TURNING POINT AND ITS SUBSIDIARIES
(Company Limited by Guarantee and not having Share Capital)
FINANCIAL STATEMENTS
31 MARCH 2012
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
CONTENT
INFORMATION
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REPORT OF THE TRUSTEES
4 - 30
AUDITORS' REPORT TO THE TRUSTEES
31 - 32
CONSOLIDATED INCOME AND EXPENDITURE ACCOUNT
33
BALANCE SHEET
34
STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES
35
CONSOLIDATED CASH FLOW STATEMENT
36
NOTES TO THE FINANCIAL STATEMENTS
37 - 57
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Information
NON-EXECUTIVE
DIRECTORS/TRUSTEES:
EXECUTIVE
DIRECTORS/TRUSTEES:
Andrew Webster (Chair)
Dr Angela Lennox CBE
Sarah Wood OBE
Caroline Bailey
Christopher Parker (appointed December 2011)
Hillary Rowell (retired December 2011)
Justin Russell (retired December 2011)
Lord Victor Adebowale CBE (Chief Executive)
Andy James
David Hoare
Julie Bass
SECRETARY:
Lord Victor Adebowale CBE
REGISTERED OFFICE:
Standon House
21 Mansell Street
London
E1 8AA
REGISTERED COMPANY
NUMBER:
793558
REGISTERED CHARITY
NUMBER:
234887
HOUSING REGISTRATION
NUMBER:
H2509
AUDITORS:
Crowe Clark Whitehill LLP
St Bride‟s House
10 Salisbury Square
London
EC4Y 8EH
BANKERS:
Barclays Bank PLC
1 Marsden Street
Manchester
M2 1HW
SOLICITORS:
Bates, Wells & Braithwaite
Cheapside House
138 Cheapside
London
EC3U 6BB
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FINANCIAL STATEMENTS
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PRINCIPAL AIMS AND ACTIVITIES
Turning Point is a leading health and social care organisation working with people with complex
needs to turn their lives around. We provide services from 240 locations across England and Wales.
Our expertise across a broad spectrum of areas means we are skilled in providing services directly to
people and communities who have health and social care issues that other organisations can find
difficult to support. Our work in substance misuse, mental health and learning disability together with
provision of specialised support in employment has led us to develop approaches that tackle an
individual‟s holistic needs, addressing wider issues of social disadvantage, and working with people to
make living in the community valued and sustainable.
Turning Point‟s aims are embodied in our governing document through which we are committed to
promote or assist in promoting the protection of health of those at risk of mental health issues,
alcohol, drug or other problems leading to dependency, and the treatment, care, recovery, training
and education of people with mental health problems, substance misuse issues, a learning disability
and other complex needs.
What drives everyone at Turning Point is working with our service users and commissioners to turn
more lives around. This means delivering more quality services that meet local need as well as
constantly searching for innovative approaches that will better support the hardest to reach.
OPERATING AND STRATEGIC REVIEW
Financial Review:
In 2011-2012 total income grew from £75.9 million to £79.3 million, an increase of 4.5% compared to
the previous year. The increase is mainly due to a growth in new business, particularly in the Learning
Disability sector. However, the overall growth masks some ups and downs across the different
sectors.
The fall in Substance Misuse is due to two main reasons. Firstly the closure of some services, such
as Hungerford and Worcester and secondly, the funding pressures across the sector as a whole.
Mental Health has grown by over £700k, with the prime reason for this being the continued growth in
business at our new Corner House service in Rotherham. As already discussed, growth in Learning
Disabilities was strong, with big increases coming from new services in Peterborough, Stoke and
Staffordshire, and Warwickshire. Our Employment sector income fell as the Progress to Work scheme
came to an end in the year. Elsewhere reductions in our Connected Care business have been offset
by the continued growth of our newest sector, Primary Care.
In summary, despite the difficult economic conditions, and the pressures on funding coming from the
comprehensive spending review, Turning Point has still managed to grow its business in the year.
Key Turning Point Sector Statistics:
Substance Misuse sector
During the year, more than 17,500 individuals were referred to Turning Point services from
professional bodies, GPs, prisons and by self-referral. In 2011/12, 78% of drugs clients who started
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Tier 3/4 treatment had an exit which was discussed, agreed and planned with them in advance and
formed part of their individual on-going care plan. Turning Point‟s personalised support and recovery
focused approach, combined with planned exits, ensure clients have the best possible chance of
successfully continuing their recovery once they leave our services.
Mental Health sector
In 2011/12 more than 660 individuals were referred to Turning Point Mental Health services. During
the year, 79 per cent of those who started with the services had a planned discharge. These
discharges were agreed jointly with the client and formed part of their individual care plan. Turning
Point Mental Health services work with clients to continually adapt support to meet their changing
needs. Planned exits, as part of care plans, offer clients the ability to take control of their support and
recovery.
Rightsteps - Improving Access to Psychological Therapies (IAPT)
Between 2010 and 2011: over 27,000 individuals were referred to the six Turning Point services using
the Rightsteps model. Rightsteps successfully delivers integrated Talking Therapies to give clients a
total support and treatment package including advice on employment and skills, debt, housing and
relationships.
Learning Disabilities sector
For more than 20 years, Turning Point has been supporting people with a learning disability. In
2011/12 Turning Point supported 440 people with a learning disability in existing services. More
services opened during the period providing high quality, personalised, community-based support.
Employment Services sector (Work Programme)
Since its launch in July 2011, more than 825 clients have been referred to the new Turning Point
Work Programme service supporting people to build confidence, gain new skills, find jobs and stay in
employment.
Connected Care – Community led commissioning
Operating in 13 areas with a total population of 143,000 people, Connected Care has recruited and
trained over 200 community researchers who have engaged with more than 9,900 people through its
community audits, ensuring local people can influence the design and delivery of new health and
social care services.
Primary Care
Earl‟s Court Health and Wellbeing Centre opened in December 2011. Since opening the centre has
registered over 500 patients and seen almost 600 walk-in patients. Our NHS dentist has registered
605 patients. Currently there are a number of patients working with Turning Point‟s wellbeing coaches
and 30 peer mentors have been recruited to our accredited peer mentoring scheme to support people
living in the local area with either a long term condition or for people who need to make a change to
their lifestyle.
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Executive Summary of Turning Point’s Strategic Objectives
Turning Point is a leading health and social care organisation. Our progress towards achieving our
key strategic objectives during 2011/2012 is summarised below:
1. Achieving and sustaining high quality services
Turning Point services are designed, developed and delivered in partnership with commissioners,
clients and the local community. Our services are personalised, integrated, accountable and high
performing. They continue to evolve to meet the changing needs of individuals and commissioners.
As a social enterprise, Turning Point achieves and sustains high quality services through continually
investing in them, and reinvesting in its staff; empowering them to create innovative models of care
and support that focus on the individual to deliver real results.
During 2011, Turning Point extended its existing Arrest Referral Service in Newcastle to incorporate
the full Drug Intervention Programme (DIP) provision. In Newcastle, we now provide outreach in more
than 40 locations across the city and our results are consistently above average, with 88 per cent
clients having a planned discharge. In Cumbria, we doubled the number of Turning Point short-term
accommodation services for people with substance misuse issues and the existing services continued
to maintain 80 per cent successful move-on rates.
Last year we continued to provide high quality services, we delivered a series of management training
programmes in conjunction with the Institute of Leadership and Management (ILM). In addition, we
undertook a staff wellbeing audit and began work on the creation of new initiatives to address the
findings, particularly around working patterns, issues of workload and difficult deadlines. In June, our
Hertsreach drug and alcohol services came together to mark Recovery Month with a series of events
and activities. At the end of the month, Hertsreach gained recognition for their achievements at the
National Treatment Agency (NTA) Eastern Region Recovery Awards.
In 2011/12 our unique Connected Care model of community led commissioning was implemented in
Great Yarmouth. Connected Care is now operational in 10 areas across England including Swindon,
Warrington, Suffolk, Hartlepool and the London Borough of Hammersmith and Fulham.
2. Building confidence with commissioners
Turning Point is a leading health and social care organisation which focuses on creating innovative,
integrated services that deliver measurable outcomes. This year, commissioners came under even
greater pressure to deliver more for less. Commissioners had hard decisions to make against a
backdrop of increased uncertainty. Turning Point worked in partnership with them to streamline
services, create new, cost-effective care models, provide evidence to support budget decisions and
helped build robust services.
In 2011/12 Turning Point continued to develop services and innovative models of care that meet
commissioners‟ and local community needs. In Bradford we were awarded a £4.5 million pound
contract to provide innovative, person centred support for people with a learning disability in
residential care. In Somerset we introduced a bespoke model of psycho-social interventions for
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people with drug and alcohol misuse issues, underpinned by the National Treatment Agency‟s
Treatment Outcomes Profiles (TOPs), which enables commissioners to track the distance travelled by
clients and demonstrate outcomes. The initial results of this bespoke, evidence-based model show
increased planned exits for all types of clients. Our new Rightsteps service was launched in
Wakefield, supporting people to access psychological therapies quickly.
Turning Point has almost 50 years‟ experience of working with commissioners to support people with
substance misuse issues. This year we updated our national report into parental alcohol misuse and
its effects on children and families: Bottling It Up: the Next Generation, providing commissioners and
government with statistical evidence of the current issues and clear recommendations for the future.
We also held a number of local events, hosted Ministerial and MPs‟ visits and entered our fifth year as
secretariat to the All Party Parliamentary Group on People with Complex Needs and Dual Diagnosis.
3. Developing strategic partnerships
Turning Point has an outstanding record of developing long-term strategic partnerships with public
and private sector organisations, cutting across traditional boundaries to work with partners who have
the strengths needed to create unique, purpose-built services. Partnerships are key and a vital
element of the way we work to deliver innovative services that turn lives around.
In 2011/12 we consolidated our existing offender-management partnership agreement with Serco and
Catch 22 and continued to operate together as The Alliance. We extended our working relationships
to enable greater community interaction at HMP Thameside by developing and maintaining closer
links with other prison based/community agencies in line with the Reducing Reoffending Strategy.
With our employment sector partners we also won new contracts to deliver more services under the
Work Programme and our Health in Mind partnership with Sussex Partnership NHS Foundation Trust
continued to grow in strength. In addition we created a new partnership which has enabled Turning
Point to develop a number of large-scale integrated services including the Earl‟s Court Health and
Wellbeing Centre which provides GPs‟ and dentists‟ surgeries, signposting to services, groups and
activities, a team of Wellbeing Coaches, a community space, engagement programme and peer
mentors. In addition, we created a new partnership to deliver a Brighton & Hove Wellbeing Service
which will operate mental health services in that area.
4. Shaping innovation for service delivery
Turning Point designs and operates high quality, ground-breaking models of health and social care
which offer flexibility and provide measurable results. Working closely with commissioners and
government organisations we are committed to developing services that will help shape the future of
health and social care in the UK. Turning Point embraces new ideas and ways of working in order to
deliver evermore effective services tailored to each client‟s individual needs.
This year Turning Point‟s unique Building Futures programme constructed two new independent
hospitals at a site in Mastin Moor in Derbyshire. In addition, Turning Point began work to adapt and
refurbish Countisbury House in Cardiff to provide a state-of-the-art residential rehabilitation and
recovery service for men with complex mental health needs. These innovative services, delivered in
purpose-built therapeutic environments, will help improve the future prospects of recovery for
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individuals who have traditionally presented a challenge for mental health services in supporting them
to move on.
In addition, we began a Payment by Results pilot to deliver drug treatment and support in Wakefield
and won the contract to deliver the Local Area Single Assessment and Referral Service (LASARS) in
Slough. We also increased our services for people with Long Term Conditions (LTCs), including the
new Earl‟s Court Health and Wellbeing Centre and the start of LTC pilot services at Aintree University
Hospital near Liverpool and the University Hospital of South Manchester.
