent with the use of resources and apportioned based on direct costs of the activity concerned.

Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. The costs of minor additions or those costing below £500 are not capitalised.

Depreciation of assets is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Property improvements 10% on cost
Freehold buildings 2% on cost
Fixtures and fittings 33% on cost
Motor vehicles 17% on cost

continued...

Page 20

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 MARCH 2024

2. ACCOUNTING POLICIES - continued

Tangible fixed assets

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

Fixed asset investments

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.

Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Taxation

As a charity, DSN is exempt from the tax on income and gains falling within section 505 of the Taxes Act 1988 or section 256 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. No tax charges have arisen in the charity.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Designated funds are held as a contingency to cover fixed costs in the event of a shortfall in funding for ongoing projects and services.

Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received.

Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

DSN is a member of the Cheshire Pension Scheme, a Local Government Pension Scheme ("LGPS"), which is funded by contributions from the employees and the charity as an employer. The LGPS is a funded multi-employer scheme, and the assets are held separately from those of the charity in separate trustee administered funds. Pension scheme assets are measured at fair value and liabilities are measured on an actuarial basis using the projected unit credit method and discounted at a rate equivalent to the current rate of return on a high-quality corporate bond of equivalent term and currency to the liabilities. The actuarial valuations are obtained at least triennially and are updated at each balance sheet date. The amounts charged to net income/(expenditure) are the current service costs and the costs of scheme introductions, benefit changes, settlements and curtailments. They are included as part of staff costs as incurred. Net interest on the net defined benefit liability/asset is also recognised in the Statement of Financial Activities and comprises the interest cost on the defined benefit obligation and interest income on the scheme assets, calculated by multiplying the fair value of the scheme assets at the beginning of the period by the rate used to discount the benefit obligations. The difference between the interest income on the scheme assets and the actual return on the scheme assets is recognised in the income and expenditure account.

Actuarial gains and losses are recognised immediately in other recognised gains and losses.

Alternatively, employees may opt to join the Group Personal Pension scheme operated by NOW pensions as a defined contribution scheme which is funded by contributions from employees and the charity as employer. The charity has a group personal pension scheme operated by Friends Life which is now closed to new members.

continued...

Page 21

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 MARCH 2024

2. ACCOUNTING POLICIES - continued

Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

Financial instruments

The charity has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity's contractual obligations expire or are discharged or cancelled.

Critical accounting estimates and judgements

In the application of the charity's accounting policies, the Council of management are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

continued...

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Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 MARCH 2024

3.
DONATIONS AND LEGACIES
Donations
4.
INVESTMENT INCOME
Income from listed investments
Deposit account interest
5.
INCOME FROM CHARITABLE ACTIVITIES
Activity
Charitable activities
Supported living
Charitable activities
Commication services
Charitable activities
Day services
Charitable activities
Social care
Charitable activities
Training service
Charitable activities
Youth services
Charitable activities
Projects
6.
CHARITABLE ACTIVITIES COSTS
Supported living
Commication services
Day services
Social care
Training service
Youth services
Projects		 Direct
Costs
£
1,210,617
117,275
61,640
313,029
118,901
70,822
15,405
1,907,689		 2024
£
4,525
2024
£
46,953
10,344
57,297
2024
£
1,523,456
282,339
87,191
247,489
32,678
44,189
503
2,217,845
Support
costs (see
note 7)
£
608,953
112,914
1,196
17,670
5,966
-
16,075
762,774		 2023
as restated
£
3,549
2023
as restated
£
75,673
-
75,673
2023
as restated
£
1,602,237
247,551
67,265
285,406
54,819
41,389
4,483
2,303,150
Totals
£
1,819,570
230,189
62,836
330,699
124,867
70,822
31,480
2,670,463

continued...

Page 23

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 MARCH 2024

7. SUPPORT COSTS

SUPPORT COSTS
Supported living
Commication services
Day services
Social care
Training service
Projects		 Support
Governance
costs
costs
£
£
583,393
25,560
112,914
-
1,196
-
17,670
-
5,966
-
16,075
-
737,214
25,560		 Totals
£
608,953
112,914
1,196
17,670
5,966
16,075
762,774

8. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

2024 2023
as restated
£ £
Audit fees - 5,500
Audit fees - current year 7,860 -
Audit fees - accountancy 2,100 -
Audit fees - previous auditor 15,600 -
Depreciation - owned assets 78,738 39,296
Surplus on disposal of fixed assets (192,032) -

9. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 30 March 2024 nor for the year ended 30 March 2023.

