FINANCIAL STATEMENTS 31 MARCH Registered Charity No Company No

Transcription

1 RELATE - RICHMOND, KINGSTON & HOUNSLOW Trading as Relate London SW (LIMITED BY GUARANTEE) FINANCIAL STATEMENTS 31 MARCH 2016 Registered Charity No Company No GARNERS Chartered Accountants & Statutory Auditors 100a High Street Hampton Middlesex TW12 2ST

2 Page 1 RELATE - RICHMOND, KINGSTON & HOUNSLOW FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2016 CONTENTS PAGE Legal and administrative details 2 Report of the Trustees 3 9 Independent Auditor s report Statement of Financial Activities 12 Balance Sheet 13 Notes to the financial statements 14-20

3 Page 2 LEGAL AND ADMINISTRATIVE DETAILS DIRECTORS/TRUSTEES A Rogers (resigned 10 February 2016) Dr P K Basra H Brodsky J M Deriaz M M Mahdi (elected 10 November 2015) A M Mollett E A Murch S Ryatt (resigned 10 November 2015) A Simpson G Singh (resigned 10 November 2015) Kate Mozzicarelli (co-opted April 2016) COMPANY SECRETARY J M Deriaz HONORARY PRESIDENTS PRINCIPAL ADDRESS AND REGISTERED OFFICE S Simon D N Tarsh OBE Neville House 55 Eden Street Kingston upon Thames Surrey, KT1 1BW REGISTERED CHARITY No ACCOUNTANTS SOLICITORS BANKERS Garners Chartered Accountants 100a High Street Hampton Middlesex TW12 2ST Russell-Cooke 2 Putney Hill London SW15 6AB CAF Bank 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4JQ

4 Page 3 REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2016 The trustees, who are also the Directors of the Charity for the purposes of the Companies Act, present their annual report and the financial statements for the year ended 31 March The trustees have prepared the financial statements of the charity in accordance with United Kingdom Generally Accepted Accounting Practice, comprising the Charities SORP (FRSSE), Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard for Smaller Entities (the FRSSE), effective 1 January Governing Document The organisation is a charitable company limited by guarantee, incorporated on 24 March 2000 and registered as a Charity on 24 March The company was established under a Memorandum of Association which identified the objects and powers of the company and the company is governed under its Articles of Association. In the event of its being wound up the members are required to contribute an amount not exceeding 1. Organisation and Management The trustees are elected at the Annual General Meeting of the company and must stand for re-election annually for a maximum of 8 years. The Chair must stand for re-election every two years. Anne Murch was elected Chair following the resignation of Anne Rogers in February Anne Rogers had been a trustee for 7 years including 4 years as Chair during a challenging time of transition. The existing trustees have the power to co-opt new trustees during the course of the year with a view to their standing for election at the first subsequent Annual General Meeting. The trustees met six times during the year, there were three resignations followed by a recruitment drive for new Trustees. The day to day management of the charity is the responsibility of the Chief Executive Officer (CEO), who is supported by the senior management group and staff. There are monthly meetings of the Management Group, chaired by the CEO and attended by other senior staff including at least one of the Clinical Supervisors. Trustee Induction and Training New trustees undertake an induction programme which includes inter alia an explanation of the objects of the charity, how it is governed, the staffing structure, its financial position and visits to its premises. The legal and other responsibilities of being a trustee are explained and attendance is encouraged at relevant external seminars on specific aspects of the role. An induction pack containing all relevant background documents is provided for all new trustees. Membership of the Relate Federation The Charity is allowed to use the name Relate by virtue of a membership agreement with the registered owner of the name Relate the Relate Federation (Relate UK). It is subject to the terms of that agreement and its methods of working and training are under the auspices of the Relate Federation. Risk Management The Trustees have carried out a risk assessment identifying the major risks to which the charity is exposed and have established policies and procedures to mitigate those risks.

