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2021-03-31-accounts

YMCA ST. PAUL’S GROUP

YMCA ST PAUL’S GROUP (Limited by guarantee)

REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

Registered company: 02971930 Registered charity: 1041923 Registered housing provider: LH4078

YMCA ST. PAUL’S GROUP

ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2021

CONTENTS

Corporate information 2
Trustees’ Report (incorporating the Strategic Report) 3
Independent auditor’s report 32
Consolidated and charity statements of comprehensive Income 36
Consolidated and charity balance sheets 37
Consolidated and charity statement of changes in reserves 38
Consolidated cash flow statement 39
Notes to the financial statements 40

YMCA ST. PAUL’S GROUP

CORPORATE INFORMATION

TRUSTEES AND DIRECTORS

Andy Palmer Chair Gerald Chifamba Vice Chair Louise Hedges Chair of People & Governance Committee Helen Posner Chair of Performance Committee Edward Weiss Treasurer Kenneth Youngman Chair of Audit & Risk Committee Roni Savage Vice Chair & Chair of Development & Assets Committee Duncan Ingram Vice Chair Carol Delaney Graham Beech Chris Stern (Appointed 1 September 2021) COMPANY SECRETARY David Martin (Appointed 1 April 2020) EXECUTIVE TEAM Richard James Chief Executive Officer Fred Angole Group Finance Director Marjorie James Group Director of People Mark Agnew Group Director of Property and Places (Resigned 6 June 2021) Jessica Laryea Group Director of Operations David Boden Group Director of Property & Places (Appointed 14 June 2021)

CORPORATE INFORMATION

Registered office 49 Victoria Road, Surbiton, Surrey KT6 4NG Company 02971930 Charity 1041923 Registered Social Housing Provider LH4078 Ofsted RP524773 CQC provider 1-101652524

AUDITORS, PRINCIPAL BANKERS AND PRINCIPAL SOLICITORS

Auditor (External)

BDO LLP, 55 Baker Street, London W1U 7EU

Auditor (Internal) Mazars LLP, Tower Bridge House, St Katharine’s Way, London E1W 1DD

Principal solicitors Devonshires LLP, 30 Finsbury Circus, London EC2M 7DT Bates Wells LLP, 10 Queen Street Place, London EC4R 1BE

Principal bankers

NatWest Bank Plc, 2nd Floor - Argyll House, 246 Regent Street, London, W1B 3PB

Metro Bank, One Southampton Row, London WC1B 5HA

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT)

TRUSTEES’ REPORT

The Trustees, who are also directors for the purpose of the Companies Act, present their annual report (incorporating the Charity’s strategic report) and financial statements of the Charity for the year ended 31 March 2021. This report covers:

STRUCTURE, GOVERNANCE AND MANAGEMENT

Structure

The Charity is a company limited by guarantee and incorporated in England & Wales (number: 02971930), a registered provider (number: LH4078) and a registered charity (number: 1041923). It is governed by its Trustee Board.

Governance framework

YMCA St Paul’s Group (‘Charity’) is governed by its Articles of Association, which provides the constitutional framework. These are available for inspection on the Companies House website or from the Company Secretary.

The Charity is committed to sound corporate governance and has adopted the National Housing Federation’s Code of Governance (2015) and Trustee Code of Conduct (2012). The Board reviews its compliance with these Codes annually and they confirm that the Charity is compliant with them.

The Charity is affiliated, via a membership agreement, to the National Council of YMCAs for England and Wales (otherwise known as YMCA England and Wales) and, through them, to the world YMCA family.

Charitable Objectives

The Charity’s charitable objectives are for the public benefit. They are:

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

STRUCTURE, GOVERNANCE AND MANAGEMENT (continued)

Vision, Mission and Values

Through the course of the year the charity revisited and refreshed it vision and mission, agreeing that Across London and beyond, YMCA St Paul’s Group:

With an approach informed by our Christian faith basis the charity works with fellow community collaborators to see this vision realised.

The Charity’s Values and accompanying behaviours framework set out how the promotion of a Christian environment is to be delivered. These values are:

Principal Activities

The largest activity of the Charity is providing safe places to stay and support for homeless people, particularly, those who are young. The Charity also provides social, educational, sports, fitness and wellbeing activities for people of all ages in the community, particularly for those most at risk.

In all the Charity does with young people and communities, it seeks to promote an inclusive approach that demonstrates its Christian values and ethos in action.

Promoting the success of the Charity - Section 172 statement

The Trustees are committed to promoting the success of the Charity as required by Section 172 of the Companies Act 2006 and have:

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

STRUCTURE, GOVERNANCE AND MANAGEMENT (continued) Promoting the success of the Charity - Section 172 statement (continued)

This Section 172 statement focuses on matters of strategic importance and the information disclosed is consistent with the size of the Charity. The Charity’s governance processes have been deployed in good faith so that decisions taken (see page 9) are those that would most likely promote the Charity’s success for the public benefit and having regard to:

The Trustee report and, in particular, the section on achievements and performance, sets out how the Charity is delivering on its objects, vision and mission by:

The Charity is committed to the long-term prospects of its work. During the year, time was invested in the Re-imagination Project which culminated in the adoption of a new 2021/24 Strategic Plan. This aligns to the post-Covid-19 operating environment and aims to position the Charity so that it is best placed to serve its beneficiaries in the years ahead.

Streamlined Energy and Carbon Reporting (SECR) policy

YMCA St Paul’s Group is committed to reducing its carbon footprint and has developed a detailed environment policy. The UK government’s Streamlined Energy and Carbon Reporting (SECR) policy requires businesses in scope to make certain disclosures regarding their energy use and measures taken to improve the businesses’ energy efficiency in that year in their Directors’ Report. The Charity has commissioned work to help it measure its annual greenhouse gas emissions and energy consumption to fulfil these reporting requirements. The results will be reported in the 2021/22 financial statements.

Group structure

The Charity is the parent charity of a group of companies. The Charity is the sole corporate or beneficial owner of all entities in the group:

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

STRUCTURE, GOVERNANCE AND MANAGEMENT (continued) Group structure (continued)

At 1 April 2020 :

----- Start of picture text -----
YMCA St Paul's Group
YMCA St Paul's Group Forest YMCA Trading YMCA London Group
Forest YMCA
West London YMCA (Development) Ltd Ltd Ltd
Dormant
Dormant Dormant Dormant
West London YMCA
Trading Ltd
Dormant
----- End of picture text -----

As they were no longer required, Forest YMCA Trading Ltd and West London YMCA Trading Ltd were dissolved on 13 and 20 October 2020 respectively.

Since 31 March 2021, YMCA St Paul’s Group (Development) Ltd has become active.

The Charity’s Trustee Board

Due to the Covid-19 pandemic, the Trustees met virtually on nine occasions during the year. This included a strategy away day and the business planning & stress testing workshop. The Trustees also engaged in a number of facilitated workshops to enable the delivery of the new 2021/24 Strategic Plan. With the lifting of lockdown, the Trustees look forward to greater engagement opportunities with residents and beneficiaries in 2021/22

Alongside the visit to local projects, the Trustees also received training in strategic finance, safeguarding and regulatory standards. Trustees also attended several online events and seminars to help their development.

Trustee & committee member engagement remains strong with an attendance rate of 95% over the year.

Delivering good governance using a committee structure

The Trustees expanded their effectiveness by deploying a committee structure to gain further assurance and access specialist skills.

Trustee Board

Development & People & Audit & Risk Performance Assets Governance Committee Committee Committee Committee

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

STRUCTURE, GOVERNANCE AND MANAGEMENT (continued) Delivering good governance using a committee structure (continued)

All of the Committees are committees of the main Trustee Board and comprise a mix of trustees and independent members who have specialist skills. Matters identified by the committees are escalated to the Board through a formal report, urgent matters are reported by the Chair of the Committee to the Chair of the Board.

Independent Committee members during the year included:

Audit and Risk Committee

Performance Committee

Development and Asset Committee

People and Governance Committee

The trustees would like to record their appreciation for Keith Everitt, Sue May and Mike Kelly who stood down during the year after a period of good service to YMCA St Paul’s Group and the earlier local YMCA charities.

The Trustees are grateful for the diligent service of the independent members in the financial year under review.

Audit & Risk Committee

The Audit & Risk Committee met four times in the financial year and reported its activities to the Board.

This Committee is tasked with overseeing compliance, risk and regulatory reports. It supervises the external and internal audit/controls and advises the Board on the effectiveness of risk measures. It is responsible for advising the Board on the Charity’s compliance with the Regulator’s Economic Standards.

Development & Assets Committee

The Development & Assets Committee met four times in the financial year and reported its activities to the Board.

This Committee is concerned with new property development and existing asset management, including health & safety assurance. It is responsible for compliance with the Regulator of Social Housing’s Homes Standard.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

STRUCTURE, GOVERNANCE AND MANAGEMENT (continued) Delivering good governance using a committee structure (continued)

People & Governance Committee

The People & Governance Committee met four times in the financial year and reported its activities to the Board.

This Committee is responsible for overseeing the governance strategy as well as supporting the recruitment, appraisals and board & committee effectiveness. The Committee also deals with matters relating to Executive Team recruitment and remuneration.

Performance Committee

The Performance Committee met five times during the year (including one session focused on the reimagination project – see below). It has specific delegated advisory responsibilities relating to all operational service delivery.

The purpose of the Performance Committee is to oversee, on behalf of the Board, a forward-looking programme of consistent service design in respect of the Charity’s key strategic services. This includes ensuring that the services to customers and its engagement with stakeholders and partners enable the achievement of the strategic vision, objectives and goals and deliver improved customer outcomes.

The Committee is responsible for advising the Board on the Charity’s compliance with the Regulator’s Consumer and Rent Standard as well as operational requirements set out by CQC and Ofsted.

Executive Team

The Trustees delegate the day-to-day responsibility for running the Charity to the Chief Executive. The Executive Team consists of:

The Executive team met twice a month until the time of Coronavirus. At that point, the meetings became much more frequent to respond to the pandemic and the priority matters.

All Executive Team members are invited to attend all Board meetings. Each Executive Team member is responsible for a Committee and liaises with the respective trustee chair. To help with the charity's succession planning, Heads of Service are also invited to attend Committees and then Board where required.