Trustees' expenses

There were no trustees' expenses paid for the year ended 30 March 2024 nor for the year ended 30 March 2023.

10. STAFF COSTS

Wages and salaries
Social security costs
Other pension costs		 2024
£
1,760,160
146,672
104,586
2,011,418		 2023
as restated
£
1,636,344
130,052
88,008
1,854,404

continued...

Page 24

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 MARCH 2024

10. STAFF COSTS - continued

The average monthly number of employees during the year was as follows:

Executive
Operations
Supported living
Finance & administration		 2024
as
2
33
35
13
83		 2023
restated
3
34
31
13
81

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

£70,001 - £80,000
11.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL
INCOME AND ENDOWMENTS FROM
Donations and legacies
Charitable activities
Supported living
Commication services
Day services
Social care
Training service
Youth services
Projects
Investment income
Other income
Total
EXPENDITURE ON
Charitable activities
Supported living
Commication services
Day services
Social care
Training service
Youth services
Projects
Total
Net gains/(losses) on investments		 ACTIVITIES
Unrestricted
funds
£
2,549
1,592,574
247,551
67,265
251,281
54,819
41,389
4,483
75,673
21,408
2,358,992
1,430,900
274,069
102,035
514,892
108,665
109,201
115,672
2,655,434
(163,433)		 2024
1
Restricted
funds
£
1,000
9,663
-
-
34,125
-
-
-
-
-
44,788
-
-
-
28,060
-
13,461
-
41,521
-		 2023
as restated
1
Total
funds
as restated
£
3,549
1,602,237
247,551
67,265
285,406
54,819
41,389
4,483
75,673
21,408
2,403,780
1,430,900
274,069
102,035
542,952
108,665
122,662
115,672
2,696,955
(163,433)

Page 25

continued...

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 MARCH 2024

11. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued

NET INCOME/(EXPENDITURE)
Other recognised gains/(losses)
Actuarial gains on defined benefit schemes
Net movement in funds
RECONCILIATION OF FUNDS
Total funds brought forward
As previously reported
Prior year adjustment
As restated
TOTAL FUNDS CARRIED FORWARD
PRIOR YEAR ADJUSTMENT
The 2023 opening pension reserve figure has been restated to
through a transfer of £183,000 to he general reserve fund.
TANGIBLE FIXED ASSETS
Freehold
property
£
COST
At 31 March 2023
1,736,988
Additions
484,585
Disposals
(155,000)
At 30 March 2024
2,066,573
DEPRECIATION
At 31 March 2023
263,934
Charge for year
41,563
Eliminated on disposal
-
At 30 March 2024
305,497
NET BOOK VALUE
At 30 March 2024
1,761,076
At 30 March 2023
1,473,054		 Unrestricted
Restricted
funds
funds
£
£
(459,875)
3,267
454,000
-
(5,875)
3,267
4,299,105
29,061
-
-
4,299,105
29,061
4,293,230
32,328
reflect the correct position at 31
Fixtures
and
Motor
fittings
vehicles
£
£
125,712
156,666
3,108
48,349
-
(18,670)
128,820
186,345
79,113
110,149
20,514
16,661
-
(18,670)
99,627
108,140
29,193
78,205
46,599
46,517		 Unrestricted
Restricted
funds
funds
£
£
(459,875)
3,267
454,000
-
(5,875)
3,267
4,299,105
29,061
-
-
4,299,105
29,061
4,293,230
32,328
reflect the correct position at 31
Fixtures
and
Motor
fittings
vehicles
£
£
125,712
156,666
3,108
48,349
-
(18,670)
128,820
186,345
79,113
110,149
20,514
16,661
-
(18,670)
99,627
108,140
29,193
78,205
46,599
46,517		 Total
funds
as restated
£
(456,608)
454,000
(2,608)
4,328,166
-
4,328,166
4,325,558
March 2022
Totals
£
2,019,366
536,042
(173,670)
2,381,738
453,196
78,738
(18,670)
513,264
1,868,474
1,566,170

12. PRIOR YEAR ADJUSTMENT

The 2023 opening pension reserve figure has been restated to reflect the correct position at 31 March 2022, through a transfer of £183,000 to he general reserve fund.

