St Cuthbert's Care
(A company limited by guarantee)
Annual Report
for the year ended 31 March 2023
Registered Number 1645917
Registered Charity Number 512912

St Cuthbert's Care
Annual Report
for the year ended 31 March 2023
Contents
Directors and Advisors...............-.............................................................................................................
Strategie report................
Directors, report............
Independent audilor5' report lo the members of St Culhbert's Care.......................................
Statement of financial activities lincorporaling an Income and Expenditure Accounl}..........................
Reconciliation of funds......................................................................................................
Balance sheet as al 31 March 2023..............................................-.............................
15
Stalernenl of Cash FIows...........................................................-.................................................................... 16
Accounting policies.
Notes lo the financial slalemenls.........................................,.........
14
.21

St Cuthbert's Care
Directors and Advisors for the year ended 31 March 2023
The dlreetors of the company who were in office during the year and up to the date of signing the
financial statements were..
Directors
Miss M Ashman
Right Rev. Bishop R Byrne
Right Rev. Bishop S Wright
Mr M Dickson
Mr N Gilbert
MrsAJohnson
Dr K Mannix
Mr P Moran
Mrs K Utwin
{resigned Chief Executive and Director 31 March 20231
Iresigned Chair and Director 12 December 20221
(appointed 23 August 20231
(appointed Chief Executive 1 April 20231
lappoinled Chair 13 December 20221
Company secretary and registered office
Mr N Gilbert
Sl Cuthbert's House
West Road
Newcastle upon Tyne
NE15 7PY
Independent Auditors
Pricewalerhousecoopers LLP
Central Square South
Orchard st￿et
Newcastle upon Tyne
NE13AZ
Solicitors
Muckle LLP
Time Central
32 Gallowgate
Newcastle upon Tyne
NE14BF
Bankers
National Weslminsler Bank PLC
16 Northumberland Street
Newcastle upon Tyne
NE17EL

St Cuthbert's Care
Strategic report for the year ended 31 March 2023
The Directors present their strategic report for the year ended 31 March 2023.
ObjeGtives and activities
The Charity's Statement of Purpose reads..
st Culhbgrts Care is a charity working for the common good by
enabling people lo develop lo Iheirpersonalpotenlial
The Charity's Vision reads..
To achieve excellen￿ in all that we do
The Charity is a frontline registered care provider which benefits the public as a whole and the core services below
represent the Charity's principal aclivilies..
residential care homes for children, including fostering.,
a range of residential and day services for disabled children and adults., and
o nursing and residential care homes for older people.
In addition, the Charity fundraises lo provide services to support the most impoverished and disadvantsged people
across the North East.
The Charity's slralegie Five-year Plan for 2020-2025, was originally approved by the Direelors in 2019, and has been
reviewed during 2022-2023. 11 Is revisited and formally reviewed every year by the Directors.
The Directors have reviewed the Charity's Slalemenl of Purpose, together with ils Vision and Aims and Objectives
and are satisfied that the Charity continues lo meet the requirements ofthe Charity Commission's guidance on public
benefit.
Achievements and performance
The Charity's activities include a broad range of complex care services across the North East, regulated by Otsled
for children's seNices and the Care Quality Commission ICQCI for adults, services. The regulators undertake regular
and unannounced inspections. These inspections offer an independent measure of the Charity's performance and
all of the Charity's services are rated Good. or 'Outstanding The charity's two day-resources for people with
disabilities are not regulated areas of work.
The Charity's regulated services, that are independently rated. reflect the high standards and quality care that are
delivered by the Charity's care teams. The Charity's Vision is 'lo achieve excellence in all that il does" and there can
be no beller measure of the Charity's performance than the feedback received from residents, families, our teams
and fellow professionals The Directors consider these leslimonials to be a direct demonstration of the Charity's
valLJes and progress. More detail can be aceessed from the Charity's Annual Review, website and social media
pages al hll s.Illinklr.eelslcuthbertscare.
As the Covid-19 reslriclions eased for the social care sector, the Charity refocused on ils strategic objectives and
improving the occupancies in ils nursing and residential care homes which had been most affected by the
pandemic.

St Cuthbert's Care
The Charity's significant a¢hievements this year in¢lude".
Being awarded Outstanding ratings from Ofsled al three of our Children's services. These ratings are
testament lo the tireless efforts and dedication of our staff teams who provide exceptional care and support
lo the children in our care.
Successfully winning a lender lo provide support for 15 adults with learning disabilities in a purpose built
selling In Newcastle, supporting the charity's strategy of operational growth across our disability services.
Continued investment in our staff teams, personal and professional development lo enable them lo reach
their full personal potential. Two exarnples of the charity's commitment lo the development of its staff teams
are demonstrated in an employee initially employed as a Finance Assistant progressing lo become the
charity's CEO over a 26 year period and a housekeeper progressing to become the registered Manager of
one of the charity's nursing and residential care homes over 14 year period.
The phased re-opening of our short break respite setvice in Newcastle following closure dLJring the pandemi¢.
the last service to re-open. This service offers parenlslcarers a vital break to re-charge their balleries whilst
their loved one enjoys a little holiday at the Alan Shearer Short Break service in Newcastle.
Remaining an accredited Living Wage Employer. Our Charity is one of only a few charities operating in the
adult ¢are sector in the North East lo be accredited. In addition the Diieclors approved a £200 cost of living
payment, pro rata, lo all employees. Valuing employees will always be al the heart of our Charity's culture.
The charity's Dementia Lead, Dr Ruth Cromarty, developed a dementia strategy based on research and
nationally recognised good practice to further enhance our person-cenlred holistic approach to caring for
sidenls living with dementia in our two nursing homes in Newcastle and Sunderland.
As the final Covid-19 restrictions for care homes were lifted, our lunch club al Holy Cross in Sunderland was
able lo re-open, providing a warm welcorne, hol meal and good company lo older, often isolated, people in
the loca1 community.
A solid financial performance despite the ending of the Covid-19 support grants from the government. Whilst
the additional costs of keeping our residents 2nd staff safe rem8ined, the charity continued lo pay ils
employees in full whilst they were isolating. The increased Costs ol living created additional financial
pressures which impacted on the charity's results and were miligaled by the prudent level of rese￿eS the
charity has built up.
The recruilmenl of an IT Lead lo advance the charity's adoption of compulerised information systems. The
Charity's strategic vision includes a focus on digital enhancements to maximise efficien¢ies and to improve
working practices.
Financial review
The Slalemenl of Financial Activities for the year is set out on page 13 of the financial statements. A summary of the
financial results and the work of the Charity is sel out below.
Income generation
The Charity's income increased by 3.83Q/o lo £10,549,03512022." £10,160,348). The majority of this increase reflects
the improved occupancy levels in both nursing homes bul is offset by below inflation fee uplifts for all our services
and a reduction of Covid-19 support grants from Government. Funding for the social care sector reslricls our ability
to increase lees lo adequately reflect the cost of providing high quality care.
Fundraising
Donated income from the charity's supporters both directly and via the parishes increased bul 1$ Still 26 /0 below pre-
pandemic levels. Donations and legacies enable the Charity to support the most vulnerable members ol society
where often no other funding is available, such as our lunch club in Sunderlanol. The Charity Is most grateful to all of

