Company No: 02486564 People in Action REPORT AND CONSOLIDATED FINANCIAL STATEMENTS For the year ended 31 March 2025 Muras Baker Jones Limited Chartered Accountants Wolverhampton
People in Action INDEX For the year ended 31 March 2025 PAGE Report of the Directors (including Strategic report) Report of the Auditors Consolidated Statement of Financial Activities io- li Consolidated Statement of Financial Position 12 Charitable Company Statement of Financial Position 13 Consolidated Statement of Cash Flows 14 Notes to the Financial Statements 15-29
People in Action REPORT OF THE DIRECTORS The trustees are pleased to present their annual directors, report together with the consolidated financial statements of the charity and its subsidiaries for the year ended 31 March 2025 which are also prepared to meet the requirements for a directors, report and accounts for Companies Act purposes. The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, 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). REFERENCE AND ADMINISTRATIVE DETAILS Charity name: People in Action Charity number: 702885 Company number: 2486564 Principal Office: St David's Way Bermuda Park Nuneaton CVIO 7SD DIRECTORS AND TRUSTEES The company is a registered charity and the directors are its trustees for the purpose of charity law and throughout this report are collectively referred to as the Directors. The Directors set out below have held office during the whole of the period from l April 2025 to the date of this Report unless otherwise stated. Mr J IV Hunt Ms S J Morris Ms L A Bonnar MrMJCox EXECUTIVE TEAM D Sumner & R Odedra SENIOR MANAGEMENT TEAM C Hardy, C Robbins, A Marchewka, D Page & K Randle AUDITORS: Muras Baker lones Limited Regent House Bath Avenue Wolverhampton WVI 4EG BANKERS: Barclays Bank PLC POBoxNo2 25 High Street Coventry CVI 5QZ
People in Action REPORT OF THE DIRECTORS continued STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document People in Action is a company incorporated in England: limited by guarantee, governed by its Memorandum and Articles of Association dated 29 March 1990 as amended 26 July 2004. It Ivas registered as a charity with the Charity Commission on 10 May 1990. The company currently has four members who in the event of the company being wound up are required to contribute an amount not exceeding £25. Recruitment and appointment of Trustees and induction and training The directors of the company are also charity trustees for the purposes of charity law and under the company's Articles are known as the Board of Directors (the Board). The Board can during the year appoint a member to fill a vacancy or as an addition (as long as the maximum number of 13 is not exceeded). Any such Board member shall only hold office until the next general meeting, but shall be eligible for re-election. At each Annual General Meeting one third of Board members, or the number nearest to one third, shall be subject to retirement by rotation. A Board member who retires at an Annual General Meeting may, if willing, be re-elected. The minimum number of trustees shall not be less than three. In an effort to maintain a broad mix of skills, the make up of the Board is reviewed at least once a year and individuals will be approached to offer themselves for election or organisations will be asked to consider whether they have an individual who will be willing to do this. When considering appointing trustees, the Board has regard to the requirements for any specialist skills needed. New Board members attend an induction meeting to familiarise themselves with the charity, the legal context within which it operates, and their responsibilities. All Board members are regularly updated with informatior) pertinent to their role as directors and on matters relating to the operation of the charity. Organisation People in Action has four volunteer non-executive trustees/directors, who along with the Senior management (as detailed on page l) are responsible for the overall running of the organisation. This group formulates the policy and direction of the organisation, and are the key managefnent team for the organisation. Three Operation Managers and a Quality and Development Lead are responsible for the implementation of policy development on new servlces and the internal moniloring of current services. Service Managers are directly responsible for managing their Indlvidual services on a day to day basis, Subsidiary companies People in Action Retail Limited continues operating a cafe in Bedworth, providing a hub for the local community along with an on-site garden project. The site opened in 2014, serving vegetarian meals and offering volunteering opportLinities for those involved with the charity.
People in Action REPORT OF THE DIRECTORS continued Employees The skill and commitment of our staff is the bedrock to our services users. Development focuses on training and the achievement of qualifications such as NVQ'S. '1th regard to disables persons, the Charity's policy is to give full and fair consideration to applications for employment by disabled people having regard to their particular aptitudes and abilities. As always, we express our appreciation to all our staff teams and supporters. Investment Policy The company reserves are invested in fixed assets funded by bar)k borrowings. Cash funds to meet day to day expenses are held in UK bank accounts. OBJECTIVES AND ACTIVITIES The objects of the Company are to promote relief for adults with learning disabilities and mental health problems who need additional support. In planning our activities for the year we kept in mind the Charity Commission's guidance on public benefit at our Trustee meeLings. We provide a learning experience for people in a variety of environments. knve can provide residential care which includes accommodation, we operate supporting living services where people can be supported in their own homes and tenancies, we offer a respiLe service where people can take short breaks, as iwell as community and leisure support. We operate two garden projects where individuals can learn horticultural skills, an assessment service, and services for challenging and multiple disabilities. STRATEGIC REPORT ACHIEVEMENTS AND PERFORMANCE People in Action continues to be affected by the political environment, and being almost wholly Council related work has no leverage on the prices that can be achieved, and even less on cost increases imposed such as Minimum Wage, pensions, National Insurance and regulatory cost increases in the year, Review of 2024/25 We would like to begin by expressing our sincere gratitude to all our staff members for their continued dedication and efforts in supporting our customers. Their commitment remains the cornerstone of our success. The financial year 202412025 saw the continuation of our work in improving processes and strengthening compliance across the organisation. Over recent years, we have invested significantly in enhancing our technology infrastructure, and this year our teams have successfully embraced these improvements, particularly through the continued adoption of Microsoft 365. Early discussion5 have also commenced on the full digitalisation of our operations, marking an exciting step forward in our journey toward greater efficiency and innovation. As an organisation, we remain acutely akvare of the gro¥ving threats to IT systems globally. In response, we have achieved Cyber Essentials compliance, reinforcing our commitment to safeguarding data and maintaining robust security standards. Following this milestone, Kve have continued to strengthen our internal systems and processes to ensure resilience and security. The move of our head office to Nuneaton has been a resound',ng success, providing improved facilities for staff, training, and day opportunities. Our training department has made significant progress in expanding its offering and is now approved to deliver Levpl 2 Oliver McGowan Training, a key development Iri supporting best practice and compliance in care.