5 REPORT OF THE TRUSTEES - continued FOR THE YEAR ENDED 31 MARCH 2016 Page 4 Objectives and Activities The objectives of the Charity are: (a) to educate the public concerning the benefits of secure couple relationships, marriage and family life in order to improve the emotional, sexual and spiritual well-being of individuals which is derived from committed relationships; (b) to seek to enhance, the good health, both mental and physical of adults and children by: increasing public awareness of the benefit of committed couple relationships, marriage, and family life; and working to prevent poverty, hardship and distress caused by the breakdown of such relationships; (c) to provide counselling, advice, education, guidance and relief to adults and/or children in relation to any aspect of contemporary life or work which: may prejudice their physical or mental wellbeing; or influence, either directly or indirectly, their present or future family or couple relationship; (d) to advance citizenship and community development; (e) to relieve those in need by reason of youth, age, ill-health, disability, financial hardship or other disadvantage; and (f) to promote research into all of the above objectives and to make the results available to the public. Activities include: Relationship counselling generally with one counsellor and both parties to the relationship though on occasions the parties will be seen separately. The counselling is carried out in one hour sessions generally at the same time each week with the appropriate number of sessions being allotted as is deemed necessary between the counsellor and the couple or individual. Psychosexual therapy with a specially trained counsellor working with both partners in one hour sessions. Young person s counselling with a specially trained counsellor working with a young person on a one to one basis. Sessions are for one hour and as many as are necessary will be given. Some sessions are provided in schools; Family counselling for parents and children, siblings, step and blended families to help families resolve relationship issues together; Education and Learning workshops for personal and professional development with a focus on preventing relationship breakdown and educating the wider public.

6 REPORT OF THE TRUSTEES - continued FOR THE YEAR ENDED 31 MARCH 2016 Page 5 Achievements and Performance The area of operation for Relate Richmond, Kingston and Hounslow was extended from March 2014 to include the inner London boroughs of Wandsworth, Hammersmith & Fulham and Kensington & Chelsea. To take account of this extension of boundaries, Relate UK approved a change of name from Relate Richmond, Kingston, Hounslow to Relate London SW with effect from January The organisation has been trading under the name of Relate London SW since March It had been the intention to register the new name with Companies House and the Charity Commission during 2015/16, however following a consultation process on the possible establishment of a single unitary charity (SUC) conducted by the Relate national organisation this was put on hold. Trustees are considering whether the sustainability of Relate services in SW London in the longer term is best served by joining the SUC or by remaining an independent federated member of Relate. A decision is likely to be taken within the next 12 months. Should the Trustees decide to join the SUC, the activities, assets and liabilities of this company would be transferred to the SUC and this charitable company would cease to exist. Services to clients would be maintained and continue to be delivered by the new organisation. The trustees are pleased to report that Relate Richmond, Kingston & Hounslow (trading as Relate London SW) has continued to offer a range of relationship counselling and support services in the face of a number of significant challenges. The charity continued to deliver a first class counselling service, available to members of the community irrespective of their ability to make a contribution to cover the full cost of the service they have received and delivers against all the above objectives and therefore satisfies its obligations under the Charity Commission s public benefit requirement. The counselling team of Relate Richmond, Kingston & Hounslow during the past year comprised 30 part-time counsellors and has delivered 6585 sessions for individual adults, couples, families and young people during the year. In more detail, (with the previous year s figures in brackets) the sessions include: 1052 initial consultations to determine whether ongoing counselling might be appropriate (706) sessions of ongoing counselling for adults (3952). 562 sessions of psycho-sexual therapy (464). 210 sessions of family counselling (367). 502 sessions of counselling for young people (566). The statistics show an overall increase in counselling hours of approximately 8.7%. The increase has been in adult relationship counselling and sex therapy but there has been a decrease in family and young people s counselling. This decrease is due to the loss of specialist counselling staff throughout the year which we are actively trying to replace as we know that there is a greater demand for these services. In accordance with its charitable objectives, the Centre provides counselling irrespective of the ability of clients to contribute the full cost of the service. Clients who are unable to meet the full costs are supported in the following ways: Through the Centre s Payment Assistance Scheme (PAS) for couples and families on low incomes. The target for support through the PAS scheme is 30% of counselling hours. During 2015/16 subsidised sessions totalled 1866 hours, equivalent to 29.9% of the total and in line with this target. The subsidy for the full year amounted to 46,910. Support from the Royal Borough of Kingston, BBC Children In Need, Waldegrave School and grants from other external funders has allowed the Centre to provide counselling for young people free at the point of delivery, either in school or at one of the Centre s offices.

