**Charity Registration No. 1006725**
## **BOURNEMOUTH HEART CLUB**
**ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **BOURNEMOUTH HEART CLUB**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
## **Trustees**
**Patron**
Mr Nick Morgan (Chairman) Mr John Slade (Vice-Chairman) Mr Nigel Priest (Treasurer) Mr Graham Flexman MBA MSc DMS CiLCA (Secretary) Mr Peter Wardell Mrs Julia Baker Mrs Susan Strassheim Mr Chris Marshall MRAeS Mr Jeff Osment
Mr Graeme Souness
(Appointed 24 February 2022) (Appointed 24 February 2022) (Appointed 24 February 2022)
(Appointed 24 February 2022)
(Appointed 24 February 2022) (Appointed 24 February 2022) (Appointed 24 February 2022)
**Charity number** 1006725
**Principal address** Royal Bournemouth Hospital (F10) Castle Lane East Bournemouth Dorset BH7 7DW
**Independent examiner** Hill Osborne Tower House Parkstone Road Poole Dorset BH15 2JH
**BOURNEMOUTH HEART CLUB**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees' report|1 - 5|
|Statement of Trustees' responsibilities|6|
|Independent examiner's report|7|
|Statement of financial activities|8|
|Balance sheet|9|
|Notes to the financial statements|10 - 21|
## **TRUSTEES' REPORT**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
The Trustees present their report and accounts of the charity for the year ended 31 March 2022.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's constitution, the Charities Act 2011 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)".
## **Objectives and activities**
The objects of the Club as stated in its Constitution are the relief or prevention of sickness amongst persons with or at risk of cardiovascular disease, and for the rehabilitation of those who have undergone therapeutic cardiovascular intervention or who have chronic debilitating disease.
The Club was established to provide regular exercise sessions and education regarding healthy lifestyle habits amongst persons who have suffered from heart attacks or who have undergone heart surgery or heart procedures. The remit has also been extended to the rehabilitation of patients who have undergone angioplasty, or who are dealing with heart failure. A Prevention Scheme has been developed and launched to cover those at risk of heart issues.
The Heart Club's activities take place in a purpose-built building housing two gymnasiums, changing rooms, members’ lounges and office accommodation.
When the Club moved into the present building in September 1996 there were 405 members and 9 exercise sessions each week. Membership had steadily increased to a peak of 1500 but has declined due to the pandemic and there are now 695 members, 443 exercising and 31 exercise sessions each week.
The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
- 1 -
**BOURNEMOUTH HEART CLUB**
## **TRUSTEES' REPORT (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **Achievements and performance for 2021-22**
- A new, improved website was developed in conjunction with Rejuvenate, our IT support company, and was launched. The website has a friendlier look and feel to it.
- The revised Lease came into force on 6 August 2021, and since that time we have been engaging with the Hospital Estates and Finance Departments to determine the recharges under the terms of the lease. This process has been slow and is still being worked on. A Statement of Dilapidations outlining the condition of the Heart Club building was produced by an external company, and this has been discussed with the Estates Department representative but not yet agreed as work needs to be scheduled by Estates for an agreed view of the state of the building to be agreed. With the current building work under way on the Hospital site, not enough time has been scheduled to complete our requirements.
- The Job Support Scheme was supported until it was withdrawn by the Govt in Sept 2021.
- After a tremendous amount of planning by the Management Team of Caroline, Sam and Rachel a set of procedures were developed and agreed so that we could safely re-open the building and gyms in September 2021. We provide 27 on-site classes each week with a mix of formats, Circuit Exercise, Group Exercise, Assisted Group Exercise and Open Gym, giving members a number of interesting choices about how to exercise, all in a safe, secure and managed environment, taking into consideration the Government, Hospital and local safety restrictions and procedures. In addition, there are 4 zoom classes for those members who don't wish to physically come back to the Heart Club. These five types of classes, along with the availability of after-exercise tea and coffee facilities, mean that the Heart Club is operating as normally as possible.
- A great deal of time has been spent contacting those members who had not renewed their membership during the lockdown in an attempt to get them to return to exercise at the Club. Some have returned but not as many as the Club needs.
