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2025-03-31-accounts

Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

Company Number: 2348350 Charity Number: 801122

THE ORCHARD TRUST (Limited by Guarantee)

FINANCIAL STATEMENTS

For the Year Ended 31 March 2025

Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

C O N T E N T S

Page
OFFICERS AND ADVISORS 1
CHAIRMAN’S REPORT 2
REPORT OF THE TRUSTEES
3 - 10
INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS 11 - 13
STATEMENT OF FINANCIAL ACTIVITIES 14 - 15
BALANCE SHEET 16
STATEMENT OF CHANGES IN EQUITY 17
STATEMENT OF CASH FLOWS 18
NOTES TO THE FINANCIAL STATEMENTS
19 - 29

Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) OFFICERS AND ADVISORS FOR THE YEAR ENDED 31 MARCH 2025

Trustees Mr N Budd
Mr B Kaye
Mrs J Morris Kaye
Mr R Morgan
Mrs C Smart
Mr C Lloyd
Mrs E C Bell
Mr P E Wakeley
Chief Executive Officer Mrs C Andrews
Registered and Administrative Office The Orchards
Valley Springs
Central Lydbrook
Gloucestershire
GL17 9PP
Auditors Hazlewoods LLP
Windsor House
Bayshill Road
Cheltenham
GL50 3AT
Solicitors Harrison Clark Rickerbys
Ellenborough House
Wellington Street
Cheltenham
GL50 1YD
Bankers Lloyds TSB
19 Eastgate Street
Gloucester
GL1 1NU
Company Number 2348350 (England and Wales)
Charity Number 801122

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) CHAIRMAN’S REPORT FOR THE YEAR ENDED 31 MARCH 2025

This year has been one of celebration as the Trust entered its 35th year with hope and a drive to take the charity forward, marked by a wonderful black-tie ball where awards were given out and clients and their staff danced the night away.

However 2024/25 has again been a difficult year for the care sector, one in which the Trust has worked tirelessly to ensure that finances meet the needs of all clients at the same time battling increased costs from all quarters. Plans have been put in place to increase revenue from non-residential areas, make the most of all our facilities and at the same time continue to develop and enhance the facilities that the Trust offers to clients, most notably the development of Sevenoaks.

During this difficult year all the local authorities the Trust deals with have continued to be supportive particularly in ensuring bills are paid promptly.

An ageing resident population, with all the increased risks and challenges that provides, inevitably results in individuals reaching their natural demise. This year we said farewell to Alan Thompson, having lived with the Trust for 24 years, initially at Offa’s Dyke then at Orchards, and had the joy of welcoming Elin and Ashley to the Orchard Trust family.

On a financial basis, although we ended the year with a deficit of £45,368, we have not had to eat into the invested funds and are looking into secured arrangements to cover the cost of the extension to Sevenoaks should it be decided that it is in the best interest of the Trust not to use our capital reserves to cover the costs.

The next few years will continue to be challenging for all care providers, ourselves included. However, we have a strong leadership team, a dedicated staff group, volunteers and a community that values our services.

Nick Budd Chairman of Trustees The Orchard Trust

Date: 2/12/2025

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025

The Trustees present their report together with the audited financial statements (“accounts”) of the company for the year ended 31 March 2025.

PURPOSE AND IMPACT

The Orchard Trust (referred to as the Trust from now on) was established in 1989 by a group of parents looking to improve care options for their children and others with learning disabilities. Having grown over the past 35 years the Trust provides residential care, supported living homes within the Forest of Dean, along with rebound therapy, a hydro pool therapy and day services based on a working smallholding at Stowfield which is open to all who may wish to benefit from the services offered.

To see more about our homes and facilities please visit our website: www.orchard-trust.org.uk

Philosophy of the Orchard Trust

Orchard Trust believes people with disabilities have the same rights as any other individual and support each to enjoy the services and opportunities available to any other member of the community.

Values

Kindness - We treat others and ourselves with gentleness, warmth and care, focusing on the little things that really matter.

Respect - We look after ourselves, each other, our places and the environment.

Individuality - We recognise one another for the people we are, understanding and accepting preferences and beliefs to ensure personalised care and support.

Working together - We believe the best results are gained through working as a team, valuing suggestions and encouraging new ideas as we strive to continuously improve the care we provide .

The Trust’s values reflect the intrinsic behaviours of staff within the organisation and daily decisions are enhanced by the ongoing focus provided by the values.