St Cuthbert's Care
its supporters. Fundoising is co-ordinated by the Charity's own employees, volunteers and patrons. No external
fundraisers are engaged. Money is raised through voluntary contributions from the Charity's supporters. local
businesses and organised events
The Alan Shearer Foundation raised £491,423 during the year12022'. £488.8431. The Directors express their most
sincere thanks lo patrons, Lainya and Alan Shearer, and family, for their unwavering support of the Charity. They
WOLJld also like to acknowleclge and thank patron, Mike Browne, and volunteer Lesley Fu51on, for their continued
efforts and dedication that are instrumental lo the success of the Foundation. The charity is deeply grateful lo Lainya,
Alan and all members of the Foundation for the support they give so freely.
The Charity is registered with the Fundraising Regulator and follows their Code of Fundraising Practice. The Charity
does not participate in any fundraising that may be considered aggressive Of intrusive and has received no complaints
during the year in connection with ils fundraising.
Cashflow
The charity'5 cash balance reduced by £123,332 during the year lo £2,503.462, reflecting the re-commencemenl of
investing for the charity's future. This represents 8pproximately three months, expenditure and enables the Charity
lo manage the financial challenges of higher inflation, constrained funding and also invest in new developments.
Resources expended
Total expenditure this year increased by 5.90/0 to £10,534,81512022'. £9,948,370). This reflects increases in salaries
lo our employees lo maintain the charity's commitment lo remain a real Living Wage Employer and other higher
operational costs generally due lo higher rate of Inflation.
Employees and volunteers
Sl Culhbert's Care relies on the skills and dedication of its employees and volunteers lo ensure that care seNices
are person-centred and delivered with warmth and compassion. During the year, the Charity had an average of 268
12022.. 2911 full and part-lime employees delivering care and support. Volunteers, through their time and enthusiasm,
add value lo the Charity's services, enriching the lives of the Charity's beneficiaries. Efforts lo recruit new volunteers
throughout the Charity are on-going.
The dedication and commitment of our care teams lo the Charity ensures our beneficiaries receive the best possible
care. The training and development of ernployees not only helps lo achieve this for the people we support but also,
in accordance with the Charity's Purpose, seeks to enable our employees lo develop lo their personal polenlial. We
recognise the demands on our teams of working In the social care sector and of life generally and offer a free
¢onfidenlial counselling service available lo all our employees.
These actions evidence the Charity's commitment to ils employees and very much reflect the Charity's culture in
valuing and respecting every individual.
The Charity's recruitment policies reflect ils eommilment lo equal opportunities in employment The Charity lakes all
reasonable steps lo employ, train 8nd promote employees based on their experience, abilities and qualifications
without regard lo age, disability, gender reassignment, marriage and civil partnership, pregnancy and malernily, race
{including eolour, nalionalily and ethnic or national origin), religion or belief or sexual orientation. The Charity is also
an approved user of the Positivo about Disabled People symbol and has achieved the Beller Health al Work
aecredilation. The Charity is an accredited Living Vvage Employer.
The Charity's gender pay gap report shows that the Charity's workforce is predominantly female
a profile which
reflects the historical wider nature of the social care sector. All employees are paid the same rate for the job grade
regardless of gender.
All new employees and volunteers undertake a thorough programme of indu¢lion training. This marks the beginning
of a career-long learning programme 21 St Cuthbert's Care The employee handbook, together with employee

