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~~**TRUSTEES’ ANNUAL REPORT AND CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**~~
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## **Contents**
**Joint Chair and CEO statement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 What we do . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4 Our services and programmes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5** Our impact at-a-glance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Client voice . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Complaints **. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .** 9 **How we do it . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12** Cross-cutting themes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 Finance review . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 Fundraising, communications and public affairs . . . . . . . . . . . . . . . . . . 19 How we have engaged our supporters . . . . . . . . . . . . . . . . . . . . . . . . . . .24 The Depaul Group **. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .** 25 **Looking forward** . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . **25** Future plans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 Risk **. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .** 26 **Director’s report . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .** 31 Structure, governance and management . . . . . . . . . . . . . . . . . . . . . . . . . 31 Reference and administrative details of the company, its Trustees and advisers, for the year ended 31 December 2023 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .36 Statement of Trustees’ responsibilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37 Provision of information to the auditor **. . . . . . . . . . . . . . . . . . . . . . . .** 38 **Auditor’s report . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .39** Independent auditor’s report to the members of Depaul UK . . . . .39 Consolidated statement of financial activities . . . . . . . . . . . . . . . . . . . . 44 Balance sheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .45 Consolidated statement of cash flows . . . . . . . . . . . . . . . . . . . . . . . . . . . . .46 Notes to the financial statements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .47
## **OUR MISSION IS TO END HOMELESSNESS AND CHANGE THE LIVES OF THOSE AFFECTED BY IT**
Depaul UK Trustees’ Annual Report and Consolidated Financial Statements
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## **Joint chair and CEO statement**
## **Key messages:**
Despite these challenges, we remained passionately committed to delivering high-quality, impactful services for the most marginalised in society . We are incredibly proud to have not only weathered the storm but to have expanded a number of vital services . This includes opening new accommodation projects in Cheshire, Lambeth and Salford . We continued to provide supported accommodation for young people and vulnerable adults and, in total in 2023, we received £7 .4m from public sector contracts for housing related support (2022: £6 .0m) .
In 2023, we witnessed the appalling reality that homelessness in all its forms is rising . Nearly 136,000 young people experiencing, or at risk of, homelessness turned to their local authority for help (a 5% rise from 2022) with 67% not receiving the support they needed . At the same time, we learnt that the number of people rough sleeping on a typical night in England rose by 27% from the year before .
The causes of this trend are complex and far reaching, but the continued fallout from the pandemic - and now the devastating cost-of-living crisis - have exacerbated an already growing problem . We are witnessing the impact of this first-hand . Demand for our services is skyrocketing, as is the severity and complexity of need for those we support .
At the start of the year, we had the honour of welcoming HRH the Prince of Wales to one of our services in London . It was a wonderful experience for our young people and staff who talked with HRH about their experiences of homelessness . By April, Depaul had been invited to be a sector partner in The Royal Foundation’s Homewards initiative to prevent homelessness as part of a coalition in six areas of the UK .
At the same time, like many charities, the cost-of-living crisis has hit our organisation . Steep wage inflation, rising energy costs, and the squeezed household budgets of our valued voluntary donors have led to a difficult year for Depaul UK . At a time when we had hoped to return to ‘business as usual’ following the pandemic, we have, once again, had to be adaptable, resilient and look to creative ways to solve new challenges . This has included an organisational change programme to reduce our cost base and support our long-term sustainability .
It has also been an important year for our public voice . We collaborated with organisations across the youth sector through the ‘What is the Plan for the 136k’ campaign, calling on the government to develop a targeted youth homelessness strategy . We also sought to engage Ministers, Mayors and MPs throughout the year - including
hosting London Mayor, Sadiq Khan, at our London Youth Hub emergency hotel and presenting to Greater Manchester Mayor, Andy Burnham, about our work with the Institute of Global Homelessness . Through this advocacy work, we successfully influenced several government policies, including those relating to the new Ofsted standards for providers of supported accommodation for looked after children and care leavers aged 16 and 17 . . We also advised the government on the implementation of their national rough sleeping strategy through our attendance on the Ministerial Rough Sleeping Action Panel .
In October 2023, our CEO Mike Thiedke, moved on from Depaul UK and we would like to say a huge thank you for his five years of support and leadership . We are delighted that Alexia Murphy – our former Executive Director of Operations – was appointed into the role of CEO in January 2024 . Finally, we would like to thank our loyal supporters and partners for their unwavering support throughout 2023, along with our amazing staff and volunteers who have, yet again, proved to be innovative, resilient and full of passion and dedication to support the most vulnerable people in our society .
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## **What we do**
## **Strategic overview**
Since 1989, Depaul UK has worked to support people facing homelessness . We work in local communities across the country to prevent and relieve the impact of homelessness on people’s lives and to help those affected equip themselves with the skills to thrive .
We specialise in supporting young people, who are among the most vulnerable in society, and especially those who have had traumatic experiences . Since the pandemic, we have also increasingly worked with adults, especially those sleeping rough . We do this only when we believe Depaul UK is best placed to make a positive difference in their lives .
Depaul UK’s vision, mission and values have remained largely unchanged for more than 35 years and are as valid as ever . We know that homelessness is stubborn, cyclical and systemic and we must be flexible to meet each new challenge it brings . We also acknowledge that to do our job well, we cannot separate how we work with clients from the way we manage our resources and engage staff, partners and stakeholders .
Our current strategy (End Homelessness for Good: The Depaul Way 2021-26) is based on two key building blocks of our strategic approach:
- 1 . A sound organisational culture and identity; demonstrated towards clients, staff and partners alike which is based on strong, lived values and that commits to excellence in what we do . We respond effectively and with urgency to the complex and dynamic nature of homelessness . This is what we call The Depaul Way .
- 2 . A set of cross-cutting themes that shape and direct everything we do at Depaul UK . These themes reflect what we consider essential, overarching concepts that allow us to remain relevant and effective as an organisation ‘inside and out’ . These cross-cutting themes are: equality; diversity and inclusion; mental health and wellbeing; social value; and sustainability .
Given our experience of working through both the pandemic and cost of living crisis we will undertake a midterm review of our current strategy in 2024 . The underlying problem that we are trying to resolve remains unchanged, but three years into the current strategy, and considering the societal and financial shifts caused by the pandemic and cost-of-living crisis, we will review our strategic objectives for 2024-26 .
## **Our services anD programmes**
In 2023, Depaul UK worked with 13,185 people at risk of, or experiencing, homelessness .
We extended our support to reach more complex client groups, increasing our work with care leavers, adults with complex needs and young people involved with gangs . This led to new accommodation services for care leavers in Cheshire West and Salford . In total, our supported accommodation services were used by 698 people .
The cost-of-living crisis and longerterm mental health impacts of the pandemic have continued to disproportionately affect the people we work with . Depaul UK, as always, was agile in meeting those needs, with staff creatively supporting clients in new ways .
We set up a new pathway for young people in the London borough of Lambeth, providing assessment and both emergency and supported accommodation - including specialist services for young women .
We continued to work with a diverse client group, expanding our prevention work and services for adults experiencing complex needs . The age range we worked with varied from 11 years in our family mediation services to 82 years in our homelessness complex needs service in Middlesbrough .
We also built a partnership with Juvenis, Mac-UK and St Giles Trust in Lambeth to develop a specialist service for Young People At Risk (YPAR) . This new service will deliver a radically different model of holistic, trauma-informed and multidisciplinary housing-related support for the highest risk gang-involved young people . The Depaul UK-led partnership provides small-scale accommodation outside of Lambeth and a consortium team made up of experts in clinical psychology, youth work, youth justice, and support workers with lived experience .
## **Our housing and support services**
Our housing and support services continued to operate throughout 2023, and we provided 883 people with at least one night’s safe accommodation . This included same-day emergency accommodation through Nightstop through to longer-term supported accommodation . Of those supported, 218 people were over 25 years old .
We continued to develop our outreach and drop-in services for adults with complex needs, including people with experience of rough sleeping, reaching 436 people in 2023 . We continue to deliver a specialist Outreach Service, Acasă, to support and reconnect
Throughout the year, we continued to focus on staff training, client wellbeing, and ensuring we delivered effective and consistent services to our clients .
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people to Romania, working with delivery partners in Romania to support people with housing and employment on their return home .
Our subsidiary Registered Housing Provider, Depaul Housing Services (DHS), successfully delivered four homes for people sleeping rough in Middlesbrough, using Homes England funds under the Rough Sleeping Accommodation Programme (RSAP) .
We successfully bid for Homes England fund Single Homeless Accommodation Programme (SHAP) in the year to purchase and develop 10 additional social housing units in Middlesbrough, purchasing 2 in the year, with the remaining 8 to be delivered in 2024/25 .
In partnership with the GLA (Greater London Authority) and Haringey Council, we also secured SHAP funding for a 12-bed supported accommodation property in London, which will be purchased in 2024 .
Depaul UK is funded to provide support to tenants in the above schemes .
- Of the clients in our accommodation services, 453 (64%) were able to move on positively after Depaul UK .
- Of the clients with an identified mental health need, 65% saw an improvement .
- Of the clients with an identified education or employment need, 28% were more engaged in that area .
- Of the clients with an identified need around their relationships, 48% saw a positive change .
## **Our prevention and programmes services**
We continue to develop and deliver early intervention services to prevent more young people than ever experiencing the trauma of homelessness . This includes our education programme in schools; our family support and mediation service - Reconnect; and our emergency accommodation service - Nightstop .
We also set up new early intervention and mediation services in the NorthWest of England, where we work in partnership with Centrepoint, and in Lambeth and Adur & Worthing . In Cheshire West we started delivery of a Supported Lodgings and Step Forward service, supporting young people leaving care to secure and sustain accommodation with community hosts and in their own tenancies .
In 2023, Depaul UK supported:
- 9,000 people through our education programme .
- 271 people through Reconnect (with 65% of young people and 35% of parents reporting that their relationship is a little or a lot better) .
- 180 people through Depaul-run Nightstop services, with 71% moving on positively afterwards .
The Nightstop network, a collection of organisations providing emergency accommodation through community hosting, worked with 359 hosting households to provide 600 people with somewhere safe to stay . Collectively, we provided 6,675 safe nights across the UK with 68%
of clients moving on to somewhere positive after Nightstop .
Depaul UK’s Employment, Training and Education (ETE) programme, Steps to Success, supported 371 clients nationally . In December 2023, we also started a new service in Sheffield, supporting people experiencing social exclusion to find and sustain employment .
Underpinning sustainable ETE is psychological resilience and wellbeing . The mental health of our clients continued to be of growing concern . Throughout the year, our Mental Health and Wellbeing Team supported 74 clients with one-to-one mental health support while equipping staff across the organisation with training and tools to help them effectively support our clients in this area .
## **Our impact at a glance**
- 13,185 people experiencing or at risk of homelessness supported by Depaul UK
- 271 young people and their families supported through Reconnect
- 371 clients supported towards their ETE goals through Steps to Success
- 6,675 safe night’s accommodation provided through the Nightstop UK network
- 9,000 children and young people learnt about homelessness through our education programme
## **Client voice**
Client involvement is integral to everything we do at Depaul UK, with every department committing to ensuring that the client’s voice informs and influences the decisions that affect them .
In 2023, 151 clients participated in 352 client involvement activities (with some clients attending on more than one occasion) . These opportunities were in addition to routine involvement, and included consulting on policies, joining interview panels, and helping to shape the development of new services and proposals . In addition, clients participated in our Client Voice advisory group a total of 187 times .
Our annual Client Conference was held in the Peak District in October 2023 . This three-day residential conference was a chance for clients from across our services to come together and help shape Depaul UK’s priorities for the year ahead . The focus this year was on “Moving In and Moving On” .
Through a range of interactive sessions, clients were empowered to share their thoughts and feedback, helping improve our understanding of the challenges faced at these critical stages in their journey and how we can best meet their needs . We also discussed how we could make the complaints process at Depaul simpler, which resulted in the introduction of QR code posters in every service that direct clients to the complaints page of Depaul UK’s website .
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## **Our impact at a glance**
**13,185 271 people experiencing or young people and their at risk of homelessness families supported supported by Depaul UK through Reconnect**
**371 6,675 clients supported safe night’s towards their accommodation provided employment, training through the Nightstop and education goals UK network through Steps to Success programme**
**9,000 children and young people learnt about homelessness through our education programme**
We also introduced a new voluntary Client Representative role, with 10 current and former clients taking up the position . As a Client Representative, clients offer their time and experience to help Depaul UK embed a culture of coproduction and collaboration . In turn, representatives are supported to take part in a range of activities and opportunities across the charity, from being media spokespeople to reviewing organisational policies and procedures . Our representatives play an important role in ensuring the client’s voice underpins every aspect of our decision making and service delivery .