- Since the return to operations for the last seven months of the period we have seen returning members and class attendances gradually increase. Membership stands at 695 at the end of March 2022, with around 430 members exercising each month.
- Cardiac Rehab classes were suspended during lockdown with virtual assessments taking place. This had the impact of reduced numbers of new members coming from that source. With new sources of membership being investigated, the Exercise Duty Manager has been developing links with a number of hospital departments based upon the work completed around Long Covid patients. This work will form the basis for growth in 2022-23.
- Sadly, the Heart Club lost Vice-Chairman and long-time member Peter Hodges who died in October 2021, which reduced the number of in-term Trustees to 3, but on 24th February 2022, the Bournemouth Heart Club held the first Annual General Meeting since August 2019. At that meeting six new Trustees were elected and have taken up the task of managing the re-growth of the Heart Club.
- 2 -
## **BOURNEMOUTH HEART CLUB**
## **TRUSTEES' REPORT (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **Financial review**
At 31st March 2022, Building Society and Bank balances plus cash in hand totalled £991,351 (2021 - £1,030,312). After paying creditors the sum of £11,409 (2021 - £11,564), there remains £979,942 (2021 - £1,018,748) for the purposes prescribed in the Constitution.
The Trustees believe that Bournemouth Heart Club needs to build and maintain financial reserves to:
- Meet planned and unplanned expenditure in the short term, including maintenance and repairs, repair and replacement of exercise equipment.
- Safeguard the medium and long-term future of the Bournemouth Heart Club, by investing in new and improved exercise regimes.
Dealing with the first financial objective is straightforward as it represents a normal contingency for any organisation and funds are already in hand. The second financial objective requires significant planning as the Club’s lease with the Royal Bournemouth and Christchurch Hospitals NHS Foundation Trust has been extended for a further 25 years from 2021 to 2046. As a result, the Trustees have decided that there should be two levels of reserve:
- An undesignated general fund to meet the levels of expenditure set out above.
- A designated fund, the value of which remains unrestricted, which is in place to cover the potential costs of three areas, the first being the cyclical cost of replacing exercise equipment, the second is to cover any repairs to the structure of the Heart Club building during the period of the extension of the lease when it is anticipated such repairs are likely to be necessary. Included in this fund is the cost of the lease extension which will be written back to general reserves over the period of the lease, and the third represents the initial spend on Prevention. The levels of these reserves and policies behind them are reviewed annually by the Trustees ahead of the Club’s AGM.
The Trustees have assessed the major risks to which the charity is exposed and are satisfied that processes and procedures are in place to mitigate exposure to the major risks.
**Plans for the forthcoming year 2022-23**
- Complete the discussions around the Lease in terms of agreeing the Statement of Dilapidations, Schedule of Costs, and the Financial reporting.
- The Fundraising Committee will be restarted to develop methods of raising extra funds alongside exercise.
- Communication Strategy: A complete review has taken place since the AGM in February and work has already commenced on the implementation of changes. This will be managed by the Office Manager and a designated Trustee. The activities include the following:
- The Keep Well Scheme has been rebranded as the Keep Well Hub in order to open up club membership to patients suffering from morbidities other than CVD Cardiovascular Disease e.g., Diabetes, Stroke TIA, COPD and Long Covid. Therefore, we will be promoting ourselves as a Multimorbidity Rehabilitation Centre of Excellence where patients can self-refer and undergo an assessment and an initial 20 session exercise programme.
- In association with the UHD Communications team, the Keep Well Hub has already been promoted via the UHD Trust Newsletter, a poster and leaflet campaign in the three UHD hospitals, banner advertising in the RBH Atrium and Main Outpatients department and in the new Poole Outpatients department at the Dolphin Centre. Also press releases have gone out to local media and will continue to do so.
- 3 -
## **BOURNEMOUTH HEART CLUB**
## **TRUSTEES' REPORT (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **Plans for the forthcoming year 2022-23 (continued)**
- Having defined our message, updated our website, and produced promotional material we will be promoting the Keep Well Hub to specific groups of people in various ways:
- Live events in public spaces such as the RBH Atrium, local shopping centres, NHS Trust events and other public events where BHC staff, trustees and volunteer members will seek to engage directly with the public with demonstrations and sponsored exercise challenges. These may also be fund raising events.
