Looking back. Moving forward. EveryChild Annual Report 2011-2012
We are EveryChild. We work to keep families together, keep vulnerable children safe, and get children back with a safe and caring family, wherever we can.
Where we work â€“ 2011/12 1 Cambodia 2 Ethiopia 3 Georgia 4 Guyana 5 Kenya 6 India 7 Malawi 8 Nepal 9 Moldova 10 Peru 11 Russia 12 Tanzania 13 Ukraine
r Chair and Welcome from ou ive. our Chief Execut
More about us an d where we work across the world.
Keeping families together. Our support to families helped r over 13,000 children stay with thei loved ones.
Keeping children safe. Find out how we worked to keep children at risk of violence, exploita tion or abuse safe in 2011/12.
EveryChild Annual Report 2011/12
. Getting children back into families the ss acro ship tner We worked in par r world to reunite children with thei r othe into get them help or , families family-like care.
Making sure children are heard. ts, We taught children about their righ n whe out ak spe and helped them those rights were under threat.
ange. iring ch p s rnments in d g an s, gove m to e in ti c ri n o e Influ cal auth ncourage the t positive bied lo We lob y makers to e ld bring abou arental lic tp ou and po cisions that w hildren withou . e c d f d rl o o e s k w e ma s the s the liv ro to c s a e s chang familie nd their a re a c
Learning, to do better. We shared our successful ways of working and our research findings to help governments and other organisations improve the way they support vulnerable children.
Fundraising. Your support in 2011/12 .
Accounts 24 Our finances. 26 G overnance, structure and management. 28 Auditorâ€™s report to EveryChild. 30 Financial statemen ts. 33 Notes to the finan cial statements. 45 Legal and adminis trative details. Our people.
ard. k, moving forw ok Looking bac râ€™s aims and lo ck on last yea a b rt o p re e W /13. ccessful 2012 forward to a su On the front: A child activity centre in India. ÂŠ Chloe Hall/EveryChild
46 Our partners. 47 Thank you. 3
Welcome from our Chair and our Chief Executive. 10 years of EveryChild – looking back, moving forward. In November 2001, two like-minded organisations merged to form the charity we know and love today. Over the past 10 years EveryChild has run and supported projects in 25 countries with the aim of building positive futures for the world’s most vulnerable children. EveryChild’s success is built on our founders’ long histories and desire to protect and promote child rights. They aimed to enhance the lives of the world’s poorest children by strengthening families and communities. As you’ll discover in this 2011/12 report, this focus is as fundamental today as it was when our colleagues prepared their first ever EveryChild Annual Report. It’s been an incredible 10 years. We’ve formed partnerships with organisations and governments across the world. We’ve had the opportunity to work with inspiring children determined to make the very best of their lives. We’ve seen families, with just a little support and a lot of hard graft, transform their own fortunes. And we’ve contributed to systemic changes that will continue to benefit vulnerable children for years to come. We are proud that the projects we both run and support have been successful enough for EveryChild to hand them over to our partners, or develop into new organisations. This year our work in Moldova, Russia and Ukraine transformed
EveryChild Annual Report 2011/12
into new locally managed and locally run organisations. Elsewhere, in Cambodia, our partner has taken over our joint project with children living on the streets – you can read more on page 18. Making these kinds of shifts in the way we work not only demonstrates confidence in our partners and staff, it places the management of them where it should be – in the countries themselves. Our partners can ensure projects continue long into the future while EveryChild funds are retargeted to where we can be most effective. Turning 10 is not just an excuse to pat ourselves on the back for work well done; it is also a chance to consider the next 10 years. At least 24 million children still live without parental care across the world – without mothers and fathers to look after them, these children are exposed to violence, exploitation and abuse. Failure to protect them undermines worldwide development goals. We are determined to have the greatest impact on the lives of those 24 million children. To do this we must fundamentally change the way we work. This is why we are a founding member of an international alliance of independent national organisations called Family for Every Child. The alliance grew this year as we work towards its launch in 2014. There are 13 founding members working in their own countries to ensure more children grow
Across the world 24 million children are growing up without the safety and protection of their families.
2011/12 at a glance... Spring In Moldova nearly 300 children were helped to return to their families, or found other family-like care, when we supported the closure of three residential institutions. Turning their commutes to cash, 30 City workers trekked from Tunbridge Wells to the City of London and raised £16,000 for EveryChild. Summer We marked World Day Against Child Labour by highlighting the plight of child workers in India and Malawi through The Independent online.
Nadine Nohr Chair
250 foster carers recruited by EveryChild in Georgia received training. They are expected to give homes to over 1,000 children currently in institutional care. Autumn Comic Relief granted us £642,302 to work with child domestic workers in Nepal. After intensive research EveryChild and our partner in Nepal, Children and Women in Social Service and Human Rights (CWISH), began supporting these exploited children. Winter Traders in the City of London were held to ransom by EveryChild ‘fundraiders’ in our Smash ‘n’ Grab, £500 was raised in just 15 minutes.
Anna Feuchtwang Chief Executive up in safe, caring families. By 2014 many more members will be ready to join, creating a global movement for change. By bringing national expertise together we will reach far more children and have even greater influence across the world. We can’t thank those who support us enough for their commitment to vulnerable children over the last 10 years. As you will see from this report, you really do bring about real and lasting changes. Thank you.
Images: © Matt Writtle/Anita Syvret/EveryChild
Actress Hermione Norris (Spooks, Cold Feet) showcased our work in Malawi and helped to raise over £20,000 through the BBC Lifeline programme. Spring
Fundraiders prep ar their Smash n e for ‘ ’ Grab.
We handed over our project working with children at risk of ending up on the streets in Cambodia to our local partner; ensuring vulnerable children are protected long into the future.
Sok, 10, attends a drop in centre run by our partner in Cambodia.
EveryChild â€“ working globally to stop children growing up vulnerable and alone. More than 24 million children grow up without parental care, their survival often threatened by greater risk of malnutrition, violence and exploitation; their future lost by missing out on school, and their childhood. Working with local partners, EveryChild keeps children safe when they are alone and at risk. We protect children in danger of ending up on their own by keeping families together. And we get children back to a safe and caring family, wherever we can. Working in partnership EveryChild works with local partners to maximise our impact. By working with community groups, local non governmental organisations, or alongside government agencies, we benefit from expert local knowledge and can make a difference where there is real need.
Turn to page 46 for a list of our partners worldwide.
By supporting local partners we help to strengthen communities, while ensuring the sustainability of our work and bringing about lasting, positive changes to the lives of the most vulnerable children around the world.
EveryChild Annual Report 2011/12
Where we work â€“ 2011/12 1 Cambodia 2 Ethiopia 3 Georgia 4 Guyana 5 Kenya 6 India 7 Malawi 8 Nepal 9 Moldova 10 Peru 11 Russia 12 Tanzania 13 Ukraine
ys, Moldova ith baby Roman) sa Marsha (pictured w my baby into a children’s “I would never put h no parent and I would home. I grew up witr my baby.” Marsha never want that fosupport from EveryChild receives parenting in Moldova.
Georgia Sasha, 10, and his sis live in a small child ter Dali, 9, set up by EveryChildren’s home in Georgia.
Ethiopia Children play at our partner’s centre for children living on the streets in Ethiopia.