## **Complaints**
Depaul UK has adopted The Housing Ombudsman’s Complaint Handling Code as the basis of our approach to complaints . While not all our services or business activities are directly housing related, we believe that the principles offer best practice in complaint handling and are applicable across our business .
Complaints are monitored and reported quarterly to our Services and Business Development Committee . The Quality and Compliance Manager is the Complaints Officer for Depaul UK and is responsible for the implementation of our Complaints Policy .
In 2023, we updated our policy and introduced a new easy way to make a complaint using a QR Code displayed in all our buildings .
In 2023, we appointed a named trustee who has joint responsibility with the Executive Director of Operations for complaintsmonitoring to improve accountability . We are also delivering new staff training to improve handling and recognition of complaints .
**----- Start of picture text -----**
||||
|---|---|---|
|Our performance|2023|2022|
|Number of complaints|
|42|25|
|received|
|Percentage of|
|complaints resolved at|100%|100%|
|stage 1|
|Percentage of|
|complaints satisfactorily|97%|80%|
|resolved*|
**----- End of picture text -----**
*“Satisfactorily resolved” means a complaint resolved first time, within timescales, at stage 1, and that the complainant has indicated satisfaction with the outcome, either by confirming their satisfaction, not responding to a request for feedback or not requesting that their complaint is escalated to stage 2 .
* the statistics above refer to the number of people reached by our services .
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## **Case study: Finn**
When Finn moved to London after being promised a place to stay, he quickly realised that the accommodation wasn’t safe, he became homeless . .
“I moved to London, I liked the idea of the opportunities that London could provide . I connected with some people and someone offered me a place stay . My expectation was to find a room, and find a job and make my life in London . Things didn’t exactly play out like that .
## **“It turned out I didn’t actually get a room, I got a cupboard under the stairs. Initially, I thought I could handle it and I had it under control but then everything started to fall apart. It was a very sharp decline.”**
The service is for young people who would otherwise be sleeping rough on the streets . “I remember getting there, and I was like- I’ve got an entire room! And a bathroom! I had such a good night’s sleep . For the first time in a long time, I felt safe . It was nice . It made me feel like a person . I felt a bit more normal . ” “This was the big turning point for me, it was a breathing space from all the stress .
“The support there was incredible, I started to feel like myself again . It was a key factor towards rebuilding my confidence and beginning to heal the scars on my mental health . I am now in a privately rented room . I’ve got my own room with a lock on the door . I’m happy in my room . I also work in a bakery, in the kitchen there .
“Depaul showed such genuine compassion and understanding, in their eyes I wasn’t a failure and I wasn’t a burden, I was a person in need and it was okay . Realising that these people actually cared and believed I was worth helping was so empowering . I found the willpower to keep fighting and surviving”
“I didn’t really feel like I had anywhere else to go at the time . I didn’t want to feel like I’d failed in London, but I also didn’t really have anywhere else to go . My family knew I was in London . But they didn’t know the situation I was in . ” Finn was eventually referred to Depaul UK’s youth-specific emergency accommodation and support service .
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## **How we do it**
## **Cross-cutting themes**
our recruitment, onboarding, induction, and learning and development approach to ensure fair access, inclusivity, and equality of opportunity . All our staff access EDI training as part of their induction to Depaul, and as a refresher during their time with us .
## **Equity, diversity and inclusion**
Increasing equity, diversity and inclusion (EDI) is a priority for Depaul UK . This commitment is reflected in our EDI statement (available in full via our website) . Depaul UK measures itself against the highest standards, including those within the Equality Act 2010 and the Public Sector Equality Duty . We are an Investors in Diversity accredited employer and are proud to be in the National Centre for Diversity’s top 50 employers . We are committed to going beyond mere compliance and to taking action to embrace the benefits EDI can bring to the engagement of our staff, the outcomes for our clients and how we deliver our mission .
We are not afraid to embrace change or acknowledge areas for improvement as we work together to continuously embed EDI at Depaul UK . . In 2023, we continued our roll out of Acceptance and Commitment Therapy training, supporting our staff and managers to continue to build their skills in mental health, wellbeing and values focused outcomes .
We will develop our EDI learning opportunities to give our teams the skills and confidence to have difficult conversations, challenge their own unconscious biases, and build welcoming, well informed, supportive environments for our clients and colleagues alike . .
Depaul UK have a published, organisation-wide action plan to ensure we keep our commitment to equity, diversity and inclusion at the forefront of our agenda . We have committed not only to recognising our responsibilities in respect of the protected groups specified in the Equality Act 2010, but also to giving the same access to opportunities for our clients, staff and volunteers, regardless of their race, age, gender, sexuality, disability, culture or anything else that might be discriminated against .
## **Mental health and wellbeing**
We know that positive mental health and wellbeing is essential for our clients, staff and volunteers to be able to thrive . In turn, it is also fundamental to the success and sustainability of our work . Supporting people to maintain or achieve positive mental health and wellbeing is an important part of our overall
To facilitate this, in 2023 we adopted a flexible working approach, including hybrid working . We have also further developed
mission and we are committed to creating the right environment - including the physical and emotional spaces – to support this .
Research shows that 80% of people who have experienced rough sleeping have a mental health diagnosis . Additionally, our research revealed that the Covid-19 pandemic had a significant impact on the mental health of young people experiencing housing instability, with 59% of respondents stating that their mental health had been negatively impacted and 52% feeling more anxious about the future .
These statistics are reflected in the concerning rise in the number of Depaul UK clients reporting a mental health difficulty - both with and without diagnosis - and the increase we have seen in incident reports primarily associated with mental health issues over the past three years . In 2023, one third of all incidents reported were related to mental health . Our data also indicates that clients who are women or LGBTQ+ are increasingly struggling with their mental health .
To better support clients across all Depaul UK services, we have launched a Trauma Informed Practices in Services (TIPs) initiative . Through TIPs, our Mental Health and Wellbeing specialists work intensively with services to promote wellbeing and safety, upskill staff and establish interventions for clients that support their mental health . Throughout 2023, we rolled out training to all staff on core themes such as self-harm and suicide ideation, and provided practical tools training, resources and activities to
support clients experiencing poor mental health .
As part of our mental health strategy going forward, we will ensure:
- Every client at Depaul UK has the practical tools and strategies to manage their mental health and wellbeing .
- Those most at risk of experiencing poor mental health have access to professionals and agencies that can help .
- We support those with or without a diagnosis to stay well and manage their mental health within Depaul UK services .
To ensure our staff remain well themselves, they have access to a variety of tools designed by our Mental Health and Wellbeing teams . We use Wellbeing Action Plans, regular supervision, reflective practice and our Employee Assistance package to support staff to manage their wellbeing . Through our Leadership and Management Development Programme, our line managers are trained to manage absence effectively and sensitively, with return-to-work plans and flexible working embedded to support wellbeing .
## **Social value**
At Depaul UK, we define ‘social value’ as the additional benefit our organisation provides to the wider communities and economies within which we work . Social value has three key aspects: economic (e .g . employment or apprenticeship/ training opportunities); social (e .g . activities that promote cohesive
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communities) and environmental (e .g . efforts in reducing carbon emissions) . We are committed to developing our offer in all three respects .
In line with our organisational value of ‘taking a wider role in society’, we are delighted to report than in 2023 we have recruited our first apprentices, that all our electrical supply now comes from green suppliers, and that our education programme continues to promote resilience in the communities in which we work .
The social value we deliver to the communities we work in continues to be of importance when public authorities commission Depaul UK to provide new services . Social value is localised to meet the needs of the specific communities around our services and our offer is therefore based on the needs and facilities available in those areas .
Our commitments cover everything from how we procure goods and services locally to how we will open up and use our buildings for greater community good . This ensures we are aligned with the local environmental, economic and health strategies in each area that we work .
## **Value for money**
Throughout 2023, we continued to deliver on our strategy, achieving value for money by maintaining our commitment to the four core principles of economy, efficiency, effectiveness and equity . We did this through improved policies and procedures relating to the selection of suppliers, the commissioning process and evaluation of the services we provided . We took the
learning from our work delivering services during the covid pandemic to improve our efficiency and effectiveness going forward .
Reducing voids and arrears remains a key priority for us, especially in budget-setting and in the review of financial performance by the Finance, Audit and Risk Committee and Trustees . In 2023, we collected 90% of rent due, somewhat below the target of 95%, and the rate of empty beds per night was 14%, slightly outside the target level of 12% . Addressing the rate of empty beds per night will continue to be a focus for 2024 .
## **Environmental sustainability**
Depaul UK recognises the importance of charities achieving net zero by 2030 . To support this ambition, we continued to implement and build on the energy saving activity that took place throughout 2022, including:
- **Effective recycling systems:**
Recycling facilities are promoted across our projects and young people in their own tenancies are supported to recycle more .
- **Environmentally friendly forms of transport including the Cycle to Work scheme for staff:** We encourage our staff to use public transport or cycle when travelling on Depaul business . We have bike racks/sheds at our regional offices and at our central London office we have a number of Brompton Bikes gifted by Brompton, on long term loan to staff for use in work . A number of bicycles are available for long term staff loan at our London central office .
- **The roll out of low-energy**
**lighting and boilers:** In recent years energy efficient boilers have been installed at our Manchester high support service and our central office in London . All Depaul owned properties are fitted with low energy lighting . We have introduced a Hive thermostat at one accommodation service to test and monitor efficient use of the heating system .
- **The purchase of green tariff utilities through our Utility broker Utility Aid:** This is sourced from UK wind farms through Scottish and Southern Energy .
**• Energy Performance Certificates:** New Energy Performance Certificates were undertaken for the properties that Depaul UK owns . Current government regulations stipulate that our properties need to reach a rating of E . These inspections confirmed that we met regulations but
further improvements will need to be made to reach future government targets (proposed to be a rating of C for existing properties by 2028) .
- **Paperless offices:** We have moved towards paperless offices, with reductions in paper already being seen across the organisation .
**• Hybrid working:** We have built on the learnings from the pandemic, reducing the amount of unnecessary travel by adopting and encouraging hybrid working and online meetings, where appropriate .
- **Landlord collaboration:** We
continued to work closely with the landlords of our leased properties to take advantage of any opportunities to improve energy efficiency across our entire estate of owned and leased property .
- **Energy saving opportunity scheme (ESOS):** In 2023 we started collecting data for the June 2024 submission of ESOS . This is a mandatory government initiative where companies of 250+ staff need to submit their energy use (gas, electricity and use of vehicles) .
- **Energy audits:** Energy audits have been completed at five Depaul properties with the aim of identifying tailored and costeffective measures to allow us to save energy and achieve carbon and cost savings . The final submission to the Environment Agency will be in June 2024 .
In 2024, our Client Voice group will be meeting to discuss how else Depaul UK could reduce its environmental impact . This will be embedded in environmental actions going forward .
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## **Finance review**
For the year ended 31 December 2023, the Trustees have again taken the decision to produce consolidated accounts for Depaul UK, to include the results of its two subsidiaries: Depaul Housing Services (DHS) and Depaul UK Trading CIC (DUT) . Whilst DUT was inactive during the year, the activity in DHS increased significantly .
Depaul UK group ended the year with a deficit of £1,629k (2022: £697k deficit), with a deficit of £1,296k in General Funds (2022: £902k deficit) and a deficit of £333k in Restricted Funds (2022: £205k surplus) .
charitable activities - i .e . the services and programmes we provide to our beneficiaries – increased by £3 .4m to £20 .4m (2022: £17 .0m), as we worked to support the growing number of vulnerable clients . Expenditure on charitable activities represented 93% of all expenditure in the year .
The remaining spend was used to raise funds for our work and for running the charity . The fundraising return on investment remained the same as the previous year at 3 .4:1 . The strategy to invest in building fundraising capacity remains relevant to the delivery of the organisation’s 2021-2026 strategy .
## **Cash and reserves**
## **Income**
The UK group’s total income for the year ended 31 December 2023 was £20 .3m (2022: £17 .9m) . The increase in income from 2022 was due to successful tendering for new contracts being won in the year . We continued to provide accommodation for rough sleepers and, in total in 2023, we received £7 .4m from the UK Government through its ‘Local Authority Contracts (2022: £6 .0m)’ . Despite the continuing economic challenges, voluntary income remained steady at £5 .3m (2022: £5 .4m) .