St Cuthbert's Care
association meetings, intranet, team meetings and regular briefings help lo keep employees informed of the Charity's
inilialives and performance.
The Directors wish lo thank Moira Ashman for her dedication and commitment lo the charity over the last 33 years,
the last eight years as Chief Executive and Trustee, following her retirement on 31 March 2023. Nic Gilbert, previously
Oireclor of Finance of the charity, has been appointed lo succeed her as Chief Executive with effect from 1 April
2023.
Plans for future periods
The Directors consider the most appropriate way forward for the Charity is to deliver upon ils Five-year Plan for
2020-2025, an outline of which is noted below. The Chief Executive, supported by the senior management team, will
focus upon the implemenlalion of this plan which will generate new income and will continue lo keep the Charity's
employees al the heart of ils work.
That every service achieves, and then maintains, its highest regulatory rating al all times, as a maller of
course. Excellent progress is being is being made with the achievement of three outstanding rated seNices
during the last financial year.
That an appropriately skilled, trained and commercially aware senior management team is developed lo
support the future direction of the charity.
That the voices of seNice-users and st8ff, throughout the charity, are strengthened by embedding a stronger
culture of inclusivity supported by improved communication channels. The Charity's HR Lead has commenced
work on increasing opportunities for employee engagement and we are looking forward to hearing their views.
That an environmental strategy is agreed and implemented that supports, enhances and sustains the charity's
ecological efforts.
Re-investment in and reconfiguration of, children's residentl81 services, lo ensure we Can respond positively
lo the changing and demanding needs of young people in care today.
Reslruclure and modernisalion of Fostering North East with the result of substantially Increased income
streams.
Further development of the Acquired Brain Injury IABII specialist provision al the Alan Shearer Centre.
Continue the development of the dedicated person-¢enlred offering for those living with dementia in the
Charity's nursing homes.
Initiate feasibility work for extra care provision at Holy Cros5.
Principal risk$ and un¢ertainti6s
The Charity's core work is in frontline high-risk care provision, and as noted earlier in this report, risk management is
embedded In every aspect of the Charity's activities. The Oireclors have considered the Charity's nsks and seek lo
minimise them as lar as is practical
The Directors consider the continual under-funding of services by commissioning bodies that is prevalent across the
whole of the social care sector to be the most significant risk facing the Charity in the short to medium term and
particularly due lo the higher cost of providing services.
In addition, the Charity must operate with high occupancy levels. 11 is essential that consislenl higher occupancy
levels are maintained to ensure regular cash flows. In turn, this enables the Charity to re-invest in ils services. Vvhilsl
the increased occupancies in both our nursing homes are encouraging, further improvement is required and our
forecasts and cashflow 811ow for 8 gradual improvement in occupancy levels throughout the next year.
The reputation for delivering high quality care places the Charity al the forefront of excellent care delivery within the
region amongst the placing authorities. The Charity also undertakes robust lee negotiations for every single setvice.
In addition. being a Living Wage Employer enables the Charity lo allracl high calibre and committed teams, offering
stability in a sector where recruilmenl is particularly difficult. Together, these actions, supported by a strong culture
oftransparency and prudent stewardship, have allowed the Charity to manage this seclor-wide Issue of underfunding.

St Cuthbert's Care
Covid-19 Pandemi¢
By the end of this financial year all reslriclions imposed on the social care sector h8d been removed and the Charity's
senior management and care teams were able lo focus on delivering excellent care and support to those in our care,
whilst still Continuing with infection control measures.
The financial support to the social care sector in the form of grant funding ceased last year bul the additional costs
of the measures implemented have not, bul this has not had a material impact on the financial results for 2022123
and the Directors expect the additional costs to reduce further during 2023124. The charity's forecasts for the coming
year allow for increasing occupancy levels in the Charity's nursing homes and forecast a small operating surplus for
2023124. The Charity's cash reserves mean that should the forecasts not be achieved the Charity will remain able
to pay its debts as they fall due beyond 12 months from signing this report.
The Charity's work is the provision of essential care services commissioned by local authorities and there remains
an intere51 and demand for the Charity's services. The Charity's excellent reputation with commissioning authorities
adds further comfort. The Directors expect this coming financial year wi11 continue lo be challenging but are confident
that through effective management, backed up by healthy cash reserves, the Charity will be able to manage the
challenges ahead.
More details about the Charity's services, testimonials and information on future developments can be found on the
Charity's website." hll s'.Ilstculhbertscare or
.uk.
On behalf of the Board
an
24 November 2023

St Cuthbert's Care
Directors, report for the year ended 31 March 2023
The Directors present their report and the audited financial slalemenls for the year ended 31 March 2023.
Structure, governance and management
The Charity was founded in 1946 and then incorporated in England as a charitable company limited by guarantee on
23 June 1982. 11 is governed by Articles of Association which were last amended on 19 March 2014. Ils objects are
lo carry out all forms of social care.
Governance and internal control
The Articles of Association allow for up lo 12 directors lo be appointed al any one time. The Directors are also
Iruslees. The Board of Directors meets quarterly and has appointed a Chief Executive to manage the day-to-day
a¢livilies The Chief Executive is a director.
The Board is supported by three sub-committees..
The Audit, Finance and Risk sub-committee oversees the finances and management of risk for the Charity.
Effective risk management is embedded within the culture of St Culhbert's Care. The managers of the
Charity's services implement. review and amend risk management plans as and when required. A risk panel,
comprising the Charity's key management personnel and the Director of Con)pliance, meets monthly lo
assess all risks to the Charity, both potential and actual, and implements appropriate controls.
The Remuneration sub-committee benchmarks and reviews salaries and benefits across the Charity.
The Nominations sub-committee considers suitable applicants lo be proposed to the full Board for
consideration for appointment as directors. Directors are interviewed and proposed by the Nominations sub-
committee and appointed by invitation of the Bishop. The Charity aims lo ensure and maintain a balance of
skills and experience relevant lo the work and business needs of the Charity
Key management personnel
Chief Executive
Director of Finance & IT
Director of Care
Director of Children's Services
Director of Compliance
HR Lead
Moira Ashman (retired on 31 March 20231
Nic Gilbert (appointed Chief Executive on 1 ApTII 20231
Amanda Head
Jody Scott
Gill Ennis
Denise Hall
Directors
The directors of the company during the year and up lo the dale of signing are listed on page one. The Bishop of the
Roman Catholic Diocese of Hexham & Newc8s11e has ex-ofFi¢io status on the Board.
The Charity inducls every director upon appointment and provides training days These are led by the Chief Executive
and typically, include refresher loining on Iruslees and ojireclors, legal duties and responsibilities. Visits lo the
Charity's services will be reinstated this year and arranged for the Directors so they can meet the Charity's
beneficiaries and employees. This maximises informed decision making.
Financial revlew
The Statement of Financial Activities for the year is sel out on page 13 of the financial slalements. A summary of the
financial results and the work of the Charity is included in the Strategic report.

