Charity Registration No. 802682 Company Registration No. 02438015 (England and Wales) THE OUTLOOK FOUNDATION ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 BUSINESS ADVISORS & ACCOVNTANTS One Bell Lane Lewes East Sussex BN7 IJU
THE OUTLOOK FOUNDATION CONTENTS Page Company information Chairman's report Trustees report 4-11 Statement of Trustees responsibilities 12 Independent auditor's report 13~16 Statement of financial activities 17 Balance sheet 18 Statement of cash flows 19 Notes to the financial statements 20-30
THE OUTLOOK FOUNDATION COMPANY INFORMATION Trustees Mrs Minall MrADPol Mr M O'mahoney Mr S Bell Mr R Miles Dr. E Scott-Gliba Mr E Trump (Appointed 22 June 20241 (Appointed 7 February 2025) Charity number 802682 Company number 02438015 Registered office 74 Redhill Drive Brighton East Sussex BNI 5FL Auditor TC Group One Bell Lane Lewes East Sussex BN7 IJU
THE OUTLOOK FOUNDATION CHAIRMAN'S YEAR END REPORT FOR THE YEAR ENDED 31 MARCH 2025 The Outlook Foundation has seen a positive movement forward in getting our residents into the community through independent living, we have 4 properties offering this extended service. This allows us to h'll our main houses, and welcome new faces. This protects us regarding fees and income moving forward. We have had to make a tough decision and raise the fee to cover our overheads again this year and being able to afford & maintain our charitable status. We are a Residential Care Facility and have to look at SupEY)rtive living & balance this with Residential Care packages living to run this this as a business, as well as to protect it as a Charity. The Main House is near completion, with a few minor snagging areas to address; sadly, with the finding of Asbestos and added building regulations, we were over budget. Luckily, we received some £90k in Donations from the work from our Fund/Grant manager. There were less issues again this year around shortages of staff but the headache of running the er-InCreasIng running costs across 3 houses remains. The new Governments, National Insurance increases & increasing minimum wage has added an estimated £70k per annum to our payroll costs. We rewarded our staff a Christmas Bonus in this financial year as a gesture of thanks. The age and high daily usage on our buildings creates areas of 'wear & tear, and the elements are also against us externally. Thus, maintaining this comes at an increased cost. Our attempt to strengthen the Trustee Board with new appointments, especially around Senior Finanoal Skills and HR areas, have been achieved with two excellent Trustees in Finance & HR. Trustees, details are now on the web site. We have been training in and installed a new accounting package that makes the numbers understandable & easier for Senior teams to access across any period. This has helped us manage our finances and understand our running costs & overheads. The System is known as Fathom. Both Eric and Simon, our Trustees. are continuing to do great work re- Parental Committees and Resident Committees, to listen, understand and give feedback to Senior Managers and Trustees alike. Without our staff and Senior Management teams we could not operate. The Trustees want to congratulate Ria and the various teams within the four properties (including the new flat scheme) for their management, the diligence and the protection residents in often very difficult times. Developing income streams outside of relying on the residential fee is now essential, to protect several areas: Repair and maintenance of our ageing Estate. Direction of the properties across Residential & Supportive living as we face new funding rules and the shrinking of budgets from the many councils. Training skilled staff In late 2024 we were forced by planning rules to install new windows into Gaynor House at a cost of £30,000. The outsourcing of accommodation, where residents move to independence in private accommodation, overseen by TOF, is going well. We are on flat no 4 and this programme really builds on the Charity's desire to develop residents, skills and move them to some form of independence within the safety net of TOF. We continue to receive high scores from The Charity Commission, Social Workers assigned to our residents and Brighton & Hove Council. Trustees talk & meet regularly, and we hold 4 Full Trustee meetings per annum. Thanking you
THE OUTLOOK FOUNDATION CHAIRMAN'S YEAR END IIEPORT (coKfiNUED) FOR THE YEAR ENDED 31 MARCH 2025 Ch Irman Date.. 1.8....1.£..-,.2025
THE OUTLOOK FOUNDATION TRUSTEES REPORT IINCLUDING DIRECTORS, REPORT) FOR THE YEAR ENDED 31 MARCH 2025 The Trustees present their annual report and financial statements for the year ended 31 March 2025. The financial statements have been prepared in accordance with the accounting policies set out in note I to the financial statements and comply with the charitable company's governing document, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities pteparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 1021 (effective l January 20191. Objectives and activities The Charity's aim land its mission statement) is to empower people with learning disabilities by 0vidIng safe comfortable homes in the community. This includes delivering person centred support, educational development, life skills training and promoting wellbeing, which will enable individuals to achieve their full potential. The Chartty's aim is to 'make a difference, to the lives of the client groups, the public will benefit by the policies and development of the Charity and the bespoke curriculum put in place for each individual. The overall benefit will be identifiable by the integration of the status group5 concerned fulh'lling life through the training provided by the Charity as well as making the individuals as independent as they are able to be and to interact within the communitv. The charity has a training programme for volunteers. The Charity provides training for organisations where our residentsltenants have voluntary work placements. We advertise for volunteers as a constant on-going practice. The charity also has a rigorous staff training program with regular training in all areas of compliance and specifi'c to the residents needs. The charity recently was chosen by Brighton NHS Clinical Psychology Dept to have 2 Postgraduates use Outlook House as part of their doctorate, steered by Elizabeth Scott- Gilba, A Senior Clinical Psychologist and one of our Trustees. Strntegiesfvr achieving aims and object7ves We aim to achieve the mission statement above by continuing development and maintenance of essential life skills, ranging from personal hygiene to room cleaning, road crossing and bus travel. To working in the community whilst living semi independently. All residents and tenants have individual life skills plans that they devise in collaboration with support staff. The person-centered approach to life skills training results in successful completion leading to increased independence, appropriate to the individual. Publlc benefit The activities currently carried out for public benefit by the charity are always ensured by the trustees to be in line with our mission statement, with the overall aim being that the people we work aong side are fully integrated as part of their local community. The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what attivities the charity should undertake.
