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2021-03-31-accounts

Company number: 01348975 Charity Number: 507162

The Gaddum Centre

Report and financial statements For the year ended 31 March 2021

The Gaddum Centre

Reference and administrative information

for the year ended 31 March 2021

Company number 01348975 Charity number 507162 Registered office and operational address St Wilfrid ’s Enterprise Centre Royce Road Hulme Manchester M15 5BJ

Trustees Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows:

Roy Harding Chair Rowena Birch Vice Chair Jonathan Miller Finance Trustee (appointed 14 January 2021) Ady Bibby Dora Blake David Carmichael Anthony Hassall Claudia Carvell Wes Baker (resigned 11 June 2020) Don Bancroft Finance Trustee (resigned 17 February 2021) Jonathan Brewer (appointed 15 March 2021) Afreena Islam-Wright (appointed 15 March 2021) Kabir Patel (appointed 22 March 2021) Beth Plant (appointed 9 April 2021)

Key management Lynne Stafford Chief Executive personnel Ben Whalley Head of Operations Sam Palmer Head of Innovation & Development Lauren Edwards Assistant Head of Operations Anna Sevink Head of Financial Services (left 16 May 2020) Bankers Lloyds Bank 42-46 Market Street, Manchester, M1 1PW Auditors Slade & Cooper Limited Beehive Mill, Jersey Street, Ancoats, Manchester, M4 6JG

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The Gaddum Centre

Trustees’ annual report

for the year ended 31 March 2021

The trustees (who are also Directors of the Charity for the purposes of the Companies Act) present their annual report and the audited financial statements of The Gaddum Centre (the Charity) for the year ended 31 March 2021. Included within the trustees’ report is the directors’ report as required by company law.

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

Objectives and activities

OBJECTIVES OF THE CHARITY

The objective of the Charity is the promotion of any charitable purpose for the benefit of the community in Manchester and surrounding areas, in particular the furtherance of health and the relief of poverty, distress and sickness and the advancement of education. This objective is carried out by the provision of services in the field of social care, particularly health related services including counselling, the provision of advocacy, advice, family and individual support services, training and development projects to individuals, families, agencies, local and health authorities, professionals and companies.

The charity has three main work streams:

PUBLIC BENEFIT

The Trustees have complied with their duty to have due regard to the public benefit guidance published by the Charity Commission.

The Charities Act 2011 identifies 13 descriptions of charitable purpose and in our view the work of the Charity meets the following:

Activities undertaken to further charitable objectives for public benefit are described below. All services are provided free of charge to beneficiaries.

The trustees review the aims, objectives, and activities of the charity each year. This report looks at what the charity has achieved and the outcomes of its work in the reporting period. The trustees report the success of each key activity and the benefits the charity has brought to those groups of people it is set up to help. The review also helps the trustees ensure the charity's aims, objectives and activities remained focused on its stated purposes.

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The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning its future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives that have been set.

All Trustees support Gaddum as volunteers on Gaddum Trustee Board. Gaddum continues to offer placements to social work students, counselling students and return to practice counsellors. The Head of Operations acts a qualified practice educator lead with assistance from designated staff who are similarly qualified. In 2019-20, Bury Carers Service’s activities were supported by a number of volunteers. The contribution of volunteers is stated in service reports to Trustee Board and reflected as social value offers in budgets, for tenders and bids for funding.

GADDUM ADVOCACY

Manchester Advocacy Hub

Gaddum are commissioned by Manchester City Council to provide all the independent statutory advocacy services for citizens of Manchester. Statutory Advocacy is required by law for certain matters relating to an individual’s health and social care. The Manchester Advocacy Hub was established on 1st April 2015 and provides-

There is a team of 16; 1 manager, 1 administrator, 3 sessional workers and 11 advocates. There are also social work students on placement.

Statutory Advocacy involves: -

The team also undertake other work relating to Deprivation of Liberty.

Covid 19 response

Covid-19 pandemic had a substantial impact on Advocacy in the UK. There were changes to government guidance on the Care Act, Mental Capacity and Deprivation of Liberty Safeguards, and therefore changes to the way health and social care sector operated.

Gaddum Advocacy has not stopped accepting referrals or turned down a case

Since the outbreak of Covid-19, Gaddum Advocacy continued attending visits in hospitals, care homes, supported accommodation and private homes. After a brief pause in visits in March 2020, these

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continued from April 2020 and over the latter course of 2020, the service returned to normal, with appropriate COVID-19 precautions to protect our clients.

A total of 16,900 hours of statutory advocacy were delivered throughout 2020-21 by Gaddum Advocacy, which amounts to nearly two whole years working 24 hours a day, 7 days a week.

The approach to visits and communication was adapted to meet our clients’ needs using a range of formats to keep in touch including:

GADDUM CARERS

Carers Support Services

In 2020- 21 Gaddum managed both Salford Carers Centre and the new Carers Manchester Pathway in delivering local community services supporting both adult and young carers. The centres are designed to provide services to carers within their local authorities e.g., advice and information, assessment, newsletters, practical and emotional support, activities, support groups, training, relaxation, help with employment issues and referring and signposting to other service providers.

Carers Salford

Gaddum have held the Salford Carers Contract for services across the locality for over a decade. Gaddum was awarded a further five-year contract which began in October 2020, running to September 2025 and with a possible extension to September 2026. Funding was also received from Lottery money to establish the Shine Project to further support Young Carers.

As well as giving advice support and guidance to adult carers, young adult carers and young carers the staff are involved with awareness raising and training of professionals in the community, involvement in local planning initiatives, conferences and other appropriate links and networks with local, national and regional organisations.

The service has adapted to an empowerment based, three conversations model. This innovative model is an approach to identifying the strengths of carers, ultimately supporting them to make the choices they want to live healthy, fulfilling lives.

In 2020 -21, despite the COVID-19 pandemic, Carers Salford: -

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Covid 19 response

Carers Salford have been remote working through: -

For Young Carers & Young Adult Carers, support has been delivered through: -

For Adult Carers there have been: -

Shine Young Carers Project

Project Aim:

To identify and support young carers in Manchester and Salford.