St Cuthbert's Care
Investment policy
Under Ihe Articles of Association, the Charity has the power lo make any investment which the Directors see lil.
Currently, and throughout the year, funds have been invested in short term cash deposits only. The Oireclors consider
this to be the most appropriate course given the short term needs of the Charity.
Insurance of directors
The company had during the year ended, and continues to maintain, appropriate insurance for the Directors in respect
of liabilities that may arise against them personally in ¢onnecb'on with their duties as directors ol the company and as
Iruslees.
Pay policy for senior employees
The pay of senior employees Is reviewed annually by the Directors. Part of this process includes the benchmarking
of Socal market rates in similar organisalions.
Reserves policy
The Directors require the Charity's reserves to be sufficient to allow Sl Cuthbert's Care the flexibility lo continue lo
operate and develop in accordance with the Charity's Statement of Purpose and Article5 of Association. The Directors
believe the general funds should reflect one month's budgeted expenditure with a maximum margin of 1 OQ/o. The
current level of reserves complies with this statement. The Directors review the policy on reserves on an annual
basis.
In addition there is one designated fund which is maintained by the Charity and details can be found in note 18 in the
financial statements.
Dividends and transfers to reserves
The surplus of incoming resources over expenditure amounted lo £14,22012022.' £211,978) and has been taken lo
reserves. In accordance with the company's Articles of Assoeialion no dividends are payable.
Statement of directors, responsibilities
The Directors (who are a150 Trustees of Sl Culhbert's Care for the purposes of charity lawl are responsible for
preparing the Directors, Report lincluding the Strategic Report) and the financial slalemenls in accordance with
applicable law and regulations.
Company law requires the Directors lo prepare financial statements for each financial year. Under that law the
Directors have prepared the financial statements in accordance with United Kingdom Accounting Standards,
comprising FRS 102 'The Financial Reporting Standard appli¢8ble in the UK and Republic ol Ireland" and applicable
law (United Kingdom Generally Accepted Accounting Practice). Under company law, the Directors must not approve
the financial slalements unless they are satisfied that they give a true and fair view of the slate of affairs of the
charitsble 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 slatemenls, the Directors are
required lo..
select suitable aeeounling policies and then apply them consislenlly.,
observe the methods and principles in the Charities, SORP",
make judgements and eslimales that are reasonable and prudent.,
stale whether FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland
subject lo any material departures disclosed and explained in the financial statements", and
prepare the financial slalements on the going concern basis unless il is inappropriate lo presume that the
¢harilable company will continue in business.

St Cuthbert's Care
The Directors are responsible for keeping proper accounting records that disclose with reasonable accuracy at any
time the financial position of the Charity and lo enable them lo ensure that the financial 51alemenls comply with the
Companies Act 2006 They are also responsible for safeguarding the assets of the Charity and hence taking
reasonable steps lor the prevention and detection of fraud and other irregularities.
The Directors are responsible for the maintenance and integrity of the charitable company's website and social media
accounts Legislation in the United Kingdom governing the preparation and dissemination of finan¢ial statements
may differ from legislation in other jurisdictions.
Disclosure of information to audltors
In so far as the Directors are aware at the lime of approving this report..
there is no relevant audit information of which the Company's auditors are unaware, and
eaeh director has taken all the steps that helshe ought to have taken as a director in order to make
himselflherself aware of any relevant audit information and to establish that the Company's auditors are
aware of that information.
Independent Auditors
The auditors, Pricewalerhousecoopers LLP, have indicated their willingness lo continue in office and a resolution
concerning their reappointment will be proposed at the Annual General Meeting.
On behalf of the Board
oran
Chair
24 November 2023

St Cuthbert's Care
Independent auditors, report to the members of St Cuthbert's
Care
Report on the audit of the financial statements
Opinion
In our opinion, St Culhbert's Care's financial statements Ilhe financial slalemenls")..
give a true and fair view of the slate of the charitable company's affairs as al 31 March 2023 and
of ils incoming resources and application of resources, including ils income and expenditure, and
cash flows. for the year then ended.,
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting
Practice (United Kingdom Accounting Standards, including FRS 102 The Financial Reporting
Standard applicable in the UK and Republic of Ireland" and applicable18wI, and
have been prepared in accordance with the requiiements of the Companies Act 2006.
We have audited the financial statements, included within the Annual Report {Ihe Annual Report"), which
comprise.. the Balance sheet as at 31 March 2023", the Slalement of financial activities lincorporaling an
income and expenditure account), the Reconciliation of funds, and the Slalemenl of Cash Flows for the
year then ended". the accounting policies,. and the note5 to the financial statements.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing IUKI I'ISAS (UKI") and
applicable law. Our responsibilities under ISAS IUKI are further described in the Auditors, responsibilities
for the aLJdit ol the financial statements section of our report. We believe that the audit evidence we have
obtained Is sufficient and appropriate lo provide a basis for our opinion.
Ind8pendence
We remained independent of the charitable company in accordance with the ethical requirements that are
relevant to our audit of the financial statements in the UK, which includes the FRC'S Ethical Standard and
we have fulfilled our other ethical responsibilities in accordance with these requirements.
Conclusions relating to going concern
Based on the work we have performed, we have not identified any material uncertainties relating lo events
or conditions that, individually or collectively, may cast significant doubl on the charitable company's ability
to continue as a going concern for a period of al least ￿e1ve months from the dale on which the financial
statements are aulhorised for issue
In auditing the financial statements, we have concluded that the trustees, use of the going concern basis
of aceounling in the preparation of the financial slalemenls is appropriate.
However, because not all future events or conditions can be predicted. this conclusion is not a guarantee
as to the charitable company's ability to continue as a going concern.
Our responsibilities and the responsibilities of the Iruslees with respect lo going concern are described in
the relevant sections of this report.
Reporting on other information
The other Information comprises all of the information in the Annual Report other than the financial
statements and our auditors, report Ihereon. The trustees are responsible lor the other information. Our
opinion on the financial slalemenls does not cover the other information and, accordingly, we do not
express an audit opinion or, except to the exlenl otherwise explicitly slated in this report, any form of
assurance Ihereon.
In connection with our audit of the financial slalemenls, our responsibility is lo read the other information
and, in doing so, consider whether the olher information is materially inconsislenl with the financial
statements or our knowledge obtained in the audit, or otherwise 8ppears to be materially misslaled. If we
identify an apparent material inconsistency or material misslatemenl, we are required lo perform
procedures lo conclude whether there is a material misslalement of the financial slalemenls or a material
io

