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← Outward Housing

2025-03-31-accounts

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Outward Report & Financial Statements 2024/2025

Outward Housing Company no. 02151434 Registered charity no. 800529

Contents

The Board and professional advisors .............................................................................................3 Trustees’ Annual Report .................................................................................................................4 Independent Auditor’s Report to the members of Outward Housing ............................................22 Statement of financial activities ....................................................................................................26 Balance sheet ...............................................................................................................................27 Statement of cash flows ...............................................................................................................28 Notes to the financial statements .................................................................................................29

2 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

The Board and professional advisors

Company number: 02151434 Charity number: 800529

Registered office and operational address

Newlon House 4 Daneland Walk Hale Village London N17 9FE

Key management personnel/ Executive Team

Nicky Boland Chief Executive Officer and Secretary

Katerina Gutheim

Director of Care and Support

Elena Mouza Director of People & Corporate Services appointed 23 September 2024

Emma Richardson

Trustees

Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows:

Jane Howlett CBE Chair

Eilish Kavanagh Treasurer

Daniel Menghestab Haile Chair, Operations Committee

Alison Muir Newlon Housing Trust Nominee

Zahra Maye

Kathleen Parker appointed 11 December 2024

Rama Varsani

Matthew John Gregory Tandy

Ashley Jay Staines resigned 17 March 2025

Cleo Woodward appointed 11 December 2024

Oluyemisi Omowumi Akosile appointed 25 September 2024, resigned 18 February 2025

Director of Supported Housing

Lindy Shufflebotham Director of HR & Business Support resigned 30 September 2024

The Outward Chief Executive is employed by Newlon Housing Trust and 95% of the costs are charged to Outward Housing.

Financial and Information Technology services are purchased from Newlon Housing Trust under service level agreements.

Auditors

Bankers

Barclays Bank PLC Business Service Team Level 28 1 Churchill Place London E14 5HP

BDO LLP 2 City Place Beehive Ring Road Gatwick West Sussex RH6 0PA

Solicitors

Devonshires 30 Finsbury Circus London EC2M 7DT

Other trading styles

Nutley Edge Cottages

Websites

www.outward.org.uk www.nutleyedge.org.uk

3 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

Trustees’ Annual Report, incorporating Strategic Report

Purpose and aims

The Trustees present their report and the audited financial statements for the year ended 31 March 2025.

Reference and administrative information set out on page 3 forms part of this report. The financial statements comply with current statutory requirements, the articles of association and the Statement of Recommended Practice - Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102.

In 1975 a group of parents and professionals in Waltham Forest got together to find a way for people with learning disabilities to live outside institutional care; this is how Outward was created and where our name comes from, living ‘out of the wards’, in the heart of local communities.

Outward Housing’s (Outward) purpose, as set out in our Articles of Association, is:

to provide housing, education, support and care to persons in necessitous circumstances, including people with learning disabilities, people with mental health problems and older people, on appropriate terms in accordance with their individual needs and in any way that is charitable in law.

The main activities undertaken by Outward in relation to this purpose and for the public benefit are:

support and care services, delivered within registered care homes, supported living, day activities, through community outreach and supported holiday and activity break provision; specialist housing management services; and volunteering and befriending services.

We provide services to people living in the community who may be vulnerable by nature of their age, disability, life circumstances or mental health and sometimes compounded by physical disability.

The Trustees review the activities that Outward has undertaken as set out in its aims and objectives. The review also helps the Trustees ensure Outward’s aims, objectives and activities remain focused on the strategies and objectives that were set and performance against them.

The Trustees have referred to the Charity Commission’s general guidance on public benefit when reviewing Outward’s aims and objectives and in planning its future activities. In particular, the Trustees considered how planned activities will contribute to the aims and objectives that have been set.

Strategic report and performance

The strategic direction of Outward is the provision of high-quality and reliable care, support and intensive housing management services to people requiring these services across north and east London.

Our geographical coverage started in Waltham Forest and grew to the current ten London boroughs and the City of London in which we operate. Waltham Forest, Tower Hamlets, Enfield, Newham and Hackney are our biggest serviced boroughs for care and support.

Outward continues to maintain a range of services to persons requiring support, which is highlighted in the achievements and performance section, allowing it to absorb the impact of a potential loss of a funder or service stream.

4 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

Service provision is, in the context of operational efficiency, achieving small year on year financial surpluses for maintaining sufficient day-to-day cash balances to fund operational activity and sufficient reserves to ensure Outward can continue to provide services into the foreseeable future.

Our balance sheet and ratios remain strong, buoyed by increased valuations of our properties.

We are registered with the Fundraising Regulator and apply resources to invest in fundraising activity seeking funds for non-statutory services, including expanding our activity breaks and funding people who could not otherwise afford to attend our breaks to benefit from them.

The need to invest in and improve our use of software, technology and IT infrastructure was recognised, and in 2023-24, we launched our digital strategy; this work continues into 2025-26.

Outward has previously invested some of its reserves in holiday cottages in East Sussex and three private rent flats in the London Borough of Waltham Forest. Commercial surplus is reinvested into charitable activities, and the holiday cottages are also used as a base to provide charitable activity and respite breaks.

Two-thirds of Outward’s service income is derived from care and support revenue, and one-third from intensive housing management, both designed to enable people we support to maintain their tenancies and make progress in their lives. Statutory funding does not cover the additional services that can make a real difference to people’s lives and wellbeing, therefore Outward has funded and delivered additional projects through its community engagement and volunteering team. Outward seeks grant funding to support this work.

Outward does not undertake widespread fundraising from the general public as defined by the Charities Act 2011 as “soliciting or otherwise procuring money or other property for Charitable purposes”. Any amounts receivable are presented in our accounts as “income from donations and grants”. All fundraising activities are managed internally, without involvement of professional fundraisers, and the daily management of such income is delegated to the Executive Team, who are accountable to the Trustees.

Care and support is provided in a variety of settings primarily, supported living, outreach and registered care homes. Intensive housing management is provided in properties owned by Outward’s parent, Newlon Housing Trust, and five other landlords.

Outward collects rent and sets and collects service charges, from tenants on behalf of landlords and pays back a share of the rent to the landlords as a ‘tariff’. From the proportion of rent retained by Outward, Outward funds its intensive housing management service and the risk of voids and arrears. Landlords are responsible for maintaining properties. Newlon provides Finance and IT support services to Outward. All intra group services are provided at commercial rates.

From the above, it is apparent that Outward is a ‘service provider’ charity, the following sections set out Outward’s operating environment, the risks it encounters and mitigates, how Outward has performed in 2024-25 and how it expects to operate going forward.

Operational risks and exposures

Outward’s Board reviews its Risk Register and mitigating actions at each Board meeting but delegates oversight of financial performance and associated risk to an Operations Committee, that meets quarterly in advance of Board meetings, reporting back to the Board. The remit of the Operations Committee is reviewed regularly and includes operational performance and financial resilience, as well as key performance indicators of service performance, efficiency, and quality, as standing agenda items.

Outward’s Risk Appetite Statement considers the main areas of risk to which Outward is exposed. It outlines the Board’s position in relation to each risk and guides management in decision making.

5 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

Policies such as treasury management and delegated authorities, as part of Standing Orders, are also reviewed regularly. Additionally, Outward uses the services of a third-party internal audit service, who also report to the Newlon Group Audit & Risk Committee.

Our Risk Register categorises the risks we face in four key ongoing areas:

Financial: We rely mainly on Local Authority and Health funding to fund our services. After mitigation, this remains a key area and a material risk. Our strategy will consider the funding policies of each local authority, potentially leaving contracts which we believe do not appropriately fund our services to a level the people we support deserve and for paying our staff at least the London Living Wage.

People: We are dependent on our staff for the delivery of our services, therefore a key task is to recruit and retain enough high-quality care and support staff. This remains a major challenge in London and the south-east, and following mitigation, including keeping all our frontline staff to at least the London Living Wage, we believe this remains a material risk as it does for the whole sector.

Service delivery: It is essential to us that, as a charity, we deliver services that benefit the people we support and our residents. Given the risks in regard to the income we receive and the sector problems in recruiting, the right service delivery is challenging.

It is only by ensuring that we do not compromise on quality, evidenced by robust and effective quality assurance systems, that we can reduce this risk. Feedback from the people we support, our stakeholders, and the Care Quality Commission clearly indicates that we are successfully mitigating the risks we face and continuing to deliver good quality services.

Health and Safety: This is inherent in all we do, specifically in supporting people who face life barriers and challenges to live as independently as possible. Outward has a Health and Safety Assurance Framework, and in 2024-25, we commissioned an external audit of this. Our Health and Safety Committee, supported by an external health and safety advisor, meets quarterly to review health and safety risks, our controls and performance.

The key operating risks to Outward are considered as:

Funding of care and support contracts – Outward remains committed to paying its London-based staff at least the London Living Wage (LLW). For 2024-25, this was an uplift of 10%, but not all our local authority funders increased fees to accommodate this increase.

Going forward, we have uplifted support worker pay by 5.3% from April 2025 in line with the Living Wage Foundation recommendation. At the balance sheet date, we are still negotiating with boroughs to fund this salary uplift and general cost increases. We expect 2025-26 to be a particularly difficult year in this regard, given the additional costs we face due to the increase in Employers National insurance contributions. Outward’s position remains that the charity should not be subsidising local authorities for their statutory responsibilities with charitable reserves. Should our services be transferred to another provider, TUPE regulations will apply to mitigate any potential redundancy costs.