THE OUTLOOK FOUNDATION TRUSTEES REPORT (INCLUDING DIREcfoRS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Achievements and performance Key financial performance Indicators To maintain full occupancy and quality of service. The service is reviewed in four different ways, firstly by purchasers the residents personal social worker from their County/Region they come from, secondly by regular internal/senior staff systems of monitoring individual needs, one to one meetings where we ensure that the aims and objectives of the charity are being met, thirdy inspections carried out by the Care Quality Commission ICQCI and lastly by an annual Quality Assurance exercise in which questionnaires are sent out to residents and tenants, staff, parents, social workers and other external bodies. The charity is able to measure it'5 performance by an individual achieving life skills and further independence. Review of activities The Charity provides accommodation across three homes - Outlook House, Jean Marshall House and Gaynor Forster House. Plus, outsourcing of houses & flats where landlords are guaranteed fees, these provide the independence needed with the correct & safety for staff to live in or monitor the residents. Outlook House Set in a residential area of Brighton, Withdean, Outlook House and grounds are situated in the heart of. the local communtty, with access to local shops, buses and primary healthcare. The house has the feel of a spacious- family home, with 12 en suite rooms and well-equipped shared spaces. There is a large garden, with a greenhouse and vegetable patches, where green fingered residents can even try their hand at growing some grub. Outlook House residents have use of all of the facilities at the house and are encouraged to act}lY participate in making Outlook House their own comfortable and happy home. Outlook House is a 'residential care, setting. We started to improve on this property in November 2024 to build 4 independent apartments to add to our program of shared care Isupportive living. The Main House is near completion, with a few minor snagging areas to address, sadly with the finding of asbestos, added building regulations, we were over budget. Luckily. we received some £75k in Donations, thanks to Ceiri O'Douglas hard work as Fund/Grant manager. Jean Marshall-House Situated in a residential area of Hove, close to Hove station, Hove Park, the seafront. Shops and primary healthcare. Jean Marshall House has 8 en suite rooms alongside. several large and comfortable shared spaces; a lounge, conservatory, dining room and large patio and courtyard. Support Staff can be accessed by tenants both day and night at Jean Marshall House. Jean Marshall House is a 'supported living, setting.