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Malawi Enjoying a meal at centre in Malawi. an EveryChild childcare Moldova: © Chloe Hall/EveryChild Georgia: © David Brunetti/EveryChild Ethiopia: © David Brunetti/EveryChild Malawi: © Matt Writtle/EveryChild
Keeping families together. Poverty, neglect, violence and abuse can lead to family separation. Through training, childcare support or income generation schemes we strengthen families and keep them together. Malawi In Malawi we run over 100 childcare centres for children being cared for by relatives and those from struggling families. The centres provide emotional and educational support, along with nutritious meals. This extra support relieves families of some of the costs of raising children and frees up adults’ time so that they can work and boost their family’s income. This year around 4,230 children attended our centres. Without enough money to support their children, parents, particularly fathers, often make the tough decision to leave their families in search of work. Sadly many aren’t able to send money home, and others simply start a new life elsewhere. To prevent parents or guardians migrating for work, we offer help through loans and educational and farming supplies. In 2011/12, our projects in Malawi kept over 350 children safe in their families. Ethiopia With our partner, Forum on Sustainable Child Empowerment (FSCE), in Ethiopia we run centres where vulnerable children can gain an education. These ‘non formal education’ centres give children who have missed out on school as a result of instability at home the chance to work
EveryChild Annual Report 2011/12
towards returning to mainstream education. FSCE enabled nearly 1,400 children to access education in this way in 2011/12. India We support 340 child activity centres in India’s Karnataka and Tamil Nadu states. These centres are run by local people and give children from lower castes extra educational support. Through the centres our partners can also monitor vulnerable children and spread vital messages about protecting their rights. Over the past year our team in India have worked with other organisations to help families living in poverty access sponsorship funds from their local authority. These funds help children go to school and work towards a better future. Cambodia We support our partner Meahto Phum Komah (MPK) in delivering parenting training in Cambodia to help parents and carers discipline children without violence. We also raise awareness about children’s rights, trafficking and child labour with the aim of protecting children at risk.
partner’s Nearly 1,400 children are benefiting from our the skills free classes in Ethiopia. The classes give them they need to return to mainstream school.
© Chloe Hall/EveryChild
from vity centres in India. The centres give children acti child rted uppo ild-s yCh Ever 340 of one at Children play ren in school and safe from exploitation. child ing keep –– ort supp l ona cati edu a extr poor families
This year in Russia, EveryChild worked with our partner, Partnership for Every Child Russia, to run the country’s only respite care service for children with disabilities. Host families provided care to 97 children throughout 2011/12, giving parents and children a much-needed break.
Our partner ChildLinK worked with the families of 83 children this year to prevent them from leaving home. Poverty had driven many of these children to beg on the street while others were victims of violence or abuse. Through home visits and individual meetings with children, siblings and parents, our partner was able to resolve family problems and ensure children could remain at home where they belong.
We also supported our partner’s service for families in crisis. The service gives emergency support to families under strain to prevent them from being separated. This year 49 children benefited when their families were helped to access this service from their local authorities.
Keeping children safe. With our partners we work to keep children growing up at risk of exploitation, violence or abuse safe. Kenya In Kenya a child accused of crime may find themselves in custody with dangerous adults when they themselves have only committed a minor offence, or no offence at all. With our partner, Pendekezo Letu (PKL), we ensure children are given the support they need to navigate this adult world, and we make sure their rights are protected. Our partner gave legal aid to 115 such children this year. Ethiopia Without their families children are vulnerable and unprotected. In Ethiopia we work with FSCE to provide safe and secure environments for children who have fallen victim to trafficking or sexual abuse. Over the past year, 84 children who had suffered abuse were supported at our partner’s temporary shelter in Adama. FSCE then worked with their families to ensure children could return home. Tanzania Lack of resources or instability at home drives many children in developing countries on to the street in search of a better life. In Tanzania we work with our partner Mkombozi to support vulnerable children living on the street. This year 87 boys found security and support at Mkombozi’s centre for children living on the street. We are working with them and their families to ensure they can return to their own communities safely.
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EveryChild Annual Report 2011/12
EveryChild also supports Mkombozi’s child protection committees. These community-run committees spread child rights messages and monitor vulnerable children. Throughout 2011/12, 34 children at risk of abuse were referred to the committees for protection. Cambodia We support children in prison or accused of a crime in Cambodia to ensure they have the right legal support. We also work with children to help them gain the skills and education they need to make the best of their futures. In 2011/12 we supported almost 150 children within Cambodia’s legal system. Georgia
In 2011/12 we supp Growing up in residential care can be almost 150 children within detrimental to a child’s development. In Georgia we are working hard to close Cambodia’s legal system. down all large government-run institutions and reintegrate children with their families, or find them suitable, safe alternative care. This year we moved almost 200 children from large institutions into small family-like This year we moved homes and found foster care placements almost 200 children for over 270 children – helping them enjoy fro m large institutions their childhoods in safe and caring families. We also trained over 300 fosters carers and established 12 small family-like children’s homes in Georgia. We ensure the quality of children’s care by establishing networks to monitor and support carers. This year we led the formation of the Georgian Foster Care Organisation and two other groups focused on small children’s homes and day care.
into small family-like homes and found foster care placements for over 270 children.
© Matt Writtle/EveryChild
Nicolas and Brian’s stor y Nicolas (left) and Brian (rig ht) are both 15 and live in Ken ya’s notorious Korogocho slum . PKL, our partner in Kenya, have been supporting the boys with leg al aid following accusations of the ft. Without our partner’s help the boys, who deny the charge , would have faced time in an adult jail. With support Nic olas and Brian have been able to await their trial at home, kee ping them safe with their families and allowing them to sit vital end of year school exams. Brian said, “If it wasn’t for PKL, the co urt would have forgotten us an d we would still be in the cells loc ked up with adults.”
Getting children back into families. Wherever we can, we reunite children on their own with their families or help them get into alternative family-based care.
When Mzia was just three months old her mother left her in an institution for babies in Georgia. Mzia’s mum had grown up in institutional care and couldn’t cope with raising her child alone. Nine year old Mzia would have spent her whole childhood in institutions but luckily she is now benefiting from the foster care system EveryChild pioneered in Georgia. Here she is with her foster mother Manana, Mzia says, “The day I came here was very good. I like it here.”
EveryChild Annual Report 2011/12
© David Brunetti/EveryChild
EveryChild and our partner reunited 100 girls with their families in Kenya. Tanzania Along with our partner Mkombozi in Tanzania, we reunited 30 boys with their families. The children were previously living and working on the street and spent time at our partner’s centre before being supported to return to their own families. Some families require extra support before being able to welcome their child back home. This year our partner developed an intensive method for working with these families and has been able to bring three troubled families together in this way. India Many children in India are forced to work to support their families. Often these children live with their employers where they are vulnerable to exploitation and have no way of getting the education they need to build a better future. We helped over 120 children leave employment and return to their homes and schools throughout 2011/12. Over 70 of these children had been living and working on farms or in textile mills to pay off family debts. Kenya
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In the slums of Kenya’s capital Nairobi thousands of people scrape a living by sorting through the waste at huge rubbish dumps for items to sell. Tragically many of these people are children who risk their safety and health, and miss out on school, to boost their families’ incomes by just a few pence. Girls living or working on the street are particularly vulnerable to abuse and exploitation. EveryChild supports these girls by funding our partner’s work
with them and their families. Our partner, PKL, runs a residential centre where girls live for 10 months receiving educational and emotional help before returning to their families. We also support parents, particularly mothers, to help them gain the skills and funds they need to start small businesses. This year 100 girls left the centre to be reunited with their families and return to school. We also work with Solwodi in Kenya to improve the lives of children living in institutional care or child-only families. Where we can, we bring children growing up alone back together with their parents, or other relatives. This year 41 children were reunited with their families. Moldova and Georgia We challenge the prevalence of residential institutions in former Soviet Union countries like Moldova and Georgia. We know that the best place for most children is within a family and work hard to get them out of large institutions that do so much harm. This year EveryChild supported the closure of five institutions in Moldova and a further 10 in Georgia. We ensure all children leaving institutions have safe homes to return to, or we help to find them alternative care with foster families or in small, family-like children’s homes. There are now just seven state-run institutions in Georgia. They are home to around 300 children and we are working with the Georgian government to ensure that these institutions close, and the children are found new homes, by 2014.
Institutional care is no place for a child to grow up. We are working with the Georgian government to ensure the last state-run institutions close by 2014.
Making sure children are heard. We help children, their families and communities find lasting solutions to their problems by enabling them to speak for themselves and take part in decisions that affect their lives. Malawi
Through our childrenâ€™s centres and child rights clubs in Malawi we helped over 5,300 vulnerable children learn about their rights and call on decision-makers to make changes that will improve their lives. This year children from centres and clubs in two areas were able to influence their district education authorities to send teachers to schools suffering a shortage of staff. They also managed to persuade over 150 children who had dropped out of school to return to education.
EveryChild in Moldova worked to develop two policies with the aim of improving child participation within the child protection system. Three regional councils approved the policies and followed up this approval by delivering training in decision-making for children sitting on advisory boards. These young people are part of groups who advise professionals working with the countryâ€™s most vulnerable children.