Outward maintains a register of contracts and a supporting document repository for care and support invoicing. However, most of the boroughs we work with maintain their own brokerage team records. Delays and errors can impact on the timely collection of debt. In recent years, delays have been exacerbated by drawn out uplift negotiations. Direct dialogue to rectify issues with boroughs in this area can be difficult, and debt levels remain, yet again, higher than target.

Typically, for our care and support services, direct costs cluster around 85% of associated income, with the remainder covering local operating costs, overheads and a small surplus to maintain reserves. Controls are in place at budget setting, including the creation of staff establishments,

6 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

rotas and monitoring of spend through monthly management accounts. In 2024-25, we exited one contract, which no longer covered direct operating costs.

We manage 596 tenancies over a wide range of property types on behalf of six landlords, principally Newlon Housing Trust.

Housing Management Services are funded by retained rent and allowable service charge administration fees. Rent was uplifted by 7.7% in 2024-25.

Voids in our homes have increased slightly, with the average void loss 5.7% across the year, up from 5.4% in 2023-24. We continue to work with Newlon Housing Trust’s asset management team, to identify those properties making deficits and which require remodeling or returning to Newlon Housing Trust if they are no longer suitable for supported housing. We are also liaising with local authorities to expedite referrals quicker and ensure much needed supported accommodation is not sitting empty.

Outward has been an employer member of the Social Housing Pension Scheme (SHPS) since merging with another charity in 2002, and levels of reserves are exposed to material annual fluctuations in the accounting valuation of liability to the SHPS scheme. The Trustees consider that all cost-effective mitigations available have been taken over more than fifteen years and continue to work with professional advisers to identify any further mitigating actions. Longevity rates, inflation rates and movements in financial markets will have an impact on exposure. However, the Trustees recognise a material risk remains, with former employees of Outward continuing to benefit from the scheme, with pensions or deferred pensions, currently for the next approximately forty years. Outward is committed to cash funding its share of liabilities until March 2028, with the next actuarial valuation due in September 2026 and the outcome expected by mid- 2027.

Outward has been able to maintain cash balances with prudent treasury management and has built up sufficient cash reserves over the years to satisfy working capital requirements, operational risks and with funds available for future investment in charitable services.

Outward is keenly aware of the operational and reputational risks involved in providing peoplebased services to vulnerable adults. It is considered those risks are managed down to an acceptable level.

Achievements

Outward’s charitable activities continues to focus on improving people’s independence and life opportunities and are undertaken to further Outward’s charitable purposes for the public benefit.

In 2024-25, Outward supported 925 people (2023-24: 900) to maximise their independence and social engagement by providing essential care and support services. We provided our services across ten London boroughs and at Nutley Edge to individuals with learning disabilities, autism spectrum conditions, mental health issues, young people at risk, and older people. All of our services, regulated by the Care Quality Commission, have retained a CQC Good rating.

With the continued help of colleagues, volunteers and some grant-giving trusts and donors, we have been able to:

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OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

People we Support Satisfaction Survey

Our 2024 Satisfaction Survey completed by people who receive Care and Support Services showed that satisfaction with our support increased by 2% from the 2023 survey to 96%. 91% of people said they would recommend Outward, an increase from 82% in 2023.

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Happy with support Recommend Outward (2024)
Good
2024 96% Fair Great
2023 94%
Poor 91% Excellent
2022 91%
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Co-producing with People we Support

As part of our ongoing efforts to embed co-production in our processes, this year we have:

8 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

In addition, the quarterly People we Support Committee, a group comprising Quality Checkers and Co-trainers, has met throughout the year to discuss key topics such as fundraising, EDI, the satisfaction survey, accessibility, and community engagement projects. A committee representative presents the easy-read committee meeting minutes to the Board of Trustees and provides feedback on organisational topics discussed.

During Co-production Week, we launched a Co-production Library of Resources on the intranet, providing frontline staff with a range of internal and external materials to support their work.

Expanding our service offer

In 2024, Outward took on two new care and support services:

We continue to work in partnership with Newlon Housing Trust, and, subject to planning, building work will start on two supported housing developments within the next financial year.

Investing in our Colleagues

In 2024, we launched a new internal leadership programme called Canopy (externally certified by the Institute of Leadership and Management) to develop our existing managers, deputies and first line managers. This has allowed us to train and develop managers, who are the core of our people effort. In 2025-26, we launch a similar offer, the ‘Sapling programme’ for colleagues aspiring to become mangers in the future. We continue to invest heavily in staff training with a wide reaching development offer inclusive of welcome days, mentoring, online and classroom based training, professional qualification, leadership and management courses.

Our Staff Survey completed in early 2025, had a 71% response rate, an improvement on 49% in the 2023 survey. Notable improvements were recorded in:

9 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

Developing our Digital Strategy

2024 marked a significant leap in our Digital Strategy. We successfully rolled out SONA roster, time and attendance across all services. In 2025, we will continue refining the payroll submission process, streamlining dashboards, and embedding system usage across frontline teams.

By the end of 2024, we had also selected our new HR and recruitment systems. Our new recruitment ATS, Workable, is already in place, with rollout due to complete in May. This will support a more streamlined and efficient recruitment process, freeing up valuable management time.

We also began the implementation of iTrent (Human Resource Management System), with plans to go live in June and expand functionality through additional modules later in the year. In parallel, we selected and signed a contract for our new care records system, Nourish, with implementation planned to begin in summer 2025.

We have started our transition from Workplace to Viva Engage communication platform for colleagues.

For the Supported Housing Department Rentsense (rent arrears monitoring) was successfully rolled out in December 2024 with the team utilising it to full capacity. The expansion of the use of RESCO (Property inspection and maintenance app) was completed and is in use across all managed sites.

Nutley Edge Supported Holidays and Respite

Nutley Edge continues to be a popular destination for breaks for the public and our supported holiday guests. Within the year, we celebrated the milestone of our 100th break.

We provide high quality supported holidays and respite at Nutley Edge for people with disabilities. Families continue to feedback how much they appreciate the break it gives them from their caring roles, and guests continue to enjoy their holidays and opportunities. An example below:

We’d like to express our huge thanks to the team at Nutley Edge last week for giving my son such a wonderful time. He said his week was ‘amazing’ and came home very relaxed (& with laundered clothes - what a treat for mum!). Thank you for all that you do to support those with learning disabilities.

Parent of a guest at Nutley Edge, October 24

10 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

Generous donations from charitable trusts and individuals has meant we have been able to part or fully fund much needed respite breaks for a number of guests who otherwise would not have been able to have a holiday.

This year, we partnered with the 3H Foundation, a charity supporting people with disabilities to have the opportunity for a holiday independent from their day to day carers. We are excited by this partnership and the opportunities it gives people with disabilities.

Nutley Edge has been undergoing refurbishment works, following ten years of being operational and this work will continue into 2025-26. Works include establishing new paths and walkways around the site, replacement kitchen and bathrooms within the traditional and mews cottages, redecoration of the farmhouse and external cyclical works. Upgrades to heating systems have been completed in addition to a programme of upgrading fire doors.

Fundraising

Again this year we have received generous donations from trusts and individuals towards supported holidays so people in financial need could have part or fully funded respite breaks at Nutley Edge.

The annual ‘people we support’ awards celebration and older people services events were generously supported by local business partners who provide services to Outward.

Thank you to the funders, staff and generous individual donors who support our work so we can continue to put our values into action.

Performance Monitoring

Outward sets Key Performance Indicator (KPIs) targets every year to measure our progress against our business plan and evidence that we are successfully mitigating risks. These high level KPIs are supported by a subset of clear performance indicators that are monitored and validated regularly.

In 2024-25, areas of performance being monitored as KPI’s included the following (together with target and achievements comparisons to previous year):

The percentage of our services that are now covering all of their running costs has improved from 86% in 23-24 to 91% in 24-25. This is due to handing back one financially unviable service but still below 100% target due to unforeseen voids in other services.

Our debtors are still above target with average debtor days at 35 average compared to 32 days in 23-24. This is the result of our local authority partners not applying income uplifts in a timely manner throughout the year.

11 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

Role of our volunteers

Volunteering remains at the heart of our efforts to engage, enable, and empower people across Outward. From central teams to specialised services, volunteers have continued to donate their time and skills to our cause. Together, we have delivered a range of impactful programmes, from nutrition to the arts across our care and support services. Volunteer support has been instrumental in developing inclusive local communities that address social isolation and boredom while helping individuals achieve their goals.

With the valuable support of our volunteers, 65 people we support benefited from regular volunteer engagement. 17 dedicated volunteers contributed a total of 1,559 hours through telephone befriending and in-person volunteering across five London boroughs, reaching 13 different care and support services. We acknowledge the continued commitment of our volunteers, whose essential contributions play a critical role in enhancing the wellbeing of the people we support and reinforcing the strength of our community.

Some of the exciting projects led by volunteers over the last year include:

12 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

We delivered 20 engaging nutrition sessions featuring presentations on healthy eating, interactive food-related activities, and communal meal preparation. 100% of staff reported that their services benefitted from participating in the programme, while 92.3% of the people we support expressed interest in joining similar projects in the future. One participant shared, “They made me think of better ways to cook. Healthier ways of cooking in a simpler way of understanding.”

This initiative was made possible thanks to the dedication of our fundraising team and the generosity of our donors.

Supported housing

Our services include support and housing for five main groups: people living with learning disabilities and autism; young people and people with experience of care; and people with experience of homelessness and other complex needs and older peoples extra care services. The primary focus is to provide homes people want and feel safe to live in and where individuals sustain tenancies through ongoing-targeted housing management support.