7 Page 6 REPORT OF THE TRUSTEES - continued FOR THE YEAR ENDED 31 MARCH 2016 The importance of accessibility and reaching out to a more diverse population is a continuing priority for the Trustees and Management Team, with counsellors working in a variety of new settings as well as the Centre s leased offices in Richmond and Kingston. Throughout 2015/16 the number of locations in which services are delivered has expanded to a total of nine sites including: Barnes, Chiswick, Clapham, Earl s Court, Fulham, Isleworth, Kingston, Ladbroke Grove and Richmond. We continue to seek to extend the number of locations at which we can deliver counselling services at the same time as increasing the number of counsellors in order to meet the likely increase in demand. The Mercers Company donated 15,000 towards the costs associated with this expansion for the period April 2015 March 2016 however due to slower than anticipated establishment of new sites a proportion of this funding has been carried forward, with the agreement of The Mercers Company, into 2016/17 to be spent by September The market for counselling in which Relate operates remains highly competitive and the impact of the government s austerity measures on the income of our clients, makes our financial assistance scheme all the more vital. Funding from local authority sources including commissioned income from Children s Services and Local Schools and Academies has been reduced. However, many young people continued to receive counselling at the Richmond Office with the cost being met by external funders, and at the Kingston Office thanks to existing grant aid from the Royal Borough of Kingston. Relate Richmond Kingston & Hounslow strives to measure the impact of the counselling services for the couples, individuals, families and young people who turn to us for support. During 2015/16 the Relate national organisation launched a new set of outcomes measurement tools under the project title The Difference We Make. Relate London SW adopted the new outcomes measurement tools for use in relationship counselling with couples from 1 November New measures for young people have now been introduced and were implemented from September We await the launch of new measures for families and sex therapy services that are to be released during 2016/17. All outcomes measurement tools have been developed and agreed by the Relate national organisation following extensive external consultation with other leaders in the field, including the NHS. Following the introduction of the variable client contribution model of payments from clients, introduced from October 2012 it has become clear that this has been financially beneficial to the organisation. It has not only provided an increase in income to the Centre but also allowed us to provide a higher level of financial assistance to people on low incomes or having financial difficulty. Reserves The trustees review the reserves and the reserve policy on a regular basis. Reserves consist of: Free reserves - Available for the charity to spend in the furtherance of its objects. Restricted reserves - These can only be used in accordance with the requirements of the donors. Designated reserves - Those reserves that have been designated by the trustees for a particular purpose. Details of the restricted and designated reserves are shown in the company s annual accounts. Following the review of the reserves policy during the year, Trustees aim to maintain free reserves to the value of at least 4-5 months overhead expenditure to enable them to deal with any unforeseen happening including a down turn in income; one-off costs associated with the establishment of new sites or relocation of existing sites; and investing in the future by supporting management capacity building and business development opportunities that will provide an increased return to the charity.

8 Page 7 REPORT OF THE TRUSTEES - continued FOR THE YEAR ENDED 31 MARCH 2016 At the end of the financial year, the balance of free reserves was 165,746 (2014/ ,016). This is approximately the equivalent of 4.8 months overheads (2014/2015: 4 months overheads). Investment Policy The policy of the trustees is to hold the Charity s free assets in cash invested in a deposit account paying a good rate of interest. Income The income of the charity comes from four main sources contributions from clients for the service they receive; grants or commissions from local authorities; grants from Charitable Trusts; and fund raising events. In addition, there is a small amount of income from donations. All income comes in cash. A system of variable client contributions was introduced in 2012 to encourage those clients who are able to give greater contributions. The model is proving very successful and has contributed to an increase in income to the centre since its introduction. Expenditure The Trustees consider that all expenditure with the exception of the costs of the Annual General Meeting and the audit fees is Direct Charitable expenditure. All purchases of a capital nature are capitalised in the accounts and written off at an annual rate of 20% of the value of assets brought forward and the cost of the assets purchased in the year.

