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2024-03-31-accounts

BROOK YOUNG PEOPLE

REPORT OF THE TRUSTEES AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

Company number: 02466940

CONTENTS

TRUSTEES’ ANNUAL REPORT

Contents .............................................................................................................................. 1 Administrative details ......................................................................................................... 2 Introduction ......................................................................................................................... 4 Structure, Governance and Management ...................................................................... 4 Public benefit disclosure .................................................................................................... 7 Objectives and activities ................................................................................................... 7 Volunteering and participation ....................................................................................... 10 Achievements and performance ................................................................................... 11 Financial review ................................................................................................................ 13 Investments ....................................................................................................................... 16 Key risks and uncertainties ............................................................................................... 16 Plans for future periods ..................................................................................................... 16 Pension liabilities................................................................................................................ 17 Reserves ............................................................................................................................. 17 Going concern ................................................................................................................. 18 Statement of trustees’ responsibilities ............................................................................. 19 Independent auditor’s report to the members of Brook Young People ...................... 20

FINANCIAL STATEMENTS

Statement of financial activities ...................................................................................... 24 Balance sheet ................................................................................................................... 25 Cash flow statement ........................................................................................................ 26 Notes to the financial statements ................................................................................... 27

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ADMINISTRATIVE DETAILS

CHARITY NAME Brook Young People TRADING NAME Brook REGISTRATION Limited Company registered in England and Wales no. 02466940 Charity registered in England and Wales no. 703015 Charity registered with the Office of the Scottish Charity Regulator no. SC045788 REGISTERED OFFICE Penhaligon House, Green Street, Truro, TR1 2LH CHIEF EXECUTIVE Helen Marshall COMPANY SECRETARY Sally Hutchings AUDITORS HaysMac LLP 10 Queen Street Place, London, EC4R 1AG BANKERS Lloyds Bank 1[st] floor, 5 St Paul’s Square, Liverpool, L3 9SJ SOLICITORS Penningtons Manches LLP 125 Wood Street, London, EC2V 7AW TRUSTEES The following people have been trustees (and directors as defined by the Companies Act 2006) during the period and up to the date of signing: Dame Sally Dicketts (Chair) (appointed 01/04/2023) Peter Beeby (appointed 29/06/2023) Clare Daly Simon Dixon (appointed 10/07/2024) Maxine Evans (resigned 26/04/2023) Milly Evans (appointed 29/06/23, resigned 11/03/2024) Leila Hashemi (appointed 29/06/2023) Pamela Leonce Kanika Leo (appointed 30/11/2023) Chris Martin (resigned 28/06/2023) Peter Roscrow Sandy Sohal Saloni Thackrar (appointed 29/06/2023) Dee Whitnell (appointed 10/07/2024)

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SENIOR MANAGEMENT At the date of this report, the Executive Team comprises: Helen Marshall, Chief Executive Dougie Boyd, Director of Innovation & Education Katharine Cottee, Director of Finance Laura Hamzic, Director of Digital & Communications Sally Hutchings, Director of Business Support Kathleen Sadler, Director of Clinical Operations

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INTRODUCTION

The trustees present their annual report and financial statements of the charity for the year ended 31 March 2024.

The financial statements have been prepared in accordance with the accounting policies set out in Note 1 to the accounts and comply with the charity’s Memorandum and Articles of Association, the Companies Act 2006, the Charities Act 2011 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. (SORP 2015) (Second Edition, effective 1 January 2019).

STRUCTURE, GOVERNANCE AND MANAGEMENT

COMPANY STRUCTURE AND OWNERSHIP

During 2023/24 Brook Young People (Brook) had one charitable subsidiary – Brook Scotland (company no. SC159534; charity no. SC023964) which is retained as a dormant vehicle for the potential future delivery of services in Scotland.

On 14 June 2023, Brook incorporated a new commercial subsidiary, Brook Aspire Ltd (company no. 14936876). Brook Aspire Ltd is a company limited by shares with 100% of the shares owned by Brook. Its purpose is as a trading subsidiary to generate income for the benefit of the charity. Brook Aspire has its own board of directors, comprising Brook trustees, staff and one independent director and is overseen by the charity’s Risk, Finance & Audit Committee. Brook Aspire Ltd was dormant for the year to 31 March 2024.

Brook retains four dormant subsidiaries which are former independent Brook charities, all of which are companies limited by guarantee (Brook Blackburn – company no. 02916471; Brook Burnley – company no. 02598200; Brook Cornwall – company no. 02826211; Brook Wirral – company no. 02727971). They are retained due to property being held in the subsidiary’s name and are no longer registered charities. During the year five former dormant subsidiaries were dissolved (Brook East of England – company no. 02916478; Brook London – company no. 02705091; Brook Manchester – company no. 03054052; Brook Pennine – company no. 02911254; Brook Wigan & Leigh – company no. 03308950).

GOVERNING DOCUMENT AND CONSTITUTION

Brook is constituted as a company limited by guarantee and is a registered charity. Brook is governed by its Articles of Association, which were last reviewed and updated in July 2020. The business of the charity is managed by the board of trustees.

THE BOARD OF TRUSTEES

The composition of the Brook board is skills-led. All trustees are appointed by the board, and Brook’s members are the same group of people as its trustees.

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The Articles of Association allow any person who is willing to act as a trustee, accepts membership of the charity, and who is not disqualified from acting as a trustee or a company director to be appointed as a trustee by a decision of the Board.

The board consists of a minimum of six and a maximum of fifteen trustees and meets formally at least four times per year. Trustees serve for fixed terms of three years unless they cease to be a trustee during this period. Trustees are eligible for reappointment for a second term by the board with the maximum period of office being two terms, with the exception of the Chair who may be reappointed for a third term in exceptional circumstances. The Chair may extend the second term of any trustee by one additional year in order to achieve a stable retirement cycle of trustees. Our Chair, Dame Sally Dicketts, took up post on 1 April 2023.