Project Stats:

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Manchester

Carers Manchester Pathway

The management of new Carers Manchester Programme with a new ‘one stop’ contact point, continued coordination of Carers Manchester Network and Locality Provision continued to be led by Gaddum through 2020-21. Gaddum played a key role in delivering transformational change in the way carers support services were delivered across the city and were key partners with Manchester City Council & NHS in response to Covid vaccination uptake.

Carers Manchester Network

Gaddum continued to coordinate a network of 18 VCSE Carers Support provider organisations as part of the new Carers Manchester Pathway.

Covid 19 response

During the most challenging of times for Manchester’s unwaged carers, Gaddum and the Carers Manchester team continued to deliver appropriate and effective advice, information, and support.

This has been a true partnership between both the Carers Manchester, the wider Gaddum team and our many partners

This feedback demonstrates why this is important: -

“Carers Manchester … were extremely supportive throughout this difficult time period. Throughout my 37 years of caring, I haven't received this level of support from any person or organisation. Thank you for listening to my difficult situations and providing critical advice. Also, the referral and contact information which was provided was helpful in pointing me towards the correct direction.”

Bury

The contract for Bury Carers Service is no longer held by Gaddum as it was competitively retendered in early 2020.

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GADDUM THERAPY

Therapy services includes staff members with social work, counselling and play therapy qualifications. In addition, Gaddum provides placements for undergraduate social work students.

Covid 19 response

In 20/21 all service provision across therapy services was maintained and our delivery model switched to online and telephone provision to ensure consistency for clients throughout the pandemic. Positive therapeutic results continued to be observed across all therapy service with the changed delivery model, which received positive client feedback. As restrictions have loosened, we offered a blended approach, where face to face provision has resumed, but remote sessions continue to form part of our core service offer for clients based on preference.

Manchester IAPT

The GP Counselling Service continues to provide service delivery into GP surgeries in North and South Manchester as well as Central Manchester, as part of commissioned IAPT mental health services. In addition to therapeutic counselling, social work students supported clients with social difficulties or undertook relapse prevention sessions. We continued to signpost service users to a range of other support networks.

Roby Support Services provides person centred, integrative and cognitive behavioural therapy tailored to diverse and marginalised communities. It continues to be part of commissioned Manchester IAPT Mental Health services.

Clients are reaching good recovery outcomes (20/21 44.4%, 21/22 YTD 54.4%) with reliable improvement scores (20/21 71%, 21/22 YTD 75.8%) Attendance rates have improved (20/21 81.5%, 21/22 YTD 79.8%) BAME engagement remains high (20/21 44.3%, 21/22 YTD 39.8%)

Clients continue to provide excellent feedback for the service and the team

Bereavement and Palliative Care

The Children and Families’ Bereavement Services are delivered in Manchester, Salford, and Rochdale, funded by NHS contracts, supporting children and their families following the death of a significant other.

The Children and Families’ Paediatric Palliative Care Service provides psycho-social support for families caring for a child with a life limiting or life-threatening condition. We work with specialist community nursing teams in Salford, Stockport, and Rochdale. This service provides long-term therapeutic support for families and in 20/21 we worked with over 40 families.

Covid 19 response

In 20/21 we received additional 2-year funding from Salford CCG, expanding our Bereavement service offer in Salford. Additional funding was also received from Children in Need to specifically work with children and young people bereaved as a result over COVID-19 over an 18-month contract. The increase in funding has allowed us to work with more families, but also to expand our psychoeducation offer for families, to offer a wider wraparound support offer.

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The increase in funding across our child bereavement services has enabled us to work with over 100 families in Greater Manchester in 20/21.

Getting Help

From May 2017, the Gaddum Centre have been the lead organisation for the Getting Help service in Heywood, Middleton & Rochdale working with five other third sector organisations to improve mental health and wellbeing for hard-to-reach groups through the provision of counselling, befriending and group work. This is a sub-contract to the Big Life Group.

In 20/21 the service supported 105 clients and coordinated 5 other key providers in the locality who in total supported 636 clients.

Feedback

“Firstly, thank you. Our weekly appointments were the single fixed point in my life for a while whilst dealing with the stormy first year/stage of grief following Dominic’s death. I really don’t know how I would have got through without them. Your combination of immense empathy and direct practicality were the perfect fit for what I needed.

I am now feeling so much more like myself, stronger and more able to deal with the usual ups and downs day to day life throws at me. I’m back to working 3 days a week and considering moving to 4. However, I am taking the lesson you repeated constantly, to be kind to myself, meaning I’m not rushing back because I feel it’s expected of me but because it feels right for me.”

CHARITY TRUST ADMINISTRATION

Charity Trust Administration

The Gaddum Centre administer several historical trust funds that provide funding for essential items and services for disadvantaged families and individuals residing in the City of Manchester and the immediate surrounding boroughs. Experienced staff ensure applications match both the objectives and criteria of the Gaddum Centre and the charities. The processed applications are recorded onto a database to monitor the number of grants made to each applicant. The staff liaise with various statutory and voluntary organisations to verify the applications and to discuss the grants awarded. Our comprehensive service ensures maximum benefit to the beneficiaries and efficient use of the charities’ funds.

Private Charities

ROBERT BELL CHARITY (Charity number, linked as Gaddum)

For the benefit of people on low income, resident in the City of Manchester.

WILLIAM CAVANAGH TRUST (Charity number, linked as Gaddum)

For people on low income living in Gorton or West Gorton only.

DARBISHIRE HOUSE TRUST (Charity number, 234651)

For helping women who are Manchester residents. Preference is given to teachers or ex - teachers who are retraining and are Manchester residents and unable to cover the whole cost themselves.

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PRATT CHARITY (Charity number, linked as Gaddum)

Small grants in support of respectable women over the age of 60 who reside in the City of Manchester.

JOHN ROYLE FUND

Originally for leather workers, but now helps individuals on low income who are Manchester residents.