Nepal In Nepal we began working with a new partner, Voice of Children (VOC), to support children living on the streets. With the aim of providing long-term family care for children who are unable to return to their own families after living on the street, EveryChild and VOC are exploring foster care in Nepal. To lay the foundations of developing a foster care system, our partner worked intensively with five children who may benefit. High level meetings and workshops were also held with members of the central and local governments, other non governmental organisations and social workers to prepare them for supporting children in foster care.
EveryChild Annual Report 2011/12
We began working with children living on the streets in Nepal.
Surabhi’s story Surabhi, now 15, was just 13 when she went to work at a spinning mill. Our partner, READ, helped Surabhi leave the mill. She is now learning computer skills that will help her find secure work as an adult.
In focus… Sumangali Thittam –– exploiting children in Tamil Nadu The Sumangali Thittam, or ‘wedding scheme’, is an exploitative bonded labour scheme that preys on young teenage girls in Tamil Nadu. The scheme sees girls as young as 12 recruited to work in the region’s textile mills on the promise of a large payment in return for three to five years’ service. The girls usually come from the lowest Arunthatiyar caste – the ‘Dalits among Dalits’ or ‘untouchables’. They face a life of harsh discrimination and extreme poverty – poverty that is exploited by textile mill owners in search of cheap labour. In August 2011, EveryChild and our partners in Tamil Nadu interviewed 45 girls affected by the Sumangali scheme. The girls revealed that extreme poverty is the principle factor in joining the scheme. Their families were also persuaded
by promises of three meals a day, comfortable accommodation and entertainment programmes for their children. In reality, on signing up to the scheme girls are forced to leave their homes and live in crowded conditions while working long, exhausting hours. The girls we spoke to reported sexual harassment and verbal abuse from their supervisors and 70% had suffered acute health problems including asthma and stomach and chest pains. Sadly, after sacrificing their rights, their health and their dignity, most girls never receive the payment they are promised. EveryChild is working with local partners in Tamil Nadu to combat the Sumangali scheme through education and family support.
More on page 20. 15
Influencing and inspiring change. By raising awareness, advocating for changes and highlighting the issues affecting vulnerable children we can transform many more lives than through our projects alone. Tanzania With funding from the Department for International Development (DFID) in the UK, EveryChild and two of our partners, Mkombozi and The National Organisation for Legal Assistance (NOLA), in Tanzania are working to raise awareness of, and protect, children’s rights. This year, NOLA formed the Child Justice Forum. Made up of government representatives and civil society organisations, this forum will oversee the implementation of the
Law of the Child Act, which provides the legal framework to realise and protect the rights of Tanzania’s children. Our partners also undertook awareness-raising activities such as community theatre, setting up child rights groups and distributing information leaflets to inform over 8,000 people about children’s rights. A further campaign was launched to spread the word about how to recognise child abuse.
Awareness raising activities such as community theatre, children’s rights groups and leaflets.
rson of (in purple), hands Nina Nayak, Chairpe i Gal m llia Wi ia, Ind hild ryC Eve of Director ort exploring how state support rep our , hts Rig en’s ldr Chi for sion Karnataka State Commis n. improves the lives of vulnerable childre EveryChild Annual Report 2011/12
Kenya As a member of Kenya’s Girl Child Network, our partner PKL helped influence the government to allocate budget for the provision of free sanitary pads for vulnerable girls in primary and secondary schools. Embarrassment and lack of knowledge can lead girls to drop out of school at puberty. Throughout 2011/12 around 22,000 young girls benefited from the free pads, greatly improving their health and ability to continue attending school. India In January 2012, EveryChild in India completed our research into the impact of state sponsorship on children from poor households in Karnataka. The findings were shared at an event attended by key decision-makers, such as the Chairperson of the State Child Rights Commission, and other non governmental organisations. State sponsorship provides funds to children to help them stay in school and train for more positive futures. EveryChild’s research has helped us influence local authorities to ensure that sponsorship funds are paid, and that vulnerable families receive the support they need. Ukraine Advocacy by EveryChild and other organisations in Ukraine led the council representing the country’s provinces to review its programme on childcare reform and family support. Importantly, local
family support payments have been introduced through the programme, which, coupled with the provision of social services, are now making a huge difference to families in need. Worldwide EveryChild’s report series, Positive care choices, grew by two papers. The series highlights the need for investment in a range of care choices for vulnerable children in order to achieve the best possible outcomes for young people. Following on from Scaling down, published in early 2011, we launched Adopting better care and Fostering better care. Together the papers make a case for reducing the numbers of children in residential care and developing foster care and adoption as alternatives. In a joint paper published with the Better Care Network in 2012, Enabling reform, we argued that supporting children with disabilities must be at the heart of childcare reform. Towards the end of the year, EveryChild published a literature review, Making social work work. The review explores social work across the world and calls for vulnerable children to be better assessed so that they receive the support and care they need. Take a look at our reports at www.everychild.org.uk/reports
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Learning, to do better. We try new ways of doing things, and then share what works with communities and governments to bring about lasting, positive change. Worldwide We regularly review our partnerships with the organisations we work with across the world. Through phone calls and reports our partners let us know how we are doing and together we improve the way we work so that more children and communities benefit. This year we finalised monitoring and evaluation guidelines for all our partners and offices. These guidelines help EveryChild and our partners assess the quality and impact of the work we do together. Cambodia, Moldova and Ukraine Over the past year we have handed over our work in Cambodia, Moldova, Russia and Ukraine to local partners. With all of our projects, EveryChild’s ultimate aim is to be able to hand the work over to a local partner so that they can continue changing lives for generations to come. In Cambodia our partner Meahto Phum Komah (MPK) will continue supporting children living on the streets and empowering vulnerable families in order to prevent children from ending up on their own.
EveryChild Annual Report 2011/12
EveryChild in Moldova made the transition to becoming an independent organisation, Partnerships for Every Child Moldova (P4EC), in 2011/12. P4EC will continue to build on EveryChild’s achievements in the field of child rights. Over the past 10 years, EveryChild has been instrumental in overhauling Moldova’s entire social care system. We’ve closed down institutions and introduced concepts such as a foster care and social work to a previously reluctant government. In July 2011, EveryChild handed over our work in Russia to Partnership for Every Child Russia (P4EC). This new Russian organisation, created out of our work, will continue to support families in crisis and give children with disabilities and their carers much needed breaks through the country’s only respite care service. EveryChild’s office in Ukraine has now closed and an independent organisation, Partnership for Every Child Ukraine, has been formed to continue building on our work. Partnership for Every Child is providing professional support to children, families, communities and the government to ensure that every child grows up in a safe and secure family.
a, 10 years ago in Moldov there were no social workers. EveryChild has been instrumental in ere changing this -- now th s. are 1,200 social worker
Boys at Mkombozi’s centre enjoying their newly redesigned accommodation.
In focus… More than just shelter For over 14 years, one of our partners in Tanzania, Mkombozi, has run a residential centre for boys living or working on the street. The centre is a sanctuary for vulnerable young people – keeping them off the streets and safe from harm. As they developed their work, Mkombozi saw that although the centre keeps children safe, it can’t offer the care and nurture of a family. Mkombozi shares EveryChild’s belief that a family is the best place for a child; this is why in 2011/12 they made the decision to change the centre’s aim and structure. Guided by EveryChild’s research paper Scaling down: Reducing, reshaping and improving residential care around the world, our partner reshaped the children’s
accommodation so that boys now live in small groups cared for by just one or two consistent carers rather than a large number of staff. Children no longer stay at the centre long term but live there for up to a year while Mkombozi support them and their families intensively before reuniting them. Our partner also works with whole families, empowering them so that children do not end up on the streets in the first place. Mkombozi, with support from EveryChild, are now sharing their successful restructure with other organisations running similar care homes with the aim of ensuring better care for vulnerable children across Tanzania.
Fundraising. Thanks to people like you, we raised £8.7 million in 2011/12. Click for more.
Despite the continuing tough economic climate, the majority of our funds came from the UK public who responded to our appeals, online messages and fundraisers on the street with donations and legacies totalling £5.8 million. This income is largely unrestricted, which hugely benefits EveryChild as we are able to target our resources where the need is greatest. Members of the public also dug deep for EveryChild by sponsoring friends, colleagues and relatives taking part in events. In May 2011 over 30 people raised £16,000 for our work in Georgia by trekking 35 miles from Tunbridge Wells to the City as part of Futures for Kids’ inaugural Walk to Work. In September corporate supporters Tokio Marine Europe took to Dorset’s beautiful coastline for a Jurassic Coast Walk raising a wonderful £10,000 to support projects in Tanzania.
