THE NERVE CENTRE LTD (A company limited by guarantee) Independent auditor's report to the directors of THE NERVE CENTRE LTD Opfinion We have audited the financial statements of THE NERVE CENTRE LTD for th¢ year ended 31 March 2023 whicli cotnprise the Statement of Financial Activities, the Balance Sheet, the Cashflow Statement and the related notes. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland Thi5 report is made solely to the charitable company's directors, 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 ompany's directors those matters we are required to state to them in an auditorfs 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 compaiiy and the charitable company's directors as a body, for our audit work, for this report, or for the opiiiions we liave forined. In our opiiiion the financial statements: give a true and fair view of the state of the charitable company's affairs as at 31 March 2023, and of its incoming resource5 and expenditur¢ of resources. including its income and expenditure, for tlie year then ended. have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practic¢. and hav¢ b¢en prepared in accordance with the requirements of the Compani¢s A¢t 2006. Basis for opinlon 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 Auditorfs responsibilities for the audit of tlie fiiiancial stateinents 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 Etliical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe tliat the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Concluslons relating to going concern In auditing the financial statements, we have concluded that the directors, use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not Identified any material unccrtainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. Page 9
THE NERVE CEINTRE LTD (A company limited by guarantee) Other information The directors are responsible for the other inforniation. The other inforniation comprises the inforniation included in the directors, annual report, other than the financial statements and oiir auditor's report thereon. Our opinion on the financial statements does not cover other information and, except to the extent otherwise explicitly stated in our report, we do not express any forni of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other inforniation and, in doing so, consider whether the other inforniation 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 inaterial inconsistencies or apparent material misstatements, we are required to deterniine whetlier there is a material missiatement in the financial statements or a material misstatement of the other information. If, based on the work we have perfonned, we conclude that there is a material misstatement of this other infomiation, we are required to report that fact. We have nothing to report in this regard. Opinion on other matters prescrlbed by the CompAnies Act 2006 In our opinion based on the work undertaken in the course of the audit: the infortnation given in the Directors, Annual Report for the financial year for Nvhich the financial statement5 are prepared is consislent with the financial statements. and the Dir¢¢tors Annual Report has been prepared in accordance with applicable Icgal r¢quir¢m¢nts. Matters on whlch we are required to report by ex¢¢ption In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Directors Annual Report. We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: adequate accounting record5 have not been kept; or the financial statements are not in agreement with the accounting records and returns; or certain disclosures of directors, remuneration specified by law are not made; or we have not received all the inforniation and explanations we require for our audit; or the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies exemption from the requirement to prepare a strategic report. Page 10
THE NERVE CENTRE LTD (A company limited by guarantee) Responsibilities of the directors As explained more fully in the Directors, Responsibilities Statement set out on page 7, tlie directors (who are also the directors of the cliaritable company for th¢ purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a tru¢ and fair view, and for such internal control as the directors detern]ine is necessary to enable the preparation of financial statements that are free from material misstatement, wheilier 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 altemative but to do so. Auditor's responslbllltles for tho audit of tho finan¢ial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, wlietlier 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 15 not a guarantee that an audit conducted in accordance with ISAS (U K) will always detect a material misstateinent 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 econotnic decisions of users taken on the basis of these financial statements. Explanation as to what extent the audlt was consldered capable of detecting irregularities, including Irregularities, including fraud, are instances of non-complian¢¢ with laws and regulations. We design procedures in line with our responsibilities, outlined above, to d¢t¢ct material misstatements in respect of ic8U1ar1ties, including fraud. However, the primary responsibility for the prevention and detection of fraud lies with management and tlie board of directors of the charitable company. Identifying and assessing poteDtlal rlsks rolated to irregularities In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following: the nature of tlie industry, sector and the specific control environment which it operates in; the cliarities own assessment of the risks that irregularities may occur, eitlier as a result of fraud or error. representations and results from our enquiries with management and the board of directors regarding their own identification and assessment of tlie risk5 of irregularities. enquirieg of manag¢m¢nt relating to accounting estimates measurements, recognition criteria and justification of such amounts. aiiy matters we have identified liaving obtained and reviewed the Charities policies and procedures relating to; * identifying and assessing if laivs and regulations are compliant and whether they are aware of any instances or non-compliance. * detection and response to the risk of fraud and whether they are aware of any actual, suspected or alleged fraud instances. * the internal controls designed to mitigate risks or fraud or non-compliance with laws and regulations, and to minimise risk of management overrides of such controls. Page 11
THE NERVE CENTRE LTD (A company limited by guarantce) all matters discussed among th¢ audit engagement team regarding how and ivhere fraud could occur and the potential indicators of fraud. As a result of these procedures. we considered the opportuniti¢s and incentives that may exist witliin tli¢ charity for fraud. The audit included assessing the procedures and evaluating the measurement of eslimations. In common with all audits under ISA5 (UK), we are also required to perfom] specific procedures to respond to the risk of management override. We also obtained an understanding of the legal and regulatory frameworks applicable to tlie charity and considered that the most significant are the UK Companies Act 2006, SORP 2019 (FRS 102) and Charities Act (Northern Treland)2008. Audlt responses to risks identified Our procedures to respond to risks identified included tlie following: reviewing the financial statement disclosures, testing the relevant documentation to assess compliance with ilie significant laws and regulations - those described as having a direct effect on the financial statements. enquiring with management and obtaining third paty confirniation from the Charities Solicitors regarding any actual or potential litigation and claims; perforn]ing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud. reading minutes of board and management meetings, examine forccasting material in line witli actual performance, identifying any potential fraud indicators or instances. reviewing Companies House and Charity Commission Northern Ireland correspondence, idcntify any late submissions or omissions of mandatory information; review correspondence with HMRC. identifying non compliance of specific information to be disclosed; in addressing the risk of fraud through management override of controls. testing the appropriateness of data entries and adjustments; assessing whether the jiidgements made in making accounting estimates are indicative of a potential bias; and evaluating the rationale of any significant transactions that are unusual or outside the normal course of the Charities objectives. 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 noncompliance with laws and regulations throughout the audit. As part of an audit in accordance with ISAS (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provlde a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgcry9 int¢ntional omissions, misrepresentations, or the override of internal control. Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the charitable company's internal control. Page 12
THE NERVE CENTRE LTD (A company limited by guarantee) Evaluate the appropriateness of accounting policies us¢d and the reasonableness of accounting estimates and related disclosures made by the directors. Conclude on the appropriateness of the directors, use of the going concern basis of accounting and, based on the audit evidenc¢ obtained. whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charitable company's ability to continue as a going concern. If we ¢on¢lude that a Inaterial uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in tlie financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of the auditor's report. However, future events or conditions may cause the charitable company to cease to continue as a going concern. -Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and tiininE of the audit and significant audit findings, including any Significant deficiencies in internal control that we identify during our audit. erty Senlor Statutory Auditor for and on behalf of McGroarty Mccafforty & Company Statutory Audfitor 2 Carllsle Terrace Dorry BT48 6JX Dated: 11 December 2023 Page 13