SATTERFIELD CHARITY (Charity number, 225453)

Provides convalescence for people who have received hospital care. It can also be used to provide clothing or help someone recovering at home. Covers an area within 60 miles of Manchester.

SHYLOCK CHARITY (Charity number, linked as Gaddum)

For people on low income, over 55 years of age who live within a radius of eight miles of Manchester Town Hall.

YATES CHARITY

Funded from South Africa and varies from year to year. Grants are made to people on low income who are residents of Higher Openshaw and its surrounding area.

GRATRIX CHARITY (Charity number, 228916)

A fund for plumbers and associated tradesmen and their dependants who are Greater Manchester residents in need.

Ann Butterworth & Daniel Bayley Charity (Charity number, 526055)

Supports students under 21 years old who are studying the arts. Helps with costs directly associated with their course e.g. tuition fees, educational materials or field trips.

Only accept applications from clients themselves or professionals from statutory or voluntary organisations.

THE JOSEPH & ANN SLATER MEMORIAL FUND (Charity number, 210410)

Provides funds for holidays anywhere in the UK for disadvantaged children from the Manchester area.

Achievements and performance

The charity's main activities and who it tries to help are described below. All its charitable activities focus on its vision ‘Empowering People: Improving Lives and are undertaken to further The Gaddum Centre’s charitable purposes for the public benefit.

All Gaddum Centre services delivered under contract to Local Authorities or NHS are monitored through quarterly contract reviews with commissioners. Each contract has specific monitoring requirements with both qualitative and quantitative measures against specific outputs and outcomes. Reports from all service areas are reported at bi-monthly Trustee Board meetings and to service delivery highlighted in the Strategic Risk Register with mitigating actions recorded.

The Information Management System has a reporting function and a balanced Scorecard.

Chief Executive and SMT reviewed the Gaddum Centre Strategy & Action Plans 2016 – 2020 in April 2019 and the previous strategic objectives. There have been significant achievements over the last 3 years. Following a Trustee Board Development session in October 2019 and SMT Away Days in 2019

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and January 2020. The previous Gaddum Strategic & Business Plan 2016 -20 was reviewed, and any outstanding or ongoing objectives noted.

Through 2020, the Gaddum Centre Strategy & Action Plans 2016 – 2020, were reviewed and redeveloped into the Gaddum Strategic 5-year Plan 2020-25. A further review and amendments were made in relation to austerity, Covid Pandemic and Brexit, following a review by an external consultant with NHS & LA experience.

Despite the impact of Covid 19 pandemic and Brexit, Gaddum continued to grow and respond to the changing needs of both the clients and commissioners of our main contracts. The terms for our contract for Manchester Advocacy Hub were identified to finish in 2022 and work is being undertaken to secure future funding. We experienced increases in both demand and complexity of cases across all service areas over the previous years. On some contracts, there continues to be no uplift or inflationary rise, despite some being held for as long as 10 years, whilst the demand from commissioners is for increased service delivery and response.

Once again, the initial work on budgets for the organisation and services projected a substantial deficit for 2020-21, which would not have been favourable for retendering of key contracts. However, changes primarily due to staff moving on to roles for career development, offered the opportunity for organisational restructure across all service areas and the core function. This had a positive impact on reducing the predicted deficit.

SLT implemented changes to the organisational structure to ensure financial stability, in readiness for upcoming contracts for retendering, with a flatter ‘management’ structure to ensure closer monitoring of service delivery. This primarily involved changes within SLT, lower ‘management’ including the creation of a Business Systems Manager function.

The Gaddum Centre continued over the year to consolidate its position in Greater Manchester with the submission of tenders and grant applications for both existing and new contracts for all of its services.

The Gaddum Centre successfully negotiated with commissioners for the continuation of the contracts for Manchester Advocacy Hub with Manchester City Council and were successful in retaining the contract for Salford Carers Service with Salford Council.

Beneficiaries of our services

Gaddum, is a charity leader in providing health and wellbeing services in Greater Manchester

At Gaddum, everyone is treated as an individual; understanding their world to offer a range of support that’s right for them. Our promise of tailored support is made possible by our breadth and depth of knowledge, through our unwavering commitment to the local people of Greater Manchester.

Gaddum works across Greater Manchester and delivers services in Manchester, Rochdale, Salford and Stockport for:

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Financial review

From 2020 to present, the most significant event to have a potential financial effect remains the impact of the Covid – 19 pandemic, Brexit and potentially the impact of reorganisation of the NHS. Gaddum was protected from a major negative consequence on its finance as most of the income is from statutory contracts with NHS and Local Authorities. Major funding organisations such as `Big Lottery’ reassured recipients of continued funding with access to potential additional funding streams. In response to the impact of Covid -19 pandemic, Gaddum secured further additional funding from statutory organisations and grants to support people in need.

The Trustee Board recognised and acknowledged the continued potential risk over the reporting period until late 2020 through the lack of adequate financial information being provided through previous finance management and subsequent lack of input from senior financial leadership. The appointment of a Financial Services Lead has provided reassurance with the development of accurate reporting for Finance Subgroup and Trustee Board

In relation to investments, Gaddum’s charitable objectives are:

Following a further discussion with Brewin & Dolphin, investment managers, the level of risk to Gaddum’s investment funds will need to be reassessed by Trustee Board in near future.

Brewin & Dolphin are signed up to the United Nations principles of investing and embedded these within overall investment processes within strict ESG parameters. This lends itself to having the best-in-class investments, which forms stewardship as custodian of Gaddum’s assets while ensuring that sustainability and key principles from the UN are covered.

‘ Brewin Dolphin is a signatory of the United Nations Principles of Responsible Investment (UNPRI), confirming our commitment to integrate environmental, social and governance considerations (ESG) within our investment process.’

Restricted funding of £863k was received for the provision of Advocacy, Carers & Therapy Services.

There was outgoing restricted expenditure of £674k. We brought forward restricted funds of £288k and carried forward £499k after transfers for future committed service provision.

We received £1,969k of unrestricted income and expended £1,780k. There was also £78k of unrealised gains in the value of the investment portfolio. After transfers between funds, the unrestricted reserve balance is £630k.