9 Page 8 REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2016 Financial Results Overall the charity s funds increased during the year by 21,412 the combined result of a surplus in the general (unrestricted) fund and a deficit in restricted funds. The results for the year for the general fund show a surplus of income over expenditure of 32,730 (deficit of 15,293 in 2014/15). This is because, compared with the previous year, client counselling income increased by 15.9%; due to a combination of an overall increase in counselling hours by approximately 8.7% and an increase in the average payments for client sessions. And our total costs remaining stable in comparison with the previous year. At the end of the year the general fund reserve was 165,746 (2015: 133,016) of which 4,218 are fixed assets leaving cash and other reserves of 161,528 (2015: 128,448). The result for the year for restricted funds shows a deficit of 11,318 (2015: surplus of 23,216). The reasons for this include a reduction in funding sources and in levels of funding; and expenditure in 2015/16 in relation to activities for which funding was received in previous year. Our main sources of funding are set out under acknowledgements on page 9, below. The charity continues to take steps to meet its need to diversify funding sources so as to minimise risks to long term sustainability that may arise from Local government cuts in funding and the move from grants to commissioning. We are doing so by Identifying alternative sources of grants and commissioning funding to deliver core services Seeking to secure commissioned work from Achieving for Children; and Developing schools counselling work. Since the year end we have secured a contract from Achieving for Children to deliver Emotional Support services to young people in Kingston and Richmond. This will enable us to further develop and establish our young people services across two boroughs. The contract value is 80k per annum over two years (total 160k). We are pleased to report that the financial position of the Charity is sound. Statement as to disclosure of information to auditors The Board members who were in office on the date of approval of these financial statements have confirmed, as far as they are aware, that there is no relevant audit information of which the auditors are unaware. Each of the Board members have confirmed that they have taken all the steps that they ought to have taken in order to make themselves aware of any relevant audit information and to establish that it has been communicated to the auditor. Statement of trustees' responsibilities The trustees (who are also directors of Relate for the purposes 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).

10 REPORT OF THE TRUSTEES continued FOR THE YEAR ENDED 31 MARCH 2016 Page 9 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 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 trustees 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; state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business. The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Acknowledgements The trustees are indebted to all staff, counsellors and volunteers who have worked so hard for us during the year. Their enthusiasm and professionalism is fundamental to the success of the charity and to the quality of its services, and a significant proportion of counselling hours are provided without pay. This also helps to ensure that its services remain competitive with the increasing number of independent providers who offer counselling for profit. During 2015/16 a total of approximately 1,295 counselling hours were delivered by volunteer and trainee counsellors and the Trustees and Management Team would like to extend their sincere thanks to everyone who has contributed. Thanks are also due to the following organisations for their generous grants, donations or gifts in kind during the year: Richmond Parish Lands Charity Barnes Workhouse Fund The Orange Tree Theatre Hampton Fuel Allotment Charity BBC Children in Need Royal Borough of Kingston upon Thames The Mercers Company Small Company Exemptions This report has been prepared in accordance with the special provisions for small companies under Part 15 of the Companies Act BY ORDER OF THE BOARD J M DERIAZ Company Secretary Date..2016