Objectives (Mission)

We are a consistent and long-term place for life for people with disabilities, with a warm and friendly environment where each individual is supported to realise their ambitions.

Activities, Achievements and Performance

Our mission is achieved by working towards the following aims:

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025

The Trust also wishes to thank Gloucestershire Care Providers Association (GCPA), Gloucestershire County Council, along with the various other Local Authorities and NHS Trusts we work with, for their ongoing support.

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025

VALUES AND WAYS OF WORKING

The Trust is deeply committed to providing high quality and positive risk based care. To support sharing of learning and best practice the Trust has many internal committees to provide effective two-way feedback between all services and management. These include:

Ensuring our work delivers our mission

The Trust ensures all actions contribute to achieving its mission through regular monitoring of performance by CQC and local authorities, external expert by experience quality visits, family and staff questionnaires, Trustee buddy visits, senior manager audits, peer visits along with an internal ‘mum’ test. The board has referred to the guidance contained in the Charity Commission’s general guidance on public benefit when determining how current and future activities meet the Trust’s objectives.

Staff Pay Award

Fee uplifts, effective from April 2024 and received from Local Authorities and NHS Trust’s, did not cover the full impact of the increase in National Living Wage (NLW). The Trust chose to invest in its staff teams by providing all staff a pay increase above the NLW along with increasing the differential between care worker and team leader - reflecting the increased responsibilities required of the leader role. A pay progression route allows opportunity for salary increases through qualifications and length of service which supports the Trust’s aim to ensure each staff member has the skills and attributes of our values through effective recruitment, ongoing support, and training and shared vision. The Trust is delighted to continue to pay all staff above the National Living Wage reflecting the importance of the tasks they are doing and the gratitude the Trust has for their commitment and continuous hard work.

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025

OPERATING MODEL AND RISKS

Risk

Internal risks are minimised by the regular review of the organisational risk register, comprehensive policies and procedures for all staff to follow along with appropriate training for each role. Financial risks are managed by the above along with procedures for authorisation of all transactions and projects. These procedures are regularly reviewed to ensure they meet the needs of the charity.

Principal identified risks

As mitigation against the above risks, senior staff are active within local authority market shaping workshops and Cathy Andrews sits on the board of the Gloucestershire Care Providers Association. To ensure the Trust is up to date with current and future changes to the financial landscape Kelly Ryder sits as a Trustee for the Charity Finance Group and both she and Tony Lafford are members of the Association for Real Change (ARC).

Reserve Policy

The majority of the Trust’s income is received through local authority contracts for the specific care of an individual. Any surplus is used to ensure the Trust’s ongoing sustainability and to improve the care environment.

All charities are required to consider the level of reserves they need to hold to cover both development opportunities and as resilience against unforeseen events. Additional cash reserves are considered by the Trustees to be essential to protect the activities of the Trust. In line with the general guidance provided by the Charity Commissioners and an understanding of the organisational risks, the Trustees calculate the unrestricted reserves held to be a minimum of six months expenditure with the aim to increase this to the 12-month figure. These amounts follow consideration of future Local Authority funding challenges and the cost of upcoming changes to employment laws.

Currently, the maintained unrestricted reserves not committed or invested in tangible fixed assets (Residential Development Fund) is at £680,280. Any reserves over that sum could be allocated for future development, pending a suitable opportunity. The net asset value of the Trust is sufficient to release substantial funds in the event of a catastrophe.

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025

GOVERNANCE AND DECISION MAKING

Orchard Trust

The Trustees in office in the year are detailed on page 1 of this report along with the names and addresses of relevant organisations providing banking services or professional advice to the Charity and its subsidiary.

The company does not have share capital, being limited by a guarantee of £1 from each of the Trustees. The Trustees act as Directors for company purposes.

The company is governed by its Memorandum and Articles of Association.

The Trustees have given due consideration to Charity Commission published guidance on the operation of the public benefit requirement.

At the year end the Board of Trustees comprised eight Trustees, who are also Directors of The Orchard Trust for the purposes of company law. Operational responsibility lies with the Trust’s Senior Management team of Cathy Andrews, CEO; Tony Lafford, Head of Support; Kelly Ryder, Finance Manager; Will Murray, HR Manager; and Liz Watkins, Training and Operations Manager.