A pension provision and corresponding pension deficit reserve of £197k (2020: £234k) has been recognised in the accounts as required by FRS102. Under FRS102 if an employer has entered into an agreement with the multi-employer plan that determines how the entity will fund a deficit, the entity is required to recognise the present value of the contributions payable from this agreement as a liability on its balance sheet. Prior to the application of FRS102 funding contributions were only recognised when they fell due. Pension commitments are covered in more detail in Note 22.

In September 2021, Gaddum completed a sale of its property, Gaddum House, 6 Great Jackson St, Manchester M15 4AX. Finance Subgroup on behalf of Trustee Board are exploring options for short-, medium-, and long-term investments. Future plans include a review of the Pensions Deficit and identification of potential, suitable premises in light of impact of covid pandemic on working patterns.

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Reserves policy

The Gaddum Centre General Committee is committed to ensure sufficient reserves are maintained to guarantee the organisation can continue to meet the needs of the service users within the appropriate time scales in line with its charitable objectives, all staffing obligations and protect its investment in premises and equipment.

The Finance Subgroup & Trustee Board have agreed in the constantly changing environment, in which the organisation operates, sufficient reserves should ideally be available to develop new services so it can continue to serve the community in accordance with its objectives.

In the event of the loss of substantial contracts from local authorities and NHS, staff would be eligible for TUPE arrangement to the new provider with no redundancy costs liable for Gaddum. Three months organisational operating costs of £168k will be retained in reserves to cover core costs.

Plans for the future

The Trustee Board have identified and agreed a vision and direction for Gaddum for 2020 – 25.

Strategic Organisational Direction – 5 years forward

Trustees identified several aspirations and potential outcomes for the strategic organisational direction for 2020 -2025.

Aspirations 2020- 2025

  1. The leading expertise and providers of Advocacy, Carers and Therapy services in and across Greater Manchester.

There was a recognised need for

2. Financially sustainability

A further review of strategic direction and objectives was undertaken in late 2020 in response to impact of COVID -19 pandemic.

Covid 19 response

Gaddum have adapted to delivering services remotely during pandemic and have efficiently managed finance, funds, and contracts. There has been relatively little negative financial impact with the only

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shortfall being fundraising from external sporting event sponsorship. It continues to monitor the ongoing situation.

Structure, governance and management

The recruitment of new members for Gaddum Trustee Board follows a similar process to Gaddum’s wider recruitment processes under its HR policies and procedures. There is a wide advertising campaign using a variety of social media and traditional platforms including Gaddum website, LinkedIn, VCSE infrastructure networks, GM VCSE leadership networks, professional networks of Trustee Board members and Senior Management Teams. The use of VCSE networks ensures Trustee Board vacancies are disseminated into communities. We include the following statement: -

‘We are seeking people from diverse backgrounds and communities to be more reflective of our service users and the wider Greater Manchester population. These are voluntary positions, and we are looking for people with experience and knowledge at a strategic or senior level. Key attributes will be leadership, accountability, integrity, and commitment.’

Potential new members for Trustee Board are interviewed by Chair, Deputy Chair, Chief Executive, and other Trustees as appropriate or applicable. Potential new Trustees are asked to attend a Trustee Board meeting as an observer before a final decision to appoint is made by all members of Trustee Board.

New Trustees are expected to undertake “Role of Trustee” training delivered by Salford CVS after appointment and as an update as required. A bespoke programme of Trustee Board development is ongoing, delivered by an external consultant; Trustees are expected to attend.

The Board meets every 2 months in the evening, with subgroups on specific strategic organisational areas.

The Chief Executive and Senior Management Team have day to day strategic and operational responsibility for running Gaddum. Reports and papers outlining key organisational decisions are presented at Trustee Board meetings for sign off by Trustees. A number of Trustees have specialist expertise, and their advice is sought when required.

The Senior Management Team in 2020-21 comprised of: -

Lynne Stafford – Chief Executive

Sam Palmer – Head of Carers Services

Ben Whalley – Head of Advocacy & Therapy Services

Lauren Edwards – Assistant Head of Operations

The organisation is a charitable company limited by guarantee and registered as a charity.

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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Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up. The Trustees are members of the charity, but this entitles them only to voting rights. The Trustees have no beneficial interest in the charity.

All Trustees give their time voluntarily and receive no benefits from the charity. Any expenses reclaimed from the charity are set out in note 12 to the accounts.

Related parties and relationships with other organisations

All members of Trustee Board and Senior Management Team are requested to declare Related parties and relationships with other organisations on appointment and at appropriate intervals.

Remuneration policy for key management personnel

The remuneration of Chief Executive & Senior Management Team is considered separately by the Trustee Board within parameters of Independent Pay Review undertaken in 2017 and aligned to NJC pay scales.

Risk management

A Gaddum Strategic Risk Register has been developed and is presented, reviewed, and revised at Quality and Governance Subgroup and Trustee Board meetings.

Fundraising

Gaddum does not undertake direct fundraising, but receives donations and funds raised by individuals and groups.

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Statement of responsibilities of the trustees

The trustees (who are also directors of The Gaddum Centre for the purposes of company law) are responsible for preparing the trustees’ annual report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for 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:

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

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Auditors

Slade & Cooper Ltd were appointed as the charitable company's auditors during the year and have expressed their willingness to continue in that capacity.

This report has been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime of the Companies Act 2006.

The trustees’ annual report has been approved by the trustees on ___ 2021 and signed on their behalf by

Roy Harding

Chair

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Independent auditors’ report

to the members of

The Gaddum Centre

We have audited the financial statements of The Gaddum Centre (the ‘charitable company’) for the year ended 31 March 2021, which comprise the Statement of Financial Activities (including the income and expenditure account), the Balance Sheet, the Statement of Cash Flows and the related notes. 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).

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

Conclusions relating to going concern

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

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on 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 trustees’ annual report, other than the financial statements and our auditor’s report 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.

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Independent Auditor’s Report (continued)

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 there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 15, 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.

