Registered number: 2888960 Charity number: 1033626
ACTION4YOUTH
(A Company Limited by Guarantee)
TRUSTEES' REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
ACTION4YOUTH
(A Company Limited by Guarantee)
| CONTENTS | |
|---|---|
| Page | |
| Reference and Administrative Details of the Charity, its Trustees and Advisers | 1 |
| Trustees' Report | 2 - 10 |
| Independent Auditors' Report | 11 - 13 |
| Statement of Financial Activities | 14 |
| Balance Sheet | 15 - 16 |
| Statement of Cash Flows | 17 |
| Notes to the Financial Statements | 18 - 37 |
(A Company Limited by Guarantee)
ACTION4YOUTH
REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2022
Trustees
D Teasdale, Chairman L D Oldreive (resigned 23 September 2021) C R Soames J S Chana (resigned 14 June 2022) J M Trebble (resigned 24 June 2021) D Williams G R A Shankland G Hill (resigned 23 September 2021) J Y Hulme D P Knox J Dees N Field L Cruttendon (appointed 23 September 2021) N Peters (appointed 24 June 2021)
Company registered number
2888960
Charity registered number
1033626
Registered office
5 Smeaton Close, Aylesbury, Buckinghamshire, HP19 8UN
Company secretary
J F M Cameron
Chief executive officer
J F M Cameron
Independent auditors
Hillier Hopkins LLP, 249 Silbury Boulevard, Milton Keynes, Buckinghamshire, MK9 1NA
Bankers
Lloyds Bank plc, 1 Market Square, Aylesbury, Buckinghamshire, HP20 1TD
Page 1
ACTION4YOUTH
(A Company Limited by Guarantee)
TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2022
The Trustees present their annual report together with the audited financial statements of the charitable company for the 1 April 2021 to 31 March 2022. The Trustees confirm that the Annual Report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP), 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 2015) as amended by Update Bulletin 1 (effective 1 January 2015).
Since the charitable company qualifies as small under section 383, the strategic report required of medium and large companies under The Companies Act 2006 (Strategic Report and Director's Report) Regulations 2013 is not required.
The charitable company also trades under the name The Caldecotte Xperience.
Objectives and Activities
a. Policies and objectives
The objectives of the charity are:
To help and educate children and young people, through informal education and leisure time activities to develop their physical, mental and spiritual, moral and cultural capacities, to achieve their full potential, that they may grow up to full maturity as responsible individuals and members of their communities and society.
b. Strategies for achieving objectives
Our Strategy to achieve our stated objectives has had the following threads:
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To act as a voice for and of young people, strengthened by our expertise of voluntary and community children and young people’s organisations and to be the natural first point of contact for these organisations.
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To provide leadership, training and support to voluntary and community children and young people’s organisations.
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To develop strategic partnerships with both statutory and voluntary organisations.
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To be a recognised, inclusive and well informed resource supporting our full membership, ranging from small clubs to larger national organisations.
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To enable the participation of children and young people at all levels of Action4Youth, so that their voices are heard.
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To be a proactive and flexible organisation which responds to opportunities for continuing development.
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To operate our outdoor education centre, The Caldecotte Xperience, in a way which is financially sustainable.
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To deliver programmes appropriate for the development of children and young people.
Page 2
ACTION4YOUTH
(A Company Limited by Guarantee)
TRUSTEES' REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2022
c. Activities for achieving objectives
Action4Youth takes the strategic lead for the voluntary organisations supporting children and young people, aged 5 – 25 years in Buckinghamshire & Milton Keynes, including a range of locally based children and young people’s voluntary sector projects and agencies, as well as the local associations of national voluntary youth organisations.
Action4Youth has representation on the Bucks Children's Partnership Board, The Youth Offending Service Board, Bucks Strategic Partners Board and The VCS Recovery Board.
Action4Youth is a member of UK Youth and The National Association of Boys and Girls Clubs and represents Buckinghamshire and Milton Keynes.
Action4Youth holds a contract to deliver the National Citizen Service in Buckinghamshire, Milton Keynes and Slough, delivers The Inspiration Programme in schools and runs the Duke of Edinburgh’s Award across Milton Keynes and Buckinghamshire.
Action4Youth provides a range of programmes, activities and services which support those young people at risk and creates opportunities for development and advancement for all young people.
Action4Youth runs The Junction, its youth centre in High Wycombe and offers mentoring and counselling support for young people.
d. Volunteers
The company is grateful for the efforts of its volunteers. The use of volunteers and other donated services or facilities in the course of undertaking the organisation's charitable or income generating activities are not included in the Statement of Financial Activities.
Achievements and performance
a. Key financial performance indicators
The organisation’s overall financial objective is to ensure that reserves, at each year end, are sufficient to ensure the future financial stability of Action4Youth, and its ability to continue to achieve its objectives in an increasingly difficult funding environment. In this respect the financial performance of the Caldecotte Xperience and our contract for NCS delivery are key and closely monitored indicators. The Duke of Edinburgh Award is a small but growing income stream and the Inspiration Programme and Breakout Programme continue to develop.
Despite extremely challenging operating conditions in 2021/22 due to the covid pandemic, Action4Youth has ended the year in a robust position. This was achieved by very careful management while working to restore delivery levels as far as was possible given the restrictions on activity.
Fundraising was successful during the year which eased the pressure on cash flow and ensured long term viability.
Page 3
ACTION4YOUTH
(A Company Limited by Guarantee)
TRUSTEES' REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2022
b. Review of activities
Action4Youth’s aim continues to be to offer support and opportunities to all young people, and this continues throughout the year despite ever changing operating conditions.
Action4Youth’s normal range of programmes, activities and support for young people was disrupted especially in the early part of the year because of covid restrictions which severely limited opportunities for outdoor education in particular but other programmes too. From July onwards things gradually achieved a degree of normality though uncertainty and lack of confidence in schools continued to limit opportunity.