Depaul UK continued to receive greatly valued support from People’s Postcode Lottery, with increased funding of £3 .1m (2022: £2 .8m) .
## **Expenditure**
Partly due to the increase in contract income and partly due to inflationary cost increases, expenditure on
With a number of new contracts starting near the end of the year, debts outstanding to us increased by £0 .7m on last year, with total monies due to us of £3 .9m . Although the amount owed to creditors also increased by £0 .9m to £2 .9m, the deficit of £1 .6m has meant that group cash reserves have fallen to £1 .7m from £3 .5m last year . The year end reserves position was £7 .0m for the group, a decrease of £1 .6m from last year (2022: £8 .6m) . Of total reserves, £1 .5m were restricted (2022: £1 .9m) with £5 .5m unrestricted (2022: £6 .8m) .
Like many organisations, Depaul UK faces significant challenges in the current economic environment and, in view of this, carried out an organisational restructure during the year to navigate the difficult circumstances and support its longterm financial sustainability .
Depaul UK is aware that approximately 50% of its voluntary
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fundraising income is represented by People’s Postcode Lottery . Although we have had no indication that this support will change significantly, we are, nevertheless, continuing to diversify and grow our income streams . The projections underpinning our financial strategy also contain a realistic target for growth in grant income . The importance of budgetary control is stressed and will be monitored effectively . Further, we anticipate an increase in funds for activity from 2025 . Various avenues to enable this growth have been identified and are being explored .
## **Reserves policy**
The reserves policy covers free reserves, excluding designated funds and restricted funds . This was reviewed during 2021, with Trustees taking a risk-based approach and setting free reserves at a level sufficient to provide 4-6 months cover for medium and high priority expenditure not covered by high reliability income . This was estimated at between £1 .6m and £2 .4m for the group .
At the end of the year, the free reserves exceeded the policy minimum and will be used to fund additional strategic activities in the future . Reserves held at the end of the year were:
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Group Charity
2023 2022 2023 2022
£’000 £’000 £’000 £’000
Fixed Asset designated funds 3,813 3,511 3,047 3,137
Restricted funds 1,525 1,858 525 1,022
General funds (free reserves) 1,685 3,283 1,959 3,208
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Income from legacies was above target and we are immensely grateful to all those who generously chose to leave a gift to Depaul UK in their will . Their kind gifts will make a lasting difference for many young people facing homelessness in the future .
Overall, the year’s fundraising expenditure was £1 .56m, a decrease of 1% from 2022 . This was mainly due to staff vacancies during the second and third quarters of the year .
In our recruitment and retention of supporters in 2023, we used the following channels: direct mail, monthly e-newsletters, door-todoor fundraising, our Safe & Sound Magazine, a range of digital and print advertising, and a test of DRTV . We are committed to being open and transparent with our donors, building strategic and trusting relationships that change young people’s lives for the better .
When raising funds from the public we aim to do so in a respectful and compelling way, adhering to the highest standards . We are registered with the Fundraising Regulator and adhere to its Code of Fundraising Practice . We will not put undue pressure or unreasonably intrude on anyone to make a gift . If any of our donors do not wish to receive future communications from us or would like to stop their donations, we are clear in our mailings and on our website about how to unsubscribe .
We are also transparent about our complaints process and always aim to respond to complaints quickly and effectively . In 2023, we had four fundraising complaints through our internal procedure . We warmly welcome any opportunity to improve the way we handle complaints . .
To support our objectives, we work with REAL Fundraising agency who carry out our door-to-door campaigns . We carry out due diligence checks on all suppliers, ensure we have robust agreements in place and deliver comprehensive training to ensure any third parties adhere to the same high standards that we would expect from our own staff .
We are hugely grateful for the kind generosity of every individual, company and charitable organisation that has supported our work throughout 2023, including:
The Albert Gubay Charitable Foundation
The Astra Foundation Charles Plater Trust
Clare Scherrer and Gary Lapidus
Computershare Co-op Foundation Garfield Weston Foundation Montpelier Foundation One Savings Bank
People’s Postcode Lottery The Joseph Cox Charity The Ludlow Trust
The Mary Kinross Charitable Trust
The May and Stanley Smith Charitable Trust
The Merchant Taylors’ Foundation
The NHS North Tyneside Clinical Commissioning Group
The Schütz Engel Trust The Zochonis Charitable Trust
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## **Case study: Emma**
> Emma, 23, became homeless **“Depaul genuinely** after an abusive relationship fell
> apart while they were studying at **believed in me. That** university . They sofa-surfed for a **I could do many** while, but without a safe place to live,
> their mental health soon began to **great things if** deteriorate . **only I had a house.** “This year has been chaotic . I moved **That’s extremely** into private renting after living in
> halls [at the university] . Then I met **important,** somebody and moved in with them,
> but they turned out to be abusive . **especially for** Sexual assault meant I had to leave . **someone whose** I sofa-surfed and then moved back
> into university halls . **trust has been**
> “The problem with the university **violated many times**
> halls was that they kept putting me **by other services.”**
“The problem with the university halls was that they kept putting me on bad contracts . I was on contracts for two weeks which would then be extended by two weeks . But I wouldn’t find out until the end of that week . My mental health was awful . I had no stability in the situation . This carried on for six months .
“We did everything we could to find a flat and eventually we got a contract signed . It’s lovely, it’s safety, it’s stability . It’s everything I could have wished for . It feels like home .
“I’ve been stable ever since . With Depaul, when you get housed, you don’t get left to fend for yourself . You still get six months of support . I really like that as I’ve had a bunch of issues come up .
“It eventually led to a suicide attempt . The problem was never with my mental health, the problem was that I was homeless . You can’t prescribe a house . I then presented myself to the council as homeless . But I was prevented from doing so by the university as they said they could house me . That’s when Depaul got involved .”
“That’s why it’s so important to have a home . It’s not just about having shelter; it’s about rebuilding your life .”
Emma was supported by Depaul’s Pathfinder service, and worked with their Progression Coach, Charley, to find a safe and stable place to call home .
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## **How we have engaged our supporters**
Volunteers play a vital role in the work of Depaul UK . Across our services in 2023, 651 registered volunteers kindly donated more than 20,621 volunteer hours, equating to £214,871 in donations . While across the wider the Nightstop UK Network, 905 registered volunteer hosts cumulatively donated 80,100 hours .
The amount of volunteering hours provided has continued to grow this year, thanks to a recovery of volunteer involvement following the Covid-19 pandemic . Our volunteers are instrumental in helping us provide the very best opportunities for our clients, delivering specific projects and bringing new skills and diverse life experience .
Through a holistic approach of local outreach, working with community groups and employers, and national media campaigns, we have successfully diversified the profile of our Nightstop hosts . Our hosts receive ongoing support and development through initial training, regular supervision and reviews, as well as access to a 24/7 emergency support service . We recognise the contribution of our hosts by celebrating their successes, holding forums and social events, and promoting their stories through our internal and external communications .
**“The Nightstop staff are on hand 24/7 if we have any issues or concerns. We have always enjoyed having people come to stay, and overall it’s been a very positive experience for us, and hopefully our guests as well” - Nightstop host**
In November 2023, our mentoring service went on hold and is currently in development to bring greater opportunity to those accessing Depaul UK services . in 2023, new volunteering roles continue to be developed across Depaul UK . It has been wonderful to engage volunteers in new roles enhancing the services we deliver .
Governance development work was completed on our Board of Trustee data management, which is now stored in our central recruitment database, Cascade, along with our other volunteer data . Our European Solidarity Corp (ESC) volunteering programme came to an end and the final financial arrangements are now coming to a close .
To help us engage young people in Depaul UK’s work and give learning opportunities to those in our wider community, we are developing a framework to support people to take on student placements at Depaul UK, while improving our data management and evaluation processes . Looking ahead, we plan to grow the number of student placements by promoting the scheme and building more partnerships with education providers .
In 2023, we also engaged more than 2,000 supporters through various events including CEO Sleepouts, step challenges, the London Marathon, Weighted Walks, gala dinners and our quarterly webinars .
We are so grateful to all the incredible community and corporate volunteers who generously donated their time and experience to support Depaul UK in 2023 . We continue to offer one-to-one support to all
volunteers and to deliver national forums, where we hope all volunteers will feel valued as integral members of the Depaul UK team .
## **The Depaul Group**
Depaul UK is part of an international family of charities working with people who are homeless or at risk of homelessness . What started as a response to the growing number of homeless young people on the streets of London in 1989 has now grown into a response to tackling homelessness worldwide . The Depaul Group is made up of charities working in the UK, Ireland, France, Slovakia, Ukraine, Croatia and the USA, united by a shared mission, vision and values .
The group is strengthened through the Institute of Global Homelessness (IGH) – a policy and practice network based in Chicago - and the worldwide Thirteen Homes programme, which supports the development of 13 homes for homeless people in Vincentian communities around the world . Depaul UK is committed to strengthening and supporting the growth of the ‘Depaul family’ through mutual support and collaboration .
In 2023, Depaul UK continued to contribute to the group and learnt from other group members . For example, during the year, Depaul UK contributed to global staff webinars; undertook exchange visits with colleagues from Depaul Ireland to learn about working with different client groups; and co-presented with Depaul Ukraine at the International Journal of Homelessness conference
on ‘The Impact of War and Pandemic on Delivering Homelessness Services – What Lessons Could Be Learned’ .
We continue to support global advocacy campaigns, awareness raising and research work through the IGH, as well as raising more funds to deliver our mission and respective strategic plans by harnessing our international set up . This included strengthening our approach to joint funding bids .
## **Future plans**
Our current organisational strategy (2021-2026) was developed and launched at the height of the global pandemic . Whilst the core issue of homelessness remains as valid now as when the strategy was written, the scale, breadth and causes of homelessness are all increasing . Three years into the strategy we have already achieved much of what we set out to do . What’s more, because of the work we did during the pandemic, the opportunities now open to us - including capital purchase programmes and work with new client groups - are not addressed in our current strategic objectives . As such, we are undertaking a strategy refresh to set out the new objectives we wish to achieve by the end of 2026 .
The social and economic implications
of the Covid-19 pandemic and the cost-of-living crisis continue to be felt both by those who use our services and those who work for us, as well as impacting the organisation’s finances . Our donors are also feeling the pinch of higher prices on household budgets, and our established contract values have not
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kept up with rates of wage inflation and rising energy costs . As such, maintaining financial sustainability is one of our key objectives for the coming two years .
As London reports its highest ever increase in rough sleeping (April 2024) - and with the country likely holding Mayoral and Westminster elections in the same year - now more than ever Depaul UK must ensure our public voice and influence on policy is at its loudest and most effective . We will more intentionally bring together our global connections through Depaul International and the Institute of Global Homelessness . And we will use our local expertise and influence to support communities to prevent and address homelessness through the delivery of high-quality services and strategic support to local decision makers .
We will continue to actively grow our subsidiary Depaul Housing Services to purchase and manage social housing to ensure more properties are brought permanently into use as homes for people who are experiencing homelessness .
Whilst recognising that
homelessness is increasing, we will be smart about how we grow with a refined and targeted new Growth Strategy to be developed in 2024 . This strategy will be based on our evaluated service models, a sustainable financial model and a greater focus on how and where we can have the most impact for people and communities .
We will continue to offer a broad portfolio of services . We will provide safe housing and supported
accommodation, and we will focus on employability, training and education, alongside mental health and wellbeing support . We will also continue to focus on involving our clients in everything we do, with renewed emphasis of including lived experience in all parts of the charity’s work and governance .
Our staff are our biggest asset, and we will be developing new learning and career pathways through the organisation and concentrating on health and wellbeing .
## **Risk**
The trustees of Depaul UK are aware of their responsibilities and obligations regarding risk management . The effectiveness and relevance of our system of internal controls is reviewed on a regular basis, and at the same time it is ensured that the charity’s objectives remain on track and are achieved . Trustees can only provide reasonable, not absolute, reassurance against material misstatement or loss .
Depaul UK’s risk management model includes several stages that help to identify and manage risk . The charity has an established risk management policy and related procedures that clearly explain its position, approach, processes and responsibilities . This is supported by:
- Procedures and processes that set out to identify and manage risk rather than eliminate it .