11 Page 10 INDEPENDENT AUDITOR S REPORT TO THE MEMBERS OF RELATE RICHMOND, KINGSTON AND HOUNSLOW FOR THE YEAR ENDED 31 MARCH 2016 We have audited the financial statements of the company for the year ended 31 March 2016 on pages 12 to 20. 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). 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 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. RESPECTIVE RESPONSIBILITIES OF TRUSTEES AND AUDITORS As explained more fully in the Statement of Trustees' responsibilities set out on pages 8 to 9, the Trustees (who are also the directors of the company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board's (APB's) Ethical Standards for Auditors. SCOPE OF THE AUDIT OF THE FINANCIAL STATEMENTS An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or error. This includes an assessment of: whether the accounting policies are appropriate to the charitable company s circumstances and have been consistently applied and adequately disclosed; the reasonableness of significant accounting estimates made by the trustees; and the overall presentation of the financial statements. In addition, we read all the financial and nonfinancial information in the Trustees annual report to identify material inconsistencies with the audited financial statements. If we become aware of any apparent material misstatements or inconsistencies, we consider the implications for our report. OPINION ON FINANCIAL STATEMENTS 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 2016 and of its 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 Companies Act OPINION ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006 In our opinion the information given in the Trustees' Report for the financial year for which the financial statements are prepared is consistent with the financial statements.

12 Page 11 INDEPENDENT AUDITOR S REPORT TO THE MEMBERS OF RELATE RICHMOND, KINGSTON AND HOUNSLOW FOR THE YEAR ENDED 31 MARCH 2016 MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION 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: the charity has not kept adequate accounting records, or returns adequate for our audit have not been received from branches not visited 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. STEPHEN W FRANCIS FCA (Senior Statutory Auditor) For and on behalf of GARNERS, Chartered Accountants & Statutory Auditors 100a High Street, Hampton, Middlesex TW12 2ST Date.2016

13 Page 12 STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2016 INCOMING RESOURCES Total Total Notes Unrestricted Restricted Voluntary income grants and donations 2a 30,879 25,000 55,879 90,280 Activities for generating funds ,605 Investment income Charitable activities 2b 373,773 25, , ,039 Total incoming resources 405,062 50, , ,424 ====== ===== ====== ====== RESOURCES EXPENDED Cost of generating voluntary income ,387 Charitable activities 368,239 62, , ,719 Governance costs 4,093-4,093 2,395 Total resources expended 3 372,332 62, , ,501 ====== ===== ====== ====== Net movement in funds 32,730 (11,318) 21,412 7,923 Fund balance at 1 April ,016 49, , ,389 Fund balance at 31 March ,746 37, , ,312 ====== ===== ====== ====== The notes on pages 14 to 20 form part of these financial statements

14 Page 13 BALANCE SHEET AT 31 MARCH 2016 FIXED ASSETS Notes Tangible fixed assets 7 4,218 4,568 CURRENT ASSETS Debtors 8 9,120 13,390 Cash at bank and in hand 213, , , ,503 CREDITORS Amounts falling due within one year 9 23,278 18,759 NET CURRENT ASSETS 199, ,744 NET ASSETS 203, ,312 ====== ======= Unrestricted funds 165, ,016 Restricted funds 11 37,978 49,296 TOTAL FUNDS 203, ,312 ====== ======= These financial statements have been prepared in accordance with the special provisions for small companies under Part 15 of the Companies Act 2006 and with the Financial Reporting Standard for Smaller Entities (effective January 2015). These financial statements were approved by the directors and authorised for issue on... are signed on their behalf by:, and E Murch - Chair. M Mahdi - Treasurer Company Registration number The notes on pages 14 to 20 form part of these financial statements