People in Action REPORT OF THE DIRECTORS continued Our day opportunities services continue to flourish, offering meaningful engagement and support for those who use our services. Additionally, our café and garden projects remain operational and provide valuable community engagemenl, though they can be subject to external retail market pressures. From a care perspective, we are proud that all our services are rated 'Good' by the Care Quality Commission (CQC), with the exception of one service that previously required improvement but has now progressed positively to'Requires Improvement,, reflecting our ongoing focus on quality and continuous improvement. Our governance and compliance frameworks continue to evolve, ensuring that we meet regulatory requirements and uphold best practices. Like many organisations and care providers, we face challenges such as increases in National Insurance contributions and the National Minimum Wage, all against the backdrop of local authority funding cuts. Despite these pressures, we remain committed to delivering high-quality care and maintaining financial sustainability. Exploring all opportunities to grow remains a key priority for our Senior Management Team. Kve are focused on strengthening and building relationships with key stakeholders to ensure long-term sustainability and to create new avenues for collaboration and innovation. Looking ahead, we will continue to prioritise- Digital transformation to slreamline operations and enhance customer experience. Staff development and wellbeing, recognising the vital role our teams play in achieving our mission. Innovation in care delivery, ensuring our services remain responsive to changing needs. Robust financial planning, to navigate economic challenges while safeguarding service quality. Community engagement projects, such as our cafe and garden initiatives, to promote inclusion and wellbeing. Strategic growth and stakeholder er)gagement, to strengthen our position and expand our impact. We thank all our staff teams, customers and stakeholders for their trust and support as we strive to deliver excellence in care and operational performance. FINANCIAL REVIEW Details of the financial position of the Charity are set out in the following accounts which have been prepared in accordance with the Charities SORP (FRS 102). The accounts comply with all the current statutory requirements and with the requirements of the Charity's governing instrument. Results for the year For the year ended 31 March 2025 total incoming group resources amoLbnted to £11,401,381 an increase of 1.60/0 on the previous year. After deducting resources expended of £11,526,722 net outgoing resources amounted to £125,341 (2024 - Net outgoing resources of £144,884). other key performance indicators such as occupancy, staff hours and agency hours are continually monitored. This checks actual/agency hours correlate with contracted hours and total income, to ensure best use of resources. Other key indicators are health and wiell-being indicators and staff retention levels.
People in Action REPORT OF THE DIRECTORS continued People in Action continues to work with vulnerable individuals in a variety of circumstances, from domiciliary support to residential accommodation, day services and work based opportunities in garden centres and our café. We take pride in offering in house training to all current staff and new starters, and we stand apart from the majority of providers in providing our staff with full employment contracts as opposed to zero hour contracts evident elsewhere. We believe in providing a quality service to all customers and our valued staff and will through strategic analysis and initiatives resume our financial security in the near future. Reserves policy Details of General Reserves of the company are shown in Note 19 to the financial statements. The Trustees have examined the requirement for free reserves which are those unrestricted funds not invested in fixed assets, designated for specific purposes or otherwise committed. The directors consider that given the high level of funds invested in fixed assets a policy based on free reserves is not appropriate. It is the policy of the charity to maintain a general fund reserve that equates to ten percent of the previous year's income (£l.I million) to ensure sufficient funds are retained to meet any potential liabilities. Group General Reserves of approximately £4.7 million, excluding revaluations, were held at 31 March 2025. PLANS FOR FUTURE PERIODS Looking ahead, we are exploring opportunities to expand our service provision capacity and to adopt digital solutions that have the potential to improve efficiency and strengthen regulatory adherence. While these plans are still under consideration, such initiatives could help reduce administrative burdens on staff, create additional capacity for growth, and support the delivery of higher-quality services 3Éross the organisation. Previous plans to rebrand and relaunch Content Care have been temporarily paused due to the rapidly evolving local and national care landscape. In the interim, the Executive Team, alongside the rest of the Senior Management team is focusing on strengthening the organisation's internal foundations. Key priorities include the introduction of structured routine maintenance programmes, improved processes, and enhanced compliance measures to ensure long-term sustainability and operational resilience. RISK MANAGEMENT The company carries out an ongoing review of all major potential risks to which it may be exposed. Senior management meet on an eight week basis in order to discuss any matters that arise, along with quarterly Governance meetings open to various levels within the organisation. Financial risks are managed by the preparation of budgets and monthly management accounts, together with appropriate control procedures. Other risks are managed by such procedures as health and safety reviews, customer care and best value reviews. STATEMENT OF DIRECTORS. RESPONSIBILITIES IN RELATION TO FINANCIAL STATEMENTS Charity and Company Law requires the Directors to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity at the end of the financial year and of its surplus or deficit for the financial year. In preparing those Financial Statements the Directors are required to: select suitable accounting policies and then apply them consistently; make sound 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 the company will continue in business;