- A Corporate Risk Management Register tool, used to assist in identifying and assessing risks, considering their impact and
evaluating actions .
- Allocating each risk to an executive director of Depaul UK to ensure accountability at the highest level .
- Actively monitoring risks and reporting upon this as a standing item to the Council of Trustees meetings, at Executive Team meetings and to the Leadership Group of Depaul UK .
In addition to the Corporate Risk Register, Depaul UK’s services undertake risk assessments on a regular basis using the same methodology as contained in the charity’s Risk Management Policy and Procedures, on themes such as Covid-19, health and safety, fire safety, and other specific activities . This ensures a consistent approach to risk management throughout the organisation and enables localised risk management and engagement of service managers in the risk management process .
During 2023, the trustees have given
due consideration to the major risks that the charity is exposed to and were satisfied that the control measures in place to manage those risks are appropriate . The headline risks that have a significant impact and/or carry a high likelihood of occurring include:
## **Finance**
Like most charities, our work is dependent upon the generosity of funders and donors . We acknowledge that some charities have seen considerable changes to their income streams and funding priorities as a direct impact of
Covid-19 . This risk therefore concerns high levels of financial volatility that result from economic factors outside the charity’s control .
Mitigating interventions have included: risk-based reserves ranges being identified to enable operations to continue through short/mediumterm volatility; and strategic financial planning underpinned by the approval of a multi-year finance strategy, which includes detailed projections and scenario planning .
## **Data protection and cyber security**
The increased dependency on the use of ICT-based technology during the pandemic has also seen global acknowledgement of the increase and potential of cybercrime . This risk links directly to compliance with GDPR and our Data Protection Act obligations .
Mitigating interventions have included: increased resourcing - with a 12-month data protection and compliance manager post intended to build capacity, review our core compliance activities, and make improvements to our systems and processes in data protection and information governance; sustained achievement of Cyber Essentials quality accreditation; a Data Protection Lead for Depaul UK; ongoing registration with the Information Commissioners Office; monitoring of potential data breach reviews and reporting upon these to the Finance, Audit and Compliance Committee; continuing to take legal and expert advice for complex enquiries; providing staff with training materials to assist them in
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advancing their digital capacity and capability; migration to Microsoft 365 and increased security of our digital environments and equipment .
## **Health and safety**
As an employer and service provider, making sure that our environments are as safe as possible is a priority . We operate and work in partnership with a wide range of landlords across the country to provide safe and secure accommodation . This risk relates to acknowledgement that some of the buildings we occupy require improvement but that these are, at times, outside of the charity’s direct control . The risk also relates to the ongoing need to ensure that we maintain compliance with health and safety regulations .
## Mitigating interventions have
included: conducting an organisation-wide audit of fire and gas safety in 2023 and, led by the senior facilities manager, using these findings to form the basis of a new health and safety action plan to further improve health and safety compliance at Depaul UK; Depaul UK having a health and safety policy and procedure that is owned, at the highest level, by the CEO; the Senior Facilities Manager providing a centralised point of contact for advice, holding a NEBOSH qualification and having external support .
## **Compliance with regulatory and quality standards**
Depaul UK operates its services using a range of regulated and quality frameworks . During 2023
Depaul UK submitted its registration for the National Standards for
Unregulated Provision for all services accommodating 16 and 17-yearolds . Other regulations are due to be consulted on or come into force in 2024, in particular around the professionalisation of social housing . Whilst we welcome these improvements to the sector, this risk acknowledges there will be resourcing implications for the charity to meet and comply with the standards .
Mitigating interventions have
included: continuing to engage with the design and implementation of the National Standards for Unregulated Provision; staying up to date with regulatory developments and engaging with sector expert organisations and regulators, including the Housing Ombudsman, National Housing Federation and Ofsted; regular reporting and communications with senior managers and staff teams .
## **Appointment of quality staff**
Appointment of low-quality staff, or failure to recruit, leads to a drain on management and resources, impacts the morale of the staff teams and leads to an unsatisfactory service for our clients . In 2023, we faced considerable challenges in recruiting staff . We found that we were advertising jobs more than once, experiencing drop out at offer stage and getting less initial response to advertisements .
Mitigating interventions were included: developing a new recruitment strategy in 2023, which we are keeping under review at
the same time as escalating this risk to our Strategic Risk Register to be monitored by the board; our Communications Team putting in place stronger employer branding to improve our profile in the sector, and continuing to explore new methods of recruitment; trialling several open days in our London services, which have proved successful, and currently working with our colleagues and suppliers to scale up this model to support our larger recruitment need . A significant review of pay and reward was undertaken during 2023 to ensure that we offer a fair and competitive package to our workforce .
## **Safeguarding**
As a housing and support provider to some of the most vulnerable people in our communities, safeguarding children and vulnerable adults is central to the work we do . The risk is therefore in failing to provide a robust framework to keep children and vulnerable adults safe from potential and actual harm .
Mitigating interventions have included: the annual internal safeguarding policy and procedures review; compulsory staff induction and training on safeguarding, professional boundaries and incident management and reporting; DBS checks and safer recruitment for employees and volunteers; trustee annual training on safeguarding and their obligations in relation to safeguarding; quarterly review of safeguarding incidents, to identify and act on themes and trends; safeguarding as a standing item on all team meetings, and coordination of a Safeguarding Managers group, scrutiny and ‘deep-dive’ reviews .
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## **Directors’ Report**
## **Structure, governance and management**
## **Depaul UK and Charitable objects and public benefit**
The provision of accommodation and support fully meets the Charity Commission’s public benefit test .
Depaul UK’s charitable objects are:
- The prevention and relief of poverty, homelessness and financial hardship .
- The advancement of education .
- Such other exclusively charitable objects or exclusively charitable purposes as the Trustees may from time to time decide, can usefully be pursued for the public benefit, nationally and internationally, and by such exclusively charitable means as the Trustees may determine .
Nothing in the articles shall authorise an application of the property of the charity for purposes that are not charitable, in accordance with section 7 of the Charity and Trustee Investment (Scotland) Act 2005 .
The Trustees have a very strong regard for the public benefit guidance published by the Charity Commission and are in compliance with its duties under Section 17 of the Charities Act 2011 .
That guidance sets out two key principles:
- The organisation must have an identifiable benefit .
- The benefit must be open to the public or a section of the public .
## **Constitution**
Depaul UK (the Charity) is registered as a charitable company limited by guarantee . The Charity was founded in 1989 as the Depaul Trust . It is now constituted under a Memorandum and Articles of Association dated 9 June 2009, last amended by a Special Resolution on 22 March 2019, and is a charity registered with the Charity Commission (number 802384) and Office of the Scottish Charity Regulator (number SC049244) .
Depaul International was established in 2004 and became the parent company of Depaul UK in 2005 . The Depaul Group now consists of: Depaul International (the parent company); Depaul UK; Depaul Ireland and its subsidiaries, Depaul Northern Ireland and Depaul Housing Association; Depaul Slovensko (based in Slovakia); Depaul Ukraine; Depaul USA; Depaul France; Depaul Croatia; and Depaul Group Trading Limited .
Depaul UK is a subsidiary of Depaul International by virtue of the rights conferred on Depaul International in the Articles of Association .
Depaul UK has two of its own subsidiaries, Depaul Housing Services (DHS) and Depaul UK Trading CIC .
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Depaul Housing Services is an incorporated Private Company, a Registered Charity and Registered Provider of Social Housing . A robust parent/subsidiary relationship and high standard of governance is facilitated by biannual meetings of the Chairs of both Boards, the Depaul UK/DHS CEO and the DHS Lead Officer .
Depaul UK Trading CIC was established in 2013 to facilitate the running of a coffee shop, but it has not traded since 2020 due to the pandemic .
Depaul UK’s governance structure is in three parts: the Council of Trustees, the Committees of the Council and the Executive and Leadership Teams . This arrangement facilitates effective strategic focus and decision making .
## **The Council of Trustees, the Committees and the Executive Team**
The Council of Trustees (the Council) currently consists of 10 members . They are also the directors of Depaul UK . The Trustees are responsible for, and committed to, leading the Charity in accordance with its charitable objects . The Council approves the Charity’s strategic and business plans and associated financial planning and budgets and monitors their delivery .
Trustees are recruited for a three-year term and may then be re-appointed for a further term of three years .
All Depaul UK Trustees are formally appointed by Depaul International . Depaul International also exercises several governance functions,
including ratification of senior roles, budgets and the strategic plans of the Charity .
The Chief Executive Officer and the Trustees appoint several Executive Directors who, while not being Trustees, attend Council meetings and support the Council’s Committees .
It is the responsibility of the Executive Directors to work with the Chief Executive Officer to ensure that the Council has all the information it needs to exercise its role .
## **The Council’s Committees**
The Committees are:
## **The Services and Business Development Committee:**
This Committee’s main role is to recommend to the Council the Services and Business Development Strategy, and to monitor the delivery of services, safeguarding, health and safety, external complaints resolution and client involvement across Depaul UK .
## **The Fundraising and**
## **Communications Committee:**
This Committee’s main role is to recommend to the Council the Fundraising and Communications Strategies and to monitor fundraising standards across Depaul UK, including reporting on the maintenance and development of best fundraising practice to the Council .
## **The Finance, Audit and Risk**
**Committee:** This Committee’s main role is to monitor the financial performance of the organisation and to have oversight of all aspects of internal control and audit, while
making recommendations to the Council on the management of strategic risks .
## **The People and Remuneration**
**Committee:** This Committee’s main role is to review and recommend to the Council any changes in the remuneration of staff and their conditions of employment . Depaul UK has adopted the Depaul Group’s Policy and Principles for the Determination of Executive Remuneration . This policy reflects the Depaul Group’s reward philosophy for senior executive staff and forms the basis on which Depaul International and Depaul Group Subsidiaries are expected to manage executive remuneration .
In addition, the Chairs’ Committee, which is composed of the chairs of the above Committees and the Council Chair, discusses strategic challenges and priorities, and how the Committees can work best together to support delivery on them . This Committee also agrees the forthcoming Council meeting agenda .
## **The Executive Team**
The Executive Team comprises the paid strategic leaders of the Charity and is supported by the staff working with them, the most senior of which form the Leadership Team .
The Executive Team provides the Charity’s day-to-day executive leadership . The team is led by the Chief Executive Officer and comprises:
- Executive Director of Operations,
- Executive Director of Finance and IT
- Executive Director of People and Organisational Development
- Executive Director of Fundraising and Communications
The Executive Team meetings take place regularly and are chaired by the Chief Executive Officer .
## **Policies adopted for recruitment and induction and appraisal of Trustees**
The Council also manages the process for the recruitment of new Trustees and the appointment of the Chair and Vice-Chair, according to agreed policy and procedures . A skills audit of Trustees is undertaken regularly to assist in identifying what skills and experience are lacking on the Council . This, in turn, influences the recruitment, selection and appointment process, which involves open and transparent advertising .
All Trustees go through a full, comprehensive induction process on appointment, which includes the provision of key Charity Commission guidance on being an effective Trustee and on Public Benefit . Relevant training is then made available throughout their period of appointment to ensure they are able and confident to perform their duties .
Trustees reflect on their contribution through an annual appraisal process led by the Chair .
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This is also used as an opportunity to identify any potential learning or development needs
## **The Charity Governance Code**
The Charity has adopted the 2020 Charity Governance Code and conducted an in-depth review of its compliance with the Code in November 2022 . The review found that Depaul UK could evidence compliance with all recommended practice to some extent, but the Board has identified a small number of areas where improvements could still be made, and an action plan has been created to ensure that these can be addressed in the next one to two years .
## **Pay policy for senior staff**
When setting the CEO’s remuneration and reviewing it, the Chairs’ Committee considers how a fair salary can be set, taking into account:
- the purposes, aims and values of the charity and its beneficiary needs;
- Comparisons with pay for similar role in other as appropriate;
- the types of skills, experiences and competencies that the charity needs from its CEO, the specific scope of these roles in the charity and the link to pay;
- the charity’s current business plan and how the implementation of this plan may affect the number of senior staff the charity needs to employ or recruit, and the nature of these roles and their link to the CEO;
**•** the charity’s ability to pay . This includes the cost to the charity of raising pay and whether it is sustainable, and how appropriate the level of pay and any pay increase is in the context of the charity, as measured against the needs of its charitable purposes and beneficiaries;
- its assessment of the charity’s performance and the CEO’s performance against expectations, both short and long term;
- appropriate available information on CEO pay in other organisations, which can help in making the decision on whether a level of pay is fair and reasonable, with explicit reference to the views of the Depaul Group’s CEO and chair;
- the nature of the wider ‘employment offer’ they can make to the CEO, in which pay is one part of a package that includes personal development, personal fulfilment, and association with the public benefit delivered;
- the likely impact on, and views of, beneficiaries, donors, funders, volunteers and potential volunteers, where appropriate;
The pay of other senior staff is reviewed regularly and normally adjusted in accordance with a benchmark of similar roles in peer organisations in the sector . The remuneration is set at a median point of the range paid for similar roles, as it is across the organisation .