5. Management and leadership agility
Over the last five years Turning Point has undergone changes which have ensured we are a business
which focuses on integration, innovation and delivering real results for the people we support,
commissioners and society. Turning Point implemented a new and improved integrated governance
framework that has transformed the structure under which we deliver our services.
In 2009/10 we consolidated these changes by implementing a wide-ranging staff training programme
and began Programme Eden, a comprehensive review of our finance function. Combined, these
changes have ensured we are ahead of the curve and in a strong position to help shape the direction
of health and social care in the UK.
In 2011 we concluded our Programme Eden review which has transformed our finance function
enabling us to deliver an enhanced service at a reduced cost. Once implemented, the effects of the
changes were immediate. Our whole business is now better aligned with our business targets,
streamlined and focused on dealing effectively with issues including budget changes, personalisation
and Payment by Results.
In addition, this year Turning Point hosted a unique event: Bridging the Gap – Connecting government
priorities and local voices. The conference was part of the Community Leadership Network initiative
run by Turning Point Connected Care and funded by the Department of Health. In 2011/12 we also
began work on our next five-year strategic plan and are due to launch a new Turning Point website.
The following sections contain detailed information on the key results of the activities which Turning
Point has undertaken during 2011/2012 in order to meet our strategic objectives.
Detailed Results of Activities Undertaken to Meet Strategic Objectives
1. ACHIEVING AND SUSTAINING HIGH QUALITY SERVICES
Newcastle Drug Intervention Programme
In 2012, Turning Point extended its existing Arrest Referral Service in Newcastle to incorporate the
full Drug Intervention Programme (DIP) provision. Continuing to offer support to individuals with
substance misuse issues who are involved in the criminal justice system, the Turning Point Newcastle
Team provide outreach in more than 40 locations across the city. Focusing on the individual needs of
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the people we support is paramount and 100 per cent of individuals receiving support have a tailored
recovery plan with personal recovery objectives.
The success of the Turning Point approach is demonstrated by outcomes: 88 per cent of clients had a
planned discharge from the service up to the end of 2011, 42 per cent of whom were drug and alcohol
free. This is above the Newcastle average in a key focus area for the city, as outlined in the priorities
of the Drug Treatment Plan 2011-12. Turning Point also works closely with the local probation service
and the Counselling, Assessment, Referral, Advice and Throughcare (CARAT) teams and has
constructed a joint-working protocol to ensure seamless transfers into the community for prison
releases and agreeing additional telephone support for abstinent prisoners through the Cyrenians, a
charity that helps to tackle homelessness.
Substance Misuse Services in Cumbria
In 2011/12 Turning Point doubled its short-term accommodation support services in Cumbria, adding
two further services: Haddon House in Carlisle and Castlegate in Penrith. This extension has greatly
increased the numbers of disadvantaged adults now engaging in recovery from substance misuse
across the whole region.
Turning Point‟s existing services, in Falcon Street, Workington and Bakery Court, Ulverston have an
80 per cent successful move-on rate. The new services will enable more people with substance
misuse issues to achieve their personal goals, gain and sustain recovery, and move into independent
accommodation.
Delivering Effective Management
In order to achieve and sustain high quality services, Turning Point gives its staff the skills to manage
effectively, take ownership, innovate and share best practice across the organisation. In 2011/12, in
conjunction with the Institute of Leadership and Management (ILM), Turning Point devised and
implemented a series of bespoke training programmes for line managers. These on-going
programmes are designed to provide the core skill and knowledge required within the social care
environment, to help deliver improved performance within teams. The programmes support new
managers, team leaders and prospective managers to do their job well, thereby improving morale,
increasing efficiency and making a measurable difference to the service or department.
For first line managers, we ran a three-day programme leading to a Level 3 Institute of Leadership
and Management Award that gave staff the opportunity to gain an understanding of leadership styles
and build new skills in the areas of change management and effective communication. In addition, we
focused on the performance process and management of service budgets. The second programme
was an innovative combination of two accredited courses - Level 5 Diploma in Leadership and
Management and the Level 5 Diploma in Leadership and Management in Health and Social Care.
This programme was aimed at managers of registered services. To date, Turning Point has run four
programmes successfully with 44 individuals completing their seven work-based assessments. The
results are expected in June 2012.
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By providing a nationally recognised award and linking the qualification to Skills for Care Social Care
Manager Induction Standards and National Occupational Standards, Turning Point is reinforcing best
practice throughout the industry.
Wellbeing Audit
In 2011 Turning Point established Working Well Together, an internal group made up of volunteer
staff representatives from all sectors and all levels in the organisation. Its purpose is to monitor the
wellbeing of everyone at Turning Point and to think creatively about what the organisation can do to
collectively promote wellbeing at a time when the external environment places high demands on
Turning Point and on our employees.
One of the priorities the group identified was to carry out an audit of wellbeing to gain a clear picture
of what matters to our employees. We wanted to identify what currently works, what doesn't and what
ideas employees had about promoting wellbeing across the organisation. The audit was carried out in
November 2011 and in the coming year the Working Well Together group will be using the
intelligence gathered to put a range of initiatives in place to help meet the needs of our employees
and enable them to remain fit, healthy and emotionally resilient.
Recovery Month
To mark Recovery Month in June 2011, all six Turning Point Hertsreach substance misuse services
held events and activities to promote recovery to clients and the wider community. At the end of the
month, our Hertfordshire services were 'Highly Commended' in the Best Recovery Events award
category at the National Treatment Agency (NTA) Eastern Region Recovery Awards.
Representatives from Narcotics Anonymous and Cocaine Anonymous attended the Hertsreach
events to inform clients about the 12-step fellowship and to tell their own stories. In addition, current
clients shared their own recovery stories to inspire others.
To coincide with the events, Hertsreach produced a recovery booklet, consisting of stories and
pictures contributed by Hertsreach clients detailing their own recoveries. The booklet was given to the
individuals supported by the service to help inspire and motivate them to reach recovery too. The
booklet has proved to be extremely popular and other services are currently developing their own
resources to help support recovery.
Connected Care in Great Yarmouth
During 2011/12, Turning Point‟s unique Connected Care model was implemented in Great Yarmouth
on behalf of the clinical commissioning group, HealthEast Community Interest Company. The
implementation followed a successful bid from NHS East of England‟s regional innovation fund. This
was the first time Turning Point‟s Connected Care model of community-led commissioning had been
applied to a specific patient group, in this case those with Long Term Conditions (LTCs).
The central aim of Connected Care in Great Yarmouth was to address the need to reduce „heat in the
system‟ caused by high levels of emergency admissions and A&E use by people with LTCs in the
Gorleston area. Connected Care provided a structure for health and social care partners to work
together with members of the community to firstly understand in detail the care pathways and
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experiences of people with LTCs and, secondly, start a process of service redesign to improve these
pathways. The result was a sustainable mechanism for partner agencies to engage with people with
LTCs and to co-produce services with them.
Central to the engagement was the role of the Community Advocates – a team of 15 local people with
experience of LTCs. They were recruited and trained by Turning Point to conduct research with their
peers and then undertake a programme of service redesign in conjunction with commissioners and
service providers. The research was completed in February 2012 and the service redesign is being
finalised.
An additional element of the programme analysed ways HealthEast could embed the Connected Care
approach in their on-going engagement activities in the future. Together with HealthEast we assessed
the viability of using Community Advocates to deliver signposting to people with LTCs in Gorleston,
and recruiting other Community Advocates from different patient groups and localities. The full impact
of this part of the project is currently undergoing evaluation by an external agency.
2. BUILDING CONFIDENCE WITH COMMISSIONERS
Turning Point Somerset - Model of Psycho-social Interventions (MOPSI)
Turning Point has been working successfully with Somerset Drug and Alcohol Action Team (DAAT)
for many years, supporting people with substance misuse issues towards recovery. From 2008,
Turning Point began the development of a bespoke model of psycho-social interventions (MOPSI). In
March 2011, the model was launched in Turning Point Somerset services.
Based on best practice in both the UK and USA, Turning Point MOPSI is a person centred, recovery
and outcome-focused model that aligns fully with the NTA‟s Recovery Agenda, NICE, BPS and UK
guidance on clinical management. It supports increased numbers of people leaving treatment in a
planned, drug and/or alcohol-free way and increases successful integration back into communities.
An evidence-based model, MOPSI is underpinned by the National Treatment Agency‟s Treatment
Outcomes Profiles (TOPs), which enables commissioners to track the distance travelled by the
individuals we support and demonstrate outcomes. TOPs allow commissioners to see the real results
of our work in local services, providing complete transparency.
The results of MOPSI in Somerset from April 2011 to date are encouraging. The successful planned
discharge rate (drug or alcohol-free) increased significantly against the same period the previous
year. For people with primary drug problems (97 per cent primary problem heroin) there was a 64 per
cent improvement in the rate of planned drug-free exits from the service; a 38 per cent improvement
in the rate of planned alcohol-free exits from the service, and for people with a primary alcohol
problem there was a 20 per cent improvement in the rate of planned alcohol-free exits. Turning Point
MOPSI is now being used as a model of best practice locally and nationally by the National Treatment
Agency, Statutory Health Authority and Primary Care Trusts.
Services for People with a Learning Disability in Bradford
In early 2012, Turning Point was selected ahead of other organisations to provide services for people
with a learning disability in the Bradford area. Our specialist expertise, experience and success in
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delivering person centred services was recognised by Bradford Metropolitan District Council in
awarding Turning Point this highly significant contract.
In Bradford, Turning Point will be supporting individuals in existing residential services in a transition
towards innovative person-centred care. In addition, within the new services there will be a greater
focus on involvement with families and carers.
Rightsteps Wakefield
Rightsteps is Turning Point‟s customised Improving Access to Psychological Therapies (IAPT)
delivery model: an outcome-focused service delivering integrated Talking Therapies to give a total
support and treatment package including advice on employment and skills, debt, housing and
relationships.
Rightsteps Wakefield was launched in October 2011. The service gives people flexible support by
email, telephone and face-to-face treatment. Having a job can be a vital factor in maintaining good
mental health and Rightsteps Wakefield works closely with the employment services and local GPs in
partnership with NHS Wakefield District.
Since its launch, Rightsteps Wakefield has increased the number of outreach sites from which it
operates. Rightsteps sites now include GP surgeries, community venues and children‟s centres.
Waiting times across the district have decreased and the service has created a number of new
wellbeing drop-in centres in GP‟s surgeries.
Bottling It Up: the Next Generation
In December 2011, Turning Point launched Bottling It Up: the Next Generation, an update of our
previous report into parental alcohol misuse and its affects on children and families. In the UK, an
estimated 2.6 million children live with parents who are hazardous drinkers, and around 33,000 adults
who are in treatment for alcohol problems also have parental responsibilities.
Substance misuse in the UK has a number of significant impacts on individuals and society. Alcohol
causes 8,664 deaths each year and the number of hospital admissions related to alcohol reached
1.06 million in 2009 -10 compared with 510,800 in 2002-03. Offenders were under the influence of
alcohol in 37 per cent of all domestic violence cases and alcohol or other parental substance misuse
is evident in 57 per cent of child protection cases involving either serious or fatal child abuse.
The report reveals that nearly half (5,326) of people who used Turning Point‟s alcohol treatment
services last year were parents and their average alcohol consumption was 30 units per day; 24 for
mothers and 33 for fathers - or the equivalent of 3 bottles of wine or up to 15 pints of beer. A total of
3,395 children lived with these Turning Point clients, including extended family members such as
cousins or nephews.
The report contains examples of best-commissioning practice which have proved effective in dealing
with parental substance misuse. In addition, the report put forward a number of key recommendations
including a cross-government strategy to tackle the impacts, greater focus on integration, prevention
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and early intervention support including the extension of antenatal services. The report gained
widespread coverage in regional, national and specialist media.
Local Events
Turning Point works closely with commissioners to promote the work our services are doing locally.
