2022-03-31-accounts

Charity Registration No. 702490

Company Registration No. 02443464 (England and Wales)

HEADWAY WORCESTERSHIRE

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

HEADWAY WORCESTERSHIRE

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Paul Valentine Leo Tarrant Ian Balfour Bella Noke Helen Moore Allison Hollis Acting Chairperson Paul Valentine Treasurer Paul Valentine Chief executive officer Mandie Fitzgerald Charity number 702490 Company number 02443464 Principal address Headway House The Mill Gregory's Mill Street Worcester WR3 8BA Telephone: [phone] Fax: [phone] Email: [e-mail] Registered office Headway House The Mill Gregory's Mill Street Worcester WR3 8BA Auditor Kendall Wadley LLP Merevale House 27 Sansome Walk Worcester WR1 1NU Bankers Unity Trust Bank Plc Nine Brindleyplace Birmingham B1 2HB Santander BBAM Bridle Road Bootle Merseyside L30 4GB

(Appointed 29 November 2021) (Appointed 20 December 2021) (Appointed 20 December 2021) (Appointed 24 October 2022)

HEADWAY WORCESTERSHIRE

CONTENTS

	Page
Trustees' report	1 - 24
Statement of Trustees' responsibilities	25
Independent auditor's report	26 - 28
Statement of financial activities	29 - 30
Balance sheet	31 - 32
Statement of cash flows	33
Notes to the financial statements	34 - 52

HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)

FOR THE YEAR ENDED 31 MARCH 2022

Introduction

The Board of Trustees are pleased to present their report (which also complies with the requirements of a directors' report under the Companies Act) on the affairs of the Charitable Company to the Annual General Meeting, together with a report from our Auditors, Kendall Wadley LLP, the Statement of Income and Expenditure, Balance Sheet, and Statement of Cash Flow for the twelve months' period ended 31st March 2022. The two reports form a single document and should be read as such.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's Memorandum and Articles of Association, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)".

Objectives and activities

The Trust was registered with the Charity Commission on 30th January, 1990, registration no. 702490 “to relieve persons who have suffered head injury or brain damage through illness or accident, and their families, including cohabiters and dependents of such union who are in need”.

Public benefit

The charity supports clients with an acquired brain injury (ABI) to enable them to achieve independent living and integrate them back into their local community.

The Trustees confirm that they have complied with the duty in section 4 of the Charities Act 2006 to have due regard to the Charity Commission’s general guidance on public benefit, “Charities and Public Benefit”.

Charitable Area of Benefit

The area of benefit is not defined in the Charity Registration. However, all the Charitable Company’s activities are in Worcestershire.

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Principal Activities

Headway Worcestershire is a local and independent charity supporting adults affected by acquired brain injury across Worcestershire, affiliated to the national charity Headway UK. All our activities contribute to our central objective of supporting life after brain injury. We offer specialist support, information and services to brain injury survivors, their families and carers, as well as to professionals in the health and legal fields.

“Headway Worcestershire aims to provide specialist support to adults with acquired brain injuries and their families enabling them to achieve independent, purposeful and contented lives in the community”

Our vision is to recognise that every brain injury affects people in different ways. We recognise that each person is unique and tailor support to meet their needs and circumstances. Our aim is to help people achieve their goals and enjoy a quality of life consistent with their desires and interests. Building a community where people with a brain injury are valued, respected and able to live a fulfilling life, while campaigning for greater public awareness and a better understanding of the impact of brain injury.

Headway Worcestershire manages and runs the following range of services:

Wellbeing Centres

We have centres based in Bromsgrove, Kidderminster and Worcester, the wellbeing services offer a comfortable environment where individuals living with an ABI can meet people, make friends, learn new skills and gain confidence. The service offers a variety of activities tailored to suit individual needs and levels of recovery leading to a better quality of life. The activities are run in small, large or one to one sessions and led by trained support staff. In any one week over 103 people attend one of the three different centres taking part in 1040 individual sessions throughout the year.

Outreach care and support

We provide care and support to individuals across the whole of Worcestershire, direct to each client in their own home and local communities. Our specialist trained staff provide tailored one to one person centred care and support to enable people with acquired brain injury to live happier and more independent lives.

Each community support programme is different and designed to meet the individual’s particular needs. Staff support clients to work towards agreed goals and objectives in line with their aspirations and wishes whilst also meeting the needs of the funding criteria. Outreach support staff will engage clients in practical, meaningful and enjoyable activities which help them to achieve increased independence and confidence. This year we had 16,022 one to one visits in comparison to last year of 16,120.

Individuals care, support or attendance at our services are purchased by Worcestershire County Council, Public Health Funding or privately by the individuals accessing the service.

Self-help Groups

We run three Support Groups sessions which are held in Worcester, Bromsgrove and Kidderminster and are facilitated by a qualified counsellor. The groups offers counselling for individuals, their carers and families. This service is free to all those adjusting to life after a brain injury.

Counselling and Self Help Sessions

We have a trained counsellor and a self-help worker who provides one to one sessions to support individuals and families to adjust to life with a brain injury. In 2021 -2022 we provided 112 counselling sessions over the phone and 210 one to one sessions throughout the year.

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Charity Shop

We have a charity shop based in St Swithins Street which not only raises much-needed funds and awareness for the charity, but it also provides the opportunity for voluntary work for some of Headway Worcestershire’s service users. Six of our current shop volunteers have an acquired brain injury and have been supported by Headway Worcestershire at some time. This offers the opportunity for them to gain work experience, build social relationships and confidence after an acquired brain injury.

Volunteer Support

Headway Worcestershire benefits from the support of over 24 volunteers throughout our charity, they are the back bone to our charity and we couldn't operate without their invaluable support. They often work alongside our paid members of staff in our Charity Shop and Wellbeing Services. Helping to run sessional programmes such as woodwork, life skills and art.

During the year Headway Worcestershire has been raising awareness and understanding of acquired brain injury by publicising its work in local publications and social media. We endeavour to campaign and influence other professional bodies by facilitating meetings of health and social care professionals, working with service users and campaigning on issues such as wearing safety headwear in sports. We work closely with a range of public, private and voluntary organisations including Citizen Housing to ensure appropriate housing and packages of support are provided in Worcestershire. We have supported individuals on this housing scheme with 3554 hours of support.

Policies, Practices, and Arrangements to Further Charitable Objects

Current Policies are reviewed on a rolling programme led by the members of the management team and new policies due to changes in legislation are developed and shared.

The staff of Headway Worcestershire have secured sufficient funding from Statutory Bodies, Grant Making Trusts, fundraising and from regular donations to ensure that the organisation can carry out it’s objectives effectively.

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Chief Executive Officer Report April 2021 - March 2022

What a difference 12 months has made on our Worcestershire ABI community and the UK environment.

As COVID restrictions have gradually eased in the Spring of April 2021, with cautious measures in place, significant parts of our community started to reopen.

A few of our clients were still self-isolating due to medical conditions and gradually we saw their return. We have continued to deliver care and support throughout the pandemic, one-to-one and in our Wellbeing Centres, ensuring health and welfare of our clients and extended community.