Employees

The Charity recognises the strength of its employees who are committed to the objectives that service the best interests of its residents and service users. The Charity shares information on its objectives, progress and activities through regular management and staff departmental meetings. In addition, staff conferences and team days are used to celebrate success, generate ideas and positively engage with staff.

Health & safety

The Trustees are aware of their responsibilities on all matters relating to health and safety. The Charity has prepared detailed health and safety policies and provides staff training and education on health and

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

STRUCTURE, GOVERNANCE AND MANAGEMENT (continued)

Health & safety (continued)

safety matters. Health and Safety compliance is monitored through quarterly reporting to the Development and Assets Committee as well as an Annual report to the Board.

Safeguarding

The Trustees are aware of their responsibilities in ensuring that all beneficiaries, especially those who are children, young people or adults at risk that access services through the charity can do so in a safe way. The Charity is focused on ensuring everyone has an opportunity to achieve their full potential. A Trustee Champion is in place to monitor safeguarding activities and both the Trustee Board and Performance Committee receive quarterly reports on progress. During the year, the Trustee Board received safeguarding training.

Information security

The Charity is committed to information security and continues to promote good and appropriate collection and use of data and information.

Compliance with taxation

The Charity is committed to conducting its business with integrity, transparency and fairness, and in compliance with all relevant rules, regulations and legislation. It values its reputation for ethical behaviour, financial probity and, as a charity, it disapproves of tax evasion in whatever form. The Charity will not knowingly engage with any individual or business that does not share its commitment to the prevention of tax evasion. The Charity requires all trustees and staff to demonstrate the highest standards of honesty at all times.

Indemnity insurance

The Charity’s insurance policies indemnify the Trustees and Officers against liability when acting for the Charity providing their actions are not reckless or fraudulent.

Public Benefit

The Trustees held service users at the heart of its approach to formulating the strategic objectives and associated strategies. In doing so, The Trustees confirm that they have complied with Section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission in determining the activities undertaken by the charity. Through the work that the Charity undertakes in its service areas, it delivers public benefit and serves a wide range of people, many of whom are vulnerable.

Key Decisions

Key decisions taken by the Board during the financial year include the following:

ACHIEVEMENTS AND PERFORMANCE

2020-21 was the third and final year of the Charity’s three-year Strategic Plan that, following mergers in 2017-18, was designed to bring the, previously four separate Charities together as one.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

ACHIEVEMENTS AND PERFORMANCE (continued)

As part of their usual annual planning and budgeting, Heads of Service spent the last part of 2019-20 planning and prioritising, identifying risks and opportunities as well as finalising their departmental plans for the year. Then, just as the new financial year was about to begin the country was thrown into chaos with the Covid-19 lock down and 12 months that was unlike anything anyone had experienced before. As a result, those departmental plans and budgets, which were due to be presented to the Board in March 2020, had to be quickly revisited, reprioritised and re-forecast.

The initial period of the first lockdown required a flexibility to respond and adapt to an ever-changing landscape. With news and Government guidance evolving daily, all non-essential services including all the Charity’s gyms, classes, Youthwork, children’s work (excluding pre-school and nursery) were stopped from March 23rd. Then, over the next few days, 400 members of staff were put on the government’s furlough scheme, over 100 were mobilised to work from home, leaving a further 300 frontline staff who were required to come in and provide essential services to YMCA residents and families in the nursery and pre-school. A new Covid-19 way of working was launched with senior and local management working remotely but closely together in order to manage risk whilst ensuring essential services could be continued.

After the initial shock of shutting down, it did not take long for teams to start to innovate and think about how support to young people and communities could be delivered differently. Amongst the new ways of working that developed throughout the year was health and wellbeing classes moving online, counselling services being delivered remotely and the launch of a virtual choir. There were also new projects launched, such as Merton’s humanitarian project, providing vital supplies to lonely and vulnerable people around YMCA Wimbledon, and the YMCA SPG Digital Youth Centre which was an online repository of information, resources and interactivity for young people across the group.

Whilst the service delivered evolved, so did the support for staff with an “in person” managers’ conference and staff events replaced by virtual meetings, coffee mornings, WhatsApp challenges and online away days. As the weeks went by and the new ways of working became normalised it became clear that the move to digital working did result in bringing teams and people together with the four merged entities becoming one and the narrative of the first strategic plan quickly disappearing into the rear-view mirror.

Just as staff from the Charity adjusted so did staff from YMCAs across the World. This was highlighted when the Charity was approached by the General Secretary of the World Alliance of YMCAs who had seen an Easter Egg throwing competition that had been run across YMCA SPG sites (whereby one person virtually catches and throws and egg on and off screen, clips are linked together to link people). The success of the YMCA SPG video was repeated globally with a video, co-ordinated by the Charity’s Chaplaincy Team. This involved 59 countries taking part in a video that connected the YMCA world in a new and entertaining way.

As well as Covid -19, another global event came to have a direct impact, in May 2020, with the death of George Floyd in Minneapolis, USA and the issues raised by the Black Lives Matters movement. Despite already having a proactive approach to diversity and inclusion, the debate and discussions triggered by this global movement came to have a significant impact on the approach across the charity. Members of staff were given opportunities to speak about their own lived experiences, sharing personal stories as well as hopes for the future. To ensure that the charity responded properly and holistically the decision was taken in October 2020 to sign up to the BITC Race at Work Charter and, alongside a new Equity Diversity and Inclusion policy, work took place to ensure that mechanisms exist across the Charity for people of all backgrounds to be speak up and help shape the future.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

ACHIEVEMENTS AND PERFORMANCE (continued)

The context created by Covid-19 also gave the Charity the opportunity to go back to first principles, looking again at all it did and assessing whether some things that had been stopped, should not be started again and whether things that had been started should not be continued. This project, called the Re-Imagination Project was the roadmap to a new Strategic Plan that would take effect from April 2021. Throughout the year, with external facilitation from Eastside Primetimers, there was a top down, bottom up approach, and a Board-owned process that gathered ideas from external stakeholders, staff, residents, young people as well as Committee members. A range of digital tools, workshops and focus

groups were run that allowed ideas to be developed by people with a range of experiences. Then, at its meeting in November 2020, the Board approved the 2021-24 Strategic Plan, called The World We Want To See. The plan focuses on the delivery of 10 key aims, that is not split by department or location but rather relies on teams from across the organisation working together towards a common goal.

As well as strategic planning, the new way of working allowed several new initiatives to be accelerated including: the introduction of our first HACT impact report (a process that is set to improve year on year with more data), the launch of Compleat (a new e-Purchase to Pay system) and SSO (single sign on) for all our devices – helping bring everyone onto one platform whilst increasing cyber security across the group.

The financial year ended on a high when the Charity was awarded a G1, V2 grade by the Regulator of Social Housing. After an In-Depth Assessment in September 2019 and delivery a subsequent action plan, that remained uninterrupted by Covid, enough evidence was provided that the Charity had demonstrated it had the necessary controls, assurance and plans in place to deliver on its vision and mission. In being awarded the G1, V2 grade, the Charity became the first YMCA to be subject to and be able to successfully demonstrate compliance, as a ‘large’ housing provider.

Housing, Care & Support

Between April 2020 and March 2021 YMCA St Paul’s Group housed 2022 residents across their 33 housing projects. Of these, 965 ‘Moved-On’, with 36% moving onto new accommodation from the local authority or different supported housing, becoming an owner occupier themselves. 16% moved to live with family or friends. 1% or 12 residents moved out to go to university accommodation.

In May 2020, 82% of the residents were satisfied with the way the Charity supported them through the initial challenges of Covid. By March 2021, this had increased to 91.65% of residents who were either satisfied or very satisfied with the advice and support offered throughout around the Covid pandemic.

The Merton Emergency Winter Accommodation (MEWA) was launched in November 2020 providing accommodation to rough sleepers across the area. 12 residents have used the shelter with the average length of stay of 63 days. For each rough sleeper that spends a minimum of two weeks in a shelter environment there is a HACT social value of £16,448. Nine guests have stayed the minimum period required resulting in a HACT social impact value of £148,032.

Alongside MEWA, the Merton Humanitarian Support Group project was setup in June 2020 due to the lack of daycentres and drop-in services available to those in need – many of which closed owing to the medical or age-related vulnerability of their volunteers. The project’s team co-ordinated the collection and distribution of food, hygiene products and other essentials to people in Merton who needed support due to Covid-19 – especially those sleeping rough. In total, we estimate that we have had up to 4680 interactions with people needing humanitarian support.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

ACHIEVEMENTS AND PERFORMANCE (continued) Housing, Care & Support (continued)

Three new projects opened in the Summer of 2020 providing supported accommodation to 32 young people in Waltham Forest, East London.

To overcome the challenges brought by locking down, managing risk and implementing new ways of working, Teams were switched onto hot and cold rotas and for much of the year, and the communal areas in the Charity’s buildings needed to be closed.

The external pressures had a significant effect on residents with a significant increase in anxiety, mental health and stress. This sometime manifested itself in increases in anti-social behaviour or substance misuse, however, sadly it also resulted in some serious incidents including an attempted suicide and a death following an altercation between two residents.

Despite the pressures, the teams worked hard to find new ways to allow residents to flourish; creativity packs were handed out, a new residents wellbeing portal was launched, and home gyms were opened in several hostels (accessible to residents only, when restrictions allowed).

Alongside the support work an operational restructure was also carried out that further aligned systems and processes across the group and introduced a new centralised Rent and Tenancy Administration Team.

Throughout the pandemic, we continued to provide specialist support to the residents of our Care Homes in Surrey, working in partnership with Surrey County Council. We ensured that staff delivered the best service possible to our residents during the COVID19 pandemic, proactively working within Government guidelines in keeping the people we support, staff and visitors safe.

Health and Wellbeing

Whilst the Health & Wellbeing centres were closed, for the majority of 2020/21, the department continued to support our communities by engaging in an entirely different, digital way. The teams learned how to continue to provide wellbeing and fitness activities remotely and within centres when restrictions allowed. Key during the year was continued engagement and choice for our members to ensure that, when we could restart activities within centres, they could do so and for those that wanted to continue to engage digitally, they could do so also.

In May 2020, online classes were introduced to enable our community members to continue exercising at home, 66 classes were held in the first month with over 500 attendances. Over the course of the year that grew to 982 classes with 11,939 attendances delivered online. These classes proved so popular that they are now part of the membership package. The feedback from our members attending online classes has been amazing with many members saying they just would not have maintained their activity levels and been as social without them.