By increasing awareness of services through local events and associated media coverage Turning
Point can reach more people who need support. In the last financial year, Turning Point services held
a large number of events and took part in a range of activities to promote recovery in our substance
misuse services. Turning Point also took part in national events to highlight World Mental Health Day
and Alcohol Awareness Week.
During 2011/12 Turning Point services also hosted a number of visits by local MPs and Councillors.
MPs visiting Turning Point services included Dennis MacShane, Yvette Cooper, Nadine Dorres,
Andrew Bridgen, Angie Bray, and Anne Main. These visits are an important way of raising awareness
of the issues affecting the people we support directly with key decision makers. Media coverage of
these visits and events also helps to promote the work of local Turning Point services and highlight
the contribution the people we support make to their local communities.
All Party Parliamentary Group
As well as engaging with Members of Parliament locally, Turning Point provides the secretariat for the
All Party Parliamentary Group on People with Complex Needs and Dual Diagnosis. This role provides
us with a unique opportunity to discuss how national changes have an impact on millions of people in
the UK with complex needs. The Group is now in its fifth year and commissioners regularly
attend events to discuss with MPs and experts, how policy is being translated on the ground and best
practice around service design, delivery and outcomes.
The Link
At Turning Point we are committed to ensuring the families and carers of the people we support are
fully involved in the design and delivery of every single aspect of our services and in the care we
provide. Communication is a key part of this, which is why last year Turning Point created The Link,
the learning disability sector‟s own quarterly magazine for clients‟ families and carers. It aims to give
everyone involved with Turning Point services a snapshot of what has been happening across the
learning disability sector, share good news stories, successes and best practice from our services
across the country.
By engaging with families and carers Turning Point can further develop the channels of
communication, learning from their experiences, supporting them and in turn helping the most
important people in their lives to feel as involved as they can, or wish to be, in the services we
provide.
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3. DEVELOPING STRATEGIC PARTNERSHIPS
Work Programme
In 2011, Turning Point won sub-contracts to deliver specialist elements of the Government‟s Work
Programme initiative. Through effective partnership working with prime contractors, Turning Point is
supporting almost a thousand individuals in finding lasting employment. Turning Point‟s employment
model draws on our experience as both a mental health and employment provider, delivering holistic
services that address underlying social, economic and health-issues.
Primary Care: Earl‟s Court
In 2011/12, Turning Point as head contractor leads a partnership with Greenbrook Healthcare, NHS
Dentist and Terrence Higgins Trust to provide an innovative new health and wellbeing service in
Earl‟s Court. Funded by NHS Kensington and Chelsea, services at Earl‟s Court Health and Wellbeing
Centre include NHS GP and dental walk-in services a 6000 patient GP practice, sexual health advice,
contraception, wellbeing coaches for people with long term conditions, peer mentors and an NHS
Dentist. By working in partnership with other specialist providers, we are better able to meet the
unique and varying needs of the local community, as well as those of our commissioners.
The Alliance
The Alliance is a unique and equal partnership consisting of three leading organisations from the
private, social enterprise and charity sectors - Serco, Turning Point and Catch 22. As part of The
Alliance, Turning Point is running services in prisons including Thameside in South East London.
This year The Alliance created an integrated offender management model, which wraps care and
interventions around the individual based upon risk and need. The Payment By Results-based model
has enabled us to impact particularly on those with short-term sentences, significantly reducing
reoffending.
Operational Partnership in HMP Thameside prison to deliver the Reducing Reoffending Strategy
At the new HMP Thameside prison, Turning Point has been contracted by Serco to deliver a
innovative range of recovery based interventions which are in line with national drug and alcohol
policy. The interventions will also fully reflect community needs and priorities.
For the first time in the London prison estate we will go into the community to build relationships in
order to deliver meaningful interventions and a consistent approach between the local community and
prison services.
Turning Point will be working alongside Catch 22, who will fulfil the probation role and will also be
responsible for resettlement when the person leaves prison. Our combined strengths and expertise
will help provide high quality, personalised support linked to positive outcomes for people both during
their time in prison and after release.
Mental Health Partnership - Brighton and Hove Wellbeing Service
In 2011, Turning Point was invited to tender to create a new primary mental health care service for
Brighton and Hove. In response, we formed an innovative integrated service model, the Mental Health
14
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
DEVELOPING STRATEGIC PARTNERSHIPS (CONTINUED)
Partnership (The Partnership). The Partnership consists of Turning Point, seven GP practices in
Brighton and Hove, Brighton and Hove Integrated Care Service (BICS), Sussex Partnership NHS
Foundation Trust and Mind. Each partner was chosen for their proven ability to contribute to a
localised and integrated model.
On the 5 December it was announced by the Sussex Cluster Board, on behalf of NHS Brighton and
Hove and the Brighton and Hove Clinical Commissioning Group, that The Partnership had been
successful in its bid to deliver all components of the new primary mental health care service.
Launched in April 2012, the new Brighton and Hove Wellbeing Service has four distinct elements
which are fully integrated to provide a comprehensive service in primary care, and effective links with
other specialist mental health services and community-based support services. The component
services are: The Primary Mental Health Care Practitioners (PMHCP) service; Primary Care Mental
Health Support service; Talking Therapies service (IAPT) and Talking Therapies HUB. Services
provided by Turning Point include cognitive behavioural therapy, telephone supported self-help, faceto-face signposting, employment and vocational support and a range of workshops.
Health in Mind - Turning Point and Sussex Partnership NHS Foundation Trust
In 2010, Turning Point partnered with Sussex Partnership NHS Foundation Trust to develop Health in
Mind, a pioneering evidence-based service that improves access to psychological therapy for people
with common mental health problems including depression, anxiety and those individuals suffering
from a post-traumatic stress disorder.
During 2011/12, Health in Mind continued to build on its success. In the first three months of 2012, the
service saw the number of new clients increase with more than 880 people entering psychological
therapies via the service. In addition, more than 900 people completed treatment during this period.
4. SHAPING INNOVATION FOR SERVICE DELIVERY
Mastin Moor - Derbyshire
During 2011/12, work began on the construction of a specially designed, purpose-built premises
consisting of two separate independent hospitals at Mastin Moor in Derbyshire. Built by Turning Point
under our Building Futures programme, both sites will provide specialist high-support care for people
with mental health problems and associated complex needs. Intensive staffing combined with the
latest technology will provide an adapted and personalised approach enabling Turning Point to tailor
each individual‟s care and recovery.
The service is designed to meet the needs of people who may or may not be detained under the
Mental Health Act, offenders with complex needs or people with dual diagnosis who require high
support to manage risk. This purpose-built therapeutic environment and support from highly trained
staff, as well as links with housing providers will maximise recovery for residents of Mastin Moor. This
positive approach to recovery helps improve the future prospects of those individuals who have
traditionally presented challenges for mental health services. These initiatives will deliver long-term
cost savings for commissioners, turn lives around for individuals and ensure effective levels of
supervision result in public safety needs being met.
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TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
SHAPING INNOVATION FOR SERVICE DELIVERY (CONTINUED)
Countisbury House, Cardiff
In 2011/12, Turning Point also began work to adapt and refurbish Countisbury House to provide a
state-of-the-art residential rehabilitation service for men with complex mental health needs. The
service will open in May 2012 and will combine intensive staffing with the latest technology to provide
an adaptable and personalised service.
Countisbury House consists of sixteen self-contained bedsits, together with a number of communal
facilities. Support staff will be on site 24 hours a day and the service will be registered with the Care
and Social Services Inspectorate Wales (CSSIW). The emphasis will be on supporting the transition
of clients into more independent living through a range of structured activities, as well as managing
their mental and physical health within a recovery focused programme.
Payment By Results Pilot Schemes
Turning Point is a key provider in the government‟s nationwide Payment by Results pilot schemes in
the substance misuse field. Our Wakefield Drug Treatment System is one of eight national pilot
sites. The Turning Point pilot has been operating in shadow format since October 2011 and went live
in April 2012.
Turning Point is fully involved, represented on the Board and steering group, and employs the
majority of the contributing staff. The project involves the development of clustering tools, tracking
methodologies and the development of early interventions matched to the outcome domains. It is
scheduled to run for a two year period. As part of the pilot, our Grosvenor House service was the
subject of a Ministerial visit from Lord Henley and Anne Milton MP. The experience Turning Point will
gain from the Payment By Results pilot scheme in Wakefield will allow us to contribute to future policy
changes as well as win business delivering similar services through delivering positive outcomes.
Local Area Single Assessment and Referral Service (LASARS)
During 2011/12, Turning Point won the contract to deliver a Local Area Single Assessment and
Referral Service (LASARS) in Slough. The experience gained through the Turning Point Payment By
Results pilot in Wakefield was a key factor in the contact award. The Slough LASARS is currently
being implemented and will see Turning Point control all treatment referrals in Slough. This will leave
Slough well-placed to convert to Payment by Results delivery in the future, using the LASARS to also
set tariffs for each client referred to a substance misuse provider in the area.
Long Term Conditions
NHS North West Long Term Conditions Pilot
Turning Point‟s Rightsteps Wellbeing service was launched in October 2011 in the North West as part
of an initial 12-month pilot. The pilot services are in operation at the Aintree University Hospital near
Liverpool and the University Hospital of South Manchester. To date more than 300 patients have had
initial contact with Turning Point Wellbeing Coordinators at these two sites. In partnership with the
hospital trusts, four registered nurses have been appointed who are studying towards their wellbeing
counselling diploma.
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TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
SHAPING INNOVATION FOR SERVICE DELIVERY (CONTINUED)
The service targets patients who have been admitted to hospital as a result of a long-term condition,
specifically for the pilot, coronary heart disease or chronic obstructive pulmonary disease. The service
provides follow-up telephone-based motivational coaching support to help patients make changes to
their lifestyle in order to avoid readmission. The team supports patients over a period of six weeks,
helping them to reflect on areas of their life in which they would like to make a change, to set goals
and work towards them.
The treatment and management of long-term conditions presents a massive challenge to the NHS in
coming years. Rightsteps is an innovative model which supports patients to take control of their health
and avoid costly hospital treatment. We hope to roll this model out to other parts of the country in the
future.
Earl’s Court Health and Wellbeing Centre
Earl‟s Court Health and Wellbeing Centre opened in December 2011. Turning Point is the lead
organisation for the partnership. Additionally the centre is part of the national People Powered Health
programme from not-for-profit innovation foundation, NESTA, working with the Innovation Unit. The
programme supports the design and delivery of innovative services for people that are living with long
term health conditions and focuses on co-production – the idea that people's needs are better met
when they are involved in an equal and reciprocal relationship with professionals - working together to
get things done. It is a radical approach to public services that is built around six characteristics:
Recognising people as assets
Building on people's capabilities
Promoting mutuality and reciprocity
Developing peer support networks
Breaking down barriers between professionals and users
Facilitating rather than delivering
The NHS Centre provides access to GPs, a dentist, community sexual health and contraception
services enhanced by an extended community offering. This includes employment support; navigators
providing signposting to services, groups and activities; a team of wellbeing coaches specialising in
motivational coaching for patients with long-term conditions, drug and alcohol problems and learning
disabilities, alongside a community space, engagement programme, a time bank and peer mentors.
5. MANAGEMENT AND LEADERSHIP AGILITY
Conclusion of Programme Eden
This year has seen the successful conclusion of Programme Eden, a two and a half year project to
drive transformational change in our finance function. Its remit covered designing new efficient and
effective processes, upgrading and enhancing our systems, implementing new organisational
structures to support our aims of making the finance function a better partner to the business, driving
results and embedding financial competency and discipline throughout the business. Programme
17
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
MANAGEMENT AND LEADERSHIP AGILITY (CONTINUED)
Eden was one of the biggest undertaken by Turning Point to date, and was delivered on time and
below budget.
Programme Eden comprised 11 separate phases of work over 29 months. It reviewed and improved
more than 200 finance processes across 18 different process areas and trained more than 300
people on new processes and systems. The finance team invested more than 2000 days of effort to
make Programme Eden a success and more than 500 critical and important business requirements
were successfully delivered.
