WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Company number. 2288239 Registered charity number.. 700910 COMPANES HCIJSE COPY WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION (Limited by Guarantee) Report of the Board of Trustees and Financial Ststements Year ended 31 March 2023 •ACIS4rMI' 2011212023 COMPANIES HOUSE A24 #478 WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Contents Page Legal and Administrative Infomation Board of Trustees Annual Report 2-14 Report of the independent auditors 15-17 Statement of financial activities- SOFA 18 Balance Sheet 19 Cash flow statement 20 Notes forming part of the financial Statements 21-34 WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Legal and Administrative Inforniation 2022-23 Charity Name Wolverhampton Voluntary & Community Action (WVCA) Board of Trustees Simeon Greene (Co-chair) Pamela Cole-Hudson {Co-Chair) Slephen Clay (Reswned on 2411112022) Janet Clarke Lewis James Fox Anne Marie Harrison Patricia Mary Kemp Sarah Ball Gurbax Kaur Edna Masoha Paul Tulley Secretary and registered office Sharon Nanan-sen. 16 Temple Street. Wolverhampton, WV2 4AN (commenced on 1 September 2023) st Key Management Sharon Nanan-sen, Chief Executive (commenced on 1S1 September 2023) lan Darch, Chief Executsve (retired on 31" August 2023) Company Number 2288239 Registered Charity Number 700910 Auditors Muras Baker Jones Limf(ed. Regent House. Bath Avenue. Wolverhampton. NW14EG WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Trustees, Annual Report for the year ended 31 March 2023 Financial Statements Trustees, responsibilities in relation to the financial statements. The Trustees, who a￿ also Direclors of Wolverhampton Voluntary & Community Aclion {"WVCA") for the purposes of company law, are responsible for preparing the Trustees, Annual Report and the Financial Statements. The financial statements comply with the Companies Act 2006. the Charities Act 2011 and Accounting and Reporting by Chartties.. Statement of Recommended Pracbce applicable to charities preparing their accounts in accordance with the Financial Reporting Standard Applicable in the UK and Republic of Ireland (FRS 102) published on 16 July 2014 (as amended by UFxJate Bulletin 1 published on 2 February 2016)- 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 Wolverhampton Voluntary & Community Acllon and of the incoming resour￿$ and application of resources. including the income and expenditure of the charitable company for the year. In preparing these financial statements. the Trustees are required to.. Select suitable accounting poliaes and then apply them consistently, Observe the methods and principles in the Charities SORP.. Make judgements and estimates that are reasonable and prudent,. and Prepare the financial statements on the going concern basis unless it is inappropriate to presume that WVCA will continue in operation. The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of WVCA and enable thern to ensure thal the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of WVCA and hence for taking reasonabie steps for the prevention and detection of fraud and other irregularities. The Trustees are responsible for the maintenance and integnty of the corporate and financial information included on the charity's websf(e_ Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other junsdictions. Structure Governance and Mana ement Administrative Details The day-to-day management of WVCA is ultimately the responsibility of the Chief Executive on behalf of the Trustees. The Chief Executive is also responylJe. with the Board of Trustees. forthe stralegic d1￿ctIOn of the organisation and delivery of its objeclives. Much ofthe day-to-day management is delegated to the Deputy Chief Executtve who is currently supported by a part time Operats"ons Manager and a Central Administrator. The Deputy Chief Executive left WVCA on 28th April 2023. A Finance Manager 122 hours pwl is supported by a Finance Officer (30 hours pwl and has overall responsibility to the CEO for finance systems and proce5ses_ A robust financial delegab'on system is in pla￿ with each project lead having day to day responsibility for their own budgets. Goveming Document WVCA is a charitable company limited by guaranlee. incorporated on 19th August 1988 and registered as a Charity on 24th November 1988. The company wa5 established under a Memorandum of Association that established the objects and powers of the charrtable company and is governed under its Articles of Association. In the event of the company being ￿OUnd up members are each required to contribute an amount not exceeding £1. WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Trustees, Annual Report for the year ended 31 March 2023 The Articles of association were reviewed and changes agreed al the 2018 AGM. These changes were a response to difficulties in achieving quorums at some meetings thus hindering effective and prompt decision making. In essence the changes reduce the size of the Board and quoracy requirements, while also ensuring effective govemance and board oversight. In earty 22123 members agreed to change the organisations name to Wolverhampton Voluntary and Community Action (WVCA). Recruitrnent and Appointment of Board of Trustees Although WVCA is a small to medium sized organisation. it is a complex one operating in whal is an increasingty challenging environment. It 15 therefo￿ important that the skills and competencies of the trustee body are at a high level. WVCA is also involved in a very diverse range of activities as outlined later in this report and therefore the trustee body needs to demonstrate a broad as well as a high level of skills in carrying out its governance role. The changes agreed at the 2018 AGM maintains a Board structure which refiects our cuslomers and the environment in which we operale. The current Board make up and.quoracy requirements as outlined in the Articles of Association are as follows- The minimum number of directors shall be 6 and the maximum number of directors shall be 12. This Board of Directors will be made up of.. a) A minimum of 4 and a maximum of 6 Voluntary and Community Organisations operating in Wolverhampton who are members of Wolverhampton Voluntary Seclor Council. b) Individuals, who can be invited to join the Board for their expertise inclLKling as °experts by experience c) A minimum of 2 and a maximum of 3 other partners from the private, education, and public sectors. These directors are recruited to strengthen links across the City and provide specialist input inlo the Board. All twstee5 they must support our objectives. d) The Cily Council has observer status on the board and may invite any person to attend the chartty's meetings {both directors and general meetings) as an obseryer without the power to vote. This observer will not be counted in the quowm. The quorum shall be 3 or such larger number as may be decided trom time to time by the directors. This quorum must include at least 2 directors from al and at least 1 from c) atM)ve. The quorum must have Voluntary and Comfflunity Organisations in the majority- This is so that any changes or any issues requiring a vote will need to be supported by VCO members. At the time of this report there is one vacancy on the Board bul West Midland Police are currently considering the opportunity to become a partner member. We have worked hard to ensure Ihat our Board membership reflects the diversity of Wolverhampton and at the time of writing 4 of our 10 Board members are people from minority ethnic communities. The Truslees of the company are also the Charity Trustees for the purpose5 of charity law. Under the Company'5 Artides they a￿ known as members of the Management Committee. Trustees, Induction and Training As representatives of member organisations. key partners. or individuals most Trustees are familiar with the work of WVCA. Each new board member meets with the Chief Executive for an induction and is provided with a recenlly updated induction pack. In addition. ieports on specffjc activities are provided at board meetings and traininglorienlation sessions