In 2024-25 we supported 77 young people between the ages of 18-21 to develop the skills and confidence they need to live independently within the London Borough of Hackney. We do this by providing supported housing services through a pathway from young people moving from 24 hour supported services to semi-independent living for those leaving care and unaccompanied asylum seeking young people. The focus is on tenancy sustainment and supporting young people into work or full-time education. In 2024-25 Outward also worked in partnership with Hackney to extend an interim care provision in our Extra Care services, alleviating bed blocking from hospital discharges.

Delivering the action plan developed from Tenant Satisfaction Measures (TSM) Survey in 202223 and our residents’ engagement strategy, we have listened to residents and made the changes they wanted from the services we provide. Firstly, by establishing the Residents Scrutiny Panel to review Outward’s performance and hold us to account. In 2025-26, we are working with the panel to critically evaluate an area of performance through a deep dive investigation and report back on areas of improvement.

2024-25 saw an increase in overall satisfaction in the TSM Survey for the services provided by the Housing Management Team, achieving 92% up from 85% 2023-24. Staff have worked with and consulted residents on communal spaces with planned programmes of works agreed.

We continue to place emphasis on value for money for the services procured, provided, and going forward into 2025-26, the Residents Scrutiny Panel will also be involved in scoring tenders for services provided.

13 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

@ ©

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Nine out of ten tenants are satisfied with the standard of work carried out by Outward’s caretaker service (89%).

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Six out of seven tenants are satisfied with the help and support provided by Outward with rent issues (87%).

Tenants are similarly satisfied with the cleaning standards and upkeep of the shared areas in Outward managed properties (88%).

Tenants are also highly satisfied with the overall service provided by Outward’s Housing Team (92%).

Financial review

Despite the ongoing challenging economic environment Outward was again able to produce an operational surplus. The key operational results were:

Note 2024/25
Budget
£k		 2024/25
Actual
£k		 2023/24
Actual
£k
Income 1 21,931 21,388 19,947
Operational surplus 2 241 119 331
Valuation gains on investment properties
and fixed assets		 3 - 163 127
Decreased / (increased) pension scheme liability 4 - 58 (117)
Net surplus 241 340 341
Charity funds 8,957 9,056 8,716
Capital expenditure 5 208 83 138
Cash held 6 5,796 6,753 6,167
Current ratio (current assets / current liabilities) 7 2.00 2.82 3.15

  1. Income increased by 7.2% during the year, with an increase of 13.3% in care and support inclusive of services taken on during the year. However net rent increased by 2.2% being impacted by voids, and service charge income reduced during the year, primarily reflecting a reduction in energy contract prices.

  2. Surplus included interest received £56k more than budget.

  3. A valuation gain was advised on the holiday cottages at Nutley Edge and modest gains on private rent flats in Waltham Forest.

  4. Outward’s share of the Social Housing Pension Scheme’s liability was assessed, under FRS102, as decreasing by £58k to £440k after cash payments made during the year under the deficit repayment plan 2023-2028.

14 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

  1. In addition to the capital programme spend of £183k, development of the licensed staff rota and time recording software system, which was in development at 31 March 2024 and implemented in March 2025, was charged to expenditure.

  2. Cash at the year end again exceeded £6,000k and the target set. Trustees set a performance indicator of less than £5,400k amber and less than £5,000k red. Issues with agreeing and collecting debt from local authorities saw cash held drop into the amber range during the July – September 2024 quarter. Monthly on account payments of £300k for services provided by Newlon were made to Newlon Housing Trust.

  3. The current ratio at 31 March 2025, although falling slightly over the year remained well ahead of target.

As a care, support and intensive housing management provider, most of our income is provided by local authorities, directly from care, supported living, outreach contracts and housing benefits, or indirectly through direct payments from local authorities to people we support for statutory services. Care and support contract income by borough is provided in note 3 to these financial statements and amounts to 65% (2024: 62%) of the total income.

Weekly rents rose by 7.7%, some from April but mostly from October 2024, partly offset by delays and difficulties in re-letting void properties.

Material decreases in service charge income reflecting the reduction in communal energy contract costs.

Care and support contract uplifts not fully funding the 10.04% increase in the London Living Wage from April 2024.

New services in Tower Hamlets and Newham in September / October 2024, adding £684k to income in the second half of the year.

The London Living Wage was fully implemented in April 2022, and all our staff working in London are paid, from April 2025, at or more than the London Living Wage of £13.85 per hour. The pay uplift of 5.32% for support workers will be monitored in terms of recruiting and retaining staff and challenges, as in recent years, remain to ensure local authorities fund contracts appropriately.

Income at Nutley Edge in 2024-25 reduced by £12k to £229k from 2023-24, based on price increases but with occupancy levels somewhat exposed to the overall UK holiday market and price resistance. A programme of cyclical works commenced in the winter of 2024 to maintain or improve the offering to our customers.

The number of charitable activity breaks run at Nutley Edge continues on its planned upward trend.

Growth plans remain modest and progress, far slower than hoped, is being made to replace our former care home at Drayton Road in Waltham Forest.

15 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

Reserves policy

Outward takes a risk-based approach to reserves so that the Trustees intend to hold a level of unrestricted free reserves (i.e. excluding fixed assets) sufficient to meet the estimated financial impact of the most significant risks identified, provide reasonable operational flexibility and enable Outward to operate smoothly in the case of unforeseen circumstances.

Any restricted funds are held to ensure donations and grants intended for specific causes are not used for other purposes. Unrestricted reserves are available to use as the Trustees see fit.

2024/25
Target
2024/25
Actual
2023/24
Actual
£k
£k
£k
Charity funds
Less: fxed assets and investments
Less: designated funds
Unrestricted free reserves
Unrestricted free reserves / charity expenditure (expressed as
weeks of operational expenditure)		 8,957
9,056
8,716
(4,085)
(4,124)
(3,966)
-
-
-
4,872
4,932
4,750
11.7
12.1
12.6

Designated funds at 31 March 2025 were £nil (2024: £nil), as disclosed in Note 20 to these financial statements. Trustees reserve the power to designate funds in line with firm planning commitments.

The Trustees are confident that the unrestricted free reserves level provides Outward with reasonable financial stability and flexibility in addressing any unknown risks and achieving business objectives. The Trustees review the level of reserves annually and may decide to adjust the policy level to ensure that the unrestricted free reserves are maintained at an appropriate level.

16 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

Future plans

As part of the Newlon Group, our shared strategic objectives continue to shape our plans for the year ahead, alongside feedback from people we support, colleagues and stakeholders. The key strategies and plans guiding our work, together with our values are Outward’s Equality, Diversity and Inclusion Strategy, Digital, People and Co-Production Strategies.

Business Plan 2025/2026

17 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

Corporate governance

Governing document

Outward is a charitable company limited by guarantee. It was incorporated on 29 July 1987 and registered as a charity on 5 December 1988. It is a separate legal entity with its own governance structure within the Newlon Group. Outward operates under its articles of association that establishes Outward’s principal objective of providing care and support to vulnerable people to help them lead meaningful lives and maximise their independence and governs the powers under which Outward must operate.

Newlon Housing Trust

Newlon Housing Trust is a not-for-profit community benefit society and a charitable housing association. Outward does not receive financial support from Newlon Housing Trust or any of the Newlon Group companies. Intra-group transactions and activity with Newlon are transacted at commercial equivalent rates and are governed by a formal intra-group agreement with Newlon Housing Trust that sets out the rights and responsibilities of both parties. Day to day operating arrangements and day to day control is exercised through the intra-group agreement. Outward does not trade with any other members of the Newlon Group.

Governance codes

Outward has adopted the Charity Governance Code, and although Outward is not a registered provider, we have adopted the National Housing Federation (NHF) Code of Governance 2020 and Code of Conduct 2022. The Board reviews compliance with the NHF Codes annually and confirms that Outward is compliant with both the NHF Code of Governance and Code of Conduct in 2024-25.

The Board

Newlon Housing Trust has the right to appoint and remove Outward Board members, has 51% of voting rights at General Meetings, and is a member of Outward Housing. There is reciprocal representation on the Board of Trustees with Newlon Housing Trust.

We seek to ensure that trustees represent the diversity of the communities we serve, and have the range of experience, knowledge, and professional skills required by Outward.

Potential new board members are identified by various processes, including advertisement, recommendations, and referrals. They are then invited to attend and observe one Board meeting prior to recommendation of formal appointment that are then approved by the Newlon Housing Trust Board. Appointments are for a period of three years and Trustees do not receive remuneration. Outward embraces its responsibility for good governance and provides induction, training, and ongoing support to board members, including regular reviews of their contribution and training needs. All trustees give their time voluntarily and receive no benefits from Outward.

Any expenses reclaimed from Outward by trustees are set out in note 8 to the financial statements.

18 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

Committees

The Board has an Operations sub-committee and a Remuneration sub-committee. The Committees report back to the Board, and minutes of Committee meetings are circulated to Board members. The views of people we support are incorporated with a representative from our ‘People we Support’ Committee attending Operations Committee and Board planning days. The Remuneration sub-committee monitors trends in pay awards and makes specific recommendations to the Board concerning pay proposals.

The Board also receive feedback from the Group Audit and Risk Committee, who are accountable to Outward for Outward Matters. An Outward Trustee is a member of the Group Audit and Risk Committee.

Executive Team

The Executive Team meet regularly and are under the responsibility of the Chief Executive, who in turn, is accountable to the Board. The Executive Team are those post holders with functional responsibilities as listed in page 3 of this report.

Related parties and relationships with other organisations

Outward works closely with Newlon Housing Trust and other registered providers of social housing (landlords), providing an intensive housing management service under formal agreements. A formal agreement also exists for Outward’s use of the office building at Tottenham Hale, owned by Newlon Housing Trust.