The benefits of Programme Eden have been immediate and we fully expect them to be
enduring. Ultimately, the Turning Point finance function is now in a position to deliver an enhanced
service at reduced cost. The project management methodologies developed through Programme
Eden are now being rolled out across the business in support of other key initiatives we now have
underway.
Bridging the Gap – Connecting government priorities and local voices
In July 2011 Turning Point hosted a unique event: Bridging the Gap – Connecting government
priorities and local voices. Part of the Community Leadership Network initiative run by Turning Point
Connected Care and funded by the Department of Health, this conference enabled community
members and professionals to come together for the first time to discuss ways in which communities
can be more involved in the design and delivery of local health and social care services.
The conference was attended by members of the NHS, representatives from Third Sector
organisations, local community members and the Chief Parliamentary and Political Adviser to the
Deputy Prime Minister, Norman Lamb MP. Lord Victor Adebowale, Chief Executive of Turning Point,
gave the keynote speech.
New client-focused website
Turning Point is due to launch a brand new website. The site has a wealth of relevant up-to-date news
and information, useful fact sheets and sector-specific information.
Designed with the needs of individuals, friends, family members and carers in mind, information is
now broken down by services available across learning disability, substance misuse, mental health
and the employment sector. There is also a dedicated page specifically for friends and family
members and it includes a brand new „My Stories‟ page, a dedicated space where people who
Turning Point support can share their journey and help others.
Launch of the new five-year strategy
Coming to the end of the successful 2007-12 strategic plan, Turning Point will be launching its new
five-year strategy in the 2012-13 financial year. The strategy moving forward is designed to equip the
organisation to compete successfully in what is a challenging external environment. With significant
public sector funding cuts impacting health and social care providers, Turning Point will be seeking to
18
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
MANAGEMENT AND LEADERSHIP AGILITY (CONTINUED)
consolidate its position within the substance misuse, mental health, and learning disability and
employment areas.
Investment in our people and systems will ensure we are well placed to deliver and evidence health
and social care outcomes in an environment that will increasingly be dominated by Payment By
Results and the personalisation of services. We will work with our key partners to extend our offer
and continue to provide integrated care to turn more lives around.
SECTOR STRUCTURE
Turning Point is structured to deliver services in five main sectors: Substance Misuse, Employment,
Mental Health, Learning Disability and Primary Care. In addition the business operates two models of
community-led commissioning: Connected Care and Connected Education, and one model which
combines the construction of accommodation with the development of bespoke care: Building
Futures.
Substance misuse services:
- Family and children‟s services
- Young people‟s services
- Needle exchange services
- Outreach for homeless people and sex workers
- Drug Intervention Programmes (DIP) including arrest and court referral and resettlement
- Tier 2 services
- Tier 3 services
- Integrated Tier 2 and Tier 3 services
- Detoxification unit
- Residential Tier 4 rehabilitation
- Supported housing and floating support
Employment services:
- Progress2work services (concluded in 2011/2012)
- Employment and Education Support Projects (EESPro)
- Services for Prolific and Priority Offenders (PPOs) and other offenders
- Rightsteps employment services
Learning disability services:
- Day centre opportunities
- Forensic care
- Floating support
- Supported living
- Residential care
- Registered care with nursing
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TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
SECTOR STRUCTURE (CONTINUED)
Mental
-
Health services:
Community support
Crisis intervention
Talking therapies (IAPT)
Supported housing
Residential recovery and rehabilitation
Specialist high support services
High support forensic and dual diagnosis, complex needs services
Primary Care
- Earl‟s Court Health and Wellbeing Centre
- Rightsteps wellbeing services
- Long term conditions in hospital and community settings
MANAGING SAFETY AND RISK
The effective management of safety and the accurate, continuous evaluation of risk are vitally
important to the successful delivery of Turning Point‟s services. The robust day-to-day management
of safety and risk is the key to ensuring our services remain of the highest quality and this approach
plays a vital role in the support we deliver to our clients and staff, particularly in our residential
services.
Policies
The Risk and Assurance team oversees Turning Point‟s policy development process to ensure that all
of the organisation's operational policies, procedures and guidelines will be drafted, approved,
disseminated and reviewed. This system ensures that operational and health and safety policies are
consistent with relevant legislation and recognised best practice, are reviewed regularly, are approved
by an appropriate level of authority in the organisation and are communicated to all staff. The team
has also produced accessible versions of key policies for clients or their carers and families who have
limited literacy skills.
How have our policies been checked and authorised?
Documents will be current for a maximum of two years prior to review. Where documents are
approaching their agreed review date, the document owner will ensure that the documents are
reviewed six months before the scheduled review date, and determine if the degree of revision
required to update the document is minor or major. Where minor revisions are required, these will be
completed by the document owner, and the revised document will be approved by the relevant
committee. Where significant revisions are required, the document will be treated as a new document
and will be subject to the process of production, ratification and dissemination of new policy
documents. Our Health and Safety Policy and associated policies were last published in 2012.
Who is responsible for ensuring safety and managing risk?
All Turning Point managers implement this policy as an essential part of their management
responsibilities, and monitor compliance. Managers ensure that all their employees understand their
20
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
MANAGING SAFETY AND RISK (CONTINUED)
health and safety and risk responsibilities to themselves and to others. To this end all employees
receive appropriate training and refresher training as is necessary.
It is the legal duty of every employee to observe the organisation's policy at all times and comply with
their manager on matters of health and safety and risk. Within the risk and assurance team there are
health and safety managers and advisors that will assist managers to fulfil their responsibilities under
the Health and Safety at Work Act 1974, the Management of Health and Safety Regulations 1999 and
its subordinate legislation.
Staff training
Turning Point‟s Competent Worker Programme is our approach to ensuring that our workforce has the
core skills needed to deliver quality services in a safe environment. Through the programme, staff are
introduced to what we expect from them as social care workers and how they can gain access to
further learning and qualifications while working for Turning Point.
Training specific to Health and Safety and Risk includes a mandatory competent worker programme
that includes:
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Health and Safety Awareness
Moving and Handling
Fire Safety
First Aid Awareness
Infection Control
Medication Awareness
Food Hygiene
Incident and Accident Reporting
Our Competent Manager programme requires managers to attend specific CIEH accredited Health
and Safety training.
Quality Assurance
Turning Point has 79 locations registered with the Care Quality Commission (CQC). These services
are required to be compliant with The Essential Standards of Quality and Safety and may be
inspected by the CQC at any time. The Board is informed of the outcome of these inspections and
whether they meet the target we have set. Turning Point also has its own internal quality assurance
tool (IQAT) that reflects the essential standards of quality and safety. The implementation of the IQAT
ensures that all services are audited against the same standards.
Through working with robust risk management processes and clinical governance Turning Point is
able to minimise any detriment or harm that may manifest itself in the environment in which we
operate to ensure a net positive public benefit.
The findings of external reviews, inspections and visits are monitored centrally by the risk and
assurance team. Action plans that are required to address areas for improvement are monitored by
the regional manager and sector management teams and centrally by the Risk and Assurance team,
which in turn reports to the Board and other internal committees.
21
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
MANAGING SAFETY AND RISK (CONTINUED)
How do we manage risk?
Turning Point has an organisational Risk Management Framework to ensure that we monitor and
manage key risks and take action to mitigate these. As part of the overall Risk Management
Framework, the Risk and Assurance team have developed a risk management policy, related
guidance and training to ensure that there is a consistent process for assessing and managing clinical
and non-clinical risks.
As well as being responsible for keeping Health and Safety policies and procedures up to date, the
Risk and Assurance Team oversees the implementation of Health and Safety monitoring and
reporting systems in the wider organisation. Service managers report to us on their annual reviews of
Health and Safety Risk Assessments, as well as four monthly conformance assessments. Health and
Safety advice is provided to services through the helpdesk and also during service visits. In 2011 we
achieved Contractor Health and Safety Scheme (CHAS) accreditation which gives external
recognition of our health and safety processes and policies.
The Risk and Assurance team also oversees the Incident and Accident Reporting and Investigating
Process. Information about incidents and accidents is entered into a centrally held database - Datix.
Datix is a widely used and a nationally recognised risk management tool, used widely in health and
social care settings. The system monitors individual incidents and that necessary actions have been
taken, and also to identify trends and risk areas across the organisation. The Risk and Assurance
team advises on the investigation of serious incidents, as learning lessons from these serious
incidents and accidents is one of the key ways to continue the provision of a safe and high quality
service to all our clients.
Within our approach to risk management Turning Point aims to proactively identify issues and
intervene at any stage. Where intensive support is required, central support teams work together to
provide intensive and a coordinated approach.
ACCESS TO OUR SERVICES
Public benefit
Turning Point is governed in accordance with its Memorandum and Articles of Association, which set
out the objects of the company as follows:
“The objects of the Company are to promote or assist in promoting the protection of health of those at
risk of mental disorder, alcohol, drug or other problems leading to dependency, and the treatment,
care, rehabilitation, training and education of people suffering from mental disorder, alcohol, drug or
other problems leading to dependency.”
Accordingly, the Trustees have considered these objects whilst reviewing the aims and activities of
the organisation over the year, and in developing its strategy for coming years. The Trustees are
assured that the company has charitable aims that are of benefit to the public. Our work is focused on
individuals but involves and affects families and communities and therefore the public at large. The
Board is agreed that the best way to meet the needs of the people we work with is through contracting
for specialist services while also influencing the way that services are provided through our particular
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TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
ACCESS TO OUR SERVICES (CONTINUED)
expertise. We continue to maintain our independence as an organisation considering public policy
issues which affect our clients and suggesting improvements for the provision of services. There is no
private financial benefit from our activities.
The Trustees have complied with the duty in Section 4 of the Charities Act 2006 and given careful
consideration to the Charity Commission‟s general guidance on public benefit when reviewing our
aims and objectives and operations for the year.
Who accesses our services and how are they referred?
We accept referrals from the health services, other organisations, families, or from individuals directly
seeking treatment or support. There are no membership criteria and Trustees are not involved in
determining who can use our services. Access to premises is restricted to people engaging in
treatment, staff and family members or carers.
As an organisation we are focused on and driven by the needs of our beneficiaries. Working across
England and Wales our direct beneficiaries are those with complex health and social care issues
including substance misuse, mental health and learning disability, and associated areas including
employment or criminal justice. Our services are all focused on community engagement, working with
key individuals and local agencies to provide an awareness of and access to our services.
The cost of a service is typically borne by the commissioner, not the service user, though in certain
circumstances we would not refuse service to those who pay their own way. In the case of regional
contracts, costs are regularly tested through competition for contracts so that no one should be
excluded because of this. In line with the government drive towards personalised services we are
increasingly providing personalised services to individuals with contracts or budgets giving greater
levels of personalised health and social care benefit.
Problems with access
It is important that people from all parts of the community are able to access our services. We
promote equal access to our services for all parts of the community which they serve by removing or
minimising any barriers that may prevent or inhibit certain groups from using them, including whether
people can physically enter and use our premises, how suitable they are for use by disabled people,
how welcoming the space is for different groups within the community, and how easy it is for our
service users to understand our services and communicate with us.
Role of Connected Care
Our connected care team uses community researchers to engage with the people who use health and
social care services. These researchers gather information on the needs of the community and the
experiences of those who engage with, and depend on, services to ensure that services are
commissioned efficiently according to actual need within the community.
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TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
ACCESS TO OUR SERVICES (CONTINUED)
Geographical access
Our objectives do not specify any geographical restriction and our services are spread across
England and Wales. Where they are situated depends on there being a need for the services and, in
most cases, the availability of funding from commissioners.
EQUALITY AND HUMAN RIGHTS
Our Equality and Human Rights scheme includes a core policy on equality and human rights, an
equality and human rights strategy and an action plan. The scheme has been reviewed in light of the
Equalities Act (2010) and covers race, disability, age, gender reassignment, marriage and civil
partnership, pregnancy and maternity, religion or belief, sex and sexual orientation.