15 Page 14 NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 MARCH ACCOUNTING POLICIES (a) Basis of accounting The financial statements are prepared under the historical cost convention and in accordance with 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 for Smaller Entities (the FRSSE) (effective 1 January 2015). The Trustees have reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, Trustees continue to adopt the going concern basis in preparing the accounts. Following a consultation process on the possible establishment of a single unitary charity (SUC) conducted by the Relate national organisation Trustees are considering whether the sustainability of Relate services in SW London in the longer term is best served by joining the SUC or by remaining an independent federated member of Relate. A decision is likely to be taken within the next 12 months. Should the Trustees decide to join the SUC, the activities, assets and liabilities of this company would be transferred to the SUC and this charitable company would cease to exist. Services to clients would be maintained and continue to be delivered by the new organisation. (b) (c) (d) (e) (f) (g) Tangible fixed assets Tangible fixed assets are stated at cost less depreciation. Depreciation is provided on the cost of office furniture and equipment on a reducing balance basis at 20% per annum. Assets no longer held have been written off during the year. Grants Grants are funds received from government and quasi-government funding agencies. These funds are included in the Statement of Financial Activities on a receivable basis. Donations Donated income is received by way of donations and gifts and is included in full in the Statement of Financial Activities in the year in which they are receivable. Restricted funds Restricted funds are to be used for a specific area or purpose as laid down by the donor. Expenditure which meets these criteria is identified to the fund. Unrestricted funds Unrestricted funds are donations or other income received or generated for the objects of the charity without further specified purpose and are available as general funds. Staff costs Staff costs and overhead expenses are allocated to activities on the basis of staff time spent on those activities.

16 Page 15 NOTES TO THE FINANCIAL STATEMENTS- continued YEAR ENDED 31 MARCH 2016 ACCOUNTING POLICIES - continued (h) (i) (j) (k) (l) Incoming resources All incoming resources are included in the Statement of Financial Activities when the charity is entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income: Voluntary income is received by way of grants and donations and is included in full in the Statement of Financial Activities when receivable. Investment income is included when receivable. Incoming resources from charitable trading activities are accounted for when earned. Expended resources Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is reported as part of the expenditure to which it relates: Costs of generating funds comprise the costs associated with attracting voluntary income and the costs of trading for fundraising purposes. Charitable activities are those costs incurred in running the charity. Governance costs are costs associated with the governance arrangements of the charity. Fundraising and publicity costs These comprise the costs actually incurred in producing and distributing materials for promotional purposes and other relevant overheads. Premises The costs of refurbishment, maintenance and dilapidation of premises are written off when incurred. Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged against profits on a straight line basis over the period of the lease. Pension costs The company operates a defined contribution pension scheme for employees. The assets of the scheme are held separately from those of the company. The annual contributions payable are charged to the profit and loss account.

17 Page 16 NOTES TO THE FINANCIAL STATEMENTS- continued YEAR ENDED 31 MARCH INCOMING RESOURCES (a) Voluntary income- grants and donations Unrestricted Restricted Total Total Local authority grant 12,000 15,000 27,000 38,440 Grants from charitable trusts 16,450 10,000 26,450 51,350 Donations 2,429-2, ,879 25,000 55,879 90,280 ===== ===== ====== ====== (b) Charitable activities Client contributions 370,373 25, , ,579 Income from training courses 3,400-3,400 2, ,773 25, , ,039 ====== ===== ====== =======

18 Page 17 NOTES TO THE FINANCIAL STATEMENTS- continued YEAR ENDED 31 MARCH RESOURCES EXPENDED Charitable Fundraising Governance Total Total Travel expenses 2, ,810 2,369 Staff costs 332, , ,001 Premises 53, ,320 50,604 General expenses 30, ,602 32,334 Fundraising costs ,387 Audit fee - - 3,000 3,000 - Governance expenses - - 1,093 1,093 2,395 Marketing 1,245-1,245 1,269 Training expenses 9, ,032 4,000 Depreciation 1, ,055 1, ,294-4, , ,501 4 GOVERNANCE COSTS These are the costs associated with the governance arrangements of the charity and include an external audit cost of 3,000 (2015: 2,000 independent examination) 5 STAFF COSTS Salaries 312, ,905 Social security costs 15,256 13,679 Pensions 4,799 4, , ,001 ====== ====== The average number of staff during the year was full time management 1 (2015: 1), part time management 1 (2015: 2), part time supervisors 2 (2015: 2), part time practitioners 30 (2014: 26) and part time appointment staff 5 (2015: 9). The charity paid into a defined contribution pension scheme for some employees. The charge in the accounts is the amount of contributions payable. No employees received a salary of more than 50,000. The number of employees paid between 10,000 and 19,999 was 10 (2015: 9), the number of employees paid between 20,000 and 29,999 was 2 (2015: 2) and the number of employees paid between 30,000 and 39,999 was 0 (2015: 0). 40,000 and 50,000 was 1 (2015: 1). 6 TRUSTEES REMUNERATION No Trustees or any person connected with them have received any remuneration for the year directly or indirectly from the Charity. The sum of 712 (2015: 158) was paid to Trustees by the charity for associated travel costs to attend meetings and the annual conference of the Relate Federation. This payment was made to assist them in furthering their roles as trustees of the charity.