People in Action REPORT OF THE DIRECTORS continued The Directors are responsible for maintaining proper accounting records which disclose with reasonable accuracy at any time the financial position of the company and which enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In accordance with company law, as the company's directors, we certify that: so far as we are aware, there is no relevant audit information of which the company's auditors are unaware; and as the directors of the company we have taken all the steps that we ought to have taken in order to make ourselves aware of any relevant audit information and to establish that the charity's auditors are aware of that information. TAXATION STATUS In the opinion of the Directors the charity is exempt from taxation in accordance with the provisions of the Income and Corporation Taxes Act 1988. AUDITORS Messrs. Muras Baker Jones Limited have signified their willingness to continue in office and a resolution to re-appoint them as Auditors will be proposed at the forthcoming Annual General Meeting. Approved by the Board on 17 December 2025 and signed on its behalf by- JWHUNT Director
INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF PEOPLE IN ACTION Opinion We have audited the financial statements of People in Action (the 'parent charitable company,) a nd its su bsid iaries (the 'group') for the year ended 31 March 2025 bi'hich comprise Cor,s01idated Statement of Financial Activities (including Consolidated Income and Expenditure Account), the Consolidated and Parent Charitable Company Statement of Financial Position, the Consolidated Cash Flovv Statement and the related notes to the financial statements, including a summary of significant accoun.ing policies. The fiiiancial reporting fra mework that has beeii a ppl led in thei r prepa ration is applicable lavi and United Kingdoni 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 vie¥v of the state of the group's and parent charitable COiT)pany's affair5 as at 3 1 March 2025, and of the group's incoming resources and applicatiors of resources, includin9 its income and expenditure, for- the year then ended. have been properly prepared in accordance lvith UiiiFed Kinadom Generally Accepted Accounting Practice. and have been prepared in accordance with tlie requiretnents of the Companies Act 2006 and the Charities Act 2011. Basis for opinion We conducted our audit in accordance wjith 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 group and parent charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, includ ing the FRC'S Eth ical Standard, and wc have fu Ifilled our other ethical responsibilities in accordance with these requirpments. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusion5 relating to going concern In auditir,g the fiiiancial statemnts, have conclLided that the directors, use of the going concern basis of accou Iiting in the preparation of tlie financial statements is appropriate. Based on the work we liave performed, Ve have not identified any material uiicertainties relating to events or conditrioiis tliat, individually or collftctiijely, may cast significant doubt on the company's ability to Lontinue as a going concern for a period of at least twelve months from when the fip.ancial statements are authorised for issue. Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. Other information The trustees are responsible for the other information. The other information comprises the information includ ed i ri the directors, annual report, other than the financial statements and our auditor's report thereon. Our opinion on the financial statements does not cover tlie other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection With our aLidit of the financial statements, our responsibility is to read the other inforniation and, in doing so, consider whether the other Information is materially inconsistent with the financial statemeiits or our knowledge obtained in the audi; or otherviise appears to be materiall¥ niisstated. If we identify such material inconsistencies or apparent material misstatements, we are required to deterinine whether there is a material misstaterTient in the fi nancial statements or 8 material misstatement of the other information. If, based on the kvork we have performed, we conclude that there is a material misstaFement of this other information, we are required to report that fact. We have nothing to report irk this regard. Opinions on other matters prescribed by the Companies Act 2006 In ou r opinion, based on tlie bvork u ndertakeii iii the COLirse of the audit- the information giveii in the directors report (Inco,-pcrating the strategic report) for the fi nancial yea r for which the fi nancial statements are prep.ared is consistent k'iith the financial statements; and the strategic r&3port and trhe directors, eport have been Phepared In accordanie with applit-.able legal requirements.
INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF PEOPLE IN ACTION CONTINUED Matters on which we are required to report by exception In the light of our knowledge and understanding of the group and parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report and the directors, report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charities Act 2011 requires us to report to you if, in our opinion= adequate and sufficient accounting records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us; or the parent charitable cotnpany's financial statements are not in agreement with the accounting records and returns. or certain disclosures of directors. remuneration specified by la'N are not made- or we have not received all the information and explanations we require for our audit. Responsibilities of trustees As expla i ned more fully in the directors, responsibilities statement set out on page 5, 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 contro5 as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, Ivhether due to fraud or error. In prepari ng the fi nancial statements, thc trustees are responsible for assessing the group's and parent ch aritable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent cha ritable company or to cease operations, or have no realistic alternative but to do so. Auditor's responsibilities for the audit of the financial statements Ve have been appointed auditor under the Companies Act 2006 and report in accordance with this Act. Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, wliether 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 conductod in accordance with ISA5 (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or the agg regate, they could reasonably be expected to i nfluence the economic decisions of users taken on the basis of these financial statements. Irregu la rities, includ ing fraud, are instances of non-compliance with laws and regulations. We desig n procedu res in line with ou r responsibil ities, outlined above. to detect material misstatements in respect of irregula rities, includi ng fraucs. The extent to which ou r procedures are capable of detecting irregularities, including fraud is detailed below.. In planning and designing our audit tests we identify and assess the risks of material misstatement within the financial statements, whether due to fraud or error. Our assessment of these risks includes consideration of the nature of the industry and sector, the control environment and the charity performance along with the reSLJlts of our enquiries of management about their own identification and assessment of risks and irregularities. In common with all audits under ISAS (UK), we are also required to perform specific proredures to respond to the risk of management override. We also obtained an understanding of the legal and regulatory frameworks that the charitable company operates in, focusing on provisions of those laws and regulations tl)at had a direct effect on the determination 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 legiflation and other laws and regulations identified as risk areas identified from our discussioils '4Vlth management. We communicated relevarlt identified laivs and regulations and potential fraud risks to all engagement team members including internal specialists, and remained alert to agy indications of fraud or non-compliance with labvs and regulations throughout the audit.
INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF PEOPLE IN ACTION CONTINUED After consideration of the above risks we then carried out audit procedures including the following: perform ing analytical procedures to identify any u nusual or unexpected relationsh ips that may ind Icate risks of material misstatenient due to fraud,- reading minutes of trustees meetings; reviewing correspondence with H M Revenue & Customs; enquiring of management and reviewing any correspondence with legal advisors concerning actual and potential litigation and clai ms; reviewing the financial statement disclosures and testing to supporting documentation to assess compliance Wlth provisions of relevant laws and regulations described as haviiig a direct effect on the financial statements; in addressing the risk of fraud through manaaement override of controls, testing the appropriateness of Journal entries and other ad]ustments,- assessing vihether the Judgements made in making accountino estimates are indicative of a potential bias- and evaluating the business rationale 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 that the laws and regulations are from financial transactions the less likely it is that kve would be aware on non-compliance. Auditing standards also limit the audit procedures requircd to identify non-compliance with laws and regulations to enquiry of the trustecs and other management and the Inspection of rcgulatory and legal corrcspondence, if any. Material misstatements that arise due to 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 Reporti ng Council's website at www.frc.org.uVauditorsresponsibilities. This description fo rms part of ou r auditor's report. Use of our report This report is made solel i to the charitable company's trustees, as a bod'l, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. OLir audit iyork has been undertaken so that we might state to the charitable company's trustees those matters we are required tG State to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable compan¥, and the charitable company's trustees as a body, for our audit work, for this report, or for the opinions we have formed. Oliver Ross BSC (Hons) FCA (Senior Statutory Auditor) For and on behalf of Muras Baker Jones Limited Chartered Accountants and Statutory Auditors Regcnt House Bath Avenue Wolverhampton WVI 4EG 17 December 2025
People in Action CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING CONSOLIDATED INCOME AND EXPENDITURE ACCOUNT) For the year ended 31 March 2025 Unrestricted Funds 2025 Restricted Funds 2025 Total funds 2025 Total funds 2024 Notes INCOMING RESOURCES Incoming resources from generated funds Voluntary income: Donations and sundry income Activities for generating funds: Fees for the provision of care and nursing Income from cafe Interest received 13,877 13,877 49,236 7b 154,256 42,886 154,256 42,886 144,574 38,095 Incoming resources f rom Charitable activities: Grants and Fees for provision of care and accommodation 11,190,362 11,190,362 10,992,785 TOTAL INCOMING RESOURCES 11,401,381 11,401,381 11,224,690 RESOURCES EXPENDED Costs of generating funds Costs of generating voluntary income 20,747 20,747 17,707 Costs for the provision of care services 7a 254 Costs for the operation of cafe 7b 186,079 186,079 197,125 Goodwill amortisation 12 206,826 206,826 215,086 Charitable activities 11,307,778 12,118 11,319,896 11,154,488 TOTAL RESOURCES EXPENDED 11,514,604 12,118 11,526,722 11,369,574 io
People in Action CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES continued (INCLUDING INCOME AND EXPENDITURE ACCOUNT) For the year ended 31 March 2025 Unrestricted Funds 2025 Restricted Funds 2025 Total Funds 2025 Total Funds 2024 Notes NET INCOMING/ (OUTGOING) RESOURCES FOR THE YEAR (113,223) (12,118) (125,341) (144,884; TOTAL FUNDS AT I APRIL 2024 4,811,875 27,882 4,851,875 4,996,759 RESERVE TRANSFERS 19 27,882 (27,882) TOTAL FUNDS AT 31 March 2025 19 4,726,534 4,726,534 4,851,875 The statement of financial activities includes all gains and losses in the year. The resoLirces and expenditure in relation to the provision of care and nursing derive from discontinuing activities. All other incoming resources and resources expended derive from continuing activities.