We undertake to treat everyone who works with, or for, Turning Point, or who uses our services, with
dignity, equality, respect, fairness and autonomy and challenge discrimination wherever it arises. We
seek to foster an environment in which everyone is valued equally and supported so they can
participate with confidence.
GOVERNANCE
The Board of Trustees
Turning Point‟s Board of Trustees is responsible for setting and monitoring Turning Point‟s vision,
mission and values. The unitary Board includes non-executive and executive members who together
agree corporate strategy and review corporate risk and associated internal controls. Day-to-day
management of the company is delegated to the executive team and the senior managers. The
responsibilities and function of the Board are set out in the Governance Standing Orders, which are
based on the Turning Point Memorandum and Articles of Association and the principles of the UK
Corporate Governance Code (UKCGC).
As of 31 March 2012 The Board of Trustees comprised five non-executive directors and four
executive directors. The members are drawn from a range of backgrounds and offer a combination of
professional, commercial and financial skills.
The following were Non-Executive Directors as at 31 March 2012:
Andrew Webster (Chair)
Dr Angela Lennox CBE
Sarah Wood OBE
Caroline Bailey
Christopher Parker (appointed December
2011)
All of Turning Point‟s non-executive directors are considered independent under the criteria of the
UKCGC. The Vice Chair is the senior independent director.
The following were Executive Directors as at 31 March 2012:
Lord Adebowale CBE (Chief Executive,
Secretary)
David Hoare (Deputy Chief Executive)
Andy James (Assistant Chief Executive –
Finance & IT)
Julie Bass (Assistant Chief Executive –
Service Performance)
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TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
GOVERNANCE (CONTINUED)
The Board met formally ten times between April 2011 and March 2012.
Board attendance 2011-12
Apr
May
Jun
Andrew Webster
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Hilary Rowell
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Angela Lennox
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Justin Russell
Sarah Wood
Caroline Bailey
Chris Parker
Victor
Adebowale
David Hoare
Andy James
X
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Jul
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Julie Bass
X
X
A dash (-) indicates that the meeting fell outside of a Board member’s term of appointment.
Conflicts of Interest
A register of interests of Board members is maintained, and members are required to declare any
potential conflicts of interest relating to the agenda of any meeting. The executive board members
have declared their interests regarding discussion of changes to the Turning Point pension‟s scheme,
as they are members of the scheme. This was permitted because the changes discussed and the
recommendations made were not to their personal benefit.
The Chair of the Board took new employment as the Director of Adult Services for the West London
Tri-borough partnership, in which Turning Point operates social care services. The Board has allowed
this interest as it has not had direct relevance to any of the discussion or decisions of the Board. The
Chair will recuse himself from any discussions that may give rise to a conflict of interests.
Audit Committee
As part of Turning Point‟s governance structure, responsibility for reviewing the company‟s overall
financial position and its processes and systems of financial and quality control resides with the Audit
Committee. The Audit Committee receives reports from both internal and external auditors as well as
executives and senior managers and can commission the internal audit function to scrutinise
particular areas of concern if necessary.
As at 31 March 2012, the members of the Audit Committee were as follows:
Sarah Wood OBE (Chair)
Dr Angela Lennox CBE
Andy James, Assistant Chief Executive – Finance and IT
David Hoare, Deputy Chief Executive
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TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
GOVERNANCE (CONTINUED)
Other executives and senior managers are invited to Audit Committee meetings as a matter of
course.
The committee met four times between April 2011 and March 2012.
Audit Committee attendance 2011-12:
Sarah Wood
Angela Lennox
Andy James
David Hoare
Apr
Jul
Oct
Jan
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X
The work of the Audit Committee in 2011-12 included the full review of the annual financial
statements, regular review of the finance indicators and financial information, oversight of the internal
audit function and agreement of the internal audit programme and service level, the reserves policy,
treasury management policy, review of accountancy procedures, and the corporate risk register.
Performance evaluation
The Board reviewed its effectiveness at the April 2012 meeting, in line with the process detailed in the
Governance Standing Orders. Board members reviewed their collective work over the year and
concluded that they had met their agreed objectives, as follows:
1. The Board reviews the quality of its decisions, advice and actions
2. The company's organisation, structure and capability are appropriate for implementing its
chosen strategies
3. The Board sets and reviews the vision and mission and monitors progress against the
strategic objectives
4. The Board regularly reviews the company's strengths, weaknesses, opportunities and
threats
5. The organisation's culture encourages continuous change and questioning of convention
6. The Board clearly delegates authority to management and regularly reviews performance
7. The Board has delivered its business objectives
8. The Board understands market conditions and how the organisation drives and places
itself within the market
Updated objectives for the next year were also agreed. The Board did not elect to use external
facilitation of its performance evaluation this year.
In April and May 2012, the Audit Committee reviewed its effectiveness for 2011-12 based on key
questions updated from the assessment process used last year.
Recruitment
In anticipation of the retirement of two members who completed their maximum terms in December
2011, a nominations committee was convened, which consisted of the Chair of the Board, the Vice
26
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
GOVERNANCE (CONTINUED)
Chair, and the Chief Executive and was supported by an external strategic consultant. The
nominations committee established the need for a single new non-executive board member (in line
with the principle of a balanced unitary board) with knowledge and expertise in product development
and opening new markets. An open application process, widely advertised, attracted a large number
of candidates. With due consideration to the skills requirements and diversity of the Board, the
nominations committee went through a defined shortlisting process and selected five candidates for
interview, eventually recommending Christopher Parker, whose appointment was confirmed at the
December 2011 meeting of the Board.
Board remuneration
The Board did not convene a remuneration committee during 2011-12. Non-executive and executive
remuneration has not changed in the period.
Subsidiaries and partnerships
Turning Point has two wholly owned subsidiaries: Turning Point (Services) Ltd and Turning Point
Building Futures Ltd.
Turning Point (Services) Ltd. is the trading arm of the parent charity. Its Board, which meets annually
to agree the financial statements, is populated from the Board of its only member, Turning Point, and
also has an additional independent director. Appointments to its Board and other decisions are made
via written resolution signed by its Chair and a representative of its members.
Turning Point Building Futures Ltd. was set up with funding from the Future Builders initiative (now
Social Investment Business) to develop new sites where people with a combination of challenges
including learning difficulties, mental illness and substance misuse issues can begin to live
independently in the community. Its Board, which is an independent decision-making body, includes
non-executive and executive members of Turning Point‟s Board, as well as Turning Point staff, and an
independent director.
Northern Pathways Ltd. is Turning Point‟s joint partnership with The Retreat, delivers mental health
services in northern England. Its Board includes a balance of members from Turning Point and the
Retreat, and it shares a registered address with Turning Point and its subsidiaries. As described in the
Internal Controls Assurance statement below, Turning Point‟s governance and quality controls apply
to this partnership in the same manner as to the wholly-owned subsidiaries.
INTERNAL CONTROLS ASSURANCE
Responsibility for review of internal controls is delegated to the Audit Committee. The Chief Executive
Team report on internal controls is presented to the Audit Committee for consideration along with the
Internal Controls Assurance Statement which is subsequently recommended to the Board. The Audit
Committee presents an annual report to the Board regarding its work over the course of the year.
The Board has final responsibility for establishing and maintaining the whole system of internal control
and for reviewing its effectiveness. This applies to all entities within the Turning Point group of
companies including our joint venture with The Retreat, from which the Board receives performance
27
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
INTERNAL CONTROLS ASSURANCE (CONTINUED)
information on an exceptions basis. The Turning Point Board continues to apply a risk-based
approach to internal controls which are embedded within normal management and governance
procedures and are summarised in a corporate register. This approach includes the regular
evaluation of the nature and extent of risks to which the Group is exposed and is consistent with
external guidance and best practice.
Management groups review risks and controls as part of the Integrated Governance Framework,
which defines reporting lines and areas of responsibility for review and management within the
organisation. The work of those groups is reported to the Audit Committee and the Board on an
exceptions basis, The Board recognises that no system of internal control can provide absolute
assurance or eliminate all risk. The system of internal control is designed to manage risk and to
provide reasonable assurance that key business objectives and expected outcomes will be achieved.
This system relies on management groups identifying and assessing risks and raising them to the
Audit Committee and Board as necessary. Additional assurance is gained from reviews by external
regulatory agencies such as the Care Quality Commission and local commissioners.
The Board confirms that the process for identifying, evaluating and managing the significant risks
faced by the Group is ongoing, has been in place for the whole of the 2011/12 financial year and up to
the date of approval of the annual financial statements and is regularly reviewed by the Board. The
Board has reviewed its internal controls system during 2011/12 and notes that:
i.
Formal policies and procedures are in place relating to the delegation of authorities which
allow the monitoring of controls and restrict unauthorised use of the company‟s assets
including the Treasury Management & Reserves Policies and the financial procedures.
ii.
There is a clear strategy and policy on fraud covering the prevention, detection and
reporting of fraud together with the recovery of assets.
iii.
Budgets are prepared, quarterly forecasting conducted, and monthly financial reports
produced to allow Board and management to monitor key business risks and financial
objectives together with progress against financial plans.
iv.
All significant new investment projects are subject to formal authorisation procedures and
subsequent monitoring.
v.
The Audit Committee reviews reports from management, internal auditors and external
auditors to provide reasonable assurance that control procedures are in place and are
being followed.
vi.
Suitably experienced and qualified staff take responsibility for key business functions.
vii.
A robust risk management process is in place to identify and monitor key risks throughout
the organisation with mitigating actions driven through the planning process into
departmental operating plans.
28
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
INTERNAL CONTROLS ASSURANCE (CONTINUED)
viii.
A system of key performance indicators linked to business plan targets is in place allowing
management and Board to monitor progress towards business and financial objectives and
take proactive management action.
ix.
A whistle blowing policy is in place and effectively communicated.
x.
A comprehensive internal audit programme is controlled by the Audit Committee with
recommendations for improvements resulting in management action plans as appropriate.
Conclusion
The Board has reviewed the effectiveness of the system of internal controls in existence for the year
ended March 2012 and until the date of approval of these accounts. No significant weaknesses were
found in the internal controls which resulted in material losses, contingencies or uncertainties that
required disclosure in the financial statement or in the auditor‟s report on the financial statement.
Social housing legislation requires the Trustees to prepare financial statements for each financial
year, which give a true and fair view of the state of the Group and Charity as at the end of the
financial year and of the income and expenditure of the Group and Charity for the year ended on the
date. In preparing those financial statements, suitable accounting policies have been used, framed, to
the best of the Trustees‟ knowledge and belief, by reference to reasonable and prudent judgements
and estimates and applied consistently.
Applicable accounting standards have been followed. The Trustees are also required to indicate
where the financial statements are prepared other than on the basis that the Group and Charity is a
going concern.
The Trustees are responsible for ensuring that arrangements are made for keeping proper books of
account with respect to the Group and Charity‟s transactions and assets and liabilities and for
maintaining a satisfactory system of control over the company books of account and transactions.
The Trustees are also responsible for ensuring that arrangements are made to safeguard the assets
of the Group and Charity and hence for taking reasonable steps for the prevention and detection of
fraud and other irregularities.
So far as each of the Trustees are aware, there is no relevant audit information of which the charitable
company‟s auditors are unaware. The Trustees have each taken all the steps that we ought to have
taken as Trustees in order to make ourselves aware of any relevant audit information and to establish
that the charitable company‟s auditors are aware of that information.
RESERVES POLICY
The Board of Trustees at Turning Point has an approved reserves policy, which is designed to ensure
that Turning Point is able to cope with unforeseen expenditure or loss of income by maintaining an
appropriate level of unrestricted funds. We have assessed our risks, and consider that a target of one
twelfth of annual Group income for our Unrestricted Reserves balance is still appropriate. Our
Unrestricted Reserves balance is largely represented by Fixed Assets, and therefore we have a lower
29
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
REPORT OF THE TRUSTEES (CONTINUED)
RESERVES POLICY (CONTINUED)
level of “Free Reserves” as per the Charity Commission definition. Whilst not all our reserves are
liquid, we feel the level of risk is manageable as the Board has reviewed our cash flow forecasts and
are satisfied that they are adequate for the purpose of meeting our working capital requirements and
coping with the financial impacts of the risks faced by the organisation.