“Great to feel a sense of community through these classes during these testing times and be encouraged by the knowledge and caring instructors”

As membership payments were frozen during the majority of the year members were asked to pay for the classes via donation and over the course of 2020/21 this has raised £12,281. In August, Chaplaincy in liaison with HWB, hosted a virtual choir, supported by the donations received from these online exercise classes. This choir helped reach some of our most vulnerable and isolated visitors to our centres. The sessions evolved from being just song based to include coffee and chat time, with regular

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

ACHIEVEMENTS AND PERFORMANCE (continued) Health and Wellbeing (continued)

individual email support with the Chaplain.

"I have felt so low without the choir and did not really realise how much I needed the outlet for singing and meeting up till it was gone."

The impact on the attendees was significant with 80% of the attendees moving up more than 3 places on the Warwick-Edinburgh Wellbeing scale. The Warwick -Edinburgh Assessment equates a three point improvement as equating to a significant improvement in mental health and wellbeing and we have also been able to calculate a HACT score of the impact to wellbeing for this virtual offering of £4,095 a 1:19 result for budget/social impact.

"Thank you very much for getting us on to zoom and for our virtual choir sessions. It’s been different but has been so good to be able to sing and see other members each week."

Although indoor activities were severely impacted during the year and continuity of service was highly restricted the year did see limited periods of huge demand for outdoor activities where and when the restrictions allowed. The YMCA Hawker junior tennis academy flourished during the periods of reopening with lessons and courses fully booked each time. At the same time given Covid’s negative impact on people’s mental health and the positive benefit that swimming has in alleviating mental health, we were pleased that Hampton pool was one of the first outdoor leisure centres in the country to reopen after the first lockdown and by the end of the year swimming registrations had increased by over 30,000 people. By the end of the year there has been 208,423 visits, delivering substantial social impact through lane swimming.

Further lockdowns prevented continuity of service and in November when a further lockdown began the teams opened up the existing gyms for use by residents as a home gym environment. In line with the Covid regulations these were only used by one resident at any stage of time and gave our residents an opportunity to exercise. This was possible at our Walthamstow, Surbiton and Wimbledon hostels which have gyms on site and was expanded further by providing introducing a new gym, with some equipment provided from the other sites, to South Ealing who were able to create a temporary home gym set up for their residents. Across these four sites, 80 residents signed up to access the gym and have completed their initial wellbeing questions to enable us to track the impact of this access. Unfortunately the covid restrictions changed in December meaning gym access had to be removed before the second survey was possible (gyms re-opened in April 2021). Below comments from residents demonstrates the benefit of this to them when asked why they exercise:

“ I release my stress and anger there”

“Helps with my mental health”

“I like to keep my self fit. When I do exercises I feel happy and confident.”

“If the gym was closed fully I would crumble”

The catered hostels have continued to have meals prepared for them throughout the year. When restrictions required restaurant and canteen style service to be stopped our service switched to take away bag options enabling residents to collect their meal during the day and eat it in their room later.

When table eating has been possible the teams have continue to provide menus as normal with over 96,000 meals being provided over the year. Due to the impact of the pandemic on the economy we have seen an increased demand for hardship meals with over 2,000 hardship meals being provided to our residents.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

ACHIEVEMENTS AND PERFORMANCE (continued) Health and Wellbeing (continued)

Release counselling grew throughout the year with services moving to virtual, both online and by phone where required although face to face counselling was still permitted under the restrictions for certain consultations. Over the course of 2020/2021 1,382 counselling sessions have been delivered, increasing by from 1,101 in 2019/2021. The increase in the number counselling sessions has largely been through

supporting residents with an increase over the year by 25%. Both client groups (community and residents) have shown an increase in the complexity of need when presenting with anxiety/stress featuring increasingly throughout the year. Over 70% of clients saw an improvement in their mental health and emotional well-being after counselling. Feedback from Housing Managers has also been positive with improvement in support plan meetings (with residents) and that the counselling sessions are putting an impact on the residents lives in a positive manner.

Children and Youth Services

Many of the services provided by the Children, Youth and Families (CYF) teams were closed due to the Covid restrictions, the team quickly adapted their approach to deliver their services online or by phone. Over 4,000 phone / video calls were made and over 500 zoom calls in just the first lockdown! In addition, 40 lifeskill sessions and 70 home fitness sessions were delivered. Weekly newsletters were shared with young people and families providing opportunities to access activities available.

Many of the young people the Charity supported were able to stay connected in the first lockdown via a grant (from the London Bridge Trust) that enabled the team to provide 22 mobile handsets and data, giving them access to the Charity’s digital programme. These handsets also allowed YMCA SPG youth workers to stay in touch with them, offering for 121 advice and signposting. Alongside the distribution of mobile handsets, cooking classes were held online with attendees being given supermarket vouchers to cover the cost of the ingredients.

To assess the impact of the restrictions in the first lockdown, the Charity carried out a survey with young people from across London. The Survey was a short anonymous questionnaire consisting of 11 questions and took place from 14 - 25 May 2020. The majority of responses were made online by young people, although some responses were collected by youth workers via telephone and video conversations. 40% said Covid restrictions had impacted them severely, and 19% the impact had been very severe. Results from this questionnaire were published online and used by the charity’s youthwork teams to inform the shape of the programmes offered in the latter half of the year.

In the Summer of 2020, the YMCA SPG Digital Youth Centre was launched, providing young people with a central hub for things they may want to know from life skills to support and advice. This website received 355 unique visitors and was particularly popular during the different lockdown periods.

Then as lockdown restrictions eased, the team recommenced detached youth work with youth workers going out and about into the community to deliver two detached youth work sessions each week.

In the children’s work department, the Jumpers nursery in South Ealing remained open throughout the year providing early years care for key workers and SEND children during the first lockdown in line with covid regulations. Meanwhile the charity’s pre-school (Nursery lands) at the Whitehouse (which provides 34 places 90% of which are funded, 60% of which are from areas of deprivation and 40% have an involvement with social services) had to close during the first lockdown due to low attendance numbers, it then reopened and stayed open after the summer break in September 2020. During the whole year the team continued to provide family support remotely across the area including handing

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TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

ACHIEVEMENTS AND PERFORMANCE (continued) Children and Youth Services (continued)

out hundreds of food vouchers.

Chaplaincy

The Charity’s Chaplaincy team needed to adjust its focus because of the changing services throughout the year. With restrictions on meeting in groups and an increase in mental health pressures and anxiety amongst both staff and residents, the team moved to providing focused one to one support sessions.

Altogether 1,251 pastoral care sessions were provided, 48% of these went to residents and 52% to staff. Issues addressed included: anxiety, bereavement, addiction and family support. By increasing the amount 1-2-1 sessions with staff, the team were focused on ‘supporting the supporter’, providing a listening ear, mentoring and friendly voice whenever needed.

Weekly staff prayers were moved online, enabling people from across the group to be able to connect and pray with colleagues in different sites, something that hadn’t happened in a systematic way before. Memorials were offered to help staff and residents mark several deaths during the year, where funerals were unable to take place.

Alongside the local support the team were also involved in a number of national support opportunities, offering prayer and connection to other Chaplains and linking with YMCA England & Wales for staff pastoral support. These sought to connect people throughout the YMCA family, acknowledging difficult times but also hoping and praying for a brighter future.

HR & Organisational Development (People)

Throughout the year, the charity’s ‘People’ directorate focussed on our staff wellbeing, using regular pulse surveys as well as a full staff survey which showed that 87% of our staff feel trusted to do their job, 77% felt they have the equipment and resources they need to do their job effectively. Given the challenging times during the pandemic, staff recognition was a crucial area of focus. Some of the initiatives included launching a values based recognition programme, a social recognition wall besides thanking all staff that worked through the pandemic with wellbeing appreciation package (vouchers and annual leave). The most recent staff survey reported 70% of staff feeling the charity recognises teams and individuals.

Throughout the year the team also supported 3 apprentices to gain NVQ’s in Level 2 Fitness Instruction, Level 3 Digital Marketing and L3 HR Support. Five members of staff were trained and qualified thanks to the levy fund, and four staff started a levy funded course in 2020 and will be qualified within the next 12 months. Other external training included Health & Wellbeing certification, Advanced (DSL) Child Protection Training and courses such as food safety and allergy training for the charity’s catering teams

Alongside the apprenticeships, 3,654 in house training sessions were completed, these ranged from face to face training, remote e-learning and zoom or teams based training sessions.

A staff engagement group was launched, including staff from across the organisation. This group helped coordinate staff events, a staff conference, numerous online virtual coffee breaks as well as providing a feedback on how staff were feeling and how they could be best supported. Finally, in May 2020 a new staff benefits portal, Thrive! was launched. This provided an online hub for staff to access employee assistance programmes, retail discounts, free legal and financial advice as well as a range of other activities.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

ACHIEVEMENTS AND PERFORMANCE (continued) HR & Organisational Development (People) (continued)

A review of middle management and key management roles in the Children, Youth & Family (CYF), Housing Care & Support (HC&S) and Health & Wellbeing (H&W) teams took place which resulted in an alignment of the operational management structure. The process has involved each job being evaluated and then each role being benchmarked against market sector pay rates in order to allocate pay that was in line with similar organisations working in the sector. As a result of this process 20 roles were reviewed (8 in CYF, 5 in H&W and 7 in HC&S) and pay levels reviewed accordingly. A key addition within the HC&S management team was the creation of a new rental and tenancy team and the creation of two posts to deliver resident engagement and peripatetic care and support.

The introduction of the Morgan Hunt managed service contract resulted in an alignment of all the various recruitment agency suppliers into one single contract. It also resulted in a reduction in the fees charged for commissions charged by separate agencies who had to sign up to a Managed Vendor terms & conditions and fees. During 2020/21 more than 175 posts were recruited to YMCA SPG under the managed service agreement

Further development of the HR Information System took place during the year with little support from the initial systems led project team at a cost saving their phase 2 and phase 3 estimates from our overall expenditure.

The roll out of the Talent module allows for staff to actively input into probationary reviews and the annual performance appraisal process, which in the coming year 2021/22 will support succession planning, and talent management through means of the 9-box ratings process.

Social Hub has improved the way in which we engage with our and employees both site based and remote worker and has enabled better communication of policies and compliance changes as well streamlining the onboarding and offboarding experience, with us moving towards paperless processes by the end of 2021/22.