The board may co-opt up to three additional trustees who hold office for a period of 12 months and who may be co-opted up to three times. One trustee was co-opted during the year.

INDUCTION AND TRAINING OF TRUSTEES

Potential trustees are identified via a range of mechanisms to ensure there is diversity of skills, backgrounds and experience on the board. On appointment, and annually thereafter, all trustees are required to declare potential conflicts of interest, complete automatic disqualification self-declarations and checks of official registers are completed. Trustees complete a full induction process within which they agree to Brook’s key policies and statement of good governance. The induction process marks the beginning of an ongoing process of trustee training, mentoring, development and annual appraisal. A trustee skills audit was completed in June 2023 with priorities for trustee skills development identified. A governance diversity audit was completed in May 2023 with recommendations to strengthen diversity. Eight new trustees were appointed during the year to address recommendations identified through the skills audit and diversity audit.

MANAGEMENT AND DECISION MAKING

The board delegates authority to its committees and to the Chief Executive within a written Scheme of Delegation. The roles of Brook’s four committees are:

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The Board delegates all other matters including the day-to-day running of the organisation to the Chief Executive working within the framework of all decisions made by the Board and by Committees deciding under delegated authorities.

Brook’s Executive Team comprises the Chief Executive, Director of Business Support, Director of Clinical Operations, Director of Digital and Communications, Director of Finance and Director of Innovation & Education.

The board of trustees have reviewed and adopted the Charity Governance Code. Where improvements could be made, the board agreed actions to increase compliance. These actions, alongside actions identified through other sources such as trustee appraisals and internal evaluations, formed the board development plan. A new board development plan will be produced during 2024/25.

PAY AND REMUNERATION

Brook operates a Pay and Benefits Policy . Salaries are routinely tested against the jobs market to ensure that account is taken of experience, qualifications, and demonstrable ability to perform the job. The starting salary may also be influenced by external factors such as market conditions or availability of specialist skills. In line with the principles of equal pay enshrined within the Equal Pay Act 1970 and supported by Brook’s commitment to equal pay and equality of opportunity, all salary offers are made with equal pay considerations in mind.

Brook considers its key management personnel comprises the trustees, the Executive Team (detailed above) and the Medical Director.

None of the trustees of the charity received any remuneration for their services as trustees. Expenses were reimbursed as detailed in Note 7. In July 2023 remuneration was introduced for external expert advisors (non-trustees) appointed to Brook’s committees following benchmarking of other charities and health organisations.

RELATIONSHIPS WITH RELATED PARTIES

During 2023/24 the independent charity Brook Jersey has operated as a licensee of Brook. Brook received a fee from Brook Jersey in return for an exclusive licence in the Channel Islands to use the Brook identity, clinical governance framework, safeguarding support and key policies.

Brook’s wholly-owned trading subsidiary, Brook Aspire, was incorporated in June 2023. During the year Brook entered into two agreements with Brook Aspire. The unsecured working capital facility makes available a loan from Brook to Brook Aspire for the purpose of general working capital with a repayment date of 30 November 2026. During 2023/24, no funds were down by Brook Aspire. An indirect resource investment agreement was entered into by the parties to govern the recharge at cost of the charity’s staff, premises, facilities, equipment and other resources used by

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Brook Aspire. The recharge is payable on demand and, during 2023/24, no recharges were invoiced.

PUBLIC BENEFIT DISCLOSURE

Brook has a duty to report on our public benefit and we have given due consideration to the Charity Commission’s published guidance on the Public Benefit requirement under the Charities Act 2011.

Brook is a national charity supporting people with their sexual health and wellbeing. We offer a range of services to support our mission of helping people to live healthier lives. Brook fights for everyone’s right to safe, confidential, accessible healthcare, no matter who they are. We challenge stigma, amplify voices and provide lifelong support that meets the diverse needs of our communities. Our unique offer combines clinical services, relationships and sex education, outreach in community settings, wellbeing programmes and counselling. Our life-course approach to sexual health and wellbeing means that people can benefit from our holistic services at any stage of their life. The main activities Brook undertakes for the public benefit are:

OBJECTIVES AND ACTIVITIES

OUR CHARITABLE PURPOSE

To promote the health, particularly sexual health of young people and those most vulnerable to sexual ill health, through providing information, education and outreach, counselling, confidential clinical and medical services, professional advice and training.

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OUR VISION

Everyone is supported to live healthy lives, free from inequality and strengthened by fulfilling relationships.

OUR MISSION

Excellent sexual health, mental health and wellbeing is a right. Brook exists to fight for that right and we demand better, especially for young people. We challenge stigma, amplify voices and provide lifelong support that meets the diverse needs of our communities.

OUR VALUES

OUR STRATEGIC AIMS AND STRATEGIES FOR ACHIEVING THEM

2023/24 was the first year of our strategic plan for 2023-2026. The new plan was developed during 2022/23 through a collaborative process with our Board of Trustees and Executive team, facilitated staff workshops that engaged 35% of our workforce, service user engagement and an external stakeholder roundtable event.

Our strategic plan for 2023-2026 refreshes our vision and mission statements to better reflect our all-age delivery while not losing our focus on young people. Our new core value of Inclusive was proposed by staff and service users, and our new strategic priority of Fighting Stigma was introduced in response to our staff and service users’ desire for Brook to have a wider impact and use our expertise to influence others, and the growing need for Brook to be a loud voice in defending rights that are increasingly under attack.

Our four strategic priorities for 2023-2026 are:

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inequality informed by data, research and the participation of those with lived experience. Key to this will be collaboration with the experts and organisations that know these communities best, sharing knowledge and expertise to deliver equitable solutions with maximum impact for as many people as possible.