The feelings of isolation and remoteness were exasperated during the pandemic, and this affected many of our clients during the UK lockdowns. Mental health and confidences were impacted by the process, we as a charity were careful to manage this on an individual basis for each person under our care.

Activities within the community were reintroduced to our programme as local facilities and places of interest were reopened.

This is my fifth year at Headway Worcestershire which has passed in the blink of an eye. I am so very proud of the team and the lengths they go to ensure the health, happiness, and wellbeing of our clients.

Changes and improvements are always on our agenda and we strive wholeheartedly to ensure an improved understanding and awareness of acquired brain injury (ABI) in our Worcestershire community.

The Health Care Team Award 2021

We were so proud to win the virtual Newsquest Health Care Team Award 2021. Awarded for working as a strong team delivering improved patient care in our ABI community. Demonstrating impact, very strong team working, strong communication, and the ability to work across organisational boundaries. Well done Team Headway Worcestershire.

With the financial support and practical help from The Foresters , who supported us with two projects this year, firstly the refurbishment of our music room with many interesting percussion instruments, a drum, ukuleles, furniture, and wall art. Music sessions were re- introduced and enjoyed by all, whatever their capabilities.

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

“Music is the shorthand of emotion.” Leo Tolstoy.

Thank you Sue and the Foresters Team for their continued support, by equipping the Headway Worcestershire corner store with shelving and items, to ensure none of our clients would go hungry. Often when an individual is referred to us they are in a crisis situation, with little or no funds, to feed themselves properly. We were able to supply and support them in the short term with groceries, personal care items, cleaning products and beverages to ensure their welfare, thanks to The Foresters.

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Chris Bryant MP

ABI Campaign

– Acquired Brain Injury we need a plan!

The Government agreed to implement an Acquired Brain Injury Strategy following a campaign by Chris Bryant MP. He secured a Private Members’ Bill and ahead of its second reading in the Commons in December 2021, the Government gave the green light for a cross departmental strategy.

Acquired Brain Injury is a leading cause of death and disability affecting more than 1.3 million people and costing £15 billion to the UK economy each year. Acquired brain injury is an issue for the Department for Health and Social Care; Work and Pensions, Education; and Digital, Culture, Media & Sport; and the Ministries of Justice, Defence, Housing, Communities and Local Government.

The need for a national plan departmental strategy is vital and long overdue.

As the Government agreed to the Strategy, Chris Bryant, Chair of the All-Party Parliamentary Group on Acquired Brain Injury, said: “The Government has announced it will be creating a Panel Board in to start devising a wholeGovernment strategy on ABI. In other words, the Government is doing precisely what my Acquired Brain Injury Private Members’ Bill is calling for”.

“It has been a real collective effort from charities including The Child Brain Injury Trust, The Children’s Trust, The Disabilities Trust and Headway, supporters, service users and MPs”.

Weston Day Trip 2021

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Christmas 2021

With the Help from volunteers, and staff coming in early in the mornings to prep the veg and help serve the lunches, we had five days of ensuring every one of our clients had the opportunity of a three course Christmas feast and with a small gift for everyone.

Headway Worcestershire Christmas Tree 2021, displayed in Worcester Cathedral Cloisters.

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Headway Worcestershire Activities

FORTHCOMING OUTSIDE TUTOR ACTIVITIES

Thursday 24th February 10 am- Sally Ludlow (pictured above) will run week 1 of her Acquired Brain Injury Educational sessions. These will run every Thursday morning for 6 consecutive weeks, and we strongly recommend anyone who missed the previous course to join us. You won’t be disappointed.

Thursday 24th February- lpm Woodwork with Russ, Worcester.

Friday 25th February- 10am Pottery with Maria, Worcester.

Monday 28th February & Tuesday 1st March- Art with Linda, Worcester. Mondays 10am- 12 noon, Tuesdays full day.

Monday 28th February- lpm Woodwork with Russ Worcester. Wednesday 2nd March - 10am- 11.30am Wellbeing with Emma, Worcester.

Tuesday 8th March- 1 - 2.30pm Singing with Carol, Worcester.

2022·WORCESTER GARDEN UPDATE

Slowly but surely winter is receding, which means it is now time to think about spending more time in our lovely garden.

We now have a brand-new greenhouse which is housing not only newly planted seeds, but a wormery which we will use to make compost and "worm beer".

We will also create a wilder section of the garden and install a number of bird boxes and bug/insect hotels.

Kidderminster will also revisit their allotment, so hopefully we will share photos from their harvest later in the year.

The picture below sees Graham inspecting our newly built greenhouse

Finally, the picture on the left was taken a couple of weeks ago. Kevin, Paul, Peter & Rob are enjoying our new woodwork sessions, run by the excellent Russ. These are held in Worcester every Monday and Thursday afternoon, with an additional session planned for Kidderminster on Thursday mornings.

If you have any suggestions for activities or potential speakers, please drop me a line at [e-mail]

Our March activities update with outside tutor activities, Worcester Garden update and more!

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Some wonderful Easter works of art created by our talented clients.

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Our new wooden safe greenhouse was kindly erected by David Noke, who volunteered for the task. It was funded, as part of our wish list, by the Medical Accident Group who are part of Harrison Clark Rickerbys Ltd

Beautiful artwork now adorns the Workshop walls.

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT)

FOR THE YEAR ENDED 31 MARCH 2022

Our very own Peter and Richard are soon to be famous for appearing in the Headway News magazine for Spring 2022

Eastnor Mud Bath October 2021

Mandie Fitzgerald CEO, her son Josh and daughter in law Lucy took part in the Relish Running Races Eastnor Mud Bath to raise funds for our charity.

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

The introduction of a new VR System

The Virtual Reality system was custom made for our clients with footage of local and international points of interest, enabling them to travel locally and the worldwide from the comfort and security of our Wellbeing Centre.

This year we have asked every client for one wish they would like to do. The VR system was uploaded with some of these wishes such as, swimming with sharks, a flight in a hot air balloon, a visit to Portugal, Disneyland Paris and Formula One motor racing.

Another benefit of this is for individual wellbeing through mindfulness, seeing the ocean, the Northern Lights, and the beautiful countryside, these all have a calming therapeutic effect on the senses.

We are so excited about the opportunities and benefits this system has brought to our clients.

Hats for Headway Worcestershire 2021

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT)

FOR THE YEAR ENDED 31 MARCH 2022

The Volunteers Afternoon Tea Party 2021

Volunteers are vital to the work of Headway Worcestershire. A time to say thanks! Volunteers' Week is an annual celebration of the contribution millions of people make across the UK through volunteering.

Our website headwayworcestershire.org.uk is being updated with portraits of our Trustees painted by clients and given as a gift for all their dedication to our special charity. Our Trustees are so important to us, and we would like to extend a huge thank you for their time, support, and guidance.

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT)

FOR THE YEAR ENDED 31 MARCH 2022

Deb Grant walked to fundraise for us as a way of giving back to Headway Worcestershire. We supported and guided Deb through rehabilitation, to rediscover her new self with the understanding and care that we provide. We have continued to be hugely valuable to Deb.