Action4Youth’s outdoor adventure and learning centre, Caldecotte Xperience in Milton Keynes provides high quality educational experiences for more than 15,000 young people in a normal year from Milton Keynes, Bucks, Cambridgeshire, Oxfordshire, Hertfordshire and Bedfordshire. The young people gain in many ways from these opportunities, notably in team building, communication skills and gaining in self-esteem. On residential visits they also forge new, stronger relationships with their teachers which are proven to lead to better outcomes back in school. Visitors to the centre are primarily school groups, both primary and secondary, but many others come from clubs and other groups.
In 2021 residential visits were not permitted during what is normally the busiest time of the year and only a relatively small number of day visits went ahead. The team at Caldecotte Xperience continued to work with a small number of special needs groups throughout the year.
As delivery partners for the National Citizen Service, we deliver the programme in summer and autumn across Buckinghamshire, Milton Keynes and Slough. In 2021 there was a summer NCS programme though without the normal residential visit. An autumn NCS programme, went ahead with SEND young people completing the programme.
Action4Youth continues to be the leading infrastructure support organisation for youth clubs and organisations across Buckinghamshire, offering essential support and training to these organisations. Many youth clubs closed during the pandemic and slowly began to reopen from autumn 2021. Training was delivered online rather than in person as in the past and this has been a positive development making delivery more cost effective while extending its reach.
The Inspiration Programme was delivered in a number of schools with the programme being adapted to online learning when schools were closed.
Since September 2016 when Action4Youth became the license holder for the Duke of Edinburgh Award scheme for Milton Keynes and Bucks with the ability to establish groups and run expeditions, activity to develop the programme has progressed. During 2021/22 most activities were delayed, postponed or cancelled during the normally busy spring and early summer period though activity increased from March 2022 as confidence began to return.
The mentoring programme continued to be delivered in High Wycombe, as restrictions allowed, with support from the Bucks Council, offering one to one support to young people displaying disruptive behaviour and, in some cases, at risk of exclusion. Our programme expanded with the appointment of a full-time mentor working in Aylesbury Vale from March 2022.
Our crime prevention programme, Breakout, ran in schools in Milton Keynes from January onwards addressing the problem of youth violence and crime.
Page 4
ACTION4YOUTH
(A Company Limited by Guarantee)
TRUSTEES' REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2022
A major innovation in 2021 was the launch of The Junction, our new youth centre in High Wycombe. The centre opened four days a week in temporary premises in July 2021 and moved to its permanent home in High Wycombe Library in mid September from when it opened seven days a week from 4.00 – 9.00pm. The centre has proved popular and important in providing a safe place for 12 – 18 year olds and attendance has averaged around 1050 visits each month. The centre offers a range of recreational, educational and support services including counselling.
Our fundraising efforts have been effective in 2021/22 and the funds raised, from a range of sources but predominantly charitable trusts and foundations have made a very important contribution to the organisation’s sustainability.
Despite the challenges of the last 24 months, team morale is high, and we continue to benefit from an enthusiastic, experienced and committed group of people.
c. Investment policy and performance
Investment performance was in line with expectations given the current policy of placing surplus cash with banks and other Financial Institutions wholly covered by the Governments guarantees, for periods of up to two years.
d. Factors relevant to achieve objectives
Financial review
The accounts for the year show an overall surplus of £27,238, which compares to a surplus of £11,179 in the previous year. Covid continued to have a damaging impact, particularly in the first quarter with a gradual increase in activity thereafter. Income was substantially ahead of the previous year’s low at £1,617,669 as the recovery began.
The trustees’ commitment to The Junction, our new youth centre in High Wycombe meant an increased need for effective fundraising to meet the significant costs of this project. Fundraising also supported our mentoring and counselling activities.
As always, Action4Youth maintained a rigorous approach to expenditure, working at all time to achieve maximum efficiency.
As of 31 March 2022, the balance sheet shows net assets including pension scheme liabilities of £909,075. Fixed assets primarily represent our ownership share of The Caldecotte Xperience as well as the investment there in the two yurt villages.
Action4Youth is exploring the possibility of investing in a development project at The Caldecotte Xperience which may become a major activity in the course of 2022/23. The aim is to offer high quality outdoor education to even more young people.
Looking to the future, our balance sheet and cash position provide a good position going into 2022/23 to manage the challenges ahead though the economic situation and inflation nationally and internationally creates uncertainty in all areas so it is understood that very careful management and ability to adapt as necessary will be essential in 2022/23.
Page 5
(A Company Limited by Guarantee)
ACTION4YOUTH
TRUSTEES' REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2022
a. Going concern
After making appropriate enquiries, the Trustees have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies.
b. Principal risks and uncertainties
The uncertainty of the wider economy and its impact on purchasing services and on fundraising is a consideration.
There is limited funding for all aspects of youth work and so Action4Youth continues to be actively involved in developing partnerships to reduce costs and increase outcomes for young people.
The National Citizen Service is changing from December 2022 and there is uncertainty as to the opportunities which may arise following that. This may have a negative impact in the final quarter of 2022/23.
The Inspiration Program continues to grow but is still in development and ongoing revenue will be dependent on. schools/college funding. A new version of the Programme has been developed and will be available at significantly reduced cost from mid 2022.
Not achieving predicted fundraising income is an ongoing concern despite strong performance in the previous 2 years. To ensure best practice and compliance all fundraising is conducted observing the standards of the fundraising regulator.
c. Reserves policy
The reserves policy and its review is core to the annual business planning process. As part of that process a reserves target level is set for the year based on the expected business climate and coverage of core operational costs. The policy is primarily based on the Charity Commission guidance but is adjusted to take account of A4Y’s income stream mix where contract rather than fundraising is the prime income stream.
For 2022/23 a cash reserves level of £425k has been agreed by the Board. This takes account of the projected cash flow and the operational and development needs of the business plan.
d. Deficit
Action4Youth operates to a controlled plan with the aim of delivering an operating surplus. At times of planned major reorganisation or process change the operation may run at a temporary deficit.
e. Principal funding
The prime sources of income are:
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Contract income from the National Citizens Service.
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Fees paid to the outdoor education centre for delivering to school groups in term time and to voluntary youth groups, clubs and private groups at weekends and in the holidays.
