**COMPANY REGISTRATION NUMBER NI005568** # **CHARITY REGISTRATION NUMBER NIC100753** ## **ACTION MENTAL HEALTH** **(CHARITABLE COMPANY - LIMITED BY GUARANTEE) ANNUAL REPORT AND FINANCIAL STATEMENTS** **FOR THE YEAR ENDED** **31 MARCH 2024** ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **CONTENTS For the Year Ended 31 March 2024** |**CONTENTS**
**For the Year Ended 31 March 2024**|| |---|---| ||**Pages**| |General Information|1| |Report of the Directors|2 – 10| |Auditor’s Report|11 – 15| |Statement of Financial Activities|16 – 17| |Summary Income and Expenditure Account|18| |Balance Sheet|19| |Statement of Cash Flows|20| |Notes to the Statement of Cash Flows|21| |Notes to the Financial Statements|22 – 39| ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **GENERAL INFORMATION** ## **DIRECTORS – MAIN BOARD** Mr D P McAuley - Chairman (appointed 30 August 2023) Mr W A McKeown - Vice Chairman (Interim Chairman 23 February 2023 to 30 August 2023) Ms A Craigan - Treasurer Mr H W R Kohner J L C Thompson DL - resigned 6 December 2023 Mr E F Fee - resigned 6 December 2023 Mr D M McKeown Ms N Kerr - resigned 28 June 2023 Mr S W Robinson Ms S E Cooke Mr J McAdams Prof G Lynch Ms R Kelly Mr P F Corr - appointed 6 December 2023 Mr K M McParland - appointed 6 December 2023 Mr R J Pannell - appointed 6 December 2023 Mr J M F O’Brien - appointed 6 December 2023 Ms L V Fleck - appointed 6 December 2023 ## **INDEPENDENT BOARD MEMBERS** Mr D Morrissey Mr B McDonald Ms G Mornhinweg ## **CHIEF EXECUTIVE OFFICER** Mr D Babington ## **SECRETARY** Ms I Gallen ## **REGISTERED OFFICE** AMH Central Office 27 Jubilee Road NEWTOWNARDS BT23 4YH **COMPANY REGISTRATION NUMBER** NI005568 **CHARITY REGISTRATION NUMBER** NIC100753 ## **AUDITOR** GMcG BELFAST Chartered Accountants & Statutory Auditor Alfred House 19 Alfred Street BELFAST BT2 8EQ ## **INVESTMENT BROKERS** Evelyn Partners The Ewart, 13[th] Floor 3 Bedford Square BELFAST BT2 7EP CCLA One Angel Lane LONDON EC4R 3AB ## **BANKERS** Danske Bank Business Banking Centre, PO Box 183 Donegall Square West, BELFAST BT1 6JS ## **SOLICITORS** Tughans The Ewart 3 Bedford Square BELFAST BT2 7EP Edwards & Co 28 Hill Street BELFAST BT1 2LA 1 **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **REPORT OF THE DIRECTORS** The Directors present their report and the financial statements for the year ended 31 March 2024. The Directors have adopted the provisions of 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) in preparing these accounts. ## **CONSTITUTION** Action Mental Health (AMH) is a charitable company limited by guarantee, registered under NI005568, governed by the Articles of Association. The company is recognised as a charity and is registered under NIC100753 and is recognised as a charity by HM Revenue & Customs under reference number XN 47959. ## **STRUCTURE, GOVERNANCE AND MANAGEMENT** The AMH board is comprised of up to 15 Directors as set out in the charity’s Articles of Association. Directors may serve for a maximum of three terms of 4 years, save for Serving Directors who, having served 15 years, must be re-appointed on an annual basis. The Governance Manual guides the work of the Board, which includes an induction programme for Directors, Terms of Reference for Committees and roles and responsibilities of office bearers. Directors are recruited to the Board through an open recruitment and selection process, although four Directors may be co-opted annually; in this reporting period there was a significant renewal process with three long serving Directors resigning and five new Directors recruited. AMH decisions on strategy, policy and material capital expenditure are taken by the full Board and it ensures the Strategic Plan guides the Executive, usually over a three year time span. Day to day decision making is under the supervision of the Chief Executive Officer, Mr D Babington, with regular reporting to the Board. Over the year, the effectiveness of the Committees was reviewed and it was agreed to reduce them from five to four and they are now the Finance, Audit and Risk, Nominations and Remuneration and Service Delivery and Development Committees (the latter committee was mainly an amalgamation of the Therapeutic Services and Innovation and Strategy Committees). The Chief Executive Officer of AMH manages the Senior Management Team and together they ensure targets in the annual Operational Plan are achieved. In line with corporate good practice AMH has an Audit and Risk Committee with two independent and three Board members and it meets at least three times a year; the Chief Executive Officer and Director of Business Support also attend, with the external auditors present when appropriate. Usually, each year a Directors’ Conference is held in October to enable the Board and all managers to assess progress and consider the future, although this did not happen in this reporting period due to significant challenges posed by the loss of ESF funding and exceptional pressures on public sector funding bodies. The Board and Finance Committee met six times, the Audit and Risk Committee, Nominations and Remuneration Committee, Therapeutic Services Committee and the Innovation and Strategy Committee each met on four occasions. Experience from Covid resulted in Board and Committee meetings being conducted in a variety of ways: in person, hybrid or remotely and this has continued to facilitate attendance and engagement. Due to significant uncertainties about the future of ESF funding ending on 31 March 2023 the Board did not hold a Directors’ Conference until there was greater clarity about the future and Directors were reassured that that there was a Strategy already in place for the period 2022-2025. 2 **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **REPORT OF THE DIRECTORS (Continued)** ## **STRUCTURE, GOVERNANCE AND MANAGEMENT (Continued)** In order to support the response to the loss of ESF funding and subsequent uncertainties the Board established a Property Sub Committee and a Digital Transformation Committee to work closely with the SMT on plans for the future. The Nominations and Remuneration Committee consider pay levels for all staff, and possible Cost of Living increases on an annual basis and the annual accounts are available on the website; the Committee seeks approval from the full Board for any increases in staff salaries. In 2013 the Committee commissioned an extensive independent review of all staff salaries which benchmarked them against locally based charities, sectors and National Joint Council (NJC) scales and the recommendations were implemented in full. A further independent salary review to ensure rates properly reflected market trends due to the impact of Covid was implemented in January 2022. The Pay Policy Statement sets out the Board’s approach to salaries and is on the AMH website. In respect of the Chief Executive Officer and SMT the Committee commissions independent advice which includes benchmarking against comparable roles in the sector. In order to provide effective services AMH is involved in a number of partnerships with other charities in Northern Ireland such as the Supported Employment Services (SES) consortium, co-led by AMH and the Cedar Foundation delivering the Workable employment programme commissioned by the Department for Communities. AMH also leads the SkillSET partnership in delivering a UKSPF programme with six other partners, which ends on 31 March 2025. AMH contributed to a range of other committees and partnerships such as the Mental Health Strategic Reform Board, Belfast City Council VCSE Advisory Panel, with the Chief Executive Officer holding appointments on these Committees. AMH also provides the secretariat for the All Party Group on Suicide at the Assembly. ## **DIRECTORS** The Directors of AMH are its trustees for the purposes of charity law. The Directors who served the charity during the year are as noted on Page 1. Mrs A Craigan, Ms S E Cooke, Ms L V Fleck, Ms R Kelly, Ms N Kerr and Messrs. E Fee, H W R Kohner, D P McAuley, W A McKeown, J L C Thompson DL, D M McKeown, S W Robinson, J McAdams and Prof G Lynch, P F Corr, K M McParland, R J Pannell and J M F O’Brien all served. A register of Directors’ interests is maintained, with regular review and update, in order for the Board to be aware of any potential conflicts of interest; the issue of potential conflicts is a standing agenda item at the start of all Board and Committee meetings. None of the Directors had any material interest in contracts with the charity during the year. 3 **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **REPORT OF THE DIRECTORS (Continued)** Directors’ Attendance at Board Meetings over the period up to 31[st] March 2024 was: |AMH Directors|Meetings
Attended|Out of a
Possible| |---|---|---| |Susan Cooke|0|6| |Angela Craigan|6|6| |Eugene Fee
(resigned Dec 23)|5|5| |Roisin Kelly|6|6| |Nuala Kerr
(resigned Jun 23)|1|1| |Billy Kohner|5|6| |Gerry Lynch|4|6| |Jonathan McAdams|5|6| |Damian McAuley|5|6| |Billy Mckeown|6|6| |Diarmuid McKeown|6|6| |Stephen Robinson|2|6| |Courtenay Thompson (resigned Dec 23)|3|3| |Paul Corr
(joined Dec 23)|2|2| |Leeanne Fleck
(joined Dec 23)|2|2| |Roger Pannell
(joined Dec 23)|2|2| |Kevin McParland
(joined Dec 23)|2|2| |Jonny O’Brien
