2023-03-31-annual-report - Quaker Service

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

QUAKER SERVICE (A COMPANY LIMITED BY GUARANTEE) DIRECTORS’ REPORT AND ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2023

Contents	Page
Reference and administrative details	1
Directors' annual report (incorporating the director's report)	2
Independent auditor's report to the members	9
Consolidated statement of financial activities (including income
and expenditure account)	13
Consolidated statement of financial position	14
Consolidated statement of cash flows	15
Notes to the financial statements	16

Registered in Northern Ireland No: NI063929

QUAKER SERVICE (A COMPANY LIMITED BY GUARANTEE) DIRECTORS’ REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS

STATUS

The company is limited by guarantee and as such does not have any share capital. Every member of the company undertakes to contribute an amount not exceeding £1 each to the company’s assets if it should be wound up.

Quaker Service is registered with the Charity Commission for Northern Ireland.

Charity registration number	NIC102457
Company registration number	NI063929
Principal office and
Registered office	541 Lisburn Road
	Belfast
	BT9 7GQ
	Co Antrim
Directors
	Kathleen B Campbell
	Elizabeth G Dickson
	Siobhan M McElnea
	Aidan D Pearson
	Margrit E Grey
	Jonathan H Lamb
	Stephen Browne (appointed 15 November 2022)
	Owen Fulton (appointed 17 January 2023)
	Timothy Hunt (appointed 15 November 2022)
Company secretary	Shane Whelehan
Auditor	Harbinson Mulholland
	Chartered Accountants
	Centrepoint
	24 Ormeau Avenue
	Belfast
	BT2 8HS
Bankers	Danske Bank
	PO Box 183
	Donegal! Square West
	Belfast
	BT1 6JS
	Johns Elliot
Solicitors	40 Linenhall Street
	Belfast
	BT2 8BA

QUAKER SERVICE (A COMPANY LIMITED BY GUARANTEE) DIRECTORS’ REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

DIRECTORS’ REPORT

The Trustees of Quaker Service are pleased to present their annual Directors' report and the financial statements for 1st April 2022 to 31st March 2023. The Trustees are also Directors of Quaker Service for the purposes of company law.

The financial statements comply with the Charities Act 2016, the Charities Act (NI) 2013, The Charities (Accounts and Reports) Regulations (Northern Ireland) 2015, the Companies Act 2006, the Memorandum and Articles of Association, and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015).

Structure, Governance and Management

Quaker Service is a company limited by guarantee governed by its Memorandum and Articles of Association dated March 2007. The company is under the control of the Directors who are, therefore, acting Trustees for the Charity.

The Objects of the Company as set out in its Memorandum of Association and as listed on the register of charities are to promote the benefit of the inhabitants of Ulster (hereinafter called the "area of benefit") without distinction of gender, sexual orientation, disability/ability, race, political, religious or other opinion, by associating the statutory authorities, voluntary organisations and the inhabitants in a common effort to improve the conditions of life for the said inhabitants and in in particular to; a) take over and absorb the Ulster Quaker Service Committee which has existed in Northern Ireland since 1969, and to carry on and continue the work of the said Committee; b) relieve poverty, advance education and provide a direct service to prisoners and the families of prisoners in the area of benefit by providing or assisting others in the provision of facilities, practical support, training and education for prisoners and their families and organising educational, recreational and other leisure-time activities for the children of prisoners; c) relieve poverty, advance education and to provide facilities in the interests of social welfare for the education, recreation and leisure-time occupation of families and individuals who by reason of social or economic circumstances have need of such facilities, so that their conditions of life may be improved; d) work towards the elimination of discrimination and promote equality of opportunity, and good relations between persons of different racial and religious groups; e) such other purposes as shall be exclusively charitable as the Company may from time to time decide. A review of the Company Objects and Memorandum and Articles of Association is ongoing.

Between April 1[st] 2022 and March 31[st] 2023 the Board held seven scheduled meetings, four exceptional Board meetings, and two strategic planning meetings. Sub-groups of the Board also convened on several occasions throughout the year.

Board members are elected at the Annual General Meeting from the charity's membership by the members present. The Management Board is to contain a minimum of 75% Friends and Attenders of which half must be Friends (Religious Society of Friends). Furthermore, up to 25% of the Board of Directors may be appointed from Associate Members of the Company. During the year, two Associate members stood down from the Board and three Friends joined. At 31st March 2023, the Management Board was comprised of 5 (55%) Friends, and four (45%) Attenders. The Management Board continues to review the diversity and skillset of Board membership.

Directors Training & Induction

New Directors are provided with an induction meeting with the Chief Executive (and/or Chair) to help them understand the roles, responsibilities, skills, and contributions that they, as Trustees, are expected to make. A Directors’ manual is provided with detailed information to support them in their new role, including (1) Quaker Service: history, constitution, company information, charitable status, strategic plan, annual reports and other publications; (2) Management Board: membership, role, responsibilities, conflict of interest, code of good governance; (3) Staff: Organisation structure; (4) Financial information; (5) Policies and Procedures; and (6) Previous minutes.