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Programme delivery from the Duke of Edinburgh Award and The Inspiration Programme.
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External funding streams such as charitable trusts, fundraising events and donations.
Page 6
ACTION4YOUTH
(A Company Limited by Guarantee)
TRUSTEES' REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2022
Action4youth manages its fundraising in house through a team led by the Chief Executive. In carrying out these activities the charity adheres to all recognised standard practices as well as all the latest data, security and people protection requirements of the data protection acts.
We are grateful to the following individuals and organisations for their support:
Alexander & Co Milton Keynes Community Foundation Anson Charitable Trust Mobbs Memorial Fund Bartle Family Trust NGage Solutions Ltd Buckingham Town Council Red Kite Community Housing Buckinghamshire Council Community Boards Garfield Weston Foundation Thrive Homes Community Grant Fund Groundworks UK The Clare Foundation Julia Mary Wood Charitable Trust The Parks Trust M & G Prudential
e. Material investments policy
The Board is concerned to maximise the level of income obtained from its investments but is mindful that its reserves may be required at relatively short notice. The Board of Trustees has continued with the policy of placing surplus cash with Banks and other Financial Institutions. The balance of cash is held on deposit at Lloyds Bank.
In line with the above the Board regularly reviews investment policy to ensure it meets the needs of balancing the needs of liquidity and returns. Currently with limited funds and many uncertainties and very low return rates the bias is towards liquidity until the future becomes more certain.
Structure, governance and management
a. Constitution
The charitable company is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association on 10/06/2005. Its registered charity number is 1033626.
b. Method of appointment or election of Trustees
The management of the charitable company is the responsibility of the Trustees who are elected and co-opted under the terms of the Articles of Association.
c. Policies adopted for the induction and training of Trustees
The Trustees’ training needs are reviewed at board meetings and implemented annually. Any new Trustees are fully inducted and trained according to their needs.
Page 7
ACTION4YOUTH
(A Company Limited by Guarantee)
TRUSTEES' REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2022
d. Pay policy for senior staff
The Board’s policy continues to be to pay salaries which attract excellent staff, whilst remaining within the range of salaries paid by comparable organisations in the charity sector.
e. Organisational structure and decision making
The Board of Trustees meets four times in each year and leads the charity’s strategic direction and maintains critical oversight of the organisation’s running which is delegated to the Chief Executive of Action4Youth and its staff.
f. Risk management
An ongoing risk assessment process is in place. Core to this are a risk matrix and issues log. These are updated monthly with the issues log representing the highest risks reviewed at every Board Meeting. The Finance and Risk committee carries out an annual review of the matrix and process and reviews the matrix for changes as a standing item at each quarterly meeting. The Trustees are satisfied that the major risks to which the organisation is exposed, especially those related to operations and finance, have systems and procedures in place with an associated ongoing review process to ensure effective mitigation.
Plans for future periods
a. Future developments
Despite the setbacks of the past two years, we continue to work to extend and build our customer and beneficiary base for all of our offerings. At The Caldecotte Xperience our aim is to address seasonality, filling capacity in the shoulder and off seasons. We have invested in promotion and direct approaches to customers to maximise the opportunity. We continue to improve and expand our offers for young people with a wide range of special or additional needs so that our provision, as far as possible, offers equal opportunities for all. We are now exploring the possibility of a major refurbishment of the main building at The Caldecotte Xperience to update and upgrade facilities to ensure it is fully accessible for all.
Building on the expansion achieved in 2019 in the delivery of the NCS programme to all of Bucks, we have increased our footprint further for 2022 when, additionally, we will deliver to all NCS participants in Milton Keynes and all of those in Slough in Berkshire.
We have reviewed our Duke of Edinburgh operation and can now increase the range of expeditions we offer and work to include more disadvantaged young people or groups with additional needs and our territory now includes Northamptonshire as well as Buckinghamshire and Milton Keynes.
The Inspiration Programme continues to develop with an increase in participating schools and in the age range of participants. We are committed to a programme of activity to raise awareness of the programme and ultimately to increase participation. We have developed a new model for The Inspiration Programme which means it can be delivered in schools by their own staff with training, support and all materials from Action4Youth. This means the Programme is available at much lower cost and can be available to many more young people who can benefit from it.
Building on our successful mentoring programme in High Wycombe we have extended that programme across Aylesbury Vale and hope to continue growth to meet the needs of young people.
With new Trustees having joined the Board we are benefiting from fresh ideas and new expertise so are exploring new initiatives with confidence and optimism.
Page 8
ACTION4YOUTH
(A Company Limited by Guarantee)
TRUSTEES' REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2022
Chairman's statement
As our society gradually emerged from the pandemic, Action4Youth moved quickly to resume and expand services which deliver against our mission of supporting all young people’s growth towards fulfilling and responsible adult lives.
With the impact of the pandemic being felt most severely amongst those young people at risk, the Action4Youth Board and Senior Leadership Team felt a sense of urgency to do more to address at least some of those needs. We are very pleased that programmes like The Junction have moved from inception to welcoming over a thousand young people per month by creating a safe space which offers recreational, educational and support services. In addition, the Mentoring programme expanded from offering counselling services in South Bucks to also include Aylesbury Vale. We thank the many groups that have made this possible.
The gradual return of young people to The Caldecotte Xperience outdoor education centre, National Citizen Service (NCS) Programme and The Inspiration Programme benefitted thousands with the opportunity to build confidence through the development of communication, leadership and physical skills.
As an organisation, we are proud that the pandemic brought out the best in our entire team who have unfailingly embodied the values of our organisation. Our Patron, President, Vice President, supporters and colleagues have all made contributions which support our ability to meet more of the needs in our communities, we thank them wholeheartedly.
Public benefit
The Trustees confirm that they have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning future activities.
Trustees' responsibilities statement
The Trustees (who are also directors of Action4Youth 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. Under company law the Trustees must not approve the financial statements unless they are satisfied that they 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:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgments and accounting estimates that are reasonable and prudent;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and 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.