- Promotions aimed directly at existing members or lapsed members such as ‘The Power of Two’ campaign, which encourages members to exercise at least twice a week or come back to regular exercising post Covid. These will be communicated via the BHC Heart to Heart newsletter and in the club through the exercise instructors and club noticeboards.
- Promotions aimed at groups of people with specific morbidities such as Diabetes. A scheme for people with Type 2 Diabetes is already in the pipeline with funding in place and due to commence in October.
- Promotions aimed directly at NHS staff who will be able to self-refer and undergo an assessment and 20 session exercise programme, following which they will be eligible to join BHC. This has already commenced with an initial 60 places part funded by the NHS.
- Production of a short video extoling the virtues of becoming a member of BHC primarily for showing to Cardiac Rehab patients at the end of their rehabilitation course and also for use at BHC promotional events.
- Stories and articles about BHC, BHC members or BHC events in the local press, hospital radio, local radio and if a story is strong enough, regional TV.
- The start of a Development Programme for BHC with individual Projects supporting its future development and growth. Some actions and activities will be grouped into Projects and each Project will have a Champion, supported by BHC staff and/or Trustees.
- Focus groups will be introduced to engage with members in order to gain valuable feedback.
## **Structure, governance and management**
The Constitution of the Bournemouth Heart Club was registered with the Charity Commission in December 1991. The Constitution was revised and adopted by the Bournemouth Heart Club on 13th June 2002, and subsequently revised on 9th August 2010, 25th July 2013, 24th July 2014, 20th July 2017 and 24th February 2022. The Club is an unincorporated Association.
The Trustees who served the charity during the year were:
Mr Nick Morgan (Chairman) Mr Peter Hodges (Vice-Chairman) (Deceased 15 October 2021) Mr Colin Southgate (Treasurer) (Resigned 24 February 2022) Mr John Slade (Vice-Chairman) (Appointed 24 February 2022) Mr Nigel Priest (Treasurer) (Appointed 24 February 2022) Mr Graham Flexman MBA MSc DMS CiLCA (Appointed 24 February 2022) (Secretary) Mr Peter Wardell (Appointed 24 February 2022) Mrs Julia Baker Mr Keith Skinner (Resigned 28 August 2021) Mrs Pauline Potentier (Resigned 26 August 2021) Mrs Susan Strassheim (Appointed 24 February 2022) Mr Chris Marshall MRAeS (Appointed 24 February 2022) Mr Jeff Osment (Appointed 24 February 2022)
- 4 -
## **BOURNEMOUTH HEART CLUB**
## **TRUSTEES' REPORT (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
All Trustees (except the President) are elected by the members of the Bournemouth Heart Club for a three-year term of office. The President is elected by the Trustees. Past President and Founder, Dr Adrian Rozkovec will serve the Trustees in a co-opted advisory role, for the same period. The policy and general management of the affairs of the Club are directed by a Trustees Committee comprising the Trustees. Ms Caroline Marshall and Mr Sam Panton are Joint Managers of the Heart Club and their duties include attending meetings of the Trustees Committee.
As the building is owned by the NHS Trust, there is a close liaison through a separate Management Committee, which meets several times each year and comprises:
- The Trustees of the Heart Club
- A Non-executive Director of the NHS Trust
- An Executive Director of the NHS Trust.
No meetings were held during the year due to the Pandemic and a Non-Executive Director of the Trust not being appointed by the Trust. There is now a Board member available to join the Management Committee so meetings will be recommenced.
## **Independent Examiner**
The Trustees have requested that Hill Osborne carry out an independent examination in accordance with the Charity's Constitution.
Signed on behalf of the Trustees Committee
.............................. **Mr Nick Morgan** Chairman Dated: .........................
.............................. **Mr Nigel Priest** Treasurer Dated:.........................
- 5 -
## **BOURNEMOUTH HEART CLUB**
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
The Trustees 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).
The law applicable to charities in England and Wales 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 charity and of the incoming resources and application of resources of the charity for that year.
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 judgements and estimates that are reasonable and prudent;
- state whether applicable 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 charity will continue in operation.