These strategic priorities are supported by strategic objectives. The strategy is - - published on our website: https://www.brook.org.uk/about brook/our strategy/

Our annual business plan details the performance indicators, targets and responsibilities associated with each objective, through which we set out to achieve our priorities.

ASSESSING OUR SUCCESS AND IMPACT

We measure our success through a Key Performance Indicator framework. Progress against each of our business plan measures and a RAG rated report of delivery against our Key Performance Indicators is reported quarterly to the Executive Team and to the board of trustees every six months.

We utilise robust data collection processes to quickly adapt to the evolving needs of our service users, enabling us to identify national and regional trends and develop innovative solutions to protect the most vulnerable. We were awarded the iWantGreatCare Certificate of Excellence in 2024 in recognition of the outstanding care we provide in our clinical services and the positive reviews from our service users.

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In 2023/24 we collected 19,061 feedback reviews from service users:

VOLUNTEERING AND PARTICIPATION

Our national participation forums were established in February 2022. Our forum members and volunteers contribute to the development and evolution of our services, resources and campaigns, ensuring that everything we do is accessible, inclusive and responsive to diverse needs.

In 2023/24, the 50 members from across the UK have:

Three members of our national participation forums joined our Participation Committee, working alongside Brook trustees and external expert advisors to oversee the impact of Brook’s participation work and make recommendations to the Board of Trustees on service user voice. In November 2023, one of these members was co-opted to the Board of Trustees ensuring meaningful service-user engagement at the highest level of the charity.

Brook was one of 20 UK charities across the UK to receive the Queen Elizabeth II Platinum Jubilee Volunteering Award and recognised our exceptional work empowering young people.

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ACHIEVEMENTS AND PERFORMANCE

SIGNIFICANT CHARITABLE ACTIVITIES UNDERTAKEN

Each year, we assess progress against our strategic aims. Further details are available in our online Success Report: https://www.brook.org.uk/about-brook/ourimpact/

Key highlights include:

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ACHIEVEMENT AGAINST OBJECTIVES

FINANCIAL REVIEW

FINANCIAL POSITION AT YEAR END

Our accounts for 2023/24 are presented on pages 24 to 38. Our income for the year totalled £14,027,530 (2023: £13,032,700), comprising £13,764,626 (2023: £12,621,376) unrestricted income and £262,904 (2023: £411,324) restricted income.

Our expenditure for the period totalled £14,938,020 (2023: £12,939,887), comprising £14,892,092(2023: £12,519,717) unrestricted expenditure and £45,928 (2023: £420,170) restricted expenditure. This resulted in a net movement of funds of £(910,490) (2023: £92,813).

PRINCIPAL FUNDING SOURCES

Brook is primarily funded by:

  1. Local Authorities and Health Trusts: £12,972,599

  2. Commercial trading: £579,099

  3. Charitable foundations: £262,904

  4. Donations and legacies: £101,735

  5. Corporate sources: £98,510

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Brook’s services are commissioned by local authorities as part of their Public Health responsibilities and in some cases are sub-contracted by NHS Trusts. These funds enable the majority of our charitable activities including our clinical services. We seek grants, sponsorships and donations, and earn income by selling services and resources to enable non-commissioned activity, including our online information and support, participation activities, campaigning and advocacy, and investment in service development.

SIGNIFICANT EVENTS THAT HAVE AFFECTED FINANCIAL PERFORMANCE

Brook’s financial performance this year has resulted in a net deficit. This is due to a challenging year for grant fundraising, combined with our planned investment programme during the first year of our new strategy across areas including mental health and neurodiversity services, digital tools and ICT infrastructure.

Income generation

The fundraising environment remains competitive, with many charities struggling to secure funds to meet rising costs, while demand for services continues to increase. While our overall income increased, we fell considerably short of our income target in relation to charitable grants. We were grateful to receive grant funding towards our expenditure in 2023/24 from the London School of Hygiene and Tropical Medicine and the Duchy Health Charity, as well as grant funding for our mental health hubs in 2024/25. We have restructured our income generation function and now have a strong pipeline in place, together with increased capacity through the recruitment of a Trusts & Foundations Manager. Our voluntary income improved in 2023/24, boosted by higher individual donations and generous legacy income. Our contract income continues to perform well and we were successful in securing several new clinical and non-clinical contracts.

Our new all-age integrated sexual health service launched in Dudley in November 2023 and we invested £150,000 in its mobilisation in advance of contract commencement. This three-year, £1.7m pa contract is Brook’s fourth all-age clinical service, alongside our services in Cornwall, Blackburn with Darwen and Southendon-Sea. We were sorry to close our long-standing young people’s clinical services in Burnley and in Wirral at the end of the year when their contracts ceased.

In December 2023, we were awarded a new contract for the all-age integrated sexual health service in Thurrock. This five-year, £1.5m pa contract commenced in April 2024, and during 2023/24 we invested £150,000 in its mobilisation in advance of contract commencement.

During the year we commenced delivery of several funded new non-clinical services including the Bedfordshire Building Resilience programme, Buckinghamshire Health Promotion and Outreach service, South Tees Sexual Health Prevention, C- Card, Education and Training Service, Hartlepool Sexual Health Prevention Service and Stockton-on-Tees Sexual Health Prevention and C-Card Scheme.

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Planned investment

During the year, and in line with our new strategic plan, we made considerable investment in our new early intervention mental health and suicide prevention services for young people. We know that good sexual health and good mental health are inextricably linked, and our robust safeguarding work evidences an alarming increase in unmet mental health and wellbeing needs at a time when the mental health system is unable to respond. In February 2024, we completed the lease for our first young people’s mental health hub in Cornwall and commenced a £150k capital fit-out, with funding secured from Big Issue Invest and the Duchy Health Charity. We were delighted to secure revenue funding from the Department of Health and Social Care’s Children and Young People Mental Health Early Intervention Hubs programme, and both funding and service delivery will commence in 2024/25. We also entered into negotiations for a second young people’s mental health hub in Blackburn and subsequently completed on the lease and commenced a £75k capital fit-out in May 2024, with funding for both capital and revenue costs secured from a private family trust.