(joinedDec23)|2|2| ## **RISK STRATEGY** A risk register is maintained in relation to all material risks posing a threat to AMH. The register is reviewed regularly by the Audit and Risk Committee and at all Board meetings to ensure systems and procedures are established to mitigate those risks identified and to minimise any potential impact on the charity. In managing the reserves, the Board is guided by their Investment Policy and its objective is to generate a return in excess of inflation over the long term whilst generating an income which could be available to support existing services and new projects. The Reserves Policy of AMH is to hold six months of planned expenditure to ensure continued financial security and to provide for contingencies. A diversified spread of investments is maintained and the Board agreed this year to consolidate the portfolios held by two separate providers into one and the investment provider is required to meet with the Finance Committee once a year to discuss performance, risk and adherence to the Investment Policy’s ethical criteria. ## **PRINCIPAL RISKS AND UNCERTAINTIES** Key risks and uncertainties currently affecting AMH are set out below: ## • **Resources** Last year the exceptional financial pressures across the region coincided with the loss of ESF funding on 31 March 2023 and whilst new UKSPF funding helped to offset some of the lost EU funding there was still a significant deficit so that clients and providers such as AMH were substantially impacted. Also the Department of Health’s Core Grant ended, annual enhancements from the Public Health Agency were not passed on and the Education Authority’s Healthy Happy Minds pilot programme for counselling in primary schools was not extended, all against the backdrop of political uncertainty without an NI Executive in place. 4 **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **REPORT OF THE DIRECTORS (Continued)** ## **PRINCIPAL RISKS AND UNCERTAINTIES (Continued)** As a result, AMH has implemented contingency plans to put AMH on a more financially sustainable footing which has resulted in fewer clients being supported and growing waiting lists, including a redundancy process with the loss of 17 staff as a result of the loss of ESF funding. Regrettably AMH’s only Learning Disability service was handed back to the commissioner to be delivered by another provider and another 9 staff left AMH as part of the transfer. AMH’s owned properties were also reviewed and the Board agreed to sell three sites. Alongside steps to consolidate or reduce existing services there is a shift to new funding models, use new digital technologies and fundraise more to generate income. ## • **Delivery of Services** As the year progressed it became increasingly clear that funding for the sector would become more difficult, despite a new NI Executive in place. Funding for the Mental Health Strategy fell well short of agreed plans and the same is likely to happen in coming years yet this is against a backdrop of rising demand for mental health support due to the legacy of Covid, high economic inactivity rates and the Cost of Living crisis. The Board continues to be concerned about AMH’s ability to deliver agreed outcomes with the pace and scale of recent reductions required in services with increasing demand combined with difficult recruitment and retention. The required changes require a shift away from the old Industrial Therapy Organisation buildings based delivery model and will take some time to bed in. Although AMH responded swiftly and effectively to the Covid pandemic the current situation is arguably more serious. The Board has been monitoring progress closely and is pleased that client needs and funders’ requirements have been met although numbers of clients receiving support has reduced. In response to the challenging outlook, the Board is focussed on considering different and more creative ways to support clients and will persevere with digital transformation by building on existing experience and collaborative working to embed digital expertise in AMH. The Board recognises these key risks and uncertainties and operates so as to minimise the threat posed to the charity by adhering to the highest procedures and standards and working closely with independent experts as required to mitigate the risks. ## **OBJECTIVES AND ACTIVITIES** ## **Action Mental Health** AMH’s vision is for _a society which actively values and supports people on their journey to positive mental health_ and the mission is _to make a positive difference to people’s mental health and wellbeing._ The mission is delivered by living and working to our values of _Passion, Empowerment, Excellence and Respect._ AMH is a voluntary organisation which continues to support people’s mental health and wellbeing across the region through vocational training, supported employment options, personal development, therapeutic interventions, health and well-being programmes and resilience building. The Directors have given due regard to the Charity Commission for Northern Ireland's guidance on public benefit in respect of its objectives and activities. AMH’s Objects and activities undertaken in relation to them are below: 5 **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **REPORT OF THE DIRECTORS (Continued)** ## **OBJECTIVES AND ACTIVITIES (Continued)** - _To provide assistance for persons affected by mental ill health, learning disability, substance abuse and/or other disabilities including without limitation vocational rehabilitation and training, personal development and guidance and other support services with a view to maintaining and improving the wellbeing of such persons to assist their return to fitness for purposeful activity._ Training and support programmes for people recovering from mental ill-health has been delivered through UKSPF funding and the 5 Health Trusts by 8 New Horizons services. They provide person-centred well-being programmes to support soft skills development and supports clients to move on to employment and/or more independent lives. There are also three services which cater specifically for younger people and they are delivered along similar lines to the existing New Horizons services. The Promote Learning Disability in Conlig supported clients since 2008 and the service transferred to another provider at the end of March. The NLC service provides counselling for children, young people, adults and families. A range of therapeutic services are offered depending on need, including counselling, psychotherapy, music, art and play therapies. The diversity of staff skills and the range of modalities available enhances the experience for clients as NLC matches the orientation of the client to an appropriate counsellor; this now includes Psychological Wellbeing Practitioners. There are a variety of modes of therapy offered - telephone, online or face-to-face. Counselling is provided for a range of issues such as stress, anxiety, depression, relationship difficulties, drug/alcohol misuse, self-harming and suicidal ideation. Interpreters are also provided for clients for whom English is not their first language. - _To assist such persons whether or not they have completed training programmes on the Company’s premises to secure employment in jobs appropriate to their capabilities and to provide, if required, follow-up guidance and support._ As well as the focus on employment through the New Horizons services AMH delivers the Workable Government employment programme for people with mental health issues, which is focussed on getting people into the workplace and keeping them there. The programme is delivered with six other charity partners as part of Supported Employment Solutions which AMH co-leads. AMH is still also the only provider of the Individual Placement Support service in the Belfast Trust area, which focuses on placing people with mental health issues in the workplace as quickly as possible and then training them. - _To carry on for the benefit of such persons activities in which the skills of such persons can be developed, which activities shall be carried on wholly or largely by means of the efforts of such persons._ In line with the Mental Health Strategy’s preventative priorities, a growing aspect of AMH’s focus has been to build personal resilience within communities including young people in primary/secondary education, further education and higher education. The MensSana project continued to deliver the PHA funded Mindset programme and the Protect Life service which delivers suicide/self harm prevention services. Aside from funding from the Southern Trust, the PHA and corporate donors/foundations a sizeable proportion of this work was funded through grants and AMH’s own funds but future resourcing such as this is likely to reduce. 6 **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **REPORT OF THE DIRECTORS (Continued)** ## **OBJECTIVES AND ACTIVITIES (Continued)** The three Men’s Sheds continue to maintain support to older men to help them learn new skills, socialise and connect. The long-term conditions project, Managing the Challenge, in the Western Trust continued to provide people with the tools to self-manage their conditions; AMH Works also continued to provide employers with wellbeing and resilience building support. AMH also runs a number of specialist projects to support clients to develop their own skills, such as the Vision project (Autistic Spectrum Disorder) in the Southern Trust, and the everyBODY Eating Disorder project in the Southern Trust. The Promote Learning Disability project in the South Eastern Trust supported clients throughout the year but it transferred to another provider at the end of the year. - _To provide outreach services in support of people recovering from mental ill health and/or other disabilities._ AMH operates from 14 sites and many programmes and services are also delivered in the community, in local facilities such as partner organisations’ offices, theatres/cinemas, health centres, sports clubs or schools. - _To provide mental health and wellbeing support to military veterans, victims and survivors, prisoners/people in the criminal justice system and minority groups e.g. Ethnic Minorities, Travellers, LGBT, Asylum seekers/refugees and other minority groups._ AMH provides a diverse range of services, mainly funded through public contracts but also self-funded when resources allow and all those