As we handed over our work with children living, or at risk of living, on the street in Cambodia to our local partner this year we also ended our sponsorship programme there. Our loyal sponsors discussed the changes with the EveryChild team and many went on to sponsor children in Malawi and India. TRAID team members Leigh McAlea, Communications Manager, and Lyla Patel, Head of Education, made a trip
EveryChild Annual Report 2011/12
to India to visit an EveryChild and TRAID funded project with child labourers in Tamil Nadu. They met children supported to leave exploitative work and saw how child activity centres are helping to keep children safe and in school. 2011/12 proved to be a challenging year for grants as competition for funds continues to step up across the UK. Despite this, EveryChild has been successful in securing four new funding partners who will support our projects with grants totalling nearly £2 million. We began a three year partnership with the GHR Foundation to support the establishment of an international alliance to help more children grow up in safe and caring families or in appropriate permanent alternative care. Comic Relief and the Jersey Overseas Aid Commission are enabling us to work with CWISH in Nepal to protect child domestic workers, while a grant from DFID will allow EveryChild and our partners to defend child rights in Tanzania. Without the continued support from individuals, companies, trusts and foundations, EveryChild’s work would simply not be possible. Thousands of children, their families and communities are looking forward to a brighter future thanks to you.
© David Brune tti/Ever yChild
red walk raised so on sp s’ id K r fo s Future r our work with fo 0 00 6, £1 ul rf de a won in Georgia. children like these
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Lifeline for vulnerable children
Hermione Norris, star of Spooks and Cold Feet, is pictured with children and a vo lunteer at an Ever yChild-supp orted day centre in Malawi. Hermio ne visited the centre, which he lps vulnerable children through play, ducational activities and nu tritious meals, when filming a BB C Lifeline appeal in 2011. Speaking about the children she met , Hermione said, “The children ha d barely anything, but m ost importantly, and tragically, th ey didn’t have the love and prot ection of their parents. After al l, what else does a child really ne ed?” The Lifeline appe al aired in Januar y 2012 an d raised over £20,000. © EveryChild
©Tokio Marine Europe
on their 23 mile hike along Not tired yet! Tokio Marine Europe employees £10,000 for EveryChild. Dorset’s beautiful Jurassic Coast. They raised
Looking back, moving forward. So how did we do in 2011/12? Take a look at the progress made against our key aims for the year as set out in last yearâ€™s annual review.
5 6 4 2 3 1
Four working papers will be published focusing on positive care choices.
We will have identified, tested and started to raise funds through a new fundraising technique.
We will continue with our three year research project exploring childrenâ€™s reintegration into their families.
Our work in Russia and Moldova will be handed over to independent local organisations created out of our own programmes.
We will make significant progress towards the establishment of an international alliance by recruiting at least 16 founding members.
We will develop our work with new partners in Kenya, Tanzania and Nepal and explore new partnership opportunities in Uganda and Zimbabwe.
EveryChild Annual Report 2011/12
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The year ahead – our aims for 2012/13 We will:
© Matt Writtle/EveryChild
• Explore new partnerships with organisations in Ghana, Tajikistan, Uganda and Zimbabwe.
A girl picks over the rubbish in search of items to sell in Korogocho, Kenya, –– one of the world’s largest and most dangerous rubbish dumps. EveryChild works with our partner, PKL, locally to help children and their families who work on the dump.
1. We will develop our work with new partners in Kenya, Tanzania and Nepal and explore new partnership opportunities in Uganda and Zimbabwe. We worked with Solwodi and PKL in Kenya to support families at risk of separation and children living on the streets. Around 50,444 children have benefited from EveryChild-supported projects in Kenya throughout 2011/12. In Tanzania, our partners Mkombozi and NOLA raised awareness of child rights, supported boys living on the streets and empowered families to stay together. While in Nepal we began working with our partner CWISH on projects with child domestic workers and started to support children living on the street with Voice of Children. We built relationships with organisations in Uganda and Zimbabwe. We will continue to explore working in partnership in both countries in 2012/13. 2. Our work in Russia and Moldova will be handed over to independent local organisations created out of our own programmes. EveryChild in Moldova began to close down in 2011/12 and a new organisation was formed, Partnerships for Every Child Moldova (P4EC), out of our work. In Russia, a new, locally run organisation Partnership for Every Child Russia (P4EC) was founded on EveryChild’s success in the country after our own office closed. 3. We will make significant progress towards the establishment of an international alliance by recruiting at least 16 founding members. We now have 13 members and together we are working towards launching our alliance by 2014.
• Four more national NGOs will be invited to join the coalition working to launch the Family for Every Child alliance. EveryChild and fellow members will also work to formally establish our alliance and agree on its governance structure over the next year. •Increasingly influence global decision-makers through our research, participation in events and media coverage. We will highlight the importance of supporting children without parental care in order to achieve global development goals, particularly focusing on the new framework for the post-Millennium Development Goals agenda beyond 2015.
We met in March 2012 to discuss the aims of the alliance and generate ideas for a name and logo to help us communicate with governments and other organisations across the world. The alliance was named Family for Every Child in May 2012. 4. We will continue with our three year research project exploring children’s reintegration into their families. Since early 2011, EveryChild, our partners and organisations who are now Family for Every Child members have undertaken research into children’s reintegration to their families in Moldova, Nepal, Mexico and Ethiopia. Family for Every Child will publish a paper accompanying this research in 2012. 5. Four working papers will be published focusing on positive care choices. We published Scaling down in March 2011, and followed this up with two more papers later in the year, Fostering better care and Adopting better care. Take a look online at www.everychild.org.uk/reports. A report looking at kinship care is written and will be launched in the autumn of 2012. 6. We will have identified, tested and started to raise funds through a new fundraising technique. Supporters old and new are signing up to be EveryChild Guardians giving them a chance to form a close bond with the communities they support. Visit www.everychild.org.uk/guardians
EveryChild Guardians supp ort vulnerable children in communities across the wo rld. 23
Our finances. 9%
Total income 2011/12 – £8.7 million Grants and contracts Other committed giving Child sponsorship
67% Total expenditure 2011/12 – £8.9 milli Programmes Fundraising
Other donations Gift Aid Legacies and other incomes Income
last year. This is Ever yChild’s income is 3% lower than itional relief trans Aid Gift attributable to the end of in 2010 -11. ived rece g bein and a significant legacy ed at £2.3 million Income from grants and contracts stay and localise our in 2011-12. As we close branch offices 18), the profile projects in some countries (see page s are being of this income is changing. More fund and to support sought to enable us to work with partners y Child alliance. the establishment of the Family for Ever of recession, we As people ever ywhere feel the effects iduals remained are pleased that our income from indiv our generous stable and we would like to thank all . donors for continuing to support our work
Expenditure we began the first We spent 8% more than in 2010/11 as a move from nes outli h year of our new strategy, whic ntry to working cou in es offic projects run by Ever yChild development the in nt stme with local partners, and inve nditure expe Our . nce allia of the Family for Ever y Child £1.1 to n millio £0.3 from on work with partners went funded by million this year – this increase is in part es overseas. offic own our the reduced cost of running y from child Our strategy also maps our journey awa ase in incre term t shor a in sponsorship, resulting r ways othe lop deve we as nt fundraising investme reduce will re nditu expe This me. of generating inco s. over the next few year
Net movement in funds , increased by £0.7 million). ced by £0.2 million this year (2010-11 As a result of the above, our funds redu target. This reduction was planned and is on
Financial policies Reserves policy EveryChild’s Board of Trustees regularly reviews our reserves policy in line with ongoing plans and budgets. EveryChild maintains adequate free reserves in order to absorb set-backs that would otherwise impact negatively on our programmatic plans and to allow us to take opportunities to invest for future development where they arise. The trustees have concluded that a reserves target of £1.2 million is appropriate. EveryChild is spearheading the creation of an international alliance. The Board of Trustees designated £1.1 million of our funds in 2010/11 to facilitate and enable this transition between 2011 and 2014 – to date we have spent £0.3 million of this designated fund. At the balance sheet date, taking into account this designation, free available (‘general’) reserves were £1.3 million, against the target of £1.2 million. Going concern EveryChild has considered its financial performance in the past year, the risks we face going forward and the appropriateness of our reserves to manage those risks. We have also taken account of our financial projections for the next 12 months and beyond, taken from our budgeting and planning processes and with consideration of the potential variations from those forecasts.