ANNUAL INVESTMENT POLICY
The Trustees have delegated the review of the Annual Investment Policy to the Audit Committee. This
policy addresses the management of cash flows, banking, and money market transactions; the
effective control of the risks associated with those activities; and the pursuit of optimum performance
consistent with those risks. The Group‟s investment priorities are:
To provide security for any investment balances
To provide adequate liquidity to enable the achievement of the Group‟s aims
To regularly review and consider whether an ethical approach to investment activity is
required
Following the above key priorities maximising investment returns
The policy was reviewed and approved by the Audit Committee in April 2012
Auditors
The auditors, Crowe Clark Whitehill LLP have expressed a willingness to continue in office. At the
Board meeting in July 2012, it is proposed that Crowe Clark Whitehill LLP be reappointed as external
auditors for the forthcoming year.
BY ORDER OF THE BOARD
30
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF TURNING POINT LIMITED
We have audited the financial statements of Turning Point Limited for the year ended 31 March 2012,
which comprise the Group Profit and Loss Account, the Group and Parent Company Balance Sheet,
the Group Cash Flow Statement and the related notes numbered 1 to 30.
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 company's members, as a body, in accordance with Chapter 3 of
Part 16 of the Companies Act 2006 and Section 128 of the Housing and Regeneration Act 2008. Our
audit work has been undertaken so that we might state to the 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 company and
the 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, the Trustees 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 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 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 company's circumstances and have been consistently
applied and adequately disclosed; the reasonableness of significant accounting estimates made by
the directors; and the overall presentation of the financial statements.
In addition, we read all the financial and non-financial information in the Trustees 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 group‟s and the parent company's affairs as at 31
March 2012 and of the group‟s profit 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.
Part III of Schedule 1 to the Housing Act 1996 and the Accounting Requirements for
registered social landlords General Determination 2006.
31
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF TURNING POINT LIMITED
(CONTINUED)
Opinion on other matter 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.
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:
adequate accounting records have not been kept by the parent company, or returns adequate
for our audit have not been received from branches not visited by us; or
the parent company 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 information and explanations we require for our audit.
32
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
COMPANY NUMBER 793558
CONSOLIDATED INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2012
Group
Notes
2011
£000
79,351
(79,114)
1,004
(975)
75,933
(75,331)
1,024
(976)
TURNOVER
Operating Costs
Share of Northern Pathways Turnover
Share of Northern Pathways Operating Costs
Profits from Northern Pathways
78,003
(78,715)
74,793
(75,071)
30
30
29
48
OPERATING SURPLUS / (DEFICIT)
2
266
650
(683)
(230)
132
74
(170)
(133)
27
(253)
132
53
(9)
(133)
26
(99)
4
302
291
(507)
(436)
(261)
(20)
(261)
(20)
41
271
(768)
(456)
SURPLUS AT BEGINNING OF YEAR
5,125
4,854
5,375
5,831
SURPLUS AT END OF YEAR
5,166
5,125
4,607
5,375
Profit / (Loss) on sale of fixed assets
Interest receivable and similar income
Interest payable and similar charges
2
2
2012
£000
Charity
Restated
2012
2011
£000
£000
SURPLUS/(DEFICIT) ON ORDINARY
ACTIVITIES
Transfer (to) / from reserves
SURPLUS/(DEFICIT) AFTER TRANSFERS
16
The company‟s turnover and expenses all relate to continuing operations. The result for the year has
been calculated on the historical cost basis and there are no surpluses or deficits other than those
shown above.
33
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
COMPANY NUMBER 793558
BALANCE SHEET
AS AT 31 MARCH 2012
Group
Notes
2012
£000
Charity
2011
£000
2012
£000
Restated
2011
£000
FIXED ASSETS
Tangible assets
Housing properties
- Depreciated Cost
- SHG and
other grants
9
15,403
15,037
7,837
8,536
9
(3,206)
12,197
(3,562)
11,475
(3,206)
4,631
(3,562)
4,974
Other fixed assets
10
400
12,597
818
12,293
333
4,964
661
5,635
CURRENT ASSETS
Debtors
Cash at bank and in hand
12
8,774
1,854
10,628
7,988
2,842
10,830
8,125
(134)
7,991
6,239
1,068
7,307
13
(9,794)
(9,788)
(7,278)
(6,551)
834
1,042
713
756
13,431
13,335
5,677
6,391
(7,563)
(7,768)
(368)
(574)
5,868
5,567
5,309
5,817
702
5,166
442
5,125
702
4,607
442
5,375
5,868
5,567
5,309
5,817
CREDITORS: AMOUNTS
FALLING DUE WITHIN ONE YEAR
NET CURRENT ASSETS/(LIABILITIES)
TOTAL ASSETS LESS
CURRENT LIABILITIES
CREDITORS: AMOUNTS FALLING
DUE AFTER MORE THAN ONE YEAR
14
NET ASSETS
CAPITAL AND RESERVES
Designated reserves
Unrestricted reserves
16
34
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES
AS AT 31 MARCH 2012
Charity
2012
£000
Restated
2011
£000
Deficit for the year
(508)
(435)
Total recognised gains and losses relating to the year
(508)
(435)
Change in method of deconsolidation as explained in note 25
(351)
Total gains and losses recognised since the last annual report
(859)
35
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
CONSOLIDATED CASH FLOW STATEMENT
FOR THE YEAR ENDED 31 MARCH 2012
2012
Notes
Net cash inflow / (outflow) from
operating activities
£000
17
Returns on investments and
servicing of finance
Interest received
Interest paid
2011
£000
£000
208
74
(170)
(1,263)
27
(253)
(96)
Capital expenditure and financial
investment
Acquisition and construction of
housing properties
Disposal of housing properties
Capital Grants received
Capital Grant disposed
Purchase of other fixed assets
Disposal of other fixed assets
9
9
20
20
10
10
(1,422)
573
0
0
(46)
0
Net cash inflow / (outflow) before
financing
Financing
Capital Loans Received
Capital Loans Repaid
Increase / (Decrease) in cash
£000
(226)
(4,299)
48
166
(130)
(285)
261
(895)
(4,239)
(783)
(5,728)
0
(205)
4,494
(148)
18
(205)
4,346
19
(988)
(1,382)
36
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
ACCOUNTING POLICIES
The financial statements have been prepared in accordance with applicable Accounting Standards,
the Accounting Requirements for Registered Social Landlords Determination 2006, and the Statement
of Recommended Practice (SORP) “Accounting by Registered Social Housing Providers: Update
2010”.
(a) Accounting convention
The financial statements are prepared under the historical cost convention.
(b) Going Concern
After making enquires, the Trustees have a reasonable expectation that the Group has
adequate resources to continue its activities for the foreseeable future. Accordingly, they
continue to adopt the going concern basis in preparing the financial statements as outlined in
the Statement of Trustees Responsibilities on page 29.
(c) Basis of consolidation
The financial statements consolidate the accounts of the Charity, two wholly owned
subsidiaries; Turning Point Services Limited and Building Futures Ltd, and a 50% Joint
Venture; Northern Pathways, which is incorporated under the Companies Act 1985.
(d) Turnover
Turnover represents contract and grant income from statutory sources (including rents net of
voids and service charges), payments from residents, and donations. Grant income is
recognised when the related provisions for the grant have been met. Donations are
recognised when the charity is legally entitled to the income and the amount can be quantified
with reasonable certainty. All other income is accounted for on an accruals basis.
(e) Capital grants and donations
Capital grants (with the exception of Social Housing Grant – see below) and donations
received are credited to the income and expenditure account over the expected period of the
useful life of the assets acquired.
(f) Social Housing Grants
Grants for capital expenditure on housing properties are deducted from the cost of the fixed
assets to which they relate, as they become receivable
(g) Deferred Income
Contract income and revenue grants are recognised as income in the period in which the
relevant expenditure is incurred.
Deferred income is classified as “Creditors amounts falling due within one year” and includes
contract and grant income received in advance and unspent contracts and grants. These
contracts and grants represent funds that have been received for specific purposes and are
potentially refundable if the conditions of the contract or grant are not satisfied.
Contract and grant income received in the year but which remains unspent at the year end is,
with the agreement of the funder, carried over into the following year.
37
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
ACCOUNTING POLICIES (CONTINUED)
(h) Fixed Assets and Depreciation
Depreciation is provided by the Charity to write off the cost less the estimated residual value
of tangible fixed assets in equal instalments over their estimated useful economic lives as
follows:
 Freehold properties and improvements to freehold properties – purchased properties
owned at 31 March 2011 are not depreciated, as the Trustees consider the residual
values to be in excess of the book values. Constructed properties and properties
purchased after that date are depreciated over 50 years, with the exception of
purchased properties with expected useful lives greater than 50 years, which are not
depreciated but subject to an annual impairment review by the Trustees in
accordance with FRS 11.
 Leasehold properties and improvements to leasehold properties – generally
depreciated over the life of the lease. Building works will be depreciated over the
shorter of the term of the lease and the expected useful life of the asset.
 Fixtures and fittings, office equipment and motor vehicles - over 3 years
 Software – over 5 years
In accordance with the SORP “Accounting by Registered Social Housing Providers: Update
2010”, the overall cost of any property, fixtures and fittings, and office equipment will be split
between significant components to enable each component to be depreciated according to its
economic useful life. The categories of components and the relevant depreciation rates are
those listed above. A „significant component‟ will have a:
 Cost greater than £10,000, AND
 Cost greater than 10% of the whole asset, AND
 Have a useful economic life of less than half that of the whole asset
Where a component is replaced or restored, the carrying amount of the old component will be
disposed of and the new component will be capitalised.
The Charity adopts a policy to write off, in the year of acquisition, items costing less than
£3,000.
(i) Improvements to Properties
Expenditure on existing housing properties is capitalised to the extent that it improves the
economic benefit of the asset either through an increase in rental income, a reduction in
maintenance costs or through an extension of the life of the property.
(j) Capitalised Interest
No interest is capitalised on housing property fixed assets, with the exception of purpose-built
freehold properties where interest is capitalised until the build is complete. Details of
capitalised interest will be disclosed in the Notes to the Financial Statements.
(k) Operating Leases
Rents payable under operating leases are charged on a straight-line basis over the term of
the lease.
38
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
ACCOUNTING POLICIES (CONTINUED)
(l) Pension Costs
The Charity operated a defined benefit pension scheme which is contracted out of the State
Scheme and provides benefits based on final pensionable pay. The Scheme is a multi
employer pension scheme and it is not possible to identify the assets and liabilities of the
scheme which are attributable to the charity. In accordance with FRS17 the scheme is
accounted for as a defined contribution scheme. The assets of the scheme are held
separately from those of the Charity, being invested with State Street Global Consensus Fund
and ING Osiris Property Fund. Contributions to the scheme are charged as paid to the
income and expenditure account. The funds are valued every three years by a professionally
qualified independent actuary, the rates of contribution payable then being determined by
Pension Trustees on advice of the actuary.
st
The defined benefit scheme closed at 31 March 2012 and on 1 April 2012, Turning Point
started a defined contribution scheme.