services are focussed on identified needs within communities and particular groups are identified through regular engagement. It is AMH policy to ensure all clients, whatever their background, are treated fairly and without any discrimination and as a result there is always a diverse range of clients being supported irrespective of sex, gender reassignment, marital / civil partnership status, pregnancy or maternity, religious or similar philosophical belief, political opinion, disability, racial group, sexual orientation or age. - _To promote awareness of the issues of mental health and other related issues to the public at large._ AMH engaged intensively with politicians, particularly about the end of ESF funding in March 2023 and after that date regarding the need for full funding of the Mental Health Strategy, although with no NI Executive or Assembly in place little was achieved. AMH also held numerous client events and appeared on various media to promote mental health issues; the AMH Client Forum committed to co-production by discussing and promoting client issues and corporate partners continued to work with AMH to raise publicity around mental health issues. AMH remains part of the Mental Health Policy Group and Mental Health Collective, which are working to promote the work of the sector and to tackle underlying issues in it. More information on AMH’s work and achievements during 2023/24 is in the Annual Review, which is available from the Company’s Registered Office and on its website. 7 **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **REPORT OF THE DIRECTORS (Continued)** ## **ACHIEVEMENTS AND PERFORMANCE (Continued)** This was the second year of the AMH Board’s Strategic Plan 2022-2025 and the scorecard reflects the fact that many objectives were achieved even with the political and funding challenges. UKSPF and Health Trust funding made a positive difference to client outcomes and AMH met the targets set. Recruitment and retention was an ongoing issue but given very public concerns about future funding after ESF AMH still managed to reach large numbers of the population with a variety of services. During the year 1,442 clients with mental health needs and/or a learning disability attended services remotely or in person provided by AMH including New Horizons, Promote and Workable. The New Horizons services provided training and employability programmes to 1,388 clients who achieved 1,442 accredited training outcomes and 325 progressed to paid employment, voluntary work, further education/training or other government programmes. Regarding resilience building programmes delivered by AMH MensSana and AMH Works, there were 21,449 direct beneficiaries. AMH also continued to run the Long Term Conditions Alliance (NI) project ‘Managing the Challenge’ in the Western Trust area and 25 programmes were successfully provided throughout the year with 250 people participating in the selfmanagement programme; also 130 older men attended the 3 Men’s Sheds and 120 clients were supported through the Workable contract. Regarding the AMH New Life Counselling service, there were 16,825 counselling/group work sessions provided to 2964 individuals and families as follows: Adult – 12,662 sessions to 2,200 clients Children & Young People – 4030 sessions to 728 clients Families – 133 sessions to 28 families AMH staff turnover in the year 2023-2024 was 41.1%: voluntary redundancy (9.44%), end of contract (7.22%), TUPE (3.89%), the remaining (20.55%) due to retirement, returning to further education, dismissal, ill health or personal/other reasons. AMH recorded a staffing complement of 196 employees as at 31 March 2024 with 44 males and 152 females. AMH has achieved Investors in People (IiP) ‘We invest in people’ PLATINUM accreditation: only 3% of IiP accredited organisations hold this level of recognition and IiP confirm Action Mental Health is within the top 20 Platinum organisations in United Kingdom. ## **FINANCIAL REVIEW** As with many Third Sector providers AMH had a challenging financial year with ongoing Cost of Living pressures but this was over-shadowed by the end of ESF funding. The UKSPF programme funded by Westminster failed to replace the lost ESF funding and although very creditable outcomes were achieved for AMH clients there was a sizeable deficit for the year. Despite it being a demanding year, due to the careful supervision by the Board and senior management, AMH finished it in a relatively stable financial position but with a considerable way to go before achieving a sustainable financial future. The new UKSPF programme and the 5 Health and Social Care Trusts supported the recovery services whilst a range of PHA, VSS and various grants supported all the other counselling and wellbeing and resilience building programmes. Unrestricted income continued through corporate partnerships and there is an expectation that it will increase to pre pandemic levels soon. 8 **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **REPORT OF THE DIRECTORS (Continued)** ## **RESULTS** Unrealised gains on investments were £230,070 (2023 - unrealised losses amounted to £93,118). The overall net movement on funds for the year was a deficit of £333,006 (2023 - £726,660). The charity spends all restricted monies that it receives and makes good any deficit on restricted funds from its general unrestricted reserves. The closing balance on unrestricted reserves at 31 March 2024 was £5,946,306 (2023 - £6,279,312). No restricted reserves were held. ## **RESERVES POLICY** Due to the uncertain nature of AMH’s funding, it is the Board’s policy to maintain a designated risk reserve equal to six months’ budgeted expenditure (see note 24). The level of free reserves at the year-end (excluding designated reserves) was £1,085,235 (2023 - £206,066). ## **INVESTMENT POLICY AND PERFORMANCE** The Finance Committee, a Board sub-committee, oversees, monitors and advises the Board on investment decisions and they are guided by the Investment Policy. In managing the Reserves of AMH and hence its investments, the Board’s objective is to generate a return in excess of inflation over the long term whilst generating an income and capital growth which could be available to support existing group services and new projects whilst a diversified spread of investments is maintained. Reports on performance are provided to the Board at each meeting and Directors understand they are ultimately responsible for the overall management of the investments. The Finance Committee are content that overall investment performance was acceptable and in line with investment objectives. Performance is assessed by benchmarking against accepted industry comparators and by using two separate investment advisors. ## **FUTURE PLANS** As disclosed at note 1 to the financial statements, due to funding constraints and uncertainty surrounding future funding sources, AMH has undertaken a review of its service delivery across Northern Ireland. As a result of this review the Directors have put plans in place that include the reshaping of service provision and of the assets held and utilised by the charity. The directors acknowledge the uncertainty and challenges this brings but remain committed to AMH’s fundamental objective of supporting people’s mental health and well-being across the region. 9 ACTION MENTAL HEALTH LIMITED BY GUARANTEE REPORT OF THE DIRECTORS Continued DIRECTORS, RESPONSIBILITIES STATEMENT The Directors (who are also trustees of Action Mental Health for the purposes of Charity Law), are responsible for preparing the Report of the Directors and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the Directors to prepare financial statements for each financial year which give 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 period. In preparing these financial statements, the Directors are required to.. select suitable accounting policies and then apply them consistently., observe the methods and principles in the Charities SORP., make judgments and estimates that are reasonable and prudent., and prepare the financial statements on the going con￿rn basis unless it is inappropriate to presume that the charitable company will continue in business. STATEMENT OF DISCLOSURE OF INFORMATION TO AUDITOR In so far as the Directors, who held office at the date of approval of the financial statements, are aware.. there is no relevant audit information of which the charitable company's auditor is unaware" and the Directors have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information. In approving the Report of the Directors the Directors also approve the Strategic Report. Registered office". AMH Central Office 27 Jubilee Road NEwfowNARDS BT23 4YH On behalf of the Board of Directors Mr D P McAuley Director and Chaimian MrsA raigan Director and Honorary Treasurer Date: Registered in Northern Ireland No. N1005568 Charity Registration No.. NIC100753 10 ACTION MENTAL HEALTH (LIMITED BY GUARANTEE) CHAKTÈKED ACCOUNTANTS INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF ACTION MENTAL HEALTH OPINION We have audited the financial accounts of Action Mental Health (the 'charitable company,) for the year ended 31 March 2024 which comprise the statement of financial activities, summary income and expenditure account, balance sheet, statementofcash flows and the related notes. including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements: give a true and fair view of the state of the charitable company's affairs as at 31 March 2024, and of the charitable company's incoming resources and application of resources, including its income and expenditure, for the year then ended" have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice" and have been prepared in accordance with the requirements of the Companies Act 2006. BASIS FOR OPINION We conducted our audit in accordance with International Standards on Auditing (UK) (ISAS {UK)) and applicable law. Our responsibilities under those standards are further described in the auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. CONCLUSIONS RELATING TO GOING CONCERN In auditing the financial statements, we have concluded that the Directors, use of the going concern basis of accoijnting 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 charity's ability to continue as a going concern for a period of at least ￿e1ve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. 