The Trust holds six full board meetings per year, plus Finance & Investment Committee meetings and Remuneration Committee meetings. Trustees also have representation on the Health and Safety Committee and services have a Trustee buddy who regularly visits to learn more about that service's specific challenges and thus bring greater knowledge to the board room.

Trustee Appointment and Training

Trustees are appointed by election to the Board. On induction, new Trustees are given a tour of the Trust's sites, meet key employees and are introduced to the other Trustees. Trustees are briefed on their legal obligations under charity and company law, as well as the aims and activities of the Trust and its recent financial performance. Trustees are encouraged to attend external training events where these facilitate the undertaking of their role.

Review of the accounts

The accounts follow a similar format to those of the preceding year in compliance with the accounting rules under the Charities SORP.

The "Statement of Financial Activities" on page 14-15 shows the movements on all funds of the Trust, with the Balance Sheet on page 15. A Cash Flow Statement has again been included in the accounts on page 18. As in previous years, the report contains a Risk Analysis.

Borrowings

The Trust has borrowed no money during this year.

At the balance sheet date, cash reserves decreased from last year at £1,480,666 (2024 - £1,538,053). Total reserves decreased from £6,277,551 to £6,232,183 (2023 – decreased from £6,471,118 to £6,277,551).

Investment Powers

Under the Memorandum and Articles of Association, the company has the power to make any investment which the Trustees see fit.

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025

Financial Review

The full accounts of the Trust are included on pages 14 - 29. Cash balances at the year-end £1,480,666 (2024 - £1,538,053) reflected careful management of the Trust’s resources during financially challenging times.

Acquisitions and Disposals

There have been no substantial acquisitions or disposals during the period.

Statement of Trustees’ Responsibilities

The Trustees (who are also directors of The Orchard Trust Limited for the purposes of company law), are responsible for preparing the Trustees' 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. Under that law, the Trustees have elected to prepare the financial statements 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 the charitable company and of the profit or loss of the charitable company for that period. In preparing these financial statements, the Trustees are required to:

They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Acknowledgements

We acknowledge HR support and guidance from HELP HR, PIB Insurance Brokers for dealing accordingly with our HR and insurance needs and RWKGoodman for assisting with our legal queries.

Statement of Disclosure to Auditor

In accordance with company law, as the Company's Directors, the Trustees have taken the steps that they ought to have taken as directors in order to make themselves aware of any relevant audit information and to establish that the charitable company's auditors are aware of that information. The Trustees confirm that there is no relevant information that they know of, and which they know the auditors are unaware of.

Fixed Assets

The Company re-valued its properties in March 2015. This revaluation, which has been reflected in these financial statements, is based on the open market valuation for existing use of £4,630,000, which is the basis required by UK Financial Reporting Standards. The valuation of the properties at the same date, on the assumption that they were fully operational and equipped having regard to trading potential, was £4,630,000. This value was frozen on transition to FRS102.

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025

Third Party Indemnity Insurance

The company incurred an annual premium of £2,088 to AXA Insurance UK PLC in relation to Trustee Indemnity Insurance.

Auditors

Hazlewoods LLP were reappointed as auditors in the year and have expressed their willingness to continue in office.

Signed by order of the Board of Trustees

...................................... (luistoplr (Loyd.

Mr Chris Lloyd

Treasurer - The Orchard Trust

Date:

2/12/2025 ......................................

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS

Opinion

We have audited the financial statements of The Orchard Trust for the year ended 31 March 2025, which comprise the Charity Statement of Financial Activities, the Charity Balance Sheet, the Charity Statement of Changes in Equity, Statement of Cash Flows, 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).

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 company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

In our opinion the financial statements:

Basis for opinion

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

Conclusions relating to going concern

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

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. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS

Opinion on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees.

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

Responsibilities of trustees

As explained more fully in the trustee’s responsibilities statement set out on page 7, the trustees 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 directors 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 directors either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

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

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

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS

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

Owing to the inherent limitations of an audit, there is an unavoidable risk that material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISA’s (UK).

In identifying and assessing risks of material misstatement in respect of fraud, including irregularities and noncompliance with laws and regulations our procedures included the following:

Use of our report

This report is solely made to 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 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 company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

...................................... Martin Howard (Senior Statutory Auditor) For and on behalf of Hazlewoods LLP, Statutory Auditor

Windsor House Bayshill Road Cheltenham GL50 3AT

3/12/2025 Date:.............................