The launch of the expense's module has helped us take the multiple processes of expense claiming across the Charity into one singular payroll-based procedure which meets the compliance standards expected of us now and in the future.

Property and Places

The Property and Places team also had a busy but successful year. Whilst they had to postpone the majority of pre-planned works, the Facilities Management, with the support of the Head of Health and Safety focused on maintaining 100% Health & Safety regulatory compliance across all sites. This was done very successfully with the (new) returns submitted to the regulator showing that the Charity remained in the top percentile for H&S compliance and maintenance & repairs.

49 new rooms were created by the reallocation of space in YMCA Hayes and YMCA Walthamstow, the commissioning of these rooms took place in early 2021/22. Alongside the management of compliance, repairs and the new rooms the development team were successful in being granted planning for the development of YMCA Wimbledon. This is a scheme that has been more than 10 years in the making and as such it was a significant milestone which will hopefully see a new YMCA Wimbledon building opening in 2023. As well as Wimbledon planning permission was granted to Hampton Pool Trust for the development of Hampton Pool. The charity has been managing this facility for nearly 15 years and has played an active role in the development of the ideas behind the development.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

ACHIEVEMENTS AND PERFORMANCE (continued)

YMCA Federation engagement

During the charity continued to support the work of the wider Federation with support for several working groups that focused on: Brand Development, Impact Measurement, Purpose clarification. Alongside this Board, Committee and staff members held roles within a number of committees including Pension Liability Reduction, Finance and Risk, National Board, Chairs network and CEO network. Information from each network was shared through a new, quarterly board report that was introduced in Q4.

Good relationships were maintained with other YMCA’s through the sharing of policies, information and advice.

FINANCIAL AND OPERATING REVIEW (INCLUDING VALUE FOR MONEY)

At 31 March 2021, the Group had property and assets of £56m, reserves totalling £29m and an annual turnover of £24m.

The Group’s principal sources of income arise from its charitable activities of providing Accommodation, Health and Wellbeing services and Family, Youth and Children’s Work.

The Group achieved turnover from our social housing and other activities for the year ended 31 March 2021 of £23.7m, a decrease of 7.7% year on year as shown in the table below. The substantial reduction in income from Other Activities was mainly due closure of services as a result of Covid restrictions.

Turnover

2021 2020
£000 £000
Social housinglettings 15,423 15,272
Other social housingactivities 3,412 2,731
Other activities 4,887 7,696
Total 23,722 25,699

Summary Consolidated Statement of Comprehensive Income :

2021 2020
£000 £000
Turnover 23,722 25,699
Operatingcost (22,150) (23,891)
Operatingcost-triennial defined benefitpension deficit (346) -
Operatingsurplus 1,226 1,808
Net interestpayable (878) (988)
Surplus after interest 348 820
Other recognisedgains 9 (54)
Surplus for theyear 357 766

The Group achieved a surplus of £357k compared to £766k in 2019/20.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

FINANCIAL AND OPERATING REVIEW (INCLUDING VALUE FOR MONEY) (continued)

Summary Consolidated Balance Sheet :

2021 2020
£000 £000
Tangible fixed assets 56,181 56,788
Net current assets 3,648 3,351
Total assets less current liabilities 59,829 60,139
Long-term liabilities andprovisions **(31,041) ** (31,709)
Net assets/reserves 28,788 28,430

Housing properties are held at historic cost and unamortised grant is held in long-term creditors.

Consolidated Cash flow:

2021 2020
£000 £000
Cashgenerated from operations 2,730 3,040
Cash from investment activities (1,197) (1,535)
Cash from financingactivities (1,498) (318)
Net change in cash 35 1,187

At 31 March 2021 we had £5.1m cash and cash equivalents. In the year we:

Value for Money (VfM)

The Board believes achieving value for money is key to the delivery of our key priorities of:

  1. developing and promoting a network of safe places for young people to meet (or stay) and community wellbeing hubs where local people can access the support they need to thrive;

  2. being a leading provider of Supported Housing to young people in London;

  3. introducing a psychologically informed approach to our work, informed by a Christian framework as an organisation;

  4. developing and growing fundraising and donations received across the organisation;

  5. being seen as a ‘go to’ charity by the wider YMCA, the London Borough’s Mayor of London's office, and other key commissioners;

  6. being successful in using digital tools to help improve the lives of young people and communities;

  7. being known as a Great Place to Work ® helping us retain and attract the best people to work for us;

  8. ensuring that everyone working or partnering with us is clear about what we do and the impact we are having;

  9. ensure that the customer voice is at the heart of everything we do; and

  10. being known for delivering excellence across all we do.

  11. 18 –

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

FINANCIAL AND OPERATING REVIEW (INCLUDING VALUE FOR MONEY) (continued) Value for Money (VfM) (continued)

Our overall aim is to gradually reduce unit costs through cost control, better use of technology and growth. The Charity has the objective of achieving an operating margin of 10% in the medium-term, whilst working to make the business operate more economically, efficiently and effectively through a programme of incremental, sustainable improvements. The approach is captured in five value for money commitments:

  1. Cost Savings and Procurement : We will scrutinise spending and challenge costs to ensure we achieve greater economy, reduce waste and deliver greater value

  2. Asset Management : We will seek to maximise return on our current property assets

  3. Customer Service : We will provide good quality services and increase customer satisfaction without exceeding the London Supported Housing provider median for management costs

  4. Growth : We will maximise the potential of our resources in order to deliver more homes and services

  5. Business Efficiency : We will deliver efficiencies across the Charity by reducing overheads, streamlining back office processes and systems, making better use of data, automating processing activity and improving cost analysis

The Charity has produced the metrics prescribed by the Regulator and ensured they are consistent with the financial statements as a whole. The section below addresses the metrics and the comparative performance of the Charity across these indicators and the Sector Scorecard.

In order to benchmark Group performance, the Charity has established a small peer group with similar geography and housing provision that is predominantly Supported Housing. It has used the median from that peer group to provide a comparison in the table below. The Charity is a member of Housemark and is doing more detailed analysis of costs so that Trustees can better understand comparative cost drivers and see what we can learn from peers. Note: the peer group figures are based 2019-20 Global Accounts statistics provided by the Regulator of Social Housing (‘Regulator’) and Sector Scorecard provided by Housemark.

VfM performance

2021 2020 Peer
median		 Target
2021		 Target
2020
% % % % %
Business
health		 -
Operating margin
-
EBITDA MRI interest cover		 5.2
292		 7.0
226		 7.0
238.0		 7.4
364
7.2
150
Development -
New supply as a % of
current units
-
Gearing		 4
46
0
47		 0
14.2
2
45
0
30
Outcomes -
Reinvestment %		 3.5 0.8 2.2 0.3 0.8
Effective Asset
Management		 -
ROCE		 2.1 3.0 1.5 2.7 3.1
Cost per unit -
Headline social housing
cost		 £13.3k £13.0k £13.7k £12.0k £13.1k

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

FINANCIAL AND OPERATING REVIEW (INCLUDING VALUE FOR MONEY) (continued) Value for Money (VfM) (continued) VfM performance (continued)

Registered housing providers are required, by the Regulator, to publish their performance against seven indicators, as shown above.

The operating margin has decreased year on year by 1.8%, from 7% to 5.2%, and is the peer median. The significant drop in margin is mainly due to the impact of Covid-19 and a charge for an actuarial deficit, of £338k, on the old defined benefit pension scheme. None of the peer group were required to close down a substantial part of their activities as a result of Covid restrictions.

EBITDA MRI interest cover increased by 66% year on year but was substantially below target. When compared with the peer group, this shows a 54% increase. The year on year increase is mainly due to reduced capital expenditure on stock improvement.

The Charity has a commenced a development programme, in line with its development strategy. This will see a growth in the number of accommodation units in the next 3 years. The improved reinvestment performance reflects increased investment in new supply.

The return on capital has dropped year on year due the decline in operating surplus, as described above. The Charity’s performance is slightly better than the peer group median. The Board-approved Value for Money Strategy includes a strategy to improve return on capital employed through improvement in the operating margin.

The Charity’s headline social housing cost per unit has remained mainly unchanged, year on year, and is in line with the peer group median. We continue to review our high management costs to identify areas for efficiency and improvement.

Sector Scorecard

In addition to the metrics prescribed by the Regulator the Charity assesses its performance against a sector scorecard as well as performance scorecard. This ensures that the Board, Trustees and stakeholders are able to assess performance against our overall strategy. The performance scorecard was reviewed over quarter four with the objective of ensuring targets and improvement trends were in place to enable the Charity to meet its strategic goals and to benchmark performance against peers.

The Trustees continue to believe that transparency of cost and performance is an important element in driving organisational improvement. Targets continue to be agreed annually as part of the budget setting process.

Business Health 2021 2020 Peer
median		 Target
2021		 Target
2020
% % % % %
Operating margin 5.2 7.0 7.0 7.4 7.2
OperatingMargin – SHL 14 14 6.9 19 17
EBITDA MRI interest cover 292 226 238 364 150

The above operating margin results show that, although our overall performance was impacted Covid restrictions (as previously described), our housing activity (which remained operational) held up well.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

FINANCIAL AND OPERATING REVIEW (INCLUDING VALUE FOR MONEY) (continued) Value for Money (VfM) (continued) Sector Scorecard (continued)

This is reflected in the Operating Margin – Social Housing Lettings (SHL) performance. The Charity also did substantially better than the peer group median.

Development 2021 2020 Peer
median		 Target
2021		 Target
2020
New Supply (number) 49 0 0 25 0
New Supply % 4 0 0 2 0
Gearing % 46 47 14.2 45 42

The Charity commenced a new development programme during 2020/21 resulting in 49 rooms to let. The programme included de-converting 12 existing flats in Ventura House and creating a total of 35 rooms to let. The Charity has, as a result of the investment, a net new supply of 24 rooms to let. In addition, unused space in the Forest Road Hostel is being converted to provide 14 additional rooms.

Planning permission was granted by Merton Council for our 121-unit development in Wimbledon. Works on this development are expected to commence in 2021/22.

Asset Management 2021 2020 Peer
median
Target
2021		 Target
2020
% % % % %
ROCE 2.1 3.0 1.5 2.7 3.1
Occupancy 94.4 94.6 96.7 96.1 99.9
Ratio
of
responsive
to
planned
maintenance		 691 320 195 310 270

Return on capital employed (ROCE) is lower than last year but better the peer group median, for reasons described above. However, the ratio of responsive to planned maintenance expenditure remains higher than desired and was largely impacted by the decision to suspend non-essential capital improvement works to mitigate the financial impact of Covid. The asset management strategy aims to improve these metrics.