QUAKER SERVICE (A COMPANY LIMITED BY GUARANTEE) DIRECTORS’ REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

DIRECTORS’ REPORT (CONTINUED)

Opportunities for appropriate external learning and development are made available to Directors during their tenure and during this year, attendance by Board members at external training sessions included:

Organisational planning Safeguarding Trauma informed practice Professional development

Objectives and Activities

Following a period of review and consultation, the Charity agreed in March 2023 a refined set of value statements reflecting our concern, purpose, vision and values as set out below:

Our Concern

Justice, fairness, and opportunity are not experienced equally by everyone in our community.

Our Purpose

Led by Quaker values, to provide services that give support and effect change.

Our Vision

A community in which each individual is valued, their voice heard, and their need addressed.

Our Values

All of our work is value-led - values which we hold in common with Quakers.

Because all human life is of equal worth, we hope to work creatively for peace and reconciliation. We seek to give voice where a need presents itself and to find creative ways of dealing with conflict by appealing to the capacity for understanding in ourselves and in others. We recognise the importance of human relationships for individuals, families, and communities. We believe that working in partnership with others to restore positive relationships is beneficial in bringing about reconciliation and can lead to change.

Our belief in equality inspires us to challenge those in power and to try to change systems that cause social injustice and hinder us from being a caring community. We aim to treat all people fairly and without judgement, respecting and accepting all, regardless of individual circumstances. We are true to the commitments we make and steadfast and compassionate in the support we provide. Clear sighted as to our purpose, we work quietly and with integrity.

As an organisation we seek to ensure that we are financially healthy, that we use our resources responsibly and that we work collaboratively to ensure the best outcomes for those we serve. Aware of our impact on the planet, we recognise our personal and collective role in promoting sustainability and of proactive environmental management.

Public Benefit Reporting

In shaping our objectives for the year and planning our activities, the Directors have considered the Charity Commission's guidance on public benefit, including the guidance 'public benefit: running a charity (PB2)'. Quaker Service relies on grants and donations and the income from our social enterprise company, Quaker Care Ltd, to cover its operating costs.

Quaker Service believes that all our purposes satisfy both elements of the public benefit requirement and we do not foresee any harm flowing from our purposes. The charity's beneficiaries are individuals and families in need and people residing within the Northern Ireland prison system. The only private benefit flowing from our purposes is where staff or trustees need to participate in activities or training provided by the charity, and this is incidental and necessary to ensure the benefit is provided to our beneficiaries.

QUAKER SERVICE (A COMPANY LIMITED BY GUARANTEE) DIRECTORS’ REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

DIRECTORS’ REPORT (CONTINUED)

Programme activity April 2022 to March 2023

QUAKER CONNECTIONS is a volunteer-led prisoner befriending programme providing practical and emotional support services for prisoners across Northern Ireland. People facing isolation in prison value the fact that the befriender chooses to spend time with them, rather than being under a professional or family obligation to do so. With the support of a full-time coordinator, our trained volunteers provide a non-judgmental, empathetic service primarily in HMPs Maghaberry and Magilligan. We use both individual and group befriending models of support including additional support for prisoners at risk of suicide or self-harm, support for prisoners getting ready for release following a lengthy sentence, and circles of support for prisoners upon release and returning to the community.

During the year, the programme continued to provide volunteer befriending support to serving prisoners and one individual in the community. In addition, the programme co-facilitated a number of peer-led anti-violence programmes in HMP Maghaberry as well as delivering cookery classes, meditation and yoga classes at the same location. Staff and volunteers also visited and surveyed women prisoners in Hydebank Wood College as part of research being conducted into the housing needs of women in contact with the criminal justice system. Volunteers were supported during the year with a number of training courses including vulnerable persons and building resilience and well-being training. Due to staff shortages within the prison service, there were interruptions in facilitating visitation for befrienders during the year. The programme’s staff coordinator left the charity in December 2022 and her successor took up post in April 2023.

The SOCIETAL CHANGE PROGRAMME evolved from an existing Quaker Service programme ‘MyStory’, which in turn was a project borne out of the work at Quaker Cottage where several campaigns and publications emanated from storytelling initiatives with young people.

Following a pilot phase for one year from April 2018, the Societal Change Programme was continued for a second phase running from May 2019 to April 2021. The thematic issue across both phases of the work was young people’s mental health with an emphasis on enabling young people to work towards bringing about positive change in their mental wellbeing by using their own stories to speak “truth to power”. The prevalence of mental health issues reported by young people through the MyStory project, exacerbated by a lack of support and services, provided a rationale for exploring these concerns through the Societal Change Programme.