17 Mandeville Street PORTADOWN Craigavon BT62 3PB AEfred House 19 AEfred Street BF.I.FAsr wr2 8EQ DX39Jo NR Belfast 50 Cettturb House 40 Crescent Bustness Park LISBURN BT28 2GN Ireknd Tel: +44 (0)28 3833 2801 Fax:+44 {0)28 3835 0293 Tel.- +44 (0)28 9031 1113 Fax.. +44 {0128 9031 07r7 Tel.. +44 (0)28 9260 7355 Fay: +44 (0)28 9260 1656 www.gmcgca.com ACTION MENTAL HEALTH (LIMITED BY GUARANTEE) INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF ACTION MENTAL HEALTH 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 directors are responsible for the other information. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements. our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misststement in the financial statements or a material misstatement ofthe other information. If. based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. OPINIONS ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006 In our opinion, based on the work undertaken in the course of our audit: the information given in the Directors, Report. which includes the trustees. report prepared for the purposes of charity law, forthe financial yearforwhich the financial statements are prepared is consistent with the financial statements., and the strategic report and the report of the directors has been prepared in accordance with applicable legal requirements. MAThERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors, report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 require us to report to you if, in our opinion. adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visiled by us" or the financial statements are not in agreement with the accounting records and returns; or certain disclosures of trustees, remuneration specified by law are not made. or we have not received all the information and explanations we require for our audit. RESPONSIBILITIES OF DIRECTORS As explained more fully in the directors, responsibilities statement on page 10, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so. 12 ACTION MENTAL HEALTH LIMITED BY GUARANTEE) INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF ACTION MENTAL HEALTH AUDITOR'S RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial accounts. 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.uklauditorsresponsibilities. This description forms part of our auditor's report. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below. EXTENT TO WHICH THE AUDIT WAS CONSIDERED CAPABLE OF DETECTING IRREGULARITIES, INCLUDING FRAUD We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. In identifying and assessing potential risks of material misstatement in respect of irregularities, including fraud and non-compliances with laws and regulations. we considered the following: The nature of the charitable company's activities and control environment- Results of our enquiries of management about their own identification and assessment of the risks of irregularities., Any matters we identified having obtained and reviewed the charitable company's documentation of their policies and procedures relating to.. Identifying, evaluating and complying with laws and regulations and whetherthey were aware of any instance of non-compliance" Detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud- and The internal controls established to mitigate risks of fraud or non-compliance with laws and regulations., The matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and potential indicators of fraud. As a result of these procedures. we considered the opportunities and incentives that may exist within the charitable company for fraud and identifi'ed the greatest potential for fraud in unauthorised use of funds and revenue recognition such as fictitious or duplicate funding applications. In common with all audits under ISAS IUKI, we are also required to perform specific procedures to respond to the risk of management override. 13 ACTION MENTAL HEALTH {LIMITED BY GUARANTEE) INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF ACTION MENTAL HEALTH EXTENT TO WHICH THE AUDIT WAS CONSIDERED CAPABLE OF DETECTING IRREGULARITIES, INCLUDING FRAUD {Continued} We also obtained an understanding ofthe legal and regulatory frameworks that the charitable company operates in, focusing on provisions of those laws and iegulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the Companies Act 2006, and local tax legislation 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 may be fundamental to the charitable company's ability to operate or to avoid a material penalty- AUDIT RESPONSE TO RISKS IDENTIFIED Our procedures to respond to the risks identified included the following.. Reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements., Enquiring of management concerning actual and potential litigation and claims,. Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud., Reviewing and testing the operation of controls., Reading minutes of meetings of those charged with governance and reviewing correspondence with authorities- and In addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments,. assessing whether the judgements made in making accounting estimates are indicative of a potential bias- and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business. We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit. 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. In addition, as with any audit, there remains a higher risk of non-detection of irregularities, as they may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations. 14 ACTION MENTAL HEALTH {LIMITED BY GUARANTEE) INDEPENDENT AUDITOR'S REPORT {CONTINUED) TO THE MEMBERS OF ACTION MENTAL HEALTH USE OF OUR REPORT This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law. we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed. Gillian Johnston ACA (Senior Statutory Auditor) For and on behalf of GMCG BELFAST Chartered Accountants Statutory Auditor Alfred House 19 Alfred Street Belfast BT2 8EQ Date: 31 OLALH 15 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **STATEMENT OF FINANCIAL ACTIVITIES For the Year Ended 31 March 2024** |**Restricted Unrestricted**
**Funds**
**Funds**
**Notes**
**£**
**£**
INCOME AND ENDOWMENTS
FROM:
**Charitable activities:**
Grants & contracted funding:
3
- Rehabilitation programmes
4,095,012
-
- Employment services
-
-
- Welfare and education
765,276
89,719
- Therapeutic services
1,094,470
-
Other employment income
4
234,385
-
Contribution from trading activities: 4
- Rehabilitation programmes
-
25,688
**Donations and legacies**
5
-
264,123
**Other activities**
6
-
124,374
**Investments**
7
-
31,143
TOTAL INCOME AND ENDOWMENT
6,189,143
535,047
EXPENDITURE ON:
**Charitable Activities**
8
- Rehabilitation programmes
4,311,484
-
- Rehabilitation exceptional costs
267,763
-
- Employment services
233,805
-
- Welfare and education
961,321
132,343
- Therapeutic services
1,357,243
-
**Raising funds**
9
-
118,934
**Other**
11
-
36,097
TOTAL EXPENDITURE
7,131,616
287,374
NET (EXPENDITURE)/INCOME BEFORE
OTHER RECOGNISED GAINS
AND LOSSES
(938,045)
243,245
NET GAINS/(LOSSES) ON INVESTMENTS
Realised gain/(loss) on investments
-
131,724
Unrealised gain/(loss) on investments
-
230,070
NET (EXPENDITURE)/INCOME
BEFORE TRANSFERS
(938,045)
605,039|**Total Funds**
**2024**
**£**
4,095,012
-
854,995
1,094,470
234,385
25,688
264,123
124,374
31,143
6,724,190
4,311,484
267,763
233,805
1,093,664
1,357,243
118,934
36,097
7,418,990
(694,800)
131,724
230,070
(333,006)|**Total Funds**
**2023**
**£**
4,877,352
119,861
1,032,508
1,200,350
241,595
25,847
296,419
124,073
21,594
7,939,599
5,159,758
-
247,347
1,565,823
1,371,756
163,117
34,048
8,541,849
(602,250)
(31,292)
(93,118)
(726,660)| |---|---|---| The Statement of Financial Activities continues on page 17. 16 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **STATEMENT OF FINANCIAL ACTIVITIES (Continued) For the Year Ended 31 March 2024** |**Restricted**
**Funds**
**Notes**
**£**
NET (EXPENDITURE)/INCOME
BEFORE TRANSFERS
(938,045)
TRANSFER BETWEEN FUNDS
15
938,045
NET MOVEMENTS IN FUNDS
-
**£**
RECONCILIATION OF FUNDS:
**Funds at 1 April 2023**
-
**Funds at 31 March 2024**
-|**Unrestricted**
**Funds**
**£**
605,039
(938,045)
(333,006)
**£**
6,279,312
5,946,306|**Total Funds**
**2024**
**£**
(333,006)
-
(333,006)
**£**
6,279,312

5,946,306
|**Total Funds**
**2023**
**£**
(726,660)
-
(726,660)
**£**
7,005,972
6,279,312| |---|---|---|---| The Statement of Financial Activities includes all gains and losses in the year. All of the above amounts relate to continuing activities. The notes on pages 22 to 39 form part of these financial statements. 17 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **SUMMARY INCOME AND EXPENDITURE ACCOUNT For the Year Ended 31 March 2024** |**Notes**
**2024**
**£**
**INCOME**
Charitable activities
6,250,460
Donations
264,123
Other activities
178,464
Investments
31,143
Realised gains on investments
131,724
Unrealised gain on investments
230,070
**Gross income**
7,085,984
**EXPENDITURE**
Charitable activities
6,991,768
Charitable activities – exceptional costs
267,763
Raising funds
118,861
Other expenditure
40,598
Realised losses on investments
-
Unrealised losses on investments
-
**Total expenditure**
7,418,990
**NET EXPENDITURE FOR THE YEAR**
1
(333,006)
Income and expenditure relates to continuing activities.