People in Action CONSOLIDATED STATEMENT OF FINANCIAL POSITION At 31 March 2025 Note 2025 2024 FIXED ASSETS Tangible Fixed Assets 5,342,857 5,211,221 CURRENT ASSETS Stocks Debtors Cash at Bank and in Hand 1,800 1,003,921 1,508,098 2,500 874,016 1,888,029 14 15 2,513,819 2,764,545 CREDftORS - AMOUNTS FALLING DUE WITHIN ONE YEAR Bank Loans & Overdrafts All Other Creditors 16 17 36,155 2,058,603 56,197 1,995,880 2,094,758 2,052,077 NET CURRENT ASSETS 419,061 712,468 TOTAL ASSETS LESS CURRENT LIABILITIES CREDITORS - AMOUNTS FALLING DUE AFfER MORE THAN ONE YEAR 5,761,918 5,923,689 18 (36,430) NET ASSETS 5,761,918 5,887,259 Represented by: GENERAL UNRESTRICTED FUND RESTRIED FUNDS REVALUATION RESERVE 19 19 20 4,726,534 4,811,875 40,000 1,035,384 1,035,384 5,761,918 5,887,259 The financial statements were approved by the Board on 17 December 2025 and signed on its behalf by: JWHUNT Director Company Registration No. 02486564 12
People in Action CHARITABLE COMPANY STATEMENT OF FINANCIAL POSITION At 31 March 2025 Note 2025 2024 FIXED ASSETS Tangible Fixed Assets Investment in subsidiary 5,342,857 loo 5,210,666 13 5,342,957 5,210,666 CURRENT ASSETS Debtors due within one year Cash at Bank and in Hand 14 1,150,690 1,454,450 1,244,912 1,842,788 2,605,140 3,087,700 CREDITORS - AMOUNTS FALLING DUE WITHIN ONE YEAR Bank Loans & Overdrafts All Other Creditors 16 17 36,155 2,042,936 56,197 2,070,006 2,079,091 2,126,203 NET CURRENT ASSETS 526,049 961,497 TOTAL ASSETS LESS CURRENT LIABILITIES CREDITORS - AMOUNTS FALLING DUE AER MORE THAN ONE YEAR 5,869,006 6,172,163 18 (36,430) NET ASSETS 5,869,006 6,135,733 Represented by: RESERVE FUNDS RESTRICTED FUNDS REVALUATION RESERVE 19 19 20 4,833,622 5,060,349 40,000 1,035,384 1,035,384 5,869,006 6,135,733 The deficit for the financial year of the parent company was £266,727 (2024: £92,430). The financial statements were approved by the Board on 17 December 2025 and signed on its behalf by.. W HUNT Director Company Registration No. 02486564 13
People in Action CONSOLIDATED STATEMENT OF CASH FLOWS For the year ended 31 March 2025 2025 2024 Note Cash flows from operating activities Surplus for the year (125,341) (144,884) Adjustments for.. Depreciation of tangible assets Goodwill amortisation other interest receivable and similar income Interest payable and similar charges Losses/ (gains) on disposal of tangible assets Accrued (income)/expenses Changes in., stocks Trade and other debtors Trade and other creditors 122,372 84,634 (42,886) 6,289 (6,000) 508,875 (38,095) 7,764 (35,168) 700 (527,503) {48,554) (1,473) 8,630 108,600 Cash generated from operations (112,048) (9,992) Interest paid Interest received (6,289) 42,886 (7,764) 38,095 Net cash from operating activities (75,450) 20,339 Cash flows from investing activities Purchase of tangible assets Proceeds from sale of tangible assets (254,008) 6,000 (223,809) Net cash used in investing activities (248,008) (223,809) Cash flows from f inancing activities Repayments of secured bank loans (56,472) (50,595) Net cash from financing activities (56,472) (50,595) Net increase/ (decrease) in cash and cash equivalents Cash and cash equivalents at beginning of year (379,931) 1,888,029 (254,065) 2,142,094 Cash and cash equivalents at the year end 15 1,508,098 1,888,029 14
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 STATEMENT OF COMPLIANCE These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland,. ACCOUNTING POLICIES (a) BASIS OF PREPARATION The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance ¥vith the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The statement of financial activities (SOFA) and balance sheet consolidate the financial statements of the charity and its subsidiary undertaking. The results of the subsidiaries are consolidated on a line by line basis. People in Action meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes. The directors have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the charity to continue as a going concern. The trustees have made this assessment for a period of at least one year from the date of approval of the financial statements. In particular, the trustees have considered the charity's forecasts and projections and have taken account of pressures on income generation. The trustees have concluded that the charity has adequate resources to continue in operationa5 existence for the foreseeable future. The charity therefore continues to adopt the going concern basis in preparing its financial statements. (b) COMPANY STATUS The charity is a private company, registered in England (company number 02486564), and is limited by guarantee. The members of the company are the trustees named on page l. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £25 per member of the charity. (c) FUND ACCOUNTING General Unrestricted Funds comprise accumulated surpluses on General Funds. They are available for use at the discretion of the Directors in furtherance of the charity's objectives. Designated Funds are those funds allocated from the General Fund for particular purposes or projects at the discretion, and with the approval, of the Directors. Restricted funds are those fur)ds to be used for specific 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. 15