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..

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

For further Information about brain InJury or to access support:

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Treasurers & Interim Chair Report 2021/22

Paul Valentine (Interim Chair & Treasurer)

Welcome to our Chairman (Interim) and Treasurers Report for 2021/22.

Headway Worcestershire is a registered charity, and we work for the benefit of clients with Acquired Brain Injuries (ABI) and their families throughout Worcestershire.

We exist to provide resources and facilities to meet the needs individuals within the community which have or are experiencing an ABI. The overall mission of the charity continues to promote understanding of all aspects of brain injury and provide information, support and services to survivors, their families, and carers. In addition, Headway campaigns to reduce the incidence of brain injury.

Following the successful adaption of operations throughout the pandemic, the charity was able to redeploy services as the country came out of lockdown in April 2021. This planning enabled resources to be available was again as clients returned to the Day Centre.

Due to the careful financial planning of the senior management team, whilst income has reduced by 15% mainly due to the significant contribution the previous year by the Big Lottery Fund [£126,742] reserves have reduced modestly by 5.15% compared to last year.

On behalf of Headway Worcestershire, we would like to thank and continue to promote the awareness of the Big Lottery Fund. The Big Lottery Fund has aided this financial year totalling £23,376 through the various campaigns the charity has applied for.

Additionally, we would also like to thank the many varied valued donations received from organisations including the following.

Laslett's Charities, Eveson Charitable Trust Worcester Community Foundation COVID-19 Bromsgrove District Ward Councillor COVID-19 Recovery Medical Accident Group Wish List Councillor Matthew Jenkins Bromsgrove Social Prescribing Community Satellite WCC Winter payment National Lottery - Big Lottery Funding Additionally, the Foresters for providing £4,000 in grants and volunteering

The following provides an overview of the charities current financial position

Total Income

2020/2021 - £964,500 2021/2022 - £819,833

Reduction of £144,667 (15%)

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Total Expenditure

2020/2021 - £795,300 2021/2022 - £873,569 Increase of £78,269 (10 %)

Fundraising

2020/2021 - £161,174 (£126,742 attributable to the Big Lottery Fund) 2021/2022 - £50,771 (£23,376 attributable to the Big Lottery Fund) Reduction of £110,403 (217.45%)

Debtors

2020/2021 - £46,885 2021/2022 - £50,611 Increase of £3,726 (7.9%)

Creditors

2020/2021 - £49,235 2021/2022 - £70,870 Increase of £21,635 (49.94%)

Cash at Bank/investments

2020/2021 - £788,663 2021/2022 - £752,385 Reduction of £36,278 (4.5%)

Level of Reserves

Total Reserves £988,023 (£1,041,759 in 2021) Restricted Funding £12,437 (£31,815 in 2021) Designated £279,825 (£131,701 in 2021) Unrestricted £695,761 (£878,243 in 2021) Tangible Fixed Assets £265,897 (£275,446 in 2021)

This is my fourth report as the Treasurer of Headway Worcestershire, and I would like to thank the continued hard work by everyone involved within the charity whether they represent the charity on a full, part-time, or volunteer basis. The hard work and dedication by everyone including admin, management, support workers, shop employees and volunteers during a period of recovery has been exemplary and ensured the charity to continues to provide the high level of care expected by its clients, families and the Charities Commission.

It has been a pleasure to be involved with the charity and experience the development over the year. This year we have introduced new trustees to the Board with three new trustees joining the team within the last twelve months. Additionally, it has also been a very sombre time too with the passing in November of the former Chair of Trustees Malcolm Scott who had previously dedicated over 18 years of his life to the charity. Malcolm will be greatly missed for his wise, selfless, and compassionate outlook, his ability to bring people together and steer them towards a common goal. Malcolm was also admired by many and especially me for his no nonsense ‘let’s push-on’ approach. Rest easy Malcolm and thank you from the Board both past and present.

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

The trustees and management team have some exciting plans for the next few years which will be steered by the CEO Mandie Fitzgerald and her management team. These plans some of which will be very significant for the charity will I'm confident ensure the future for the charity for the next generation.

On behalf of the Board we will continue to support these plans and make them a reality.

Paul Valentine (Interim Chair & Treasurer)

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Outlook for 2022/2023

With the effects of the pandemic still being felt within our Worcestershire community and worldwide an extended period of instability and insecurity was felt by many during 2021/2022. The Headway Worcestershire team as well as clients found it a challenging year with COVID affecting our staff and clients.

This did and does not mean we were not working towards our goals and aspirations for the coming year. Though it was a case of a very flexible work approach at this time all members of the team pulled together to ensure the best delivery of service to our ABI Community and always ensured their health and wellbeing.

Our long awaited rescheduled five-day Blackpool holiday has been booked for May 2023. The staff and clients are very excited for this holiday after the long period of lockdown.

We will in the coming year continue to use Zoom and improve on IT skills within our Wellbeing Centres. Keeping those learnt skills active and look at ways to enhance each and everyone’s skill base within our client sector.

Safeguarding procedures will still be in place with PPE being worn and temperature checks being taken on entry to our Wellbeing Centres, to help protect our clients and staff.

As we move into our next financial year the current economic climate is looking uncertain with the cost of living predicted to escalate. This will have financial implications on the charity and the community support and fundraising activities will be affected by reduced disposable income.

Our ABI community already dealing with the effects of an acquired brain injury as well as comprehending inflated cost of living expenditure. Our Outreach Team work tirelessly to ensure that our clients are helped and supported with their benefits claim processes, which can be complex and take time causing anxieties and financial hardships. We have ensured the last three years that we have a Wellbeing fund to support individuals in a crisis. We are predicting that there will be more demand on this small grant system for basic necessities.

Training our Headway Team will be high up on our priority as we have introduced an online programme of training modules to help with the flexibility of training schedules, ensuring our compliancy.

We will be looking at the younger sector 18-35-year adults who have survived an acquired brain injury and where they are going for advice and care as our average age is around 55 years. We are aware there are a number of young adults, who are not receiving the support they need as a young adult with an ABI. This will be one of our focuses over the next year to find ways to engage and discover this specific sector.

Reviewing the need and cost implications of a Headway Worcestershire transport vehicle and the benefits this will have on our service delivery to our client base. The leasing option currently is looking more favourable.

Headway Worcestershire is currently made up of three separate buildings and we have as a charity wanted to explore what the alternatives are and the possibility of either moving or redevelopment of our existing site. This will be a long-term project but we feel we want to improve our facilities within the Wellbeing environment as well as access to our local communities.

Level of reserves

During 2014/2015 in response to the Charity Commission’s first “Statement of Recommended Practice”, the Trustees decided to confirm a prudent level of reserves as being “between three months and six months” typical expenditure.

Total reserves stand at £988,023 (2021 - £1,041,759) of which £12,437 (2021 - £31,815) is restricted funding, £279,825 (2021 - £131,701) has been designated for specific use, and £695,761 (2021 - £878,243) unrestricted which after allowing for the tangible fixed assets of the organisation of £265,897 (2021 - £275,446) leaves £429,864 (2021 - £602,797) available for general use. This level of "free" reserves represents 6 months typical expenditure.