The Trustees are responsible for keeping sufficient accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
- 6 -
## **BOURNEMOUTH HEART CLUB**
## **INDEPENDENT EXAMINER'S REPORT**
## **TO THE TRUSTEES OF BOURNEMOUTH HEART CLUB**
I report to the Trustees on my examination of the financial statements of Bournemouth Heart Club (the charity) for the year ended 31 March 2022.
## **Responsibilities and basis of report**
As the Trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).
I report in respect of my examination of the charity’s financial statements carried out under section 145 of the 2011 Act. In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## **Independent examiner's statement**
Your attention is drawn to the fact that the charity has prepared financial statements in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.
I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
1 accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
- 2 the financial statements do not accord with those records; or
- 3 the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
## **L.Ball, BSc FCA Hill Osborne Chartered Accountants**
Tower House Parkstone Road Poole Dorset BH15 2JH
Dated: .........................
- 7 -
## **BOURNEMOUTH HEART CLUB**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
|**Unrestricted Unrestricted**
**funds**
**funds**
**general**
**designated**
**2022**
**2022**
**Notes**
**£**
**£**
**Income from:**
Donations and legacies
**3**
20,223
-
Charitable activities
**4**
166,738
-
Activities for generating funds
- sales of books, shirts, raffles etc.,
**5**
6,986
-
Investments
**6**
3,484
-
**Total income**
197,431
-
**Expenditure on:**
Costs of generating funds
**7**
920
-
Charitable activities
**8**
307,599
-
**Total resources expended**
308,519
-
Net gains/(losses) on investments
**13**
22,539
-
**Net (outgoing)/incoming resources before**
**transfers**
(88,549)
-
Gross transfers between funds
**20**
23,971
(23,971)
**Net movement in funds**
(64,578)
(23,971)
Fund balances at 1 April 2021
549,320
1,112,853
**Fund balances at 31 March 2022**
484,742
1,088,882|**Total**
**2022**
**£**
20,223
166,738
6,986
3,484
197,431
920
307,599
308,519
22,539
(88,549)
-
(88,549)
1,662,173
1,573,624|Total
2021
**£**
51,032
178,093
9,156
7,000|
|---|---|---|
|||245,281|
|||1,567|
|||284,009|
|||285,576|
|||98,355|
|||58,060
-|
|||58,060
1,604,113|
|||1,662,173|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
- 8 -
## **BOURNEMOUTH HEART CLUB**
## **BALANCE SHEET**
## _**AS AT 31 MARCH 2022**_
|**Notes**
**Fixed assets**
Tangible assets
**14**
**Current assets**
Stocks
Debtors
**15**
Investments
**16**
Cash at bank and in hand
**17**
**Creditors: amounts falling due within**
**one year**
**18**
Net current assets
**Total assets less current liabilities**
**Income funds**
Unrestricted funds - designated
Unrestricted funds-general
Designated funds
**20**
General unrestricted funds|**2022**
**£**
**£**
578,062
3,675
11,945
875,255
116,096
1,006,971
(11,409)
995,562
1,573,624
1,088,882
1,088,882
(604,140)
484,742
1,573,624|**2021**
**£**
**£**
620,913
1,991
20,521
972,025
58,287
1,052,824
(11,564)
1,041,260
1,662,173
1,112,853
1,112,853
(563,533)
549,320
1,662,173|**2021**
**£**
**£**
620,913
1,991
20,521
972,025
58,287
1,052,824
(11,564)
1,041,260
1,662,173
1,112,853
1,112,853
(563,533)
549,320
1,662,173|
|---|---|---|---|
||||1,662,173|
||||1,112,853
549,320|
||||1,662,173|
The accounts were approved by the members of the Committee on .........................
.............................. .............................. Mr Nick Morgan Mr Nigel Priest **Chairman Treasurer** Signed on behalf of the Committee
- 9 -
## **BOURNEMOUTH HEART CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **1 Accounting policies**
## **1.1 Accounting convention**
The financial statements have been prepared in accordance with the charity's constitution, the Charities Act 2011 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
## **1.2 Going concern**
At the time of approving the financial statements, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
## **1.4 Incoming resources**
Income is received by way of membership subscription, exercise fees, donations, gifts, legacies and fundraising activities.
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
Membership subscriptions are included in the accounts in full on the date of receipt.