Alongside this activity, we developed our internal and external work on neurodivergence. We invested in a Designated Neurodivergence Lead role to lead a programme of work including an equity and equality audit of our education resources to review their accessibility for neurodivergent service users, the formation of a local participation group of young people who experience a label of neurodivergence, development of a bank of easy-read images and a review of policies and procedures to ensure that neurodivergent people are able to apply for, succeed, and thrive in roles working for Brook.

Brook’s Digital Front Door (DFD) is an innovative, user-led online platform that empowers our service users to take control of their sexual health and wellbeing, supported by online access to clinical services and educational information. During 2023/24, we continued to successfully evolve and expand our DFD programme, increasing functionality and broadening access to give more people the opportunity to use these innovative tools. Initially aiming to develop three new tools during the year, we rapidly accelerated development on securing the Dudley integrated sexual health service contract and developed 12 new tools, features and pathways including an appointment booking system, SMS messaging tool, a service user portal providing access to test results history, and request forms for remote contraception provision and chlamydia treatment. We additionally improved the staff-facing infrastructure introducing comprehensive results management, dashboards, permission management and a tracking feature for service user contacts to support safeguarding assessments.

We recognise that successful digital innovation is underpinned by a robust ICT infrastructure and that the impact of our ICT systems on service delivery, efficiency and information governance remains a strategic risk. During the year, we invested in our internal IT expertise and capacity with the appointment of an IT Manager who is leading the development of a new IT strategy and plan. This includes a rolling asset replacement programme to prioritise the upgrade of out-of-date hardware within clinical services – an estimated £95k total capital investment which will continue in 2024/25.

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INVESTMENTS

Brook does not hold material financial investments. We have clear procedures for the investments of funds, with clear approval and authority limits. We assess the ethical acceptability of any proposed investment in terms of its fit with Brook’s objectives, policies and values, and the potential for any actual or perceived conflict of interest.

KEY RISKS AND UNCERTAINTIES

The Executive Team records the organisation’s strategic risks in Brook’s strategic risk register, which is reviewed quarterly and reported to the Risk, Finance & Audit Committee and the Board every six months. As at March 2024, there were three red rated risks on our strategic risk register:

Mitigating actions are monitored by the Executive Team and Board. Our clinical governance risk was considered to be sufficiently mitigated to reduce the rating to amber in June 2024.

Mitigations relating to the two remaining red-rated risks include:

PLANS FOR FUTURE PERIODS

2024 is Brook’s 60[th] anniversary. Our annual business plan for 2024/25 sets out the activities that we will undertake as we continue to deliver our strategic plan for 20232026. All of the activity within the plan contributes to our strategic priorities. During 2024/25 we will:

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out of our Digital Front Door and developing our Equality, Diversity and Inclusion activity.

Our business plan for 2024/25 continues our process of digital transformation, with digital innovation now fully embedded as integral to the delivery of each of our strategic priorities. It also highlights the importance of continued investment in our people and our internal infrastructure to enable the services we provide to be the best they can possibly be.

PENSION LIABILITIES

The charity has a potential liability to the Pensions Trust (see Note 20). The present value at 31 March 2024 was £880 (2023: £1,319). In addition, Brook pays into a stakeholder scheme on behalf of its other employees.

RESERVES

Brook’s Managing Resources Pillar Policy states:

We will maintain a minimum level of unrestricted reserves equivalent to three months total operating costs, subject to regular review to ensure the policy remains appropriate to the organisation’s development.

The Reserves Policy was most recently reviewed and updated in November 2022.

RESERVES HELD

At 31 March 2024, Brook held £1,654,270 (2023: £2,564,760) total funds in reserve. Of these funds:

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Our reserves policy is to hold three months’ operating costs, and therefore our target minimum level of unrestricted reserves is £2,570,546. Such minimum reserves provide a temporary buffer against planned and unplanned peaks and troughs of income and expenditure and mitigate financial risk.

Due to our planned investments during 2023/24, as detailed above, our unrestricted reserves level at the end of the financial year sits below our target. Following the deficit this year the trustees have made the decision to release the designated reserves representing the net book value of fixed assets to £nil. We plan to replenish our free reserves to meet our reserves target by generating surplus budgets over years two and three of the strategic plan. Brook operates a robust internal financial control environment and performance against budget is subject to regular monitoring by the Risk, Finance & Audit Committee. This provides reassurance that the reserves target is planned to be met by the end of the strategic plan period.

GOING CONCERN

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

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STATEMENT OF TRUSTEES’ RESPONSIBILITIES

The trustees (who are the directors of Brook for the purposes of company law) are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and have chosen to adopt United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended). They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the trustees are aware:

The trustees report on pages 4 to 19 was approved by the board of trustees and signed on its behalf by:

Signature:

Dame Sally Dicketts, Chair of the Board of Trustees

Date: 28 November 2024

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INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF BROOK YOUNG PEOPLE

OPINION

We have audited the financial statements of Brook Young People for the year ended 31 March 2024 which comprise the Statement of Financial Activities, Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of 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:

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 charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

OTHER INFORMATION

The trustees are responsible for the other information. The other information comprises the information included in the Trustees’ Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

OPINIONS ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006

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

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ Annual Report (which incorporates the directors’ report).