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Investment powers, policies and procedures

Under the Memorandum and Articles of Association the Charitable Company has the power to invest in any way the Trustees wish. Having regard for the liquidity requirements of operating the Charitable Company and its reserves policy, the Trustees have maintained funds in interest bearing accounts.

Risk Management

The Trustees have considered risks and risk management throughout the year as part of the business of the full Board and sub-committee monthly meetings.

The principal area for attention remains the potential reduction in the level of external funding of the Charity services.

The Board of Trustees have identified the following key areas of risk to the charity. Actions to mitigate against these risks are also detailed:

Risk: The COVID-19 pandemic has impacted on Headway Worcestershire in terms of, workload, sickness, recruitment, donations, income and new ways of operating. The Board of Trustees have identified the principal area for attention remains the extended period of instability inspired by the pandemic.

Risk: Cuts or withdrawal of local authority funding for day services for people with disabilities given that this represents a significant proportion of the charity's income.

Risk: Use of reserves to support service delivery where contracts and grants are either reduced or withdrawn.

Mitigation: The position with regards to reserves remained positive during 2021/22 and it is the Board advice not to undertake any projects involving substantial capital expenditure unless additional resources can be secured to support any proposed new project or Trustees approve capital use.

Risk: That the charity fails to meet its regulatory or contractual obligations (as set out by funding authorities and monitoring bodies including the Care Quality Commission, Worcester Council and the NHS) resulting in a loss of income and / or reputational damage.

Mitigation: The Senior Management Team are suitably qualified and experienced to ensure that services deliver to contract and meet regulatory requirements. Compliance is also monitored on a quarterly basis by Trustees through the Board

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Structure, governance and management

Governing Documents

The objects, activities and administration of the Charitable Company are set out in the revised Memorandum and the Articles of Association of Headway Worcestershire at a special general meeting on 21st June 2019.

Registration

The Company was first registered on 16th November 1989, in a Memorandum and Articles of Association, as “a Company Limited by Guarantee and not having a Share Capital”. The revised Memorandum and Articles of Association adopted at the Special General Meeting on 21st June, 2019 was registered with Companies’ House subsequently.

The Trust was registered with the Charity Commission on 30th January, 1990, as a Charitable Trust.

Trustees

The Trustees, who are also the directors for the purpose of company law, and who served during the year were: Thomas Naughton (Resigned 23 September 2021)

Paul Valentine Charlotte Jinks (Resigned 6 September 2021) Leo Tarrant Malcolm Scott (Resigned 23 August 2021) Mark Green (Resigned 27 September 2021) Veronica Green (Resigned 28 September 2021) Ian Balfour (Appointed 29 November 2021) Bella Noke (Appointed 20 December 2021) Helen Moore (Appointed 20 December 2021) Allison Hollis (Appointed 24 October 2022)

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Election of the Board of Directors/Trustees

The Trustees are elected at General Meetings. One third of its membership retires each year but may be reappointed.

The President is entitled to attend the Trustees meetings but not vote.

The Management Team of Headway Worcestershire also attends meetings but may not vote.

The Board of Trustees appoints its chairman, company secretary and treasurer.

The Board approves the Annual Accounts and appoints auditors.

The Board has the power to co-opt new trustees during the year to fill vacancies.

There being no sub committees, all the business of the Charitable Company is conducted by the main trustee body.

The Directors / Trustees, in line with best practice have people who experienced a brain injury serving on the Board. One person on the Board of Directors / Trustees receives support and occupies accommodation on the same basis as any other member of that client group.

Directors/Trustees Interests

None of the Directors/Trustees have any financial interests to declare, no interests in any of Headway's contracts and have claimed no expenses or remuneration.

The liability of members is limited by guarantee of each member to contribute such amount as may be required (not exceeding £1.00) to the Charity’s assets if it should be wound up while he or she is a member or within one year after he or she ceases to be a member, for payment of the Charity’s debts and liabilities contracted before he or she ceases to be a member, and of the costs, charges and expenses of winding up, and for the adjustment of the rights of the contributories among themselves.

Publicity

The Directors / Trustees issue newsletters and secure the publication of feature articles in the local press, generally promoting our work, campaigning on safety issues and seeking donations and volunteers to help with the activities of the Charitable Company.

Meeting Need

The Charitable Company receives referrals from family members of those with ABI, individuals, health professionals and Worcestershire County Council of people in need of day opportunities, support, rehabilitation, outreach support etc.

Contribution of Volunteers

The Charitable Company has always been fortunate to attract volunteer staff to help with its activities, and three members of staff have shared responsibility for the recruitment, training and support of volunteers. About 20 - 30 volunteers are active at any one time.

General Meetings

The Directors / Trustees may call a general meeting of the Members at any time and such a meeting shall be held in accordance with the Act.

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HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2022

Membership

Any person who is willing to act as Director / Trustee, and who is permitted by law to do so, may be appointed to be a Director / Trustee in accordance with the rules made under Article 14. No person shall be admitted as a member of the Charity unless there application for membership is approved by the Trustees.

Meetings of the Management Committee

The Board meets monthly. The Trustees receive and consider reports from the Chairman, Treasurer, and paid managers including the Chief Executive to whom the Trustees delegate the day to day management of the charity.

Considerable attention is paid to the way individual service users are developing and moving forward. The Committee is also responsible for approving the remuneration structure of the staff having due regard to external factors in setting rates of pay. Minutes are taken and circulated.

Policies

The Directors/Trustees have adopted an Equal Opportunities Policy, a Health and Safety Policy, a Complaints Procedure, a Quality Assurance Statement, a Grievance Procedure and Disciplinary Procedures and Rules for staff and volunteers, to operate in relation to the Charitable Company’s activities. A number of other policies and procedures have been adopted as part of good practice and compliance with the council contracts, headway national standards, CQC registration and good employment practice.

Trustee induction and training

New Trustees are given a copy of the Constitution, last year’s Annual Trustees’ Report and Audited Accounts. New Trustees are also given an individual session by the Chairman and Company Secretary and are also given a copy of the Charity Commission’s publication CC3 “Responsibilities of Charity Trustees.”

Employee involvement

Applications for employment by disabled persons are always fully considered, bearing in mind the aptitudes of the applicant concerned. In the event of members of staff becoming disabled, every effort is made to ensure that their employment within the charity continues and that the appropriate training is arranged. It is the policy of the charity that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.

Disabled persons

The charity's policy is to consult and discuss with employees, through unions, staff councils and at meetings, matters likely to affect employees' interests.

Information of matters of concern to employees is given through information bulletins and reports which seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting the charity's performance.

-23

HEADWAY WORCESTERSHIRE

TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT)

FOR THE YEAR ENDED 31 MARCH 2022

Disclosure of information to auditor

Each of the Trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor are aware of such information.

This report has been prepared taking advantage of the small companies exemption in the Companies Act 2006.

The Trustees' report was approved by the Board of Trustees.