In 2023 the Executive Team elected not to take a pay award, instead focusing resource on uplifting pay for client facing employees . The Executive Team pay will be reviewed in 2024 .
Our trustees, who are also directors of the charitable company, are volunteers and give their time freely . No trustee received remuneration for the year . Details of trustees’ expenses and related party transactions are disclosed in Note 26 to the accounts .
## **Gender pay gap**
On 5 April 2022 the median and mean male and female hourly pay gap differences were as follows:
Mean gender pay gap: - 0 .43%
This is the amount by which the average male salary exceeds the average female salary
Median gender pay gap: -0 .64%
This is the amount by which the midpoint male salary exceeds the midpoint female salary
This compares to an overall national average pay gap of 12 .8% in the public sector (male employees receive an hourly wage 12 .8% higher than female employees) .
## **Statement on employee engagement**
In 2023 we were able to relaunch the face-to-face elements of our Learning and Development programme, encouraging staff to build connections across the organisation and to further facilitate peer learning . We also relaunched our Executive Team Roadshow and implemented an annual virtual all staff conference .
In 2023 we achieved the Investors in People Gold Standard award staff meeting to ensure there is
regular and scheduled connection between the Executive Team and our colleagues .
In 2023, we continued our transition to Microsoft 365 . The objective of this investment is to simplify working practices and improve staff communication and engagement .
Our Champion’s programme is wellestablished, and our Employee Voice champions support and promote staff consultation and engagement .
We remain acutely aware of the impact of the cost-of-living crisis on both our staff and the clients we serve, with this in mind we implemented a pay uplift to all staff in 2023, with our entry level salary point in line with recommendations of the Real Living Wage Foundation . We continue our policy to review pay with a full benchmarking project every two years and will complete our next full project in Q4 2024 .
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## **Reference and administrative details of the company, its trustees and advisers, for the year ended 31 December 2022**
## **Auditor**
## **Trustees**
Sandeep Katwala, Chair Urvashi Bhagat Fr . Eugene Curran John Dunn (resigned 23 May 2023) Ian Hellawell
Crowe UK LLP, 55 Ludgate Hill, London EC4M 7JW
## **Bankers**
Barclays Bank, 1 Churchill Place, London E14 5HP
Ben Jackson Steve James
Katy Porter, Vice Chair Edward Tait Sr . Maureen Tinkler DC
## **Solicitors**
Russell-Cook Solicitors, 8 Bedford Row, London C1R 4BX SA Law, 91 Wimpole Street, Marylebone, London W1G 0EF
## **Company registered number**
02440093
## **Charity registered numbers**
## **Investment advisors**
802384 (Charity Commission, England and Wales) and SC049244 (Office of the Scottish Charity Regulator, Scotland)
Seven Investment Management, PO Box 3733, Royal Wootton
## **Registered and principal office**
Sherborne House, 34 Decima Street, London SE1 4QQ
## **Company secretary**
Penny Bull (to 19 May 2023) Phil King (from 19 May 2023)
## **Chief executive officer**
Mike Thiedke (to 30 September 2023) Alexia Murphy (interim) (from 1 October 2023)
## **Statement of Trustees' responsibilities**
- prepare the financial statements on the going concern basis, unless it is inappropriate to presume that the company will continue in business .
The Trustees (who are also the directors of the company for the purposes of company law) are responsible for preparing the Trustees’ Report including the Strategic Report and the Financial Statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) .
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006 . They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities .
Company law requires the Trustees to prepare financial statements for each financial year . 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 company and of its incoming resources and application of resources, including its income and expenditure, for that period .
In preparing these financial statements, the Trustees are required to:
- select suitable accounting policies and then apply them consistently
- observe the methods and principles of the Charities SORP (FRS 102)
- make judgments and accounting estimates that are reasonable and prudent
- state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements
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## **Provision of information to the auditor**
## **AUDITOR’S REPORT**
Crowe UK LLP has indicated its willingness to be reappointed as statutory auditor .
So far as each of the Trustees are aware, there is no relevant audit information of which the company’s auditors are unaware, and each of the Trustees have taken all the steps that they ought to have taken 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’ Strategic Report, prepared under the Charities Act 2011 and the Companies Act 2006, was approved by the Trustees in their capacity as company directors and signed on their behalf by:
Sandeep Katwala, Chair of Trustees
Date: 19/09/2024
## **Independent auditor’s report to the members of Depaul UK**
have been prepared in accordance with the requirements of the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and Regulations 6 and 8 of the Charities Accounts (Scotland) Regulations 2006 (amended) .
## **Opinion**
-
We have audited the financial statements of Depaul UK (the charitable company’) and its subsidiaries (‘the group’) for the year ended 31 December 2023 . These comprise the consolidated statement of financial activities, consolidated and charity balance sheets, the consolidated statement of cash flows and notes to the financial statements, including significant accounting policies .
## **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 .
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) .
We are independent of the group 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 .
In our opinion the financial statements:
- give a true and fair view of the state of the group and the charitable company’s affairs as at 31 December 2023, and of the group’s income and expenditure, for the year then ended .
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice .
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## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate .
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company’s or the group’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 contained within the annual report . 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 .
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 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 .
## **Opinion on other matters prescribed by the Companies Act 2006**
In our opinion based on the work undertaken in the course of our audit • the information given in the trustees’ 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 . • the strategic report and the directors’ report included within the trustees’ report have been prepared in accordance with applicable legal requirements .
## **Matters on which we are required to report by exception**
In light of the knowledge and understanding of the group and charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the
strategic report or the directors’ report included within the trustees’ report .
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charities Accounts (Scotland) Regulations 2006 requires us to report to you if, in our opinion:
- adequate and proper accounting records have not been kept .
- the financial statements are not in agreement with the accounting records and returns .
- certain disclosures of trustees’ remuneration specified by law are not made .
- we have not received all the information and explanations we require for our audit .
## **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 section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and under the Companies Act 2006 and report in accordance with the Act and relevant regulations made or having effect thereunder .
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditor’s report that includes our opinion . Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists . Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements .
Details of the extent to which the audit was considered capable of detecting irregularities, including fraud and non-compliance with laws and regulations, are set out below . 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 .
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This description forms part of our Auditor’s report
## **Extent to which the audit was considered capable of detecting irregularities, including fraud**
Irregularities, including fraud, are instances of non-compliance with laws and regulations . We identified and assessed the risks of material misstatement of the financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members . We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion .
We obtained an understanding of the legal and regulatory frameworks within which the charitable company and group operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements . The laws and regulations we considered in this context were the Companies Act 2006, the Charities Act 2011 and The Charities and Trustee Investment (Scotland) Act 2005, together with the Charities SORP (FRS 102) .
We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items . In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be fundamental to
the charitable company’s and the group’s ability to operate or to avoid a material penalty .
We also considered the opportunities and incentives that may exist within the charitable company for fraud . The laws and regulations we considered in this context for the UK operations were health and safety legislation, employment legislation, General Data Protection Regulation (GDPR) and taxation legislation . Auditing standards limit the required audit procedures to identify noncompliance with these laws, and regulations to enquiry of the trustees and other management and inspection of regulatory and legal correspondence, if any .
We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within the timing of recognition of income and the override of controls by management . Our audit procedures to respond to these risks included enquiries of management, and the Finance, Audit and Risk Committee about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, reviewing accounting estimates for biases, reviewing regulatory correspondence with the Charity Commission, and reading minutes of meetings of those charged with governance .
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards . For 45 example, the further removed
forgery, intentional omissions, misrepresentations, or the override of internal controls . We are not responsible for preventing noncompliance and cannot be expected to detect non-compliance with all laws and regulations
noncompliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it .
In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion,
## **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, and to the charitable company’s trustees, as a body, in accordance with regulation 10 of the Charities Accounts (Scotland) Regulations 2006 . Our audit work has been undertaken so that we might state to the charitable company’s members and trustees those matters we are required to state to them in an Auditor’s report and for no other purpose . To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed .
Vincent Marke (Senior Statutory Auditor) for and on behalf of
## **Crowe UK LLP**
Statutory Auditor London
Date: 9/24/2024
Crowe UK LLP are eligible to act as auditors in terms of section 1212 of the Companies Act 2006 .
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## **Consolidated statement of financial activities (INCORPORATING INCOME AND EXPENDITURE ACCOUNT)**
## **FOR THE YEAR ENDED 31 DECEMBER 2023**
|||**2023**|**2023**|**2023**|**2022**|
|---|---|---|---|---|---|
|||**Unrestricted**|**Restricted**|**Total**|**Total**|
|||**funds**|**funds**|**funds**|**funds**|
||**Note**|**£'000**|**£'000**|**£'000**|**£'000**|
|**Income from:**||||||
|Donations and legacies|4|**4,609**|**739**|**5,348**|5,476|
|Charitable activities|6|**12,631**|**2,303**|**14,934**|12,483|
|Investments|5|**24**|**-**|**24**|1|
|**Total income**||**17,264**|**3,042**|**20,306**|17,960|
|**Expenditure on:**||||||
|Raising funds|7|**1,554**|**-**|**1,554**|1,587|
|Charitable activities|7|**16,201**|**4,180**|**20,381**|17,060|
|**Total expenditure**||**17,755**|**4,180**|**21,935**|18,647|
|**Net (expenditure)/ income**||**(491)**|**(1,138)**|**(1,629)**|(687)|
|**before net gains on**||||||
|**investments**||||||
|**Transfers between funds**||**(805)**|**805**|**-**|-|
|Net (loss)/ gain on investments|11|**-**|**-**|**-**|(10)|
|**Net movement in funds**||**(1,296)**|**(333)**|**(1,629)**|(697)|
|**Reconciliation of funds:**||||||
|Total funds brought forward||**6,794**|**1,858**|**8,652**|9,349|
|**Total funds carried forward**||**5,498**|**1,525**|**7,023**|8,652|
The Statement of financial activities includes all gains and losses recognised in the year .
The notes on pages 47-68 form part of these financial statements .
## **BALANCE SHEETS AS AT 31 DECEMBER 2023 REGISTERED NUMBER: 02440093**
|||**2023**|**2023**|**2022**|**2022**|
|---|---|---|---|---|---|
|||**Group**|**Charity**|**Group**|**Charity**|
||**Note**|**£'000**|**£'000**|**£'000**|**£'000**|
|**Fixed assets**||||||
|Tangible assets|10|**4,609**|**3,047**|**4,347**|**3,137**|
|Investments|11|**83**|**83**|**83**|**83**|
|Social investments|12|**47**|**47**|**47**|**47**|
|||**4,739**|**3,177**|**4,477**|**3,267**|
|**Current assets**||||||
|Debtors|13|**3,860**|**3,944**|**3,115**|**3,173**|
|Cash at bank and in hand||**1,694**|**1,468**|**3,471**|**3,230**|
|||**5,554**|**5,412**|**6,586**|**6,403**|
|**Creditors:**amounts falling due within one year|14|**(2,950)**|**(2,850)**|**(2,039)**|**(2,047)**|
|**Net current assets**||**2,604**|**2,562**|**4,547**|**4,356**|
|**Total assets less current liabilities**||**7,343**|**5,739**|**9,024**|**7,623**|
|Debtors: amounts falling due after more than|13|**-**|**112**|**-**|**116**|
|one year||||||
|Creditors: amounts falling due after more than|15|**(320)**|**(320)**|**(372)**|**(372)**|
|one year||||||
|**Total net assets**||**7,023**|**5,531**|**8,652**|**7,367**|
|**Funds**||||||
|Restricted funds|16|**1,525**|**525**|**1,858**|**1,022**|
|Unrestricted funds|16|**5,498**|**5,006**|**6,794**|**6,345**|
|**Total funds**||**7,023**|**5,531**|**8,652**|**7,367**|
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements .
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
Sandeep Katwala 59083784A01644F... Date: 19/09/2024
The notes on pages 47-68 form part of these financial statements .