Page 9
ACTION4Yoimi (A CoTnpany Limit0411ry Guarnnto8) TRUSTEES. REPORT l¢ontinuad) FOR THE YEAR ENDED 31 MARCH 2022 DisGlosurn of informatlon to audltors Eath ofthe persons who are Trustees at the time t4hen this Tntstees. Report i8 approved has ¢onfim)ed that.. so far as that Trustee 1$ aware. there is no relevant audit infom)ation of which the charitable ccmpanls auditors ar& unaware. and that Trustee has tsken all the sleps that ought to have been tsken a8 a TTU3tee in order lo be aware of any relevant audit infomiatKJn and to establish that the chaiitable compans auditors are aware of that inforrnation. This reportwas apprcvil bythe Trustees. on 2810612022 and Signed on their behalf ty. D Teasdale. Chaimmn TTUStee Page 10
ACTION4YOUTH
(A Company Limited by Guarantee)
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ACTION4YOUTH
Opinion
We have audited the financial statements of Action4Youth (the 'charitable company') for the year ended 31 March 2022 set out on pages 14 to 37. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
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give a true and fair view of the state of the charitable company's affairs as at 31 March 2022 and of its incoming resources and application of resources, including its income and expenditure for the year then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
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have been prepared in accordance with the requirements of the Charities Act 2011.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:
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the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or
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the Trustees have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the charitable company's ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.
Other information
The Trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Auditors' Report thereon. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.
Page 11
ACTION4YOUTH
(A Company Limited by Guarantee)
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ACTION4YOUTH
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
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the information given in the Trustees' Report is inconsistent in any material respect with the financial statements; or
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sufficient accounting records have not been kept; or
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the financial statements are not in agreement with the accounting records and returns; or
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we have not received all the information and explanations we require for our audit.
Responsibilities of Trustees
As explained more fully in the Trustees' Responsibilities Statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the Trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
Auditors' responsibilities for the audit of the financial statements
We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.
Page 12
ACTION4YOUTH
(A Company Limited by Guarantee)
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ACTION4YOUTH
Use of our report
This report is made solely to the charitable company's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company's Trustees those matters we are required to state to them in an Auditors' 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 its Trustees, as a body, for our audit work, for this report, or for the opinions we have formed.
Hillier Hopkins LLP
Chartered Accountants Statutory Auditor 249 Silbury Boulevard Milton Keynes Buckinghamshire MK9 1NA 8 July 2022
Hillier Hopkins LLP are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.
Page 13
ACTION4YOUTH
(A Company Limited by Guarantee)
STATEMENT OF FINANCIAL ACTIVITIES INCORPORATING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2022
| Unrestricted funds Note 2022 £ Income from: Donations and legacies 2 76,144 Charitable activities 3 1,516,081 Investments 5 40 Other income 6 15,404 Total income 1,607,669 Expenditure on: Charitable activities 9 1,585,285 Total expenditure 9 1,585,285 Net income / (expenditure) before investment losses 22,384 Net losses on investments 16 (4,294) Net income / (expenditure) before other recognised gains and losses 18,090 Other recognised gains/(losses) 16,220 Net movement in funds 34,310 Reconciliation of funds: Total funds brought forward 704,696 Total funds carried forward 739,006 |
Restricted funds 2022 £ 10,000 - - - 10,000 17,072 17,072 (7,072) - (7,072) - (7,072) 177,141 170,069 |
Total funds 2022 £ 86,144 1,516,081 40 15,404 1,617,669 1,602,357 1,602,357 15,312 (4,294) 11,018 16,220 27,238 881,837 909,075 |
Total funds 2021 £ 24,682 866,145 56 192,594 1,083,477 1,071,311 1,071,311 12,166 - 12,166 (987) 11,179 870,658 881,837 |
|---|---|---|---|
The notes on pages 18 to 37 form part of these financial statements.
Page 14
ACTION4YOUTH (A Company Limited by Guarantee) REGISTERED NUMBER: 2888960
BALANCE SHEET AS AT 31 MARCH 2022
| Note Fixed assets Intangible assets 14 Tangible assets 15 Investments 16 Current assets Debtors 17 Cash at bank and in hand Creditors:amounts falling due within one year 18 Net current assets Total assets less current liabilities Creditors:amounts falling due after more than one year 19 Net assets excluding pension scheme liabilities Defined benefit pension scheme liability 24 Net assets including pension scheme liabilities Charity Funds Restricted funds 20 Unrestricted funds 20 Total funds |
£ 111,372 597,235 708,607 (538,091) |
2022 £ 6,246 669,792 145,706 821,744 170,516 992,260 (77,677) 914,583 (5,508) 909,075 170,069 739,006 909,075 |
£ 97,510 656,852 754,362 (428,687) |
2021 £ - 684,103 - 684,103 325,675 1,009,778 (99,074) 910,704 (28,867) 881,837 177,141 704,696 881,837 |
|---|---|---|---|---|
The company's financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The Trustees consider that the company is entitled to exemption from the requirement to have an audit under the provisions of section 477 of the Companies Act 2006 ("the Act") and members have not required the company to obtain an audit for the year in question in accordance with section 476 of the Act. However, an audit is required in accordance with section 144 of the Charities Act 2011.
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.
Page 15
ACT]ON4YOUTH IA C¢)mpany Limited by Guarante8} BALANCE SHEET l¢ontinued) AS AT 31 MARCH 2022 The financial statements were approved arbj aLthorised lor issue by the Trustees on 2810612022 sl ned on their behaK, ty. and ImBn The notes on pages 18 to 37 forn part ofthese financial slalements. P4e 16
ACTION4YOUTH
(A Company Limited by Guarantee)
STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2022
| Note Cash flows from operating activities Net cash provided by operating activities 22 Cash flows from investing activities: Proceeds from the sale of tangible fixed assets Purchase of tangible fixed assets Purchase of intangible fixed assets Purchase of investments Net cash used in investing activities Change in cash and cash equivalents in the year Cash and cash equivalents brought forward Cash and cash equivalents carried forward 23 |
2022 £ 173,276 3,875 (80,522) (6,246) (150,000) (232,893) (59,617) 656,852 597,235 |
2021 £ 200,905 - (26,620) - - (26,620) 174,285 482,567 656,852 |
|---|---|---|
The notes on pages 18 to 37 form part of these financial statements.