THE OUTLOOK FOUNDATION TRUSTEES REPORT (INCLUDING DIRECTORS, REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 nor Fors r House Situated in a residential area of Brighton, very close to Preston Park, local shops and primary healthcare services. It is very well positioned for public transport with great bus routes and both London Road and Preston Park train stations, nearby. The overall house has been converted into 5 comfortable, self contained flats, with an additional shared utility room. The tenants benefit from a lovely, large courtyard garden with a built-in barbeque. Support staff can be accessed by tenants during the day at Gaynor Forster House. In 2024, we were forced by planning rules to install windows into Gaynor House, this set us back over £30,000. Gaynor Forster House is a 'supported living, setting. The Outlook Foundation looks back on a challenging year that has been tough for the entire Care Sector with added cost increases in labour, shortages of staff and the ever-increasing cost to run the 3 houses, plus the properties in the communities. We need and continue to increase fees where we can, but have taken on the position of hiring a dedicated Marketing Manager to raise external funds through donations, grants and raising our profile within Brighton & Hove. It is imperative that the Trustees seek other income other than relying on council funding going forward. The aim being to drive the Charity forward as a business but also to recognise the importance of maintaining our core values. Lesley moved mountains and worked hard to get us into a far better accounting position. We have strengthened our Tnjstees by adding Simon Bell. who has experiences in staff incentives, contracts running businesses, Mike O'mahoney Expert in micro finance and cash flow management. Janet Tapsell, Senior in other related Charities and Expertise in HR and Charity Finances. Equally pleased to add Eric Trump as Company Secretary. Angelo De Pol continues as Trustee looking after Strategic Finance and Risk Management with Richrd Miles in charge of Marketing & Donations and Strategies on utility Management and I was extremely honored to be voted as permanent Chair from Vice Chair. Elizabeth Scott-Gilba works with the CEO & Staff on welfare issues & specific issues around mental health. Simon Bell & Eric Trump also steer the Parental Committee, to allow Parents & Residents to voice their viewslidea to the Trustees. Trustees meet 4 times per year, via Zoom and one physical meeting. Plus, regular individual callslemails & discussions throughout the year. The CEO is in regular contact with all Trustees. A One to One with The Chair is organised with 311 Senior Managers once a year on a P&C basis. Chair & CEO discuss top line issues at least once every 10 days.
THE OUTLOOK FOUNDATION TRUSTEES REPORT (INCLUDING DIREcfoRS' REPORT) {CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Financial review The Outlook Foundation looks forward to hopefully, a less challenging year. 2025 brought positive movement in getttng more of our residents into the community through independent living, allowing us to fill our houses and reorganise with new faces. This higher level of occupancy protects us in terms of fees and income but we 5ti11 had to take the tough decision and raise fees to cover our rising overlEads and maintain our charitable status. We are first and foremost a Residential Care Facility and have to operate as a business but also respect the residents and staff who are our lifeblood. Ria and her team have done a magnificent job again this year with Council budgets under severe pressure, to increase fees in line with rising costs and improve our top line income. This comes with finding extra residents to fill those empty bedrooms. However, do not underestimate the hours it takes to raise invoices, chase councils to pay us. We have two outstanding fees to the tune of over £IOOk we are still chasing. The Trustees need to state that we are financially solvent and TOF is in a good position to fund the Charity. The initiative. hard work of the operdtional team and the knowledge & the skill of the Trustees are continuing in improving the quality of what we can deliver. The charity's total income for the year was £1,808,93912024: £1,415.759} and had net outgoing resources for the year of £1,746,54112024: £1,389,019). At 31 March 2025, the Foundation had unrestricted funds of £1,999,750 {2024: £1,937,352) and held free reserves of £58,36112024: £205.1991. The Outlook Foundation aims to hold three months expenditure within free reserves. Three months expenditure, excluding depreciation, totals £419,787 suggesting that free reserves are lower than the Trustees would like the charity to hold. The Trustees are aware of this and are working with management to reduce expenditure and increase the charity's InconE to allow for reserves to increase. However we are sitting on three properties with a book value which exceeds £1.6m, market value for the area could easily exceed £2m: thus giving us acces5 to loan5 & assets to borrow against if needed. Going concern After making appropriate enquirie5, the trustees have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. For this reason, they cortinue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.
THE OUTLOOK FOUNDATION TRUSTEES REPORT (INCLUDING DIREcfoRS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Reserves pollcy Introdudion This reserve policy outlines the financial management approach of The Outlook Foundation I"The Charity"). The Charity prioritises maintaining a strong financial position to manage unforeseen expenses or revenue changes and follows the guidance provided by the Charity Commission I'charity reserves: building resilience CC191. Risk Profile The Charity's risk profile is considered low primarily due to the following factors: l. Stable Funding: The Charity relies on stable sources of local council funding via resident/tenant fees and tenant housing benefits. 2. Positive Net Profit Margin: Although the Charity is a non-profit organisation, it typically 0rateS with a positive Net Profit Margin, allowing for further reserve accumulation. 3. Debt-Free: The Charity is mortgage free and there are no other debts, nor is there any borrowwig foreseen in the medium-term or long-term financial plans. 4. Significant Assets: The Charity has significant tangible fixed assets (predominantly property with market value of at least £1.8ml, which may be utilised for financing if the need ever arose. 5. New Funding Source: A previously underutilised source of funding (grants and donations) has been established by a new dedicated marketing manager role. The first 18 months provided grants in excess of £80k. 6. Low Overheads and Staffing Risks: The Charity has no Head Office rent obligations and the Staff risks are considered low. Purpose of the reserves l. Sector-Related Costs: The Charity has accumulated resee5 to handle unexpected increases in sector- related cost5, such as utilities, minimum wages, and the demands of providing services to special n*ds adults. These reserves ensure the organisation can adapt to changes in the operating environment and maintain the quality of care for residents if issues arise in either receiving payments of fees and housing benefit or if there are any delays in obtaining agreement for fee increases to match rising expenses. 2. Property Maintenance and Improvements: Reserves support property improvements and general maintenance. This includes provisions for enhancing the main property, adding rooms to accommodate changes in shared care, as well as covering ongoing maintenance requirements. Adequate reserves are necessary to sustain the physical infrastructure of the care home to meet the standards required bythe coc. 3. Regulatory Requirements: The Charity complies with the Charity Commission guidelines ICC191 on reserve policies, ensuring financial resilience.