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 (d) INCOMING RESOURCES Voluntary income including donations, gifts, legacies and grants that provide core funding or are of general nature are recognised where there is entitlement, certainty of receipt and the amount can be measured with sufficient reliability. Such income is only deferred when.. the donor specifies that the grant or donation musl only be used in future accounting periods,. or the donor has imposed conditions which must be met before the charity has unconditional entitlement. Investment income is recognised on a receivable basis. Income from charitable activities includes income received under contract or where entitlement to grant funding is subject to specific performance conditions is recognised as earned as the related services are provided. Donated services and facilities are included at the value to the charity where this can be quantified. The value of services provided by volunteers has not been included in these fiTrancial statements. (e) RESOURCES EXPENDED Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes irrecoverable VAT, which is reported as part of the expenditure to which it relates. Costs of generaling funds comprise the costs associated with attracting voluntary income. Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them. All costs are allocated between the expenditure categories of the 50FA on a bas15 desig ned to reflect the use of the resource. Costs relating to a particular activity are allocated directly; others are apportioned on an appropriate basis. (f) CAPITALISATION AND DEPRECIATION OF TANGIBLE FIXED ASSETS The company will capitalise items of equipment where their expected useful life is more than one year. Tangible fixed assets are initially recognised at cost Ivhich is the purchase price plus any directly attribLJtable costs, and are subsequently measured at cost less accumulated depreciation and impairment. Depreciation is calculated to write off the cost less estimated residual value of Fixed Assets over their estimated useful lives at the following annual rates: Motor Vehicles Equipment Mobile Home 330/0 330/0 IOO/o Straight Line straight Line/20010115010/330/o reducing balance Straight Line Short leasehold property is depreciated over the lease period. No depreciation is provided on Freehold or Long Leasehold Properties. It is the policy of the charity to maintain its properties in a continual state of sound repair and to extend and make improvements thereto from time to time. Accordingly, the Directors consider that the lives of such properties are so long and residual values are so high that their depreciation is insignificant and immaterial. Any permanent diminutiorF in the value of such properties is charged to the Profit and Loss Account as appropriate. 16
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 (g) GOODWILL Goodwill arising on the acqLJiSition of subsidiary undertakings, representing the excess of the fair value of the consideration given over the fair value of the identifiable assets and liabilities acquired, is capitalised and ivritten off on a straight line basis over its useful economic life of 5 or 10 years. (h) IMPAIRMENT OF ASSETS At each reporting date the Company reviews the carrying value of its 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. The recoverable amount of an asset is the higher of fair value less costs to sell and value in use. Value in use is the present value of the future cash flows expected to be derived from the asset, or cash generating unit. The present value calculation involves estimating the future cash inflows and outflows to be derived from continuing to use the asset, and from its ultimate disposal, applying an appropriate discount rate to those future cash flows. Where the recoverable amount of an asset is less that the carrying amount, an impairment loss is recognised immediately in profit or loss. An impairment loss recognised for all assets is reversed in a subsequent period if, and only if, the reasons for the impairment loss have ceased to apply. Impairment losses are charged to profit or loss in administration expenses. PENSION COSTS Contributions payable to pension schemes are charged to the Profit and Loss Account in the period to which they relate. (i) OPERATING LEASES Rentals payable under Operating Leases are charged on a straight line basis over the terms of the Leases. INCOME Income arises from: 2025 2024 Provision of services Sale of goods Interest received Other operating income 10,930,639 413,979 42,886 13,877 10,992,785 144,574 38,095 49,236 11,401,381 11,224,690 17
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 OTHER OPERATING INCOME 2025 2024 Donations and Sundry income Grant income received 13,877 9,236 40,000 INTEREST PAYABLE AND SIMILAR CHARGES 2025 2024 On Bank Loans and Overdrafts 6,289 7,764 NET INCOMING/(OUTGOING} RESOURCES FOR THE YEAR 2025 2024 These are stated after charging Depreciation of Owned Tangible Fixed Assets Depreciation of Leasehold Property (Profit)/Loss on disposal of Fixed Assets Auditors, Remuneration and other services Hire of Other Assets Property Rentals Vehicles and Equipment 87,262 35,110 (6,000) 21,700 245,075 43,929 40,047 44,587 19,950 339,668 41,958 18