- 10 -
## **BOURNEMOUTH HEART CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **1 Accounting policies**
## **1.5 Resources expended**
The salaries included within Charitable Activities relate to exercise staff. Within the heading of Office and Centre Costs are included office and administration staff salaries. These staff members spend a proportion of their time in dealing with charitable activities of the Heart Club in relation to membership and exercise classes. However it is impracticable to accurately apportion these costs between specific Charitable Activities and Office Centre Costs and therefore the total costs are shown under the heading Office and Centre Costs.
## **1.6 Tangible fixed assets**
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life. These rates were as follows;
|Lease|25 years straight line|
|---|---|
|Exercise and cardiac equipment|4 years straight line|
|Fixtures and fittings|4 years straight line|
|Office equipment|4 years straight line|
|IT equipment|3 years straight line|
|Tablets and mobile phones|2 years straight line|
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year.
## Heart Club Facilities
Bournemouth Heart Club does not own the completed building but has a lease for 25 years at a peppercorn rent from September 1996 to 2021. In 2010 negotiations were concluded to extend the lease for a further 25 years to 2046. As part of this agreement a capital transfer of £592,000 was made from the Club to the Royal Bournemouth and Christchurch Hospital NHS Trust as a payment in advance (index linked) to cover the cost of the extension from 2021 to 2046. The cost of the lease in Tangible Fixed Assets relates to the cost of the lease of the property for the benefit of the Club from 2021 to 2046. The cost of the lease therefore will be written off in the twenty-five year period from 2021 to 2046. Items of moveable equipment and furnishings are capitalised and shown as part of fixed assets of Bournemouth Heart Club.
## **1.7 Impairment of fixed assets**
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
## **1.8 Stocks**
Stock comprises stamps, car parking fobs and locker tokens and are stated at the lower of cost and estimated selling price less costs to complete and sell, after making allowance for obsolete and slow moving items.
## **1.9 Cash and cash equivalents**
Cash and cash equivalents include cash in hand, deposits held at call with banks and other short-term liquid investments with original maturities of three months or less.
- 11 -
## **BOURNEMOUTH HEART CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **1 Accounting policies**
## **1.10 Financial instruments**
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
## _**Basic financial assets**_
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
## _**Basic financial liabilities**_
Basic financial liabilities, including creditors are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
## _**Derecognition of financial liabilities**_
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
## **1.11 Other investments**
Other investments comprise call deposits with original maturities of more than three months.
## **2 Critical accounting estimates and judgements**
In the application of the charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
- 12 -
## **BOURNEMOUTH HEART CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **3 Donations and legacies**
||**Unrestricted**|Unrestricted|
|---|---|---|
||**funds**|funds|
||**general**|general|
||**2022**|2021|
||**£**|£|
|Donations and gifts|12,738|37,450|
|Legacies receivable|7,485|13,582|
||20,223|51,032|
|**Donations and gifts**|||