THE OUTLOOK FOUNDATION TRUSTEES REPORT (INCLUDING DIREcfoRS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Reserve Level and Monitoring The current reserves reflect the Charity's commitment to financial preparedness and addressing any short-term needs. Trustees monitor and revlew reserve levels regularly to allgn with the operating environment and regulatory requirements. Target Reserve Level The target reserve level is set at 25% of annual operating expenses, covering approximately three months of expenses. The Trustees acknowledge that reserves may temporarily fall below this target in circumstances where designated funds are set aside to finance signilicant projects le.g. building improvements). The reserves level will be monitored throughout the year and reviewed quarterly by the Trustees. Conclusion The Charity's linancial stability is essential for its long-term sustainability and effective operations. Therefore, the Trustees have set a prudent target reserve level, despite the low-risk nature of our operating model, which differs from the largely donation-reliant charitable sector. The reserve policy reflects the Charity's commitment to financial stability and readiness for potential sector- related challenges, including property improvements, maintenance needs, and local authority budget pressures. The current reserve level demonstrates the Charity's proactive approach to building funds. The Trustees will continue to monitor and review reserves to ensure they meet evolving needs and comply with Charity Commission guidance. Maintaining an appropriate level of reserves safeguards the Charity's ability to provide high-quality care for special needs adults and ensures long-term sustainability. Mojor risks The Trustees. have assessed the major risks to which the company is exposed, in particular those related to the operations and fi'nances of the company, arid are satisfied that systems and procedures are in place to mitigate our exposure to the major risks. Financial risk management objectives and policies We endeavour to maintain full capacity across the 3 sites and the flat schemes. All payments of fees are monitored and addressed where necessary. The charity also has a Business Continuity Plan in place, induding insurance to cover any major disruption to that continuity. Structure, governance and management The company is registered as a charitable company limited by guarantee and was set up by a Trust deed. The company is constituted under a Trust deed and is a registered charity number 802682. The principal object of the company is the promotion of care and education of adults with learning difficulties.
THE OUTLOOK FOUNDATION TRUSTEES REPORT {INCLUDING DIREcfoRS' REPORT) (CONTINUEDI FOR THE YEAR ENDED 31 MARCH 2025 The Trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the fi'nancial statements were: Mrs Minall MrADPol Mr M O'mahoney Ms J Tapsel Mrs Bell Mr R Miles Dr. E Scott-Gliba Mr E Trump (Appointed 22 June 20241 IAppointed 27 May 2024 and resigned 25 June 20251 IAppointed 7 February 20251 Recruitment ond appointment of trustees The management of the company is the responsibility of the Trustees who are elected and co opted under the terms of the Trust deed. The recruitment of new trustees is solely by introduction by existing members of the trustee committee and they are individuals who have varying experiences of dealing with different blneSs operations that complement the charities mission statement. All new trustees are made aware of their roles and responsibilities in line with current legislation and the charity's policies and procedures, and new trustees are made familiar with The Outlook Foundation's three sites. None of the Trustees has any beneficial interest in the company. All of the Trustees are members of the company and guarantee to contribute £1 in the event of a winding up. Organisational strurture The Trustees meet 4-5 times a year. Day to day the Charity is run by 3 Director5 of Operations, who also comprise the Key Management Personnel of the Charity. The remuneration of the Key Management Personnel is set by Ria Mew and other non- paid trustees. Information on fundraising pro¢tFces The Outlook Foundation will need to look at fundraising strategies, this is due to an increase in liabilities, staffing costs and the lack of government funds. The charity does not work with professional fundraisers and during the last financial year did not have any agreement5 With commercial participators. During the last financial year there were no complaints received by the charity about any fundraising the charity carried out. The charity does not share the data with anyone and limits their fundraising approaches to ensure that they are not unreasonable and that there is no undue pressure to give. Compliance to GDPR is paramount. Auditor In accordance with the company's articles, a resolution proposing that TC Group be appoInted as auditor of the company will be put at a General Meeting. 10-
THE oirfLOOK FOUNDATION TRUSTEES REPORT (INCLUDING DIRECTORS, REPORn (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Disclosure of infomiatlon to auditor Each of the Trustees has confirmed that there 15 no infonnation of which thev are aware which Is relevant to the audit. but of which the auditor is unaware. They have further confirmed that they have taken appropriate Steps to identify su relevant information and to estsblish that the auditor 15 aware of such information. s report was approved by the Board of Trustees. inall Trustee Date.. !.f..-12-2oZS 11