Outward buys Finance and IT services from Newlon Housing Trust. Outward also works collaboratively with Newlon Housing Trust’s Business Development team to develop new housing for supported housing tenants and on joint procurement exercises.

Remuneration policy for key management personnel

Remuneration for key management roles is overseen by the Remuneration sub-committee. It is reviewed and determined with regard to current market rates and benchmarked against comparable sector salaries. The objective is to attract, retain and motivate personnel to ensure consistent and stable management of services.

Policy for employment of people with protected characteristics

Outward knows that discrimination and bias has a significant negative impact on both staff and the people we support. We have continued to ensure we uncover and challenge discrimination wherever it occurs. We have undertaken an equality impact assessment on our disciplinary process to make sure that it does not discriminate against people with protected characteristics.

Since the launch of our Equity, Diversity and Inclusion (EDI) Strategy in 2023-24, which set out challenging targets for Outward (over three years) and the Board are closely monitoring progress. We have also invested in EDI accreditation, staff development and qualifications and ensuring that the people we support are empowered to celebrate their individuality and supported to live the life they choose.

Employee engagement

We are proud to report that Outward continues to maintain a negligible gender pay gap, significantly below the national average, demonstrating our strong commitment to fairness and equitable pay.

19 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

Throughout the year, we also strengthened our internal communication and engagement efforts. This included the development of a new Marketing and Communications Strategy. We also streamlined staff and management communications by introducing regular briefings and publishing a comprehensive newsletter.

In 2024-25, we established the Staff Engagement Forum, comprising elected representatives from across the organisation, supported by a Chair and Deputy Chairs. This forum provides a structured, ongoing platform for dialogue between staff and leadership, supporting greater transparency, collaborative decision-making, and continuous improvement in workplace culture.

Statement of responsibilities of the Trustees

The Trustees are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

Company law requires the Trustees to prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of Outward, and of the incoming resources and application of resources, including the income and expenditure, of Outward for that period.

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

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain Outward’s transactions and disclose with reasonable accuracy at any time the financial position of Outward, enabling them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of Outward and, hence, for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Statement of internal control

The Trustees recognise that no system of internal control can provide absolute assurance against financial misstatement or loss or eliminate all risk. The system of internal control is designed to manage risk and to provide reasonable assurance that key business objectives and expected outcomes will be achieved. It also exists to give reasonable assurance about the preparation and reliability of financial and operational information and the safeguarding of Outward’s assets and interests.

The Trustees receive a detailed report on Internal Controls Assurance to the Group Audit and Risk Committee prepared by the Chief Executive. As a result of the consideration of this report the Board is prepared to make the following statement.

The Trustees confirm that there is an ongoing process for identifying, evaluating and managing the significant risks faced by Outward. This approach has operated throughout the year under review up to and including the date of approval of the annual report and accounts.

20 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Trustees’ Annual Report for the year ended 31 March 2025

Key elements of the control framework that are established by the Outward Housing Board are:

Additional controls included within the Newlon Group internal control framework are:

Auditors

BDO LLP were reappointed as Outward’s auditors during the year and have expressed their willingness to continue in that capacity.

The Trustees’ annual report which includes the strategic report has been approved by the Trustees on 30 June 2025 and signed on their behalf by

Jane Howlett CBE[Ato] Chair

Jane Howlett CBE

21 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Independent Auditor’s Report to the members of Outward Housing

Opinion on the financial statements

In our opinion, the financial statements:

We have audited the financial statements of Outward Housing (“the Charitable Company”) for the year ended 31 March 2025 which comprise the statement of financial activities, the 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).

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 believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Independence

We remain independent of the Charitable Company 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.

Conclusions related 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.

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 Annual Report, other than the financial statements and our auditor’s report thereon. The other information comprises: the Trustees’ annual report and the Strategic 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. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required

22 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Independent Auditor’s Report to the members of Outward Housing

to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Other Companies Act 2006 reporting

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

the information given in the Trustees’ annual report, which includes the Directors’ Report and the Strategic report prepared for the purposes of Company Law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and

the strategic report and the Directors’ Report, which are included in the Trustees’ report, have been prepared in accordance with applicable legal requirements.

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 misstatement in the Strategic report or the Trustee’s report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion;

Responsibilities of Trustees

As explained more fully in the Trustees’ responsibilities statement, 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

We have been appointed as auditor under the Companies Act 2006 and report in accord ance with the Act and relevant regulations made or having effect thereunder.

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

23 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Independent Auditor’s Report to the members of Outward Housing

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

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:

Non-compliance with laws and regulations

Based on:

We considered the significant laws and regulations to be the Charities Act 2011 and the Charities SORP (FRS 102) and the Companies Act 2006.

The Charitable Company is also subject to laws and regulations where the consequence of the non-compliance could have a material effect on the amount of disclosures in the financial statements, for example through the imposition of fines or litigations. We identified such laws and regulations to be health and safety legislation, UK tax legislation, employment taxes and a variety of acts creating potential corporate liability including the Bribery Act 2010.

Our procedures in respect of the above included:

Fraud

We assessed the susceptibility of the financial statements to material misstatement, including fraud. Our risk assessment procedures included:

24 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Independent Auditor’s Report to the members of Outward Housing

Our procedures in respect of the above included:

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.

A further description of our responsibilities for the audit of the financial statements is located at the Financial Reporting Council’s (“FRC’s”) website at: https://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. 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.

Laurence Elliott (Senior Statutory Auditor)

For and on behalf of BDO LLP, statutory auditor, Gatwick, West Sussex, United Kingdom.

Date: 15 September 2025

BDO LLP is a limited liability partnership registered in England and Wales (with registered number OC305127).

25 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Company no. 02151434

Statement of financial activities (incorporating an income and expenditure account)

for the year ended 31 March 2025

----- Start of picture text -----
2025 2024
Unrestricted Restricted Total Unrestricted Restricted Total
Note £ £ £ £ £ £
----- End of picture text -----

Income from:
Donations and legacies
2
Charitable activities
Rent
3
Service charges
3
Care and tenancy support
3
Investments
4
Other
5
Total income
Expenditure on:
Raising funds
6
Charitable activities
Rent
6
Service charges
6
Care and tenancy support
6
Other
6
Total expenditure
Net income/(defcit)
before net gains
on investments
Net gains/ (losses) on
investments
12
Net income/ (defcit)
before other recognised
gains and losses
Gains on revaluation of
fxed assets
11
(Losses)/gains
on defned beneft
pension schemes
18
Transfers between funds
20
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried
forward		 5,725
39,225
44,950
12,911
64,389
77,300
3,807,831
-
3,807,831
3,724,406
-
3,724,406
3,091,993
-
3,091,993
3,289,234
-
3,289,234
14,013,673
- 14,013,673 12,373,008
- 12,373,008
208,392
-
208,392
286,872
-
286,872
220,893
-
220,893
196,018
-
196,018
21,348,507
39,225 21,387,732 19,946,838
- 19,946,838
11,952
-
11,952
41,728
-
41,728
4,197,657
-
4,197,657
3,954,600
-
3,954,600
3,091,993
-
3,091,993
3,289,234
-
3,289,234
13,639,265
- 13,639,265 11,976,778
- 11,976,778
287,401
40,010
327,410
333,605
-
333,605
21,228,268
40,010 21,268,278 19,615,945
- 19,615,945
120,239
(785)
119,454
305,492
25,400
330,894
162,500
-
162,500
121,636
-
121,636
282,739
(785)
281,954
427,158
25,400
452,530
-
-
-
5,991
-
5,991
57,612
-
57,612
(117,486)
-
(117,486)
(785)
785
-
25,400
(25,400)
-
339,566
-
339,566
341,043
-
341,043
8,715,929
-
8,715,929
8,374,925
-
8,374,925
9,055,526
-
9,055,526
8,715,929
-
8,715,929

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 20 to the financial statements.

26 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Balance sheet as at 31 March 2025

Company no. 02151434

Note 2025
£
£		 2024
£
£
Fixed assets:
Tangible assets 11 598,261 602,205
Investment properties 12 3,525,000 3,362,500
Investments 13 1,070 1,070
4,124,331 3,965,775
Current assets:
Debtors 14 2,461,976 2,068,412
Cash at bank and in hand 6,753,218 6,167,254
9,215,194 8,235,667
Liabilities:
Creditors: amounts falling due within one year 15 3,265,493 2,610,809
Net current assets 5,949,701 5,624,858
Total assets less current liabilities 10,074,032 9,590,633
Creditors: amounts falling due after one year 17 578,506 271,673
Net assets excluding pension liability 9,495,526 9,318,959
Defined benefit pension scheme liability 18 440,000 603,000
Total net assets 9,055,526 8,715,959
The funds of the Charity: 20
Restricted income funds - -
Unrestricted income funds:
Designated funds - -
Revaluation reserve 1,355,733 1,193,323
Pension reserve 440,000 603,000
General funds 7,259,793 6,919,727
Total unrestricted funds 9,055,526 8,715,959
Total charity funds 9,055,526 8,715,959

Creditors falling due within and after one year have been restated in the prior year to enable separate disclosure of a defined benefit pension scheme liability and a pension reserve.