From May 2021 to August 2022 the programme embedded therapeutic storytelling within the Family Programme and Mounteens programme as a powerful methodology, cultivating reflective spaces for mothers and young people to share their stories and communicate their lives using various media. Highlights during the year included an exhibition of mothers’ stories at the Belfast Metropolitan Arts Centre followed by a launch of the stories and a panel discussion made up of MLAs, the Permanent Secretary of the Department of Health, and the NI Children’s Commissioner at the Long gallery in Stormont. Following the publication of an evaluation on the project in February 2022, the project was laid down in October 2022, in order for the charity to consider key recommendations in the evaluation and in agreement that a period of consolidation was required following which we might look at what arises organically from our existing work.

QUAKER COTTAGE, THE FAMILY PROGRAMME and MOUNTEENS . In March 2022, the Belfast Health and Social Care Trust proposed a significant variation to the contract we had long held with them to support families at risk. The new contract involved a move away from group work based at the Cottage to individual home visits across Belfast for family support, effectively ending the use of the Cottage as our centre. We felt that this was not in keeping with our approach and were aware also that other agencies were already undertaking such work and were better resourced and staffed to do so. The Board and staff were in full agreement that we should not take up the contract and our highly valued association with the Trust, for the present, came to an end.

QUAKER SERVICE (A COMPANY LIMITED BY GUARANTEE) DIRECTORS’ REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

DIRECTORS’ REPORT (CONTINUED)

Despite the conclusion of Trust funding in July 2022, we made a commitment to completing the work with the three groups of women and their children who had already embarked upon the programme at the Cottage by December that year. Staff worked with external facilitators over the summer to explore ways to reconfigure the existing programme. The Board also set aside a significant sum of money from reserves to meet the immediate funding shortfall and steps were taken to save costs across the charity. However, the following months saw our projected deficit rise sharply amidst a lack of certainty over the future of the family programme and, looking ahead to the next financial year, there was no funding secured to replace what had been lost. It was with sadness that we concluded that the model for our family programme was no longer sustainable and that this work at the Cottage would be laid down in December 2022.

In total, seven dedicated and skilled staff on the Family Programme left the charity including social care workers, childcare professionals, and youth workers. In late summer, in laying down our Societal Change project we said farewell to another member of staff.

FAMILY GROUP CONFERENCING is a model of restorative practice adopted by the Charity in April 2021 following Family Groups Conference NI's proposal, upon their dissolution, to consider incorporating the FGC and restorative practice model into our own practices and core activities. Quaker Service took on the role of co-chair of the Restorative Practices Forum NI during the year and have plans to pilot FGC amongst women and young people in contact with the criminal justice system in 23/24.

FINANCIAL REVIEW

The Finance & Personnel Committee met 8 times during the year reviewing fundraising, risk management, and recruitment, as well as monitoring of cash flow and income and expenditure. In response to BHSCT’s proposed contract revisions, significant scrutiny of finances, cash-flow and risk took place during this period, including meetings with our auditor’s restructuring and insolvency team. Reserves were reviewed and ringfenced to reflect the loss of income for the Family Programme.

The Charity had a deficit of £109,715 at the year-end which reflects the impact of the loss of BHSCT funding, the redundancy settlements incurred in laying down the Family Programme, Mounteens and Societal Change, and a shrinkage in our investment portfolio value of c£15k. Our projected budget for 22/23 of £631k was revised down to £465k in November 2022, primarily due to the closure of these programmes and the departure of the Operations Manager in August 2022.

RESULTS

There were net outgoing resources for the year attributable to unrestricted reserves of £70,273 (2022: net incoming resources £7,706) which now stand at £879,908. In addition, there were net outgoing resources for the year of £39,442 (2022: net incoming resources £34,983) attributable to restricted reserves which now stand at £4,107.

QUAKER SERVICE (A COMPANY LIMITED BY GUARANTEE) DIRECTORS’ REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

DIRECTORS’ REPORT (CONTINUED)

RISK STATEMENT

The Management Board and senior management carries out bi-annual reviews of the Risk Policy Statement and Corporate Risk Register each year.

The Management Board of Quaker Service is responsible for safeguarding the organisation, its assets and third parties, including staff and volunteers and recognises that risk management is a vital activity that underpins our work.

Risk is present in everything we do, and it is therefore our policy to identify, assess and manage significant areas of risk on a pro-active basis. We seek to embed risk management into the culture of Quaker Service and to promote risk awareness amongst the people involved in governing our Charity, those delivering our services, and amongst the beneficiaries of our services.