Paul Valentine

Trustee Dated: 30 January 2023

-24

HEADWAY WORCESTERSHIRE

STATEMENT OF TRUSTEES' RESPONSIBILITIES

FOR THE YEAR ENDED 31 MARCH 2022

The Trustees, who are also the directors of Headway Worcestershire for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

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

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the Charities SORP;

• make judgements and estimates that are reasonable and prudent;

• state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.

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

• 25 -

HEADWAY WORCESTERSHIRE

INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF HEADWAY WORCESTERSHIRE

Opinion

We have audited the financial statements of Headway Worcestershire (the ‘charity’) for the year ended 31 March 2022 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

• give a true and fair view of the state of the charitable company's affairs as at 31 March 2022 and of its incoming resources and application of resources, for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

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

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

• the information given in the financial statements is inconsistent in any material respect with the Trustees' report; or

• sufficient accounting records have not been kept; or

• the financial statements are not in agreement with the accounting records; or

• we have not received all the information and explanations we require for our audit.

• 26 -

HEADWAY WORCESTERSHIRE

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF HEADWAY WORCESTERSHIRE

Responsibilities of Trustees

As explained more fully in the statement of Trustees' responsibilities, the Trustees, who are also the directors of the charity for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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

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

Extent to which the audit was considered capable of detecting irregularities including fraud

We gained an understanding of the legal and regulatory framework applicable to the charitable company and the charity sector in which it operates, and considered the risk of acts by the charitable company that were contrary to applicable laws and regulations, including fraud. We designed audit procedures to respond to the risk, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

We focused on laws and regulations which could give rise to a material misstatement in the financial statements, including, but not limited to, the Charities Act 2011 and Companies Act 2006.

Audit response to risks identified

Our tests included agreeing the financial statement disclosures to underlying supporting documentation, analytical review, the relevance and accuracy of accounting estimates, enquiries with management and reviewing meeting minutes of those charged with governance. There are inherent limitations in the audit procedures described above and, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. We did not identify any key audit matters relating to irregularities, including fraud. As in all our audits, we also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the trustees that represent a risk of material misstatements due to fraud.

It should be noted that Auditing standards limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

• 27 -

HEADWAY WORCESTERSHIRE

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF HEADWAY WORCESTERSHIRE

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

David Farebrother BSc(Hons) BFP ACA (Senior Statutory Auditor) for and on behalf of Kendall Wadley LLP

30 January 2023

Chartered Accountants Statutory Auditor

Merevale House 27 Sansome Walk Worcester WR1 1NU

Kendall Wadley LLP is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

• 28 -

HEADWAY WORCESTERSHIRE

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2022

Current financial year Unrestricted Unrestricted Restricted funds funds funds general designated 2022 2022 2022 Notes £ £ £ Income and endowments from: Voluntary income 3 67,157 228 12,471 Income for support of people with brain injury 4 610,655 - 81,446 Charity and book shop income 5 45,749 - - Investments 6 404 - - Other income 7 1,564 159 - Total income 725,529 387 93,917 Expenditure on: Charity and book shop expenditure 8 45,151 - - Support for people with brain injury and other costs. 9 712,636 4,286 111,496 Total expenditure 757,787 4,286 111,496 Net (outgoing)/incoming resources before transfers (32,258) (3,899) (17,579) Gross transfers between funds 15 (150,224) 152,023 (1,799) Net (expenditure)/income for the year/ Net movement in funds (182,482) 148,124 (19,378) Fund balances at 1 April 2021 878,243 131,701 31,815 Fund balances at 31 March 2022 695,761 279,825 12,437	Total 2022 £ 79,856 692,101 45,749 404 1,723 819,833 45,151 828,418 873,569 (53,736) - (53,736) 1,041,759 988,023	Total 2021 £ 62,432 859,912 17,660 20,083 4,413
		964,500
		30,783
		764,517
		795,300
		169,200 -
		169,200 872,559
		1,041,759

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

• 29 -

HEADWAY WORCESTERSHIRE

STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2022

Prior financial year

Unrestricted Unrestricted Restricted funds funds funds general designated 2021 2021 2021 Notes £ £ £ Income and endowments from: Voluntary income 3 31,690 390 30,352 Income for support of people with brain injury 4 681,010 - 178,902 Charity and book shop income 5 17,660 - - Investments 6 20,083 - - Other income 7 4,386 27 - Total income 754,829 417 209,254 Expenditure on: Charity and book shop expenditure 8 30,783 - - Support for people with brain injury and other costs. 9 542,360 1,476 220,681 Total expenditure 573,143 1,476 220,681 Net (outgoing)/incoming resources before transfers 181,686 (1,059) (11,427) Gross transfers between funds 15 (2,065) - 2,065 Net (expenditure)/income for the year/ Net movement in funds 179,621 (1,059) (9,362) Fund balances at 1 April 2020 698,622 132,760 41,177 Fund balances at 31 March 2021 878,243 131,701 31,815	Total 2021 £ 62,432 859,912 17,660 20,083 4,413
	964,500
	30,783
	764,517
	795,300
	169,200 -
	169,200 872,559
	1,041,759

• 30 -

HEADWAY WORCESTERSHIRE

BALANCE SHEET

AS AT 31 MARCH 2022

Notes Fixed assets Tangible assets 16 Current assets Debtors 17 Investments 18 Cash at bank and in hand Creditors: amounts falling due within one year 19 Net current assets Total assets less current liabilities Creditors: amounts falling due after more than one year 20 Net assets Income funds Restricted funds 22 Unrestricted funds - designated 23 Unrestricted funds - general	2022 £ £ 265,897 50,611 83,835 668,550 802,996 (70,870) 732,126 998,023 (10,000) 988,023 12,437 279,825 695,761 988,023	2021 £ £ 275,446 46,885 83,793 704,870 835,548 (49,235) 786,313 1,061,759 (20,000) 1,041,759 31,815 131,701 878,243 1,041,759

• 31 -

HEADWAY WORCESTERSHIRE

BALANCE SHEET (CONTINUED)

AS AT 31 MARCH 2022

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 March 2022, although an audit has been carried out under section 144 of the Charities Act 2011.

The directors acknowledge there responsibilities for ensuring that the charity keeps accounting records which comply with section 386 of the Act and for preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of the financial year and of its incoming resources and application of resources, including its income and expenditure, for the financial year in accordance with the requirements of sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

The members have not required the company to obtain an audit of its financial statements under the requirements of the Companies Act 2006, for the year in question in accordance with section 476.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Trustees on 30 January 2023

Paul Valentine

Trustee Company Registration No. 02443464

• 32 -

HEADWAY WORCESTERSHIRE

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2022

Notes Cash flows from operating activities Cash (absorbed by)/generated from operations 28 Investing activities Purchase of tangible fixed assets Rental income Interest received Net cash generated from investing activities Net cash used in financing activities Net (decrease)/increase in cash and cash equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year	2022 £ - - 404	£ (36,682) 404 - (36,278) 788,663 752,385	2021 £ (2,860) 750 19,333	£ 173,921 17,223 -
				191,144 597,519
				788,663

• 33 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

Charity information

Headway Worcestershire is a private company limited by guarantee incorporated in England and Wales. The registered office is Headway House, The Mill, Gregory's Mill Street, Worcester, WR3 8BA.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's Memorandum and Articles of Association, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102.