13. TANGIBLE FIXED ASSETS

Page 26

continued...

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 MARCH 2024

14. FIXED ASSET INVESTMENTS

MARKET VALUE
At 31 March 2023
Disposals
Revaluations
At 30 March 2024
NET BOOK VALUE
At 30 March 2024
At 30 March 2023
There were no investment assets outside the UK.
Cost or valuation at 30 March 2024 is represented by:
Valuation in 2024
15.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade debtors
Prepayments and accrued income
16.
CURRENT ASSET INVESTMENTS
Treasury bank account		 2024
£
170,221
78,614
248,835
2024
£
400,000		 Listed
investments
£
2,204,103
(1,050,000 )
115,636
1,269,739
1,269,739
2,204,103
Listed
investments
£
1,269,739
2023
as restated
£
299,574
135,446
435,020
2023
as restated
£
-
a
a

continued...

Page 27

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 MARCH 2024

17. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Trade creditors
Social security and other taxes
Accruals and deferred income		 2024
a
£
75,714
43,634
87,191
206,539		 2023
s restated
£
150,786
64,930
44,613
260,329

18. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

Within one year
Between one and five years		 2024
as
£
5,744
12,097
17,841		 2023
restated
£
86,723
-
86,723

19. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Fixed assets
Investments
Current assets
Current liabilities
Pension asset		 Unrestricted
funds
£
1,868,474
1,269,739
664,840
(206,539)
-
3,596,514		 Restricted
funds
£
-
-
64,886
-
-
64,886		 2024
Total
funds
£
1,868,474
1,269,739
729,726
(206,539)
-
3,661,400		 2023
as restated
Total
funds
£
1,566,170
2,204,103
544,614
(260,329)
271,000
4,325,558

continued...

Page 28

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 MARCH 2024

20. MOVEMENT IN FUNDS

Unrestricted funds
General fund
Pension fund
Designated fund
Restricted funds
National Lottery
Fundraising balances
Armed forces
BBC Children in Need
TOTAL FUNDS
Net movement in funds, included in the above are
Unrestricted funds
General fund
Pension fund
Restricted funds
Fundraising balances
Armed forces
BBC Children in Need
TOTAL FUNDS		 as follows:
Incoming
resources
£
2,240,345
15,000
2,255,345
1,000
(102)
42,426
43,324
2,298,669		 At
31.3.23
£
3,522,230
271,000
500,000
4,293,230
5,115
5,201
15,258
6,754
32,328
4,325,558
Resources
expended
£
(2,781,697 )
122,000
(2,659,697 )
(4,800)
(1,378)
(4,588)
(10,766)
(2,670,463 )		 Net
movement
in funds
£
(425,716)
(271,000)
-
(696,716)
-
(3,800)
(1,480)
37,838
32,558
(664,158)
Gains and
losses
£
115,636
(408,000)
(292,364)
-
-
-
-
(292,364)		 At
30.3.24
£
3,096,514
-
500,000
3,596,514
5,115
1,401
13,778
44,592
64,886
3,661,400
Movement
in funds
£
(425,716)
(271,000)
(696,716)
(3,800)
(1,480)
37,838
32,558
(664,158)

continued...