**NOTE TO THE SUMMARY INCOME AND EXPENDITURE ACCOUNT**
**For the Year Ended 31 March 2024**
**1.**
**ANALYSIS OF NET EXPENDITURE:**
**2024**
**£**
Net expenditure for the year excluding gains/losses
on investment portfolio held
(563,076)
Unrealised gain/(loss) on investment portfolio held
230,070
(333,006)|
|**2023**
**£**
7,497,513
296,419
124,073
21,594
-
-
7,939,599
8,344,684
-
163,117
34,048
31,292
93,118
8,666,259
(726,660)
**2023**
**£**
(633,542)
(93,118)
(726,660)|**2023**
**£**
7,497,513
296,419
124,073
21,594
-
-
7,939,599
8,344,684
-
163,117
34,048
31,292
93,118
8,666,259
(726,660)
**2023**
**£**
(633,542)
(93,118)
(726,660)| |---|---|---|---| ||||| ||||
| 18 ACTION MENTAL HEALTH (LIMITED BY GUARANTEE) BALANCE SHEET At 31 March 2024 2024 2023 Notes FIXED ASSETS Tangible assets Investments 16 17 1,712,150 4417630 1,834,860 4 434 544 6 129780 6 269 404 CURRENT ASSETS Stocks Debtors Cash at bank and in hand 18 19 17,065 571,080 68 007 15,716 1.343,394 656,152 1,385,118 CREDITORS: Amounts falling due within one year 20 839 626 1375210) NET CURRENT (LIABILITIES)IASSETS 183474 NET ASSETS 6279312 CAPITAL AND RESERVES Unrestricted funds.. General fund Revaluation reserve Designated funds 24 23 24 1,085,235 871,191 3 989 880 206,066 1,461,772 4611 474 5 946 306 27 The financial statements were approved and authorised for issue by the Board of Directors on b.J.okng.aoiN¥and were signed on its behalf by.. Mr D P McAuley Director and Chairman MrsA igan Director and Honorary Treasurer Company Registration Number- N1005568 The notes on pages 22 to 39 form part of these financial statements. 19 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **STATEMENT OF CASH FLOWS For the Year Ended 31 March 2024** |**Notes**
**NET CASH FROM**
**OPERATING ACTIVITIES**
1
Interest received
Dividends received
Purchase of tangible fixed assets
Purchase of fixed asset investments
Receipts from sale of fixed asset investments
(Increase)/decrease in cash held in investment portfolio
**NET CASH FROM INVESTING**
**ACTIVITIES**
**INCREASE/(DECREASE) IN CASH AND CASH**
**EQUIVALENTS**
**CASH AT 1 APRIL 2023**
**CASH AT 31 MARCH 2024**
**CASH CONSISTS OF:**
Cash at bank and on hand
Bank overdraft
**CASH EQUIVALENTS**
Inflow from transfers between investment portfolios
**INVESTMENTS HELD ON DEPOSIT AT 31 MARCH 2024**|**2024**
**£**
52,211
23,100
8,042
-
(11,777)
2,817,360
(2,426,875)
409,850
462,061
(394,054)
68,007
68,007
-

68,007

2,434,532
2,434,532|**2023**
**£**
(1,251,346)
23
21,571
(19,397)
(39,740)
219,063
6,772
188,292
(1,063,054)
669,000
(394,054)
26,008
(420,062)
(394,054)
-
-| |---|---|---| |||| 20 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE STATEMENT OF CASH FLOWS For the Year Ended 31 March 2024** ## **1. RECONCILIATION OF NET MOVEMENT IN FUNDS TO NET CASHFLOW FROM OPERATING ACTIVITIES** |**RECONCILIATION OF NET MOVEMENT IN FUNDS**
**TO NET CASHFLOW FROM OPERATING ACTIVITIES**|||| |---|---|---|---| |Net expenditure before other
recognised gains and losses
Interest received
Dividends received
Depreciation and amortisation
(Increase)/decrease in stocks
Decrease/(increase) in debtors
Decrease in creditors
Net cash from operating activities|**2024**
**£**
(694,800)
(23,100)
(8,042)
122,710
(1,349)
772,314
(115,522)
52,211||**2023**
**£**
(602,250)
(23)
(21,571)
132,989
618
(411,957)
(349,152)
1,251,346)| |||
|| ## **2. ANALYSIS OF CHANGES IN NET (DEBT)/FUNDS** |Bank overdraft
Cash at bank
Net balances at bank
Investments on deposit
Net (debt)/funds at 31 March 2024|**At 1 April**
**2023**
**£**
(420,062)
26,008
(394,054)
-
(394,054)|**At 31 March**
**Cashflows**
**2024**
**£**
**£**
420,062
-
41,999
68,007
462,061
68,007
2,434,532
2,434,532
2,896,593
2,502,539| |---|---|---| 21 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS For the Year Ended 31 March 2024** ## **1. ACCOUNTING POLICIES** - (a) Action Mental Health (AMH) is a private company limited by guarantee and registered in Northern Ireland. The registered office of AMH is at AMH Central Office, 27 Jubilee Road, Newtownards. The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Companies Act 2006, Charity Law and UK Generally Accepted Practice. The financial statements are prepared under the historical cost convention, as modified by the inclusion of fixed asset investments at market value. The financial statements are prepared in sterling, which is the functional currency of the entity, and are recorded to the nearest £. (b) The financial statements have been prepared on a going concern basis. As with other organisations operating in the third sector, AMH faces uncertainty regarding the availability of future funding. In previous years funding provided by the European Union was a significant source of income for the charity, with £2.1m being received in the year to 31 March 2023. In the current year, the UK’s Shared Prosperity Fund (UKSPF) within Northern Ireland has been established, and AMH was successful in being awarded a share of this fund. The fund covers the period from April 2023 to March 2025. In the year to 31 March 2024 income from the UKSPF was £1.4m with a further £1.4m being budgeted for in the year to 31 March 2025. More recently, further funding has been secured through the Peace Plus programme in which AMH successfully bid as lead partner. In addition to seeking new sources of funding, in recognition of the impact of the cessation of European funding AMH undertook a review of its operations and has taken steps to reshape the charity’s service provision. This included implementing a voluntary redundancy process, liquidising several investments and taking steps to realise a number of property assets held. In addition to this, the Directors note that the charity has built up a designated risk reserve (see note 24) which stands at £3.7m. Investments are held on deposit of £2.4m together with other available investments of £1.9m at 31 March 2024, giving much needed support to the charity’s operations in these challenging times. While the Directors acknowledge the uncertainty around the future of funding within Northern Ireland, they are confident that AMH has adequate resources to enable the charity to continue in operation for the foreseeable future and furthermore can operate sustainably in the future. 22 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **1. ACCOUNTING POLICIES (Continued)** - (b) (Continued) Therefore, the Directors continue to adopt the going concern basis of accounting in preparing the financial statements and furthermore do not believe the above mentioned situation to constitute a material uncertainty. - (c) Revenue grants are credited to incoming resources on the earlier of when they are received or when they are receivable, unless they relate to a specified future period, in which case they are deferred. - (d) Donations, contracted funding, income for services provided and other income are included in full in the Statement of Financial Activities when receivable. - (e) Income from other activities includes income earned from fundraising events and trading activities to raise funds for the charity. Income is received in exchange for supplying goods and services in order to raise funds and is recognised when entitlement has occurred. - (f) All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Costs are categorised under the following headings: - Costs of raising funds includes direct costs of fundraising and investment management fees; - Expenditure on charitable activities includes direct costs of the rehabilitative services, the employment service and the welfare & education programme; and - Other expenditure represents those items not falling into the categories above. Irrecoverable VAT is charged as an expense against the activity for which expenditure arose. - (g) Support costs allocation Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management carried out at the charity’s main premises. Support costs are allocated on a basis consistent with the use of resources. Fundraising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities. - (h) Restricted funds are to be used for specified purposes by reference to the donor. Expenditure which meets the criteria is identified and allocated to the fund, either directly or by allocating a fair proportion of overheads and other costs. 