Occupancy levels remained compared to the previous year and were below target. The Charity recognises this as an area for substantial improvement. A new Pyramid Void and Maintenance Module has been launched which will help increase visibility and management of voids across Housing, Housekeeping and Maintenance teams. An improvement plan is in the process of being implemented.

Outcomes 2021 2020 Peer
median		 Target
2021		 Target
2020
% % % % %
Customer satisfaction overall 83 87 87 80 40
Reinvestment 3.5 0.8 2.2 0.3 0.8

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

FINANCIAL AND OPERATING REVIEW (INCLUDING VALUE FOR MONEY) (continued) Value for Money (VfM) (continued) Sector Scorecard (continued)

The Charity’s customer satisfaction score 83%. This was a decrease from last year’s survey of 87% satisfaction rate and 4% below peer median. Although the decrease in satisfaction level is disappointing, the difference between 2020 and 2021 is not a true comparison as the answer options were changed this year to a five point scale to enable us to benchmark our result against others within the London Benchmarking Group and within Housemark.

All of the targets and KPIs have been reviewed ensuring that the Charity continues to track both business critical metrics and regulatory items. An internal audit of our KPIs in March 2021 confirmed that there these are linked to our strategic goals and were produced in a robust way.

Operating efficiency 2021 2020 Peer
median		 Target
2021		 Target
2020
Costper unit £000 £000 £000 £000 £000
Headline social housing 13.3 13.0 13.7 12.0 13.1
Management 9.3 8.0 4.2 4.0 5.7
Maintenance 0.6 0.6 1.1 0.2 0.7
Major repairs 0.3 1.4 0.7 0.2 1.4
Service charge 2.7 2.6 2.5 4.8 3.0
Other social housingcosts 0.3 0.4 1.3 0.3 0.3
Rent collected as % of rent due 102.3% 105.1% 97.5% 97.9% 97.3%
Overheads as a % of adjusted turnover 20.2% 18.9% 13.7% 19.1% 18.1%

The above results show no material change in our headline social housing cost per unit and is slightly better than the peer group median. The result also demonstrates that management costs have continued to grow and remain substantially higher than the peer group median. Reducing management costs remains an area of focus for the Charity and so does reducing overheads as a percentage of turnover.

The Impact of Covid-19

Throughout 2020/21 the Charity operated under some form of restrictions imposed in response to the Covid-19 pandemic. Despite three lockdowns, we managed to keep essential services running at all times, although Government rules concerning which services could remain open meant that the Charity had to shut down nearly all our Health & Wellbeing and Children, Youth & Family services. It also meant delivering repairs services was limited to ‘emergency or essential services only’ while the Charity continued to deliver its statutory and health and safety compliance services. Other housing management services continued to be provided.

In responding to the financial impact of the pandemic YMCA SPG has taken a range of actions, including:

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

FINANCIAL AND OPERATING REVIEW (INCLUDING VALUE FOR MONEY) (continued) The Impact of Covid-19 (continued)

The Charity has enacted Business Continuity Plans and a Covid-19 staff response group which, together with a panel of the Board, has been closely monitoring and responding to the evolving situation, as well as considering Government guidance, to ensure the safety and wellbeing of our residents, service users, staff and business partners, while still delivering our core services.

The Charity has strong liquidity and monitors its position continuously.

Capital Structure and Treasury Policy

Borrowings at the year-end were:

were:
2021 2020
Loan facilities available £31m £32m
Loan drawings £25m £26m
Undrawn facilities £6m £6m

The debt is sourced from a number of UK banks.

All drawn and undrawn loans were secured against social housing assets. Together with the available cash balance, these funds are sufficient to meet the funding commitments.

The Charity has a treasury management policy, which is approved by the Trustees. The Treasury policy seeks to address funding and liquidity risk and covenant compliance.

Future Prospects

Recovering from the pandemic will remain a priority for the foreseeable future, with a specific focus on introducing a new hybrid working model based on what we have learnt during recent months of enforced remote working – for those jobs where that was possible – and ensuring that residents and service users stay at the heart of everything we do.

Our new Strategic Plan sets out a clear direction and purpose for the next three years and seeks to be ambitious in what we could strive to achieve. Reaching out beyond the horizon to seek to do more than we had thought possible before. This clarity of purpose and impact, as well as ambitious imagination are ‘THE WORLD WE WANT TO SEE’ and therefore forms the basis of the Strategic Plan. The strategy also recognises that the support we offer needs to be holistic and that our words match not only our actions but are emphasised by our culture. That is why we are focused on creating a psychologically informed environment across all we do.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

FINANCIAL AND OPERATING REVIEW (INCLUDING VALUE FOR MONEY) (continued) Future Prospects (continued)

Our priorities over the next three years include:

  1. developing and promoting a network of safe places for young people to meet (or stay) and community wellbeing hubs where local people can access the support they need to thrive;

  2. being a leading provider of Supported Housing to young people in London;

  3. introducing a psychologically informed approach to our work, informed by a Christian framework as an organisation;

  4. developing and growing fundraising and donations received across the organisation;

  5. being seen as a ‘go to’ charity by the wider YMCA, the London Borough’s Mayor of London's office, and other key commissioners;

  6. being successful in using digital tools to help improve the lives of young people and communities;

  7. being known as a Great Place to Work ® helping us retain and attract the best people to work for us;

  8. ensuring that everyone working or partnering with us is clear about what we do and the impact we are having;

  9. ensure that the customer voice is at the heart of everything we do; and

  10. being known for delivering excellence across all we do.

Compliance with the Regulator of Social Housing’s Governance and Viability Standard

As a registered provider, the Charity has undertaken an assessment of compliance as required by the Governance & Viability Standard of the Regulator of Social Housing. This report has been prepared in accordance with applicable standards and legislation. The Trustees confirm that the Charity has complied with the Governance & Financial Viability Standard.

Group as a going concern

The financial statements are prepared on the basis YMCA St Paul’s Group will continue for the forthcoming 12 months from the date of signing of these financial statements. The Charity’s business plan has been stress tested and the Board has considered the potential impacts from numerous multivariant adverse scenarios. In addition to some generic testing, for example, adverse inflation or interest rates, this year, the stress testing has predominantly focussed on the financial risks associated with the delivery of the 3-year corporate strategy and the ‘recovery from Covid-19’ that is required to deliver the 3-year targets designed to improve margins.

Options for mitigation to ensure the business can continue in the short and longer term have also been reviewed. Mitigations exist for all scenarios as a precaution, to ensure compliance with all covenant and regulatory requirements.

As indicated above, the Board has stress tested a number of different scenarios which could affect YMCA SPG’s future plans. The main areas the stress testing considered were failure to manage the Wimbledon Development, redeveloping Marsham Court, operating income and costs. The outcome of stress tests performed focussed on liquidity, security and covenant compliance as a result of adjusting the key inputs.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

FINANCIAL AND OPERATING REVIEW (INCLUDING VALUE FOR MONEY) (continued) Group as a going concern (continued)

The resulting worst case scenario of the stress testing exercise, in which all adverse impacts described above would crystallise, indicates a covenant breach could occur 2023, if mitigating actions were not taken. Mitigating actions showed that the Charity is able to withstand these external pressures.

Periodic updates to the financial business plan, management accounts forecasts and key performance indicator reporting enables continuous monitoring of the business. YMCA SPG maintains significantly higher liquidity levels than the funding requirement identified in its updated business plan; the Board considers this to be prudent in the current uncertain economic environment.

YMCA St. Paul’s Group recognises possible concern relating to its participation in a defined benefit pension scheme. Appropriate action has been taken. The scheme was closed to new members in 2007, and the link to final salary broken in 2011 with additional contributions continuing to be made to reduce the deficit. As part of the YMCA federation, the multi-employer pension scheme is run by an independent Trustee board with employer representation through the Principal Employer, National Council of YMCAs. The pension scheme Trustee obtains an actuarial valuation every three years and we have considered the implications on the Charity’s finances from the latest available actuarial valuation. We have reviewed the Charity’s ability to continue to deliver its charitable objectives by ensuring budgets, forecasts and plans are available and include the impact of deficit repayments. The pension scheme Trustee included the impact of pension scheme deficit repayments in considering going concern status, reserves, and the risks and uncertainties that the Charity faces noted elsewhere in this Report.

YMCA St. Paul’s Group benefits from the pension scheme Trustee and the Principal Employer seeking suitable specialist profession advice both to manage the scheme and in the continuing effort to explore ways of reducing the overall pension deficit. The notes to the Accounts include an accounting policy and further details in notes 19 and 20.

After making enquiries, the Board has a reasonable expectation that the overall Group has adequate resources to continue in operational existence for the foreseeable future, being a period of at least 12 months after the date on which the report and financial statements are signed. For this reason, it continues to adopt the going concern basis in the financial statements. No material uncertainties exist.

RISK MANAGEMENT

Risk Strategy

The Charity regularly considers risk and has developed a detailed risk strategy that takes into account strategic, operational and project risks.

The Charity uses a dynamic, cloud-based, risk management system that allows the monitoring of strategic risks as well as subsequent controls and actions. The Risk Management Strategy was updated in July 2019. The Board also regularly considers its key risks as well as any changes to the Charity’s risk profile. The Audit & Risk Committee is tasked with reviewing the assurances that demonstrate risks are being managed. This is supported by independent internal auditors who report directly to the Audit & Risk Committee.

In relation to health & safety and fire risk, the Charity employs an external auditor who undertakes an independent inspection of all the Charity’s property assets. This audit includes a review of all hazards as well as checking that all property related legal compliances have been adhered to and evidenced.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

RISK MANAGEMENT (continued) Risk Strategy (continued)

The report from this external auditor is reported to the Development & Assets Committee. The Charity employs a full-time Head of Health & Safety to oversee compliance and manage associated risks.

Operational risk assessments are developed by the departmental staff and managed by operational managers. Assurance is provided by both internal audit and performance and quality officers. Incidents, accidents and complaints are regularly reviewed with lessons learnt used to inform future risk assessments and policy and procedure development.

All Trustee reports include a consideration of risk and any new project or major development has its own risk register and is presented as part of the governance process.