THE OUTLOOK FOUNDATION STATEMENT OF TRUSTEES RESPONSIBIUTIES FOR THE YEAR ENDED 31 MARCH 2025 The Trustees, who are also the directors of The Outlook Foundation for the purpose of company law, are responsible for preparing the Trustees Report and the financial statements in accordance with appli(3ble law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting PractTcel. Company Law requires the Trustees to prepare financial statements for each financial year which ghie a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year. In preparing these financial statements, the Trustees are required to: select suitable accounting policies and then apply them consistently; observe the methods and principles in the Charities SORP; make judgements and estimates that are reasonable and prudent; and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation. The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply w¢th the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. 12
THE OUTLOOK FOUNDATION INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF THE OUTLOOK FOUNDATION Opinion We have audited the financial statements of The Outlook Foundation (the 'charitable company'l for the year ended 31 March 2025 which comprise the statement of fi'nancial activities, the balance sheet, the st*ement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Finoncial Reporting Standard applicable in the UK and Republic of Ireland {United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statements: give a true and fair view of the state of the charitable company's affairs as at 31 March 2025 and of its incoming resources and application of resources, for the year then ended; have been properly prepared in accordance with United Kingdom Generally Accepted Accounting PractE. and have been prepared in accordance with the requirements of the Companies Act 2006. Basi5 for opinion We conducted our audit in accordance with International Standards on Auditing IUKI IISAS IUK}l and applicable law. Our responsibilities under those standards are further described in the Auditor's re5ponsibilitiesfor the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relating to going concern 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 companys ability to continue as a going concern for a period of at least twelve months from when the financial statements a authorised for issue. Our responsibilities and the responsibilities of the Trustees with respect to going concern are d&cribed in the relevant sections of this report. Other information The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The Trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other informati)n and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other infi)rmation and, in doing so, consider whether the other information is materially inconsistent with the financial ststements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required 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. 13-
THE OUTLOOK FOUNDATION INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE OUTLOOK FOUNDATION Matters on whtch we are required to report by exception We have nothing to report in respect of the following matters in relation to which the Charities IAccounts and Reports) Regulations 2008 require us to report to you if. in our opinion.. the information given in the financial statements is inconsistent in any material respect with the Trustees report; or sufficient accounting records have not been kept; or the financial statements are not in agreement with the accounting records; or we have not received all the information and explanations we require for our audit. Responsibilities of Trustees As explained more fully in the statement of Trustees responsibilities, the Trustees. who are also the d1CtorS of the charitable company for the purpose of company law, are responsible for the preparation of the linancial statement5 and for being satisfied that they give a true and fair view, and for such internal contrd 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 orto 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 144 of the Charities Act 2011 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 IUKI will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of iegUlarltie5, including fraud. The extent to which our procedures are capable of detecting irregularities. including fraud is detailed below: Extent to which the audit was considered capable of detecting irregularities, including fraud The objectives of our audit, in respect to fraud, are.. to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses; and to respond appropriately to fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and its management. 14-
THE OUTLOOK FOUNDATION INDEPENDENT AUDITOR'S REPORT ICONTINUEDI TO THE TRUSTEES OF THE OUTLOOK FOUNDATION Our approach was as follows: We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial and sector experience, and through discussion with the directors and other management las required by auditing standards), and discussed with the directors and other management the policies and procedures regarding compliance with laws and regulations,, We considered the legal and regulatory frameworks directly applicable to the financial statements reporting framework {FRS 102, Charities Act 2011 and the Companies Act 20061 and the relevant tax compliance regulations in the UK. We considered the nature of the industry, the control environment and business performance, including the key drivers for management's remuneration: We communicated identih-ed laws and regulations throughout our team and remained alert to anv indications of non-compliance throughout the audit; We considered the procedure5 and controls that the company has established to address risks idenffied, or that otheiSe prevent, deter and detect fraud; and how senior management monitors those programmes and controls. Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Where the risk was considered to be higher, we performed audit procedures to address each dentified fraud risk. These procedure5 included: testing manual journals; reviewing the financial statement disclosures and testing to supporting documentation; performing analytical procedures. and enquiring of management, and were designed to provide reasonable assurance that the financial statements were fr from fraud or error. Owing to the inherent limÈtations 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 example, the further removed nortrcompliance with laws and regulations (irregularities) is from the event5 and transactions reflected in the financial statements, the less likelv the inherently limited procedure5 required by auditing standards would identify it. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional c0ealment, forgery, collusion, omi55ion or misrepresentation. We are not responsible for preventing non-compliance and cannot be experted to detect non-compliance with all laws and regulations. A further description of our responsibilities is available on the Financial Reporting Council's website at: https:/l www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report. 15-
THE OUTLOOK FOUNDATION INDEPENDENT AUDITOR'S REPORT ICONTINUED) TO THE TRUSTEES OF THE OUTLOOK FOUNDATION Use of our report This report is made solely to the charity's trustees, as a body. in accordance with part 4 of thecharities (Accounts and Reports) Regulations 2tM)8. Our audit work has been undertaken so that we might state to the charity's 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 charity and the charity's trustees as a body, for our audit work, for this report, orfor the opinions we have formed. TC Group Statutory Auditor Office: Lewes Ig TC Group is eligible for appointment as auditor of the charitable company by virtue of it5 eligibilty for appointment as auditor of a company under of section 1212 of the Companies Act 2006 16-
THE OUTLOOK FOUNDATION STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2025 Unrestrlcted funds 2025 Unrestricted funds 2024 Notes Income and endowments from: Donations and legacies Charitable activities Investments Other income 112,200 1,692,775 1,969 1,995 14,379 1,400,318 1,062 Total income 1,808,939 1,415,759 Expenditure on: Charitable activities Other expenditure 1,746,541 1,383.350 5,669 li Total expenditure 1,746,541 1,389,019 Net income and movement in funds 62.398 26,740 Reconciliation of funds: Fund balances at l April 2024 1,937,352 1,910,612 Fund balances at 31 March 2025 1.999,750 1,937,352 The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. 17-
THE OUTLOOK FOUNDATION BALANCE SHEEr ASAT31 MARCH 2025 202S 2024 Notes Fixed assets Tangible assets 13 1,941,389 1,732.153 Current assets Debtor5 sh at bank and in hand 86,879 345,510 14 221,060 94.628 315.688 432,389 Creditors: amounts falling due within one vear 1257,3271 (227.1901 205,199 Net current assets 58.361 Total a55ets less current Ilabilities 1,999,750 1,937,352 The funds of the tharitsble company Unrestricted funds 18 1.999,750 1,937.352 1,999,750 1,937,352 The company is entitled to the exemption from the audit requirement contained in settion 477 of the Companie5 Act 2006, for the year ended 31 March 2025. although an audit has been carried out under section 144 of the Charities Att 2011. The directors acknowledge their responsibilities for complying with the requirements of the Companies Att 2CM)6 with respect to accounting records and the pparatIOn of financial statements. The members have not required the company to obtsln an audit of its financial statements under the requirements of the Companles Att 2tN)6, for the year in question in accordance with section 476. These financial ststements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime. The finan Statements were approved by the Trustees on .-.. ee Compary registration number 02438015 IEngland and Wales) 18-
THE OUTLOOK FOUNDATION STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2025 2025 2024 Notes Cash flows from operatin8 activities Cash generated from operations 22 21,781 194,899 Imiesting artivities Purchase of tangible fixed assets Proceeds from disposal of tangible lixed assets 1278,3 151 157,5721 3,683 1,969 Investment income received 1,062 Net cash used in investing activities (272,6631 (56,510) Net cash used in financing activities Net (decrease}/increase in cash and cash equivalents 1250,8821 138,389 Cash and cash equivalents at beginning of year 345,510 207,121 Cash and cash equivalents at end of year 94,628 345,510 19-