23 **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **1. ACCOUNTING POLICIES (Continued)** - (i) Unrestricted funds represent other incoming resources received or generated for charitable purposes, to be used at the charity’s discretion. Designated funds comprise unrestricted funds that have been set aside by the Directors for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements. - (j) The cost of tangible fixed assets is their purchase cost, together with any incidental costs of acquisition. Depreciation is calculated to write off the cost of fixed assets less residual value, in equal annual instalments on the following bases:- |
bases:-|| |---|---| |Land|None| |Buildings|4% and 2%| |Plant and machinery|20% and 16.66%| |Fixtures, fittings, tools & other equipment|20% and 33.33%| - (k) Grants received against capital expenditure are included in full in the Statement of Financial Activities as restricted income. Once the capital expenditure has taken place and the conditions of the grant are fulfilled, they are transferred to a designated unrestricted fund which is then reduced over the useful economic life of the asset in line with depreciation. - (l) Stocks are stated at the lower of cost and net realisable value. Cost is determined on a first in first out basis. Net realisable value is the price at which the stock can be realised in the normal course of business. Provision is made for obsolescent, slow moving and defective stocks. ## (m) Employee benefits When employees have rendered service to the charity, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service. The charity operates a defined contribution pension scheme, the assets of which are held separately from those of the charity in an independently administered fund. The pension cost charge represents contributions payable to the scheme in the accounting period. - (n) Investments, excluding subsidiary undertakings, are stated on the balance sheet at fair value and all movements, including realised and unrealised gains and losses, are shown in the Statement of Financial Activities. Fair value reflects the published market value of investments held. Realised gains and losses are the aggregate of the difference between sales proceeds and opening fair value (or on addition if purchased during the year). Unrealised gains and losses represent the movement in market value during the year. - (o) As a registered charity, Action Mental Health is not liable to either Income Tax or Corporation Tax. 24 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **1. ACCOUNTING POLICIES (Continued)** - (p) Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset’s cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit or loss unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease. - (q) Rentals payable and receivable under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease. - (r) Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure. - (s) Judgements and key sources of estimation uncertainty The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for income and expenditure during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. The following are the company's key sources of estimation uncertainty: Tangible fixed assets - the annual depreciation charge on fixed assets depends primarily on the estimated lives of each type of asset and estimates of residual values. The Directors regularly review these asset lives and change them as necessary to reflect current thinking on remaining lives in light of prospective economic utilisation and physical condition of the assets concerned. Changes in asset lives can have a significant impact on depreciation and amortisation charges for the period. Detail of the useful lives is included in the accounting policies. Debtors - short term debtors are measured at transaction price, less any impairment. Impairment of such debtors involves some estimation uncertainty. ## (t) Financial instruments The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at the carrying value plus accrued interest less repayments. The financing charge to expenditure is at a constant rate calculated using the effective interest method. 25 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **2. MEMBERS LIABILITY** The charity is a company limited by guarantee. Every member undertakes to contribute such amounts, not exceeding £10, to the charity’s assets if it should be wound up whilst being a member, or within one year of ceasing to be a member. ## **3. GRANTS AND CONTRACTED FUNDING** |**Restricted Unrestricted**
**Funds**
**Funds**
**£**
**£**
**Amounts received and receivable**
_Rehabilitation programmes_
**Contracted funding**
Health & Social Care Trusts:
Northern
280,426
-
Southern
363,608
-
Belfast
295,871
-
South Eastern
1,089,281
-
Western
465,115
-
**Grants**
European Social Fund
-
-
UKSPF
1,490,738
-
PHA
73,600
-
CLEAR Project
-PHA Making Life Better
6,365
-
DoH Core grant
31,804
-
PHA Distribution fund
1,051
-
ChatPal
(13,015)
-
DFC grant
-
-
BCPP grant
2,400
-
Sundry grants
11,148
-
Covid related grants
-
-
4,098,392
-
Amounts deferred b/forward
51,807
-
Amounts deferred c/forward
(55,187)
-
**Funding utilised**
4,095,012
-|**Total Funds Total Funds**
**2024**
**2023**
**£**
**£**
280,426
277,080
363,608
357,763
295,871
283,371
1,089,281
1,052,320
465,115
442,978
-
2,117,083
1,490,738
-
73,600
53,898
6,365
5,960
31,804
63,608
1,051
2,412
(13,015)
31,854
-
2,668
2,400
9,600
11,148
3,884
-
98,872
4,098,392
4,863,351
51,807
65,808
(55,187)
(51,807)
4,095,012
4,877,352| |---|---| 26 **ACTION MENTAL HEALTH, (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **3. GRANTS AND CONTRACTED FUNDING (continued)** |**Restricted Unrestricted Total Funds**
**Funds**
**Funds**
**2024**
**£**
**£**
**£**
**Amounts received and receivable**
_Employment Services_
**Grants**
Dept. for Communities
-
-
-
Amounts deferred b/forward
-
-
-
Amounts deferred c/forward
-
-
-
**Funding utilised**
-
-
-
_Welfare and Education Services_
**Grants –**
Southern H&SC Trust
56,522
-
56,522
Western H&SC Trust
61,075
-
61,075
SEUPB – Peace IV
211,125
-
211,125
PHA
113,592
-
113,592
AMH Works
-
124,449
124,449
Dept. of Justice
2,160
-
2,160
Dept. for Communities
48,478
-
48,478
Mindful Carers
-Community Fund
36,378
-
36,378
Yew Project
-Community Fund
8,580
-
8,580
Private Trust
100,000
-
100,000
MNDA
7,102
-
7,102
ANBC
2,140
-
2,140
Sundry
(270)
-
(270)
ACNI – Lottery
115,720
-
115,720
Clear Project PHA
-
-
-
Groundworks
-
-
-
Schools Programme
-
-
-
Arts Council
-
-
-
762,602
124,449
887,051
Amounts deferred b/forward
79,913
-
79,913
Amounts deferred c/forward
(77,239)
(34,730)
(111,969)
**Funding utilised**
765,276
89,719
854,995|**Total Funds**
**2023**
**£**
119,861
-
119,861
-
119,861
62,387
56,511
263,293
149,448
106,640
20,265
52,524
36,378
-