We are satisfied that we have adequate resources to continue operating for the foreseeable future, and that we have the appropriate controls in place to manage any material change in circumstances. We have therefore prepared our accounts on the basis that we are a going concern. Investment policy Our investment policy protects the capital value of our funds, particularly given our plans for investment in the development of the above mentioned alliance over the next three years. We therefore hold our funds in bank deposit accounts. Any interest earned is used to support the charity’s objects. Grant making policy EveryChild’s work in some countries is carried out by making grants to partner organisations. Project proposals are subject to approval by EveryChild’s senior management team and trustees to ensure the work is in line with our aims and focus. All projects are subject to a monitoring process during their lifecycle and payment of grants is subject to satisfactory monitoring reports being received.
© Chloe Hall/EveryChild
Members of a credit and thrift society, supporte d by EveryChild, wave their savings books in India. Groups like this one help women look afte r their savings. They also give loans to enable other community members to start new busines ses or projects.
Governance, structure and management. Governing document
EveryChild was incorporated as a company limited by guarantee (number: 4320643) in November 2001 and is a charity registered with the Charity Commission (number: 1089879). The governing documents of the company are its Memorandum and Articles of Association, updated 23rd September 2009.
The Board of Trustees is responsible for the formulation of EveryChild’s strategic plans and for monitoring our progress against those plans, as well as the operational and financial targets. They delegate the main day to day decisions to EveryChild’s senior managers from whom the trustees receive regular reports on all aspects of our work. The board meets formally at least four times a year.
The objects of the charity are set out in the Memorandum of Association, in summary these are: • To relieve hardship, poverty, malnutrition and sickness (whether physical or mental) of children and families. • To promote the care, development or education of children and young people. • In both cases anywhere throughout the world irrespective of their religion sex or race or national origin and in accordance with the United Nations Convention on the Rights of the Child and the United Nations Declaration on the Rights of the Child (1959). • To promote knowledge and observance of that Convention and Declaration. Public benefit It is a duty of the charity’s trustees to report on the organisation’s public benefit in the Trustees’ Annual Report. To meet this requirement, charities must be able to demonstrate that: • There is an identifiable benefit which has arisen by fulfilling the charity’s aims. • The beneficiaries are the public, or a section of the public. The trustees have satisfied themselves that, in achieving the objectives described in this report, EveryChild meets the public benefit requirement. The trustees have given due regard to the Charity Commission’s advice on assessing public benefit in coming to this conclusion.
The Finance and Audit Committee, chaired by the Treasurer, meets four times a year, and reports to the board. In addition, ad-hoc steering groups, with representation from trustees and senior management, are convened as and when required. These have no decision-making authority, and are advisory to the board. Our trustees give their time freely, receiving no remuneration or other financial benefit. Recruitment and induction of trustees Trustees are generally recruited through an open selection process with vacant positions publicly advertised. Applications are encouraged that both reflect the broad community with which EveryChild works, and whose skills and experience match the governance demands of the organisation. Members of the board are elected at the Annual General Meeting by the existing board. Trustees are appointed for a term of three years’ service; this may be extended to a further term. Each new trustee is provided with an induction pack that provides background to the organisation and its current strategic plans, as well as Charity Commission guidance on the role of a trustee. They are given an induction programme during which they can meet key members of staff and are given the opportunity of additional training where necessary or desired. Please see p45 for a list of our trustees.
Risk management Our trustees have overall responsibility for ensuring that EveryChild has appropriate systems of control. They are also responsible for safeguarding our assets and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities and to provide assurance that: • EveryChild’s assets are safeguarded against unauthorised use or disposition; • Proper records are maintained and financial information used within the charity or for publication is reliable; • EveryChild complies with relevant laws and regulations. Staff from each functional department meet on a regular basis to assess risks specific to their areas of responsibility and those that have a broader impact to the organisation. Those risks are consolidated into a risk register identifying their likelihood and potential impact on the organisation and the tasks required to mitigate against them and manage any residual risk. Completion dates and responsibilities are also allocated. The trustees review actions in respect of high risk items along with new and changed priority risks. The trustees are satisfied that these systems ensure that arrangements are in place to manage the risks that have been identified. Key risks include: • The effect of the economic situation on the availability of funds to deliver the strategy. • Security and business continuity issues affecting our overseas operations. • Risks relating to data protection and fundraising data management. • The risk of a child protection incident arising in our, or our partners’, programmes. In addition to the general risk management process EveryChild has implemented child protection policies and procedures, for which a working group is responsible for training all staff and ensuring compliance. Appropriate Criminal Records Bureau (CRB) checks are made for all trustees and disclosures obtained for all staff and non-staff working with or visiting children involved in EveryChild projects.
Statement of trustees’ responsibilities The trustees (who are also directors of EveryChild for the purposes of company law) are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to; • select suitable accounting policies and then apply them consistently; • observe the methods and principles in the Charities SORP; • make judgments and accounting estimates that are reasonable and prudent; • state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and • prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business. The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the trustees are aware: • There is no relevant audit information of which the charitable company’s auditor is unaware; and • The trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information. The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Nadine Nohr Chair, 26 September 2012
Independent Auditor’s Report to the Members of EveryChild. We have audited the financial statements of EveryChild for the year ended 31st March 2012 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and the related notes numbered 1 to 17. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the 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 auditor As explained more fully in the Statement of Trustees’ Responsibilities, the trustees (who are also the directors of the charitable company for the purpose of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board’s 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’ Annual Report to identify material inconsistencies with the audited financial statements. If we become aware of any apparent material misstatements or inconsistencies we consider the implications for our report. Opinion on financial statements In our opinion the financial statements: • Give a true and fair view of the state of the charitable company’s affairs as at 31st March 2012 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended; • Have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and • Have been prepared in accordance with the requirements of the Companies Act 2006.
Opinion on other matter prescribed by the Companies Act 2006
• Certain disclosures of trustees’ remuneration specified by law are not made; or
In our opinion the information given in the Trustees Annual Report for the financial year for which the financial statements are prepared is consistent with the financial statements.
• We have not received all the information and explanations we require for our audit.
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, or returns adequate for our audit have not been received from branches not visited by us; or
Naziar Hashemi Senior Statutory Auditor For and on behalf of Crowe Clark Whitehill LLP Statutory Auditor London
• The financial statements are not in agreement with the accounting records and returns; or
her Esther lives with Nine year old red) Martha (pictu grandmother er’s mother in Kenya. Esth was her when she abandoned res old. Martha ca just six months and grandchildren for five of her them to provide for was struggling has ’s partner, PKL, all. EveryChild getable a set up a ve helped Marth has a regular stall, now she ily. pport her fam income to su
© Matt Writtle/EveryChild
Statement of financial activities. (Incorporating an Income and Expenditure Account) For the year ended 31st March 2012
Notes Unrestricted Restricted funds funds 2012 2011 £'000 £'000 £'000 £'000 Incoming resources Incoming resources from generated funds Voluntary income 3 Investment income Incoming resources from charitable activities Grants receivable Contract income
761 6,380 6,603 - 24 7
4 - 2,205 2,205 4 38 45 83
Total incoming resources
Total resources expended Cost of generating funds Voluntary income
2,886 - 2,886
Charitable activities Grants to partners 357 745 1,102 Programme spend 2,718 2,144 4,862 Governance costs Total resources expended
1,814 514 8,938
2,379 328 5,461
Net (outgoing) / incoming resources before transfers (343) 122 (221) 709 Transfers between funds 13 (76) 76 - - Net movement in funds before other recognised gains and losses (419) 198 (221) 709 Other recognised gains and losses Net gain on investment asset - - - Net gain on foreign exchange - - - Net movement in funds (419) 198 (221) 709 Fund balances at 1 April 2011 3,198 886 4,084 3,375 Fund balances at 31 March 2012
2,779 1,084 3,863
All of the above results derive from continuing operations. The notes on pages 33 to 44 form an integral part of these financial statements.