(m) Designated Reserves
The designated reserve represents amounts set aside by the Trustees and will be used to
cover the cost of repairs and maintenance, health and safety tests, programmed works
(excluding capital expenditure), and to restore buildings used by closing services to their
original specification,
39
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
2a
TURNOVER AND OPERATING SURPLUS
Group
Notes
Turnover
£000
2012
Operating
costs
£000
Operating
surplus/(deficit)
£000
45,752
33,560
79,312
(44,970)
(34,144)
(79,114)
782
(584)
198
0
39
0
0
0
39
79,351
(79,114)
237
Turnover
£000
2011
Operating
costs
£000
Operating
surplus/(deficit)
£000
32,389
43,463
75,852
(31,861)
(43,470)
(75,331)
528
(7)
521
32
49
0
0
32
49
75,933
(75,331)
602
Income and expenditure from lettings
Supported housing accommodation:
Residential services
Non-residential services
3a
Other income and expenditure
Fund raising activities
Other
Total
Income and expenditure from lettings
Supported housing accommodation:
Residential services
Non-residential services
Other income and expenditure
Fund raising activities
Other
Total
40
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
2b
TURNOVER AND OPERATING SURPLUS
Charity
Notes
Turnover
£000
2012
Operating
costs
£000
Operating
surplus/(deficit)
£000
Income and expenditure from lettings
Supported housing accommodation:
Residential services
Non-residential services
3b
Other income and expenditure
Fund raising activities
Other
Total
50,775
27,202
77,977
(44,782)
(33,933)
(78,715)
5,993
(6,731)
(738)
0
26
0
0
0
26
78,003
(78,715)
(712)
Turnover
£000
2011
Restated
Operating
costs
£000
Operating
surplus/(deficit)
£000
Income and expenditure from lettings
Supported housing accommodation:
Residential services
Non-residential services
Other income and expenditure
Fund raising activities
Other
Total
37,054
37,716
74,770
(35,708)
(39,363)
(75,071)
1,346
(1,647)
(301)
0
23
0
0
0
23
74,793
(75,071)
(278)
41
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
This further analysis of Income & Expenditure from Lettings in Note 2a reflects the changes to disclosure
required by the RSL determination 2006
2012
3a
INCOME AND EXPENDITURE
Reg Care
Total Residential
Non-Res
Grand
Housing
Homes
Projects
Projects
Total
Total
£000
£000
£000
£000
£000
£000
303
298
601
1,073
11,056
12,129
0
12,129
4,185
143
2,166
2,309
0
2,309
8,891
1,216
13,222
14,438
0
14,438
13,076
2,373
28,941
31,314
33,560
64,874
62,776
3,589
42,163
45,752
33,560
79,312
75,852
2,490
32,186
34,676
25,070
59,746
24,421
567
7,334
7,901
5,712
13,613
43,335
Routine maintenance
25
236
261
288
549
1,371
Planned maintenance
31
234
265
318
583
2,240
Rent losses from bad debts
(9)
(25)
(34)
0
(34)
(392)
240
1,476
1,716
2,091
3,807
3,418
11
174
185
665
850
936
2a
3,355
41,615
44,970
34,144
79,114
75,331
2a
234
548
782
(584)
198
521
(141)
(2,347)
(2,488)
0
(2,488)
(1,729)
FROM LETTINGS
RSR
2011
Supported
Notes
Group
Income from lettings
Rent receivable
Service charges receivable
Net rents receivable
Revenue grants from local
authorities and other agencies
Total income from lettings
2a
Expenditure on letting activities
Services
Management
Property lease charges
Depreciation of housing properties
Total expenditure on lettings
Operating surplus/(deficit) on
letting activities
Void Losses
42
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
Residential
projects
£000
3b
INCOME AND EXPENDITURE
FROM LETTINGS
Charity
2012
Non-Res
projects
£000
2011
Restated
Total
£000
Total
£000
Notes
Income from lettings
8,441
0
8,441
1,793
Net rents receivable
8,441
0
8,441
1,793
42,334
27,202
69,536
72,977
50,775
27,202
77,977
74,770
34,495
7,860
261
263
0
1,717
186
25,001
5,697
288
318
0
2,091
538
59,496
13,557
549
581
0
3,808
724
54,520
15,122
538
523
(16)
3,680
704
Revenue grants from local
authorities and other agencies
Total income from lettings
2b
Expenditure on letting activities
Services
Management
Routine maintenance
Planned maintenance
Rent losses from bad debts
Property lease charges
Depreciation of housing properties
Total expenditure on lettings
2b
44,782
33,933
78,715
75,071
Operating deficit on
letting activities
2b
5,993
(6,731)
(738)
(301)
(2,295)
0
(2,295)
(1,620)
Void losses
43
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
Group
Group and Charity
4
Charity
2011
£000
2012
£000
2011
£000
INTEREST PAYABLE
AND SIMILAR CHARGES
Bank loans and other loans wholly
repayable within 1 year
5
2012
£000
170
253
9
99
379
379
359
359
341
341
322
322
(100)
(94)
(100)
(94)
472
577
382
488
(29)
(32)
(29)
(32)
587
877
587
877
49
12
59
21
41
2
49
3
SURPLUS ON ORDINARY ACTIVITIES
Surplus on ordinary activities is stated
after charging/(crediting):
Depreciation of housing properties
Other housing
Amortisation of capital grant on
housing properties
Depreciation of other tangible owned
fixed assets
Amortisation of capital grant on
other tangible owned fixed assets
Hire of plant and machinery-rentals
payable under operating leases
Auditors' remuneration:
In their capacity as auditors
In respect of other services
During the year, the auditors invoiced Turning Point £12k (2011: £21k) which related to
Corporation Tax workings, iXBRL preparation and advice regarding a property sale.
44
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
Group
6
STAFF COSTS
Group and Charity
2012
£000
Charity
2011
£000
2012
£000
Restated
2011
£000
Wages and salaries
52,996
50,157
52,996
50,157
Social security costs
4,287
4,155
4,287
4,155
Other pension costs
3,094
2,651
3,094
2,651
60,377
56,963
60,377
56,963
Average number of full time equivalent persons (including the Chief Executive) employed during the year:
Number
Management and administration
Operational
7
DIRECTORS' AND TRUSTEES EMOLUMENTS
Group and Charity
Director Emoluments (including pension
contributions and benefits in kind)
Number
Number
Number
387
413
387
413
1,697
1,489
1,697
1,489
2,084
1,902
2,084
1,902
2012
£000
2011
£000
638
737
The emoluments of directors disclosed above (excluding pension contributions and benefits in kind)
include amounts paid to:
The highest paid director
Trustee Emoluments (including Expenses)
165
165
35
41
8 TAXATION
Group and Charity
Turning Point is a registered charity. In accordance with S466-S517 CTA 2010, it is entitled to
exemption from Corporation tax on certain sources of income including donations, most
investment income and gains and profits from any trading activities carried out in the furtherance of
Turning Point‟s charitable objects, if they are applied to charitable purposes.
Turning Point (Services) Limited and Building Futures Limited, as wholly owned subsidiaries of the
charity, intend to donate a sum equivalent to any taxable profits to Turning Point, to reduce the
company‟s tax liability to nil.
Similarly, Northern Pathways Limited, as a 50% Joint Venture, intends to donate a sum equivalent
to any taxable profits to Turning Point and The Retreat, to reduce the company‟s tax liability to nil.
45
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
9a
TANGIBLE FIXED ASSETS - HOUSING PROPERTIES
Group
2012
£000
16,851
1,422
(1,062)
2011
£000
12,735
4,299
(183)
At 31 March 2012
17,211
16,851
DEPRECIATION
At 1 April 2011
Charge for year
Disposals
1,814
379
(385)
1,455
359
0
At 31 March 2012
1,808
1,814
15,403
15,037
SHG & OTHER GRANTS
At 1 April 2011
Reclassification
Amortised in year
Disposals
3,562
(12)
(100)
(244)
3,654
132
(94)
(130)
At 31 March 2012
3,206
3,562
NET BOOK VALUE
At 31 March 2011
11,475
7,626
At 31 March 2012
12,197
11,475
COST
At 1 April 2011
Additions
Disposals
DEPRECIATED COST
*
The aggregate market value of the properties is, in the opinion of the Trustees, in excess of cost.
Housing properties cost comprises:
Land
Freeholds
Long leaseholds
Capitalised in year
Charged to income & expenditure
1,471
12,174
3,540
1,473
11,297
4,081
17,185
16,851
1,422
1,129
4,299
3,611
2,551
7,910
* The additions to Housing Properties include £1,103k for the build of 2 independent hospitals at
Mastin Moor (Building Futures Ltd). This amount includes £260k (2011: £29k) of capitalised interest
on the loan from SIB which is used to fund the build. Interest is only capitalised during the build.
46
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
9b
TANGIBLE FIXED ASSETS - HOUSING PROPERTIES
Charity
2012
£000
COST
At 1 April 2011
Additions
Disposals
2011
£000
10,304
318
(1,062)
9,996
310
(2)
At 31 March 2012
9,560
10,304
DEPRECIATION
At 1 April 2011
Charge for year
Disposals
1,768
340
(385)
1,446
322
0
At 31 March 2012
1,723
1,768
DEPRECIATED COST
7,837
8,536
SHG & OTHER GRANTS
At 1 April 2011
Reclassification
Amortised in year
Disposals
3,562
(12)
(100)
(244)
3,654
132
(94)
(130)
At 31 March 2012
3,206
3,562
At 31 March 2011
4,974
4,896
At 31 March 2012
4,631
4,974
*
NET BOOK VALUE
47
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
10a
TANGIBLE FIXED ASSETS - OTHER
Group
Fixtures
& fittings
£000
Office
equipment
£000
Motor
vehicles
£000
Total
£000
COST
At 1 April 2011
Additions
Disposals
708
19
(44)
2,012
20
(88)
134
7
(67)
2,854
46
(199)
At 31 March 2012
683
1,944
74
2,701
CAPITAL GRANTS
At 1 April 2011
Reclassification
Amortised in year
Disposals
13
11
(14)
(1)
17
0
(7)
0
17
0
(7)
(10)
47
11
(28)
(11)
9
10
0
19
DEPRECIATION
At 1 April 2011
Charge for year
Disposals
477
133
(34)
1,414
324
(88)
98
16
(58)
1,989
473
(180)
At 31 March 2012
576
1,650
56
2,282
NET BOOK VALUE
At 31 March 2011
218
581
19
818
98
284
18
400
At 31 March 2012
At 31 March 2012
In accordance with the SORP “Accounting by Registered Social Housing Providers: Update 2010”,
the overall cost of any property, fixtures and fittings, and office equipment has been split between
significant components to enable each component to be depreciated according to its economic useful
life. The adjustment to accumulated depreciation was not considered material, so the prior year
results have not been adjusted.
48
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
10b
TANGIBLE FIXED ASSETS - OTHER
Charity
Fixtures
& fittings
£000
Motor
vehicles
£000
Total
£000
COST
At 1 April 2011
Additions
Disposals
440
19
(45)
2,012
20
(87)
134
7
(67)
2,586
46
(199)
At 31 March 2012
414
1,945
74
2,433
CAPITAL GRANTS
At 1 April 2011
Reclassification
Amortised in year
Disposals
14
11
(14)
(1)
16
0
(7)
0
17
0
(7)
(10)
47
11
(28)
(11)
10
9
0
19
DEPRECIATION
At 1 April 2011
Charge for year
Disposals
366
42
(34)
1,414
324
(87)
98
16
(58)
1,878
382
(179)
At 31 March 2012
374
1,651
56
2,081
NET BOOK VALUE
At 31 March 2011
60
582
19
661
At 31 March 2012
30
285
18
333
At 31 March 2012
11
Office
equipment
£000
INVESTMENTS
Group
The Charity's investment differs from the above by an additional £700. This represents the whole of the issued share
capital of Turning Point (Services) Limited, a company incorporated in Great Britain which provides support services
to the Charity, Turning Point Building Futures Ltd which develops residential buildings and Northern Pathways Ltd
which provides mental health services for women. In the opinion of the Trustees the investment in and amounts due
from the Charity's subsidiaries are worth at least the amounts at which they are stated in the balance sheet. All shares
are ordinary shares.
Turning Point Services Ltd has net assets as at 31st March 2012 of £662k (2011 net liabilities £188k). The trading profit
for the year after transfers was £850k (2011 £748k profit).