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 7a. INCOME AND COSTS FOR THE PROIIISION OF CARE AND NURSING 2025 2024 Fees received for the provision of care and nursing Other operating income 293 293 Cost of sales Ad ministrative expenses 254 Expenditure incurred for the provision of care and nursing (254) Surplus/(Deficit) for the year 39 7b. INCOME AND COSTS FOR THE CAFE 2025 2024 Café income Other operating income 154,256 29 154,285 144,575 59 144,634 Cost of sales Administrative expenses 51,609 134,470 52,340 144,786 Expenditure incurred on: Cafe (186,079) (197,126) Deficit for the year {31,794) (52,493) 19
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 ANALYSIS OF RESOURCES EXPENDED Voluntary Income Charitable activities 2025 2024 Staff and Agency Support Premises costs Provision and household expenses Legal and Professional Insurance Depreciation, (Profit)/Loss on disposals Motor and Travel costs Bank Interest Telephone Recruitment and Training General Repairs Office and Miscellaneous Bad debts 6,747 9,771,210 494,955 268,524 77,441 70,236 9,777,957 494,955 268,524 77,441 70,236 9,472,649 564,991 263,858 105,081 57,674 116,372 41,911 4,210 53,232 45,772 127,246 248,806 {19) 116,372 41,911 4,210 53,232 45,772 127,246 262,806 {19} 83,677 50,042 7,764 53,786 92,399 164,455 256,233 (414) 14,000 20,747 11,319,896 11,340,643 11,172,195 Staff and agency support costs include £10,120 governance costs included within charitable activities (2024 £8,560). Legal and professional costs include £20,000 governance costs within charitable activities (2024 - £18,000). Total £30,120 (2024 - £26,560). Resources expended for the provision of the subsidiaries care services and cafe are detailed separately in notes 7a and 7b. 20
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 EMPLOYEE INFORMATION The average number of persons employed by the group during the year was as follows.. 2025 2024 Management and Administration 365 379 The aggregate payroll costs of these persons vere as follows: 2025 2024 Wages and Salaries Social Security Costs Pension Costs 8,587,300 794,850 173,924 8,282,485 708,132 154,575 9,556,074 9,145,192 The number of employees receiving emoluments in excess of £60,000 were'.- 2025 2024 Taxable emoluments band: £60,000 - £70,000 £70,000 - £80,000 The employees whose emoluments exceed £60,000 during the year ended 31 March 2025 also had retirement benefits accruing under a defined benefit pension scheme. No Director received any remuneration from the charity (2024 £Nil). The senior management team disclosed on page I received emoluments of £427,092 during the year ended 31 March 2025 (2024 - £415,457). io. TAXATION The charitable company is exempt from corporation tax on income and gains falling within section 505 of Taxes Act 1988 or Section 256 of Taxation of Chargeable Gains Act 1992, to the extent that these applied to the charitable objects. No tax charges have arisen in the charity. 21
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 TANGIBLE FIXED ASSETS Motor vehicles & mobile home GROUP Short leasehold property Freehold property Equipment Total COST., At l April 2024 Additions Disposals 508,269 5,009,189 72,758 316,253 254,008 (14,440) 5,906,469 254,008 (46,984) (32,544) At 31 March 2025 508,269 5,009,189 40,214 555,821 6,113,493 ACCUMULATED DEPRECIATION.. At l April 2024 Charge for the year Disposals 381,543 35,110 72,204 241,501 87,262 (14,440) 695,248 122,372 (46,984) (32,544) At 31 March 2025 416,653 39,660 314,323 770,636 NET BOOK VALUE: At l April 2024 126,726 5,009,189 554 74,752 5,211,221 At 31 March 2025 91,616 5,009,189 554 241,498 5,342,857 22
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 TANGIBLE FIXED ASSETS continued Motor vehicles & mobile home CHARITABLE COMPANY Short leasehold property Freehold property Equipment Total COST: At l April 2024 Additions Transfers Disposals 508,269 5,009,189 64,444 313,936 254,008 5,895,838 254,008 8,314 (46,984) 8,314 (32,544) (14,440) At 31 March 2025 508,269 5,009,189 40,214 553,504 6,103,416 ACCUMULATED DEPRECIATION: At l April 2024 Charge for the year Transfers Disposals 381,543 35,110 64,444 239,185 87,262 685,172 122,372 7,760 (32,544) (14,440) (46,984) At 31 March 2025 416,653 39,660 312,008 760,559 NET BOOK VALUE: At l April 2024 126,726 5,009,189 554 74,751 5,210,666 At 31 March 2025 91,616 5,009,189 554 241,498 5,342,857 During the year assets held by a subsidiary, Content Care Limited, were transferred to the charitable company. 23
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 12. GOODWILL ON CONSOLIDATION COST At l April 2024 and 31 March 2025 448,332 AMORTISATION At l April 2024 Charge for the year 448,332 At 31 March 2025 Charge for the year 448,332 NET BOOK VALUE At 31 March 2024 At 31 March 2025 The goodwill arose on the acquisition of Charterville Care at Home Limited on 24 February 2012, the acquisition of People in Action Retail Limited (previously known as Core Business & Community Support Ltd) on 7 November 2014 and the acquisition of People in Actlon Retail Limited on 7 October 2015 (see note 13). 13 INVESTMENTS IN SUBSIDIARY COMPANIES Group Charitable Company COST As at l April 2024 Additions 570,900 loo At 31 March 2025 570,900 IMPAIRNENT At l April 2024 Charge for the year 571,000 At 31 March 2025 571,000 NET BOOK VALUE At 31 March 2024 At 31 March 2025 loo 24