Balance sheet. As at 31st March 2012
Notes 2012 ÂŁ'000 Fixed assets Tangible assets
8 772 758
Total fixed assets
Current assets Debtors, prepayments and accrued income 10 636 729 Cash at bank on medium term deposit 967 957 Cash at bank on short term deposit and in hand 1,774 1,873 Total current assets 3,377 3,559 Creditors: amounts falling due within one year 11 286 233 Net current assets
Funds Unrestricted funds General reserves 1,309 Designated reserves 1,470
Total unrestricted funds 12 2,779 Restricted funds 13 1,084
These financial statements were approved and authorised for issue by the Board on 26th September 2012 and signed on its behalf by:
Nadine Nohr Chair The notes on pages 33 to 44 form an integral part of these financial statements.
Cashflow statement. For the year ended 31st March 2012
Notes 2012 2011 £'000 £'000 Net cash inflow from operating activities a 26 998 Returns on investments and servicing of finance Interest received 24 7 Capital expenditure and financial investment Payments to acquire tangible fixed assets (139) (161) (Decrease) / increase in cash
b (89) 844
a. Reconciliation of net incoming resources to net cash inflow from operating activities 2012 £'000 Net (outgoing) / incoming resources for the year (221) Depreciation 125 Decrease in debtors, prepayments and accrued income 93 Increase / (decrease) in creditors 53 Interest receivable (24) 26
2011 £'000 709 135 240 (79) (7) 998
b. Analysis of changes in net funds 31 March Change 31 March 2011 in year 2012 £’000 £’000 £’000 Cash on deposit, at bank and in hand 2,830 (89) 2,741 Debt due within one year - - Debt due after one year - - 2,830 (89) 2,741 The notes on pages 33 to 44 form an integral part of these financial statements.
Notes to the financial statements. For the year ended 31st March 2012
The company is a registered charity (No. 1089879) and qualifies for exemption from corporation and capital gains taxes on its charitable activities.
Overseas partners and branches are consolidated within the financial statements where the charity exercises a substantial degree of influence or control over the operations of that entity in accordance with the Statement of Recommended Practice ‘Accounting and Reporting by Charities’.
The company is limited by guarantee and has no share capital. The Memorandum of Association provides that all members are liable to contribute a sum not exceeding £1 in the event of the company being wound up while they are members or within one year of ceasing to be members. 2. Accounting policies These financial statements have been prepared in accordance with the Statement of Recommended Practice ‘Accounting and Reporting by Charities’ 2005, applicable accounting standards and the Companies Act 2006. The principal accounting policies adopted in preparation of the financial statements are as follows:a) Basis of accounting The financial statements are prepared under the historical cost convention, modified to include the revaluation of investments at market value.
d) Income recognition Donations are recognised when receivable, provided that our entitlement and the value can be estimated with sufficient certainty. Gift Aid in respect of donations is credited to the year in which the donation was receivable. Grant income is recognised when there is sufficient certainty that the terms of the grant have been met. Where a grant contains performance conditions which have yet to be fulfilled, the grant income is deferred. Legacies are included in the financial statements as an incoming resource in the year in which the charity is notified and when the value and entitlement of the legacy is known with reasonable certainty.
After making enquiries, the trustees have a reasonable expectation that the charity 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 Financial Review on page 25.
e) Resources expended and basis of allocation of costs
b) Group accounts
The majority of costs are directly attributable to specific activities. Where costs cannot be directly attributed to specific headings they have been allocated to activities on a basis consistent with the use of resources.
EveryChild owns the whole of the share capital of EveryChild Trading Limited. EveryChild is the sole member and Trustee of the European Children’s Trust (ECT) and The Christian Children’s fund of Great Britain (CCFGB). The Trustees consider that the activities of the subsidiary companies are not material, and group accounts are therefore not prepared on the grounds of immateriality. The financial statements accordingly present information about the company as an individual undertaking.
Expenditure is included when incurred, including attributable VAT where it cannot be recovered. In the case of grants to partner organisations, the point of recognition is when there is a legal or constructive obligation committing EveryChild to the expenditure.
Support department costs and other overheads are apportioned between governance costs, cost of generating funds and charitable activities based on the most appropriate cost allocation driver (e.g. headcount, floorspace, proportion of total expenditure).
Notes to the financial statements (continued). For the year ended 31st March 2012 Cost of generating funds These include the salaries, direct expenditure and overhead costs of the staff in offices in the UK who promote fundraising and public relations, including events and provision of supporter services. Grant expenditure Grant payments are recognised when a constructive obligation arises that results in the payment being an unavoidable commitment. Governance costs Governance costs are the costs associated with the governance arrangements of the charity. These costs are associated with constitutional and statutory requirements and include any costs associated with the strategic management of the charity’s activities. f) Operating lease rentals Costs in respect of operating leases are charged to resources expended over the term of each lease. g) Tangible fixed assets The cost of tangible fixed assets is written off over the estimated lives of the assets on a straight line basis. The depreciation rates used are as follows: Fixtures, fittings and equipment Software development Freehold improvements Freehold property
3 years 3 years 10 years 50 years
If an asset is purchased for use in a project or programme, the estimated life of the asset is the lesser of the length of the project or programme, or the rates as above. All assets costing more than £500 are capitalised. Vehicles and equipment for use in overseas operational programmes are not capitalised but charged to charitable expenditure as incurred. This is because the expected useful life is significantly reduced in such programmes, and recoverable value to the charity is not considered material after one year.
Assets in the course of construction are not depreciated until they are completed, at which point they are transferred to the relevant asset category and depreciated in line with the above depreciation rates. h) Investments Listed investments are stated at market value at the Balance Sheet date in order to comply with the Statement of Recommended Practice ‘Accounting and Reporting by Charities’ (issued in March 2005). Realised and unrealised gains are included in the Statement of Financial Activities. Unrealised gains are calculated as the difference between the market values of investments at the beginning and end of the year. Realised gains represent the difference between the sales proceeds and the opening market value of an investment. i) Foreign currencies Foreign currency transactions are translated at the appropriate rates of exchange ruling at the dates of the transactions. Foreign currency balances are translated into sterling at the appropriate rates of exchange ruling at the Balance Sheet date. Gains or losses resulting from conversion of foreign currencies have been dealt with in the Statement of Financial Activities. j) Pension costs The charity contributes to defined contribution pension schemes administered by independent companies. The pension costs represent the contributions payable by the company to the schemes for the year. k) Fund accounting General Reserves are unrestricted funds that are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and that have not been designated for other purposes. Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.
© Chloe Hall/EveryChild
Supporting families in Moldova.
Restricted funds are funds that are to be used in accordance with specific restrictions imposed by donors or that have been raised by the charity for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements. 3. Incoming resources from generated funds 2012 £'000 Committed giving: Child Sponsorship programme 1,937 Other 2,169 Other donations, grants, appeals and fundraising events: GHR Foundation 225 Other 912 Gift Aid receivable 788 Legacies 329 Special events 20 Total 6,380
121 951 918 438 60 6,603
Legacies to an approximate value of £23k have not been recognised as income in the year to 31 March 2012. Although probate was granted prior to 31 March 2012 in relation to these legacies, it was not possible to establish the amount or timing of receipts with sufficient accuracy as at the year end.
© David Brunetti/EveryC
Included within legacies are amounts bequeathed to The European Children’s Trust and The Christian Children’s Fund of Great Britain, and received within the year, which have been granted to EveryChild to be used in accordance with the restrictions under which they were received.
Learning new skills in Ethiopia.