Page 17
(A Company Limited by Guarantee)
ACTION4YOUTH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
1. Accounting Policies
1.1 Basis of preparation of financial statements
The financial statements have been prepared in accordance with 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 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Action4Youth meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
1.2 Company status
The company is a company limited by guarantee. The members of the company are the Trustees named on page 1. In the event of the company being wound up, the liability in respect of the guarantee is limited to £1 per member of the company.
1.3 Income
All income is recognised once the company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
For legacies, entitlement is taken as the earlier of the date on which either: the company is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the Trust that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the company has been notified of the executor's intention to make a distribution. Where legacies have been notified to the company, or the company is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.
Donated services or facilities are recognised when the company has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use of the company of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), the general volunteer time of the Friends is not recognised and refer to the Trustees' Report for more information about their contribution.
On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the company which is the amount the company would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.
Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.
Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.
Page 18
(A Company Limited by Guarantee)
ACTION4YOUTH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
1. Accounting Policies (continued)
1.4 Expenditure
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.
Governance costs are those incurred in connection with administration of the company and compliance with constitutional and statutory requirements.
Charitable activities and Governance costs are costs incurred on the company's operations, including support costs and costs relating to the governance of the company apportioned to charitable activities.
All expenditure is inclusive of irrecoverable VAT.
1.5 Intangible fixed assets and amortisation
Intangible assets costing £1,000 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably. Intangible assets are initially recognised at cost and are subsequently measured at cost net of amortisation and any provision for impairment.
Amortisation is provided on intangible fixed assets at rates calculated to write off the cost of each asset, less their estimated residual value, over their expected useful lives on the following bases:
Development expenditure
- 20% straight line
1.6 Tangible fixed assets and depreciation
All assets costing more than £1,000 are capitalised.
A review for impairment of a fixed asset is carried out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between the carrying value of fixed assets and their recoverable amounts are recognised as impairments. Impairment losses are recognised in the Statement of Financial Activities incorporating Income and Expenditure Account.
Page 19
ACTION4YOUTH
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
1. Accounting Policies (continued)
Tangible fixed assets are carried at cost, net of depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
- Freehold property 2% straight line (on cost of buildings) Long-term leasehold property - over the term of the lease - Plant and machinery 10% straight line Motor vehicles - 25% straight line - Office equipment 33% straight line - Yurt Village 10% straight line
During the year ended 31 March 2013, the company entered into agreements with Milton Keynes Council to take over the running of two outside education centres, The Caldecotte Xperience and Longrigg Residential Centre. Under this agreement the company became fully responsible for the operational management and financial performance of both centres. The freehold of both premises was transferred to the company as part of the deal. However, a claw back arrangement is included in each deal which applies for a period of 50 years from the date of transfer. This arrangement is nullified in the event of a sale. It is triggered by any change of use of the property (or any part) from its existing use. Claw back is calculated at 100% less 2% for each year passing from the date of the Transfer of the open market value of the property. In addition, the agreement in respect of The Caldecotte Xperience ring fences the 20% holding which the company had of the freehold under earlier arrangements.
The financial statements include the proportion of the market value of the freehold of each property to which the company is entitled under the provisions of the agreements. At 31 March 2022 this was 40% of the market value of the Caldecotte freehold.
1.7 Investments
Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance Sheet date, unless fair value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and shown in the heading ‘Gains/(losses) on investments’ in the Statement of Financial Activities incorporating Income and Expenditure Account.
1.8 Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the company; this is normally upon notification of the interest paid or payable by the Bank.
Page 20
(A Company Limited by Guarantee)
ACTION4YOUTH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
1. Accounting Policies (continued)
1.9 Leasing and hire purchase
Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the Statement of Financial Activities incorporating Income and Expenditure Account so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.
1.10 Operating leases
Rentals under operating leases are charged to the Statement of Financial Activities incorporating Income and Expenditure Account on a straight line basis over the lease term.
1.11 Debtors
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
1.12 Cash at Bank and in hand
Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
1.13 Liabilities and provisions
Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the company anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges.
1.14 Financial instruments
The company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
1.15 Pensions
The company operates a defined contribution pension scheme and the pension charge represents the amounts payable by the company to the fund in respect of the year.
Page 21
(A Company Limited by Guarantee)
ACTION4YOUTH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
1. Accounting Policies (continued)
The company operates a defined benefits pension scheme and the pension charge is based on a full actuarial valuation dated 30 September 2017.
The company operates a defined benefits pension scheme and the pension charge is based on a full actuarial valuation dated 30 September 2020.
1.16 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the company and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the company for particular purposes. The costs 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.