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charity Accounts (Scotland) Regulations (as amended) requires us to report to you if, in our opinion:

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RESPONSIBILITIES OF TRUSTEES FOR THE FINANCIAL STATEMENTS

As explained more fully in the trustees’ responsibilities statement set out on page 19, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

AUDITOR’S RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS

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

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

Based on our understanding of the charitable company and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to Care Quality Commission and safeguarding regulations, GDPR, health and safety regulations and employment law and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006, the Charities Act 2011 and tax regulations.

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We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls). Audit procedures performed by the engagement team included:

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

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

USE OF OUR REPORT

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members, as a body, for our audit work, for this report, or for the opinions we have formed.

i Lee Stokes (Senior Statutory Auditor)

For and on behalf of HaysMac LLP, Statutory Auditor 10 Queen Street Place, London, EC4R 1AG

Date: 28 / 11 / 2024

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STATEMENT OF FINANCIAL ACTIVITIES

(Incorporating the income and expenditure account) For the year ended 31 March 2024

For the year ended 31 March 2024 For the year ended 31 March 2024
Notes
Unrestricted
funds
£
Restricted
funds
£		 Total funds
2024
£		 Total funds
2023
£
Income
Donations & legacies
101,735
-
Grants
2
-
262,904		 101,735
262,904		 12,482
437,324
Income from charitable activities
Improving sexual health
3
13,650,208
-		 13,650,208 12,554,704
Other income
12,683
-		 12,683 28,190
Total income
13,764,626
262,904		 14,027,530 13,032,700
Expenditure
Costs of raising funds
Fundraising
6,061
-		 6,061 16,392
Cost of charitable activities
Improving sexual health
14,886,031
45,928		 14,931,959 12,923,495
Total expenditure 4
14,892,092
45,928		 14,938,020 12,939,887
Net Income /
(expenditure)		 (1,127,466)
216,976		 (910,490) 92,813
Net movement in funds
for theyear		 (1,127,466)
216,976		 (910,490) 92,813
Balance brought forward
at 1 April 2023		 2.376,426
188,334		 2,564,760 2,471,947
Balance carried forward
at 31 March 2024		 15
16
1,248,960
405,310		 1,654,270 2,564,760

There were no gains or losses in the period other than as above. All activities are continuing and are within the Charity’s objects. The notes on pages 27 to 38 form part of these financial statements.

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Brook Young People 2023/24

BALANCE SHEET As at 31 March 2024

2024 2024 2023
Notes Notes
£		 £
£		 £ £
£
Fixed assets
Tangible assets 9 2,127,018 1,853,294
Total fixed assets 2,127,018 1,853,294
Current assets
Stocks 10 174,129 174,129 174,755 174,755
Debtors 11 1,536,041 1,536,041 897,809 897,809
Cash at bank and in hand 582,825 582,825 958,546 958,546
Total current assets 2,292,995 2,292,995 2,031,110 2,031,110
Creditors: amounts falling due
within one year		 Creditors: amounts falling due
12		 (2,708,596) (2,708,596) (1,318,325) (1,318,325)
Net current (liabilities)/assets (415,601) 712,785
Total assets less current
liabilities		 1,711,417 2,566,079
Creditors: amounts falling due
after one year		 Creditors: amounts falling due
13		 (56,267) -
Provision for pension deficit 20 (880) (1,319)
Net assets 1,654,270 2,564,760
Funds
Restricted funds 15 405,310 188,334
Unrestricted funds
General funds 16 1,053,960 525,629
Designated funds 16 195,000 1,850,797
Total funds 17 1,654,270 2,564,760

The notes on pages 27 to 38 form part of these financial statements.

The financial statements were approved by the board of trustees and were signed on its behalf by:

Signature:

Dame Sally Dicketts, Chair of the Board of Trustees

Date: 28 November 2024

Company number: 02466940

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CASH FLOW STATEMENT For the year ended 31 March 2024

For the year ended 31 March 2024
2024 2023
Notes £ £
Net cash inflow from operating activities a 595,569 849,154
Cash flows from investing activities and deconsolidation b (1,037,375) (1,110,821)
Cash flows from financing activities c 66,085 (34,778)
Change in cash and cash equivalents (375,721) (296,445)
Cash and cash equivalents at the start of the period 958,546 1,254,991
Cash and cash equivalents at the end of the period 19 582,825 958,546
Notes to the cash flow statement 2024
£		 2023
£
a. Reconciliation of net cash outflow from operating activities
Net income (910,490) 92,813
Depreciation charges on fixed assets 763,211 382,770
(Increase)/decrease in stocks 626 (14,075)
(Increase)/decrease in debtors (638,232) 457,901
Increase / (decrease) in creditors 1,380,454 (70,255)
Net cash inflow from operating activities 595,569 849,154
b. Cash flows from investing activities and deconsolidation
Purchase of property, plant and equipment (1,036,935) (1,110,072)
Provision for pension deficit and other reserve movement (440) (749)
Cash flow from investing activities and deconsolidation (1,037,375) (1,110,821)
c. Cash flows from financing activities
Cash element of bank loan repayments (12,315) (34,778)
Bank loans 78,400 -
Cash flow from financing activities 66,085 (34,778)

The notes on pages 27 to 38 form part of these financial statements

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NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2024

1. ACCOUNTING POLICIES

The following accounting policies have been used consistently in dealing with items which are considered material in relation to the company’s accounts.

1.1 BASIS OF ACCOUNTING

The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (SORP 2015) (Second Edition, effective 1 January 2019) and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Companies Act 2006.

The charity constitutes a public benefit entity as defined by FRS 102.

The trustees consider that there are no material uncertainties about the charity’s ability to continue as a going concern, and there is a rigorous 3-year strategic plan in place to continue to achieve a surplus position each year.

1.1.1 CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

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 on-going basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised and in future periods where necessary.

1.2 INCOME

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period.

During 2023/24 the charity received one legacy totalling £50,000.