St Cuthbert's Care
Independent auditors, report to the members of St Cuthbert's
Care (continued)
Reporting on other information (continued)
misslatemenl of the other information. If, based on the work we have performed. we conclude that there is
a material misstalemenl of this other information, we are required to report that fact. We have nothing lo
report based on these responsibilities.
With respect to the Strategic Report and Directors, report. we also considered whether the disclosures
required by the UK Companies Act 2006 and Charities Act 2011 have been Included.
Based on our work undertaken in the course of the audit, the Companies Act 2006 require5 us also to
report certain opinions and matters as described below.
Slrategic Report and Directors reports
In our opinion, based on the work undertaken in the course of the audit the information given in the
Strategic Report and the Directors, report for the period ended 31 March 2023 is consistent with the
financial slalemenls and has been prepared in accordance with applicable legal requirements.
In light of the knowledge and understanding of the charitsble company and its environment obtained in the
course of the audit, we did not identify any material misslatemÈnls in the Str3legi¢ Report and the Direclorfs
report.
Responsibilities for the financial statements and the audit
Responsibilities of the Iruslees for the financial statements
As explained more fully in the Statement of directois, responsibilities. the trustees {who are also the
directors of the charitable company for the purposes of company lawl are responsible for the preparation
of the financial statements in accordance with the applicable framework and for being satisfied that they
give a true and fair view The trustees are also responsible for such internal control as they determine is
necessary lo enable the preparation of financial statements that are free from material misslalemenl,
whether due lo fraud or error.
In preparing the financial stalemenls, the Iruslees are responsible for assessing the charitable cornpany's
ability lo continue as a going concern. disclosing, as applicable. matters relale(J lo going concern and using
the going concern basis of accounting unless the Iruslees either intend lo liquidate the charitable company
or to cease operations, or have no realistic allernalive bul lo do so.
Auditors, 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 misstalemenl, whether due lo fraud or error, and lo issue an auditors, 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 IUKI will always delect a material misslalement when Il exists.
Misslalements can 8rise from frÉud or error and are considèred material if, individually or in the aggreg21e,
they could reasonably be expected lo influence the economic decisions of users taken on the basis of
these financi21 slalemenls.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design
procedures in line with our responsibilities, outlined above, to delecl m21erial misstalemen15 In respect of
irregularities, including fraud. The exlenl to which our procedures are Capable of dele¢ling Irregularilie5,
including fraud, is detailed below.
Based on our understanding of the charitable company and ils environment, we identified that the principal
risks ol non-compliance with laws and règulations related to non-compliance with laws and regulations
related lo Care Quality Commission regulations in respect of care homes operated by the Charity, and we
considered the exlenl lo which non-compliance might have a material effect on the financial slalemenls.
We also considered those laws and regulations that have a direct impact on the financial slalemenls such
as the Companies Act 2006 and Charities Act 2011. We evaluated management's incentives and
opportunities for traudulent manipulation of the financial statements {including the risk of override of

## **St Cuthbert's Care** 

## **Independent auditors' report to the members of St Cuthbert's Care (continued)** 

## _Auditors' responsibilities for the audit of the financial statements (continued)_ 

controls), and determined that the principal risks were related to posting manual journal entries to manipulate financial performance. Audit procedures performed by the engagement team included: 

- discussions with management and those charged with governance, including consideration of known or suspected instances of non-compliance with laws and regulations and fraud; 

- identifying and testing journal entries using a risk-based targeting approach for unexpected account combinations; and 

- Reviewing financial statement disclosures and testing supporting documentation, where appropriate, to assess compliance with applicable laws and regulations. 

There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in financial statements. 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 or intentional misrepresentations or through collusion. 

A further description of our responsibilities for the audit of the financial statements is located on the FRC's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditors' report. 

## _Use of this report_ 

This report, including the opinions, has been prepared for and only for the charitable company's members as a body in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and for no other purpose. We do not, in giving these opinions, accept or assume responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior consent in writing. 

## **Other required reporting** 

## **Companies Act 2006 exception reporting** 

Under the Companies Act 2006 we are required to report to you if, in our opinion: 

- we have not obtained all the information and explanations we require for our audit; or 

- adequate accounting records have not been kept by the charitable company, or returns adequate for our audit have not been received from branches not visited by us; or 

- certain disclosures of trustees' remuneration specified by law are not made; or 

- the charitable company financial statements are not in agreement with the accounting records and returns. 

We have no exceptions to report arising from this responsibility. 


Thomas Dodd (Senior Statutory Auditor) for and on behalf of PricewaterhouseCoopers LLP Chartered Accountants and Statutory Auditors Newcastle Upon Tyne 29 November 2023 

12 



St Cuthbert's Care
Statement of financial activities (incorporating an Income and
Expenditure Account) for the year ended 31 March 2023
Unr¢$tri¢ied
funds
Re$tri¢ted
fund¥
2023
Total
2022
Total
Note
Income
Income fmm charitable 8Ctivities
ca￿ for children
2.418,702
2,418,702
2,358,635
Care for people with disabilities
2,65S,880
2.655.880
2,568,895
Care for older people
3,890,065
3,890,065
3,395,315
Grants receivable
16,671
16,671
290.274
Fostering & social work
929,096
929,096
924.750
Income Imm donations. legacies
ond other trading activity
Donations
73.919
178.971
252,890
11,903
355.065
291.171
Legacies
Other trading activities
Investment income
11,903
26,019
304,410
879
42,613
312,452
13,133
6,630
18.763
other income
Total income
10,051,982
497,053 10,549,035 10,160,348
Expendituro
ExpendilLJre on charitable
activities
10,162.008
247.666 10,409,674
9,826,357
Expenditure on ralslng funds
Donations and legacies
5,291
5.448
5,291
4,630
Other trading activities
Total expenditure
114,402
119,850
362,068 10,534,815
117,383
10,172,747
9,948,370
Net Ilos$l l income for the year
1120.7651
134,985
14,220
211,978
All operations are continuing.
All gains and losses in the year are included in the Slalemenl of Financial Activities.