100,000
-
-
2,055
4,069
4,614
2,000
(4,890)
1,799
857,093
255,328
(79,913)
1,032,508| |---|---| 27 **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **3. GRANTS AND CONTRACTED FUNDING (continued)** |**Therapeutic Services**
DfC Neighbourhood Renewal
VSS
BH&SCT
SEH&SCT
PHA
Schools Programme
MNDA
Community Foundation
Yew Project
-Community Fund
Saturday Hospital Fund
-Community Fund
Mencap
NIHE
MS Society
BCC Revenue
Urban Villages
Other
Amounts deferred b/forward
Amounts deferred c/forward
**Funding utilised**
**Total grants and contracted**
**funding utilised**|**Restricted Unrestricted**
**Funds**
**Funds**
**£**
**£**
68,872
-
73,928
-
165,018
-
197,113
-
388,252
-
29,045
-
20,700
-
25,299
-
152,475
-
10,000
-
2,691
-
-
-
-
-
-
-
-
-
199
-
1,133,592
-
117,221
-
(156,343)
-
1,094,470
-
5,954,758
89,719|**Total Funds**
**2024**
**£**
68,872
73,928
165,018
197,113
388,252
29,045
20,700
25,299
152,475
10,000
2,691
-
-
-
-
199
1,133,592
117,221
(156,343)
1,094,470
6,044,447|**Total Funds**
**2023**
**£**
39,705
52,367
69,379
187,123
399,491
163,730
-
-
103,147
-
3,177
(12,450)
(193)
9,500
9,746
-
1,024,722
292,849
(117,221)
1,200,350
7,230,071| |---|---|---|---| In the prior year income from grants and contract funding was attributable to restricted funds with the exception of £106,640 which was unrestricted. 28 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **4. OTHER EMPLOYMENT INCOME & CONTRIBUTION FROM TRADING ACTIVITIES FROM REHABILITATION PROGRAMMES** ||**Restricted**|**Unrestricted**|**Total Funds**|**Total Funds**| |---|---|---|---|---| ||**Funds**|**Funds**|**2024**|**2023**| ||**£**|**£**|**£**|**£**| |Other Employment income|234,385|-|234,385|241,595| |Contribution from trading||||| |activities:||||| |- Rehabilitation programmes|
-|25,688|25,688|25,847| In the prior year £241,595 was attributable to restricted funds and £25,847 was attributable to unrestricted funds. ## **5. DONATIONS AND LEGACIES** |||**Restricted**|**Restricted**|**Unrestricted**|**Total Funds**|**Total Funds**| |---|---|---|---|---|---|---| |||**Funds**||**Funds**|**2024**|**2023**| |||**£**||**£**|**£**|**£**| |General||||||| |-|Community|||82,455|83,455|78,059| |-|Corporate|4,000||40,362|47,362|58,747| |-|Individual||-|40,019|40,019|33,070| |-|Schools|||9,895|9,895|17,642| |-|Other||-|49,885|49,885|47,487| |Hendersons|||-|37,507|37,507|28,414| |Charles Hayward|||-|-|-|23,000| |Progressive|||-|-|-|10,000| |||4,000||260,123|264,123|296,419| Amounts included as general above represent all donations received of less than £10,000. In the prior year all income from donations and legacies was attributable to unrestricted funds. 29 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **6. OTHER ACTIVITIES** |**OTHER ACTIVITIES**||||| |---|---|---|---|---| ||**Restricted**|**Unrestricted**|**Total Funds**|**Total Funds**| ||**Funds**|**Funds**|**2024**|**2023**| ||**£**|**£**|**£**|**£**| |Administration fees|-|35,941|35,941|42,098| |Rents and room hire|-|44,963|44,963|46,167| |External training fees|-|11,544|11,544|11,840| |Sundry income|-|16,614|16,614|9,060| |Client contribution|-|4,392|4,392|4,216| |ROC income|-|10,920|10,920|10,692| ||-|124,374|124,374|124,073| In the prior year all income from other activities was attributable to unrestricted funds. ## **7. INVESTMENTS** ||**Restricted**|**Unrestricted**|**Total Funds**|**Total Funds**| |---|---|---|---|---| ||**Funds**|**Funds**|**2024**|**2023**| ||**£**|**£**|**£**|**£**| |Interest|-|23,100|23,100|23| |Dividends|-|8,043|8,043|21,571| ||-|31,143|31,143|21,594| In the prior year all income from investments was attributable to unrestricted funds. 30 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **8. EXPENDITURE ON CHARITABLE ACTIVITIES** ## **Summary by activity** |**Summary by activity**|||| |---|---|---|---| |Rehabilitation programmes
Rehabilitation exceptional costs
Employment services
Welfare and education services
Therapeutic services|**Direct**
**Support**
**Costs**
**Costs**
**£**
**£**
3,727,329
584,155
267,763
-
203,979
29,826
954,150
139,514
1,184,105
173,138
6,337,326
926,633|**Total**
**2024**
**£**
4,311,484
267,763
233,805
1,093,664
1,357,243
7,263,959|**Total**
**2023**
**£**
5,159,758
-
247,347
1,565,823
1,371,756| ||||8,344,684| In the current year £132,343 expenditure on charitable activities was attributable to unrestricted funds (2023 - £118,880). All other expenditure on charitable activities was attributable to restricted funds in both years. As a result of AMH restructuring its service provision, a voluntary redundancy process was undertaken during the year resulting in the loss of 17 staff members. Redundancy costs of £267,763 have been included as exceptional costs in connection with rehabilitation programmes. ## **9. RAISING FUNDS** ## **Summary by activity** |**Direct**
**Support**
**Costs**
**Costs**
**£**
**£**
Fundraising and awareness costs103,762
15,172|**Total**
**2024**
**£**
118,934|**Total**
**2023**
**£**
163,117| |---|---|---| In the current and prior year all expenditure on raising funds was attributable to unrestricted funds. 31 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **10. SUPPORT COSTS BY CATEGORY** |**2024**
**£**
**Support Costs**
Administration and Finance
941,805
Support costs are made up of the following:
**2024**
**£**
Staff costs
736,935
Office costs
11,927
Premises
15,702
Other costs
177,240
941,805
**11.**
**OTHER**
**Restricted**
**Unrestricted**
**Total**
**Funds**
**Funds**
**2024**
**£**
**£**
**£**
Investment management fees
-
3,887
3,887
Governance costs
-
32,210
32,210
-
36,097
36,097|**2023**
**£**
1,144,333
**2023**
**£**
924,227
20,497
26,510
173,099
1,144,333
**Total**
**2023**
**£**
7,698
26,350
34,048| |---|---| ||| In the prior year all other expenditure was attributable to unrestricted funds. ## **12. GOVERNANCE COSTS** |Auditor’s remuneration
-
Statutory audit
-
Other assurance services
Other professional fees
Board, Committee costs|**2024**
**£**
9,480
8,028
3,745
10,957
32,210|**2023**
**£**
5,169
-
19,676
1,505
26,350| |---|---|---| 32 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **13. NET INCOME BEFORE TRANSFERS** ||||**2024**|**2023**| |---|---|---|---|---| ||||**£**|**£**| ||This is stated after charging:|||| ||Depreciation:|||| ||-|owned tangible fixed assets|122,710|132,989| ||Auditor’s remuneration - statutory audit||9,480|5,169| |||- other financial services|8,028|-| ||Gain/(loss) on disposal of investments||131,724|(31,292)| ||Gain/(loss) on fair value movement of investments||230,070|(93,118)| ||Operating leases rentals||137,564|151,578| |**14.**|**STAFF COSTS**|||| ||||**2024**|**2023**| ||||**£**|**£**| ||(a)|Staff costs||| |||Wages and salaries|4,553,282|5,502,741| |||Social security costs|407,224|499,999| |||Agency and seconded staff|34,431|60,836| |||Pension costs – defined contribution schemes|238,945|269,541| |||Redundancy|267,763|-| ||||5,501,645|6,333,117| ||(b)|One staff member earned between £80,000 and £90,000||(2023 – one staff| |||member earned between £70,000 and £80,000).||| ||||**2024**|**2023**| ||||**No.**|**No.**| ||(c)|Average number of persons directly employed:||| |||Office and management|28|29| |||Supervision and instruction|146|179| |||Support staff|30|34| ||||204|242| 33 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **14. STAFF COSTS (Continued)** - (d) Directors' and key management personnel remuneration and expenses No fees were paid to any director for their services as Board members. No travel expenses were reimbursed to Directors in the current year (2023 – £Nil). No amounts were paid directly to third parties. The total amount of employee benefits received by key management personnel is £229,401 (2023 - £227,592). The charity considers its key management personnel to comprise the Chief Executive Officer, Director of Business Support and Director of Operations. ## **15. TRANSFERS BETWEEN FUNDS** An amount of £938,045 (2023 - £860,778) was transferred from unrestricted funds to restricted funds as a contribution from general funds which the Directors wish to apply towards the shortfall between restricted funds received and expended in the year. ## **16. TANGIBLE FIXED ASSETS** |**Land and**