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

1.2 Going concern

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

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.

Designated funds comprise funds which have been set aside at the discretion of the Trustees for specific purposes. The purposes and uses of the designated funds are set out in the notes to the financial statements.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

1.4 Incoming resources

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

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

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

Goods donated for resale are low-value in nature and recognised as income to the charity upon sale.

Government grants in connection with Covid-19 support are taken to the Statement of Financial Activities when receivable. For funds received under the Job Retention Scheme and Rates Relief, the income is allocated to the respective activity areas in direct proportion to the staff cost to which the claim relates.

Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods and services provided in the normal course of charitable activities and the operation of charity shops.

• 34 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

(Continued)

1.5 Resources expended

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.

Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

All expenses are prepared on an accruals basis and liabilities are recognised in the period to which they relate. All direct costs associated with the homes and activities run by the charity are shown as direct charitable activities. Costs of generating funds consist of those costs incurred in attracting funding for the charity. Salaries and other office running costs are apportioned between charitable activity support costs and governance costs based on an estimate of staff time attributable to each.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

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

Freehold land and buildings straight line over 50 years Fixtures, fittings & equipment straight line over 3 or 5 years

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

1.7 Impairment of fixed assets

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

1.8 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less.

Cash deposits with a term of between three months and one year are shown as current asset investments.

1.9 Financial instruments

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

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

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

• 35 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

(Continued)

Basic financial assets

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

Basic financial liabilities

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

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

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

Derecognition of financial liabilities

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

1.10 Employee benefits

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

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

1.11 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

2 Critical accounting estimates and judgements

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

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

• 36 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

3 Voluntary income

Unrestricted Unrestricted Restricted funds funds funds general designated £ £ £ Donations and gifts 25,712 228 1,455 Grants received 41,445 - 11,016 67,157 228 12,471 For the year ended 31 March 2021 31,690 390 30,352 Donations and gifts Donations 24,735 228 1,455 Fundraising donations 977 - - 25,712 228 1,455 Grants receivable for core activities Laslett's Charities - - 3,000 Eveson Charitable Trust 20,000 - - Worcester Community Foundation COVID-19 - - - Bromsgrove District 4,539 - - Ward Councillor COVID-19 Recovery 1,000 - - Medical Accident Group Wish List - - 3,000 Councillor Matthew Jenkins - - 1,788 Bromsgrove Social Prescribing Community Satelite - - 3,228 WCC Winter payment 15,906 - - 41,445 - 11,016	Total 2022 £ 27,395 52,461 79,856 26,418 977 27,395 3,000 20,000 - 4,539 1,000 3,000 1,788 3,228 15,906 52,461	Total 2021 £ 34,432 28,000
		62,432
		62,432
		31,935 2,497
		34,432
		3,000 20,000 5,000 - - - - - -
		28,000

• 37 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

4 Income for support of people with brain injury

Income from supporting people with brain injury Worcester county council business rate relief Coronavirus job retention scheme Analysis by fund Unrestricted funds - general Restricted funds For the year ended 31 March 2021 Unrestricted funds - general Restricted funds Included within income from supporting people with brain injury are the following: NHS grant income Local Authority day facility centre income Individual day facility centre income Worcester County Council - Infection Control funding Local Authority support of individuals funding Individual outreach support Big Lottery funding Big Lottery resilience funding Big Lottery counselling, assistance and guidance funding Housing Management Services	2022 £ 689,970 - 2,131 692,101 610,655 81,446 692,101 69,488 69,175 55,570 58,070 275,577 122,249 23,376 - - 16,465 689,970	2021 £ 762,631 39,500 57,781
		859,912
		681,010 178,902
		859,912
		69,349 79,926 38,598 52,160 270,735 109,891 46,752 69,990 10,000 15,230
		762,631

• 38 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

5 Charity and book shop income

	Unrestricted	Unrestricted
	funds	funds
	general	general
	2022	2021
	£	£
Charity and book shop sales	45,749	17,660

6 Investments

Rental income Interest receivable Other income Unrestricted Unrestricted funds funds general designated 2022 2022 £ £ Other income 1,564 159 Charity and book shop expenditure Trading costs Other trading activities Staff costs Support costs (See note 10) Trading costs	Unrestricted Unrestricted funds funds general general 2022 2021 £ £ - 750 404 19,333 404 20,083 Total Unrestricted Unrestricted Total funds funds general designated 2022 2021 2021 2021 £ £ £ £ 1,723 4,386 27 4,413 2022 2021 £ £ - 38 26,509 19,284 18,642 11,461 45,151 30,783	Unrestricted Unrestricted funds funds general general 2022 2021 £ £ - 750 404 19,333 404 20,083 Total Unrestricted Unrestricted Total funds funds general designated 2022 2021 2021 2021 £ £ £ £ 1,723 4,386 27 4,413 2022 2021 £ £ - 38 26,509 19,284 18,642 11,461 45,151 30,783
		20,083
		Total 2021 £ 4,413
		2021 £ 38 19,284 11,461
		30,783

7 Other income

8 Charity and book shop expenditure

Included in support costs is property costs of £17,324 (2021: £10,257), office costs of £397 (2021: £36), sundry expenses of £21 (2021: £662) and bank charges of £900 (2021: £506).

• 39 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

9 Support for people with brain injury and other costs.

Staff costs Depreciation and impairment Day facility centre food and welfare costs Travel expenses Staff training costs Share of support costs (see note 10) Share of governance costs (see note 10) Analysis by fund Unrestricted funds - general Unrestricted funds - designated Restricted funds	2022 £ 534,580 9,549 29,702 10,810 3,442 588,083 225,742 14,593 828,418 712,636 4,286 111,496 828,418	2021 £ 455,672 10,072 22,984 7,096 8,630
		504,454 247,811 12,252
		764,517
		542,360 1,476 220,681
		764,517

• 40 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

10 Support costs

Staff costs Postage, stationery and sundry office costs Advertising and publications Rent and rates Telephone Bank charges/loan interest Repairs and renewals CM 2000 Insurance Heat and light Audit fees Legal and professional Analysed between Trading Charitable activities	Support costs Governance costs £ £ 113,014 - 14,878 - 2,656 - 20,479 - 4,364 - 2,422 - 19,610 - 48,686 - 9,368 - 8,907 - - 6,803 - 7,790 244,384 14,593 18,642 - 225,742 14,593 244,384 14,593	2022 £ 113,014 14,878 2,656 20,479 4,364 2,422 19,610 48,686 9,368 8,907 6,803 7,790 258,977 18,642 240,335 258,977	2021 Basis of allocation £ 135,493 By activity 17,636 " " 1,709 " " 20,837 " " 4,928 " " 1,539 " " 14,372 " " 46,877 " " 7,156 " " 8,725 " " 6,288 Governance 5,964 Governance 271,524 11,461 260,063 271,524

11 Auditor's remuneration

Fees payable to the auditors:	2022	2021
	£	£
Audit of the annual accounts	6,803	6,288

12 Trustees

None of the Trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.