2. Income from donations and legacies
| Income from donations and legacies | |||
|---|---|---|---|
| Unrestricted funds 2022 £ Donations 76,144 Total 2021 14,682 |
Restricted funds 2022 £ 10,000 10,000 |
Total funds 2022 £ 86,144 24,682 |
Total funds 2021 £ 24,682 |
3. Income from charitable activities
| Unrestricted funds 2022 £ Youth activities 1,516,081 Total 2021 866,145 |
Restricted funds 2022 £ - - |
Total funds 2022 £ 1,516,081 866,145 |
Total funds 2021 £ 866,145 |
|---|---|---|---|
Page 22
ACTION4YOUTH
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
4. Analysis of income from charitable activities by type of income
| Unrestricted funds 2022 £ Training 2,942 Outdoor education 485,825 Membership 4,600 Other 1,437 Grants 204,970 Contract income 786,929 Duke of Edinburgh 29,378 1,516,081 Total 2021 866,145 5. Investment income Unrestricted funds 2022 £ Investment income 40 Total 2021 56 6. Other incoming resources Unrestricted funds 2022 £ Insurance claims - Government grants 15,404 15,404 Total 2021 192,594 |
Restricted funds 2022 £ - - - - - - - - - Restricted funds 2022 £ - - Restricted funds 2022 £ - - - - |
Total funds 2022 £ 2,942 485,825 4,600 1,437 204,970 786,929 29,378 1,516,081 866,145 Total funds 2022 £ 40 56 Total funds 2022 £ - 15,404 15,404 192,594 |
Total funds 2021 £ 2,675 167,251 2,150 2,250 278,368 411,462 1,989 866,145 |
|---|---|---|---|
| Total funds 2021 £ 56 |
|||
| Total funds 2021 £ 6,457 186,137 192,594 |
|||
Page 23
(A Company Limited by Guarantee)
ACTION4YOUTH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
7. Direct costs
| Pension interest on defined benefit scheme Direct activity costs Premises costs Staff and office expenses Motor expenses Training General expenses Legal and professional Insurances Equipment purchases Accountancy fees Entertainment Wages and salaries National insurance Pension cost Depreciation Total 2021 |
Youth activities £ 166 174,249 156,066 83,367 41,208 138,536 18,756 27,224 20,397 17,978 11,339 131 688,992 58,077 15,835 83,580 1,535,901 1,017,100 |
Total 2022 £ 166 174,249 156,066 83,367 41,208 138,536 18,756 27,224 20,397 17,978 11,339 131 688,992 58,077 15,835 83,580 1,535,901 1,017,100 |
Total 2021 £ 769 30,600 114,426 35,532 10,325 (8,901) 8,954 6,270 19,581 2,076 17,677 362 604,778 53,050 16,015 105,586 1,017,100 |
|---|---|---|---|
8. Governance costs
| Unrestricted funds 2022 £ Auditors' remuneration 7,750 Governance Auditors' non audit costs 2,900 General expenses 10,874 Trustees expenses reimbursed 119 Wages and salaries 31,819 Employers' national insurance 3,004 Pension costs 738 Depreciation - tangible fixed assets 9,252 66,456 |
Restricted funds 2022 £ - - - - - - - - - |
Total funds 2022 £ 7,750 2,900 10,874 119 31,819 3,004 738 9,252 66,456 |
Total funds 2021 £ 7,400 2,400 7,609 - 25,983 2,691 670 7,458 |
|---|---|---|---|
| 54,211 |
Page 24
ACTION4YOUTH
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
9. Analysis of Expenditure by expenditure type
| Youth activities Expenditure on governance Total 2021 |
Staff costs Depreciation Other costs 2022 £ 2022 £ 2022 £ 762,904 83,580 689,417 35,561 9,252 21,643 798,465 92,832 711,060 703,187 113,044 255,080 |
Total 2022 £ 1,535,901 66,456 1,602,357 1,071,311 |
Total 2021 £ 1,017,100 54,211 1,071,311 |
|---|---|---|---|
10. Net income/(expenditure)
This is stated after charging:
| 2022 | 2021 | |
|---|---|---|
| £ | £ | |
| Depreciation of tangible fixed assets: | ||
| - owned by the charity | 85,348 | 95,523 |
| - held under finance leases | 3,150 | 3,150 |
| Auditors' remuneration - audit | 7,750 | 7,400 |
| Pension costs | 23,878 | 23,777 |
During the year, no Trustees received any remuneration (2021 - £NIL).
During the year, no Trustees received any benefits in kind (2021 - £NIL).
3 Trustees received reimbursement of expenses amounting to £119 in the current year, (2021 - 0 Trustees - £NIL).These expenses related to travel and subsistence.
11. Auditors' remuneration
The Auditor's remuneration amounts to an Audit fee of £7,750 (2021 - £7,400), and other services, including payroll services and VAT advice of £2,400 (2021 - £2,400).
Page 25
(A Company Limited by Guarantee)
ACTION4YOUTH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
12. Staff costs
Staff costs were as follows:
| Wages and salaries Social security costs Other pension costs (Note 24 ) |
2022 £ 720,811 61,081 16,573 798,465 |
2021 £ 630,761 55,741 16,685 703,187 |
|---|---|---|
The average number of persons employed by the company during the year was as follows:
| Management and admin Youth work Outdoor education The number of higher paid employees was: In the band £60,001 - £70,000 In the band £70,001 - £80,000 |
2022 No. 8 20 9 37 2022 No. 1 1 |
2021 No. 7 9 9 |
|---|---|---|
| 25 | ||
| 2021 No. 1 0 |
All Trustees/directors and certain senior employees who have authority and responsibility for planning, directing and controlling the activities of the company are considered to be key management personnel. Total remuneration of these individuals is £280,419 (2021 - £283,616). This represents the four members of the senior management team.