Notes to the financial statements (continued). For the year ended 31st March 2012 4. Incoming resources from charitable activities 2012 2011 £'000 £'000 Grants receivable Big Lottery Fund - 58 Department for International Development - UKAid 228 186 European Commission (IBPP) 193 272 European Commission (TACIS) - 13 European Commission (EIDHR) 53 67 UNICEF 464 447 Comic Relief 408 276 World Childhood Foundation - 72 Jersey Overseas Aid Commission 45 61 USA Embassy - 12 AED 10 24 USAID 798 307 Other 6 19 2,205 1,814 Contract income Total
83 514 2,288 2,328
5. Total resources expended Grants Direct Support Total Total expenditure 2012 2011 £’000 £'000 £'000 £'000 £'000 Cost of generating funds - 2,473 413 2,886 2,379 Charitable activities Keeping families together 448 1,638 243 2,329 2,757 Keeping children safe 484 1,565 239 2,288 2,121 Getting children back into families 170 1,037 140 1,347 911 Total charitable activities 1,102 4,240 622 5,964 5,789 Governance
- 31 32 63 61
Total resources expended
1,102 6,744 1,067 8,913 8,229
5. Total resources expended (continued) Grants payable are made in respect of overseas programmes and research carried out by independent partners on behalf of EveryChild. During the year, grants made to partners were as follows: 2012 2011 ÂŁ'000 ÂŁ'000 Partner Country Project Forum on Sustainable Ethiopia Integrated community based child focused 176 130 Child Empowerment project Reintegration research 10 ABTH Brazil Development of a social w ork assessment tool 34 ChildLinK Guyana HUG 5 Kinship care 23 Pendekezo Letu Kenya Defending the rights of street children 192 27 and their families SOLWODI Kenya Children from child only households 37 - and residential institutions P4EC Moldova Moldova Short break foster care (EU-EIDHR) 18 Children in Moldova are protected from 83 separation, abuse, violence and neglect (USAID) Parent and baby unit 18 CWISH Nepal Reintegrating child domestic 60 7 workers with their families Voice of Children Nepal Foster care 6 Paz y Esperanza Peru Strengthening integral child 3 85 protection mechanisms P4EC Russia Russia Prevention, protection and reintegration 60 Taking action for children (EU-IBPP10) 121 Mkombozi Tanzania Empower children and adults to ensure children 92 fully access their right to protection (DFID) Reintegration and reduction 31 - of residential care NOLA Tanzania Empower children and adults to 22 ensure children fully access their right to protection (DFID) Adilisha Tanzania Reintegration of children on the 4 15 streets back into their families P4EC Ukraine Ukraine Preventing separation of children 104 United Aid Azerbaijan Keeping disadvantaged and - 64 for Azerbaijan disabled children with their families Other - - 3 Total 1,102 328
Notes to the financial statements (continued). For the year ended 31st March 2012 5. Total resources expended (continued) Total resources expended is stated after charging: 2012 £'000 Auditors’ remuneration: UK charity audit USAID RCA audit Losses / (gains) on foreign currency transactions Depreciation Operating leases – equipment
30 16 27 125 42
2011 £'000 29 (66) 135 26
Analysis of support costs Management IT Finance £'000 £'000 £'000 Cost of generating funds
152 95 413
Charitable activities Keeping families together 117 47 80 244 Keeping children safe 114 46 79 239 Getting children back into families 66 27 46 139 Total charitable activities
Total support costs 2012
Total support costs 2011
120 205 622
Analysis of governance costs 2012 £'000 External audit Legal fees Trustee indemnity Allocated support costs Total governance costs
© David Brunetti/EveryChild
Helping children access education in Ethiopia.
30 - 1 32 63
2011 £'000 29 2 30 61
6. Staff costs 2012 £'000 Employee costs during the year: Wages and salaries 2,380 Redundancy costs - Social security costs 241 Other pension costs 73 Total 2,694
2011 £'000 2,508 4 266 86 2,864
The average number of employees during the period, calculated on a full time equivalent basis, was: 2012 2011 Number Number Fundraising Programmes Management and support Alliance Overseas Total
21 12 13 3 168 217
23 11 15 185 234
The number of employees who earned £60,000 or more during the year in the following bands were: 2012 2011 Number Number £60,001 - £70,000 £70,001 - £80,000 £80,001 - £90,000
- - 1
Pension contributions of £6,047 (2011: £5,842) were paid to money purchase schemes in the year in relation to employees earning over £60,000 in the year. 7. Board of trustees The members of the Board received no remuneration during the year. The aggregate amount of expenses reimbursed to trustees in the year was £nil (2011: £197). In the prior year, this related wholly to travel and incidental expenses incurred in attending Board and Sub-Committee meetings and workshops. The number of trustees reimbursed was nil (2011: 2). The Charity incurred costs of £1,467 in relation to trustee indemnity insurance (2011: £1,703). 39
Notes to the financial statements (continued). For the year ended 31st March 2012 8. Tangible fixed assets Freehold Freehold Fixtures, Software Assets under Total property improvement fittings and development construction equipment £’000 £’000 £’000 £’000 £’000 £’000 Cost 1 April 2011 535 153 263 238 Additions - - 59 16 Disposals - - 31 March 2012 535 153 322 254
122 64 -
Accumulated depreciation 1 April 2011 104 82 195 172 - 553 Charge 10 15 46 54 - 125 Disposals - - - - 31 March 2012 114 97 241 226 - 678 Net book value 31 March 2012 421 56 81 28 186 772 31 March 2011 431 71 68 66 122 758
9. Investments in subsidiaries At 31 March 2012 EveryChild owned the whole of the ordinary share capital of EveryChild Trading Limited, consisting of 100 shares, and was the sole member of the European Children’s Trust (ECT) and The Christian Children’s Fund of Great Britain (CCFGB) both of which are limited by guarantee and have no share capital. Investments held by the charity include £100 (2011: £100) investment in the subsidiary company at cost.
5+2=7 10. Debtors, prepayments and accrued income 2012 £’000 Prepayments Gift Aid reclaimable Accrued income Sundry debtors Total
107 116 209 348 293 124 27 141 636 729
11. Creditors: amounts falling due within one year 2012 £’000 Trade creditors Social security and other taxes Other creditors and accruals Total
12. Unrestricted funds General reserves £’000 Balance at 1 April 2011 1,462 Movement in funds for the period (153) Balance at 31 March 2012 1,309 The designated alliance reserve represents funds designated during the year for alliance development, expected to be expended over the next three years.
Designated alliance reserve £’000 1,100 (264) 836
Designated fixed asset reserve £’000 205 (40) 165
88 55 143 286
Designated building reserve £’000 431 38 469
2011 £’000 58 27 148 233
Total £’000 3,198 (419) 2,779
The designated building reserve represents the net book value of the charity’s freehold buildings.
The designated fixed asset reserve represents the approximate value of tangible assets as these funds are not available for day to day operations of the charity.
Notes to the financial statements (continued). For the year ended 31st March 2012 13. Restricted funds Balance at Transfers Movement in the year: Balance at 31 March between Incoming Outgoing 31 March 2011 funds resources resources 2012 Project: £’000 £’000 £’000 £’000 £’000 Alliance (GHR) - - 225 (57) 168 My Home is not the street, Cambodia 41 - 73 (109) 5 Preventing violence against children, Cambodia - - 119 (113) 6 Warm appeal, Georgia - - 71 (71) Advocacy for participation to protect children’s rights, Georgia 54 - - (30) 24 Strengthening childcare systems and services, Georgia 46 - 312 (329) 29 Defending the rights of street children and their families, Kenya 181 (1) 164 (219) 125 Bulala project, Malawi 13 (2) 40 (31) 20 Livelihoods project, Malawi - - 74 (29) 45 Strengthening psychosocial support (UNICEF), Malawi - - 117 (105) 12 Cahul care leavers, Moldova 113 19 6 (138) Children in Moldova are protected from separation, abuse, violence and neglect (USAID), Moldova 68 - 798 (713) 153 Short break foster care (EU-EIDHR), Moldova - - 53 (53) Reintegrating child domestic workers with their families, Nepal - - 237 (59) 178 Taking action for children (EU-IBPP10), Russia 117 - 232 (209) 140 Empowering children and adults to ensure children fully access their right to protection, Tanzania - - 107 (124) (17) Reintegration and reduction of residential care, Tanzania - - 65 (31) 34 Preventing separation of children, Ukraine 93 8 - (101) Construction of training centre, Ukraine 119 9 10 - 138 Other projects 41 43 308 (368) 24 Total
3,011 (2,889) 1,084
13. Restricted funds (continued) Restricted project funds comprise the unexpended balances of donations and grants held for specific purposes. These funds will be expended in accordance with the agreed project objectives and operational plans, over the project term. Other projects include approximately 20 projects that are not individually material and so have not been listed separately.