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Independent Auditor’s Report (continued)

Auditor’s responsibilities for the audit of the financial statements

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

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud is detailed below:

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/Our-Work/Audit/Audit-and-assurance/Standards-and-guidance/Standards-andguidance-for-auditors/Auditors-responsibilities-for-audit/Description-of-auditors-responsibilities-foraudit.aspx. This description forms part of our auditor’s report.

19

Independent Auditor’s Report (continued)

Use of our report

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

Catherine Hall FCCA DChA Senior Statutory Auditor

for and on behalf of Slade & Cooper Limited Statutory Auditors Beehive Mill Jersey Street Manchester M4 6JG

Date:

20

The Gaddum Centre

Statement of Financial Activities (including Income and Expenditure account) for the year ended 31 March 2021

Unrestricted
funds
Note
£
Income from:
Donations and legacies
3
10,485
4
Charitable activities:
1,866,043
5
11,448
Investments
6
9,368
Total income
1,897,344
Expenditure on:
Raising funds
7
6,268
Charitable activities:
8
1,773,772
Total expenditure
1,780,040
117,304
77,956
(6,751)
10
188,509
Transfer between funds
(22,519)
Net movement in funds for the year
165,990
Reconciliation of funds
Total funds brought forward
464,344
Total funds carried forward
630,334
Other trading activities
Net income/(expenditure) before
net gains/(losses) on
investments
Net gains/(losses) on investments
Pension movement
Net income/(expenditure) for the
year		 Restricted
funds
£
65,000
797,555
-
-
862,555
-
674,163
674,163
188,392
-
-
188,392
22,519
210,911
288,385
499,296		 Total funds
2021
£
75,485
2,663,598
11,448
9,368
2,759,899
6,268
2,447,935
2,454,203
305,696
77,956
(6,751)
376,901
-
376,901
752,729
1,129,630		 Total funds
2020
£
80,660
2,475,311
11,448
14,474
2,581,893
7,599
2,436,694
2,444,293
137,600
(29,140)
6,344
114,804
-
114,804
637,925
752,729

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

21

The Gaddum Centre Company number 01348975

Balance sheet as at 31 March 2021

----- Start of picture text -----
Note 2021 2020
£ £ £ £
Fixed assets
Tangible assets 15 559,626 565,779
Investments 16 467,215 390,959
Total fixed assets 1,026,841 956,738
Current assets
Debtors 17 319,666 208,879
Cash at bank and in hand 18 229,351 254,647
Total current assets 549,017 463,526
Liabilities
Creditors: amounts falling
due in less than one year 19 (297,315) (482,126)
Net current assets 251,702 (18,600)
Total assets less current liabilities 1,278,543 938,138
Creditors: amounts falling
due after more than one year 21 (148,913) (185,409)
Net assets 1,129,630 752,729
The funds of the charity:
Restricted income funds 23 499,296 288,385
Unrestricted income funds 24 630,334 464,344
Total charity funds 1,129,630 752,729
----- End of picture text -----

These accounts are prepared in accordance with the special provisions of part 15 of the Companies Act 2006 relating to small companies and constitute the annual accounts required by the Companies Act 2006 and are for circulation to members of the company.

The notes on pages 24 to 40 form part of these accounts.

Approved by the trustees on _ 2021 and signed on their behalf by:

Roy Harding (Chair)

Jon Miller (trustee)

22

The Gaddum Centre

Statement of Cash Flows for the year ending 31 March 2021

Note
Cash provided by/(used in) operating activities
28
Cash flows from investing activities:
Dividends, interest, and rents from investments
Proceeds from sale of tangible fixed assets
Purchase of tangible fixed assets
Proceeds from sale of investments
Purchase of investments
Cash provided by/(used in) investing activities
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
Increase/(decrease) in cash and cash
equivalents in the year		 2021
£
(15,031)
9,368
-
(21,333)
192,583
(190,883)
(10,265)
(25,296)
254,647
229,351		 2020
£
(54,779)
14,474
-
-
171,131
(79,227)
106,378
51,599
203,048
254,647

23

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021

1 Accounting policies

The principal accounting policies adopted, judgments and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

a Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), second edition - October 2019 (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006 and UK Generally Accepted Accounting Practice.

The Gaddum Centre meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note.

b Preparation of the accounts on a going concern basis

The trustees consider that there are no material uncertainties about the charitable company's ability to continue as a going concern.

The trustees have made no key judgments which have a significant effect on the accounts.

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 amount of assets and liabilities within the next reporting period.

c Income

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

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

For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is a treated as a contingent asset and disclosed if material.

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

24

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

d Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the Bank.

e Fund accounting

Unrestricted funds are available to spend on activities that further any of the purposes of charity.

Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity’s work or for specific projects being undertaken by the charity.

f Expenditure and irrecoverable VAT

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

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

g Allocation of support costs

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back office costs, finance, personnel, payroll and governance costs which support the charity's programmes and activities. These costs have been allocated between the different charitable activities. The charity has calculated its allocation of the support costs based on the income from the individual projects to the total income of all work streams.

h Operating leases

Operating leases are leases in which the title to the assets, and the risks and rewards of ownership, remain with the lessor. Rental charges are charged on a straight line basis over the term of the lease.

i Tangible fixed assets

Individual fixed assets costing £1,000 or more are capitalised at cost and are depreciated over their estimated useful economic lives on a straight line basis as follows:

Freehold building 2% Office fixtures and equipment 20% to 33%

25

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

j Fixed asset investments

Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout the year.

The Charity does not acquire put options, derivatives or other complex financial instruments.

The main form of financial risk faced by the charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities and within particular sectors or sub sectors.

k Debtors

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

l Cash at bank and in hand

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

m Creditors and provisions

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

n Financial instruments

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

26

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

o Pensions

The cost of providing retirement pensions and related benefits is charged to the Statement of Financial Activities over the periods benefitting from the employees' services.

The disclosures in the financial statements follow the requirements of Section 28 of FRS 102 in relation to multi-employer funded schemes in which the Charity has a participating interest.