are organised for Trustees. The slralegic direction of WVCA is regularly discussed at board meetings and a revised strategic document was adopted in 2017118. WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Trustees, Annual Report for the year ended 31 March 2023 Or anisational Structure WVCA has a management committee of up to 12 members who meet bi monthly and are responsible, with the Chief Executive. for the strategic direction of the Charity. In addition. the City Council nominate a Councillor with observer status on the board. The structure underneath the board 15 as follows.. A sub-committee of the board (krM)wn as the Executive Committee and consisting of up to four Trustees) meets with the Chief Executive on an ad hoc basis as required. This sub-committee provides a forum for more detailed discussion on key issues and advises the board. A Remuneration Committee consisting of the Chief Executive and Deputy Chief Executive has been delegated by the Board to make salary adjustments in order maintain a fair and equitable salary struclure within the organisation. Any changes to the salaries the Chief Executive or Deputy will be considered by the Executive Committee. The Chief Executive has delegated responsibility from the board for the provision of services and the day- to-day operation of WVCA. The Chief Executive works closely with managers in executing Ihese responsibililies. The structure below the Board comprises a number of elements as follows.. Senior Mana ers.. The Chief Executive and Deputy Chief Executive meet on a regular basis. with other senior managers as required, to establish that the organisation is delivering its mission. that it is doing so in a consistent and effective manner. and lo make any operational adjustments that may be required. Section Heads.. Managers from each area of work meet. as required, with Senior Managers in order to oversee the effective delivery of the organisation's outcomes. to maintain a consislent approach across the organisation, to consider issues affecting the work of the organisation and the wider sector and to share information. Staff meetin s.. Regular staff meetsngs provide a forum for ensuring a collective understsnding of day-to- day matters in areas such as health and safety. and provide a forum for the Chief Executive and others to comrnunicale mgtters of relevan￿ to all stsff. Staff SU ort: All staff meet regularly for supepdi5ion with their Line Managers. The Chief ExecutlV8 manages the Deputy CEO. the Finance Manager and the Project Managers of Talent Match, the Social Prescribing project and Engagement & Partnership lead. The Deputy CEO manages the other section heads.'The Chief Executive receives Supe￿iS1on from the Chaii of the Board. Financial dele ation.. Robust financial systems are in place, with levels of financial authority from the Board, through to the Chief Executive down lo indNidual departments. within agreed budgets. Systems for authorising both income and expendtture are in pla￿ along with an effective credit control system. Regular reports lo Board ensure overall financial prudence and allow for the management of any financial risk. Partner Organisations WVCA is a member The National Council for Voluntsry Organisations (NCVO). NAVCA and The Chamber of Commerce. As an umbrella organisation for the sector. WVCA has a major strategic role in Wolverhampton and works with partners locally, sutpregionally and nationally in order to achieve shared outcomes. To Ihis end WVSC works in partnership at a number of levels and these can be summarised a5 follows.. Voluntary Organisations and cornmunty groups: WVCA has a role in working with other VCO'S to 'champion" the sector. This involves working with organisations in response to issues affecting the sector and carrying out a co-ordinating role to ensure that the sector is effectively represented al a strategic level across the city. Al Ihe most strategic level this includes membership of the "One Wolverhampton" Board. WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Trustees, Annual Report for the year ended 31 March 2023 the Health and Well Being Board and Chairing the Indusion Board. In addition WVCA has the role of facilitating the Wolverhampton VCSE Aliance. Consortia Partners.. Consortia working. both within Ihe VCS and across sectors. is groW￿ng and developing as an accepted approach for achieving better outcomes for local people. WVCA have been leading the way in the development of ￿nSOrt18 both across the Cty and beyond, which has resulted. over the past S years in over £10M being secured and spent witt) VCOS in Wolverhampton and the surrounding area. In particular= VVVCA is the lead body for Talent Match.. a lotterylESF Icommunity Renewal Fund, resources 81ack Country project aimed at supporting people aged 18-29. who have been NEET for at least six months, nearer and into employment. Led by young people the project sub contracts to a range of in order to deliver some challenging outcomes. In year we also bid successfijlly for Community Renewal Funds in order to establish and deliver employmenl and skills support through the 15 local partners in our Skills Connect Project In addition we are the local lead body for a CRF funded.over 50s project led by Sandwell MBC, supporting a partnership of 4 local providers and overseeing the use of an Innovation fijnd of 50K Black Country Together IBCT) was developed in 2013 by the four CVS'S in order to support Ihe delivery of setvices by the VCS on a sub-regional level. WVCA is one of the four members of the organisation. BCT currently oversees the delivery of a contract worth £2M. from the Arts council (subject to Business Plan) and acts as the accountable body for one slrand of Ihe Building Opportunities, European Social Inclusion Fund {families in poverty). Delivery of this commenwf in mid-2016 and an extension to 2022 has recently been secured. In year we were the lead body for the Preventative Partnership (Previously called the Third Sector Consortium), a group of three delivery partners funded by the Clinical Commissioning Group and working to reduce A and E attendance and improve level of re-ablement among okler people leaving hospital. Sadly this projecl came to an end in Apts12022 when funding was withdrawn. We deliver the Cities Social Prescribing Service which brings together Health and Social Care services, people who are referred from those services in order to address loneliness. isolation. low level mental health issues and $0 on,. and VCOS who provide the prescriptions. We are also the accountable ￿dY for 100% digital" a short terTn CWC funded projecl wilh 6 olher partners and aimed at increasing the digital skills of individuals and organi5ation5. WVSC also leads on the VCSE Allian￿, which consists of representation from Voluntary and Community groups and organisations and has become a key focus to ensuring a strong and clear voice for the sector on a range of strategic and policy issues. Statuto Sector.. The Chief Executive ofWVCA is a member of the One Wolverhampton Partnership and chairs the Citi'es inclusion Board. he meels regularfy on a one lo one basis with the Director of Public Health, Chief Super Intendent and other senior statutory sector colleagues. WVCA, primarily through the Chief Executive and the YOW Project Manager, also represents the sector on a wide range of other forums. At the current ts.me these include= O Children and Families Together Board / Community Cohesion Forum / Black Country Grants Committee / Safeguarding Boards The Healthier Futures Partnership Board (Integraled care system) Integrated Care Partnership WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Trustees, Annual Report for the year ended 31 March 2023 / Health and Well-being board Cross Sector Forum WVCA also facilitates representation on a range of strategic and operational forums induding.. O The Safer WolveThampton Partnership O The Pla￿ based Partnership O Employment and Skills board / Health and Well Being board Safeguarding boards In additi'on, the Board and senior staff of WVCA work closely with statutory sector colleagues on 8 