Transfers between funds relate to closing adjustments on the completion of projects and adjustments of prior year transactions on review of factors such as foreign exchange rates and management contributions. The project reserve for Empowering children and adults to ensure children fully access their right to protection, Tanzania, has a £17k debit balance at the year end owing to funds advanced to EveryChild’s partner prior to the year end (recognised as expenditure in line with accounting policy) but not expended by the partner and so not yet entitled to be claimed from the donor by the year end.
14. Analysis of net assets between funds Tangible Investments fixed assets £’000 £’000 Unrestricted 634 - Restricted 138 - Total 772 - Restricted tangible fixed assets relates to the portion of the Ukraine building funded from restricted funds (see Construction of training Centre, Ukraine, restricted project balance in Note 13 on page 42).
Net current assets £’000
Total 2012 £’000
Total 2011 £’000
2,145 2,779 3,198 946 1,084 886 3,091 3,863 4,084
The total value of the building is £186k (see Assets under construction in Note 8 on page 40). The building will be transferred to Partnership for Every Child Ukraine when it is completed (see Note 17 on page 44).
2,145 + 946 = 3,091 43
Notes to the financial statements (continued). For the year ended 31st March 2012 15. Related party transactions EveryChild owns the whole of the share capital of EveryChild Trading Limited (formerly TROTC Limited) (company number 2702857; registered in England and Wales). EveryChild Trading Ltd donated £nil (2011: £nil) to EveryChild in the year. At 31 March 2012 the amount owed to EveryChild Trading Limited was £nil (2011: £nil). EveryChild is a member and director of The European Children’s Trust (ECT) registered charity number 803070 (company number 2485690; registered in England and Wales). Charitable grants of £nil (2011: £nil) were made by ECT to EveryChild during the year. At 31 March 2012 no amounts remained due to EveryChild. EveryChild is a member and director of The Christian Children’s Fund of Great Britain (CCFGB) registered charity number 287545 (company number 1738194; registered in England and Wales). Charitable grants of £nil (2011: £nil) were made by CCFGB to EveryChild during the year. At 31 March 2012 no amounts remained due to EveryChild.
Anna Feuchtwang, Chief Executive of EveryChild, is the sole director of EveryChild Trading Limited, and a member and director of both The European Children’s Trust and The Christian Children’s Fund of Great Britain. EveryChild used the services of MobiusUK to facilitate a Moldovan study tour during the year to the value of £6,262 (2011: £nil). Dame Jo Williams CBE, a trustee of EveryChild, and her husband are both directors of MobiusUK. MobiusUK put forward a proposal for the work undertaken and was selected in accordance with the normal tendering process for such contracts. All transactions are therefore considered to have been undertaken on an arm’s length basis and no amounts were outstanding at the year end.
16. Operating lease commitments At 31 March 2012 the charity has the following annual commitments in respect of operating leases: 2012 2011 £’000 £’000 Equipment Between 1 and 5 years 96 34 Premises Within 1 year 22 14 17. Post balance sheet events At the year end and at the time of signing these accounts, EveryChild is in the process of de-registration of the branch office in the Ukraine. As at 31 March 2011 all assets had been transferred to the newly formed local Partnership for Every Child Ukraine (an independent legal entity and charitable organisation) with the exception of the training centre which is currently under construction. The building will not be transferred until it is completed in line with Ukrainian law.
The trustees have agreed that, on completion, EveryChild will transfer the building to Partnership for Every Child at no cost to the partnership. As at 31 March 2012, the value of the building in EveryChild’s accounts is £186k (see Assets Under Construction in Note 8 on page 40).
Legal and administrative details. Bankers and deposit holders The Royal Bank of Scotland Plc 9 Pall Mall London SW1Y 5LX Lloyds TSB Bank Plc 39 Piccadilly London W1V OAA Barclays Bank Plc 128 Moorgate London EC2M 6SX CafCash Limited Kings Hill West Malling Kent ME19 4TA HSBC Bank plc 74 Goswell Road Clerkenwell London EC1V 7DA Santander UK plc 2 Triton Square Regent’s Place London NW1 3AN Solicitors Bates Wells & Braithwaite London LLP 2-6 Cannon Street London EC4M 6YH Auditors Crowe Clark Whitehill LLP St. Bride’s House 10 Salisbury Square London EC4Y 8EH Registered Office 4 Bath Place Rivington Street London EC2A 3DR Charity Registration Number 1089879 Company Registration Number 4320643
Our people. Chair Nadine Nohr Chief Executive Anna Feuchtwang Patrons The Rt Hon the Baroness Billingham Donald Brydon CBE Sir Bruce Forsyth CBE Lady Forsyth Dame Deirdre Hutton CBE Elaine Paige OBE Rt Hon Sir Malcolm Rifkind KCMG QC
Board of trustees Nadine Nohr (Chair) Carlos Chiniros (appointed 13th June 2012) Sean Cornwell (appointed 13th June 2012) Dorothy Dalton John Flint Robert Graham-Harrison CMG Dan Higgins (retired 28th September 2011) Trevor Pearcy Anne Richards Andrew Shellard (appointed 13th June 2012) Dr David Tolfree John Trampleasure Pramod Unia (retired 28th September 2011) Dame Jo Williams CBE Company Secretary Ian Hanham
An institution for babies and children in Georgia. EveryChild is working closely with the Georgian government to close down all the state-run institutions and strengthen foster care and social work systems so that vulnerable children can enjoy their childhoods in safe and caring families.
© David Brunetti/EveryChild
Our partners. We work together to stop children growing up vulnerable and alone. Active Youth Initiative for Social Enhancement
Moldova Children Rights’ Centre for Development and Information
Alliance of NGO’s working in child and family protection CCF
Neighbourhood Community Network (NCN)
Child Rights Trust (CRT)
The National Organisation for Legal Assistance (NOLA)
Partnerships For Every Child Moldova (P4EC)
Children – Women in Social Service and Human Rights (CWISH)
Partnership for Every Child Russia (P4EC)
Children of Georgia (CoG)
Paz y Esperanza
Pendekezo Letu (PKL)
First Step Georgia Forum on Sustainable Child Empowerment (FSCE)
Police Child Protection Units (Lilongwe, Mponela and Mzimba )
Georgian Association of Social Workers (GASW)
Georgian Foster Care Organisation (GFCO)
Rights Education and Development Centre (READ)
GURT Resource Centre
Rural Women Development Trust (RWDT)
Help Age International
Shree Goutama Grama Kalyana Kendra (SGGKK)
High Level Group for Moldovan Children (replaced by LUMOS Moldova as result of rebranding)
Society for Assistance to Children in Difficult Situation (Sathi)
Home for All
Solidarity for Women in Distress (SOLWODI)
Hope and Homes for Children
International Charity Foundation ‘Father’s House’
Terre des Hommes (ABTH)
International Leadership and Development Centre
Ukrainian Child Well-Being Fund
Legal Aid of Cambodia (LAC)
Voice of Children (VOC)
Mahila Abhivrudhi Maththu Samrakshana Samsthe (MASS)
Meatho Phum Komah (MPK) Ministry of Gender, Children and Community Development
National Centre for Child Abuse Prevention
Partnership for Every Child Ukraine (P4EC)
Youth Innovation Centre ‘Media-M’
Thank you. We would like to thank all our volunteers and those who have taken on internships at our office in London for donating their precious time to EveryChild. The following individuals and organisations have given significant support to EveryChild in 2011/ 12:
© David Brunetti/EveryChild
Aberdeen Asset Management Anne and Matthew Richards AXA IM Bryan Guinness Charitable Trust Comic Relief European Commission Evan Cornish Foundation Futures for Kids GHR Foundation Ingram Trust Jersey Overseas Aid Commission Medicor Foundation Liechtenstein Nigel and Lisa May Souter Charitable Trust Stitching Cards Stuart McMinnies Susan Edwards The Sound of Eve Foundation Tokio Marine Europe TRAID DFID – UKAid Unicef USAID
On the back: A member of a community group supporting mothers in Ethiopia. © David Brunetti/EveryChild
The names of the children and vulnerable adults in this publication have been changed in order to protect their identities. EveryChild is committed to creating a safe environment for children who benefit from our programmes. Our child protection policy outlines our position on child protection and applies to all staff, trustees and volunteers in EveryChild offices. A special thanks to our photographers who voluntarily give their time to photograph EveryChildâ€™s work around the world.
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