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2025

Unrestricted
Restricted
Total
fund
fund
funds
2025
2025
2025
Note
£
£
£
INCOME AND ENDOWMENTS
Income and endowments from:
Donations and legacies
Donations and gifts
145,048
67,770
212,818
Investments
Bank interest receivable
61,751
-
61,751
Charitable activities
Local Authority contracts
5,096,043
-
5,096,043
Other
Training income
15,129
-
15,129
Rental income
46,656
-
46,656
Other income
162
-
162
_
_

_
Total income and endowments
5,364,789
67,770
5,432,559
_
_

_
EXPENDITURE ON
Charitable activities

2
(5,436,134)
(41,793)
(5,477,927)
_

_
_

Total expenditure
(5,436,134)
(41,793)
(5,477,927)
_
_

_
Net loss for the year
14
(71,345)
25,977
(45,368)


Total
funds
2024
£
164,510
27,242
4,845,136
59,254
36,961
168
_
5,133,271
_

(5,326,838)
_
(5,326,838)
_

(193,567)

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2025

Unrestricted
Restricted
fund
fund
2025
2025
Note
£
£
Reconciliation of funds
Funds brought forward at
1 April
6,268,015
9,536
Transfer between reserves
(1,737)
1,737
Net movement in funds
(71,345)
25,977
_
_

Funds carried forward at
31 March
14
6,194,933
37,250

Total
Total
funds
funds
2025
2024
£
£
6,227,551
6,471,118
-
-
(45,368)
(193,567)
_
_
6,232,183
6,277,551

The notes on pages 17 to 27 form part of these financial statements.

The Statement of Financial Activities has been prepared on the basis that all operations are continuing operations.

Note of Historical Cost Income and Expenditure

2025 2024
£ £
Reported net movement in funds (45,368) (193,567)
Difference between historical cost
depreciation and the actual depreciation
charge of the year calculated on the revalued
amount 18,252 16,946
__ __
Historical cost net movement in funds (27,116) (176,621)

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) BALANCE SHEET AS AT 31 MARCH 2025

Company Number: 2348350

2025 2024
Note £ £ £ £
Fixed assets
Tangible assets 6 4,614,653 4,683,653
Investments 7 930 930
__ __
4,615,583 4,684,583
Current assets
Stock 8 1,440 1,440
Debtors 9 411,629 337,264
Cash at bank and in hand 1,480,666 1,538,053
__ __
1,893,735 1,876,757
Creditors: Amounts falling due
within one year 10 (277,135) (277,135) (277,135) (283,789)
__ __
Net current assets 1,616,600 1,592,968
__ __
Total assets less current liabilities 6,232,183
6,277,551
Funds
Restricted income funds 12,13,14 Restricted income funds 12,13,14 Restricted income funds 12,13,14 37,250 9,536
Unrestricted income funds:
13,14
13,14
Operational general fund 4,383,032 4,437,862
Property revaluation reserve 911,901 930,153
Designated funds 900,000 900,000
____ ____ ___
6,232,183 6,277,551

2/12/2025 The financial statements were approved by the Board of Trustees on _____ and signed on its behalf by:

Mr Chris Lloyd Treasurer The Orchard Trust

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31 MARCH 2025

Operational Property Designated
Restricted
general revaluation
fund
fund
fund
reserve
£
£
£
£
Funds brought forward
at 1 April 2024
4,437,862
930,153
900,000
9,536

Net (deficit) / surplus
(71,345)
-
-
25,977
before transfers
Depreciation on revalued
18,252
(18,252)
-
-
Amounts
Transfer between reserves
(1,737)
-
-
1,737
_
_

_
_
Funds carried forward
at 31 March 2025
4,383,032
911,901
900,000
37,250



Operational Property Designated
Restricted
general revaluation
fund
fund
fund
reserve
£
£
£
£
Funds brought forward
at 1 April 2023
4,582,797
947,099
900,000
41,222

Net (deficit) / surplus
(157,581)
-
-
(35,986)
before transfers
Depreciation on revalued
16,946
(16,946)
-
-
Amounts
Transfer between reserves
(4,300)
-
-
4,300
_

_
_

_
Funds carried forward
at 31 March 2024
4,437,862
930,153
900,000
9,536


Total
funds
£
6,277,551
(45,368)
-
-
_
6,232,183

Total
funds
£
6,471,118
(193,567)
-
-
_
6,277,551

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2025

2025 2024
Note £ £ £ £
Cash generated from in operating activities 15 (432) 46,591
Cash flows from investing activities
Interest income 61,751 27,242
Purchase of tangible fixed assets (118,706) (99,207)
Proceeds from sale of tangible assets - -
Cash used in investing
activities (56,955)
(71,965)
Decrease in cash and cash equivalents in
the year (57,387)
(25,374)
Cash and cash equivalents at the beginning
of the year 1,538,053
1,563,427
Total cash and cash equivalents at the end
of the year 1,480,666
1,538,053

The charitable company does not have any debt and therefore an analysis of the debt has not been included in these financial statements.