range of strategic matters such as the those relating to the Old School, social value. c¢>production. strategic funding and so on. Risk Mana ement The risks facing WVCA can be conS￿ered under 3 broad headings as follows: Financial Internal Conlrol Risks: The risk of financial mismanagement and. in the extreme. fraudulent actNity'. These internal risk5 have increased in ￿cent years as WVCA'S role in leading complex consortia activities, such as Talent Match, and, in the year under report the community renewal fund (Skills Connect), has grown. These risks reached a peak in 20121 wth IMPACT.. We have now withdrawn from that partnership, all funds owed have been paid lo us and. other than the minor risk of future audit and clawback there are no remaining issues to deal with. The overall risk is reduced by having in place robust financial controls and policie5 and procedures for safe management of financial ￿SOUrces. In addition. WVCA has a robust and effective credit control system in Pla￿ that serves to ease cash flow difficulties and minimise bad debts. These systems, coupled with a small but very competent finan￿ team means that we are working well in complex environment. The financial outtum for the year under report. with a deficit of £76.550 on unrestricled fvnds and no significant overspend on restricted budgets. wthin an extremely challenging year would seem to support this_ Our continued membership of WMPF for long standing and ex staff members does present an on-going financial challenge as the level of contribution rates conts'nue lo increase. On the other hand only 3 staff remain within the fund and we had been Con￿Med aboLrt a possible deficit needing to be paid once the last member leaves. Recent conformab.on from WMPF that 'upon termination the associated assets and liabilities will be subsumed by the guarantor- in this case WCC. is a very welcome clarification and significantly reduces medium lemis risk. The remaining risk. aside from current affordability, is the applicable strain cost relating to Ihe 3 remaining staff should they be made redundant after the age of 55. Our auto enrolment pension scheme. introduced for all other staff is wnning smoothly with good take up. External Financial Risks= CA'S income is generated through grants, contracts and direct, paid for. Servi￿$. The changing landscape- wth the emerging role of the Integrated Care System. Brexit and the level to which EU funds are repla￿d via the Sha￿d Prosperty Fund, the significant reducbon in funds available through Ihe City of Wolverhampton Council. including our need to retender for our existing IIS services, at prices from 5 years ago. have created a situation where there are opportunib'es but high levels of uncertainty. We are needing to navigate Carefully through this landscape both for ourselves and the wider WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Trustees, Annual Report for the year ended 31 March 2023 sector. The level of change is unprecedented and V￿ are well placed to emerge strongly from this period. On the other hand the complexity of the environment does present an uncomfortable level of uncertainty and associated risk. Operational We work in an environment where the weight and complexty of legal requirements in areas such as health and safety, safeguarding, employment law, equal opportunities and GDPR is growing, In addition the "whole system approach" brings its own challenges for example the need for technical solutions lo effectwe partnership working, lin our case the shared vse of EMIS the IT platform used by GPS). This places all organisations at Tisk. In order to help manage thi5 WVCA has a strong senior management structure. The Deputy Chief Executive working with the Operations Manager takes a lead on inlernal policies and procedures. many of these have been recently reviewed and a Clear procedure forfuture review is in place. The Board are ultimatety responsible for overseeing this area of WOTk and WVCA also has in place a number of slaff-led commrttees including in the areas of health and safety, equality duties and recruilment. These committees are tasked with responding to the operational requirements ofthe legislatNe framework. Our organisalion has responded well to the COVID pandemic and continued service delivery throughout the pandemic. We have pul in place a HybTid working policy which is currently being trialled_ We hope that this will give us the best of both wortds. with colleagues meeting regulady while al the same time being able lo work effectively at home. saving some travel ts.me by utilising TEAMS. Zoom and so on. Finally covering our core costs. including the"core- team is a growing challenge, funders are nol Prepared to fund organisational infrastnjcture and are often unwilling to fund on the basis of full cost recovery. In light of this the Board are currenly considering varjous options in temis of the makeup of the "core" team with the intention of balancing organisational need wtth affordability. Personnel Most organisations have a high level of dependency on their key staff. This is eXa￿rba1ed within WVCA where the diversity of our activities and high levels of specialism among senior staff places us at signifi¢ant risk if those staff were lo leave through resignation or illness - in several areas there are no ready-made replacements that would be able to cover beyond the short temi. With an established structure for sharing knowledge through. for example, the Section Heads Meetings. we a￿ developing our ability to respond to any loss of a staff member, but it is envisaged that our relian￿ on key workers will continue to be high. Notice periods for the Chief Executive and Deputy are three months and for other managers it is months.. this does reduce the risk of key posts being left unfilled for any significant time. Staff turnover is historically low. consistently running near or below 10%. although, in common with many organisations this has seen some increase dunng the latter stages of the pandemic. Staff si¢kne5s rates for this year averaged 3.28 days per employee (6.95 in 21122). Unlike in previous years the most common causes of sickness absence were mental ill-health, digestive problems and COVID. in that order, reflecting the wider impacts of the COVID pandemic. That said 19 staff had no sickness absen￿ and a further 30 had between 1 and 5 days. during the year. We do not have a sickness culture bul it feels important that the year on year increase from an average of 4.1 days sickness (19120) to 6.1 (20121) and 6.95 in 21122 which indicates that WVCA ha5 seen in improvement. WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Trustees, Annual Report for the year ended 31 March 2023 Ob"ectives and Activities Following an away day in September 2021. ir)volving the Board and senior staff, it was agreed that WVCA would change its name and update it's branding to better retlect our mission, vision. values and principles as we work together wth the vibrant communities of Wolverhampton to cultivate a thriving and inclusive City. These are as follows. Our vision Our vision is the wortd we want to see. This is the reminderthat everything we work ha￿ to achieve is worth the effort because what we do is so much bigger than the 9-tr5. Wolverhampton as a city where everyone has the opportunity to fulfil their potential. Wolverhampton as a city where the root causes of inequality are eradicated for good. Wolverhampton as a ¢lty wlth a well-resourced and thriving voluntary, communty and Social enterprlse sector that supports strong. diverse communities. Our mission If the vision is the futu￿. the mission is t(Klay. Every day that we get up and fulfil a part of our mission, we're one-step closer to achieving our wsion. To provide unrivalled, dedicated support serVi￿S to the voluntary and community Sector. To champion Wolvefhampton's voluntary and communty sector through our reach and influence. To promote community action and develop opportunities for people to engage in volunteering. To support people lo have agency over their lives and Influen￿ decision-making processe5 that matter to