Contributions payable under an agreement with the scheme to fund past deficits are recognised as a liability in the financial statements calculated by the repayments known, discounted to the net present value at the year end using a market rate discount factor of 2.07% at 31 March 2016, 1.32% at 31 March 2017, 1.71% at 31 March 2018, 1.39% at 31 March 2019 and 2.53% at 31 March 2020. The unwinding of the discount is recognised as a finance cost in the Statement of Finance Activities in the period incurred.

The Charity also operates a money purchase pension scheme for its employees. The assets are held separately from those of the Charity. The annual contributions payable are charged to the Statement of Financial Activities. The disclosures in the financial statements follow the requirement of FRS102.

2 Legal status of the charity

The charity is a company limited by guarantee registered in England and Wales and has no share capital. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The registered office address is disclosed on page 1.

3 Income from donations and legacies

Current reporting period
General Donations
Donations for Salaries
Total
Previous reporting period
General Donations
Donations for Salaries
Legacies
Total		 Unrestricted
£
10,485
-
10,485
Unrestricted
£
8,353
-
12,307
20,660		 Restricted
£
-
65,000
65,000
Restricted
£
-
60,000
-
60,000		 Total 2021
£
10,485
65,000
75,485
Total 2020
£
8,353
60,000
12,307
80,660

27

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

4 Income from charitable activities

Current reporting period
Advocacy Services
Carers Services
Therapy Services
Central
Total
Previous reporting period
Advocacy Services
Carers Services
Therapy Services
Central
Total
5
Income from other trading activities
Rental Income
All income from other trading activities is unrestricted.
6
Investment income
Current reporting period
Quoted investments		 Unrestricted
£
651,549
514,742
680,152
19,600
1,866,043
Unrestricted
£
585,547
642,444
620,251
101,565
1,949,807
2021
£
11,448
11,448
2021
£
9,368
9,368		 Restricted
£
-
658,464
114,091
25,000
797,555
Restricted
£
-
396,556
48,815
80,133
525,504
2020
£
11,448
11,448
2020
£
14,474
14,474		 Total 2021
£
651,549
1,173,206
794,243
44,600
2,663,598
Total 2020
£
585,547
1,039,000
669,066
181,698
2,475,311

All investment income is unrestricted.

28

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

7 Cost of raising funds

Cost of raising funds
Fundraiser's fees
Investment management costs		 2021
£
-
6,268
6,268		 2020
£
539
7,060
7,599

All expenditure on cost of raising funds is unrestricted.

8 Analysis of expenditure on charitable activities

Current reporting period
Restricted resources expended
Carers Services
Therapy Services
Central Services
Current reporting period
Unrestricted resources expended
Advocacy Services
Carers Services
Therapy Services
Governance Costs (see note 9).
Total resources expended		 Direct Costs
£
449,248
58,419
32,704
540,371
Direct Costs
£
586,168
440,030
396,360
-
1,422,558
1,962,929		 Support Costs
£
118,720
13,588
1,484
133,792
Support Costs
£
77,004
73,010
192,560
8,640
351,214
485,006		 Total 2021
£
567,968
72,007
34,188
674,163
Total 2021
£
663,172
513,040
588,920
8,640
1,773,772
2,447,935

29

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

Analysis of expenditure on charitable activities continued

Previous reporting period
Restricted resources expended
Carers Services
Therapy Services
Central Services
Previous reporting period
Unrestricted resources expended
Advocacy Services
Carers Services
Therapy Services
Governance Costs (see note 9).
Total resources expended
9
Analysis of governance and support costs
Current reporting period
Audit fees
Accommodation
Admin
Fees and charges
General Expense
ICT
Inter-Departmental
Partnerships and sub-contracts
Staff Costs		 Direct Costs
£
241,066
58,474
20,029
319,569
Direct Costs
£
567,016
572,113
422,254
-
1,561,383
1,880,952
Total 2021
£
8,640
53,431
10,043
59,453
86,502
108,630
-
131,903
26,404
485,006		 Support Costs
£
142,938
5,835
1,531
150,304
Support Costs
£
80,049
120,856
196,533
8,000
405,438
555,742
Total 2020
£
8,000
75,077
33,420
56,118
113,565
76,557
382
140,067
52,556
555,742		 Total 2020
£
384,004
64,309
21,560
469,873
Total 2020
£
647,065
692,969
618,787
8,000
1,966,821
2,436,694

30

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

10 Net income/(expenditure) for the year

This is stated after charging/(crediting): 2021 2020
£ £
Depreciation 27,486 33,527
Auditor's remuneration - audit fees 5,640 5,500
Auditor's remuneration - accountancy fees 3,000 2,500

11 Staff costs

Staff costs during the year were as follows:

Wages and salaries
Social security costs
Pension costs
Other Staff Costs
Redundancy and termination costs
Allocated as follows:
Charitable activities		 2021
£
1,694,071
140,630
80,549
836
2,575
1,918,661
1,918,661
1,918,661		 2020
£
1,624,110
133,504
76,867
4,530
-
1,839,011
1,839,011
1,839,011

One employee has employee benefits in excess of £60,000 (2020: 1). There were no employees with benefits in excess of £70,000 (2020: Nil)

The average number of staff employed during the period was 76 (2020: 80).

The key management personnel of the charity comprise the trustees and the senior management team and are listed in the Trustees' report. The total employee benefits of the key management personnel of the charity were £243,660 (2020: £258,196).

12 Trustee remuneration and expenses, and related party transactions

Neither the management committee nor any persons connected with them received any remuneration or reimbursed expenses during the year (2020: Nil).

No members of the management committee received travel and subsistence expenses during the year of £Nil (2020:£Nil).

There are no donations from related parties which are outside the normal course of business and no restricted donations from related parties.

No trustee or other person related to the charity had any personal interest in any contract or transaction entered into by the charity, including guarantees, during the year (2020: nil).

31

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

13 Government grants

The government grants recognised in the accounts were as follows:

Manchester City Council 2021
£
429,452
429,452		 2020
£
116,670
116,670

There are no unfulfilled conditions and contingencies attaching to the grants.