13. Other finance income
| Other finance income | ||
|---|---|---|
| 2022 | 2021 | |
| £ | £ | |
| Interest on pension scheme liabilities | 166 | 769 |
Page 26
ACTION4YOUTH
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
14. Intangible fixed assets
| Intangible fixed assets | |
|---|---|
| Cost At 1 April 2021 Additions At 31 March 2022 Carrying amount At 31 March 2022 At 31 March 2021 |
Development £ - 6,246 |
| 6,246 | |
| 6,246 | |
| - |
15. Tangible fixed assets
| Cost At 1 April 2021 Additions Disposals At 31 March 2022 Depreciation At 1 April 2021 Charge for the year On disposals At 31 March 2022 Net book value At 31 March 2022 At 31 March 2021 |
Freehold property £ 303,717 10,000 - 313,717 29,664 4,047 - 33,711 280,006 274,053 |
Plant and machinery £ 353,722 54,997 (48,351) 360,368 204,130 32,713 (42,016) 194,827 165,541 149,592 |
Motor vehicles £ 87,624 - - 87,624 45,797 9,528 - 55,325 32,299 41,827 |
Office equipment £ 11,356 15,525 (5,190) 21,691 9,177 6,731 (5,190) 10,718 10,973 2,179 |
Yurt village £ 353,684 - - 353,684 137,232 35,479 - 172,711 180,973 216,452 |
Total £ 1,110,103 80,522 (53,541) |
|---|---|---|---|---|---|---|
| 1,137,084 | ||||||
| 426,000 88,498 (47,206) |
||||||
| 467,292 | ||||||
| 669,792 | ||||||
| 684,103 |
The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:
Motor vehicles
| 2022 | 2021 |
|---|---|
| £ | £ |
| 6,300 | 9,450 |
Page 27
(A Company Limited by Guarantee)
ACTION4YOUTH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
16. Fixed asset investments
| Market value At 1 April 2021 Additions Revaluations At 31 March 2022 Investments at market value comprise: Listed investments All the fixed asset investments are held in the UK. |
Listed securities £ - 150,000 (4,294) |
|---|---|
| 145,706 | |
| 2022 £ 145,706 |
|
17. Debtors
| Debtors | ||
|---|---|---|
| Trade debtors Other debtors Prepayments and accrued income |
2022 £ 70,244 1,376 39,752 111,372 |
2021 £ 44,872 41,892 10,746 |
| 97,510 |
18. Creditors: Amounts falling due within one year
| Net obligations under finance leases and hire purchase contracts Trade creditors Other taxation and social security Other creditors Accruals and deferred income |
2022 £ 6,074 62,949 14,757 5,042 449,269 538,091 |
2021 £ 5,385 10,371 12,611 4,934 395,386 |
|---|---|---|
| 428,687 |
Page 28
(A Company Limited by Guarantee)
ACTION4YOUTH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
18. Creditors: Amounts falling due within one year (continued)
| Deferred income (including figure for more than one year) Deferred income at 1 April 2021 Resources deferred during the year Amounts released from previous years Deferred income at 31 March 2022 |
£ 456,166 249,313 (207,024 |
|---|---|
| 498,455 |
19. Creditors: Amounts falling due after more than one year
| Net obligations under finance leases and hire purchase contracts Deferred income |
2022 £ 2,532 75,145 77,677 |
2021 £ 9,432 89,642 |
|---|---|---|
| 99,074 |
Obligations under finance leases and hire purchase contracts, included above, are payable as follows:
| 2022 | 2021 | |
|---|---|---|
| £ | £ | |
| Between one and five years | 2,532 | 9,432 |
The hire purchase balances are secured on the assets that they relate to.
Page 29
(A Company Limited by Guarantee)
ACTION4YOUTH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
20. Statement of funds
Statement of funds - current year
| Statement of funds - current year | |||
|---|---|---|---|
| Balance at 1 April 2021 £ Designated funds Development fund 14,800 Richard Swann Bursary fund 775 15,575 General funds General Funds - all funds 490,851 Caldecotte Xperience 198,270 689,121 Total Unrestricted funds 704,696 Restricted funds Balance at 1 April 2021 £ Caldecotte Property Fund 177,141 Total of funds 881,837 |
Income Expenditure £ £ - - - - - - 1,066,545 (1,032,442) 541,124 (552,843) 1,607,669 (1,585,285) 1,607,669 (1,585,285) Income Expenditure £ £ 10,000 (17,072) 1,617,669 (1,602,357) |
Gains £ - - - 11,926 - 11,926 11,926 Gains £ - 11,926 |
Balance at 31 March 2022 £ 14,800 775 15,575 |
| 536,880 186,551 723,431 |
|||
| 739,006 | |||
| Balance at 31 March 2022 £ 170,069 |
|||
| 909,075 |
The designated funds are as follows:
The Development Fund was created to anticipate development of the work of Action4Youth.
The Richard Swan Bursary Fund is to provide books for young people going into further education.
All restricted funds have arisen from grants, donations or contract income being received for specific purposes. Sufficient resources are held in an appropriate form to enable each fund to be applied in accordance with anyrestrictions imposed:
The Caldecotte Property Fund relates to funds invested in the freehold property in which the company has a 38% interest, including the George Amey Centre.
Page 30
(A Company Limited by Guarantee)
ACTION4YOUTH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
20. Statement of funds (continued)
Statement of funds - prior year
| Balance at 1 April 2020 £ Designated funds Development fund 14,800 Richard Swann Bursary fund 775 15,575 General funds General Funds - all funds 199,242 Caldecotte Xperience 462,775 Total Unrestricted funds 677,592 Restricted funds Balance at 1 April 2020 £ Caldecotte Property Fund 193,066 Total of funds 870,658 |
Income £ - - - 880,387 193,090 1,073,477 Income £ 10,000 1,083,477 |
Expenditure £ - - - (587,791) (457,595) (1,045,386) Expenditure £ (25,925) (1,071,311) |
Gains £ - - - (987) - (987) Gains £ - (987) |
Balance at 31 March 2021 £ 14,800 775 15,575 490,851 198,270 704,696 Balance at 31 March 2021 £ 177,141 881,837 |
|---|---|---|---|---|
Page 31
ACTION4YOUTH
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
20. Statement of funds (continued)
Summary of funds - current year
| Balance at 1 April 2021 £ Designated funds 15,575 General funds 689,121 704,696 Restricted funds 177,141 881,837 Summary of funds - prior year Balance at 1 April 2020 £ Designated funds 15,575 General funds 662,017 677,592 Restricted funds 193,066 870,658 |
Income Expenditure £ £ - - 1,607,669 (1,585,285) 1,607,669 (1,585,285) 10,000 (17,072) 1,617,669 (1,602,357) Income Expenditure £ £ - - 1,073,477 (1,045,386) 1,073,477 (1,045,386) 10,000 (25,925) 1,083,477 (1,071,311) |
Gains £ - 11,926 11,926 - 11,926 Gains £ - (987) (987) - (987) |
Balance at 31 March 2022 £ 15,575 723,431 |
|---|---|---|---|
| 739,006 170,069 |
|||
| 909,075 | |||
| Balance at 31 March 2021 £ 15,575 689,121 |
|||
| 704,696 177,141 |
|||
| 881,837 |
Page 32
(A Company Limited by Guarantee)
ACTION4YOUTH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