them. To enhance people's quality of life wrthin Wolverhampton. especially for those who feel most excluded. To develop partnerships which enccmjrage ccFdesign arml co-pr(Mluctr'on. Our values At WVCA, We'￿ connected by 8 set of collective values, keeping us all w0￿1n9 in the same direction. These values a￿." Collaboration Inlegrity Inclusive Supportive Determinab'on WOLVERHAMPTON VOLUNTARY & COMMUNIP( ACTION Trustees, Annual Report for the year ended 31 March 2023 Respect Our Guiding Principles Our gu￿Ing principles are a set of promises whKh ourbrand wi71 always al￿￿ with. We c8n use them when we want to ￿InforCe ourbelief system. Ourprinciples ihe guide by which we work and also how we evaluate our work. We are all about people The people of Wolverhampton are at the heart of every decision we make. We believe that every person should be given the opportunity to fu￿11 their potential. We are change makers We seek to understand the challenges people face. We y￿￿k ts"relessly to ChaI￿nge discrimination and commit to combatting the root causes of inequality. We seek to collaborate We know we can achieve more by working in partnership wilh others. We are your trusted ally. always on hand wilh resources. experien￿ and passion. We like to work with partners to find solutions. Together we can. We take bold and innovative action We are brave, and together we persevere to reach our goals. building a strong nelwotk that is agile and resilient. We strive for progress We use our diverse skills and experien￿ lo Influen￿ and drive forward change. We seek to support our partners to create pivolal and lasting transfomiation. Though our voice may calm. our impacl is loud. Public Benefit A thriving Voluntary and Community Sectorf is a key aim ofcentral Govemment and is increasingly seen as part of the solution to the heatlh and social care crisis facing the country. This will involve the groups and organisations that make up the sector playing a fvller role in delivering services. including public services. Recasting Ihe relationship behveen people and government.. empowering citizens,. extending opportunities and communities coming together to make lives better are key to current polilscal thinking. In recent times the development of Social Prescribing has seen a greater focus on our sector as the enthusiasm and need for'social prescriptions. grovts. In this context WVCA.. Supports the development of ¢apa¢ity bwthin the sector to position it to play a fuller part in the delivery of services. Delivers Wolverhampton's Social P￿sCribIng Servi￿. Enables meaningful partiupation in the work of partners sub regTronally. City-wide and at the neighbourhood level. Principle 1: Identifiable Benefits benefits are.. A strong and effective VCS in the aty. WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Trustees, Annual Report for the year ended 31 March 2023 A clear voice for citizens, specffically those who use public services to influence and improve those services and the policies that infom them. 1b Related to our aims= By supporting voluntary organisations to opeiate more effectively and by providing a clear voice for ¢rt￿en$, both through groups and as individuals. our benefits are diredy related to our aims. Balanced a ainst harm.. With referen￿ to each benefit ouuined above: A strong and effective VCS improves the quality of provision and choice to those who commission se￿iCe$. There are many services. both public and otherwise, that are delivered better by VCOS for a number of reasons including flexibility. reach and cost effectiveness. This is a¢¢epled and supported by all political parties at the b'me of wriling. A clear voice for citizens hdps to ensure that resources are used lo best meet the needs of beneficiaries. It is possible that giving a disproportionate voice to one particular inlerest or point of view could be detrimental and thus WVCA works hard to ensure that a balanced picture, informed by a wide range of voices, is presented through the activities outlined in note 15 to the accounts. Principle 2- Benefit to the public Beneficiaries a ro riate to the aims- Beneficiaries are"voluntary organisations" and the community within Wolverhamplon and the surrounding areas. The vast majority of our work has ￿en within Wolvethampton wrth these beneficiaries. Some cioss boundary work has taken place wthin the Black Country and. less so. the West Midlands. In all this work Wolverhampton organisations and comrnunities have benefited and remained our focus. Talent Match. the Preventative Partnership. Girfs Allowed. Black Country Together, Social Prescribing and most recently WOTk with the ICS provide a vehicle for supporting voluntary organisations lo work together to delivery public services and provides some capacity building to help them do so. Any surpluses generated will be used to the benefil of the local community. 2b Not restn.cted b eo ra h or abili WVCA'S basic seNices remain free at the point of delivery although with the reduced availability of funding we do make charges for work beyond the core offer when this is feasible. No organisalion within the area of benefit was denied a Servi￿ because of inability to pay and we will continue to make every effort to maintain this approach albert reductions in funding. for example to support organisalions does limit our capacity to respond. to 2c Peo le in ove must not be exduded". No charges are made to individuals for WVCA'S services and thus people in poverty are not excluded. A flexible appfoach to delivery including visiting gioups and individuals. providing infomiation in written and electronic foTms etc.. also ensures that no-one is excluded as a resutt of povety. io WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Trustees, Annual Report for the year ended 31 March 2023 2d Private benefit must be incidental_. WVCA gives grants to groups to help them achieve Iheir charitable aims- these are not used to provide any personal benefft to group mem￿ls. WVCA provides for expenses to be paid to volunteers including board members. These expenses are to cover the costs to the individuals ofengaging in forums or carrying out specific tasks. Fundraising The majority of WVCA income is from Contracts and Grants. In the year under report we were not involved in any direct fundraising. Residual funds from our One City campaign in 20121 were distributed during 22123 in line wilh the aims of that campaign. Volunteers WVCA operales Ihe cty's Volunteer Service (Wolverhampton Volunteers). The seNi¢e places over 1000 new volunteers a year, with some 250 registered organisations offering pl8￿Ments. The service also supports our most vulnerable citizens through BBO (Building Better Opportunibes), working more closely with them to help ensure they can use volunteering. training and other routes to move nearer and into employment. Wolverhampton Volunteers has achieved the quality standard - the Volunteer Centre Quality A¢creditation (VCQA) - developed by Volunteer England. which focuses on the six core functions of a volunteer centre and of which only one is available in each locality. The centre is increasingly becoming a hub for volunteering across the whole city. at the outbreak of COVID and the associated restrictions we worked closely with the local mutual aid group which led to a significant increase in the number5 of volunteers registered wtth u5_ This in lum led to some expansion of the Volunteer offerto include work with care homes and the City Council. We provide regular support sessions with placement providers to improve their knowledge and practice, and outreach where capacity allows. In 2016117 we secured EU funding to work intensively alongside people tscing signrfi¢ant barriers to employment and for whom volunteering wll be part of the solution. This aspect of the Volunteer service works with 50 people a year. Funding for this work has re￿ntlY been extended until April 2023. WVCA does offer opportunities for volunleering, primarily within Social Prescribing through. for example, befrienders and SUIT where volunteers are ￿ntral to Ihe delivery of the servi￿. Opportunities elsewhere within