The trustees present their annual report and financial statements for the year ended 31 March 2023.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's Memorandum and Articles of Association, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended), the Companies Act 2006 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 2019)".
The charity's objects are to promote the welfare of people with disabilities in need of housing.
Other Activity Areas
The design of a new single, integrated database was a major piece of work during the year. We were keen to utilise the local Fife Online Referral Tracking (FORT) system, not least because it’s free for Fife voluntary organisations, but also because social work and health staff can use it to make referrals to us.
The design and structure of the database took considerable management time, but in consultation with frontline staff, we have designed something comprehensive but adaptable as we identify more information that we need to collect.
The biggest activity related to this piece of work, was the migration of existing data. We took the opportunity to cull data that we new was a repeat or years out of date, but all the remaining data had to be transferred by a person inputting each individual record. After attempting to undertake this with existing staff, the decision was taken to outsource the task to the organisation that built the database. Necessary confidentiality and privacy requirements were checked, and progress made via this route was much quicker. The database has made a very significant difference to our work, especially our reporting.
We have implemented hybrid working for staff and continue to monitor it’s impact on service delivery. So far, the results seem very positive.
Total income in the year to 31st March 2023 was £257,959 (2022 - £247,831) of which £62,395 (2022 - £62,473) was restricted grant income from the Scottish Government. Expenditure for the year was £200,168 (2022 - £220,826).
The charity had an overall surplus of £57,791 (2022 - £27,005) leading to a total fund balance carried forward of £232,028 (2022 - £174,237).
It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees considers that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
Risk
The Fife Health and Social Care Partnership is yet to report on the review it undertook with the voluntary sector, so currently don’t know how significant a risk this is.
The Support in the Right Direction (SIRD) funding from the Scottish Government, managed by Inspiring Scotland, will come to an end in March 2024. We understand that there will be further funding commencing April 2024 and an application process will be available during 2023.
In general, the Trustees consider risks and have undertaken to ensure that there are sufficient reserves to withstand short term adverse circumstances.
The Trustees appointed Pandora Summerfield to the position of Chief Executive in the organisation.
After the successfully implemented new database, the next phase of modernisation of our IT is more process driven. We will explore making some of our processes online.
Disabled Persons Housing Service (Fife) is a charity and company limited by guarantee incorporated in December 2001 and governed by its memorandum and articles of association.
Trustees are appointed at the AGM or from time to time by the board to fill gaps in skills and knowledge. New trustees receive training from Fife Voluntary Action on their roles and responsibilities.
The trustees have overall responsibility for the charity’s activities, the charity is run on a day-to-day basis by the charity manager. Subgroups of the board are convened, as necessary.
Disabled Persons Housing Service (Fife) is a member of the Scottish Accessible Housing Network along with other Disabled Persons Housing Services in Scotland.
At the current time, the board are reviewing the constitutional form, governance and staffing structures and are being assisted in this by a specialist charity interim manager.
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
Philip Revie
Irene Guild Chairperson (Appointed 24 May 2022)
Colin McInnes (Appointed 17 January 2023)
Alexander Wilkie (Resigned 14 November 2023)
Elaine Leitch (Resigned 31 December 2022)
Mark Han Johnston (Resigned 11 May 2023)
Alexander Wilkie (Resigned 14 November 2023)
Company Secretary Pandora Summerfield
Independent Examiner Fiona Haro CA
The trustees, who are also the directors of Disabled Persons Housing Service (Fife) Limited for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company Law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.
In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees' report was approved by the Board of Trustees.
I report on the financial statements of the charity for the year ended 31 March 2023, which are set out on pages 8 to 18.
The charity’s trustees, who are also the directors of Disabled Persons Housing Service (Fife) Limited for the purposes of company law, are responsible for the preparation of the financial statements in accordance with the terms of the Charities and Trustee Investments (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006. The trustees consider that the audit requirement of Regulation 10(1)(a) to (c) of the 2006 Accounts Regulations does not apply. It is my responsibility to examine the financial statements as required under section 44(1)(c) of the Act and to state whether particular matters have come to my attention.
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
Disabled Persons Housing Service (Fife) Limited is a private company limited by guarantee incorporated in Scotland. The registered office is Caledonia House Pentland Park, Saltire Centre, Glenrothes, Fife, Scotland, KY6 2AQ .
The financial statements have been prepared in accordance with the charity's Memorandum and Articles of Association , the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended), the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.
Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
Grants receivable
Direct costs
Staff Travel
Sundry expenses
Staff Recruitment
Administration costs
Office costs
Independent Examination Fees
The support and governance costs are apportioned on a direct basis.
The average monthly number of employees during the year was:
Self Directed Support (SIRD)
This represents a grant from the Scottish Government via Inspiring Scotland for work related to Self-Directed Support, under the Support in the Right Direction programme.
These are unrestricted funds which are material to the charity's activities made up as follows:
Incoming resources
Resources expended
Transfers
Incoming resources
Resources expended
Transfers
There were no disclosable related party transactions during the year (2022 - none).