Key Strategic Risks

The key strategic risks and uncertainties under review by the Board are:

Risk Mitigation
Organisational stretch This was a new strategic risk launched in response to the 2021/24
Strategic Plan. This responds to the Charity’s desire to navigate
safely to the future and actively manage its partnership,
collaboration and impact objectives.
Health & Safety Key aspects of our health and safety are audited by internal
auditors, as part of a quarterly compliance check. Fire and gas
safety, water hygiene and asbestos are also subject to in-depth
audits on a three year rolling programme. Expert advisors are
engaged in all these areas to ensure that the assessments and
processes are thorough and remain in step with best practice.
The Charity has invested in its Property & Places department in
order to ensure that it has the in-house expertise to deal with
some complex major works projects related to safety.
IT and information security An IT Strategy has been approved by the Board that involves
significant investment in IT security. The Charity has also updated
privacy notices and trained all staff on the data protection and
information security. In terms of system security, there is a well
thought out security architecture, well developed framework of
management controls and independent penetration testing.
Wimbledon Development With the UK facing a period of profound and sustained economic
disruption, many businesses are vulnerable including businesses
in the construction and maintenance sectors. Some of the usual
controls such as periodic financial monitoring may not pick up
some of the difficulties that could arise as a result of a sudden
economic shock of this kind. The Charity actively monitors risks
on the Wimbledon project and closely engaging with partners and
feeding any concerns back through to the Executive Team.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

Risk Mitigation
Financial viability risk The Board has approved a fully funded long-term financial plan.
Our financial performance and position is closely monitored by
the Executive Team and is reported to the Board regularly. Whilst
the external factors that could lead to financial shock cannot be
controlled or prevented by the Charity, the Business/financial
Plan is subjected to multivariate stress testing and we ensure that
there is adequate headroom to withstand such events in the short
term.
The Charity has in place a treasury policy, which includes a
liquidity policy that the Board monitors. The policy is approved
annually and is prepared jointly with our treasury advisors.
Safeguarding risk A safeguarding policy and procedure is in place along with a Board
designated Safeguarding lead. Safeguarding training / workshop
was provided to the Board in May 2018 and again in March 2021
so that they can understand their obligations.
Safeguarding leads exist across the Charity and posters are
displayed which identify a chain of command. There is also a
trustee safeguarding lead.
Governance risk The Charity has an experienced and skilled Board that has been
strengthened over the last few months. There are regular Board
member skills reviews and appraisals, as well as reflection on
governance good practice.

In March 2020, the breach of Health and Safety risk was expanded to include the risk of infection and specifically the risks associated with the Covid-19 pandemic. Due to the scale of the risk involved a Covid19 specific risk register was created and maintained as a living document monitoring the risk to the entire Charity as well as the controls, mitigating actions and decisions made to reduce or accept these risk items. In the winter 2020/21 strategic risk review, the ongoing nature of Covid-19 resulted in pandemic type incidents were embedded into the other strategic risks. Furthermore, a new organisational stretch strategic risk was created which interfaces with the 2021/24 Strategic Plan and its delivery. The people related operational stretch risk reduced in its significance following extensive post-merger work and is now an operational risk.

Treasury Risk Management

The Charity's operations expose it to some financial risks. Management continuously monitors these risks with a view to protecting the Charity against the potential adverse effects of these financial risks.

Financial Instruments

The Charity's basic financial instruments comprise cash at bank and in hand, debtors, loans and creditors that arise directly from its operations. There are surplus funds to fund future operating costs.

Credit Risk

It is the Charity's policy to assess its trade receivables for recoverability on an individual basis and to make provisions where considered necessary. In assessing recoverability, management takes into account any indicators of impairment up until the reporting date. The trade debtors were not impaired; hence, no impairment losses have been recognised.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

RISK MANAGEMENT (continued) Treasury Risk Management (continued) Credit Risk (continued)

Holding funds with a commercial bank exposes the Charity to counter-party credit risk. The amounts held at the year-end are with a bank with solid investment grade credit rating.

Interest rate risk

Loans held by the Charity are basic financial instruments which are held at market value. This minimises the interest rate risk.

Risk is managed through the use of hedges. As at 31 March 2020, 56% of our debt portfolio was fully hedged and the remaining 44% was unhedged.

Liquidity risk

The Charity maintains sufficient levels of cash and cash equivalents and manages its working capital by carefully reviewing forecasts on a regular basis to determine the requirements for its day-to-day operations.

Fundraising

Charity law requires charities to make a statement regarding fundraising activities. The legislation defines fundraising as ‘soliciting or otherwise procuring money or other property for charitable purposes’. Such amounts receivable are presented in these accounts in other operating income.

Political Donations

The Charity did not make any political donations during the financial year.

Donations and Gifts

Funders and supporters

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

Donations and Gifts (continued) Funders and supporters (continued)

In addition to the above, the charity received a wide range of support during the first Covid-19 lock down in 2020. These included donations from Lush, Greggs, the Barbican and TK Maxx.

Statement of Trustees’ responsibilities

The Trustees are responsible for preparing the report and financial statements in accordance with applicable law and regulations.

Company law requires the Trustees to prepare financial statements, for the Group and the Charity, for each financial year, in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law).

In preparing these financial statements, the Trustees are required to:

The Board is responsible for keeping adequate accounting records that are sufficient to show and explain the Charity’s transactions and 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 Companies Act 2006, the Housing and Regeneration Act 2008 and the Accounting Direction for Private Registered Providers of Social Housing 2019. It is 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.

Statement of internal controls

The YMCA St Paul’s Group’s Board has overall responsibility for establishing and maintaining the Group’s system of internal control and for reviewing its effectiveness.

The Board recognises that no system of internal control can provide absolute assurance against financial misstatement or loss or eliminate all risk. The system of internal control is designed to manage risk and

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

Statement of internal controls (continued)

to provide reasonable assurance that key business objectives and expected outcomes will be achieved.

It also exists to give reasonable assurance about the preparation and reliability of financial and operational information and the safeguarding of the Group’s assets and interests.

The Chief Executive/Group Finance Director presents a detailed report to the Audit and Risk Committee and Board each year on Internal Controls Assurance. As a result of the consideration of this report the Board is prepared to make this statement.

The Board confirms that there is an on-going process for identifying, evaluating and managing the significant risks faced by the Charity and a robust and prudent business planning, risk and control framework is in place. This approach has operated throughout the year under review up to and including the date of approval of the annual report and financial statements.

Some of the key elements of the control process that the Board has established for the Group are as follows:

The Charity has in place an Anti-Fraud and Corruption Policy and Procedure which is aimed at tackling fraud, corruption, theft and breaches of regulations.

There are whistleblowing and disciplinary policies and procedures in place for the Charity which link in to the Anti-Fraud and Corruption Policy. There is a Fraud Response Plan which is aimed at ensuring the Charity responds promptly to fraud or fraud allegations and is able to recover its assets where relevant.

There is a Fraud Register, which is reviewed at each Audit and Risk Committee meeting.

The Board confirms that there have been no regulatory concerns which have led the Regulator of Social Housing to intervene in the affairs of the Charity, neither are there significant problems in relation to failures of internal controls which require disclosure in the financial statements.

The Board has reviewed the Charity’s compliance with the Regulator’s Governance and Financial Viability Standard and are satisfied the Charity meets the requirements.

YMCA ST. PAUL’S GROUP

TRUSTEES’ REPORT (INCORPORATING STRATEGIC REPORT) (continued)

Auditors and AGM

At the date of this report, each Board member confirms the following:

By order of the Board

Andy Palmer Trustee and Chairman Date: 16 September 2021

YMCA ST. PAUL’S GROUP

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF YMCA ST PAUL’S GROUP

Opinion on the financial statements

We have audited the financial statements of YMCA St Pauls Group (“the Charity”) and its subsidiaries (“the Group”) for the year ended 31 March 2021 which comprise the consolidated and Charity statement of comprehensive income, the consolidated and Charity statement of financial position, the consolidated and Charity statement of changes in reserves, the consolidated statement of cash flows and notes to the financial statements, including a summary of significant accounting policies. 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:

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 Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the Group and Charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’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

In auditing the financial statements, we have concluded that the board members’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group’s and of the Charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the board with respect to going concern are described in the relevant sections of this report.

Other information

The board are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information including the Trustees’ Report (incorporating the Strategic Report), 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

YMCA ST. PAUL’S GROUP

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF YMCA ST PAUL’S GROUP (continued)

Other information (continued)

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.

Other Companies Act 2006 reporting

In our opinion, based on the work undertaken in the course of the audit:

In the light of the knowledge and understanding of the Group and the Parent Charity and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ Report (incorporating the Strategic Report).

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of the board

As explained more fully in the board members responsibilities statement set out on page 29, the board is 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 board members 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 board are responsible for assessing the Group and the Charity’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 board either intend to liquidate the Group or the Charity or to cease operations, or have no realistic alternative but to do so.

YMCA ST. PAUL’S GROUP

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF YMCA ST PAUL’S GROUP (continued)

Auditor’s responsibilities for the audit of the financial statements

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 auditor’s 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.

Extent to which the audit was capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.

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 auditor’s report.

Use of our report

This report is made solely to the members of the Charity, as a body, in accordance with the Housing and Regeneration Act 2008 and Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Charity’s members those matters we are required to

YMCA ST. PAUL’S GROUP

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF YMCA ST PAUL’S GROUP (continued)

Use of our report (continued)

state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Charity and the members as a body, for our audit work, for this report, or for the opinions we have formed.

Philip Cliftlands (Senior Statutory Auditor) For and on behalf of BDO LLP, statutory auditor Baker Street, London

Date: 21 September 2021

BDO LLP is a limited liability partnership registered in England and Wales (with registered number OC305127).

