Children respite care charity falls into administration

06 March 2020 3 min. read
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Quantuma has been appointed for the administration of a charity which offers respite care to children and young adults with special needs and disabilities. Hop Skip & Jump was forced to call in the insolvency practitioners after a succession of tough financial years.

The environment for non-profits and charities is looking increasingly bleak in the UK. Dwindling donations and a fall in state funding have pushed many such groups to the brink in recent years. In 2019, this was compounded as charities across the UK were left wondering if their auditors were delivering them value for money, with the reporting that the UK’s largest third sector entities have seen an additional £10 million added to their collective accounting bill in less than four years.

Hop Skip &  Jump is a charity which works with children and young adults across the West of England. Founded in 1982, the group offers respite care to youngsters with special needs and disabilities, employing 50 people across its centres in Kingswood, the Cotswolds, Liverpool, Swindon and Wigan. The Kingswood centre is the charity's biggest and has two sensory rooms, a games room, a music room, extensive outside space with a sports court, adventure play equipment and a selection of castles and forts.

Children respite care charity falls into administration

Following a period of extended hardship, the group has been forced to call in administrators. Hop Skip & Jump reportedly failed to recover from a tough financial year between 2018-2019, as well as a downturn in support, meaning that the group had to appoint Graham Randall and Mark Roach of business advisory firm Quantuma, in a bid to secure the group’s future. Staff will remain in their roles while the administrators "review the immediate options" available to the charity, including the possibility of a sale.

Graham Randall, Partner at Quantuma, commented, “It’s unfortunate to see this long-established charity fall into administration. Charities like Hop, Skip & Jump are reliant on funding and donations to stay afloat and the recent downturn in support has had a significant impact on cash flow. The joint administrators are reviewing the options for the business, which includes the possibility of a sale of either the whole or part of the business, most likely to a similar charity that will continue to provide the excellent range of services that Hop, Skip & Jump have developed over the years.”

Founded in 2013, corporate recovery and business advisory firm Quantuma has seen a busy period recently, as a number of previously up-and-coming UK businesses have floundered amid difficult trading conditions. Advisors from Quantuma recently oversaw the sale of engine remanufacturer Motorman to vehicle management company SYNETIQ. The process was led by advisors Mark Lucas and Fardeen Nariman.