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
## **CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2023**
|||**2023**|**2022**|
|---|---|---|---|
|||**Group**|**Group**|
||**Note**|**£'000**|**£'000**|
|**Cash flows from operating activities**||||
|Net cash provided by operating activities|18|**(1,386)**|**(1,703)**|
|**Cash flows from investing activities:**||||
|Dividends, interests and rents from investments||**24**|**1**|
|Purchase of tangible fixed assets||**(415)**|**(42)**|
|**Net cash provided by/ (used in) investing activities**||**(391)**|**(41)**|
|**Change in cash and cash equivalents in the year**||**(1,777)**|**(1,744)**|
|Cash and cash equivalents at the beginning of the year||**3,471**|**5,215**|
|**Cash and cash equivalents at the end of the year**||**1,694**|**3,471**|
The notes on pages 47 - 68 form part of these financial statements
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **1 . General Information**
Depaul UK is a company limited by guarantee and Registered Charity . Registered company No . 02440093 registered in England and Wales and Registered Charity No . 802384 . The Registered Principal office is 34 Decima Street, London, SE1 4QQ . The members of the company are the Trustees named on page 1 . In the event of the company being wound up, the liability in respect of the guarantee is limited to £1 per member of the company .
## **2 . Accounting policies**
## **2 .1 . Basis of preparation of financial statements**
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006 .
Depaul UK meets the definition of a public benefit entity under FRS 102 . Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy .
For 2023, Depaul UK has prepared consolidated accounts, including its two subsidiaries as set out in note 25 . This follows the same practice as last year .
The Statement of Financial Activities (SOFA) and Balance Sheet consolidate the financial statements of the charity and its subsidiary undertakings . The results of the subsidiaries are consolidated on a line by line basis . No separate SOFA has been presented for the charity alone as permitted by section 408 of the Companies Act 2006 .
## **2 .2 . Going concern**
Currently, about 25% of Depaul’s income for charitable activities is derived from relatively stable rental income, linked to commissioned contracts and a further 44% is also contractual (Supporting People payments) . This funding enables the organisation to finance the major part of its activities but is subject to regular contract re-tendering . During 2023, very few contracts were retendered, but a number of new contracts were gained . Many additional services, including the prevention
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
and ‘wrap around’ services are funded by voluntary donations and grants, with over 50% currently being donated by the Postcode Lottery Trust . Whilst voluntary funding can be unpredictable, the group cash reserves of £1 .7m, together with current forecasts, indicate that the group has sufficient liquid resources to meet its obligations as they fall due, and to deal with the risks associated with cost increases in the current inflationary conditions .
## **2 .3 . Income**
All income is recognised once the company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably .
Legacies are recognised as income when there has been a grant of probate, the executors have established that there are sufficient funds, after settling any liabilities, to pay the legacy and any conditions attached to the legacy are either within the control of the charity or have been met .
Donations are recognised when receivable .
Donated services or facilities are recognised when the charity has control over the item, any conditions associated with the donated item have been met, the
receipt of economic benefit from the use of the charity of the item is probable and that economic benefit can be measured reliably . In accordance with the Charities SORP (FRS 102), the general volunteer time is not recognised and refer to the Trustees’ report for more information about their contribution .
On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity 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 .
Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation .
Income from government and other grants is recognised in the financial statements when receivable unless they are performance related . Performance related grants and contracts for services, including rental income, are recognised in income to the extent that entitlement has been earned through delivery of the underlying service .
## **2 .4 . Expenditure**
Expenditure is recognised once there is a legal or constructive obligation to make payment to a third party . It is probable that settlement will be required and the amount of the obligation can be measured reliably .
All expenditure is accounted for on an accruals basis . All expenses including support costs and governance costs are allocated to the applicable expenditure headings .
Fundraising costs are
those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities . Support costs are those costs incurred directly in support of expenditure on the objects of the charity and have been allocated in proportion to the level of direct costs attributable to the relevant projects . Governance costs are those incurred in connection with administration and compliance with constitutional and statutory requirements .
Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled . Grants offered
subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure .
Irrecoverable VAT is charged against the expenditure heading for which it was incurred .
## **2 .5 . Interest receivable**
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the company; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited .
## **2 .6 . Tangible fixed assets and depreciation**
All assets costing more than £1,000 are capitalised .
A review for impairment of a fixed asset is carried out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable . Shortfalls between the carrying value of fixed assets and their recoverable amounts are recognised as impairments . Impairment losses are recognised in the Statement of financial activities incorporating income and expenditure account .
Tangible fixed assets are carried at cost or their value at the time of acquisition, net of depreciation and any provision for impairment . Depreciation is provided at
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
rates calculated to write off
the cost or their value at the time of acquisition of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
Depreciation is provided on the following bases:
**Land** - Not depreciated
**Freehold property** - 50 to 100 years Straight line
**Property refurbishment** - 5% to 20% Straight line
**Fixtures and fittings** - 20 - 25% Straight line
**Computer equipment** - 25 - 33% Straight line
## **2 .7 . Investments**
Current asset investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price . The Statement of Financial Activities includes the net gains and losses arising on revaluation and disposals throughout the year .
## **2 .8 . Debtors**
Trade and other debtors are recognised at the settlement amount after any trade discount offered . Prepayments are valued at the amount prepaid net of any trade discounts due .
## **2 .9 . Cash at bank and in hand**
Cash at bank and 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 .
## **2 .10 . Creditors**
Creditors and provisions are recognised where the charity 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 .
## **2 .11 . Financial instruments**
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments . Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value .
## **2 .12 . Operating leases**
Rentals paid under operating leases are charged to the Statement of financial activities on a straight line basis over the lease term .
## **2 .13 . Pensions**
The company operates a defined contribution
pension scheme and the pension charge represents the amounts payable by the company to the fund in respect of the year .
## **2 .14 . Fund accounting**
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes .
Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes . The aim and use of each designated fund is set out in the notes to the financial statements .
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes . The costs of raising and administering such funds are charged against the specific fund . The aim and use of each restricted fund is set out in the notes to the financial statements .
## **3 . Critical accounting estimates and areas of judgment**
Preparation of financial statements requires management to make significant judgements and estimates . The items in the financial statements where these judgements and estimates have been made include:
(i) Useful economic lives of tangible assets . The annual depreciation charges for the tangible assets are sensitive to changes in the estimated useful economic lives and residual values of the assets . The useful economic lives and residual values are amended when necessary to reflect current estimates based on future investments and physical condition of the assets . For freehold properties, a valuation is conducted every five years . In addition, impairment reviews are carried out every year . .
- (ii) Bad debts provision: As part
of the charity’s rental income arrangements with tenants and local authorities, all rental income is received in arrears and there is always a risk of some debts becoming irrecoverable . An appropriate provision is made in the accounts to take account of that risk .
- (iii) Cost allocations: The charity is required to make judgements about which costs should be allocated directly to charitable activities and which should be recorded as support costs .
50
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Docusign Envelope ID: BB44554A-C005-4D3A-B6B3-687C532BA8B3Docusign Envelope ID: 14A59595-B219-4AC4-859F-FBA0F6C8D6C0
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
## **4 . Income from donations and legacies**
||**Unrestricted**|**Restricted**|**Total**|**Total**|
|---|---|---|---|---|
||**Funds**|**Funds**|**Funds**|**Funds**|
||**2023**|**2023**|**2023**|**2022**|
||**£'000**|**£'000**|**£'000**|**£'000**|
|Donations|723|116|**839**|**846**|
|Legacies|118|211|**329**|**578**|
|Grants|3,768|412|**4,180**|**4,052**|
|**Total**|**4,609**|**739**|**5,348**|**5,476**|
Unrestricted grants income includes £3,100k (2022: £2,797k) from Postcode Support Trust, a registered charity in Scotland (SC045861) .
## **5 . Investment income**
||**Unrestricted**|**Restricted**|**Total**|**Total**|
|---|---|---|---|---|
||**Funds**|**Funds**|**Funds**|**Funds**|
||**2023**|**2023**|**2023**|**2022**|
||**£'000**|**£'000**|**£'000**|**£'000**|
|Income from local listed|-|-|-|1|
|investments|||||
|Investment income - bank|24|-|24|0|
|interest|||||
|**Total**|**24**|**-**|**24**|**1**|
## **6 . Income from charitable activities**
Income from charitable activities is made up of:
||**Unrestricted**|**Restricted**|**Total Funds**|**Unrestricted**|**Restricted**|**Restated**|
|---|---|---|---|---|---|---|
||**Funds**|**Funds**||**Funds**|**Funds**|**Total Funds**|
||**2023**|**2023**|**2023**|**2022**|**2022**|**2022**|
||**£'000**|**£'000**|**£'000**|**£'000**|**£'000**|**£'000**|
|Safe Choices|**1,625**|**170**|**1,795**|**100**|405|505|
|Safe Places|**10,997**|**2,133**|**13,130**|**10,635**|1,300|11,935|
|Other|**9**|**-**|**9**|**43**|-|43|
|**Total**|**12,631**|**2,303**|**14,934**|**10,778**|**1,705**|**12,483**|
||||||||
||**Unrestricted**|**Restricted**|**Total Funds**|**Unrestricted**|**Restricted**|**Restated**|
||**Funds**|**Funds**||**Funds**|**Funds**|**Total Funds**|
||**2023**|**2023**|**2023**|**2022**|**2022**|**2022**|
||**£'000**|**£'000**|**£'000**|**£'000**|**£'000**|**£'000**|
|Contracts for|**849**|**629**|**1,478**|**867**|551|1,418|
|project work|||||||
|Rents and|**5,158**|**-**|**5,158**|**4,190**|-|4,190|
|charges to|||||||
|residents|||||||
|Supporting|**6,549**|**879**|**7,428**|**5,598**|452|6,050|
|People|||||||
|Statutory grants|**-**|**776**|**776**|**-**|675|675|
|Other income|**75**|**19**|**94**|**123**|27|150|
|**Total from**|**12,631**|**2,303**|**14,934**|**10,778**|**1,705**|**12,483**|
|**Charitable**|||||||
|**Activities**|||||||
Government Grants - The restricted income above includes £1,116k (2022: £1,027k) received from statutory bodies for the provision of services aimed at the alleviation and prevention of homelessness . There are no unfunded commitments .
52
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Docusign Envelope ID: BB44554A-C005-4D3A-B6B3-687C532BA8B3Docusign Envelope ID: 14A59595-B219-4AC4-859F-FBA0F6C8D6C0
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
## **7 . Expenditure**
## **Direct costs**
||**Raising Funds**|**Safe**|**Safe**|**Total**|Total|
|---|---|---|---|---|---|
|||**Choices**|**Places**|**funds**|funds|
||**2023**|**2023**|**2023**|**2023**|2022|
||**£'000**|**£'000**|**£'000**|**£'000**|£'000|
|Direct Staff|712|1,859|8,332|10,903|8,842|
|Other|631|545|6,621|7,797|6,828|
|**Total 2023**|**1,343**|**2,404**|**14,953**|**18,700**|**15,670**|
|||||||
|Total 2022|1,372|1,219|13,079|15,670||
## **Support costs**
||**Raising Funds**|**Safe**|**Safe**|**Total**|Total|
|---|---|---|---|---|---|
|||**Choices**|**Places**|**funds**|funds|
||**2023**|**2023**|**2023**|**2023**|2022|
||**£'000**|**£'000**|**£'000**|**£'000**|£'000|
|Direct Staff|172|450|2,018|2,640|2,529|
|Other|39|101|455|595|448|
|**Total 2023**|**211**|**551**|**2,473**|**3,235**|**2,977**|
|||||||
|Total 2022|215|263|2,499|2,977||
## **8 . Auditor’s remuneration**
||**Group**|**Group**|
|---|---|---|
||**2023**|**2022**|
||**£'000**|**£'000**|
|Fees payable to the company’s auditor for the audit of|||
|the company’s annual accounts|47|44|
## **9 . Staff costs**
||**2023**|**2022**|
|---|---|---|
||**£'000**|**£'000**|
|**Staff and Volunteer costs**|||
|Salaries and wages|9,560|8,206|
|Social security costs|882|752|
|Pension contributions|520|461|
|Training, travel, inurance and recruitment|452|518|
|Volunteer expenses|38|105|
|Agency staff|2,091|1,329|
||**13,543**|**11,371**|
Volunteer expenses include payments made to Supported Lodgings hosts and Depaul UK Nightstop hosts, and costs of travel, accommodation and allowances paid to European volunteers . In 2023 we involved 727 volunteers (2022: 676) in our work . Volunteers are involved in providing accommodation in our Nightstop service and in providing support and mentoring to our young people through our Get Up and Go programme .