|General donations|7,771|31,155|
|Gift aid|3,547|6,200|
|Car parking deposits released to Bournemouth Heart Club|(20)|(25)|
|Car parking fees (non-returnable)|1,440|120|
||12,738|37,450|
## **4 Charitable activities**
|Membership subscriptions and exercise fees
Membership subscriptions and exercise fees - Prevention
Health Assessments
Furlough Grants
Furlough Grants - Prevention
Long Covid
RBCH Trust - reimbursed|**2022**
**£**
87,145
6,885
60
41,371
1,546
5,609
24,122
166,738|**2021**
**£**
37,340
816
-
120,660
4,356
-
14,921|
|---|---|---|
|||178,093|
- 13 -
## **BOURNEMOUTH HEART CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **5 Activities for generating funds - sales of books, shirts, raffles etc.,**
|Easy Fund Raising
Raffles
Live As You Give
Locker Tokens
100 Club
Water
BH Coastal Lottery
Much Loved
Virgin Money
Amazon Smile
PayPal Giving
Purple Patch
Other items|**2022**
**£**
34
959
20
15
2,376
150
2,084
156
-
427
244
186
335
6,986|**2021**
**£**
-
-
-
-
2,352
-
2,152
-
2,787
344
645
837
39|
|---|---|---|
|||9,156|
## **6 Investments**
|**7**|Other investment interest receivable
**Costs of generating funds**
Costs of generating donations and legacies
Jurassic Walk Entries
100 Club
Lottery licence|**2022**
**£**
3,484
**2022**
**£**
-
900
20
920|2021
£
7,000|
|---|---|---|---|
||||**2021**
**£**
(253)
1,800
20|
||||1,567|
- 14 -
## **BOURNEMOUTH HEART CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **8 Charitable activities**
|Exercise staff costs
Office staff costs
Office and centre costs
Prevention staff costs
Cleaning staff costs
Share of governance costs (see note 10)|**2022**
**£**
134,059
64,211
72,474
4,668
21,580
296,992
10,607
307,599|**2021**
**£**
140,831
68,636
44,719
5,973
13,430|
|---|---|---|
|||273,589
10,420|
|||284,009|
- 15 -
## **BOURNEMOUTH HEART CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **9 Office and centre costs**
|Insurance
Staff Recruitment Costs
Advertising - new website (promotional video 2021)
Advertising - leaflets
Minor gym equipment
Advertising/ leaflets - Prevention
Exercise equipment maintenance
Air conditioning maintenance
Website maintenance
Members polo shirts
Telephone
Postage and stationery
Bank charges
Merchant rental charges
EVO monthly charges
Rates
Repairs and maintenance
New parking fobs
Cleaning materials
Depreciation - exercise and cardiac equipment
Depreciation - office equipment and fixtures & fittings
Depreciation - lease
IT maintenance and support
Payroll processing fees
Office equipment
Locker tokens
Refreshments for staff on courses and meetings
Staff Christmas gifts
G4S
Staff training
DBS checks for trustees
Refreshments for members
Staff uniforms
Miscellaneous sundry costs|**2022**
**£**
4,747
250
6,120
120
308
200
225
640
84
-
351
756
148
230
725
4,332
(297)
1,305
633
9,594
9,346
23,911
5,963
308
321
15
10
86
-
700
300
362
16
665
72,474|**2021**
**£**
5,545
-
4,002
-
166
413
(120)
499
134
12
203
1,197
223
230
298
4,332
-
75
220
9,595
10,043
-
6,142
370
698
-
92
-
72
(510)
-
65
18
705
44,719|
|---|---|---|
- 16 -
## **BOURNEMOUTH HEART CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **10 Support costs**
|**Support**
**costs**
**Governance**
**costs**
**£**
**£**
Independent examination
-
2,800
Legal and professional
-
3,233
Bookkeeping fees
-
4,574
-
10,607
Analysed between
Charitable activities
-
10,607|**2022**
**£**
2,800
3,233
4,574
10,607
10,607|**2021** **Basis of allocation**
**£**
2,740 Governance
3,233 Governance
4,447 Governance
10,420
10,420|
|---|---|---|
## **11 Trustees**
None of the Trustees (or any persons connected with them) received any remuneration during the year, or were paid any expenses during the year.