Grants are recognised in the statement of financial activities in the year in which the charity has entitlement to the income, the amount of income receivable can be measured reliably and there is probability of receipt.

Gifts in kind, including investments, are recognised at their market value on receipt.

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1.3 EXPENDITURE

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that settlement will be required and the amount of the obligation can be measured reliably.

Expenditure is charged on an accruals basis. Governance costs relate to the general running of the charity, allowing the charity to operate and generate the information required for public accountability, as opposed to the direct management functions inherent in generating funds, service delivery or project work.

1.4 ALLOCATION OF SUPPORT AND GOVERNANCE COSTS

Governance costs comprise all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include costs related to statutory audit and legal fees. As the charity has only one charitable activity being ‘improving the sexual health of young people and those most vulnerable to sexual ill-health’ all governance costs have been allocated to this.

Expenditure is charged on an accruals basis and is analysed between the charity’s main activities. Direct expenditure, including staff costs and associated establishment and overhead costs, is allocated directly to the relevant activity. Other staff costs and associated establishment and overhead costs are classified as support costs and are allocated to specific activities by reference to the time spent on each. The charity’s main activities are:

1.5

TANGIBLE FIXED ASSETS AND DEPRECIATION

Fixed assets costing more than £1,000 are capitalised and depreciated over their estimated useful lives, starting from the first month after capitalisation:

Freehold property 2% straight line
Leasehold property period of the lease
Improvement to leasehold property period of the lease
Computer equipment 20% straight line
Fixtures, fittings and equipment 25% straight line
Digital assets 33% straight line

1.6 STOCKS AND CONSUMABLES

Stocks are stated at the lower of cost and net realisable value. Consumable items for use in the clinics have been valued at cost as represented by the invoiced value and are included in stock values.

1.7 DEBTORS AND CREDITORS

Short term debtors are measured at transaction price, less any impairment and short term creditors are measured at the transaction price.

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1.8 TAXATION

The charity is exempt from corporation tax on its charitable activities.

1.9 OPERATING LEASES

Operating lease costs are charged to the Statement of Financial Activities on a straight line basis over the lease term.

1.10 PENSION SCHEME

The charity contributes to the personal schemes of certain employees. All such pension schemes are defined contribution schemes. The pension cost represents contributions payable by the company during the period.

Brook auto enrolled its staff in August 2015 into the Legal & General Worksave Pension Plan, scheme number Gf87785001.

Brook also contributes to the Pensions Trust’s Growth Plan (The Plan). The Plan is funded and is not contracted-out of the State scheme. The scheme is classified as a multi-employer defined benefit scheme where the share of assets and liabilities attributable to each member cannot be accurately quantified. As such contributions relating to current service are accounted for as they fall due but the commitment to make additional contributions in respect of past service deficit are accounted for once the commitment can be quantified. Contributions to both of these plans are accounted for as they fall due.

1.11 FUNDS

Restricted funds are the unexpended balances of income held on trust to be applied for specific purposes. Designated funds are unrestricted funds that are set aside at the discretion of the trustees for specific purposes: the purpose of specific designated funds is shown in the notes to the financial statements. General funds are the accumulated surplus of income over expenditure and are available for use at the discretion of the trustees in furtherance of the company’s objectives.

1.12 FINANCIAL INSTRUMENTS

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

2. INCOME FROM GRANTS

INCOME FROM GRANTS
Unrestricted
funds
£
Restricted
funds
£
Total
2024
£		 Total
2023
£
Other grants
-
262,904
262,904		 437,324
Total grants
-
262,904
262,904		 437,324

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Unrestricted
Restricted		 Total
funds
funds		 2023
Comparative figures £
£		 £
Other grants 26,000
411,324		 437,324
Total grants 26,000
411,324		 437,324

3. INCOME FROM CHARITABLE ACTIVITIES

Unrestricted
funds
£
Restricted
funds
£
Total
2024
£		 Total
2023
£
Local Authority and
Health Trusts funding
12,972,599
-
12,972,599
Trusts & Corporates
98,510
-
98,510
Education sales
554,099
-
554,099
Other income
25,000
-
25,000		 11,791,568
129,750
587,636
45,750
Total charitable activities
13,650,208
-
13,650,208		 12,554,704
Comparative figures
Unrestricted
funds
£
Restricted
funds
£
Total
2023
£
CCG/ICB funding
4,308,727
-
4,308,727
Local Authority funding
7,482,841
-
7,482,841
Trusts & Corporates
129,750
-
129,750
Education sales
587,636
-
587,636
Other income
45,750
-
45,750
Total charitable activities
12,554,704
-
12,554,704

4. TOTAL EXPENDITURE

The charity has one charitable activity, being ‘ improving the sexual health of young people and those most vulnerable to sexual ill health’ . Costs are allocated to it as follows:

Direct
costs
£
Support
costs
£
Total
2024
£		 Total
2023
£
Staff related costs
7,989,764
393,392
8,383,156
Clinical costs
3,585,378
-
3,585,378
Depreciation
663,530
99,681
763,211
Premises and IT
1,511,766
243,842
1,755,608
Other operational costs
90,313
-
90,313
Administration
-
360,354
360,354		 7,749,279
2,652,899
382,770
1,604,428
183,300
367,211
Total expenditure
13,840,751
1,097,269
14,938,020		 12,939,887

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Brook Young People 2023/24

Direct
Support
Total
costs
costs
2023
Comparative figures £
£
£
Staff related costs 7,117,438
631,841
7,749,279
Clinical costs 2,652,899
-
2,652,899
Depreciation 356,476
26,294
382,770
Premises and IT 1,432,640
171,788
1,604,428
Other operational costs 183,300
-
183,300
Administration -
367,211
367,211
Total expenditure 11,742,753
1,197,134
12,939,887