21. Analysis of net assets between funds
Analysis of net assets between funds - current year
| Analysis of net assets between funds - current year | Analysis of net assets between funds - current year | |||
|---|---|---|---|---|
| Unrestricted funds 2022 £ Intangible fixed assets 6,246 Tangible fixed assets 393,499 Fixed asset investments 145,706 Current assets 708,607 Creditors due within one year (431,867) Creditors due in more than one year (77,677) Provisions for liabilities and charges (5,508) 739,006 Analysis of net assets between funds - prior year Unrestricted funds 2021 £ Tangible fixed assets 390,739 Current assets 754,362 Creditors due within one year (312,464) Creditors due in more than one year (99,074) Provisions for liabilities and charges (28,867) 704,696 22. Reconciliation of net movement in funds to net cash flow from operating Net income for the year (as per Statement of Financial Activities) Adjustment for: Depreciation charges Loss on investments Loss on the sale of fixed assets (Increase)/decrease in debtors Increase/(decrease) in creditors Defined benefit pension scheme adjustment Net cash provided by operating activities |
Restricted funds 2022 £ - 276,293 - - (106,224) - - 170,069 Restricted funds 2021 £ 293,365 - (116,224) - - 177,141 activities 2022 £ 11,018 88,498 4,294 2,460 (13,862) 88,007 (7,139) 173,276 |
Total funds 2022 £ 6,246 669,792 145,706 708,607 (538,091) (77,677) (5,508) 909,075 Total funds 2021 £ 684,104 754,362 (428,688) (99,074) (28,867) 881,837 2021 £ 12,166 98,673 - 14,371 103,205 (22,174) (5,336) 200,905 |
||
| Restricted funds 2021 £ 293,365 - (116,224) - - 177,141 activities 2022 £ 11,018 88,498 4,294 2,460 (13,862) 88,007 (7,139) 173,276 |
||||
Page 33
(A Company Limited by Guarantee)
ACTION4YOUTH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
23. Analysis of cash and cash equivalents
| Analysis of cash and cash equivalents | ||
|---|---|---|
| Cash in hand Total |
2022 £ 597,235 597,235 |
2021 £ 656,852 |
| 656,852 |
24. Pension commitments
The charitable company operates both a Defined benefit and defined contribution pension schemes.
Action4Youth participates in The Pensions Trust’s Growth Plan (the Plan). The Plan is funded and is not contracted-out of the State scheme. The Plan is a multi-employer pension plan. A full actuarial valuation for the scheme was carried out at 30 September 2020. This valuation showed assets of £800.3m, liabilities of £831.9m and a deficit of £31.6m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme.
Contributions paid into the Plan up to and including September 2001 were converted to defined amounts of pension payable from Normal Retirement Date. From October 2001 contributions were invested in personal funds which have a capital guarantee and which are converted to pension on retirement, either within the Plan or by the purchase of an annuity.
The rules of the Plan give the Trustee the power to require employers to pay additional contributions in order to ensure that the statutory funding objective under the Pensions Act 2004 is met. The statutory funding objective is that a pension scheme should have sufficient assets to meet its past service liabilities, known as Technical Provisions.
As at the balance sheet date, Action4Youth had one active member of the Plan. Action4Youth has closed the Plan to new entrants.
The charity has calculated the deficit under the net present value of future cash flows method, permitted under FRS 102, the deficit of the pension scheme is £5,508 is materially correct.
The total contributions made for the year ended 31 March 2021 were £31,183 (2021 - £30,869) of which £7,305 (2021 - £7,092) were deficit payments. Therefore the charge to the Statement of Financial Activities for the defined contribution scheme is £23,878 (2021 - £23,777).
Principal actuarial assumptions at the Balance sheet date (expressed as weighted averages) :
| 2022 | 2021 | |||
|---|---|---|---|---|
| Discount rate at | 31 | March | 2.35% | 0.66% |
The company operates a Defined Benefit Pension Scheme.
Page 34
ACTION4YOUTH
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
24. Pension commitments (continued)
The assets in the scheme and the expected rates of return were:
| Fair value at | Fair value at |
|---|---|
| 31 March | 31 March |
| 2022 | 2021 |
| £ | £ |
The amounts recognised in the Statement of Financial Activities incorporating Income and Expenditure Account are as follows:
| 2022 £ Current service cost (15,835) Interest on obligation (166) Past service cost (738) Total (16,739) Movements in the present value of the defined benefit obligation were as follows: 2022 £ Opening defined benefit obligation 68,824 Current service cost 15,835 Interest cost 166 Closing defined benefit obligation 84,825 Changes in the fair value of scheme assets were as follows: 2022 £ Opening fair value of scheme assets 27,983 Contributions by employer 7,305 35,288 |
2021 £ (16,015) (769) (670) |
|---|---|
| (17,454) | |
| 2021 £ 52,040 16,015 769 |
|
| 68,824 | |
| 2021 £ 20,891 7,092 |
|
| 27,983 |
Page 35
ACTION4YOUTH
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
24. Pension commitments (continued)
Amounts for the current and previous four periods are as follows:
Defined benefit pension schemes
| Defined benefit obligation Scheme assets Deficit |
2022 £ (84,825) 35,288 (49,537) |
2021 £ (68,824) 27,983 (40,841) |
2020 £ (52,040) 20,891 (31,149) |
2019 £ (30,142) 14,005 (16,137) |
2018 £ (11,324) 6,899 (4,425) |
|---|---|---|---|---|---|
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(A Company Limited by Guarantee)
ACTION4YOUTH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
24. Pension commitments (continued)
Value of scheme assets and liabilities
| Net pension liability Movements in deficit during the year: Deficit in scheme at beginning of year Interest expense Contributions Actuarial (gain)/loss Deficit in scheme at end of year |
2022 2021 £ £ 5,508 28,867 2022 2021 £ £ 28,867 34,203 166 769 (7,305) (7,092) (16,220) 987 5,508 28,867 |
|---|---|
25. Operating lease commitments
At 31 March 2022 the total of the Charity’s future minimum lease payments under non-cancellable operating leases was:
| Amounts payable: Within 1 year Between 1 and 5 years After more than 5 years Total |
2022 £ 75,503 183,335 221,414 480,252 |
2021 £ 33,441 105,379 247,758 |
|---|---|---|
| 386,578 |
26. Controlling party
The Trustees believe that there is no ultimate controlling party.
27. Company limited by guarentee
The company is limited by guarantee without share capital.
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