14 Corporation tax

The charity is exempt from tax on income and gains falling within Chapter 3 of Part 11 of the Corporation Tax Act 2010 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.

15 Fixed assets: tangible assets

Cost
Additions
Depreciation
Charge for the year
Net book value
At 31 March 2021
At 31 March 2021
At 31 March 2020
At 1 April 2020
At 31 March 2021
At 1 April 2020		 Freehold
Computer & office
Property
equipment
£
£
800,756
132,241
-
21,333
800,756
153,574
240,756
126,462
16,000
11,486
256,756
137,948
544,000
15,626
560,000
5,779		 £
932,997
21,333
Total
954,330
367,218
27,486
394,704
559,626
565,779

32

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

16 Investments

Investments
Add: additions to investments at cost
Disposals at carrying value
Add net gain/(loss) on revaluation
Investments at fair value comprised:
UK Bonds
UK investments and unit trusts
Global investments
Market value at the end of the year
Market value at the start of the year		 2021
£
390,959
190,883
(192,583)
77,956
467,215
104,581
107,496
255,138
467,215		 2020
£
512,003
79,227
(171,131)
(29,140)
390,959
114,594
89,023
187,342
390,959

Investments are all carried at fair value and are all traded in quoted public markets.

17 Debtors

Trade debtors
Accrued Income
Prepayments
18
Cash at bank and in hand
Short term cash investments
Cash at bank and on hand		 2021
£
52,716
247,222
19,728
319,666
2021
£
15,894
213,457
229,351		 2020
£
142,441
57,915
8,523
208,879
2020
£
11,093
243,554
254,647

33

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

19 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
Trade creditors
Taxation and social security costs
Other creditors
Accruals
Deferred income
Pension deficit contribution		 2021
£
59,223
29,998
13,083
71,508
75,000
48,503
297,315		 2020
£
37,606
32,487
18,006
51,613
293,911
48,503
482,126

20 Deferred income

Deferred income
Deferred grant brought forward
Grant received
Released to income from charitable activities
Deferred grant carried forward		 2021
£
293,911
75,000
(293,911)
75,000		 2020
£
416,117
442,808
(565,014)
293,911

Income has been deferred because it has been received for the following year.

21 Creditors: amounts falling after more than one year

Pension scheme liability 2021
£
148,913
148,913		 2020
£
185,409
185,409

34

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

22 Pension Fund

The company participates in the scheme, a multi-employer scheme which provides benefits to some 950 non-associated participating employers. The scheme is a defined benefit scheme in the UK. It is not possible for the company to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. Therefore it accounts for the scheme as a defined contribution scheme.

The scheme is subject to the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, set out the framework for funding defined benefit occupational pension schemes in the UK.

The scheme is classified as a "last man standing arrangement". Therefore the Charity is potentially liable for other participating employers' obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase withdrawal from the scheme.

A full actuarial valuation for the scheme was carried out at 30 September 2017. This valuation showed assets of £794.9m, liabilities of £926.4m and a deficit of £131.5m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme as follows:

Deficit contributions

£11,243,000 per annum From 1 April 2019 to 31 January 2025: (payable monthly and increasing by 3% each year on 1st April)

Unless a concession has been agreed with the Trustee the term to 31 January 2025 applies.

Note that the scheme’s previous valuation was carried out with an effective date of 30 September 2014. This valuation showed assets of £793.4m, liabilities of £969.9m and a deficit of £176.5m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme as follows:

Pension Fund continued

Deficit contributions

£12,945,440 per annum
From 1 April 2016 to 30 September 2025: (payable monthly and increasing by 3% each
year on 1st April)
£54,560 per annum
From 1 April 2016 to 30 September 2028: (payable monthly and increasing by 3% each
year on 1st April)

The recovery plan contributions are allocated to each participating employer in line with their estimated share of the Series 1 and Series 2 scheme liabilities.

35

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

Pension Fund continued

Where the scheme is in deficit and where the company has agreed to a deficit funding arrangement the company recognises a liability for this obligation. The amount recognised is the net present value of the deficit reduction contributions payable under the agreement that relates to the deficit. The present value is calculated using the discount rate detailed in these disclosures. The unwinding of the discount rate is recognised as a finance cost.

Present value of provision
31 March
2021
(£s)		 31 March
2020
(£s)		 31 March
2019
(£s)
Present value ofprovision
197,416		 233,912 283,756
Reconciliation of opening and closing provisions
Provision at start of period
Unwinding of the discount factor (interest expense)
Deficit contribution paid
Remeasurements - impact of any change in assumptions
Provision at the end of the period
Income and expenditure impact
Interest expense
Remeasurements - impact of any change in assumptions
Remeasurements - amendments to the contribution schedule
Costs recognised in income and expenditure account		 Year ending
31 March
2021
(£s)
233,912
5,256
(48,503)
6,751
197,416
Year ending
31 March
2021
(£s)
5,256
6,751
-
-		 Year ending
31 March
2020
(£s)
283,756
3,590
(47,090)
(6,344)
233,912
Year ending
31 March
2020
(£s)
3,590
(6,344)
-
(47,308)

*includes defined contribution scheme and future service contributions (i.e. excluding any deficit reduction payments) to defined benefit schemes which are treated as defined contribution schemes.

36

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

Pension Fund continued Assumptions

Pension Fund continued
Assumptions
31 March 31 March 31 March
2021 2020 2019
%per annum %per annum %per annum
Rate of discount 0.66 2.53 1.39

The discount rates shown above are the equivalent single discount rates which, when used to discount the future recovery plan contributions due, would give the same results as using a full AA corporate bond yield curve to discount the same recovery plan contributions.