5. GOVERNANCE COSTS

GOVERNANCE COSTS
2024
£		 2023
£
Trustees’ expenses
307
Audit
29,370
Legal fees
19,768		 1,651
23,970
16,402
Total governance costs
49,445		 42,023

6. STAFF COSTS

STAFF COSTS
2024
No.		 2023
No.
Average number employed
265		 233
The aggregate payroll costs of these persons were as follows:
2024
£		 2023
£
Salaries
6,991,032
Social security costs
745,124
Pension costs
253,608
Other costs, including recruitment, training, temporary
staff and consultants
160,065		 6,420,405
683,452
268,485
146,920
Total staff costs
8,149,829		 7,519,262

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The number of employees earning in excess of £60,000 was as follows:

The number of employees earning in excess of £60,000 was as follows:
2024
No.		 2023
No.
£60,000 - £70,000
5
£70,000 - £80,000
3
£80,000 - £90,000
-
£90,000 - £100,000
2
£100,000 - £110,000
3
£130,000 - £140,000
-
£180,000 - £190,000
1		 3
1
2
-
2
1
1

The organisation considers the Key Management Personnel to be the senior management as referred to in the Trustees’ Annual Report. Total remuneration of this group in the year was £1,242,478 (2023: £721,216), which included employers pension costs of £25,729 (2023: £10,397). During the year the charity incurred redundancy costs totalling £6,645 (2023: £6,173).

7. TRUSTEES REMUNERATION AND EXPENSES

None of the trustees of the charity received any remuneration from the charity for their services as trustees (2023: £nil).

During the period, trustees were reimbursed for travelling expenses incurred in attending meetings and other expenses incurred on the charity’s behalf, totalling £307 (2023: £1,651).

8. NET INCOME / (EXPENDITURE)

Net income / (expenditure) for the period is stated after charging:

Total 2024
£		 Total 2023
£
Auditors’ fee
29,370
Operating leases – land and buildings
615,551
Operating leases – other
20,481
Depreciation and loss on disposal of fixed assets
763,211		 23,970
545,180
20,433
382,770

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9. TANGIBLE FIXED ASSETS

TANGIBLE FIXED ASSETS
Freehold
property
£
Leasehold
property &
improvements
£
Furniture
computers
equipment
£		 Total
£
Cost
As at 01 April 2023
513,831
3,346,550
2,657,957
Additions
-
238,327
798,608		 6,518,338
1,036,935
As at 31 March 2024
513,831
3,584,877
3,456,565		 7,555,273
Depreciation
As at 01 April 2023
362,741
2,539,678
1,762,625
Charge for the year
14,000
254,639
494,572		 4,665,044
763,211
As at 31 March 2024
376,741
2,794,317
2,257,197		 5,428,255
Net book value
As at 31 March 2024
137,090
790,560
1,199,368		 2,127,018

10. STOCK AND WORK IN PROGRESS

2024
£
2023
£
Publications & consumables
174,129		 174,755
Total
174,129		 174,755

11. DEBTORS

2024
£
2023
£
Trade debtors
421,139
Prepayments and accrued income
1,064,060
Other debtors
50,842		 426,987
420,615
50,207
Total
1,536,041		 897,809

12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Amounts falling due within one year:

Amounts falling due within one year:
2024
£
2023
£
Trade creditors
1,725,294
Social security and other taxes
572,564
Accruals and deferred income
369,169
Loans
22,133
Other creditors
19,436		 978,456
167,241
146,863
12,315
13,450
Total
2,708,596		 1,318,325

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Accruals and deferred income includes £295,274 (2023: £48,367) of income that was deferred to a future year in line with when the related work is carried out. All deferred income as at 31 March 2023 was released to the SOFA during the year.

13. CREDITORS: AMOUNTS FALLING DUE AFTER ONE YEAR

Amounts falling due after more than one year:

Amounts falling due after more than one year:
2024
£		 2023
£
Loans
56,267		 -
Total
56,267		 -

Loans represent one unsecured loan with interest of 7.5% pa repayable over 36 months to April 2027.

14. OPERATING LEASES

Leases expiring
2024
Land &
buildings
£
2024
Other
£
2023
Land &
buildings
£
2023
Other
£
Within one year
479,974
20,433
517,471
Within 2-5 years
911,148
37,460
448,598
Over five years
82,800
-
-		 20,433
61,298
-
Total commitment
1,473,922
57,893
966,069		 81,731

15. RESTRICTED FUNDS

Balance
01/04/23
£
Income
£
Expenditure
£		 Acquisition
/ transfers
£
Balance
31/03/24
£
Restricted assets
177,499
-
(7,002)
Restricted projects
10,835
262,904
(38,926)		 -
170,497
-
234,813
Total
188,334
262,904
(45,928)		 -
405,310
Comparative figures
Balance
01/04/22
£
Income
£
Expenditure
£

Acquisition
/ transfers
£
Balance
31/03/23
£
Restricted assets
197,180
-
(19,681)
Restricted projects
-
411,324
(400,489)		 -
177,499
-
10,835
Total
197,180
411,324
(420,170)		 -
188,334

Restricted assets are linked to specific properties whose future use is limited by covenants. Restricted projects are summarised in more detail below.

Restricted projects (summarised below) represent funds given to the charity for specific purposes. Any unspent at the yearend are carried forward.