St Cuthbert's Care
Reconciliation of funds for the year ended 31 March 2023
Unrestricted
Restricted
funds
funds
Total
2023
Total
2022
Fund balances al 1 April 2022
6,549,511
682,157
7,231,688 7,019,690
Nel Ilossl l income for the year
1120,7651
134,985
14,220
211,978
Fund balancgs at 31 Ma￿h 2023
6,428,748
817,142
7,245,888 7.231.668

St Cuthbert's Care
Balance sheet as at 31 March 2023
Company registration number: 1645917
Note
2023
2022
Fixed assets
Tangible assets
4.942,051
5,001,597
Total flxed assets
4.942,051
5,001,597
Current assets
Debtors
10
829,743
615,810
Cash al bank and in hand
2,503,462
2,614,210
Total current assets
3,333,205
3,230,020
Creditors: amounts falling dug within one
year
11
1716.045)
1651,7401
Net current assets
2,617,160
2,578.280
Total assets less current liabilities
7,559,211
7,579.877
Creditors.. amounts falling due after more than
one year
12
1250,0001
1275,0001
Provisions for liabilities and charges
13
163,323
173.2091
Net assets
7,245,888
7,231,668
The funds of tho Charlty
Unre8trlcted funds
General funds
18
800,000
800,000
Designated funds. Charity assets fund
18
5,628,746
5,749,511
6,428,746
6.549,511
Restricted funds
18
817,142
682,157
Total funds
18
7,245,888
7,231,668
The financial slalements on pages 13 10 28 were approved by the Board of Directors and were signed on
Ils behalf by..
Moran
hair
24 November 2023

St Cuthbert's Care
Statement of Cash Flows for the year ended 31 March 2023
Note
2023
2022
Cash flows from operatlng activities
Nel cash provided by operating activities
15
23,799
179,220
Cash flows from investing activities
Interest received
18.763
879
Purchase of tangible fixed assets
{153,3101
{31,6781
Net cash used in investing activitiès
{134,547)
130,7991
Cash flovts from financlng activitles
Net cash used in financing activities
Change in cash and cash equivalents in the reporting
period
16
1110,748)
148.421
Cash and cash equivalents al the beginning of the
re
ortin
eriod
2.614.210
2,465,789
Cash and cash equivalents at the end of the reporting
eriod
2,503,462
2,614.210

St Cuthbert's Care
Accounting policies
The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the
p￿ paralion of the financial slalemenls are as follows..
Basis of preparation
The financial statements have been prepared in ac¢ord8nce with Accounting and Reporting by Charities.
Statement of Recommended Practice applicable lo charities preparing their financial slalemenls in
accordance with the Financial ReFX)rting Standard applicable in the UK and Republic of Ireland IFRS 1021-
(Charities SORP FRS 1021. the Financial Reporting Standard applicable in the UK and Republr ot Ireland
IFRS 1021 and the Companies Act 2006
Preparation of the Financial Statements on a going con¢em basis
In the year ended 31 March 2023 the charity recorded a surplus for the year of £14,220 and had a year
end cash position of £2,503,462 with no borrowings.
Despite the end of Government grants lo help miligale the costs associated with the addition21 measures
implemented lo keep residents 8nd staff safe from Covid-19, the pandemic did not have a material impact
on the charity's finances during the year lo 31 March 2023.
The charity's work is the provision of essential care services commissioned by local authorities and there
remains a strong interest and demand for the charity's services Referrals and admissions lo our two
nursing homes increased during the year following the easing of reslriclions on care homes and the
charity's excellent reputation with commissioning authorities adds further comfort for 2023124.
The Charity's forecasts for the coming year factor in the higher rale of inflation and the impact this has on
the goods and serviees the charity requires to deliver ils services. The charity has no borrowings but does
have cash on deposit so will beneht from the higher interest rates although deposit rates are below the
level of inflation. Employee payroll costs account for the majority of the Charity's expenditure and the
increased cost of living necessilaled higher than usual salary increases Negotiations are still ongoing with
local authorities and the lull cost may not be covered by fee increases due to funding constraints. However,
the Charity's eash reserves give comfort that this would be manageable in the short term, including at least
the next 12 month5.
The Directors have reviewed and assessed the financial performance for the first quarter of 202312024.
the results are in line with expectations with a small Surplus being generated from operations. A cash flow
forecast for the period to November 2024 has been prepared. which considers realistic downside cash flow
sensilivilies and this together with continued demanci for the Charity's ¢are services gives the Directors
onfidence in continuing lo adopt the going concern basis of accoL¢nling.

St Cuthbert's Care
Accounting policies (continued)
Incoming resources
Income Is recognised when the Charity has entillemenl to the funds, any performance conditions attached lo
the ilemlsl of income have been met, it is probable that the income will be received and the amount can be
measured reliably.
For legacies, entillemenl is the earlier of the dale on which either.. the Gharity is aware that probate has been
granted, the eslale has been finalised and nolificalion has been made by the executorslsl lo the Charity that
a distribution will be made. or when a distribution is received from the estate. Receipt of a legacy 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.
Donated goods and services
The value of donated goods lo the Charity which are for resale are recognised in the financial statements as
income when sold due lo the low-value of items received.
In accordance with the Charities SORP IFRS 102}, volunteer lime is not re¢ognised", details about the
volunteers, contribution can be found in the Directors, report.
Resources expended
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate
all costs related lo the category. Support costs include expenditure which cannot be directly attributecj lo
particular headings and have therefore been allocated to activities on the basis of employee costs.
Governance costs represent the legal and professional fees of running the Charity and costs associated with
prepanng and holding Board meetings and are included within support costs. Resources expended include
attributable VAT which cannot be recovered.
Tangible fixed assets
Fixed assets cosling more than £7,500 are capitalised and included at purchase cost, together with any
incidental costs of acquisition.
Depreci8tion is calculated so as lo write off the cost of tsngible fixed assets, less their estimated residual
values, on a slraighl-line basis over their expected lives. The principal annual rates used for this purpose are..
Freèhold land
Furniture, equipment and plant
Motor vehicles
Assets in the course of construction
5-33
20
Freehold and long leasehold buildings are depreciated over 50 years or, rf shorter, over the period of the
lease.

