Post by Colin Henderson on Jul 19, 2016 15:40:51 GMT
Keyhouse was a wide-ranging advice and homelessness charity in Keighley with legal aid contracts Apparently its now in administration but not much information out there on why:
KEIGHLEY housing charity Keyhouse Project – which has helped many thousands of people facing homelessness during the past three decades – has gone into administration. The charity has stopped providing services from its Keighley base and administrators have been appointed to handle its affairs. Another organisation, entitled Foundation, has taken over Key House’s contracts with the Legal Aid Agency. Homelessness services across the district – for several years provided by Keyhouse with Bradford Council funding – are now being handled by Horton Housing.
The reason for Keyhouse being placed in administration, only weeks after the closure of one of its homelessness hostels in Wesley Place, is unclear at this stage. Insolvency practitioners FG Newton and ET Kerr were appointed joint administrators of Keyhouse Project on June 22, and are currently managing the charity’s affairs, business and property.
News of the administration was revealed in a statement on Keyhouse’s website and pasted to the door of its offices in Skipton Road, Keighley. The statement says Foundation will in the short term provide advice services in Keighley, but people are also advised to instead go to the Citizens Advice Bureau.
Keyhouse was set up in the early 1980s to run a hostel for homeless young people in Belgrave Road, Highfield, and over the years expanded massively to work as far afield as Halifax, Skipton, York, Scarborough and Richmond. The charity’s services included debt, benefits and housing advice; rented accommodation; affordable and supported housing; empty homes regeneration; housing for refugees and single parents; NVQ training; and hate-crime reporting.
Post by Richard Wilkinson on Jul 22, 2016 12:33:15 GMT
What is also interesting about this that the last set of published accounts, albeit for the period ending March 2015, indicate a reasonable amount of reserves (£800k). However, on closer examination an unusually large amount of money is recorded under the category of 'Creditors- amounts falling to be due within one year' ie money they owed - around (400k). This organisation is not just an advice provider but also do quite a lot of housing provision work - thus rental income was part of their overall organisational income. Out of the £800k only £36k was quickly accessible cash. Presumably they owned a number of buildings. This may explain the unusual reserves position? The cashflow problem is further referenced in the report making reference to their £125k overdraft facility. Reference is also made to the risk of loss of 'core' funding.
There may arguably have been a case for separating the business- though its easy to have the answers with hindsight and from afar.
Always wary of making assumptions without the detail, but whatever has happened the result is that a significant number of people will not be able to access important services and several staff without a job in an area that experiences relatively high levels of poverty and deprivation.