The average number of persons employed by the company during the year was as follows:
||**2023**|**2022**|
|---|---|---|
||**£'000**|**£'000**|
|Safe Choices|53|22|
|Safe Places|188|209|
|Cost of Generating funds|17|18|
|Support and administration|50|46|
||**308**|**295**|
The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:
|||**2023**|**2022**|
|---|---|---|---|
|||**£'000**|**£'000**|
|In the band £60,001 - £70,000|In the band £60,001 - £70,000|-|3|
|In the band £70,001 - £80,000|In the band £70,001 - £80,000|2|-|
|In the band £80,001 - £90,000|In the band £80,001 - £90,000|2|2|
|In the band £90,001 - £100,000|In the band £90,001 - £100,000|2|1|
54
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Docusign Envelope ID: BB44554A-C005-4D3A-B6B3-687C532BA8B3Docusign Envelope ID: 14A59595-B219-4AC4-859F-FBA0F6C8D6C0
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
The remuneration paid to key management personnel, including the CEO and Executive Team, amounted to £650,579 (2022 £546,006) .
## **10 . Tangible fixed assets (continued)**
## **Charity**
Employer contributions made to the Depaul pension scheme for the employees who earned over £60,000 during the year amounted to £28,207 (2022: £32,656) . The remuneration policy is set out in detail in the Trustees’ Strategic Report .
During the year £43,821 (2022: £35,789) was paid out in redundancy payments . All obligations in relation to redundancy are recognised in the year in which the redundancy is agreed .
## **10 . Tangible fixed assets**
## **Group**
||**Land**|**Freehold**|**Leasehold**|**Fixtures**|**Computer**|**Total**|
|---|---|---|---|---|---|---|
|||**Property**|**Improvements**|**and**|**Equipment**||
|||||**Fittings**|||
||**£’000**|**£'000**|**£'000**|**£'000**|**£'000**|**£'000**|
|**Cost or valuation**|||||||
|At 1 January 2023|**75**|**3,900**|**1,036**|**165**|**508**|**5,684**|
|Additions|-|415|-|-||**415**|
||||||-||
|Disposals|-||||**-**|**-**|
|||**-**|**-**|**-**|||
|At 31 December|**75**|**4,315**|**1,036**|**165**|**508**|**6,099**|
|2023|||||||
|**Depreciation**|||||||
|At 1 January 2023|-|**442**|**268**|**148**|**479**|**1,337**|
|Charge for year|-|82|56|4|11|**153**|
|At 31 December|-|**524**|**324**|**152**|**490**|**1,490**|
|2023|||||||
|**Net Book Value**|||||||
|At 31 December|**75**|**3,791**|**712**|**13**|**18**|**4,609**|
|2023|||||||
|At 31 December|75|3,458|768|17|29|4,347|
|2022|||||||
|||**Freehold**|**Leasehold**|**Fixtures**|**Computer**|**Total**|
|---|---|---|---|---|---|---|
|||**Property**|**Improvements**|**and**|**Equipment**||
|||||**Fittings**|||
|||**£'000**|**£'000**|**£'000**|**£'000**|**£'000**|
|**Cost or valuation**|**Cost or valuation**||||||
|At 1 January 2023||**2,485**|**1,036**|**153**|**508**|**4,182**|
|Additions|||-|-||**-**|
|||-|||-||
|Disposals|||-|-|-|**-**|
|||-|||||
|At 31 December|At 31 December|**2,485**|**1,036**|**153**|**508**|**4,182**|
|2023|||||||
|**Depreciation**|||||||
|At 1 January 2023||**162**|**268**|**136**|**479**|**1,045**|
|Charge for year||19|56|4|11|**90**|
|At 31 December|At 31 December|**181**|**324**|**140**|**490**|**1,135**|
|2023|||||||
|**Net Book Value**|||||||
|At 31 December|At 31 December|**2,304**|**712**|**13**|**18**|**3,047**|
|2023|||||||
|At 31 December|At 31 December|2,323|768|17|29|**3,137**|
|2022|||||||
|**11 .**|**Fixed asset investments**||||||
||||||**Group**|**Charity**|
|**Cost or valuation**|**Cost or valuation**||||**£’000**|**£'000**|
|At 1 January 2023|||||83|83|
|Revaluations|||||-|-|
|**At 31 December 2023**|**At 31 December 2023**||||**83**|**83**|
|**Net book value**|||||||
|**At 31 December 2023**|**At 31 December 2023**||||**83**|**83**|
|At 31 December 2022|At 31 December 2022||||83|83|
## **11 . Fixed asset investments**
56
57
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
## **12 . Programme related investments**
||**Group**|**Charity**|
|---|---|---|
||**£’000**|**£'000**|
|**Market value**|47|47|
|At 1 January 2022 and 31 December 2023|47|47|
During the year ended 31 March 1999, Depaul UK contributed £47,000 towards the refurbishment of a property in Newcastle owned by Home Housing and occupied by the Simonside project, which Depaul UK manages and funds . Depaul UK has a charge on the building and, in the event of the termination of the project, will recover either the amount of £47,000 or 20% of the proceeds from a sale of the property, whichever is higher . Programme related investments are recognised at amortised cost .
## **13 . Debtors**
|**Due within one year**
Trade debtors
Amounts owed by subsidiary companies
Amounts owed by parent company
Other debtors
Prepayments and accrued income
**Due after more than one year**
Amounts owed by group undertakings
**Total**|**2023**
**Group**
**£'000**
1,201
-
20
594
2,045
**3,860**
**-**
**-**
**3,860**|**2023**
**Charity**
**£'000**
**1,198**
**107**
**20**
**594**
**2,025**
**3,944**
**112**
**112**
**4,056**|**2022**
**Group**
**£'000**
877
-
52
351
1,835
**3,115**
**-**
**-**
**3,115**|**2022**
**Charity**
**£'000**
877
80
52
351
1,813|
|---|---|---|---|---|
|||||3,173|
|||||116|
|||||116|
|||||**3,289**|
## **14 .**
## **Creditors: Amounts falling due within one year**
|Trade creditors
Amounts owed to group undertakings
Other taxation and social security
Other creditors
Accruals and deferred income
**Total**
**Deferred income**
**Deferred income at 1 January**
Resources deferred during the year
Amounts released from previous years
**Deferred income at 31 December**|**2023**
**Group**
**£'000**
1,007
-
226
367
1,350
**2,950**
**2023**
**Group**
**£'000**
**162**
**325**
**(162)**
**325**|**2023**
**Charity**
**£'000**
**996**
**0**
**226**
**334**
**1,294**
**2,850**
**2023**
**Charity**
**£'000**
**162**
**325**
**(162)**
**325**|**2022**
**Group**
**£'000**
643
-
179
192
1,025
**2,039**
**2022**
**Group**
**£'000**
442
162
(442)
162|**2022**
**Charity**
**£'000**
635
233
179
170
830|
|---|---|---|---|---|
|||||2,047|
|||||**2022**
**Charity**
**£'000**
442
162
(442)|
|||||162|
Income is deferred where there are outstanding performance conditions that are required to be met before the charity is entitled to recognise income received or where time restrictions on the use of funds have been imposed by the funder.
## **15 . Creditors: Amounts falling due after more than one year**
**----- Start of picture text -----**
2023
**----- End of picture text -----**
**2023**
Docusign Envelope ID: BB44554A-C005-4D3A-B6B3-687C532BA8B3Docusign Envelope ID: 14A59595-B219-4AC4-859F-FBA0F6C8D6C0
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
## **16 . Statement of funds**
|**Group**|**Balance**|**Income**|**Expenditure**|**Transfers**|**Gains/**|**Balance**|
|---|---|---|---|---|---|---|
||**at 1**|||**in/out**|**(losses)**|**at 31**|
||**January**|||||**December**|
||**2023**|||||**2023**|
||**£'000**|**£'000**|**£'000**|**£'000**|**£'000**|**£'000**|
|**Unrestricted funds**|||||||
|**Designated funds**|||||||
|Fixed Assets|**3,511**|**-**|**(113)**|**415**|**-**|**3,813**|
|**General funds**|||||||
|General Funds|**3,283**|**17,264**|**(17,642)**|**(1,220)**||**1,685**|
|**Unrestricted funds**|**6,794**|**17,264**|**(17,755)**|**(805)**|**-**|**5,498**|
|**Restricted funds**|||||||
|Restricted funds|**1,858**|**3,042**|**(4,180)**|**805**|**-**|**1,525**|
|**Total of funds**|**8,652**|**20,306**|**(21,935)**|**-**|**-**|**7,023**|
|**Group**|**Balance**|**Income**|**Expenditure**|**Transfers**|**Gains/**|**Balance**|
||**at 1**|||**in/out**|**(losses)**|**at 31**|
||**January**|||||**December**|
||**2022**|||||**2022**|
||**£'000**|**£'000**|**£'000**|**£'000**|**£'000**|**£'000**|
|**Unrestricted funds**|||||||
|**Designated funds**|||||||
|Fixed Assets|**3,636**|**-**|**(166)**|**41**|**-**|**3,511**|
|**General funds**|||||||
|General Funds|**4,060**|**14,957**|**(15,683)**|**(41)**|**(10)**|**3,283**|
|**Unrestricted funds**|**7,696**|**14,957**|**(15,849)**|**-**|**(10)**|**6,794**|
|**Restricted funds**|||||||
|Restricted funds|**1,653**|**3,003**|**(2,798)**|**-**|**-**|**1,858**|
|**Total of funds**|**9,349**|**17,960**|**(18,647)**|**-**|**(10)**|**8,652**|
## **17 . Analysis of net assets between funds**
|**Group**|**Unrestricted**|**Restricted**|**Total**|**Unrestricted**|**Restricted**|**Total**|
|---|---|---|---|---|---|---|
||**funds**|**funds**|**funds**|**funds**|**funds**|**funds**|
||**2023**|**2023**|**2023**|**2022**|**2022**|**2022**|
||**£'000**|**£'000**|**£'000**|**£'000**|**£'000**|**£'000**|
|Tangible fixed assets|3,813|796|**4,609**|3,511|836|4,347|
|Fixed asset investments|83|-|**83**|83|-|83|
|Social investments|47|-|**47**|47|-|47|
|Current assets|4,825|729|**5,554**|5,564|1,022|6,586|
|Debtors due after more|-|-|**-**|-|-|-|
|than one year|||||||
|Creditors due within|(2,950)|-|**(2,951)**|(2,039)|-|(2,039)|
|one year|||||||
|Creditors due in more|(320)|-|**(320)**|(372)|-|(372)|
|than one year|||||||
|**Total**|5,498|1,525|**7,023**|**6,794**|**1,858**|**8,652**|
|**Charity**|**Unrestricted**|**Restricted**|**Total**|**Unrestricted**|**Restricted**|**Total**|
|---|---|---|---|---|---|---|
||**funds**|**funds**|**funds**|**funds**|**funds**|**funds**|
||**2023**|**2023**|**2023**|**2022**|**2022**|**2022**|
||**£'000**|**£'000**|**£'000**|**£'000**|**£'000**|**£'000**|
|Tangible fixed assets|3,047|-|**3,047**|3,137|-|3,137|
|Fixed asset investments|83|-|**83**|83|-|83|
|Social investments|47|-|**47**|47|-|47|
|Current assets|4,887|525|**5,412**|5,381|1,022|6,403|
|Debtors due after more|112|-|**112**|116|-|116|
|than one year|||||||
|Creditors due within|(2,850|-|**(2,851)**|(2,047)|-|(2,047)|
|one year|||||||
|Creditors due in more|(320)|-|**(320)**|(372)|-|(372)|
|than one year|||||||
|**Total**|**5,006**|**525**|**5,531**|**6,345**|**1,022**|**7,367**|
## **Designated funds:**
Fixed asset designated funds represent the amount of reserves tied up in fixed assets .