YMCA ST. PAUL’S GROUP

CONSOLIDATED AND CHARITY STATEMENTS OF COMPREHENSIVE INCOME

For the year ended 31 March 2021

Notes
Income
Letting activity
Health & Wellbeing and Children’s
and Youth Work
Grants and other donations
Office rent and hire of space
Amortisation of Housing Capital
grants
Other income
2a,2b,3
Expenditure
Letting activities
2
Health & Wellbeing and Children’s &
Youth Work
4
Office Expenditure
Triennial defined benefit pension
deficit
6
2a,2b
Operating Surplus
Interest and similar items
Interest receivable
8
Interest payable and similar
9
Net income after interest
Other recognised gains/losses
Gain on disposal of fixed assets
Gain on investments
15
Surplus for the year
10		 Group
Year
Ended
2021
Group
Year
Ended
2020
YSPG
Year
Ended
2021
YSPG
Year
Ended
2020
£
£
£
£
18,862,223
18,434,49211,936,009
11,742,851
1,956,122
5,141,667
1,484,404
5,141,667
1,876,527
243,191
1,650,849
243,191
477,188
613,913
475,913
613,913
276,886
289,386
276,886
289,386
273,267
976,674
273,267
272,987
23,722,213
25,699,323
16,097,328
18,303,995
17,703,979
18,068,77410,557,220
10,816,877
4,055,402
5,532,295
4,055,402
5,532,295
390,625
289,632
390,627
289,632
346,331
-
256,461
-
22,496,337
23,890,701
15,259,710
16,638,804
1,225,876
1,808,622
837,618
1,665,191
463
40,019
257
28,396
(878,271)
(1,028,532)
(677,768)
(809,249)
348,068
820,109
160,107
884,338
8,735
-
8,735
-
-
(54,016)
-
(54,016)
356,803
766,093
168,842
830,322

All amounts derive from continuing activities.

The notes on pages 40 to 58 form part of the financial statements.

YMCA ST. PAUL’S GROUP

CONSOLIDATED AND CHARITY BALANCE SHEETS

Registered Company Number: 02971930

At 31 March 2021
Notes
Intangible Assets
11
Tangible Assets
12
CURRENT ASSETS
Stocks
Debtors
14
Investments
15
Cash in bank and in hand
CREDITORS
Amount falling due within
one year
16
NET CURRENT ASSETS
TOTAL ASSETS LESS
CURRENT LIABILITIES
CREDITORS
Amount falling due after
more than one year
17
NET ASSETS
FUNDS AND RESERVES
Restricted: Housing
Social housing reserves
Restricted: Charitable
Pool Improvement fund
Other
Unrestricted
Charitable Funds
Other		 Group
2021
Group
2020
YSPG
2021
YSPG
2020
£
£
£
£
-
-
-
-
56,181,372
56,787,623
37,356,773
37,747,673
114,647
128,825
105,590
124,395
2,800,684
2,626,050
2,859,797
3,274,812
2
3
2
-
5,151,946
5,116,676
4,514,447
3,951,206
8,067,279
7,871,554
7,479,836
7,350,413
(4,419,810)
(4,519,717)
(3,132,343)
(3,135,720)
3,647,469
3,351,837
4,347,493
4,214,693
59,828,841
60,139,460
41,704,266
41,962,366
(31,040,972)
(31,708,677)
(26,715,787)
(27,143,012)
28,787,869
28,430,783
14,988,479
14,819,354
23,980,599
22,348,838
10,265,612
8,821,925
418,592
452,311
418,592
452,311
59,014
59,127
-
4,307,280
5,545,118
4,304,275
5,545,118
22,384
25,389
-
28,787,869
28,430,783
14,988,479
14,819,354

The financial statements were approved by the Board and authorised for issue on 16 September 2021.

Andy Palmer David Martin Chair Company Secretary

The notes on pages 40 to 58 form part of the financial statements.

YMCA ST. PAUL’S GROUP

CONSOLIDATED AND CHARITY STATEMENTS OF CHANGES IN RESERVES

Group statement of changes in reserves for year ended 31 March 2021

As 1 April 2020
Surplus/(Deficit) for
the year
Interest received
Other
As at 31 March
2021		 Restricted
Unrestricted
Social
Housing
Pool
Improvements
Other
Charitable
Total
£
£
£
£
£
22,348,838
452,311
59,127
5,570,507
28,430,783
1,631,648
(44,333)
-
(1,230,512)
356,803
-
283
-
-
283
113
10,331
(113)
(10,331)
-
23,980,599
418,592
59,014
4,329,664
28,787,869

Group statement of changes in reserves for year ended 31 March 2020

As 1 April 2019
Surplus/(Deficit)
for the year
Other
As at 31 March
2020		 Restricted
Unrestricted
Social
Housing
Pool
Improvements
Other
Charitable
Total
£
£
£
£
£
21,396,062
412,447
62,010
5,794,159
27,664,678
952,776
39,864
(2,883)
(223,664)
766,093
-
-
-
12
12
22,348,838
452,311
59,127
5,570,507
28,430,783

YSPG statement of changes in reserves for year ended 31 March 2021

As 1 April 2020
Surplus/(Deficit) for the year
Interest received
Other
As at 31 March 2021		 Restricted
Unrestricted
Social Housing
Pool
Improvements
Charitable
Total
£
£
£
£
8,821,925
452,311
5,545,118
14,819,354
1,443,687
(44,333)
(1,230,512)
168,842
283
283
10,331
(10,331)
-
10,265,612
418,592
4,304,275
14,988,479

YSPG statement of changes in reserves for year ended 31 March 2020

As 1 April 2019
Surplus/(Deficit) for the year
As at 31 March 2020		 Restricted
Unrestricted
Social Housing
Pool
Improvements
Charitable
Total
£
£
£
£
7,804,925
412,447
5,771,660
13,989,032
1,017,000
39,864
(226,542)
830,322
8,821,925
452,311
5,545,118
14,819,354

Pool improvements restricted fund is a share of the surplus on the operations at Hampton Pool that is set aside each year to provide funds for capital works at Hampton Pool. Control of the fund is shared equally between the Board of the Group and Hampton Pool Trust. The restricted Housing Reserves represent the accumulated surpluses for housing activities.

The notes on pages 40 to 58 form part of the financial statements.

YMCA ST. PAUL’S GROUP

CONSOLIDATED CASHFLOW STATEMENT FOR YEAR ENDED 31 MARCH 2021

Cash flows from operating activities
Surplus for the financial year
Depreciation charges
Write down of development costs
Capital grants amortisation
Net fair value gains recognised in deficit
Interest payable and finance costs
Interest received
(Profit) on disposal of fixed assets
(Increase)/Decrease in stock
Decrease in debtors
(Decrease) in creditors and provisions
Net cash generated by operating activities
Cash flows from investing activities
Purchase of fixed assets
Sales proceed from fixed asset disposal
Proceeds of disposal of investments
Interest received
Net cash from investing activities
Cash flows from financing activities
Interest paid on bank overdrafts and loans
Loans repaid
Loan added
Capital Grant
Net cash used in financing activities
Net increase in cash and cash equivalents
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year		 GROUP
GROUP
2021
2020
£
£
356,803
766,093
1,812,455
2,090,642
-
(53,681)
(276,886)
(289,386)
-
54,016
878,271
1,028,532
(746)
(40,019)
(8,735)
-
14,177
(486)
224,806
288,949
(270,069)
(804,582)
2,730,076
3,040,078
(1,206,204)
(2,347,177)
8,735
-
2
772,216
746
40,019
(1,196,721)
(1,534,942)
(880,862)
(1,028,532)
(617,223)
(190,397)
-
888,293
-
12,499
(1,498,085)
(318,137)
35,270
1,186,999
5,116,676
3,929,677
5,151,946
5,116,676

The notes on pages 40 to 58 form part of the financial statements.

YMCA ST. PAUL’S GROUP

Notes to the financial statements for the year ended 31 March 2021

1. ACCOUNTING POLICIES

The financial statements have been prepared in accordance with applicable law and UK accounting standards (United Kingdom Generally Accepted Accounting Practice) which for YMCA St. Paul’s group includes FRS 102 "the Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland", the Statement of Recommended Practice (SORP) for Registered Social Housing Providers 2014, "Accounting by registered social housing providers" 2018, the Accounting Direction for Private Registered Providers of Social Housing from April 2019 and the Companies Act 2006.

Parent company disclosure exemptions

ln preparing the consolidated financial statements of the parent company, advantage has been taken of the following disclosure exemptions available in FRS 102:

The following principal accounting policies have been applied:

a) Basis of consolidation

The consolidated financial statements present the results of YMCA St. Paul’s Group registered provider of social housing and its subsidiary "the group" as if they formed a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.

With effect from 1 April 2018, YMCA St Paul’s Group became the sole corporate member of West London YMCA. A single Board was appointed to take responsibility for governance of both organisations.

The financial statements are prepared in accordance with the historical cost convention as modified by the revaluation of current asset investments. The results reflect the adoption of the “Statement of Recommended Practice: accounting by registered social housing providers: Update 2014”, and reflect the adoption of component accounting on social housing properties.

Business combinations that are gifts

Where there is a business combination that is in substance a gift, any excess of fair value over the assets received over the fair value of the liabilities assumed is recognised as a gain in the income and expenditure account. This gain represents the gift of the value of one entity to another and is recognised as income.

Where the fair value of the liabilities exceeds the fair value of the assets, the loss represents net obligations assumed and is recognised as an expense.

b) Format of Accounts

The Directors have considered the format of the financial statements in the light of Section 474 (2) of the Companies Act 2006 and have adapted the arrangements, headings and sub headings otherwise required by the schedule where in their opinion the special nature of the Group's activities requires such adaptation.

c) Income

Income is measured at the fair value of the consideration received or receivable. Income represents rental income receivable, including for the provision of care services and supporting people services during the year, income from the sale of goods and services, income from membership fees and revenue grants from local authorities and government departments.

YMCA ST. PAUL’S GROUP

Notes to the financial statements for the year ended 31 March 2021 (continued)

ACCOUNTING POLICIES (continued)

d) Membership Subscriptions and Programme Activities

Income is recognised in the period to which it relates.

e) Grant Income

Revenue income is recognised in the period to which it relates. Grants for capital projects are recognised as received and carried forward as restricted funds.

f) Donations

Donations are accounted for when received.

g) Social Housing Grant

Where property developments, have been financed wholly or partly by Social Housing Grant (SHG), the cost of those developments is no longer reduced by the amount of grant received. Under FRS 102 requirements the grant is treated as a long term liability to be released into income over the average expected life span of the development to which it relates, as calculated under component accounting. See note k.

h) Stocks

Stocks are stated at the lower of cost and net realisable value.

i) Expenditure

Where possible overheads are allocated specifically to social housing, care or charitable services; other overheads are apportioned between activities on the bases of staff time, turnover, or floor area as appropriate.

j) Tangible fixed assets - Housing properties

Under FRS 102 Housing property is stated at cost. The cost of housing property includes the cost of acquiring property, improvements, replacements and major repairs.