19 Page 18 NOTES TO THE FINANCIAL STATEMENTS- continued YEAR ENDED 31 MARCH TANGIBLE FIXED ASSETS COST At 1 April ,473 Additions 705 As at 31 March ,178 ===== DEPRECIATION At 1 April ,905 Charge for year 1,055 As at 31 March ,960 ===== NET BOOK VALUE At 31 March ,218 ===== At 31 March ,568 ===== 8 DEBTORS Debtors 3,840 9,890 Prepayments 5,280 3,500 9,120 13,390 ===== ===== 9 CREDITORS: Amounts falling due within one year Accruals 16,991 18,759 Taxation and social security 6,287-23,278 18,759 ===== ===== 10 SUMMARY OF NET ASSETS BY FUND Unrestricted Restricted Total funds funds funds Fixed assets 4,218-4,218 Other current assets 184,806 37, ,784 Current liabilities (23,278) - (23,278) 165,746 37, ,724 ====== ===== ======

20 Page 19 NOTES TO THE FINANCIAL STATEMENTS- continued YEAR ENDED 31 MARCH RESTRICTED FUNDS Balance Incoming Expended Balance resources resources Family counselling 22, ,411 Education & Learning 4, ,265 Young Peoples Counselling 3,119 40,737 40,454 3,402 The Mercers Company 14,101-6,201 7,900 RPLC 2,700-2,700 - HFAC 2,700-2,700 - HFAC subsidised funding - 10,000 10,000-49,296 50,737 62,055 37,978 ===== ===== ====== ===== Family Counselling This can help family groups explore conflict and problems around parenting, sibling relationships, step and blended families or other difficulties that can arise in family situations. Education and Learning This has been established to offer Relate expertise in a preventative capacity. Young Peoples Counselling This has been established to provide a free counselling service to help young persons aged 10 to 21 who may be suffering from the consequences of the breakdown of their family relationships, or having trouble making friends and building relationships with others. Hampton Fuel Allotment Charity (HFAC) A grant of 10,000 was received to subsidise counselling fees for clients living in HFAC s benefit area. The Mercers Company A grant of 15,000 was received for the period April 2015 March 2016 to establish new counselling venues in inner London boroughs. Due to the slower than anticipated establishment of new sites, The Mercers Company have agreed an extension to the period during which the grant can be spent to the end of September RELATED PARTIES The charity is controlled by its trustees, who are directors of the company. There are no related party transactions that require to be disclosed under the provisions of the Charity SORP, the Financial Reporting Standard for Smaller Entities (effective 1 January 2015)

21 Page 20 NOTES TO THE FINANCIAL STATEMENTS- continued YEAR ENDED 31 MARCH OPERATING LEASE COMMITMENT As at 31 March 2016 Relate RKH had annual commitments under operating leases as follows: Kingston Office 17,312 The charity s lease held by the Royal Borough of Kingston expired on 30 th September A new lease has been negotiated direct with the landlord, Broadgate Estates, for 5 years from 1 October 2016 with a 3-month notice period. The annual rent is 11,580 and the service charge is 5,736. Richmond Office Property lease Expires within 2 5 years 14,000 The charity is granted a 10-year licence for premises expiring in 2023 but with a break clause in the fifth year. The annual rent is 14,000. The agreement can be terminated by providing 6 months written notice.