Authorised and approved by the Trustees on 30 June 2025 and signed on their behalf by

~~fttooet-~~ Jane Howlett CBE, Chair

~~Hove~~ Eilish Kavanagh, Treasurer

27 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Statement of cash flows for the year ended 31 March 2025

----- Start of picture text -----
Note 2025 2024
£ £ £ £
----- End of picture text -----

Cash fows from operating
activities
Net cash from operating
activities
21
Cash fows from investing
activities:
Dividends, interest and rents
from investments
Purchase of fxed assets
Proceeds from sales of
fxed assets
Additions to investment properties
Net cash provided from
investing activities
Change in cash and cash
equivalents in the year
Cash and cash equivalents at the
beginning of the year
Cash and cash equivalents at
the end of the year
22		 460,957
502,819
208,932
196,018
(83,384)
(137,515)
-
(800)
-
-
(3,364)
125,007
54,339
585,964
557,158
6,127,254
5,610,096
6,753,218
6,127,254		 460,957
502,819
208,932
196,018
(83,384)
(137,515)
-
(800)
-
-
(3,364)
125,007
54,339
585,964
557,158
6,127,254
5,610,096
6,753,218
6,127,254
6,127,254

28 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

1. Accounting policies

a) Basis of preparation

Outward Housing is a charity incorporated in England and Wales under the Companies Act 2006. The registered office address is Newlon House, 4 Daneland Walk, Hale Village, London, N17 9FE. 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 with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and (Charities SORP FRS 102 - second edition, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

These are the accounts of the individual Charity and are not consolidated.

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy or note.

Amounts are stated in pounds sterling and rounded to the nearest pound.

b) Public benefit entity

Outward meets the definition of a public benefit entity under FRS 102.

c) Going concern

The Trustees have considered Outward’s operating position and the economic climate and while these bring operational challenges the Trustees consider that there are no material uncertainties about Outward’s ability to continue as a going concern.

Expected cash flows have been forecast through to December 2026 and indicate a sufficiency of cash, further a range of stressed financial scenarios has been prepared indicating that, even without further mitigation, Outward would have funds to continue operating for at least four years. The main stressor remains any material gap between the London Living Wage uplift and uplift offers received from local authorities.

The Trustees consider Outward has sufficient resources to fund its share of the Social Housing Pension Scheme deficit repayment plan.

d) Income

Income is recognised when Outward has entitlement to the funds, any performance conditions attached to the income have been met, it is probable that the income will be received and that the amount can be measured reliably.

Rent is set in accordance with relevant legislation and is recognised from lettable properties (after deducting lost rent from void properties available for letting).

Service charge income is set annually in advance to recover service chargeable costs plus an allowable administration fee as a variable service charge on a property by property basis. Charges will include an allowance for the collection of surplus or deficit from prior years, with a surplus being returned to residents by a reduced charge or a deficit being recovered by a higher charge. Until these are returned or recovered they are held as creditors or debtors in the balance sheet.

Care and tenancy support income is recognised on delivery of supported services in line with contracts for those services, mostly with local authorities.

Sales of holiday accommodation at Nutley Edge and of supported activity breaks to Nutley Edge are recognised at the time the accommodation is occupied or the service is delivered.

29 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

Rents received from privately let flats and Lascar Wharf community centre are recognised at the time the properties are occupied.

Income from government and other revenue grants, is recognised when Outward has entitlement to the funds, any performance conditions attached to the grants have been met within any time bound conditions, that is the supply of stipulated services or the agreed achievement of specified outcomes, it is probable that the income will be received and the amount to be recognised can be measured reliably. Capital grant income is similarly recognised when specified goods or projects have been purchased.

Income received in advance of the provision of a specified service is deferred until the criteria for income recognition are met.

e) Donations of gifts, services and facilities

Donated professional services and donated facilities are recognised as income when Outward has control over the item or received the service, any conditions associated with the donation have been met, the receipt of economic benefit from the use by the Charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP / (FRS 102), volunteer time is not recognised. The Trustees’ annual report provides more information about volunteering.

On receipt, donated gifts, professional services and donated facilities are recognised on the basis of the value of the gift to Outward which is the amount Outward would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

f) Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by Outward; this is normally upon notification of the interest paid or payable by the deposit taker.

g) Fund accounting

Restricted funds are to be used for specific purposes as laid down by the donor / grantor. Expenditure which meets these criteria is charged to the fund.

Unrestricted funds are donations and other incoming resources received or generated for the charitable purposes.

Designated funds are unrestricted funds commited by the Trustees for particular purposes.

h) Expenditure and irrecoverable VAT

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required, and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:

Costs of raising funds relate to the costs incurred by Outward in inducing third parties to make voluntary contributions to it, as well as the cost of any activities with a fundraising purpose.

Expenditure on charitable activities includes the costs of delivering care, support and intensive housing management services undertaken to further the purposes of Outward and their associated overhead costs.

30 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

Other expenditure represents those items not falling into any other heading.

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

i) Allocation of support costs

Overhead costs, as disclosed at note 6 to these accounts, align internal cost definitions with the term ‘support costs’ as defined in FRS 102. The change of description is made to avoid confusion with ‘care and support’, a key income stream for Outward.

Resources expended are allocated to the particular activity where the cost relates directly to that activity. However, the cost of overall direction and administration of each activity, comprising the salary and overhead costs of central functions, is apportioned based on an estimate of the staff time attributable to each activity.

Overhead and governance costs are re-allocated to each of the activities on the following basis which is an estimate, based on demand for those overhead services:

Governance costs are the costs associated with the governance arrangements of Outward, covering constitutional and statutory requirements and include any costs associated with the strategic management of Outward’s activities.

j) Operating leases

Rental charges are charged on a straight line basis over the term of the lease.

k) Tangible fixed assets

Items of equipment or groups of equipment are capitalised where the purchase price exceeds £500. Depreciation costs are allocated to activities on the basis of the use of the related assets in those activities. Assets are reviewed for impairment if circumstances indicate their carrying value may exceed their net realisable value and value in use.

Where fixed assets have been revalued to market value, any excess between the revalued amount and the historic cost of the asset is recognised within the revaluation reserve on the balance sheet.

Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:

l) Investment properties

Investment properties are measured initially at cost and subsequently included in the balance sheet at fair value. Investment properties are not depreciated. Any change in fair value is recognised in the statement of financial activities. The valuation method used to determine fair value is stated in the notes to the accounts.

31 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

m) Investments in subsidiaries

Investments in subsidiaries are at cost.

n) Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Provisions may be made based on the assessed exposure to irrecoverability. Rent arrears are subject to a formulaic provision for irrecoverability based on the number of rent weeks in arrears. Prepayments are valued at the amount prepaid net of any trade discounts due.

o) Cash at bank and in hand

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. Cash balances exclude any funds held on behalf of people we support.

p) Creditors and provisions

Creditors and provisions are recognised where Outward has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party, and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

Outward 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 amortised cost.

q) Pensions

Outward operates a pension scheme through Scottish Widows, closed to new members and the ‘auto enrolment’ pension scheme through The Pensions Trust. During 2024-25, The Peoples Pension was also provided under TUPE regulations. Employer contributions are charged to resources expended as incurred. All three schemes are defined contribution plans and are post-employment benefit plans under which Outward paid fixed contributions into a separate entity and will have no legal or constructive obligation to pay further amounts. Obligations for contributions to defined contribution pension plans are shown as an operating expense in the surplus for the year during which the services are rendered by employees.

Outward also recognises liabilities for a number of the former employees of Tower Hamlets Consortium Limited (dissolved), who are or were employed by Outward and are deferred or pensioner members of a multi-employer Social Housing defined benefit pension plan. The difference between the fair value of the assets held and the scheme’s liabilities measured on an actuarial basis using the projected unit method are recognised in Outward’s balance sheet as a pension asset or liability as appropriate. The carrying value of any resulting pension scheme asset is restricted to the extent that Outward is able to recover the surplus either through reduced contributions in the future or through refunds from the scheme.

32 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

r) Holiday pay accrual

A liability is recognised to the extent of any unused holiday pay entitlement that has accrued at the balance sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement that has accrued at the balance sheet date.

s) Judgements in applying accounting policies and key sources of estimation uncertainty

In preparing these financial statements, key judgements have been made in respect of

the following:

33 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

2. Income from donations and grants

Donors and grantors 2025
2024
Unrestricted
Restricted
Total
Total
£
£
£
£
Restricted disclosed in note 20
2023-24: Resticted income £64,389		 5,725
39,225
44,950
77,300

3. Income from charitable activities

----- Start of picture text -----
2025 2024
Unrestricted Restricted Total Total
£ £ £ £
----- End of picture text -----

£
£
£
£
Rent from tenants
Service charges from tenants
Sub-total for rent and service charges
London Borough of Enfeld
London Borough of Hackney
London Borough of Haringey
London Borough of Islington
London Borough of Newham
London Borough of Redbridge
London Borough of Tower Hamlets
London Borough of Waltham Forest
City of London
Health Services
Activity breaks and other
Sub-total for care and tenancy support
Total income from charitable activities		 3,807,831
-
3,807,831
3,724,406
3,091,993
-
3,091,993
3,289,234
6,899,824
-
6,899,824
7,013,640
1,402,802
-
1,402,802
1,413,515
3,983,079
-
3,983,079
3,355,766
352.156
-
352.156
461,030
619,628
-
619,628
606,796
813,691
-
813,691
543,998
190,957
-
190,957
181,215
2,381,665
-
2,381,665
1,851,543
3,482,930
-
3,482,930
3,354,685
24,880
-
24,880
28,860
427,877
-
427,877
341,254
334,008
-
334,008
234,345
14,013,673
-
14,013,673
12,373,007
20,913,497
-
20,913,497
19.386,647

2023-24: Restricted income £nil

34 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

4. Income from trading activities

2025
2024
Unrestricted
Restricted
Total
Total
£
£
£
£
Nutley Edge accommodation
Private rent
2023-24: Restricted income £nil.
5. Income from investments		 167,843
-
167,843
240,543
53,050
-
53,050
46,239
220,893
-
220,893
286,872
2025
2024
Unrestricted
Restricted
Total
Total
£
£
£
£
Interest received 208,392
-
208,392
196,018
208,392
-
208,392
196,018

2023-24: Restricted income £nil.