Turning Point Building Futures Ltd has net liabilities as at 31st March 2012 of £103k (2011 net liabilities £62k). The
trading loss for the year after transfers was £41k (2011 £21k loss).
49
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
Group
12
DEBTORS
Charity
Restated
2011
2012
£000
2011
£000
2012
£000
Rental debtors
Less: provision for bad debts
Net rental debtors
27
0
27
267
(57)
210
27
0
27
160
(57)
103
Due from statutory sources
Less: provision for bad debts
Net statutory debtors
7,299
(504)
6,795
6,052
(298)
5,754
2,061
(62)
1,999
951
(12)
939
Due from TP Building Futures Ltd
Due from Northern Pathways Ltd
Due from Turning Point Services Ltd
Prepayments and accrued income
Other debtors
0
97
0
1,725
130
0
74
0
1,900
50
130
108
4,403
1,328
130
46
74
3,900
1,139
38
8,774
7,988
8,125
6,239
£000
Amounts falling due within one year:
Group
13
Charity
Restated
2011
CREDITORS (AMOUNTS FALLING
DUE WITHIN ONE YEAR)
2012
£000
2011
£000
2012
£000
Grants received in advance
and unspent grants
Other tax and social security costs
Accruals and deferred income
Trade and other creditors
Rents received in advance
0
1,967
5,655
2,172
0
251
1,483
5,058
2,889
107
0
1,863
3,673
1,742
0
0
1,817
3,151
1,583
0
9,794
9,788
7,278
6,551
£000
50
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
Group
14
CREDITORS (AMOUNTS FALLING
AFTER MORE THAN ONE YEAR)
Loans:
Unity Trust
SIB (Future Builders)
Charity
2012
£000
2011
£000
2012
£000
2011
£000
954
6,609
954
6,814
0
368
0
574
7,563
7,768
368
574
The SIB (formerly Future Builders) loan of £6,609k is made up of £1,915k in respect of the Rotherham build,
repayable over 20 years and £4,325k for the Derbyshire build, repayable over 25 years. Both SIB Loans are subject
to an initial repayment holiday of 24 months and interest is fixed at 6% for first 3 years, subject to review. Turning
Point Charity has a further loan of £368k with SIB which is repayable over 4 years and is subject to a 2% interest rate.
The Unity Trust loan is repayable over 20 years and interest is initially charged at 1.75% over the Bank's base rate
until converted to a term loan where interest rates will be fixed at 4.85% for 5 years.
The Unity Trust loan is secured against the property.
15
LOAN REPAYMENTS
Group
Loans to be repaid:
Within one year
Within two to five years
After five years
2012
£000
2011
£000
206
1,357
6,000
204
1,563
6,001
7,563
7,768
51
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
16
RESERVES
At 1 April
2011
£000
Group
Unrestricted - as previously stated
At 31 March
2012
£000
5,125
41
5,166
441
441
261
261
702
702
Designated
Asset Maintenance
Total Designated
At 1 April
2011
£000
Charity
Unrestricted - as previously stated
Restatement of comparatives
Total Designated
Transfer from /
(to) I&E
£000
Transfer from /
(to) I&E
£000
At 31 March
2012
£000
5,726
(351)
5,375
(768)
(768)
4,958
(351)
4,607
441
441
261
261
702
702
Designated
Asset Maintenance
Total Designated
The Designated Reserve balance of £702k relates to Asset Maintenance Reserves which is an ongoing fund
aimed at maintaining our properties (both owned and managed). It is contributed to and accessed by all
properties where we have a maintenance responsibility.
The current balance will be topped up by new contributions.
17
RECONCILIATION OF OPERATING SURPLUS/(DEFICIT)
TO NET CASH INFLOW FROM OPERATING
ACTIVITIES - Group
2012
£000
2011
£000
Operating surplus for the year
Depreciation and amortisation charges
Movement in debtors
Movement in creditors
266
721
(785)
6
650
810
(2,770)
47
208
(1,263)
Net cash inflow from operating activities
52
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
18
RECONCILIATION OF NET CASH FLOW TO
MOVEMENT IN NET FUNDS - Group
2012
£000
2011
£000
Increase / (decrease) in cash
Cash inflow from changes in debt financing
Changes in net funds resulting from cash flows
(988)
(205)
(1,193)
(1,382)
4,346
2,964
Net funds at 1 April 2011
10,610
7,646
9,417
10,610
Net funds at 31 March 2012
19
ANALYSIS OF CHANGES IN NET FUNDS
Group
Cash at bank and in hand
20
At
1 April
2011
£000
Cash
flows
At
31 March
2012
£000
2,842
(988)
1,854
2,842
(988)
1,854
Loan due after one year
7,768
(205)
7,563
Balances at end of year
10,610
(1,193)
9,417
STATEMENT OF CAPITAL GRANT MOVEMENTS
Group and Charity
2012
£000
2011
£000
Balance as at 31 March 2011
3,609
3,700
0
0
0
132
34
166
Amortised in year
Disposals
(129)
(254)
(127)
(130)
Balance as at 31 March 2012
3,226
3,609
Capital grants received
Housing
Other
53
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
21
UNITS/BEDSPACES
Group and Charity
2012
£
2011
£
Supported housing
Registered care homes
232
416
368
395
Total bedspaces
648
763
In management at year end
22
LEASING COMMITMENTS
Group
Payments to be made within the next year under non-cancellable operating leases are set
out below:
2012
2011
Land and buildings
£000
£000
Leases which expire:Within one year
Within two to five years
After five years
Other operating leases
Leases which expire:Within one year
Within two to five years
After five years
23
CAPITAL COMMITMENTS
Group
284
1,095
0
711
728
15
1,379
1,454
2012
£000
2011
£000
214
811
6
96
668
1,031
764
2012
£000
2011
£000
1,099
2,319
0
249
0
Capital expenditure contracted for but not
provided for in the financial statements
Capital expenditure authorised by the
Trustees but not yet contracted for
54
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
24
PENSION SCHEME
Group and Charity
The total net pension cost for the group for the year was £2,014,447 (2011: £2,138,549) until 31st
March 2012. Turning Point participated in the Turning Point Pension Scheme ("The Scheme") which
is a defined benefit pension scheme. This is a multi-employer scheme covering Turning Point,
Northern Pathways and Turning Point Scotland employees (and former employees). Turning Point
Scotland left the Group and became a separate entity in 1999.
The assets of the Scheme are held in common across the three employers and cannot be separately
identified. The pension cost is therefore accounted for as the current level of contributions payable in
line with our understanding of the treatment of such a scheme under the FRS17 accounting standard.
The latest triennial actuarial valuation took place on 31 March 2010. The results showed assets of
£52m, liabilities of £62m, and a deficit of £10m on a prudent ongoing basis. Deficit after allowing for
closure was £6.9m. Turning Point has agreed to pay contributions of £660k p.a. from 1 July 2011,
with TP Scotland agreeing to pay contributions of £270k per annum in order to remove the deficit over
a ten year period. The Scheme assets comprise 73% equities, 18% government and corporate bonds,
and 9% property as at 31 March 2012.
The Turning Point Pension Scheme closed on 31 March 2012, and both Turning Point and Turning
Point Scotland agreed in principle to continue paying the contributions required to remove the deficit
over a ten year period.
On 1 April 2012, Turning Point started a defined contribution scheme.
25 CHANGE IN BASIS OF DECONSOLIDATION
Charity
Turning Point (TP) and Turning Point Services (TPS) work closely together in the provision of services
to service users. Previously, whether a service required Care Quality Commission (CQC) registration
was the principal factor in determining whether contracts were accounted for in TP or TPS, with CQC
registered services being treated as TP contracts.
A review of the contracts within the Group and the original intention of the deed of agency between
TP and TPS dated 2002 has resulted in a change in the basis of deconsolidation to more fairly reflect
the contractual reality and substance of the service delivery.
The change is necessary to reflect the true substance of the relationship between the entities and to
give a fairer presentation of the results and financial position of the entities
55
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
CHANGE IN BASIS OF DECONSOLIDATION (CONTINUED)
The effect of the adjustment on the results for the preceding year is detailed below;
£000
Increase in Turnover
Increase in Operating Costs
43,208
(43,559)
Decrease in Operating Profit
(351)
Increase in Debtors
Increase in Creditors
776
1,127
26 CONTINGENT LIABILITIES
Group and Charity
There were no known contingent liabilities at the year end 2012 (2011 Nil).
27 LEGISLATIVE PROVISIONS
Group and Charity
The Charity and its subsidiaries are incorporated under the Companies Act 1985.
28
SECTION 37 LOCAL GOVERNMENT AND HOUSING ACT 1989
Group and Charity
A grant of £49.1k for Turning Point ACAPS Adult Services was received during the year from the GLE
Group London Councils (ESF). The amount was fully expended in the year for the purposes for which
it was awarded.
Turning Point Peer Mentoring Service received £97.9k during the financial year from the Welsh
Assembly (ESF) which was fully expended during 2011 and 2012.
Birmingham Drugline received a £70k restricted grant during the financial year from Birmingham
Adults and Communities, which was fully expended for the purpose for which it was awarded.
29
OTHER ACKNOWLEDGEMENTS
Group and Charity
Turning Point Worcester Parenting Project repaid The Big Lottery Fund unspent funds relating to the
prior year restricted grant of £12.7k.
The Big Lottery Fund made a restricted grant to Turning Point Carmarthenshire Life Skills Project
during the year 2012 of £35.2k (2011: £299.1k plus an additional £20.4k grant). In addition, at the end
of March 11, £40.6k of the restricted grant was deferred into 2012, with the agreement from the Big
Lottery. The amounts were fully expended during the financial year for the purposes for which it was
56
TURNING POINT AND ITS SUBSIDIARIES
FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2012
OTHER ACKNOWLEDGEMENTS (CONTINUED)
awarded. The Service closed during 2012 so no further funds will be received in respect of this
project.
Comic Relief made a restricted grant to Turning Point ACAPS Adult Service during the year of £15.2k
which was fully expended for the purposes for which it was awarded.
Comic Relief made a restricted grant to Turning Point Sheffield Adult Service for “Young People
Alcohol” during the year of £26.7k (2011: £5.3k) which was fully expended for the purposes for which
it was awarded.
The Community Leadership Network (IES Development Fund) received £88.3k during the financial
year from the Department of Health and an additional £25.7k income was brought forward from 2011.
The Community Leadership Network (IES Development Fund) incurred costs during the financial year
of £87.3k.
30 RELATED PARTY TRANSACTIONS
Group and Charity
Turning Point, Turning Point Services Ltd, Northern Pathways Ltd and Building Futures Ltd are all
entities incorporated in the United Kingdom.
Turning Point Services Ltd is a wholly owned subsidiary of Turning Point. As at the 31st March,
Turning Point Services Ltd owed Turning Point £4,403k (2011: £3,900k) in respect of the
provision of services.
st
Turning Point Building Futures Ltd is a wholly owned subsidiary of Turning Point. As at the 31
March, Building Futures Ltd owed Turning Point £174k (2011: £67k) in relation to supplier
invoices paid on their behalf and the recharge of project manager costs. Turning Point owed
Building Futures Ltd £44k (2011: £21k) for 2 months rent at The Corner House.
During the year, Building Futures Ltd charged rent to Turning Point totalling £264k (2011:
£252k) for the use of the property; The Corner House, 136 Moorgate Road, Rotherham, S60
3AZ.
Northern Pathways Ltd is a joint venture between Turning Point 50% and The Retreat 50%. During
the year, Northern Pathways made on operating profit of £59k (2011 £95k). The profit will be gift
aided and Turning Point will receive £29.5k (2011 £47.5k) in respect of their share holding.
st
As at the 31 March 2012, Northern Pathways Ltd owed Turning Point £98k (2011: £57k) in
relation to the management fee for providing the central function support, Gift Aid and supplier
invoices paid on their behalf.
57