60
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Docusign Envelope ID: BB44554A-C005-4D3A-B6B3-687C532BA8B3Docusign Envelope ID: 14A59595-B219-4AC4-859F-FBA0F6C8D6C0
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
## **18 . Reconciliation of net movement in funds to net cash flow from operating activities**
||**Group**|Group|
|---|---|---|
||**2023**|2022|
||**£'000**|£'000|
|Net (expenditure)/ income for the year (as per|**(1,629)**|(697)|
|Statement of Financial Activities)|||
|**Adjustments for:**|||
|Depreciation charges|153|206|
|Losss on disposal of fixed assets|-|1|
|Loss on investments|-|10|
|Dividend, interests and rents from investments|(24)|(1)|
|(Increase)/ decrease in debtors|(745)|(1,249)|
|Increase/ (decrease) in creditors|859|27|
|**Net cash provided by operating activities**|**(1,386)**|(1,703)|
## **19 . Analysis of cash and cash equivalents**
||**Group**|**Charity**|**Group**|**Charity**|
|---|---|---|---|---|
||**2023**|**2023**|**2022**|**2022**|
||**£'000**|**£'000**|**£'000**|**£'000**|
|Cash in hand|**1,694**|**1,468**|**3,471**|3,230|
## **20 . Analysis of changes in net debt**
|**Group**|**At 1 January**|**Cash flows**|**Other non-**|**At 31**|
|---|---|---|---|---|
||**2023**||**cash changes**|**December**|
|||||**2023**|
||**£'000**|**£'000**|**£'000**|**£'000**|
|Cash at bank and in hand|3,471|(1,776)|-|1,695|
|Debt due within 1 year|(52)|52|(52)|(52)|
|Debt due after 1 year|(372)|52|-|(320)|
||**3,047**|**(1,672)**|**(52)**|**1,322**|
|**Charity**|**At 1 January**|**Cash flows**|**Other non-**|**At 31**|
||**2023**||**cash changes**|**December**|
|||||**2023**|
||**£'000**|**£'000**|**£'000**|**£'000**|
|Cash at bank and in hand|3,230|(1,763)|-|1,467|
|Debt due within 1 year|(52)|52|(52)|(52)|
|Debt due after 1 year|(372)|52|-|(320)|
||**2,806**|**(1,659)**|**(52)**|**1,095**|
## **21 . Operating lease commitments**
At 31 December 2023 the company had commitments to make future minimum lease payments under non-cancellable operating leases as follows:
||**2023**|**2022**|
|---|---|---|
||**£'000**|**£'000**|
|Not later than 1 year|662|413|
|Later than 1 year and not later than 5 years|546|371|
|Later than 5 years|418|320|
||**1,626**|**1,104**|
## **22 . Ultimate parent undertaking and controlling party**
The parent undertaking of Depaul UK is Depaul International, a company incorporated in England & Wales (Company number 5245818, Charity number 1107385) . Depaul International works to support homeless and marginalised people around the world . Depaul International's registered office is St Vincents Centre, 8-10 Grosvenor Gardens, London, SW1W 0DH . Consolidated Financial Statements are available from Companies House .
62
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Docusign Envelope ID: BB44554A-C005-4D3A-B6B3-687C532BA8B3Docusign Envelope ID: 14A59595-B219-4AC4-859F-FBA0F6C8D6C0
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
## **23 . Principal subsidiaries**
During the year, the company had the following wholly owned subsidiaries all of which are registered in the UK .
## **Nature of Business**
**Name Country Nature of Business Company Type** Depaul Housing Services England & Wales Registered Social Landlord Private limited by guarantee Depaul UK Trading CIC England & Wales Trading Company Private limited by shares
The financial results of the subsidiaries are summarised below .
||**Depaul Housing Services**|**Depaul Housing Services**|**Depaul UK Trading CIC**|**Depaul UK Trading CIC**|
|---|---|---|---|---|
||**2023**|**2022**|**2023**|**2022**|
||**£'000**|**£'000**|**£'000**|**£'000**|
|**Profit and Loss Account**|||||
|Income|858|448|-|-|
|Expenditure|(817)|(432)|-|-|
|Net income/(deficit) for the year|41|16|-|-|
|**Balance Sheet**|||||
|**Fixed Assets**|1,571|1,210|||
|**Current Assets**|||||
|Debtors|24|255|1|1|
|Cash|146|161|80|80|
||170|416|81|81|
|**Current liabilities**|||||
|Creditors|(158)|(254)|(99)|(99)|
|**Net current assets**|12|162|(18)|(18)|
|**Total assets less current**|1,583|1,372|(18)|(18)|
|**liabilities**|||||
|Creditors due after more than 1|(968)|(812)|-|-|
|year|||||
|**Provisions**|||||
|Dilapidations provisions|(25)|(11)|-|-|
|**Net Assets**|**590**|**549**|**(18)**|**(18)**|
## **24 . Related party transactions**
No trustees received remuneration (2022: Nil) . Two Trustees received reimbursement of expenses amounting to £402 in the current year (2022: £1,187) .
During the year, there were no transactions between Depaul UK and Depaul Trading CIC (2022: nil) . As at 31 December 2023, the total outstanding was £92k (2022: £92k) .
During the year Depaul UK paid £150k (2022: £150k) to Depaul International as annual subscription to the group . Depaul UK also recharged £9k (2022: £9k) towards the cost of financial administration and incurred costs of £131k (2022: £100k) on behalf of Depaul International, while Depaul International paid £25k (2022: £29k) of invoices and expenses and collected donations income of £2k (2022: £16k) on behalf of Depaul UK . At the end of the year, Depaul International owed Depaul UK £20k (2022: £52k) .
In 2014, Depaul UK sold Depaul House to Depaul Housing Services (DHS) for £150,000 on a 30 year loan . £4k (2022: £4k) was repaid in the year and £116k remained outstanding at 31 December 2023 .
During the year, the transactions owed to Depaul UK by Depaul Housing Services consist of £12k (2022:£12k) for management costs, £3k (2022: £3k) for loan interest and £718k (2022: £62k) for payments that DPUK paid on behalf of Depaul Housing Services, including £424k (2022: nil) for the purchase of the six properties in Middlesbrough . Depaul Housing Services received revenue grants totalling £14k (2022: nil) for the Middlesbrough Homelessness projects, which were transferred to Depaul UK to manage the projects .
The amounts owed by Depaul UK to Depaul Housing Services consist of £646k (2022: £310k) for rental income and £13k (2022: £12k) dilapidations recharge on properties that are leased by Depaul Housing Services to Depaul UK .
Depaul UK paid £2,500 in the year (2022: £2,500) to the Fundraising Regulator in respect of its annual levy .
## **25 . Restricted funds**
The following restricted funds require a separate disclosure in the accounts . Grants received and applied as detailed in this note are also included in the restricted funds in Note 27 of the financial statements .
## **Nightstop Northeast- Cumbria County Council**
|**Nightstop Northeast- Cumbria County Council**|||
|---|---|---|
||**2023**|**2022**|
||**£'000**|**£'000**|
|Funds brought forward|-|-|
|Grant received|25|25|
|Expenditure|(10)|(25)|
|Funds carried forward|15|-|
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
## **26 . Restricted Funds**
||**Balance at**|**Income**|**Expenditure**|**Transfer**|**Balance**|
|---|---|---|---|---|---|
||**1 January**|||**from/ (to)**|**at 31**|
||**2023**||**Unrestricted**||**December**|
||||||**2023**|
||**£'000**|**£'000**|**£'000**||**£'000**|
|Alone in London|374|508|(631)|-|251|
|Capital Grants|836|204|(40)||1,000|
|National Programmes|-|109|(425)|316|-|
|Nightstop|267|520|(855)|216|148|
|Pathfinder|-|620|(629)|9|-|
|Safestop|73|20|(28)|(37)|28|
|Youth Hub|106|497|(676)|73|-|
|Other Restricted Funds|202|564|(896)|228|98|
|**Total 2023**|**1,858**|**3,042**|**(4,180)**|**805**|**1,525**|
||**Balance at**|**Income**|**Expenditure**|**Balance at**||
||**1 January**|||**31 December**||
||**2022**||||**2022**|
||**£'000**|**£'000**|**£'000**||**£'000**|
|Alone in London|321|426|(373)||374|
|Capital Grants|876||(40)||836|
|I-Aspire|-|174|(174)||-|
|National Programmes|50|302|(352)||-|
|Nightstop|180|813|(726)||267|
|Pathfinder|-|376|(376)||-|
|Safestop|54|26|(7)||73|
|Youth Hub|150|452|(496)||106|
|Other Restricted Funds|22|434|(254)||202|
|**Total 2022**|**1,653**|**3,003**|**(2,798)**||**1,858**|
## **26 . Restricted Funds (continued)**
Restricted funds represent funds unspent as at 31 December 2023 that have been donated for a specific purpose and include:
## **Alone in London**
Funds donated specifically to provide advice and support to young people who are homeless or at risk of homelessness . Its work includes advice, family mediation, first contact and schools work, complementing the work of Nightstop and programmes teams .
## **I-Aspire**
Funds donated specifically to deliver an outcomes project to support care leavers in London into education, training or employment .
## **National Programmes**
Programmes which enable us to equip young people with the soft and hard skills to progress into education, training and employment and ultimately move on positively with their lives and in to independent living .
## **Nightstop**
Funds donated specifically to support our work to provide a safe place to sleep for young people in the homes of trained volunteers . These funds help us to ensure that young people are prevented from sleeping in unsafe places or from having to ever need formal housing support and are donated by a wide range of funders including local authorities, corporate supporters and trusts and foundations .
## **Pathfinder**
Funds donated specifically to deliver an outcomes project to prevent homelessness to young people in Manchester through a tenancy sustainment programme .
## **The Youth Hub**
Funds donated specifically to provide accommodation with support to young people who are sleeping rough in London, or at imminent risk of having to do so .
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Docusign Envelope ID: BB44554A-C005-4D3A-B6B3-687C532BA8B3Docusign Envelope ID: 14A59595-B219-4AC4-859F-FBA0F6C8D6C0
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
## **27 . Funds Received as Agent**
In 2020, Depaul UK entered into a contract with The Council of the City of Manchester for Young Person’s Housing Related Support Services . Depaul UK is the lead provider and acts as the main contact for invoicing and quarterly report submission . All income relating to this project is received by Depaul UK and subsequently paid out to the six different partners .
Summaray of movement in funds, held as agent .
||**2023**|**2022**|
|---|---|---|
||**£’000**|**£’000**|
|Brought forward funds|**121**|**75**|
|Funds received in year|**906**|**906**|
|Funds paid out to partners|**(967)**|**(860)**|
|**Carried forward funds**|**60**|**121**|
## **28 . Prior period Consolidated Statement of Financial Activities**
|||**Group**|**Group**|**Group**|
|---|---|---|---|---|
|||**Unrestricted**|**Restricted**|**Total**|
|||**funds**|**funds**|**funds**|
|||**2022**|**2022**|**2022**|
||**Note**|**£'000**|**£'000**|**£'000**|
|**Income from:**|||||
|Donations and legacies|4|**4,178**|**1,298**|**5,476**|
|Charitable activities|6|**10,778**|**1,705**|**12,483**|
|Investments|5|**1**|**-**|**1**|
|**Total income**||**14,957**|**3,003**|**17,960**|
|**Expenditure on:**|||||
|Raising funds|7|**1,587**|**-**|**1,587**|
|Charitable activities|7|**14,262**|**2,798**|**17,060**|
|**Total expenditure**||**15,849**|**2,798**|**18,647**|
|**Net income/(expenditure) before net gains**||**(892)**|**205**|**(687)**|
|**on investments**|||||
|Net gains on investments|11|**(10)**|**-**|**(10)**|
|**Net movement in funds**||**(902)**|**205**|**(697)**|
|**Reconciliation of funds:**|||||
|Total funds brought forward||**7,696**|**1,653**|**9,349**|
|**Total funds carried forward**||**6,794**|**1,858**|**8,652**|
## **We trust in young people so that they can trust us**
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Docusign Envelope ID: BB44554A-C005-4D3A-B6B3-687C532BA8B3Docusign Envelope ID: 14A59595-B219-4AC4-859F-FBA0F6C8D6C0
DEPAUL UK Sherborne House 34 Decima Street London SE1 4QQ 0207 939 1220 depaul@depaulcharity .org .uk depaul .org .uk
@DepaulUK DepaulUK
Stories used in our appeal reflect real life experiences of young people in Depaul UK’s support services. Names and photos may be changed to protect identities
Registered Charity Number: 802384 • Company Number: 02440093 (Registered in England and Wales). Registered with the Office of the Scottish Charity Regulator Number: SC049244 • Copyright © 2024 Depaul UK