Client group representatives on the board of Trustees may be receiving support and occupying accommodation where the charity has a management agreement with a housing association. Where this is the case it is on the same basis as any other member of that client group.

• 41 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

13 Employees

Number of employees

The average monthly number of employees during the year was:

Outreach staff Day facility staff Head office staff Charity and book shop staff Employment costs Wages and salaries Social security costs Other pension costs	2022 Number 29 9 4 2 44 2022 £ 624,414 35,398 14,291 674,103	2021 Number 26 10 7 2
		45
		2021 £ 568,423 27,805 14,221
		610,449

No account is taken in the Charitable Company's expenditure of any amount which would recognise the extensive services provided free of charge. The Board therefore wishes to express its gratitude for both the time and energy of its volunteer members during the year.

The full time equivalents for Outreach staff are 21 (2021: 19), Day facility staff are 4 (2021: 4), Head office staff are 3 (2021: 5), and Charity and book shop staff are 1 (2021: 1).

During the year redundancy payments of £16,241 (2021: £12,421) were made.

There were no employees whose annual remuneration was £60,000 or more.

14 Taxation

There is no corporation taxation arising on the activities of the year as a result of the Charitable Company being a registered charity.

15 Transfers

A transfer of £2,023 has been made from restricted funds to designated funds to cover the deficit arising on Worcester Days Opps Fundraising.

A transfer of £224 has been made from unrestricted funds to restricted funds to cover the deficits arising on the various funds as detailed in Note 22.

A transfer of £150,000 has been made from unrestricted funds to designated funds for the new property redevelopment fund as detailed in Note 22.

In the prior year, a transfer of £2,065 has been made from unrestricted funds to restricted funds to cover the deficits arising on the various funds as detailed in Note 22.

• 42 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

16 Tangible fixed assets Freehold land and buildings Fixtures, fittings & equipment £ £ Cost At 1 April 2021 363,352 41,257 At 31 March 2022 363,352 41,257 Depreciation and impairment At 1 April 2021 95,320 33,843 Depreciation charged in the year 7,267 2,282 At 31 March 2022 102,587 36,125 Carrying amount At 31 March 2022 260,765 5,132 At 31 March 2021 268,032 7,414	Total £ 404,609
	404,609
	129,163 9,549
	138,712
	265,897
	275,446

In the opinion of the Trustees, there is no significant difference between the market value and the amount of the freehold property held. 17 Debtors 2022 Amounts falling due within one year: £ Trade debtors 34,704 Prepayments and accrued income 15,907 50,611 18 Current asset investments 2022 £ Cash equivalents on deposit 83,835	carrying 2021 £ 32,692 14,193
	46,885
	2021 £ 83,793

• 43 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

19 Creditors: amounts falling due within one year

Loans and overdrafts 21 Other taxation and social security Deferred income Trade creditors Other creditors Accruals 20 Creditors: amounts falling due after more than one year Other loans 21 Loans and overdrafts Other loans Payable within one year Payable after one year	2022 £ 20,000 8,195 13,528 8,835 7,997 12,315 70,870 2022 £ 10,000 2022 £ 30,000 20,000 10,000	2021 £ 10,000 1,140 11,443 8,435 6,699 11,518
		49,235
		2021 £ 20,000
		2021 £ 30,000
		10,000 20,000

Other loans consists of an interest-free loan from Worcestershire County Council and is repayable over 3 years.

• 44 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

22 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

		Movement in funds	Movement in funds			Movement in funds	Movement in funds
	Balance at	Incoming	Resources	Transfers	Balance at	Incoming	Resources	Transfers	Balance at
1 April 2020		resources	expended	1 April 2021		resources	expended		31 March
	£	£	£	£	£	£	£	£	2022 £
Eveson Charitable Trust - Fund 1	4,506	-	(4,506)	-	-	-	-	-	-
Eveson Charitable Trust - Fund 2	15,563	-	(15,827)	264	-	-	-	-	-
Tesco Bags of Help Fund	980	-	(980)	-	-	-	-	-	-
HSBC Improvements (Worcester Day)	402	-	(402)	-	-	-	-	-	-
HSBC Improvements (North Worcester Day)	717	-	(720)	3	-	-	-	-	-
Lunch Fund	1,111	-	-	-	1,111	-	-	-	1,111
Michael Auty	200	-	-	-	200	-	-	-	200
Lasletts Home Welfare Grant Fund	2,150	-	(244)	-	1,906	-	-	-	1,906
Big Lottery Fund	8,007	46,752	(44,746)	-	10,013	23,376	(33,389)	-	-
Well Being Service Fund	7,541	2,382	(5,597)	-	4,326	-	(304)	(2,023)	1,999
Worcester Community Foundation COVID 19
Support Fund	-	5,000	(6,590)	1,590	-	-	-	-	-
Eveson Charitable Trust Occupatuonal
Therapist Fund	-	20,000	(5,741)	-	14,259	-	(13,056)	-	1,203
Screwfix Repairs Donation	-	2,500	(2,500)	-	-	-	-	-	-
Balance carried forward	41,177	76,634	(87,853)	1,857	31,815	23,376	(46,749)	(2,023)	6,419

• 45 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

22 Restricted funds

(Continued)

Balance at 1 April 2020 r £ Balance brought forward 41,177 Big Lottery Resilience Funding - Big Lottery Counselling, Assistance and Guidance Function Funding - Bromsgrove District Council Grant - Worcester County Council (W.C.C) Infection Control Grant - Medical Accident Group Wish List - Neil Sparey - HCR - Medical Accident Group Lease for Vehicle - Lasletts Lunch Club - Councillor Matt Jenkins - Bransford Trust Christmas Lunch - Worcestershire COVID-19 Response Appeal Fund - Bromsgrove Social Prescribing Community Satelite Fund - David Thorpe - 41,177	Movement in funds Incoming esources Resources expended £ £ 76,634 (87,853) 69,990 (69,990) 10,000 (10,208) 470 (470) 52,160 (52,160) - - - - - - - - - - - - - - - - - - 209,254 (220,681)	Transfers Balance at 1 April 2021 r £ £ 1,857 31,815 - - 208 - - - - - - - - - - - - - - - - - - - - - - - 2,065 31,815	Movement in funds Incoming esources Resources expended £ £ 23,376 (46,749) - - - - - - 55,620 (55,620) 1,000 (1,000) 355 (355) 2,000 - 3,000 - 1,788 (864) 1,000 (1,033) 2,450 (2,356) 3,228 (3,419) 100 (100) 93,917 (111,496)	Transfers Balance at 31 March 2022 £ £ (2,023) 6,419 - - - - - - - - - - - - - 2,000 - 3,000 - 924 33 - - 94 191 - - - (1,799) 12,437	Transfers Balance at 31 March 2022 £ £ (2,023) 6,419 - - - - - - - - - - - - - 2,000 - 3,000 - 924 33 - - 94 191 - - - (1,799) 12,437
					12,437

• 46 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

22 Restricted funds

(Continued)

Eveson Charitable Trust Fund 1 - represents funding for a full time wellbeing support worker.