## **12 Employees**
The average monthly number of employees during the year was:
|The average monthly number of employees during the year was:|||
|---|---|---|
||**2022**|**2021**|
||**Number**|**Number**|
|Full time equivalent|8.53|10.45|
|There were no employees whose annual remuneration was £60,000 or more.|||
## **13 Net gains/(losses) on investments**
||**Unrestricted**|Unrestricted|
|---|---|---|
||**funds**|funds|
||**general**|general|
||**2022**|2021|
||**£**|£|
|Revaluation of investments|22,539|98,355|
- 17 -
## **BOURNEMOUTH HEART CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **14 Tangible fixed assets**
|**Cost**
At 1 April 2021
At 31 March 2022
**Depreciation and impairment**
At 1 April 2021
Depreciation charged in the year
At 31 March 2022
**Carrying amount**
At 31 March 2022
At 31 March 2021
**Debtors**
**Amounts falling due within one year:**
Gift aid receivable
RBCH Trust
Prepayments and accrued income
**Investments**
Close Brothers Treasury
Skipton Building Society
Shawbrook Bank
Cambridge & Counties Bank
United Trust Bank
Nationwide Building Society
Yorkshire Building Society
Investec Wealth & Investment Portfolio
Quilter Plc Portfolio|**Lease**
**Exercise and**
**cardiac**
**equipment**
**Fixtures and**
**fittings**
**Office**
**equipment**
**£**
**£**
**£**
**£**
597,778
48,894
43,801
4,411
597,778
48,894
43,801
4,411
-
39,300
30,779
3,892
23,911
9,594
9,003
343
23,911
48,894
39,782
4,235
573,867
-
4,019
176
597,778
9,594
13,022
519
**2022**
**£**
3,537
3,539
4,869
11,945
**2022**
**£**
70,000
-
75,000
82,530
60,000
30,686
5,126
297,403
254,510
875,255|**Total**
**£**
694,884|
|---|---|---|
|||694,884|
|||73,971
42,851|
|||116,822|
|||578,062|
|||620,913|
|||**2021**
**£**
6,201
2,825
11,495|
|||20,521|
|||**2021**
**£**
85,000
84,000
75,000
81,546
80,710
30,670
5,724
285,542
243,833|
|||972,025|
## **15 Debtors**
## **16 Investments**
- 18 -
## **BOURNEMOUTH HEART CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **17 Cash at bank and in hand**
|**Cash at bank and in hand**|||
|---|---|---|
|HSBC Treasury account
HSBC Savings account
Cash in hand|**2022**
**£**
15,796
100,003
297
116,096|**2021**
**£**
22,084
36,001
202|
|||58,287|
## **18 Creditors: amounts falling due within one year**
|Parking deposits
Other creditors
Accruals|**2022**
**£**
5,015
2,660
3,734
11,409|**2021**
**£**
5,075
170
6,319|
|---|---|---|
|||11,564|
## **19 Retirement benefit schemes**
The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.
The charge to profit or loss in respect of defined contribution schemes was £2,521 (2021- £2,808) and is included in staff costs.
- 19 -
## **BOURNEMOUTH HEART CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **20 Designated funds**
The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the Trustees for specific purposes:
|Designated Property Repair and
Replacement Fund
Designated Equipment Replacement
Fund
Designated Parking Deposits Fund
Lease Fund 2021-2046 (Prepaid 2010)
Designated Prevention Fund|**Balance at**
**1 April 2020**
**£**
390,000
100,000
5,540
597,778
10,000
1,103,318|**Transfers**
**£**
10,000
-
(465)
-
-
9,535|**Balance at**
**1 April 2021**
**£**
400,000
100,000
5,075
597,778
10,000
1,112,853|**Transfers**
**31**
**£**
-
-
(60)
(23,911)
-
(23,971)|**Balance at**
**March 2022**
**£**
400,000
100,000
5,015
573,867
10,000|
|---|---|---|---|---|---|
||||||1,088,882|
The Designated Property Repair and Replacement Fund is a designated, but unrestricted fund set aside by the Trustees in order to enable monies to be available to help to meet the possible financial burden at the end of the current building lease.
The Designated Equipment Replacement Fund is a designated, but unrestricted fund set aside by the Trustees as funds for the cyclical replacement of the exercise equipment.
The Designated Parking Deposits Fund is a designated, but unrestricted fund set aside by the Trustees as funds held on behalf of members for car park access passes refundable to members on cessation of membership. (This is held in a separate building society account)
The Lease Fund is a designated, but unrestricted fund set aside by the Trustees in order to recognise the amount of funds represented by the Lease of the Heart Club.
**21 Analysis of net assets between funds**
|**Unrestricted**
**funds**
**Designated**
**funds**
**2022**
**2022**
**£**
**£**
Fund balances at 31
March 2022 are
represented by:
Tangible assets
4,195
573,867
Current assets/(liabilities)
480,547
515,015
484,742
1,088,882|**Total**
Unrestricted
funds
Designated
funds
**2022**
2021
2021
**£**
£
£
578,062
23,135
597,778
995,562
526,185
515,075
1,573,624
549,320
1,112,853|Total
2021
£
620,913
1,041,260|
|---|---|---|
|||1,662,173|
- 20 -
## **BOURNEMOUTH HEART CLUB**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **22 Related party transactions**
There were no disclosable related party transactions during the year (2021 - none).
- 21 -