35 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

6. Analysis of expenditure
Charitable activities
Cost of
raising funds
Rent
Service
charges
Care &
tenancy
support
Restricted
Trading
Governance
costs
Overhead
costs
2025
total
£
£
£
£
£
£
£
£
£		 Staff costs (Note 8)
10,478
579,286
-
11,546,063
13,738
105,535
20,548
981,562
13,257,211
Offce rents
-
38,088
-
88,762
-
-
-
54,930
181,780
Service chargeable costs
-
-
2,802,202
-
-
-
-
-
2,802,202
Tariff payments to landlords
-
2,819,861
-
-
-
-
-
-
2,819,861
Bad and doubtful debts
-
40,902
-
-
-
-
-
105,583
146,485
Other costs
239
255,796
-
594,579
26,271
152,158
12,094
1,019,602
2,060,739
10,717
3,733,933
2,802,202
12,229,404
40,010
257,693
32,642
2,161,677
21,268,278
Overhead costs
1,217
457,321
284,985
1,388,888
-
29,266
-
(2,161,677)
-
Governance costs
18
6,403
4,806
20,973
-
442
(32,642)
-
-
Total expenditure 2025
11,952
4,197,657
3,091,993
13,639,265
40,010
287,401
-
-
21,268,278
Total expenditure 2024
41,728
3,954,600
3,289,234
11,996,778
38,989
294,616
-
-
2024
total
£		 2024
total
£		 Staff costs (Note 8)
37,028
538,435
-
10,159,051
35,748
104,732
19,408
955,756
11,850,158
Offce rents
-
35,159
-
119,852
-
-
-
53,486
208,497
Service chargeable costs
-
-
3,044,327
-
-
-
-
-
3,044,327
Tariff payments to landlords
-
2,639,832
-
-
-
-
-
-
2,639,832
Bad and doubtful debts
-
451
-
-
-
(2,225)
-
44,650
42,876
Other costs
613
386,891
-
422,633
3,241
172,534
1,898
842,446
1,830,256
37,641
3,600,768
3,044,327
10,701,536
38,989
275,041
21,306
1,896,338
19,615,945
Overhead costs
4,042
349,488
241,234
1,282,331
-
19,243
-
(1,896,338)
-
Governance costs
45
4,344
3,673
12,911
-
332
(21,306)
-
-
Total expenditure 2024
41,728
3,954,600
3,289,234
11,996,778
38,989
294,616
-
-
19,615,945
Overhead
costs
£
Governance
costs
£
Trading
£
Restricted
£
Charitable activities Care &
tenancy
support
£
Service
charges
£
Rent
£
Cost of
raising funds
£

Year ended 31 March 2025 Notes to the financial statements

Overhead costs comprise:

----- Start of picture text -----
2025 2024
£ £
----- End of picture text -----

£
£
Central costs
Human resources
Business development
Quality and business support
Community engagement and co-production
Directorate costs
Finance and IT services		 791,480
717,770
401,142
292,940
80,016
80,452
113,601
114,276
85,015
137,927
78,176
127,780
612,247
425,193
2,161,677
1,896,338

7. Net income before gains and losses for the year

This is stated after charging:

----- Start of picture text -----
2025 2024
£ £
----- End of picture text -----

Financial services bought in 220,814 210,299
IT Support bought in 124,992 119,140
Operating lease rentals 38,079 37,744
Depreciation 87,336 73,844
Provision for doubtful debts and rent arrears 146,485 42,876
Auditor’s remuneration (excluding VAT) 18,500 16,650
Auditor’s other services(excludingVAT) 2,425 1,050

8. Analysis of staff costs, Trustee remuneration and expenses, and the cost of key management personnel

Staff costs were as follows:

2025
2024
£
£
Salaries and wages
Redundancy and termination costs
Social security costs
Employer’s contribution to defned contribution pension schemes
Operating costs of defned beneft pension schemes
Agency workers		 11,612,783
10,472,377
4,742
36,863
1,038,676
879,214
292,073
250,303
32,842
31,742
276,095
179,658
13,257,211
11,850,157

38 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

The following number of employees received employee benefits (excluding employer pension costs) during the year between:

----- Start of picture text -----
2025 2024
No. No.
----- End of picture text -----

£60,000 – £69,999 - 2
£70,000 – £79,000 2 -
£80,000 – £89,999 - -
£90,000 – £99,999 - -
£100,000 – £109,999 1 1

Trustees consider those staff with material delegations of authority available to them to conduct operational activities as key management personnel. The total employee benefits, including pension contributions of the key management personnel, comprising the Chief Executive and the executive team, were £346,906 (2024: £316,623). Within employee benefits, employers pension contributions of £17,696 were paid on behalf of four key management personnel (2024: £16,976 and four) into defined contribution schemes, including the ‘auto enrolment’ scheme.

The trustees were not paid or received any other benefits during the year. Two trustees claimed expenses totalling £78.46 during the year (2024: £nil).

9. Staff numbers

The average number of employees working in each activity (head count based on number of staff employed) during the year was as follows:

----- Start of picture text -----
2025 2024
No. No.
----- End of picture text -----

Fundraising
Rent
Service charges
Care and tenancy support
Support and trading activities
Governance
Total		 1
1
14
13
1
1
357
320
17
17
1
1
391
353

The Staff numbers full time equivalent

Full time equivalent is based on a 38 hour working week. Staff teams comprise employees on both full time and part time contracts, staff who wish to work flexibly and, where necessary, agency workers. Staff may also work additional hours regardless of their contract status. Including all contracted hours, additional hours worked by staff and hours worked by third party agency workers the average number of full time equivalent resources is 376 (2024: 378).

During the year charitable activities were supported by 1,559 hours of volunteer time (2024: 2,650 hours). A fuller description of the role played by volunteers is included within the Trustees’ report.

39 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

10. Taxation

The charitable company is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.

2025
2024
£
£
UK corporation tax for the year
The tax for the year differs to the standard rate of corporation tax applied
to profts before tax. The differences are explained below:
Surplus for the year before tax
UK Corporation Tax at 19% (2024:19%)
Proft on non-primary purpose trading activities
Otherwise exempt charitable income
Current tax charge for the period
11. Tangible fxed assets		 -
-
339,566
341,033
64,517
64,976
8,148
(6,668)
(72,666)
(58,128)
-
-
Freehold
property
(at valuation)
Furniture
& equipment
(at cost)
Motor
vehicles
(at cost)
Total



£
£
£
£
Cost or valuation
At the start of the year
Charge for in year
Disposals in year
Revaluation
At the end of the year
Depreciation
At the start of the year
Charge for the year
Disposals in year
Revaluation
At the end of the year
Net book value
at the end of the year
At the start of the year		 405,000
1,592,260
88,067
2,085,326
-
83,384
-
83,384
-
-
-
-
-
-
-
-
405,000
1,675,444
88,067
2,168,711
-
1,452,009
31,112
1,483,121
-
69,723
17,613
87,336
-
-
-
-
-
-
-
-
1,521,724
48,726
1,570,450
405,000
153,920
39,341
598,261
405,000
140,251
56,954
602,205

The freehold property 179 Wood Street, London E17 comprised offices on the ground floor with accommodation above.

40 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

The ground floor offices were valued at £405,000 as part of a composite building on an open market basis, as at 31 March 2025 in a letter dated 6 May 2025 by an external firm Strettons Ltd. Strettons are RICS accredited valuers and undertook the valuation in accordance with the RICS Valuation – Global Standards effective from 31 January 2025 and the Red Book UK National Supplement effective from 1 May 2024. The services of Strettons were procured in accordance with the Charity’s procurement procedures and the Trustees are satisfied of the independence of Strettons. The valuation was prepared on the basis of market conditions and evidence as at 31 March 2025.

The historical cost of the freehold property purchased in 1994/95 is £110,310, including non-depreciable land carried at £19,704. Net of depreciation based on a 50 years life, the historic carrying value would be £54,134.

The above asset is used for charitable purposes.

12. Investment properties

----- Start of picture text -----
2025 2024
£ £
----- End of picture text -----

£
£
Fair value at the start of the year
Additions
Loss on revaluation during the year
Gain on revaluation during the year
Fair value at the end of the year		 3,362,500
3,250,000
-
3,364
(12,500)
162,500
121,636
3,525,000
3,362,500

The fair value at the end of the year comprises three properties.

A leasehold property at Cedar Court, 267 Hainault Rd, London E11 was valued at £365,000, on an open market basis, as at 31 March 2025 in a letter dated 6 May 2025 by an external firm Strettons Ltd. Strettons are RICS accredited valuers and undertook in accordance with the RICS Valuation – Global Standards effective from 31 January 2025 and the Red Book UK National Supplement effective from 1 May 2024. The services of Strettons were procured in accordance with the Outward’s procurement procedures and the Trustees are satisfied of the independence of Strettons. The valuation has been prepared on the basis of market conditions and evidence as at 31 March 2025.

The property was purchased in 2002 from a long lease of 999 years, with 937 years now remaining. The historical cost of the leasehold property, including additions, is £168,274. Based on an expected life of 80 years accumulated depreciation would have been £50,481, giving a historic carrying value of £117,793.