Ihe organisation are ad hoc but do regularty offer themselves. All volunteers within VWSC are supported by paid staff and offered expenses to cover costs associated wilh their volunteer roles. Details of the various work strands that deliver the above are included in Note 14 to the accounts on pages 29 to 33. Overall Achievements Perfomiance and Financial Review During the year there was a reduction in income to £2,591.057 (from £3.048.567). This decrease is pnmarily as a result in the reduction of resources forTalent Match as withdrewfrom the IMPACT project and national lottery fijnds tapered as planned. This year has seen a small reduclion in total unreslricted fijnds from £591.139 in March 2022 to £514,589. This includes providing a subsidy to our Infrastructure project fijnded by the Ctty Council. which is agreed li WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Trustees, Annual Report for Ihe year ended 31 March 2023 each year by the board. Given the challenging financial environment during the year this is a positive outcome. During the year we worked directly to support many hundreds of groups and organisations: engaged with and influenced a wide range of forums. strategies and inrtiatives across Wolverhampton and beyond and supported thousands of vulnerable and troubled individuals. both direclly and through collaborations with a wide range organisations. Our success in securing 2 of the 8 Community Fund contracts out of some 150 applications across the Black Country is a significant achievement and has brought over £1 M into our City. The vast bulk of this resource goes to VCS partners. We continue to lead the way in terms of innovation across the City. championing ihe development of social prescribing induding making successful applications for fund5 to be ulilised by partners in providing prescriptions. We see this as a growng area of work. More specifically we continue to work with partners within and acioss sectors to address areas such as cfrproduction, whole system approaches to deliver and the on-going levels of inequality in our City- In particular our relationships wrth the integrated care system (ICS) are bearing significant fruf( for the wider VCS including for example funds through "winter pressures" and those to lackle Health Inequalities would not previously have Eeen shared in this way. The emerging Integraled Care System is a significant opporiunity for our sector with widespread acknowledgement of its roll wthin the %•thole system" approach. ReseThes Policy The reserves considered in the Reserves Policy, are the Yree reseNes'. These are the sum of the Unrestricted General Reserves. less Fixed Assets wthin Unrestricted Activity. These free reserves include designaled funds_ The rationale for WVCA'S reserves is.. to bridge the gap belween the spending and receiving of reSoUr￿s. to provide sustainability and continuity within times of income shortfall, and to enable WVCA to respond to key developments in the sector. The Trustees aim to build reserves which would enable WVCA to continue to fvlfil its cornmitmenl to achievement of outcomes for at least 6 months. and to honour its liabilities at any point in time. For the 2022123 accounts this policy gave us a figure lo work towards of £506.351. The net impact on reserves of the above is a reduction in general unrestricted reserves of £71.781. As at 31 March 2023, WVCA'S ￿n￿strided reseNes a￿ £514,589 (£591.139 in 21122). This includes £173,549 for closure costs and £759 for remaining rebranding costs. which togelher with £1.330 safety fund are included as designated funds, and a commitment towards a fixed asset of £2,250 leaving a residue of £338.951 (£410,732 in March 2022) as contribution towards the target of 6 months running costs, as directed by the reserves policy. Plans for the future Our Infrastructure and Volunteer Centre contracts are in pla￿ until December 2023. Our current services are being re-tendered in 5 lols but to the same tolal value as 5 years ago. While we fully intend lo bid for all 5 and are hopeful of success. this split does increase the risk of losing part of the contract. in turn undermining the suslainability of those lots that we do win given our ongoing need to subsidise the costs of delivery in recent years. The reduction in value of the contract given current pressures including those relating to pressure on pay will also be a challenge and further illustrates the shrinking of our financial relationship with the Council at a kn.me when the demand on WVSC and the wider sector is increasing. SUIT has a sub contract in place with NACRO. The substantive contract befyveen NACRO and CWC has just gone into its 2 year extension period until the end of 2023124 and we are in the process of finalising discussions regarding our partnership over this extension period. Talent Match fvtKling, following success with CRF, is in pla￿ until December 2022, This project has worked with over 3000 young people over the past 8 years and is an important part of the support landscape. Talant Malch project has now come to an end just before the year end March 2023. 12 WOLVERHAMPTON VOLUNTARY & COMMUNrrf ACTION Trustees. Annual Report for the year ended 31 March 2023 Social Prescribing Funding is agreed year on year wilh PCNS which is a challenge. The re-organisation of the CCG and departure of many staff is currentty an issue as we work to establish new relationships. The bulk of PCNS have committed to the service until the end 0123124 but there is a need to Te-negoliate the element of our Current contract that is funded through the CCG - something that we wll do in Ihe months ahead_ We do see a range of opportunities for our organisation. alongside the challenges, in the years ahead.. / Social Prescribing is an established part of the Wolverhampton Health and Social Care landscape. It is a core manifestation of public sector aspirations for a whole system approach and a key role for the VCS. To that end we do believe that this is likely to be a growing area of work. / The Black Country Integrated care system is most likely to implement the whole system approach that is required.if health and social care is to improve_ We have developed excellent relationship with system leads and employ the worker leading on this work for the VCS. As anticipated last year funds for the sector are being increasingly made available through this roule. To date we have led on the distribution of short term funds in Wolverhampton and we see this continuing in a more consistent manner into 22123 and beyond. / We have a very positive emerging relationship bwth the local hospit21 trust and we are currently awaiting the oulcome of a joinl application to the national NHS charity. / There will be opportunitres to expand our role in leading consortia following our success with the Community Renewal Fund which has secured over £1M for our sector and allowed us to develop a well-functioning partnership of 15 local organisats-on in deltvering our Skills Connect project.. In summary.. With the r￿d to re-tender for our IIS and volunteer centre contracls and a lack of darity regarding the future of Talent Malch and Skills Connect there is still some in year uncertainty and we are working to a best caselworsl case budget. Encouragingly projection are improving as we go through the year and we are well placed to pick up any short terrn shortfall via rese￿eS rf this becomes ne￿Ssary. Change presents opporiunities. wlh our new look. a re-visited arKJ clanfied mission and vison, excellent links across and beyond the VCS and a top class reputation V￿ are Y￿6[ placed to benefiL Auditors Messrs Muras Baker Jones Limited have s￿nIfied their wllingness to continue in office as auditors and this was agreed in principle at the rnost recenl AGM. Board of Trustees Simeon Greene (Co-chair) Pamela Cole-Hudson {Co£hair) ' Stephen Clay (resigned on 24111122) Janel Clarke Lewis James Fox Anne Marie Harrison Patricia Mary Kemp Sarah Deeming Gurbax Kaur Edna Masoha Paul Tulley 13 WOLVERHAMPTON VOLUNTARY & COMMUNITh ACTION Trustees. Annual Report for the year ended 31 March 2023 Disclosure of