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

_________________

1 ACCOUNTING POLICIES

Basis of Preparation

The financial statements have been prepared under the historical cost convention, as modified by the revaluation of certain fixed assets, adopting the following principal accounting policies all of which are 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 (FRS102) and the Charities Act 2011.

The financial statements are presented in Pounds Sterling.

Company status

The company is limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1. The company is subject to the requirements of the Companies Act 2006 with regards to the form and content of the financial statements.

The company is incorporated and domiciled in England and Wales.

The address of its registered office is: Valley Springs Central Lydbrook Lydbrook Gloucestershire GL17 9PP

Judgements and estimation uncertainty

The trustees consider that there are no key areas of judgement or estimation uncertainty to be disclosed in these financial statements.

Tangible fixed assets and depreciation

Tangible fixed assets are stated in the accounts at cost or revalued amount less depreciation. Depreciation is provided at rates calculated to write off the cost of each asset over its expected useful life. The annual rates applied in this period were:

Freehold buildings (homes) 2% on written down value Farm 2% on written down value Plant and equipment 15% on written down value Office equipment and furniture 40% on written down value Motor vehicles 25% on written down value

No depreciation is provided on freehold land.

Stocks

Stocks are valued at the lower of cost and net realisable value.

Operating leases

Rentals applicable to operating leases where substantially all of the benefits and risk of ownership remain with the lessor are charged to the Statement of Financial Activities.

Investments

Fixed asset investments are stated at cost less provision for diminution in value.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

_________________

1 ACCOUNTING POLICIES (continued)

Trade receivables

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. All debtors are repayable within one year and are hence included at the undiscounted amount of the cash expected to be received. A provision for the impairment of trade debtors is established when there is objective evidence that the Trust will not be able to collect all amounts due according to the original terms of the receivables.

Trade payables

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the Trust does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Financial instruments

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

Income and endowments

Income and endowments are allocated between:

Donations and legacies (analysed between donations/gifts and grants receivable)

Donations/gifts and grants are accounted for on a receivable basis. Funds collected, to which the charity is entitled, but not received before the end of the financial year, are included in income and endowments and in debtors.

Capital grants are recognised through the Statement of Financial Activities as income to restricted funds. A transfer is then made to the General Fund so as to write back the fund over the expected useful life of the relevant asset.

Income from charitable activities (fees from local authority contracts)

Income derives from the provision of education and residential care and is recognised in the Statement of Financial Activities on a receivable basis. Such income is exempt from Value Added Tax.

Income from Investments

Interest receivable is accrued on a daily basis.

Other income

Income arising from the provision of training is recognised on a receivable basis, and included within ‘Other income’.

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

_________________

1 ACCOUNTING POLICIES (continued)

Expenditure on Charitable activities

Expenditure on Charitable activities is included in the Statement of Financial Activities on an accruals basis, inclusive of any Value Added Tax, which cannot be recovered. Where expenditure is directly attributable to more than one activity, it is apportioned across cost categories on the basis of an estimate of the proportion of time spent by staff on those activities.

Funds

Funds held by the charity are either:

Taxation

The Company is an Exempt Charity within the meaning of Schedule 2 of the Charities Act 1993 and as such is a charity within the meaning of Section 519 of the Income Tax Act 2007 (formerly Section 506(1) of the Taxes Act 1988). Accordingly, the company is potentially exempt from taxation in respect of income or capital gains received within categories covered by Section 524 of the Income Tax Act 2007 (formerly Section 505 of the Taxes Act 1988) or Section 256 of the Taxation of Chargeable Gains Tax 1992 to the extent that such income or gains are applied to exclusively charitable purposes.

Pensions

The company operates a defined contribution scheme for certain employees. The contributions are charged to revenue in the period in which they are incurred.