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 13 INVESTMENTS IN SUBSIDIARY COMPANIES (continued) The charitable company owns IOOO/o of the share capital of Charterville Care at Home Limited, a company registered in England and Wales (Company No. 04015898). The principal activity of the company was the provision of care services but ceased to trade on 31 March 2024 and is now a dormant entity. During the year, Charterville Care at Home Limited transferred its investment in Content Care Limited to People in Action and as such the charitable company now directly owns IOOO/o of the share capital in Conlent Care Limited, a company registered in England and Wales (Company No. 05688399). The principal activity of the company was the provision of care services but ceased to trade on 31 March 2024 and is now a dormant entity. The charitable company owns IOOO/o of the share capital of People in Action Retail Limited, a company registered in England and Wales (Company No. 02908041). The principal activity of the subsidiary is the running of a café. The results of the subsidiaries are incorporated into the consolidated financial statements of the group. 14. DEBTORS Group 2025 Charitable Company 2025 2024 2024 Trade Debtors Other Debtors and Prepayments Amount due from group undertaking 904,093 99.828 779,274 94,742 904,093 99,075 779,274 94,09L 147,522 371,547 1,003,921 874,016 1,150,690 1,244,912 CASH AND CASH EQUIVALENTS Group 2025 2024 Cash and cash equivalents comprise the following.. Cash at bank and in hand 1,508,098 1,888,029 16. BANK LOANS AND OVERDRAFfs The charitable company bank loans are secured. The loans total £36,155 (2024 - £92,627). 25
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 17. CREDITORS - AMOUNTS FALLING DUE WITHIN ONE YEAR Group 2025 Charitable Company 2025 2024 2024 Trade Creditors Amount due to group undertaking Social Security Costs and other Taxation other Creditors Accruals and deferred income 186,998 169,856 181,000 165,145 loo 86,827 375,975 725,283 770,347 331,426 851,657 642,941 375,975 718,645 767,216 326,335 851,657 640,042 2,058,603 1,995,880 2,042,936 2,070,006 18. CREDITORS - AMOUNTS FALLING DUE AER MORE THAN ONE YEAR Group 2025 Charitable Company 2025 2024 2024 Bank Loans 36,430 36,430 36,430 36,430 Included in the above are the following: Amounts repayable by instalments but not wholly repayable within five years: Charitable Company 2025 2024 Repayable within one to two years Repayable within two to five years Repayable after five years 36,430 36,430 The bank loan is secured and interest is charged at a fixed rate of 11/20/0 above the bank base rate. It Is wholly repayable within five years. 26
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 19. RESERVE FUNDS GROUP General funds Restricted funds Total At l April 2024 Income Expenditure Transfers in / (out) 4,811,875 11,401,381 (11,514,604) 27,882 40,000 4,851,875 11,401,381 (11,526,722) (12,118) (27,882) At 31 March 2025 4,726,534 4,726,534 CHARITABLE COMPANY General funds Restricted funds Total At l April 2024 Income Expenditure Transfers in / (out) 5,060,349 11,248,478 (11,503,087) 27,882 40,000 5,100,349 11,248,478 (11,515,205) (12,118) (27,882) At 31 March 2025 4,833,622 4,833,622 The restricted funds received in the prior year were to improve the provision of Day Opportunities, The grant was fully spent during the year ended 31 March 2025. The amounts transferred to general funds, noted above, represent the net book value of the assets purchased during the refurbishment. 20. REVALUATION RESERVE The charities freehold properties are included at deemed cost of £3,575,000 based on a market valuation at 10 June 2016. This is £1,035,384 greater than the original cost of acquisition. At l April 2024 and 31 March 2025 1,035,384 21. CAPITAL cOMlITMENTs At 31 March 2025 the group had no capital commitnients (2024 none). 22. CONTINGENT LIABILITIES There were no contingent liabiliti<>S as at 31 March 2025 (2024 none). 27
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 23. OTHER FINANCIAL COMMITMENTS At 31 March 2025 the group was committed to making the following payments under non- cancellable operating leases: Land and buildings 2025 2024 other 2025 2024 Operating Leases which expire: Within one year Within two to five years After five years 36,667 54,792 38,500 91,458 11,763 10,802 11,763 22,565 91,459 129,958 22,565 34,328 24. PENSION COMMITMENTS The company contributes to personal pension schemes, the local government pension scheme, and the NHS Pensions Agency. The assets of the schemes are held separately from those of the company in independently administered funds. The pension cost charge detailed in Note 8 represents contributions payable by the company to the schemes. At 31 March 2025 contributions totalling £76,379 were outstanding to the funds (2024 - £70,544). 28
People in Action NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2025 25. RELATED PARTY TRANSACTIONS Indemnity insurance was taken out during the year in respect of directors and officers. The cost of this insurance was £4,870 (2024 - £4,870). Amounts due to/from People in Action from/to group undertakings are disclosed in note 14 and 17. £1,043,765 (2024 - £1,129,765) is due from Charterville Care at Home Limited against which a provision of £1,043,765 was made at 31 March 2025. £320,818 (2024 £284,282) is due from People in Action Retail Limited against which a provision of £173,296 was made at 31 March 2025. In addition, £100 is due to Content Care Limited (2024 £86,827). 26. ULTIMATE CONTROL The ultimate control of the charitable company rests with its members. 29