infomiation to the audilors We, the trustees I directors of the company who held office at the date of approval of these Financial Statements as set oul above each confimi, so far as we are aware, that: there is no relevant audit information of which the company's auditors are unaware- and we have taken all the steps that we ought to have taken as directors in order to make ourselves aware of any relevant audit infomialion and to establish that the company's auditors are aware of that information. By order of the Board of Trustees Sharon Nanan-sen Secretary 30 November 2023 Simeon Greene Cochair 30 November 2023 14 INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF WOLVERHAMPTON VOLUNTARY SEcfoR COUNCIL for the year ended 31 March 2023 Opinion We have audited the financial statements of W0￿erhampt0n Voluntary Sector Council (the 'charitable company,) for the year ended 31 March 2023 which comprise a stalement of financial activities (incorporating an income and expenditure account). a balance sheet and notes to the financial statements, including a summary of significanl accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards. including Financial Reporting Standard 102 The Financial Reporting Standa￿1 applicable in the UK and Republ of I￿land (United Kingdom Generally Accepted Accounting Practi￿). In our opinion the financial ststements-. give a true and fair view of the slate of the charitable company's affairs as at 31 March 2023, and of its incoming resources and application of resour￿5. including it5 income and expenditure, for the year then ended.. have been propedy prepared in accordance with United Kingdom Generally Accepted Accounting Practice," and have been prepared in accordan￿ bwth the requirements of the Companies Act 2006. Basis for oplnion We conducled our audit in accordance y￿th Intemational Stsndards on Auditing (UK) {ISAs {UK}) and applicable law. Our responsibilities under those standards are further described in the Auditorfs responsibilitie5 for the audit of the financial statements section of our report. We are independent of the charitable company in accordance wth the ethical requirements that are relevant to our audit of Ihe 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 obtsined is sufficient and appropriate to provide a basis for our opinion. Con¢lusions relating to going concem In auditing the financial statement5, we have concluded that the tru5tees' use of the going con￿rn basis of accounling in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identtfied any material Un￿rtaIntieS relabng to events or condrtions that. individually or collectively. may cast signthcant doubt on the charitable company's ability to continue as a going concem for a pericxj of at least fv￿1ve months from when the financial statements are authorised for issue. Our responsibilib'es and the responsibilities of the trustees with respect to going COn￿M are described in the relevant sections of this report. other information The trustees are responsible for the other information. The other information comprtses the infomation included in the IrLJStees' annu81 report, otherthan the financial statements and our auditotrs report thereon. Our opinion on the financial statements does not cover the other information and. except to the exlent otheNse explicitly stated in our report, we do not express any form of assurance Conclusion thereon. In connection with our audit of the financial stalements. our responsibility is to read the olher infomiation and, in doing so, consider whether the other informatson is materially inconsistent with the financial statements or our knowledge obtained in the audit or othewse appears to be malerially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to detemiine whetherthere is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have perfomied, 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. Is INDEPENDENT AUDITOR'S REPORTTO THE TRUStEES OF WOLVERHAMPTON VOLUNTARY SE￿oR COUNCIL forthe yearended 31 March 2023 Matters on which are required to report by exception We have nothing to report in respect of the followng matters in relation to which Ihe Charities {Accounts an(J Reports) Regulations 2008 require us to report to you if. in our opinion- the information given in the finanual statements is inconsistent in any material respect with the trustees, report., or the charitable company has not kepl adequate accounting records" or the financial statements are not in agreement with the accounts'ng records and relurns; or we have not received all the infomiats'on and explanations we require for our audit. Responsibllities of trustees As explained more fully in the trustees. responsibilities statement sel out on page 2 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 truslees determine is ne￿$sary lo enable the preparation of financial slalements that are free from material misstatement. whether due to fraud or error. In preparing the financial statements, the trustees a￿ ￿sponsible for assessing the charitable company's ability to continue 8s a going concem, disclosing, as applicable. matters related to going concern and using the going concern basis of accounting unless the trustees eilher intend to liquidate the charitable company or to cease operations, or have no realistic altemative but to do so. Auditorfs responsibilities for the audit of the financial statements We have been appointed as audf(or under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act. Our objectives are to obtain reasonable assurance about whether the finanaal statements as a whole are free from material misstatement. whetherdueto fraud or error. and lo issue an audito¢s reportthat includes our opinion. Reasonable assurance is a high level of assurance. but is not a guarantee that an audit conducted in accordan￿ with ISAS (UK) will always detect a material misstatement when it exists. Misstatements can anse from fraud or error and are considered material rf, 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 wrth laws and regulations. We design procedures in line wilh our responsibiif(ies, outlined above, to detect material misstatements in respect of irregularities. including fraud. The extent to which our procedures are capable of detecting irregularities. including fraud is detailed below- In planning and designing our audit tests we identrfy and assess the risks of material misslatement within the financial statemenls, whether due to fraud or error. Our assessment of these nsks include5 consideration of the nature of the industry and sector. the control environment and the charity performance along wilh the results of our enquiries of management about their own identificats.on and assessment of risks and irregularrties. In common wth all audits under ISA5 IUKI. we are also required to perfomi specific procedures lo respond to the risk of management override. We also obtained an understanding of the legal and regulatory framewotks that the charitable company operates in. focusing on provisions of those laws and regulations that had a dI￿¢t effect on the detemination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act, Charities Act. UK tax legislation and other law5 and regulations identsfied as risk areas identified from our discussions with management 16 INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF WOIVERHAMPTON VOLUNTARY SECTOR COUNUL forthe year ended 31 March 2023 We communicated relevant idenltfied laws and regulation5 and potential fraud risks to all engagement team members including internal spe￿aliSts. and remained alert to any indications of fraud or non- compliance with laws and regulations throughoLrt the audit. After considerabon of the above risks then caNied oul audit procedures induding the followng.. performing analytical procedures to idents'fy any unusual or unexpected relationships that may indicate risks of material fflisstatement due to fraud. reading minutes of trustees meekn"ngs'. reviewng ¢orrespondence with H M Revenue & Cusloms.. enquiring of management and reviewing any Corresponden￿ with legal advisors concerning actual and potential litigation