A freehold holiday accommodation, at Nutley Edge in East Sussex, was valued as at 31 March 2025 at £2,450,000, on an open market basis, as set out in a side letter dated 7 May 2025 by an external firm Avison Young (UK) Ltd, Leisure Division. Avison Young are RICS accredited valuers and undertook the valuation in accordance with the RICS Valuation – Global Standards effective from 31 January 2025 and the Red Book UK National Supplement effective from 1 May 2024. The services of Avison Young were procured in accordance with the Outward’s procurement procedures and the Trustees are satisfied of the independence of Avison Young.

The property, purchased in 2012, was valued as a specialised property used for leisure purposes and the method of valuation gave weighting to stabilised earnings, based on historic turnover and potential future turnover, at a capitalisation rate of 9.5% and to comparable local sales and

41 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

properties offered for sale, in particular holiday complexes. The valuation has been prepared on the basis of market conditions and evidence as at 31 March 2025. It was assumed the property has good title and is free from onerous or restrictive covenants and obligations, restrictions and statutory notices.

The historical cost of the Nutley Edge freehold property, including additions, is £1,908,248, including land valued at £92,390. Based on an expected life of 50 years accumulated depreciation would have been £532,461, giving a historic carrying value of £1,375,787.

The two flats above the freehold office at 179 Wood St London E17 were valued at £710,000 on an open market basis with an assumed rental yield of 6.5%, as at 31 March 2025, in a letter dated 6 May 2025 by an external firm Strettons Ltd. Strettons are RICS accredited valuers, and undertook the valuation in accordance with the RICS Valuation – Global-Standards, incorporating the International Valuation Standards (IVS) 2022. The services of Strettons were procured in accordance with Outward’s procurement procedures, and the Trustees are satisfied of the independence of Strettons.

The historical cost of the upper floors at Wood St, purchased in 1994-95 is £293,762, including non-depreciable land carried at £34,005. Net of depreciation based on a 50 years life, the historic net book value would be £132,743.

13. Investments

----- Start of picture text -----
|||| |---|---|---| |2025|2024| |£|£| |Cost at the start and end of the year|1,070|1,070|

----- End of picture text -----

Investments comprise 2 x £10 ordinary shares representing a 16.7% holding in Cedar Court Property Ltd, a company incorporated in England registered company number 05345500, registered address 1 Cedar Court, 267 Hainault Road, London E11 1ET.

14. Debtors

----- Start of picture text -----
2025 2025 2024 2024
£ £ £ £
----- End of picture text -----

----- Start of picture text -----
|||| |---|---|---| |Gross arrears of rent and service charges|584,035|579,349| |Less: Provision for doubtful arrears|(116,387)|(71,752)| |Net arrears of rent and service charges|467,648|507,597| |Gross trade debtors|1,072,938|676,611| |Less: Provision for doubtful debt|(246,467)|(144,188)| |Net trade debtors|826,470|532,423| |Prepayments|137,225|24,920| |Accrued income|167,824|116,750| |-| |Amounts owed by group undertakings|33,975| |Other debtors|862,809|852,748| |2,461,976|2,068,413|

----- End of picture text -----

42 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

15. Creditors: amounts falling due within one year

----- Start of picture text -----
2025 2024
£ £
Trade creditors 400,876 292,438
Rent in advance 610,479 560,962
Taxation and social security 252,167 223,274
Other creditors 736,722 450,260
-
Amounts owed to Group undertakings 88,763
Accrued expenditure 1,012,004 1,004,208
Deferred income 164,482 79,668
3,265,493 2,610,810
16. Deferred income
2025 2024
£ £
Balance at the beginning of the year 79,688 106,169
Amount released to income in the year (79,688) (84,349)
Amount deferred in the year 164,482 57,848
Balance at the end of the year 164,482 79,668
17. Creditors: amounts falling due after one year
2025 2024
£ £
Service charges refundable 578,506 271,673
----- End of picture text -----

18. Pension schemes

Outward participates in the multi-employer Social Housing Pension Scheme and also operated a defined contribution scheme, now closed to new entrants, where employer contributions matched those of the employee and were progressively in the range of 5% to 7%.

Those staff who are not otherwise members of a pension scheme or have opted out are enrolled automatically into a defined contribution scheme also offered by the Social Housing Pension Scheme. Employer and employee contributions were set at 3% and 5% respectively. Outward operate a pension salary sacrifice scheme where the contributions for employer and employee were set at 8% and nil% respectively for staff participating in the scheme.

From October 2024, Outward have provided the Peoples Pension to TUPE transferees at the same terms as the defined contribution scheme offered by the Social Housing Pension Scheme.

43 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

Multi-employer Social Housing Pension Scheme (the scheme)

Outward participates in the Social Housing Pension Scheme (the Scheme), a multi-employer scheme which provides benefits to some 500 non-associated employers. The Scheme is a defined benefit scheme in the UK.

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.

The last completed triennial valuation of the scheme for funding purposes was carried out as at 30 September 2023. This valuation revealed a deficit of £693m. A Recovery Plan has been put in place with the aim of removing this deficit by 31 March 2028.

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.

For accounting purposes, a valuation of the scheme is carried out with an effective date of 30 September each year. The liability figures from this valuation are rolled forward for accounting year-ends from the following 31 March to 28 February inclusive. The latest accounting valuation was carried out with an effective date of 30 September 2024. The liability figures from this valuation were rolled forward for accounting year-ends from the following 31 March 2025 to 28 February 2026 inclusive. The liabilities are compared, at the relevant accounting date, with the company’s fair share of the Scheme’s total assets to calculate the company’s net deficit or surplus.

Under the deficit repayment plan in place to March 2028 Outward is required to pay £135,036 towards the deficit in 2025-26.

Fair value of plan assets, present value of defined benefit obligation and defined benefit asset (liability)

----- Start of picture text -----
31 March 2025 31 March 2024
(£’000) (£’000)
----- End of picture text -----

Fair value of plan assets 2,547 2,572
Present value of defned beneft obligation
(Defcit)inplan		 2,987
(440)		 3,175
(603)
Defned beneft(liability)to be recognised (440) (603)

44 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

Reconciliation of the opening and closing balances of the defined benefit obligation

Period
ended
31 March
2025
£k		 Period ended
31 March
2024
£k
Defned beneft obligation at start of period 3,175 3,137
Expenses 6 6
Interest expense 154 152
Actuarial losses/(gains) due to scheme experience 64 (22)
Actuarial gains due to changes in demographic assumptions - (32)
Actuarial gains due to changes in fnancial assumptions
Beneftspaid and expenses
Defned beneft obligation at end ofperiod		 (334)
(78)
2,987		 (9)
(57)
3,175

Reconciliation of the opening and closing balances of the fair value of plan assets

Period
ended
31 March
2025
£k		 Period ended
31 March
2024
£k
Fair value of plan assets at start of period 2,572 2,552
Interest income 127 126
Experience on plan assets (excluding amounts included in interest income)
– (loss)		 (212) (180)
Contributions by the employer 138 131
Beneftspaid and expenses (78) (57)
Fair value ofplan assets at end ofperiod 2,547 2,572

The actual return on the plan assets (including any changes in share of assets) over the period ended 31 March 2025 was (£85,000).

Defined benefit costs recognised in statement of financial activities total expenditure

Period
ended
31 March
2025
£k		 Period ended
31 March
2024
£k
Expenses 6 6
Net interest expense 27 26
Defned beneft costs recognised in statement of fnancial activities 33 32

45 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

Defined benefit costs recognised in statement of financial activities other recognised gains and losses

Period
ended
31 March
2025
Period
ended
31 March
2024
£k
£k
(212)
(180)
(64)
22
-
32
334
9
58
(117)
31 March 2024
(£’000)
256
100
91
84
82
-
33
151
13
103
260
2
-
101
101
-
-
-
17
77
51
1,047
(1)
4
2,572
Experience on plan assets (excluding amounts included in net interest cost) – (loss)
Experience gains and losses arising on the plan liabilities – (loss) / gain
Effects of changes in the demographic assumptions underlying the present
value of the defned beneft obligation – gain (key assumptions listed on page 47
of these statements)
Effects of changes in the fnancial assumptions underlying the present value
of the defned beneft obligation – gain (key assumptions listed on page 47 of
these statements)
Total amount recognised in the Statement of Financial Affairs other recognised
gains and losses – gain / (loss)
Assets
31 March 2025
(£’000)
Global equity
285
Absolute return
-
Distressed opportunities
-
Credit relative value
-
Alternative risk premia
-
Liquid alternatives
472
Emerging markets debt
-
Risk sharing
-
Insurance-linked securities
8
Property
128
Infrastructure
-
Private equity
2
Real assets
305
Private debt
-
Opportunistic liquid credit
-
Private credit
312
Credit
97
Investment grade credit
78
Long lease property
1
Secured income
43
Cash
35
Liability driven investment
771
Currency hedging
4
Net current assets
6
Total assets
2,547

46 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

None of the fair values of the assets shown above include any direct investments in the employer’s own financial instruments or any property occupied by, or other assets used by, the employer.