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

_________________

2 EXPENDITURE ON CHARITABLE ACTIVITIES

Note
Provision of care:
Staff costs
4
Residents’ expenses
Transport costs
Property costs
Equipment maintenance
Other costs
Depreciation
Insurance
Support costs:
Staff costs
4
Property costs
Equipment maintenance
Insurance
Office costs
Sundry
Legal and professional fees
Bank charges
Auditors remuneration
Profit on disposal of tangible fixed assets
Total expenditure on charitable activities
2025
£
3,968,540
162,227
45,650
281,582
71,119
59,602
187,710
100,034
_

4,876,464
_


462,751
14,817
3,743
5,265
28,473

-
71,247
3,967
11,200
-
_

601,463
_


5,477,927
2024
£
3,763,859
228,747
57,308
228,048
87,477
133,863
208,205
76,569
_
4,784,076
_

363,156
12,003
4,604
4,030
32,729
2,170
110,090
3,980
10,000
-
_
542,762
_

5,326,838

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

_________________

3 NET INCOME FOR THE YEAR

NET INCOME FOR THE YEAR
2025 2024
£ £
This is stated after charging:
Depreciation 187,710 208,205
Auditors’ remuneration 11,200 10,000

Third Party Indemnity insurance costs of £2,088 (2024 - £1,777) were incurred in the year in relation to Trustee Indemnity Insurance. The maximum indemnity under the policy was £2,000,000 (2024 - £2,000,000).

4 STAFF COSTS AND NUMBERS

Note
Staff costs:
Wages and salaries
Social security costs
Other pension costs
Training costs and agency staff

Analysed:
Staff costs included in provision of care
2
Staff costs included in support costs
2
Emoluments to Chief Executive Officer
2025
£
3,920,202
288,070
85,988
137,031
_
4,431,291

3,968,540
462,751
_

4,431,291

84,048
__
2024
£
3,643,532
259,164
79,344
144,975
_
4,127,015

3,763,859
363,156
_

4,127,015

78,891
__

The above represents the emoluments of the highest paid officer. One other employee earned more than £60,000 but below £69,999. The trustees did not receive any remuneration.

There were no redundancy or termination payments during the year.

2025 2024
Number Number
Management and administration 12 12
Nursing and care staff 205 212
___ ____
217 224

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

5 TAXATION

As The Orchard Trust is an exempt charity, it is exempt from taxation in respect of income or capital gains received.

6 TANGIBLE FIXED ASSETS

Cost
At 1 April 2024
Additions
Disposals
At 31 March 2025
Depreciation
At 1 April 2024
Charge for the year
Eliminated on disposal
At 31 March 2025
Net book value
At 31 March 2025
At 31 March 2024
Residential
freehold
property
£
5,341,481
44,584
-
5,386,065
1,024,348
80,576
-
1,104,924
4,281,141
4,317,133
Farm
£
192,780
-
-
192,780
72,235
2,412
-

74,647
118,133
120,545
Plant &
equipment
£
23,183
-
-
23,183
16,764
963
-
17,727
5,456
6,419
Office
equipment
& furniture
£
558,753
74,123
-
632,876
367,300
91,141
-
458,441
174,435
191,453
Motor
vehicles
£
164,323
-
-
164,323
116,220
12,615
-
128,835
35,488
48,103
Total
£
6,280,520
118,706
-
6,399,226
1,596,867
187,710
-
1,784,577
4,614,653
4,683,653

Freehold property includes £278,720 (2024 - £278,720) in respect of land which has not been depreciated.

Comparable historical cost of the freehold property is £4,635,000 (2024 - £4,635,000). The accumulated depreciation on the historical cost is £1,392,880 (2024 - £1,455,204).

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

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7 INVESTMENTS

Subsidiary
Listed
undertakings investments
£
£
Cost and net book value
At 1 April 2024 and at 31 March 2025
-
930
__
_
8
STOCK
2025
£
Livestock and materials
1,440

9
DEBTORS
2025
£
Trade debtors
110,417
Other debtors and accrued income
260,214
Prepayments
40,998
____

411,629
Total
2025
£
930
__
2024
£
1,440

2024
£
203,352
74,808
59,104
_____
337,264

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

10 CREDITORS: Amounts falling due within one year

2025 2024
£ £
Trade creditors 97,034 78,552
Taxation and social security 59,727 53,268
Accruals and deferred income 84,607 108,681
Other creditors 35,767 43,288
_ _
277,135 283,789

11 COMMITMENTS

At 31 March, the total of future minimum lease payments is as follows:

2025 2024
£ £
Expiry date:
Less than one year 17,773 1,427
Between two and five years 44,918 388
_ _
62,691 1,815

The amount of non-cancellable operating lease payments recognised as an expense during the year was £1,427 (2024 - £1,427).