The organisation's Corporate Risk Register categorises risk under Governance, Operational, Financial, External and Compliance. The Register will be reviewed regularly in accordance with Principle 3 of The Code of Good Practice (3rd Edition revised 2021) to ensure that we:

Have proper arrangements/agreements in place for partnership working and service delivery.
Understand and comply with all legal, contractual, and regulatory requirements that apply to it.
Implement appropriate and up to date internal financial and management controls.
Regularly identify and review the major risks to which the organisation is exposed including
systems to manage those risks.

RESERVES POLICY

Following a review of the reserves policy for Quaker Service in September 2023, the Management Board has agreed reserves to enable the charity to meet the needs of its beneficiaries by: -

(1) Securing and sustaining the charity's viability and future

(2) Reassuring our beneficiaries, members, funders and the general public that Quaker Service intends to use all the money coming into its care for the general purposes of the charity as set out in the memorandum and articles of association; and (3) developing services as evidenced by need.

Our reserves policy is twofold.

(1) It will be policy to hold a minimum of three months and a maximum of six months expenditure in hand (ie over and above that held in fixed assets and designated funds). This includes the cost of statutory redundancy and notice payments of the current staff team.

(2) In addition, funds may be designated for specific purposes such as:
(i) Building, asset purchase and refurbishment provision.
(ii) Development fund, with amounts set aside by the Management Board depending upon plans for service/project development.
(iii) Other purposes as approved by the Board.

We aim to expend funds designated for specific purposes within a period of 18 months.

The current level of reserves held

Following a Finance & Personnel Committee meeting on September 5th, 2023, the Board has agreed that the total reserves being designated or restricted for 2023/24 (excluding fixed assets) is £446,217

QUAKER SERVICE (A COMPANY LIMITED BY GUARANTEE) DIRECTORS’ REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

DIRECTORS’ REPORT (CONTINUED)

Designated Funds £395,005

£130,005 6 months operating costs from the 23/24 Budget (not including depreciation or management charges) of £110,000 plus redundancy liabilities of £20,005.

£160,000 Service Development Priorities £80,000 Frederick Street Development £15,000 Quaker Cottage maintenance and repairs £10,000 Land purchase at Quaker Cottage

Restricted Funds

£45,450

£20,500 Sir James Reckitt Centenary Grant funds £20,843 Family Group Conferencing Funds £4,107 Funds restricted for CFNI/Oak Homelessness programme

Free Reserves £5,762

Monitoring and Reviewing the Policy

The Finance & Personnel Committee will monitor the policy on a regular basis and will put forward proposals each year to the Management Board for consideration.

The Management Board will continue to review the policy on an annual basis in the summer of each year when the annual accounts are being presented for approval.

Salary Policy

Quaker Service is an accredited Real Living Wage Employer which means that the lowest paid staff members are paid the recognised UK Real Living Wage which, for this financial period, was £10.90 per hour. The ratio of rates of pay of lowest to highest paid staff member during this period was 1:2.5

Total charity fund analysis at 31[st] March 2023

Detail Restricted Funds Unrestricted Funds Tangible Fixed Assets Designated Funds Free reserves Funds carried forward	2023 £45,450 £437,798 £395,005 £5,762 £884,015	2022 £43,549 £465,200 £483,101 £1,880 £993,730	2021 £8,566 £468,081 £470,077 £2,452 £949,176

QUAKER SERVICE (A COMPANY LIMITED BY GUARANTEE) DIRECTORS’ REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

DIRECTORS’ REPORT (CONTINUED)

INVESTMENT POLICY

The Board has wide investment powers granted under section 4 in the Memorandum of Association which states that the Board may 'invest the moneys of the Company not immediately required for its objects in or upon such investments, securities or property as may be thought fit and in keeping with Quaker values.' The Board has granted its investment managers discretion to manage its investments within the parameters set by the Board.

Quaker Service has a strong ethical basis guided by Quaker beliefs and values. We require our investment managers to avoid direct equity investment in companies which produce alcohol, armaments, pornography and tobacco and fossil fuels, companies whose main activities relate to gambling and companies where there are significant human rights concerns. The Board prefers investments in companies which make a positive contribution to society and the environment including companies listed in the FTSE4GOOD Index.

The charity's investment managers provide regular reports on the performance of investments and other relative matters for the attention of the Board. They also meet with the Finance & Personnel Committee at least annually. During the annual review of the Investment Policy, it was agreed to maintain the low-medium (defensive) attitude to risk.

The Board reviews its investments twice a year and reserves the right to require the investment managers to dispose of specific equities which it feels do not fit in with its ethical concerns.

Funds held as custodian Trustee

No funds were held by the Charity Trustees on behalf of others.

Auditor

Each of the persons who is a director at the date of approval of this report confirms that:

So far as they are aware, there is no relevant audit information of which the charity's auditor is unaware; and
They have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information.

Small company provisions

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.

The Trustees report was approved on 19[th] September 2023 and signed on behalf of the Board of Trustees by:

________ Elizabeth G Dickson Trustee Chair, Quaker Service