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16. Restricted projects
Balance
01/04/23
£
Income
£
Expenditure
£		 Additions
/ transfers
£
Balance
31/03/24
£
The Masonic
Charitable
Foundation
10,835
-
(10,835)
Duchy Health Charity
-
15,000
(15,000)
London School of
Hygiene and Tropical
Medicine
-
2,500
(2,500)
Big Issue Invest
Investment
-
19,600
-
Private Family Trust
-
215,213
-
The Masonic
Charitable
Foundation
-
10,591
(10,591)		 -
-
-
-
-
-
-
19,600
-
215,213
-
-
Total
10,835
262,904
(38,926)		 -
234,813
UNRESTRICTED FUNDS
Balance
01/04/23
£
Income
£
Expenditure
£		 Additions
/ transfers
£
Balance
31/03/24
£
Unrestricted funds
525,631
13,764,626 (14,892,092)		 1,655,795
1,053,960
Designated funds
Fixed assets funds
1,675,795
-
-
Dilapidations funds
175,000
-
-		 (1,675,795)
-
20,000
195,000
Total
2,376,426
13,764,626
(14,892,092)		 -
1,248,960

Designated funds represent an approximation of dilapidations owed on premises. Due to the loss in year trustees have made the decision to release designated reserves representing the net book value of unrestricted fixed assets to £nil. These together with all other funds are classified as general funds.

17. ANALYSIS OF NET ASSETS BETWEEN FUNDS

ANALYSIS OF NET ASSETS BETWEEN FUNDS
Tangible
fixed assets
£
Net current
assets
£
Long term
creditors
£		 Total 2024
£
Restricted funds
170,497
234,813
-
General funds
1,956,521
(845,414)
(57,147)
Designated funds
-
195,000
-		 405,310
1,053,960
195,000
Total
2,127,018
(415,601)
(57,147)		 1,654,270

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Comparative figures
Tangible
fixed assets
£
Net current
assets
£
Long term
creditors
£		 Total 2023
£
Restricted funds
177,499
10,835
-
General funds
-
526,950
(1,319)
Designated funds
1,675,795
175,000
-		 188,334
525,631
1,850,795
Total
1,853,294
712,785
(1,319)		 2,564,760

18. CONTINGENT LIABILITIES

Four of the properties owned by Brook were purchased with the assistance of public authorities. If Brook stops using the property for the intended purpose an amount is potentially repayable. The properties are regularly valued in order to assess the potential liability if any of the properties were sold or stopped being used. For three of the properties the potential liability would be based on a percentage of the future sale proceeds; these range from 81% to 100%. For the fourth property the liability is the repayment of the grants received or a relevant proportion of the sales value if higher. As the potential future sales values are unknown it is not possible to calculate the expected sales proceeds, and therefore the total potential liability.

19. ANALYSIS OF CHANGE IN NET DEBT

1 April
2023
£
Cash flows
£
Other
non-cash
changes
£		 31 March
2024
£
Cash and cash equivalents
Cash
958,546
(375,721)
-		 582,825
Total cash and equivalents
958,546
(375,721)
-		 582,825
Borrowings
Debt due within one year
(12,315)
(9,818)
-
Debt due after one year
-
(56,267)
-		 (22,133)
(56,267)
Total borrowings
(12,315)
(66,085)
-		 (78,400)
Total commitment
946,231
(441,806)
-		 504,425

20. PENSIONS

The company participates in the Pensions Trust Growth plan on behalf of some longserving employees, a multi-employer scheme which provides benefits to some 1,300 non-associated participating employers. The scheme is a defined benefit scheme in the UK. It is not possible for the company to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. Therefore it accounts for the scheme as a defined contribution scheme.

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

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

A full actuarial valuation for the scheme was carried out at 30 September 2020. This valuation showed assets of £793m, liabilities of £970m and a deficit of £177m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme as follows:

Deficit contributions
From 1 April 2016 to £12,945,440 per annum
30 September 2025 (payable monthly and increasing by 3% each on 1stApril)
From 1 April 2016 to £54,560 per annum
30 September 2028 (payablemonthly andincreasing by 3% eachon 1stApril)
From 1 April 2019 to £11,243,000 per annum
31 January2025 (payable monthlyand increasingby3% each on 1stApril)

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

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

20.1 PRESENT VALUES OF PROVISION

PRESENT VALUES OF PROVISION
31 March 2024
£
31 March 2023
£		 31 March 2022
£
Present value of provision
880
1,319		 2,068

20.2 RECONCILIATION OF OPENING AND CLOSING PROVISIONS

RECONCILIATION OF OPENING AND CLOSING PROVISIONS
Period ending
31 March 2024
£		 Period ending
31 March 2023
£
Provision at start of period
1,319		 2,068
Unwinding of the discount factor (interest
expense)
32		 40
Deficit contribution paid
(471)		 (754)
Remeasurements – impact of any change in
assumptions
-		 (35)
Provision at end of period
880		 1,319
ASSUMPTIONS
31 March 2024
%per annum
31 March 2023
%per annum		 31 March 2022
%per annum
Rate of discount
5.31
5.52		 2.35

20.3 ASSUMPTIONS

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21. COMPARATIVE INFORMATION

STATEMENT OF FINANCIAL ACTIVITIES

(Incorporating the income and expenditure account) For the year ended 31 March 2023

For the year ended 31 March 2023
Unrestricted
funds
£		 Restricted
funds
£		 Total funds
2023
£
Income
Donations & legacies
12,482
Grants
26,000		 -
411,324		 12,482
437,324
Income from charitable activities
Improving sexual health
12,554,704		 - 12,554,704
Other income
28,190		 - 28,190
Total income
12,621,376		 411,324 13,032,700
Expenditure
Costs of raising funds
Fundraising
16,392		 - 16,392
Cost of charitable activities
Improving sexual health
12,503,325		 420,170 12,923,495
Total expenditure
12,519,717		 420,170 12,939,887
Net Income / (expenditure)
101,659		 (8,846) 92,813
Net movement in funds for the year
101,659		 (8,846) 92,813
Balance brought forward
at 1 April 2022
2,274,767		 197,180 2,471,947
Balance carried forward
at 31 March 2023
2,376,426		 188,334 2,564,760

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Brook Young People 2023/24