THE OUTLOOK FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Accounting pollcies Charlty Information The Outlook Foundation is a private company limited by guarantee incorporated in England and Wales. The registered office is 74 Redhill Drive, Brighton, East Sussex, BNI 5FL. 1.1 Accounting convention The financial statements have been prepared in accordance with the charitable company's governing document, the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" ("FRS 102"} and the Charities SORP "Accounting and Reporting by Charities- Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the FInclaI Reporting Standard applicable in the UK and Republic of Ireland {FRS 1021" {effective l January 20191. The charitable company is a Public Benefit Entity as defined by FRS 102. The h'nancial statements are prepared in sterling. which is the functional currency of the charitable company. Monetary amounts in these financial statements are rounded to the nearest £. The financial statements have been prepared under the historical cost convention. The principal aoounting policies adopted are set out below. 1.2 Going concern At the time of approving the financial statements, the Trustees have a reasonable expectation that the charitable company has adequate resources to continue in operational existence for the foreseeable future. Thu5 the Trustees continue to adopt the going concern basi5 of accounting in preparing the financial statements. 1.3 Charitable funds Unrestricted funds are available for use at the discretion of the Trustees in furtherdnce of their charitable objectives. 1.4 Income Income is recognised when the charitable company is legally entitled to it after any performance c(dItionS have been met, the amounts can be measured reliably, and it is probable that income will be received. Cash donations are recoEnised on receipt. Other donations are recognised once the charitable company has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation. 20-
THE OUTLOOK FOUNDATION NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Accounting policies {Continued) 1.5 Expenditure Expenditure 15 recognised once there is a legal or constructive obligation to transfer economic bfflefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, andthe amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of dirÈ* costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributaLle to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single actFvity are apportioned between those attNities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset's use. 1.6 Tangible fixed assets Tangible lixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Depreciation is recognised so as to write off the cost or valuation of assets less their residual value5 over their useful lives on the following bases: Freehold land and buildings Fixtures and fittings Computers Motor vehicles 2% straight line 25% straight line 330A straight line 25% reducing balance Assets in the course of construction are not depreciated. The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities. 1.7 Impairment of fixed assets At each reporting end date, the charitable company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment Ios5. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss {if any). 1.8 Cash and cash equivalents Cash and cash equivalents include cash In hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. 21
THE OUTLOOK FOUNDATION NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Accounting policies {Continued) 1.9 Financial instruments The charitable company has elected to apply the provisions of Section 11 'Basic Financial Instruments, and Section 12 '0ther Financial Instruments1s5ues' of FRS 102 to all of its financial instruments. Financial instruments are recognised in the charitable company's balance sheet when the charitable company becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention tosettle on a net basis or to realise the asset and settle the liability simultarleouslv. Basicfinonciol assets Basic financial assets, which include debtors and cash and bank balances. are initially measured transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. Ba5i¢finuncial liabilities Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrdngement constitutes a financing transaction, where the debt instrument is measured at the psent value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transactson price and subsequently measured at amortised cost using the effective interest method. Derecognition offinanciol liabilities Financial liabilities are derecognlsed when the charitable company's contractual obligations expire or are discharged or cancelled. 1.10 Employee benefits The cost of any unused holiday entitlement is recognised in the period in which the employee's seiceS are received. Termination benefits are recognised immediately as an expense when the charitable company is demonstrably committed to terminate the employment of an employee or to provide termination benefits. 1.11 Retirement benefits Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. -22-
THE OUTLOOK FOUNDATION NOTES TO THE FINANCIAL STATEMENTS ICONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Income from donations and legactes Unrestrlcted funds 2025 Unrestricted funds 2024 Donations and gifts 112,200 14.379 Income from charitable ac17vities Unrestrirted funds 2025 Unrestricted funds 2024 Tenant fees 1,692,775 1,400,318 Income from investments Unrestricted Unrestricted funds funds 2025 2024 Interest receivable 1,969 1,062 Other income Unrestricted Unrestricted funds funds 2025 2024 Net gain on disposal of tangible fixed assets 1.995 -23-
THE OUTLOOK FOUNDATION NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Expenditure on charitable activities Promotion of care and education 2025 Promotion of care and education 2024 Direct costs Staff costs Depreciation and impairment House running costs Repairs and maintenance Supplies and other residential support Administration costs Holiday costs 1,299,143 67,391 176,324 50,637 43,835 87,254 4,759 1,001,720 63,354 137,045 39,443 33,698 62,236 2,744 1.729,343 1,340.240 Share of support and governance costs (see note 71 Governance 17,198 43,110 1,746,541 1,383,350 Analysis by fund Unrestricted funds 1,746,541 1,383,350 Support costs allocated to activities 2025 2024 Governance costs 17,198 43,110 Analysed between: Promotion of care and education 17,198 43,110 Net movement In funds 2025 2024 The net movement in funds is stated after charging/lcrediting): Fees payable for the audit of the charity's financial statements Depreciation of owned tangibSe fixed assets IProfitl/loss on disposal of tangible fixed assets 15,300 67,391 11,9951 15.300 63,354 5,669 -24-