and claims.. reviewing the financial stalernenl disclosures and testing to supporting documentstion to assess Complian￿ with provisions of relevant laws and regulalions described as having a direct effect on the fi'nancial statements., in addressing the risk of fraLMI through management override of controls. testing the appropriateness of journal entries and other adjustrnents.. assessing whether the judgements made in making accounling estirnates are indicative of a potential bias- and evaluating the business rab'onale of any significant transactions that are unusual or outside the normal course of business. There are inherent limitations in our audit procedures described above. The more removed th* the laws and regulations are from financial transactions the less likely it is that we would be aware on non- compliance. Auditing standards also limit the audit procedures required lo identify non-compliance wilh laws and regulations to enquiry of the twstees and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due lo fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at **￿W.frc.org.ukjaudIt0rsreSponSIbIIitIes. This description forms part of our audilorfs rew)rt_ Use of our report This report is made solely to the charitable company's trustees, as a body, in accordan￿ with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might stale to the charitable company's trustees those matters we are required to state to them in an auditor's report and for no other purpose. To the fvllest exlenl permitted by law. we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's trustees as a body, for our audil work. forthis report, orfor the opinions we have fomied. Muras Baker Jones Limited Chartered Accountants and Statutory Audilor Regent House Bath Avenue Wolverhampton WV14EG 30 November 2023 Muras Baker Jones Limited is eligible to act as an auditor in terms of Section 1212 of the Companies Act 2006. 17 WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Statement of Flnanclal Activitie5 for the year ended 31 March 2023 (Incorporating an Income and Expenditure Account) Unrèstrictèd Funds 2023 Restricted Funds 2023 Totsl Funds 2023 Total Fund5 2022 Note INCOME Income from charitable acti¥ities 33.235 2.554.077 2,S87,312 3.045.352 In￿st￿ent Income 3.748 3.748 3,215 TOTAL INCOME 36.983 2,554,077 2.591,060 3.048,567 EXPENDITURE Charitable Acti￿lieS 87.956 2.915.164 3.1x13,120 3,013,224 TOTAL EXPENDITURE 87.956 2.915.164 3,003.120 3.013.224 NET INCOMEIEXPENDITURE ($0.973) {361.087) (412.0601 35,343 Transfers between fvnds (25,577} 25,577 MOVEMENT IN FUNt)s (76.550) (335.510} (412.0601 35.343 Total fvnds brought lo￿ard 591.139 1.014.134 1.605.273 1,569.930 TOTAL FUNDS at 31 March 2023 514,589 678.624 1.193.213 1.605.273 18 WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Balance Sheet as at 31 March 2023 Fixed A￿ts- Tangible Assets Inkestments 750 1.500 Current Assets. Deblors Deposit Accounts Cash at bank and in hand 10 163.365 441.409 636.155 1.240,929 330.81S 438.5S8 1,036,757 1.806.130 Creditors.'arnounts falling due wtthin one year Net currènt assets Total net assets 12 {48.467} 1202,358) 1,192,462 1.193,213 1.603.772 1,605.273 Cha rity Funds". General unrestrrcled fund L)esignated funds Restricted fvnds 338.951 175.638 678,624 1.193,213 410,732 180.407 1,014,134 1,605.273 The Directors are satisfied that the company v￿S entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies. However, an audrt is required in accordan￿ wth section s154 ofthe cha￿￿'eS Act 2011. D1￿clOr$, ￿sponSIbl11￿.e$= 11 The members have not required the company to obtain an audit of its accounts for the year in question in accordan￿ with section 476., 2) The directors a¢knO￿edge their responsibililies for complying vAth the requirements of the Act wth respect to accounting records and preparation of the accounts. The financial statements were approved by the Board of Trustees and authorised for issue on 30 November 2023. Simeon Greene Co-chair of Board of Trustees Janet Clarke-Lewls Vice Chair. Board of Trustees Company Number: 2288239 19 WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Cash Flow Statement at 31 March 2023 2023 2022 Cash flows from opernting aetivitiè Surpltjs l {￿c1t) frjr thè year 1412,0601 Adjustments for. Dep￿latIOn of taryJible asset5 Other intwest reCww￿e and Simblar i￿ome 750 750 13.7481 13,21SI Changes in.. Trade and other debtors Trdde arKI other credito 167.450 {153,891j {401.4991 61,300 79,79S Cash gen8rated from operation5". 173.974 Inte￿$t re¢w*d 3.748 3.215 N8t cash from l (used inl cperating xtibilie5 {397.7511 177.189 Ilows from invesling acti¥iti•S Payment to acquife t￿￿Ible ffixwj assets Net increase I Idecreasel in cash *Yl cash equi*lents 1397,7511 177.189 Cash and cash equikdents at begnr*r4 of year 1.475.315 1,298,126 Cath and rath ¢qul¥al¢nts at th* y¢•r *nd 1,077.564 1.475.315 20 WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Notes forming part of the financial statements for the year 1 Statement of Compliance The financial statements have been prepared in Complian￿ with FRS 102. 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland.. the Ststement of Recommended Practice applicable to charities preparing their accounts in accordan￿ with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP (FRS 102}) and the Charities Act2011. 2 Liabllity of Members WVSC is a company limited by guarantee. It does not have a share capital and Ihe liabilrty of each member is limited to the guarantee given by that member. vthich shall not exceed £1. There are no beneficial interests and under the tems of ils Memorandum and Articles of Associab'on any surplus can only be applied towards the promotion of VVVSC'S objectives. and no dividend or other form of distribulion can be paid to ils members. 3 Accounting Policies Basis of re arab.on The financial statements have been prepared under the historical cost convention. The financial statements are prepared in sterling. which is the functs'onal currency of the ents'ty. WVSC meets the definrtion of a public benefit entity under FRS 102. Pension costs Certain employees are members of the West Midlands Pension Fund (WMPF.). The pension cost charge in the financial statements represents contributions due to this scheme in respect of eamings during the year, which are based on recommendations by the fund actuary. The disclosures required by FRS 102 have not been included in the financial statements. WVCA is in a multi-employer defined benefit pension scheme, WMPF. and FRS 102 require5 such organisalions to identify their share of the pension scheme's assets and liabilities. However. within FRS 102 this is only to be achieved rf 'sufficient infomation" is available to do so. WVCA believes that an actuarial valuatior) would not be a reasonable use of public funds. and the directors the￿fore have decided not to provide this financial information on the balan￿ sheet in the financial statements. WVCA manages contributions lo its pension fvnd in line with the WMPF valuation recommendations, pension costs for all of the projects are fully budgeted for. and WCA re￿IVeS an actuarial valuation on the WMPF scheme on a three yearly basis. Issues around risk management of the pension fund are conb'nually assessed through work wth staff at WMPF. and at Board of Trustees, Meetings. Tan ible fixed assets and de reciation Tangible fixed assets are normally capitalised where the cost exceeds £1.000, and are stated at cost less depreciats"on. Depreciation is provided on all tangible fixed assets at rates calculated to write off the cost, less estimated residual value. of each asset. on a Straight line basi5 over ils expecled useful life. as follows.. Office equipment Computers Refurbishment on lease over 5 years over 4 years over time remaining on p￿miseS lease agreement The accounting for depreciation lead5 to a dI￿repanCY beiween some financial statemenls submitted to funders. and the fund activity shown in the statutory accounts of WVCA. If a project has a funder which requires that a capital purchase 15 to be presented as a cash item rather than as a Capitalised item. as required by Charity Accounting njles, then a discrepancy emerges between the amounl claimed from the funder. and the fund accounting in the statutory accounts. Where this is the case. that particular discrepancy is referred to in the Trustees Report. 