Page 29

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 MARCH 2024

20. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Unrestricted funds
General fund
Pension fund
Designated fund
Restricted funds
National Lottery
Home Bonus grant
Fundraising balances
Armed forces
BBC Children in Need
TOTAL FUNDS		 At
31.3.22
£
3,799,105
-
500,000
4,299,105
5,115
1,075
4,201
9,193
9,477
29,061
4,328,166		 Prior
year
adjustment
£
183,000
(183,000)
-
-
-
-
-
-
-
-
-		 Net
movement
in funds
£
(459,875)
454,000
-
(5,875)
-
(1,075)
1,000
6,065
(2,723)
3,267
(2,608)		 At
30.3.23
£
3,522,230
271,000
500,000
4,293,230
5,115
-
5,201
15,258
6,754
32,328
4,325,558

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Pension fund
Restricted funds
Home Bonus grant
Fundraising balances
Armed forces
BBC Children in Need
TOTAL FUNDS		 Incoming
resources
£
2,358,992
-
2,358,992
-
1,000
34,125
9,663
44,788
2,403,780		 Resources
expended
£
(2,655,434 )
-
(2,655,434 )
(1,075)
-
(28,060)
(12,386)
(41,521)
(2,696,955 )		 Gains and
losses
£
(163,433)
454,000
290,567
-
-
-
-
-
290,567		 Movement
in funds
£
(459,875)
454,000
(5,875)
(1,075)
1,000
6,065
(2,723)
3,267
(2,608)

continued...

Page 30

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 MARCH 2024

20. MOVEMENT IN FUNDS - continued

A current year 12 months and prior year 12 months combined position is as follows:

Unrestricted funds
General fund
Pension fund
Designated fund
Restricted funds
National Lottery
Home Bonus grant
Fundraising balances
Armed forces
BBC Children in Need
TOTAL FUNDS		 At
31.3.22
£
3,799,105
-
500,000
4,299,105
5,115
1,075
4,201
9,193
9,477
29,061
4,328,166		 Prior
year
adjustment
£
183,000
(183,000)
-
-
-
-
-
-
-
-
-		 Net
movement
in funds
£
(885,591)
183,000
-
(702,591)
-
(1,075)
(2,800)
4,585
35,115
35,825
(666,766)		 At
30.3.24
£
3,096,514
-
500,000
3,596,514
5,115
-
1,401
13,778
44,592
64,886
3,661,400

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Pension fund
Restricted funds
Home Bonus grant
Fundraising balances
Armed forces
BBC Children in Need
TOTAL FUNDS		 Incoming
resources
£
4,599,337
15,000
4,614,337
-
2,000
34,023
52,089
88,112
4,702,449		 Resources
expended
£
(5,437,131 )
122,000
(5,315,131 )
(1,075)
(4,800)
(29,438)
(16,974)
(52,287)
(5,367,418 )		 Gains and
losses
£
(47,797)
46,000
(1,797)
-
-
-
-
-
(1,797)		 Movement
in funds
£
(885,591)
183,000
(702,591)
(1,075)
(2,800)
4,585
35,115
35,825
(666,766)

National Lottery funding is to support youth activities.

The Armed Forces grant is to support ex-members of the military who suffer from hearing loss.

The BBC Children in Need grant is for the I'm Hear project, which supports deaf children and their families.

continued...

Page 31

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 MARCH 2024

21. EMPLOYEE BENEFIT OBLIGATIONS

The charity participates in the Cheshire County Council pension scheme, a multi-employer defined benefit final salary scheme.

The employer's contribution made to the scheme in the year was set between 5.5% and 8.5% of pensionable pay. During the years to 30 March 2024 and 30 March 2023 Cheshire Deaf Society made additional payments of £108,000 towards the pension deficit. This is in additional to the statutory contributions.

Whilst the scheme currently shows a surplus position, Cheshire Deaf Society are required to continue to make payments of £108,000 per year due to the time between actuarial valuations. The board of trustees have agreed in principle that the charity will exit the scheme as of 31 March 2025 so that future additional contributions to the scheme are not required.

The amounts recognised in the Statement of Financial Activities are as follows:

Current service cost
Net interest from net defined benefit
asset/liability
Past service cost
Actual return on plan assets		 Defined benefit
pension plans
2024
2023
as restated
£
£
27,000
33,000
(15,000)
3,000
-
-
12,000
36,000
(300,000)
(212,000)

Changes in the present value of the defined benefit obligation are as follows:

Opening defined benefit obligation
Current service cost
Contributions by scheme participants
Interest cost
Actuarial losses/(gains)
Benefits paid		 Defined benefit
pension plans
2024
2023
as restated
£
£
2,420,000
3,032,000
27,000
33,000
7,000
6,000
110,000
81,000
(17,000)
(638,000)
(264,000)
(94,000)
2,283,000
2,420,000

continued...