THE OUTLOOK FOUNDATION NOTES TO THE FINANCIAL STATEMENTS (CONTINUED FOR THE YEAR ENDED 31 MARCH 2025 Trustees None of the Trustees {or any persons connected with them) received any remuneration during the year, but one trustee was reimbursed a total of £190 for travelling expenses {2024- none were reimbursed). 10 Employees The average monthly number of employees during the year was: 2025 Number 2024 Number Admin & Care staff 40 35 Employment costs 2025 2024 Wages and salaries Social security Costs Other pension costs 1, 168,504 106,907 23,732 902,313 81,508 17,899 1,299,143 1.001,720 The number of employees whose annual remuneration was more than £60,000 is as follows- 2025 Number 2024 Number £60,001 to £70,000 Remuneration of key management personnel The remuneration of key management personnel was as follows: 2025 2024 Aggregate compensation 132,793 124,262 -25-
THE OUTLOOK FOUNDATION NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 11 Other expenditure Unrestrlcted Unrestrlcted funds funds 2025 2024 Net loss on disposal of tangible fixed assets 5,669 12 Taxation The charity is exempt from taxation on its activities because all its income is applied for charitable purposes. 13 Tangible fixed assets Freèhold land and buildings Assets under construction FiXre$ and fittings Computers Motor hle$ Totsl Cost At l April 2024 Additions Disposals 2,690.178 57.224 669 348 828 20,460 2,768,210 278,315 116,8601 116,8601 276,818 At 31 March 2025 2,690,178 276,818 57,893 1,176 3,6(hJ 3,029.665 Depreciation and impairment At l April 2024 Depreciation charged in the year Eliminated in respect of disposals 1,008,003 9,855 67 18,132 1,036,057 52,655 14,392 184 160 67,391 {15,1721 {15,172) At 31 March 2025 1,060.658 24,247 251 3,120 1,088,276 Carryln8 amount At 31 March 2025 1,629.520 276,818 33,646 925 480 1,941,389 At 31 March 2024 1,682,175 47,369 281 2,328 1,732,153 -26-
THE OUTLOOK FOUNDATION NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 14 Debtors 2025 2024 Amounts falling due within one year: Trade debtors Other debtors Prepayments and accrued income 203,471 4,946 12,643 75,701 11,178 221,060 86,879 15 Creditors: amounts falllng due within one year 2025 2024 Notes Other taxation and social security Deferred income Trade creditors Other creditors Accruals 50,755 59,743 110,468 21,061 15,300 84,877 21.563 77,562 12,962 30,226 16 257,327 227.190 16 Deferred income 2025 2024 Other deferred income 59.743 21,563 Deferred income is included in the financial statements as follows: 2025 2024 Deferred income is included within: Current liabilities 59,743 21,563 Movements in the year: -27-
THE OUTLOOK FOUNDATION NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 16 Deferred income {Continued) Deferred income at l April 2024 Released from previous periods Resources deferred in the year 21,563 {21,5631 59,743 13,985 (13,9851 21,563 Deferred income at 31 March 2025 59,743 21,563 The deferred income relates to residents fees invoiced in advance. 17 Retlrement benefit schemes 2025 2024 Defined contribution schemes Charge to profit or loss in respect of defined contribution schemes 23,732 17,899 The charitable company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charitable company in an independently administered fund. 18 Unrestricted funds The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes. At l April 2024 Incoming resources Resources At 31 March expended 2025 General fund5 1.937,352 1,808,939 {1,746,541) 1,999,750 Previous year: At l April 2023 Incoming resources Resources At 31 March expended 2024 General funds 1,910,612 1,415,759 11,389,019) 1,937,352 -28-
THE OUTLOOK FOUNDATION NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 19 Analysis of net assets between funds Unrestricted fvnds 2025 At 31 March 2025: Tangible assets Current assets/lliabilities} 1.941,389 58,361 1,999,750 Unrestricted funds 2024 At 31 March 2024: Tangible assets Current assets/lliabilitiesl 1.732.153 205,199 1,937,352 20 Operating lease commitments Lessee At the reporting end date the charitable company had outstanding commitments for future minimum ISe payments under non-cancellable operating leases, which fall due as follows: 2025 2024 Within one year Between two and five years 45,830 10,847 45,830 26,677 56,677 72,507 21 Related party transartlons During the year. there were transactions with related parties. A family member of key management Fersonal was employed by the charity during the year. They received £30,38512024- £29.4471. -29-
THE OUTLOOK FOUNDATION NOTES TO THE FINANCIAL STATEMENTS ICONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 22 Cash generated from operations 2025 2024 Surplus for the year 62,398 26,740 Adjustments for: Investment income recognised in statement of financial activities (Gainl/loss on disposal of tangible fixed assets Depreciation and impairment of tangible fixed assets 11,9691 11,9951 67,391 11,0621 5,669 63,354 Movements in working capital: {Increasel in debtors {Decreasel/increase in creditors Increase in deferred income 1134,1811 18,0431 38,180 {8.9701 101,590 7,578 Cash generated from operations 21,781 194,899 23 Analysis of changes in net funds The charitable company had no material debt during the year. -30-