Key assumptions

----- Start of picture text -----
31 March 2025 31 March 2024
% per annum % per annum
----- End of picture text -----

Discount rate 5.77 4.90
Infation (RPI) 3.11 3.15
Infation (CPI) 2.78 2.78
Pensionable earnings growth 3.78 3.78
Allowance for commutation of pension
for cash at retirement		 75% of maximum allowance 75% of maximum allowance

The mortality assumptions adopted at 31 March 2025 imply the following life expectancies

2025
Life expectancy at age 65
(years)		 2024
Life expectancy at age 65
(years)
Male retiring in 2025 20.5 20.5
Female retiring in 2025 23.0 23.0
Male retiring in 2045 21.7 21.8
Female retiring in 2045 24.5 24.4

Contingent disclosures

Outward were notified in 2021 by the Trustee of the Scheme that it had performed a review of the changes made to the Scheme’s benefits over the years, and the result is that there is uncertainty surrounding some of these changes. The Trustee is seeking clarification from the Court on these items, and this process is ongoing, with it being unlikely to be resolved before mid-2026 at the earliest. It is estimated that this could potentially increase the value of the full scheme liabilities by £155m. We note that this estimate has been calculated as at 30 September 2022 on the scheme’s technical provisions basis. Until the Court direction is received, it is unknown whether the full (or any) increase in liabilities will apply and therefore, in line with the prior year, no adjustment has been made in these financial statements in respect of this.

Outward is aware of a UK High Court legal ruling in June 2023 between Virgin Media Limited and NTL Pension Trustees II Limited, which decided that certain historic rule amendments were invalid if they were not accompanied by actuarial certifications. The ruling was subject to appeal and in July 2024 the Court of Appeal confirmed the UK High Court legal ruling from 2023. Outward, together with the pension scheme trustees and their advisors, is in the process of assessing the possible impact of this ruling. As it is not possible at present to estimate the impact, if any, from the ruling, no adjustments have been made to the defined benefit obligation recognised in the financial statements.

Scottish Widows defined contribution scheme

During the year, employer contributions of £3,900 (2024: £3,653) were charged to income and expenditure, and at 31 March 2025, three staff (2024: 3 staff) were in the scheme.

47 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

Social Housing Pension Scheme defined contribution (auto-enrolment)

During the year, employer contributions of £285,367 (2024: £246,649) were charged to income and expenditure, and at 31 March 2025, 388 staff (2024: 346 staff) were in the scheme.

The People’s Pension defined contribution scheme

During the year, eight staff were transferred in to Outward under TUPE regulations. During the year employer contributions of £2,807 were charged to income and expenditure, and at 31 March 2025, eight staff were in the scheme.

Reported staff costs also include death-in-service benefit for all staff. The employer’s premium was £36,648 (2024: £32,385).

19. Analysis of net assets between funds

2025
2024
Unrestricted
Designated
Restricted
Total funds
Total funds
£
£
£
£
£
Tangible fxed assets
598,261
-
-
598,261
602,205
Investment properties
3,525,000
-
-
3,525,000
3,362,500
Investments
1,070
-
-
1,070
1,070
Net current assets
5,949,701
-
-
5,949,701
5,624,858
Long term liabilities
(578,506)
-
-
(578,506)
(271,673)
Defned beneft pension liability
(440,000)
-
-
(440,000)
(603,000)
Net assets at the end of the year
9,055,526
-
-
9,055,526
8,715,960
2023-24: Designated and restricted net assets £nil.
20. Movements in funds		 598,261
-
-
598,261
602,205
3,525,000
-
-
3,525,000
3,362,500
1,070
-
-
1,070
1,070
5,949,701
-
-
5,949,701
5,624,858
(578,506)
-
-
(578,506)
(271,673)
(440,000)
-
-
(440,000)
(603,000)
9,055,526
-
-
9,055,526
8,715,960
At the start
of the year
Incoming
resources
and gains
Outgoing
resources
and losses
Transfers
At the end of
the year
£
£
£
£
£
Restricted funds:
Nationwide Building Society
Charitable Trust (name withheld)
The Ennismore Foundation
The Oliver Ford Foundation
Smarter Services
Total restricted funds
Unrestricted funds:
Designated funds:
Revaluation reserve
Pension reserve
General funds
Total unrestricted funds		 -
8,865
(9,650)
785
-
-
13,095
(13,095)
-
-
-
13,320
(13,320)
-
-
-
3,445
(3,445)
-
-
-
500
(500)
-
-
-
39,225
(40,010)
785
-
-
-
-
-
-
1,193,232
162,500
-
-
1,355,732
603,000
-
(163,000)
-
440,000
6,919,727
21,348,507 (21,007,655)
(785)
7,259,793
8,715,959
21,511,007 (21,170,655)
(785)
9,055,526

48 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

Purpose of restricted funds

Nationwide Building Society – A cost of living advice project, Charitable Trust (name withheld) – for a nutrition project, The Ennismore Foundation, and The Oliver Ford Foundation to fund activity breaks at Nutley Edge Holiday Cottages for those supported persons less able to afford a break. Smarter services - funding towards celebration events, during the year, for people supported by Outward used in combination with other donations received from trade partners to Outward.

Purposes of designated funds

Funds will, as a minimum, be designated in line with firm contractual commitments in furtherance of charitable objectives.

21. Reconciliation of net income to net cash flow from operating activities

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2025 2024
£ £
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£
£
Net (defcit)/income for the reporting period
(as per the statement of fnancial activities)
Depreciation charges
Gains on investment properties
Losses on investment properties
Actuarial gains / (losses) on defned beneft pension schemes
Dividends, interest and rent from investments
Proft on disposal of fxed assets
Increase in debtors
Increase in creditors
(Decrease)/increase in pension liability
Net cash from operating activities		 281,954
452,530
87,336
73,884
(162,500)
(121,636)
-
12,500
57,612
(117,486)
(208,392)
(196,018)
-
800
(393,570)
(106,040)
961,517
486,287
(163,000)
180,000
460,957
502,819

22. Analysis of cash and cash equivalents

At 1 April
2024
Cash fows
Other
changes
At 31
March 2025
£
£
£
£
Cash at bank and in hand
Notice deposit (less than three months)
Total cash and cash equivalents		 5,167,255
585,964
-
5,753,219
1,000,000
-
-
1,000,000
6,167,255
585,964
-
6,753,219

49 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

23. Operating lease commitments

Amounts payable as lessee:

Outward’s total future minimum lease payments under non-cancellable operating leases is as follows for each of the following periods:

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2025 2024
£ £
----- End of picture text -----

----- Start of picture text -----
|||| |---|---|---| |Less than one year|38,421|38,079| |157,238|155,802| |One to five years| |60,446|100,303| |Over five years| |256,105|294,184|

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Amounts receivable as lessor:

The Charity’s total future minimum lease receipts under non-cancellable operating leases is as follows for each of the following periods:

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|||| |---|---|---| |Property| |2025|2024| |£|£| |Less than one year|4,111,439|3,902,848|

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24. Financial Instruments

The Charity’s financial instruments may be analysed as follows:

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|||| |---|---|---| |2025|2024| |£|£| |Financial assets measured at historical cost:| |Trade debtors and rent arrears|1,294,118|1,040,019| |Prepayments and accrued income|305,049|141,670| |Other debtors|862,809|886,723| |Cash and cash equivalents|6,753,219|6,167,254| |9,215,195|8,235,667| |2025|2024| |£|£| |Financial liabilities measured at historical cost:| |Trade creditors and rent in advance|1,011,355|853,399| |Trade creditors and rent in advance|252,167|223,274| |Deferred income|164,482|79,668| |Other creditors|2,415,995|1,726,141| |440,000|603,000| |Defined benefit pension creditor| |4,283,999|3,485,482|

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50 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Year ended 31 March 2025 Notes to the financial statements

25. Legal status of the Charity

The Charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1.

26. Related party transactions

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2025 2024
£ £
----- End of picture text -----

£
£
Payments made to the parent Newlon Housing Trust:
Landlord rent tariff
Financial, IT and executive services
Management fees recoverable from service charges
Rent of offce space at Hale Village including service charges		 2,539,122
2,459,750
467,236
450,769
95,000
95,000
110,551
105,481
3,211,909
3,111,000

Where otherwise applicable, no VAT was charged on the above transactions as Newlon and Outward participate in the same VAT group. The Chief Executive Officer of Outward is employed by Newlon, and 95% of salary and employment on costs were recharged to Outward at cost. In addition, Newlon Housing Trust procured a range of service contracts covering communal areas of both Newlon and Outward managed properties recharged to Outward at cost.

Newlon Fusion, a limited by guarantee charity registered in England and a wholly owned subsidiary of Newlon Housing Trust, was dissolved on 3 June 2025. During the year Outward received £30,099 of residual funds held by Newlon Fusion to further the charitable aims of Newlon Fusion, in particular education and training.

During the year the lease for a community centre at Lascar Wharf, London E14 owned by Newlon Housing Trust was transferred from Newlon Fusion to Outward Housing. The centre has two commercial tenants.

There were no transactions with any other member of the Newlon Group (2024: £nil).

Creditors includes money due to Newlon Housing Trust of £88,763 (2024: debtor £33,975).

27. Ultimate parent entity

The ultimate parent undertaking and controlling party is Newlon Housing Trust, a registered provider of social housing. Newlon Housing Trust is the parent undertaking of the smallest and largest group to consolidate these financial statements. Consolidated financial statements for Newlon Housing Trust are available from its registered office at Newlon House, 4 Daneland Walk, Hale Village, London, N17 9FE. Control is exercised by virtue of a 51% voting share available as part of reciprocal representation on the Boards of the two entities. Newlon Housing Trust authorises the proposed appointment and removal of Trustees from the Board of Outward Housing.

51 OUTWARD REPORT AND FINANCIAL STATEMENTS 2024/2025

Registered office: Newlon House, 4 Daneland Walk, Hale Village, London, N17 9FE. Registered company no. 02151434, Registered charity no. 800529, Registered CQC provider ref. 1-101675816. © Outward 2025. All rights reserved.