21 WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Notes forming part of the financial statements for the year Accounting Policies (cont.) Grants able Grants payable to local organisab'ons are recognised in the financial statements when there is a commitment to make a payment. Income Revenue grants are received from various funders- see note 5 - in order to finance WVCA'S aclivits'es and are accounted for in the income and expenditure account on an accrual's basis. Where revenue grants are received which have donor-imposed restrictions as to the timing of the related expenditure. any income received in advan(% is deferfed. Where revenue grants a￿ received. which do nol have donor imposed restrictions as to the ts'ming of the related expenditure, the income is accounted for when received. Incorne from granls, where related to perfomiance and specific deliverables, are accounted for as the charity eams the right to consideration by its perfomance. Income from the prOVi￿On of legal. payroll and other core services are accounted for when earned. Donated ServI￿S and facilits'es a￿ included 81 the value to the charity. where they can be quantified. Investment income is included when receivable_ enditure Resources expended are recognised in the period in which they are incurred and indude attributable VAT. where it cannot be recovered. Expenditure on chanlable activities consist of costs incurred in the direct delivery of services and the support cosls which are allocated to each of these areas of seNice provision. ratin lease Rentals payable under operating leases are charged to the statement of financial activities as incurred. Fund accountin Unrestricted funds comprise grants and other incoming ￿sOUrceS receivable. or generated for the objects of the charity, wtthoul further $￿e1￿C purpose, and are available as general funds. RestTiCted funds are to be used for specffic purposes as laid down by the donor. Expenditure which meets these criteria is charged to the fund. together with a fair allocation of management and support costs. Designated fund5 are unrestricted fvnds eaM)a￿ed by the Trustees out of unreslricled general funds for specffic purposes or projects. Concem The financial statements have been prepared on a going cOn￿M basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising Ihese financial statements. The budgeted income and ex￿nditUre is sufficient wth the level of reserves for the charity lo be able to continue as a going concem. 22 WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Notes forming part of the financial statements for the year 4 Grants payable Ntsmb•r 2023 Number 2022 100% Digital 9.750 49.500 uil(hng Connections Partners 7,664 CRF 50+ 61.973 2.080 Girts Allowed Partners 327 77,663 Health Inequalities 190.748 One Clty FunKI Grants 2.740 2,000 CRF Skills Connect 473.715 174.847 Social Prescribing Partner 24.873 St Petar (pre￿ntatI* Sernices) 5.4Tr) Talent Match Partners 395.376 747,938 Third Sector Consortium Partners/Systems Resilience 117.608 Thrimng communities 7.500 36.205 Winter P￿SSu￿S WP- Adult Hospital Discharge 179.473 15.758 1.342.759 16.729 65 53 1.257. 107 5 Income from Charitable Activities Utwestrlcted 202> Restrict•d 2023 Total 2023 Total 2022 Actile Black Country Arts Council 3.250 4.880 43.920 B12ck Country Consortium Big Lottery Fund Grants IBLF) Community Renew￿ Fund ESF grar¢ts BLFIESF joint fvnde2024. Currently WVCA has reserves of £55,000 to be utilised on project activities during 2023-2024. Active Connectors= WVCA were given funding to work with partners in the community lo reduce inaclivity. lackle ineqvality and improve the lives of local residents. Black Country Community Connectors (Active Connectors} are engaging with local communities and communrty groups across 12 priority wards across the Black Country to enable people to move more.. Remaining reserves £11.085 will be used during 2023-2024. WP - Adult Hospital Discharge: This Project was a pilot programme to demonstrate needs among patients recenuy discharged or due to be discharged from hospitals in the 10¢21 communities. The projecls starting late in the year and as a result continued into 2023-2024. Remaining reserves of £1,035 to be ulilised on project activities during 2023-2024. 32 WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Notes forming part of the financial ststements for the year 15 Infomiation regarding the members of the Board of Trustees The names of persons vtho are members of the Board are given in the Report of the Board of Trustees. Remuneration.. Under the terms of the Memorandum ofAssociation. neither member ofthe Board nor any connected person shall re￿1ve any remuneration from WVCA. Board members are offered reimbursement for travel expenses. The amounts involved are negligible. 16 Partlculars of Employees The average monthly headcount was 41 {45 in 2022). The average number of full time equivalent persons employed by WVSC during the year was: 2023 2022 General actiiqties 37.2 41.3 The agg￿gate payroll costs of these persons was as knllows: 2023 2022 Wages and salaries Social security costs Other pension costs Redundancy costs 1.163.329 110,C￿2 77,196 25.774 1.376.301 1.219.653 104,073 79.799 3,165 1.406.690 2023 2022 Key management remuneralion 129.888 127.579 One employee eamed benefits (excluding employer pension costs) of more than £60.000. Two member5 of staff were made redundant wth grant fvnding meeting the majorrty of Cost, the residual being mel from unrestricted reseThes through a fund trnnsfer to Faith Engagement. 17 Pensions Some of the employees of the charity are members of the West Midlands Metropolitan Authorities Pension Fund. which 15 a multi-employer scheme. The Fund is financed by contribLrtion5 paid by both employees and the chanty. and by eamings received on investments. The scheme is a Defined Benefits Scheme. It has teen closed to new memters. Contributions lo the Scheme from the employees are payable al a variable rate according to graded rates of pensionable pay. The employer contribub.on rate rose in 2020121 in response to the Actuarial Valuation for the scheme. from 23.3°/o to 24.2°/o. set for the three financial years unts'l March 2023. 33 WOLVERHAMPTON VOLUNTARY & COMMUNITY ACTION Notes forming part of the financial statements forthe year Also, the charty is required to make addibonal Past SeNice Lump Sum contributions towards meeling the shortfall in the scheme. with WVSC share being calculated at the lalest Actuarial revaluation12019) as £77k. The amount payable for 2020121 2022123 was £11,736. of this £4.053 representing the 2022-23 share is recognised in these accounts. It is assumed thal the Administering Authority will continue to invest a significant proportion of the assets of the Fund in UK and overseas equities. and that these will Produ￿ a fLrtuie investment retvm that exceeds the current yield available on bonds. A stakeholder scheme was established in January 2016 and is offered to all employees who are not members of the Wesl Midland Pension Scheme. subject to pension guidance in terms of eligibility- 18 Taxation WVCA is not liable to tax on any of its income because of its charitable status. 19 Operating Lease Commitments At 31# March 2023 WVCA had minimum commitsnents under non-cancellable operating leases a5 follows: 2023 Land and Buildings 2022 Land and Buildings Other Other Falllng due: Within one year In one to two years In two to file year5 After 5 years 25.000 2.946 1.782 449 25.000 2.836 1.730 2.231 25.000 5.177 25.000 6.797 A ￿e1Ve month commitment is disclosed in respect of lar)d and buildings as WVSC has an option to terminate this on giving one years notice. The landlord can terminate the lease in the event of default by WVCA. Note that since the end of the financial year 22123, VNCA has moved to new premises under a 5 year lease at £25.000 per annum wth effect from 1 October 2023. 34