At 31 March 2025 the Trust had no capital commitments contracted for but not provided in these financial statements.

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

________________

12 RESTRICTED FUNDS

31
1 April Incoming Normal Resources March
2024 Resources Expenditure Transfer 2025
£ £ £ £ £
Offas Dyke Sensory room 1,235 - (68) - 1,167
Sevenoaks Tomcat 643 - - - 643
Science week project 438 - - - 438
Changing places 3,004 - - - 3,004
Morelands
bed/paintbrushes/gazebo 550 - - - 550
Pool pilot and client session
subsidy 666 - - - 666
Community garden project 3,000 - - - 3,000
Energy audit - 3,600 - - 3,600
Offas Dyke soft furnishing - 2,739 (2,876) 137 -
Offas Dyle accessible bench - 1,872 - - 1,872
Offas Dyke flooring - 13,378 (13,378) - -
Offas Dyke Bedroom aircon - 1,176 - - 1,176
Day service flooring - 18,369 (18,369) - -
Offas Dyke music therapy - 3,333 (510) - 2,823
Sevenoaks music therapy
-
3,333 (312) - 3,021
Orchards music therapy - 3,333 (450) - 2,883
Day service games room - 7,757 - - 7,757
Day service music sessions - 300 (300) - -
Stowfield composter - 4,000 - - 4,000
Orchards wetroom - 3,200 (4,800) 1,600 -
Stowfield outdoor learning - 500 - - 500
Morelands bowling - 150 - - 150
Kimberley drive holiday - 730 (730) - -
__ __ __ __ _
Total restricted funds 9,536 67,770 (41,793) 1,737 37,250

13 ANALYSIS OF NET ASSETS BETWEEN FUNDS

Unrestricted
Funds
£
Fixed assets
4,615,583
Current assets
1,856,484
Current liabilities
(277,135)
___
Balance carried forward
at 31 March 2025
6,194,932
Restricted
funds
£
-
37,251
-
___
_
37,251
Total
£
4,615,583
1,893,735
(277,135)
__
6,232,183

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

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14 MOVEMENTS ON RESERVES

Whilst the Statement of Financial Activities shows the movement on all funds, the position is also illustrated in this note for clarity:

Operational Property Designated Restricted Total
general revaluation fund fund funds
fund reserve
£ £ £ £ £
Funds brought forward
at 1 April 2024 4,437,862 930,153 900,000 9,536 6,277,551
Net incoming resources (71,345) - - 25,977 (45,368)
before transfers
Depreciation on revalued 18,252 (18,252) - - -
Amounts
Transfer between reserves
(1,737)
- - 1,737 -
__ __ __ _ _
Funds carried forward
At 31 March 2025 4,383,032 911,901 900,000 37,250 6,232,183

The designated funds of the charitable company relates to a “Residential Care Development Fund” whereby it is the intention of the Trustees to further develop the provision of care and to provide for unforeseen major expenditure to the properties.

The Trustees are looking for suitable opportunities.

15 RECONCILIATION OF NET MOVEMENT IN FUNDS TO NET CASH FLOW FROM OPERATING ACTIVITIES

Net income before other recognised gains and losses
Interest receivable
Depreciation
(Increase) / decrease in debtors
Decrease in creditors

Net cash generated from operating activities
2025
2024
£
£
(45,363)
(193,567)
(61,751)
(27,242)
187,709
208,205
(74,370)
118,228
(6,657)
(59,033)


(432)
46,591

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Docusign Envelope ID: BC17DF3C-AC93-4471-8CEC-D0D616AF5543

THE ORCHARD TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

_________________

16 RELATED PARTY TRANSACTIONS

During the year, rent and rates was paid of £17,300 (2024 - £17,600) to Mr R Morgan (a trustee), who owns a freehold property from which the company trades. No amounts remain unpaid as at 31 March 2025.

During the year, £96,162 (2024 - £222,997) of fees were received from local authorities for 2 children of trustees, who are supported by the charity.

Additionally, during the current and prior financial year, Elizabeth Bell (a trustee) has volunteered time and services to the business smallholding.

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