Page 32

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 MARCH 2024

21. EMPLOYEE BENEFIT OBLIGATIONS - continued

Changes in the fair value of scheme assets are as follows:

Opening fair value of scheme assets
Contributions by employer
Contributions by scheme participants
Expected return
Actuarial gains/(losses)
Benefits paid		 Defined benefit
pension plans
2024
2023
as restated
£
£
2,691,000
2,849,000
149,000
142,000
7,000
6,000
125,000
78,000
(425,000)
(290,000)
(264,000)
(94,000)
2,283,000
2,691,000

The amounts recognised in other recognised gains and losses are as follows:

Actuarial gains/(losses) Defined benefit
pension plans
2024
2023
as restated
£
£
(408,000)
454,000
(408,000)
454,000

The major categories of scheme assets as a percentage of total scheme assets are as follows:

Defined benefit Defined benefit
pension plans
2024 2023
as restated
Equities 45% 43%
Bonds 41% 39%
Property 13% 16%
Cash 1% 2%
100% 100%

Principal actuarial assumptions at the Balance Sheet date (expressed as weighted averages):

2024 2023
as restated
Discount rate 4.80% 4.75%
Future salary increases 3.50% 3.70%
Future pension increases 2.80% 3.00%

continued...

Page 33

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 MARCH 2024

22. RELATED PARTY DISCLOSURES

Remuneration of £23,980 (2023 - £19,312) was paid to Mrs L Birtles, who is daughter of the trustee Mr P Morley. The remuneration was paid to carry out her role on behalf of the Training Service.

Remuneration of £10,144 (2023 - £nil) was paid to Ms A Pane, who is daughter of the trustee Mr D Pane. The remuneration was paid to carry out her role as BSL Tutor.

Remuneration of £19,245 (2023 - £17,479) was paid to P Craige, who is mother of the trustee T Lonergan. The remuneration was paid to carry out her role as Project Manager.

DSN Retail Ltd ceased to trade on 8 June 2023. During the financial year the company paid a donation of £1,409 to DSN (2023 £17,000).

Page 34

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 MARCH 2024

INCOME AND ENDOWMENTS
Donations and legacies
Donations
Investment income
Income from listed investments
Deposit account interest
Charitable activities
Charitable activities
Other income
Expected return on pension scheme assets
Other income
Total incoming resources
EXPENDITURE
Charitable activities
Wages
Social security
Pensions
Other direct costs
Fixtures and fittings depreciation
Support costs
Support costs
Wages
Postage and printing
Travel
Administration and premises
Financial costs
Legal and professional
Freehold property depreciation
Fixtures and fittings depreciation
Motor vehicles depreciation
(Profit) / loss on sale of tangible fixed assets
Governance costs
Auditors' remuneration		 2024
£
4,525
46,953
10,344
57,297
2,217,845
15,000
4,002
19,002
2,298,669
1,282,815
146,672
104,586
365,392
8,224
1,907,689
477,345
9,530
13,337
321,260
1,316
35,944
41,563
12,290
16,661
(192,032)
737,214
25,560		 2023
as restated
£
3,549
75,673
-
75,673
2,303,150
-
21,408
21,408
2,403,780
1,164,012
130,052
88,008
415,244
8,251
1,805,567
472,332
6,459
7,829
334,192
1,444
32,587
738
21,098
9,209
-
885,888
5,500

This page does not form part of the statutory financial statements

Page 35

Docusign Envelope ID: 8691EF33-CF49-4DB3-BF02-7428A8AC16ED

CHESHIRE DEAF SOCIETY

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 MARCH 2024

Total resources expended
Net expenditure before gains and losses
Realised recognised gains and losses
Realised gains/(losses) on fixed asset investments
Net expenditure		 2024
£
2,670,463
(371,794)
115,636
(256,158)		 2023
as restated
£
2,696,955
(293,175)
(163,433)
(456,608)

This page does not form part of the statutory financial statements

Page 36