Eveson Charitable Trust Fund 2 - represents funding for necessary restructuring employment costs.

Tesco Bags of Help Fund - represents funding for the garden projects.

HSBC Improvements - represents monies received for improvements to the Day Centres.

Lunch Fund - represents monies received for outreach clients lunches.

Michael Auty - represents monies received towards outings for the Worcester Day Services.

Lasletts Home Welfare Grant Fund - represents monies received towards Worcestershire clients moving house or essential items for their homes.

Big Lottery Fund - the lottery funding will be used to widen the understanding of Headway Worcestershire Services, reach more survivors and families through their journey's. The development of the link service will ensure information, support, advice and signposting is available throughout the recovery of their ABI.

Well Being Service Fund - represents monies received towards the Well Being Service.

Worcester Community Foundation COVID 19 Support Fund - represents monies received towards remote support for clients through technology.

Eveson Charitable Trust - Occupational Therapist Fund - represents monies received towards occupational therapist.

Screwfix Repairs Donation - represents monies received towards improvements to the building facilities.

Big Lottery Resilience Funding - represents monies received towards supporting the charity through the pandemic.

Big Lottery Counselling, Assistance and Guidance Function funding - represents monies received towards supporting the mental health of the clients during the pandemic.

Bromsgrove District Council Grant - represents monies received towards communication with the clients.

Worcester County Council Infection Control Grant - represents monies received towards providing a safe and protective environment for the clients and staff members.

• 47 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

22 Restricted funds

(Continued)

Medical Accident Group Wish List - represents monies received for wooden greenhouse, greenhouse potting bench, sky light sensory room and bluetooth projector Neil Sparey - represents monies received for activities within the Wellbeing services.

HCR - Medical Accident Group Lease for Vehicle - represents monies received to support the leasing of a transport vehicle for the Wellbeing and Outreach Services.

Lasletts Lunch Club - represents monies received for the winter and spring 2022 project to combat loneliness within the community and create sociability among the client group, by ensuring they have a good two course lunch and enjoy other peoples company and friendship.

Councillor Matt Jenkins - represents monies received to support the Virtual Reality system being custom made for our clients with footage of local and international points of interest, enabling them to travel locally and the world from the comfort and security of our Wellbeing Centre

Bransford Trust Christmas Lunch - represents monies received for ensuring all of our clients have a Christmas Lunch with fun activities and a small gift as it is often their only Christmas celebration.

Worcestershire COVID-19 Response Appeal Fund - represents monies received for communities to open up and we are able to access places of interest and enable our clients to feel connected to our community.

Bromsgrove Social Prescribing Community Satellite Fund - represents monies received for running the Satellite Support Network scheme from The Wendron Centre Bromsgrove and making our service accessible for those living in Redditch.

David Thorpe - represents monies received for new cues for the pool table.

• 48 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

23 Unrestricted funds - designated

These are unrestricted funds which are material to the charity's activities made up as follows:

Balance at 1 April 2020 r £ Chalet 50,000 Legacy 75,000 Worcester Day operations and fundraising 2,965 North Worcester Day operations and fundraising 4,795 Property redevelopment - 132,760	Movement in funds Incoming esources Resources expended £ £ - - - - 180 (1,384) 237 (92) - - 417 (1,476)	Transfers Balance at 1 April 2021 r £ £ - 50,000 - 75,000 - 1,761 - 4,940 - - - 131,701	Movement in funds Incoming esources Resources expended £ £ - - - - 68 (3,852) 319 (434) - - 387 (4,286)	Transfers Balance at 31 March 2022 £ £ (50,000) - (75,000) - 2,023 - - 4,825 275,000 275,000 152,023 279,825	Transfers Balance at 31 March 2022 £ £ (50,000) - (75,000) - 2,023 - - 4,825 275,000 275,000 152,023 279,825
					279,825

Chalet - funds set aside from the disposal of a chalet used to provide a "holiday" facility for sufferers of ABI to provide a replacement asset. The Trustees have transferred these funds to the property redevelopment fund as this is will be more beneficial for the Charity.

Legacy - funds received from a generous legacy set aside to assist in the acquisition of the replacement "holiday" facility. The Trustees have transferred these funds to the property redevelopment fund as this is will be more beneficial for the Charity.

Day operations fundraising fund - represents monies set aside for specific activities, materials and equipment related to the service users.

Property redevelopment - funds have been transferred from the Chalet and Legacy funds along with a transfer from unrestricted funds to be set aside for the redevelopment of the Headway House at The Mill, Gregory Mill Street.

• 49 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

24 Analysis of net assets between funds Unrestricted funds Designated funds Restricted funds 2022 2022 2022 £ £ £ Fund balances at 31 March 2022 are represented by: Tangible assets 265,897 - - Current assets/(liabilities) 439,864 279,825 12,437 Long term liabilities (10,000) - - 695,761 279,825 12,437	Total Unrestricted funds Designated funds 2022 2021 2021 £ £ £ 265,897 275,446 - 732,126 622,797 131,701 (10,000) (20,000) - 988,023 878,243 131,701	Restricted funds 2021 £ - 31,815 - 31,815	Total 2021 £ 275,446 786,313 (20,000) 1,041,759

• 50 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

25 Retirement benefit schemes

Defined contribution schemes

The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.

The charge to the statement of financial activities in respect of defined contribution schemes was £14,291 (2021: £14,221).

26 Operating lease commitments

At the reporting end date the charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Within one year Between two and five years	2022 £ 19,170 24,900 44,070	2021 £ 16,960 26,827
		43,787

The operating leases represent leases for property rental. The leases are negotiated over terms of 1 to 6 years and rentals are fixed for 1 to 6 years. There are no options in place for either party to extend the lease terms. The amounts charged to the Statement of Financial Activities during the year in respect of these leases was £17,131 (2021: £16,963).

27 Related party transactions

There were no disclosable related party transactions during the year (2021 - none).

Remuneration of key management personnel

The remuneration of key management personnel is as follows.

	2022	2021
	£	£
Aggregate compensation	109,221	128,718

• 51 -

HEADWAY WORCESTERSHIRE

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

28	Cash generated from operations		2022	2021
			£	£
	(Deficit)/surpus for the year		(53,736)	169,200
	Adjustments for:
	Investment income recognised in profit or loss		(404)	(20,083)
	Depreciation and impairment of tangible fixed assets		9,549	10,072
	Movements in working capital:
	(Increase)/decrease in debtors		(3,726)	32,843
	Increase/(decrease) in creditors		9,550	(20,271)
	Increase in deferred income		2,085	2,160
	Cash (absorbed by)/generated from operations		(36,682)	173,921
29	Analysis of changes in net funds
		At 1 April 2021	Cash flowsAt 31 March 2022
		£	£	£
	Cash at bank and in hand	704,870	(36,320)	668,550
	Loans falling due within one year	(10,000)	(10,000)	(20,000)
	Loans falling due after more than one year	(20,000)	10,000	(10,000)
		674,870	(36,320)	638,550

• 52 -