St Cuthbert's Care
Accounting policies (continued)
Fixed asset investments
Fixed asset investments are stated al the lower of cost or nel realisable value.
Operating leases
Leases that do not transfer all the risks and rewards of ownership are classified as operating leases. Rentals
payable are charged on straight line basis over Ihe term of the lease.
Debtors
Trade and other debtors are recognised al the settlement amount due after any trade discount offered.
Prepayments are valued at the amount prepaid net of any trade discounts due.
Cash at bank and In hand
Cash al bank and cash in hand includes cash and short term highly liquid investments wrth a short maturity
of three months or less from thè dale of acquisition or opening of the deposit or similar account.
Creditors and provisions
Creditors and provisions are recognised where the Charity has a present obligation resulting from a past
event Ihatwill probably result in the transfer of funds lo a third paty and the amount due lo sellle the obligation
can be measured or eslimaled reliably. Creditors and provisions are normally recognised al their settlement
amount afler allowing for any trade discount due.
Financial Instruments
The Charity only has Iinancial assets and financial liabilities of a kind that qualify as basic financial
inslrumenls. Basic financial instruments are initially recognised al transaction value and subsequently
measured al their settlement value with the exception of bank loans which are subsequently measured at
amortised cost using the effective interest method.
Grants reeeivable
Grants, including those for the purchase of fixed assets, are recognised in full when the Charity has
entitlement lo the funds, any performance conditions allached lo the grants have been mel, il is probable
that the income will be received and the amount can be measured reliably and is not deferred.
Fund accounting
General funds are unreslricled funds which are available for use al the discretion of the Directors in
furtherance of the general objectives of the Charity and which have not been designated for other purposes.
Designated funds comprise unreslricled funds that have been sel aside by the Directors for particular
purposes. The aim and use of each designated fund is sel out in note 18 to the financial statements.
Reslricled funds are funds which are to be used in accordance with specific restrictions imposed by donors
or which have been raised by the Charity for particular purposes.
19

St Cuthbert's Care
Accounting policies (continued)
Pension ¢o$ts
The Charity makes available a defined contribution pension scheme to employees to which it contributes.
The scheme originally sel up as a stakeholder pension scheme meets the automatic enrolment rules.
There is a historical unfunded pension liability and adjustments to this pension liability, referred to in note
13, are made in line with actuarial factors based on the invoiced costs from the administering authority and
adjusted lo include a cost of living increase. These costs are included in the SOFA.
Critlcal accounting estimates and areas of judggment
Preparation of the fi'nancial statements reqLJires management lo make estimates and judgements. These
are continually evaluated and are based on historical experience and other factors, including expectations
of future events that are believed lo be reasonable under the circumstances.
There were no significant eslimales or judgements made during the year which had a material impact on
the results reported in the financial stalemenls.
20

st Cuthbert's Care
Notes to the financial statements
for the year ended 31 March 2023
1 Expenditure on charitable activities
Direct
costs
Support
Costs
2023
2022
Care for people with disabilities
2,575,446
246,643
2,822.089
2,578,650
Care for older people
4,364,493
415,764
4,780,257
4.555.254
Care for children, fostering & social work
2,608,694
198,634
2,807,328
2,692,453
9,548.633
861,041 10,409,674
9,826,357
2 Expenditure on raising funds
Direct
costs
Support
costs
2023
2022
Voluntary income, donations & legacies
Activities for generating funds
4,778
513
5,291
4,630
118,841
1,009
119,850
117.383
123,619
1,522
125,141
122.013
3 Support costs
Support costs, including governance costs of £42,35912022.' £29,284), not directly attributable lo projects
have been allocated on the basis of employee costs and are analysed below..
Employee
costs
Depreciation Other Costs
2023
2022
Charitable activities
545,513
19,586
295.942
861,041
827,572
Raising funds
964
35
523
1,522
1,934
546.477
19,621
296,465
862,563
829,506

St Cuthbert's Care
4 Employee costs
2023
2022
Employee costs:
Wages and salaries
7,261.645
6,789.411
Social security costs
602,479
562,899
Pension costs
144,177
151,013
8.008,301
7,503,323
The pension Costs were charged through the Statement of Financial Activities in respect of the defined
contnbulion scheme operated for employees and allocated be￿een activities both reslricled and
unrestricted funds on the basis of employee costs.
The company maintains insurance for its employees in respect of their duties as employees as part of ils
overall insurance policy. Two employees received emoluments above £60,00012022'. two). One of the
employees Is in the band £60,000￿70,0OD(2o22. one) and one employee is in the band £80,000-£90,000
12022. one).
The key management personnel of the Charity comprise the Chief Executive, the Director of Finance & IT.
the Director of Care, the Director of Children's Services, the Director of Compliance and the HR Lead. The
total employee benefits of the key management personnel of the Charity were £424,49012022'. £390,932).
The average monthly number of employee5. analysed by function was..
2023
2023
Full-Time
Equivalent
2022
2022
Full-Time
Equivalent
Number
Number
Charitable activities
266
215
289
215
Expenditure on raising funds
268
216
291
217
22

St Cuthbert's Care
S Directors, emoluments
2023
2022
Aggregate emoluments and fees
155,925
154,350
Emoluments are paid to directors, M Ashman and N Gilbert, for their services as direelors and not as
trustees of the Charity. Provision for these payments is made in the company's Articles of Association.
Included in the above are contributions made lo the Charity's pension scheme in respect of these directors
of £7,42512022.' £7,3501. Directors received no reimbursement of travel expenses in the year12022'. £Nill.
Other than as noted above, no director was entitled lo nor received any remuneration for their servi¢es
12022.. £Nill or were accruing benefits under the pension schemes12022'. £Nil} or received reimbursement
of their expenses12022.' £Nill.
6 Net income for the year
Nel income for the year is staled after eharging..
2023
2022
Depreciation charge for the year
Auditors, remuneration for audit services
212.856
206,549
36,960
23,940
Operating lease rentals for land and buildings
11,188
16,340
Loss on disposal of assets
3.946
7 Taxation
The company is a charity established under the Charities Act 2011. 11 is therefore exempt from laxalion in
respect of income and capital gains received within categories covered by S505 Income and Corporation
Taxes Act 1988 or S256 Taxation of Chargeable Gains Act 1992, to the exlenl that such Income or gains
are applied lo charitable purposes only.
23