**Plant**
**Fixtures, fittings,**
**buildings**
**and**
**tools & other**
**(long leasehold) machinery**
**equipment**
**£**
**£**
**£**
**Cost:**
At 1 April 2023
6,322,722
359,381
75,418
Additions
-
-
-
Disposals
-
-
-

At 31 March 2024
6,322,722
359,381
75,418
**Depreciation:**
At 1 April 2023
4,517,051
340,632
64,978
Charges for the year
108,767
4,635
9,308
At 31 March 2024
4,625,818
345,267
74,286
**Net book value:**
At 31 March 2024
1,696,904
14,114
1,132
At 31 March 2023
1,805,671
18,749
10,440|**Land and**
**Plant**
**Fixtures, fittings,**
**buildings**
**and**
**tools & other**
**(long leasehold) machinery**
**equipment**
**£**
**£**
**£**
**Cost:**
At 1 April 2023
6,322,722
359,381
75,418
Additions
-
-
-
Disposals
-
-
-

At 31 March 2024
6,322,722
359,381
75,418
**Depreciation:**
At 1 April 2023
4,517,051
340,632
64,978
Charges for the year
108,767
4,635
9,308
At 31 March 2024
4,625,818
345,267
74,286
**Net book value:**
At 31 March 2024
1,696,904
14,114
1,132
At 31 March 2023
1,805,671
18,749
10,440|**Total**
**£**
6,757,521
-
-
6,757,521
4,922,661
122,710
5,045,371
1,712,150
1,834,860| |---|---|---| |||| Included in long leasehold land and buildings is land costing £86,330 (2023 - £86,330). Land is not depreciated. 34 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **17. FIXED ASSET INVESTMENTS** |**FIXED ASSET INVESTMENTS**|| |---|---| ||**Quoted**| ||**Investments**| ||**£**| |As at 1 April 2023|4,434,544| |Additions, at cost|11,777| |Realised gain on disposals|131,724| |Disposals, at valuation|(2,817,360)| |Increase/(decrease) in cash holding|2,426,875| |Unrealised gain on revaluation|230,070| |At 31 March 2024, at market value|4,417,630| |At 31 March 2024, at historical cost|3,546,439| The charity’s investments are managed on a discretionary basis by two independent investment brokers. Included in investments are cash deposit balances of £2,434,532 (2023 - £7,657) held as part of the investment portfolio. |**18.**
**STOCKS**
Raw materials and consumables
**19.**
**DEBTORS**
Trade debtors
Grants due - ESF
Grants due - UKSPF
Grants due - Peace IV
Grants due - Other
Prepayments and accrued income
Other debtors|**2024**
**£**
17,065
**2024**
**£**
211,571
-
79,056
53,042
31,087
194,527
1,797
571,080|**2023**
**£**
15,716
**2023**
**£**
302,358
375,057
-
384,400
67,886
209,667
4,026
1,343,394| |---|---|---| 35 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **20. CREDITORS: Amounts falling due within one year** |Bank overdraft
Trade creditors
Other taxation and social security
Deferred income
Accruals and other creditors
**21.**
**DEFERRED INCOME**
**Under 1**
**year**
**£**
At 1 April 2023
264,546
Amounts released to income
(264,546)
Amounts deferred from income
331,914
At 31 March 2024
331,914
**22.**
**ANALYSIS OF NET ASSETS BETWEEN FUNDS**
**Unrestricted**
**Funds**
**£**
Tangible fixed assets
1,712,150
Investments
4,417,630
Net current liabilities
(183,474)
5,946,306|**2024**
**£**
-
202,873
95,463
331,914
209,376
839,626
**Over 1**
**year**
**£**
-
-
-
-
**Restricted**
**Funds**
**£**
-
-
-
-|**2023**
**£**
420,062
356,186
108,693
264,546
225,723
1,375,210
**Total**
**£**
264,546
(264,546)
331,914
331,914
**Total**
**Funds**
**£**
1,712,150
4,417,630
(183,474)
5,946,306| |---|---|---| 36 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **23. REVALUATION RESERVE** |At 1 April 2023
Net transfer to general fund
At 31 March 2024|**£**
1,461,772
(590,581)
871,191| |---|---| This represents the unrealised gains accumulated on the revaluation of fixed asset investments. ## **24. OTHER UNRESTRICTED FUNDS** |**Unrestricted**
At 1 April 2023
Deficit for the year
Transfer to/from general fund
Net transfer from revaluation
Reserve
Amortisation of capital grants
At 31 March 2024|**Designated**
**Capital**
**General**
**Utilised**
**Fund**
**Fund**
**£**
**£**
206,066
340,550
(333,006)
-
561,429
-
590,581
-
60,165
(60,165)
1,085,235
280,385|**Designated**
**Risk**
**Reserve**
**Fund**
**£**
4,270,924
-
(561,429)
-
-
3,709,495|**Total**
**£**
4,817,540
(333,006)
-
590,581
-
5,075,115| |---|---|---|---| ## **Capital utilised fund:** This represents grants and donations originally received for restricted capital purposes. Having been fully utilised for those purposes they become unrestricted funds and are released to the General Fund at the same rates that depreciation is charged on the assets to which they relate. ## **Risk reserve fund:** The risk reserve fund represents an amount equivalent to six months of budgeted operational expenditure which the Board feel is prudent to set aside in line with the charity’s risk and reserve policies. ## **25. TAXATION** The company has been accepted by HM Revenue & Customs as a charity (reference no. XN 47959). 37 **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **26. CONTINGENT ASSETS AND LIABILITIES** A portion of grants received may become repayable if the charity fails to comply with the terms of the relevant letters of offer. ## **27. CONDUIT FUNDING** AMH acts as lead partner on a number of projects. At the balance sheet date AMH held the following balances on behalf of partner organisations. ||**CAUSE**|**PIPS**|**ORCHARDVILLE**| |---|---|---|---| ||**£**|**£**|**£**| |Debtor|-|-|20| |Cash at Bank|5,850|17,376|-| |Creditor|5,850|17,376|20| In accordance with SORP (FRS 102) these balances have not been included in the Balance Sheet. ## **28. PENSIONS AND OTHER POST-RETIREMENT BENEFITS** The charity operates a defined contribution pension plan for its employees. The amount recognised as an expense in the period was £238,945 (2023 - £269,541). ## **29. RELATED PARTY TRANSACTIONS** No transactions with related parties were undertaken such as are required to be disclosed. ## **30. EVENTS AFTER THE REPORTING DATE** As noted in the Report of the Directors, and note 1 to these financial statements, due to funding constraints and uncertainty surrounding funding sources, AMH undertook a review of its service delivery across Northern Ireland. As a result of this review the Directors put plans in place that included the reshaping of the assets held and utilised by the charity. As a result of this reshaping, properties owned by the charity in Downpatrick and Foyle were marketed for sale in the year to 31 March 2024, and have now been sold, subject to final completion, after the year end. A further property in Antrim has been marketed for sale after the year end. These transactions will be reflected in the financial statements of the next period. 38 ## **ACTION MENTAL HEALTH (LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS (Continued) For the Year Ended 31 March 2024** ## **31. OPERATING LEASE COMMITMENTS** Total future minimum lease payments under non-cancellable operating leases are as follows: |Not later than one year
Later than one and not later than five years
Later than five years|**2024**
**£**
117,189
-
230,000|**2023**
**£**
61,581
96,000
180,000| |---|---|---| 39