23 Analysis of movements in restricted funds

Activities
Carers Services
Therapy Services
Central Services
Total
Activities
Carers Services
Therapy Services
Central Services
Total
Previous reporting
period
Current reporting
period		 Balance at
1 April
2020
£
229,812
-
58,573
288,385
Balance at
1 April
2019
£
157,260
1,000
-
158,260
 Income
£
723,464
114,091
25,000
862,555
Income
£
456,556
48,815
80,133
585,504		 Expenditure
£
(567,968)
(72,007)
(34,188)
(674,163)
Expenditure
£
(384,004)
(64,309)
(21,560)
(469,873)		 Transfers
£
2,099
13,016
7,404
22,519
Transfers
£
-
14,494
14,494		 Balance at
31 March
2021
£
387,407
55,100
56,789
499,296
Balance at
31 March
2020
£
229,812
-
58,573
288,385

Name of

restricted fund Description, nature and purposes of the fund

The following funds are material balances within restricted funds

Carers Services

Carers Network £ 153,610 (2020: £58,510) - funds to co-ordinate the network of 19 carers organisations and to develop them to work collaboratively for the needs of carers. Salford Carers Centre - non contract salaries £67,602.

Manchester Carers Network L&D £134,982 (2020: £122,840) - funds from Manchester Health & Care Commissioning to develop the skills of carers that will help them sustain their caring role. These cover areas such as manual handling, nutrition and mental wellness.

Central Services

Volunteering £25,652 (2020: £58,573) - funded by The Big Lottery to appoint a volunteer co-ordinator to develop a volunteering strategy and engage people to volunteer within the community.

37

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

24 Analysis of movement in unrestricted funds

General fund
Previous reporting
period
General fund
Current reporting
period		 Balance
at 1 April
2020
£
464,344
464,344
Balance
at 1 April
2019
£
479,665
479,665
 Income
£
1,968,549
1,968,549
Income
£
1,973,593
1,973,593		 Expenditure
£
(1,780,040)
(1,780,040)
Expenditure
£
(1,974,420)
(1,974,420)		 Transfers
£
(22,519)
(22,519)
Transfers
£
(14,494)
(14,494)		 As at 31
March 2021
£
630,334
630,334
As at 31
March 2020
£
464,344
464,344

Name of unrestricted fund Description, nature and purposes of the fund

General fund The free reserves after allowing for all designated funds

38

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

25 Analysis of net assets between funds

Current reporting period
Tangible fixed assets
Fixed asset investments
Net current assets/(liabilities)
Creditors of more than one year
Total
Previous reporting period
Tangible fixed assets
Fixed asset investments
Net current assets/(liabilities)
Creditors of more than one year
Total		 General
fund
£
559,626
467,215
(247,594)
(148,913)
630,334
General
fund
£
565,779
390,959
(306,985)
(185,409)
464,344		 Restricted
funds
£
-
-
499,296
-
499,296
Restricted
funds
£
-
-
288,385
-
288,385		 Total
£
559,626
467,215
251,702
(148,913)
1,129,630
Total
£
565,779
390,959
(18,600)
(185,409)
752,729

26 Operating lease commitments

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

Less than one year
One to five years		 2021
2020
£
£
587
587
293
880
880
1,467
Equipment		 2021
2020
£
£
587
587
293
880
880
1,467
Equipment
1,467

27 Post balance sheet events

In September 2021, Gaddum completed a sale of its property, Gaddum House, 6 Great Jackson St, Manchester M15 4AX for £2.8m.

28 Reconciliation of net movement in funds to net cash flow from operating activities

Net income/(expenditure) for the year
Adjustments for:
Depreciation charge
(Gains)/losses on investments
Dividends, interest and rents from investments
Decrease/(increase) in debtors
Increase/(decrease) in creditors
Net cash provided by/(used in) operating		 2021
£
376,901
27,486
(77,956)
(9,368)
(110,787)
(221,307)
(15,031)		 2020
£
114,804
33,527
29,140
(14,474)
18,293
(236,069)
(54,779)

39

The Gaddum Centre

Notes to the accounts for the year ended 31 March 2021 (continued)

29 Private Charities

The total balance held on behalf of independent private charities and third parties at the 31st March 2021 is £278,258 (2020: £280,778). This balance is not included in the assets of the Gaddum Centre. The charity holds as custodians on behalf of the independent private charities an investment portfolio with Brewin Dolphin, the current value of which is £239,273 (2020: £191,718). This is not shown as an asset of the Gaddum Centre

Investments are held as a separate entity within our investment portfolio. This is recorded and accounted for as a separate entity within our investment schedule. A second bank account is held for trust funds. This is accounted for separately, with all inter-charity transfers clearly documented and approved by two Senior Managers. This ensures the funds of the trust funds are not being used for The Gaddum Centre activities.

Investments are held by the Gaddum Centre as a custodian for the following charities:

Charity Objects
Robert Bell Charity For the benefit of people on low income, resident in the City of
Manchester.
William Cavanagh Trust For people on low income living in Gorton or West Gorton only.
This charity is restricted to helping women who are Manchester
Darbishire House Trust residents. Preference is given to teachers or ex-teachers who are
retraining and are Manchester residents and unable to cover the
whole costs themselves.
Pratt Charity Small grants in support of respectable women over the age of 60
who reside in the city of Manchester.
John Royle Fund Originally for leather workers, but now helps individuals on low
income who are Manchester residents.
Satterfield Charity Provides convalescence for people who have received hospital care.
It can also be used to provide clothing or help someone recovering
at home. Covers an area within 60 miles of Manchester.
Shylock Charity For people on low income, over 55 years of age who live within a
radius of eight miles of Manchester Town Hall.
The money comes from South Africa and varies from year to year.
Yates Charity Grants can be made to people on low income who are residents of
Higher Openshaw and its surrounding areas.
Gratrix Charity Fund for plumbers and associated tradesmen and their dependants
who are Greater Manchester residents in need.
Ann Butterworth and Daniel Supports students aged 21 or under who are studying the arts.
Bayley Charity Helps with costs directly associated with their course.
Humane Society The purpose of the Society is to encourage children to learn life
saving skills. This is not a registered Charity.

These are the charities who have a combined portfolio with Brewin Dolphin

For both the Ann Butterworth and Daniel Bayley Charity and the Humane Society, decisions are made by the trustees of those charities and Gaddum receives instructions for payment of invoices or grants.

For the other charities, Gaddum Trustees make the decisions on how the money is pent on advice from Chief Executive & Senior Leadership Team.

40