St Cuthbert's Care
8 Tangible assets
Freehold
Furniture
equipment
and
plant
long
leasehold
buildings
Assets in
the course of
¢on$truction
Motor
vehicles
Total
Cost
At 1 April 2022
6,296,922
2,518,509
73,656
8,889.087
Additions
103,240
50,070
153,310
Disposals
At 31 March 2023
6,296,922
2,621,749
73.656
50.070
9,042,397
Accumulated Depreciation
Al 1 April 2022
2.081,059
1,733.133
73,298
3,887.490
Charge for the year
97,500
114,998
358
212,856
Eliminated in respect of
dis
osals
At 31 March 2023
2,178,559
1,848,131
73.656
4,100,346
Net book value
At 31 March 2023
4,118,363
773,618
50,070
4,942,051
At 31 March 2022
4,215,863
785,376
358
5,001,597
9 Capital commitments
C2pilal expenditure aulhorised and contracted for bul not provided for in the accounts amounts to £237,401
12022". £nill. This includes both leasehold improvements to one of the charity's children's homès and the
replacement and expansion of a play park. Both works will be ¢ompleted during the 2023-24 financial year.
10 Debtors
2023
2022
Trade debtors
466,544
330,727
Other debtors
4,024
928
Prepayments and accrued income
359,175
284,155
829.743
615,810
24

St Cuthbert's Care
11 Creditors: amounts falling due within one year
2023
2022
Trade creditors
253,348
148,412
Other creditors
11,569
13,079
Taxation and social security
151,389
169,444
Accruals and deferred income
299,739
320.805
716,045
651,740
12 Creditors: amounts falling due after more than one year
2023
2022
Deferred income
250,000
275,000
250,000
275,000
The Directors expect the deferred income lo be released lo the Slalement of Financial Aelivities over the
next 10 years.11 relates lo the prepayment of rental incorne for office space by the Roman Catholi¢ Diocese
of Hexham & Newcastle and is being released al a rale of £25,000 per annum12022". £25,000>.
13 Provisions for liabilities and charges
Analysis of amounts charged through the statement of financial
activities
Pension
provision
Al 1 April 2022
73,209
Established during the year
Ulilised during the year
19,8861
At 31 March 2023
63,323
The pension provision relates to the unfunded pensions liabilities for former teachers of two schools
formerly managed by the Charity. The provision is updated annually based upon actuarial calculations.
The Directors expect all liabilities lo be mel over the next 8 years.
25

St Cuthbert's Care
The provision is anticipated to fall due as follows..
2023
2022
In less than one year
Between one and two years
10,368
9,600
10,679
9,888
Between Iwo and five years
21,778
30,554
In more than five years
20.498
23,167
63,323
73,209
14 Share capital
The company does not have any share capital and is limited by guarantee. The members of the company
are the Directors and their guarantee is limited lo £1 each.
15 Reconciliation of net incoming resources to net cash provided by
operating activities
2023
2022
Nel incoming resources
Depreciation on tangible fixed asset5
Loss on disposal of fixed assets
14,220
211,978
212.856
206,549
3,946
Decrease in deferred income
{25,0001
125,0001
Decrease in provisions
19,886
111,0041
Ilncreasel I decrease in debtors
1213,933}
2,815
Increase I (decrease} in creditors
64,305
1209,1851
Interest received
118.7631
{8791
Net cash provided by operating activities
23,799
179,220
26

St Cuthbert's Care
16 Reconciliation of net cash flow to movement in net cash resources
2023
2022
Change in cash and cash equivalents in the reporting period
1110,7481
148.421
Movement in nel funds for the year
Net funds at 1 April 2022
1110.7481
148,421
2,614,210
2,465,789
Net funds at 31 March 2023
2,503,462
2,614,210
17 Analysis of net cash resources
1 April
2022
31 March
2023
Cash flow
Cash at bank and in hand
2,614,210
{110,7481 2.503,462
Net funds
2,614,210
1110,7481 2,503.462
18 Statement of funds
Al 1 April
2022
At 31 March
2023
In¢ome Expenditure Transfers
General funds
800,000 10,051,982 110,172,747) 120,765
800,000
Designated funds
Charity assets fund
5,749,511
{120,7651
5,628,746
Total unrestricted funds
6,549,511 10,051,982 110,172,747)
6,428.746
Restricted funds..
Alan Shearer Foundation
682,157
497,053
1362,0681
817,142
Total restrlcted funds
682.157
497.053
1362,0681
817,142
Total funds
7.231,668 10.549,035 110,534,815)
7,245,888
The Gèneral fund represents the free funds of the Charity which are not designated for particular
purposes with excess funds being transferred to the Charity assets fund.
The Charity assets fund represents those funds that have been designated by the Directors for the
provision of existing services in furtherance of the Charity's objects.
The charity has one reslricled fund. The Alan Shearer Foundation which represents those funds raised by
the Foundation which have not yel been spent on charitable activities.
27

St Cuthbert's Care
18 Statement of funds (continued)
Analysis of net assets bebNeen funds
Rostri¢t•d Designat¢d
funds
funds
Gen¢ral
funds
Total
Fund balances at 31 March 2023 are
represented by..
Fixed assets
4,942,051
4,942,051
Current assets
817,142
964.018
1,552,045
3.333,205
Current liabilities
1716,0451 {716,0451
Long term liabilities and provisions
1277,3231
{36,000} 1313,3231
817,142
5,628,746
800,000
7,245,888
19 Related party transactions
The Charity has a close but arm's length working relationship with the Roman Catholic Diocese of Hexham
& Newcastle, which is also a charily. The Charity invoiced £177,593 12022.. £143,655) lo the Roman
Catholic Diocese of Hexham and Newcastle in respect of shared c051s associated with the provision of
offices for both parties and care home fees for retired priests. As al 31 March 2023 £12,211 {2022.'
£20,164) remained outstanding and is included in debtors.
28