The Group adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when that cost is incurred, if the replacement part is expected to provide incremental future benefits to the Group. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to the statement of comprehensive income during the period in which they are incurred.

Social Housing Grant used to finance buildings is repayable under certain circumstances, primarily following the sale of such property. The amount, which would be repayable is the amount by which any sale proceeds exceed all other liabilities arising from the release of any loan charges on the property.

k) Other tangible fixed assets

Other tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses.

Intangible Fixed Assets – Computer Software

Intangible fixed assets are measured at cost less accumulated amortisation and any accumulated impairment losses.

Depreciation

Other than social housing assets, depreciation on other assets is charged so as to allocate the cost,

YMCA ST. PAUL’S GROUP

Notes to the financial statements for the year ended 31 March 2021 (continued)

ACCOUNTING POLICIES (continued) Depreciation (continued)

less estimated residual value of each asset over its anticipated useful life using the straight-line method, as follows:

Intangible Assets:

IT software 4 years Other Property: Short leasehold buildings life of the lease Other Assets: Fixtures and fittings 10 - 20 years Furniture and equipment 5 – 7 years Motor vehicles 5 years Computer equipment 4 years

Social housing assets, whether freehold or long leasehold, are split, for the purposes of depreciation, between land and structure (major fabric) and a specific set of major components which require replacement and renewal more frequently than the major fabric. Each of these is depreciated according to its useful economic life or the life of the lease in the case of long leasehold assets, if this is shorter. The major components and useful economic lives range as follows:

Housing Property: Building structure 100 years Roofs 60 years Modular housing structure 50 years Bathrooms 30 years Lift 30 years Windows & doors 30 years Heating system 30 years Electrics 25 years Kitchens 20 years Energy improvements 20 years Boilers 15 years Short- term housing 10 years

l) Housing Capital Grants

Grants received are accounted for using the accrual model. Grants are carried as deferred income in the balance sheet and released to the income and expenditure account on a systematic basis over the useful economic lives of the asset for which it was received. Where grants are restricted to a specified future expiry date the grant is amortised in equal instalments, so it is fully amortised by the expiry date. Grants for mixed asset types are amortised using the weighted average depreciation rate of 3.33%. This is based on the rates used in component accounting.

m) Development Assets

These properties are YMCA Wimbledon, Tower Lodge and Olympic House. The head lease on Olympic House was bought on 29 June 2011 and merged with our freehold interest. The property was bought purely for land value and is not being depreciated. Additions to development properties are accounted for in line with FRS 102. lt is expected that the existing building will be demolished. None of these assets have been dealt with under component accounting.

n) lnterest Payable

The interest charged on loans that have been used for the purchase of Development Assets is capitalised to form part of the cost of the assets. Where a development project is deemed to be relatively inactive, capitalisation of interest is ceased until the development becomes active again.

YMCA ST. PAUL’S GROUP

Notes to the financial statements for the year ended 31 March 2021 (continued)

ACCOUNTING POLICIES (continued)

o) Operating Leases

Rents payable under operating leases are charged to the Statement of Comprehensive Income on a straight-line basis over the lease term.

p) lnvestments

The Charities SORP provides that investments should be shown as fixed assets at their market value. YMCA St. Paul’s Group has always regarded its investments as a source of working capital, interchangeable with cash as required, and treated as a current asset. As such they would, under normal accounting treatment, be stated at the lower of cost or net realisable value. ln light of the Charities SORP and the use to which the investments are put, the Board consider that their inclusion as current assets at market value gives a true and fair view of the financial position of the Group. Any gain or loss is charged or credited to the Statement of Comprehensive Income.

q) Pension Scheme

YMCA St. Paul’s Group participated in a multi-employer defined benefit pension plan for employees of YMCAs in England, Scotland and Wales, which was closed to new members and accruals on 30 April 2007. Due to insufficient information, the plan's actuary has advised that it is not possible to separately identify the assets and liabilities relating to YMCA St. Paul’s Group for the purposes of FRS 102 disclosure. The employer contributions in relation to the YMCA pension plan are determined by the Directors based on advice from a qualified actuary and charged to income and expenditure as made.

As described in note 20, YMCA St. Paul’s Group has a contractual obligation to make pension deficit contribution payments over the period to April 2029, accordingly this is shown as a liability in these accounts. During the year ended 31 March 2021 Group pension deficit contributions totalling £187,896 (2020: £182,423) were made to the plan (YSPG £139,139, 2020: £134,738). In accordance with the actuarial valuation the pension deficit contribution payments increase by 2.99% each year. The present value of these payments is shown as a balance sheet liability in notes 19 and 20 to these accounts.

In addition, YMCA St. Paul’s Group is required to contribute to the operating expenses of the Pension Plan and these costs are charged to the Statement of Comprehensive Income as made. During the year ended 31 March 2021 Group operating expenses of £41,011 (2020: £30,742) were charged to the Statement of Comprehensive Income as made (YSPG £30,369, 2020: £22,656). These operating expenses are also subject to an annual 2.99% increase.

Contributions payable from YMCA St. Paul’s Group to the plan under the terms of its funding agreement for past deficits are recognised as a creditor in the YMCA St. Paul’s Group’s financial statements. The liability is calculated based on the discounted value of expected future payments.

r) Judgements in applying accounting policies and key sources of estimation uncertainty

ln preparing these financial statements, key judgements have been made in respect of the following:

YMCA ST. PAUL’S GROUP

Notes to the financial statements for the year ended 31 March 2021 (continued)

ACCOUNTING POLICIES (continued)

Other key sources of estimation uncertainty

Tangible fixed assets

The residual values, useful lives and depreciation methods for assets are adjusted prospectively if appropriate, if there is an indication of a significant change since the last reporting date.

Rental and other trade receivables (debtors)

The estimate for receivables relates to the recoverability of the balances outstanding at year-end.

A review is performed on an individual debtor basis to consider whether each debt is recoverable

Other areas of estimation uncertainty include:

Project or scheme costs which are capitalised on the basis that the scheme will be completed and the costs for each unit upon completion is apportioned on square footage or area of each unit.

Should a project or scheme become non-feasible the costs will be written off to the Statement of Comprehensive Income as abortive costs.

The Wimbledon development scheme and its carrying cost has been reviewed and the expectation is that it will proceed. However, if the development does not proceed, the realisable value of the land exceeds the carrying cost of the land.

Group as a going concern

The Charity’s Trustees are required to give an opinion as to whether there is a reasonable expectation that adequate resources exist for the Charity to continue in operational existence for the foreseeable future.

The financial statements are prepared on the basis YMCA St Paul’s Group will continue for the forthcoming 12 months from the date of signing of these financial statements. The Charity’s business plan has been stress tested and the Board has considered the potential impacts from numerous multi-variant adverse scenarios. In addition to some generic testing, for example, adverse inflation or interest rates, this year, the stress testing has predominantly focussed on the financial risks associated with the delivery of the 3-year corporate strategy and the ‘recovery from Covid-19’ that is required to deliver the 3-year targets designed to improve margins.

Options for mitigation to ensure the business can continue in the short and longer term have also been reviewed. Mitigations exist for all scenarios as a precaution, to ensure compliance with all covenant and regulatory requirements.

YMCA ST. PAUL’S GROUP

Notes to the financial statements for the year ended 31 March 2021 (continued)

ACCOUNTING POLICIES (continued) Group as a going concern (continued)

As indicated above, the Board has stress tested a number of different scenarios which could affect YMCA SPG’s future plans. The main areas the stress testing considered were failure to manage the Wimbledon Development, redeveloping Marsham Court, operating income and costs. The outcome of stress tests performed focussed on liquidity, security and covenant compliance as a result of adjusting the key inputs.

The resulting worst case scenario of the stress testing exercise, in which all adverse impacts described above would crystallise, indicates a covenant breach could occur 2023, if mitigating actions were not taken. Mitigating actions showed that the Charity is able to withstand these external pressures.

Periodic updates to the financial business plan, management accounts forecasts and key performance indicator reporting enables continuous monitoring of the business. YMCA SPG maintains significantly higher liquidity levels than the funding requirement identified in its updated business plan; the Board considers this to be prudent in the current uncertain economic environment.

After making enquiries, the Board has a reasonable expectation that the overall Group has adequate resources to continue in operational existence for the foreseeable future, being a period of at least 12 months after the date on which the report and financial statements are signed. For this reason, it continues to adopt the going concern basis in the financial statements. No material uncertainties exist.

2. INCOME & EXPENDITURE FROM HOUSING ACTIVITIES 2a LETTINGS AND SUPPORTING PEOPLE CHARGES (YSPG)

General Supported Housing Housing
Needs housing and Activities Activities
Housing housing for Total Total
older people 2021 2020
£ £ £ £
INCOME
Rent receivable net of identifiable service 433,174 4,724,695 5,157,869 5,087,923
charges
Service income 534,927 4,512,711 5,047,638 5,006,576
Net rents receivable income 968,101 9,237,406 10,205,507 10,094,499
Supporting people income - 1,018,798 1,018,798 882,989
Lettings activities 968,101 10,256,204 11,224,305 10,977,488
Amortisation of government grant - 276,886 276,886 289,386
Other income 26,277 381,091 407,368 44,879
Turnover from lettings and supporting
people charges		 994,378 10,914,181 11,908,559 11,311,753
EXPENDITURE
Services 55,325 2,377,830 2,433,155 2,554,559
Management 153,048 6,086,544 6,239,592 5,541,002
Routine Maintenance 53,378 255,362 308,740 327,696
Planned Maintenance - 868 868 120,232
Bad Debts (1,061) 222,095 221,034 298,155
Depreciation of Housing Properties 184,518 608,594 793,112 885,877
Operating costs on social housing
lettings		 445,208 9,551,293 9,996,501 9,727,521
Operating surplus on social housing 549,170 1,362,888 1,912,058 1,584,232
Void losses 21,816 450,660 472,476 444,790
Void loss % 2.3% 4.9% 4.6% 4.4%
Gross Margin % 55.2% 12.5% 16.1% 10.6%
YSPG number of units held for social housing needs was 795 (2020: 763).

YMCA ST. PAUL’S GROUP

Notes to the financial statements for the year ended 31 March 2021 (continued)

2a LETTINGS AND SUPPORTING PEOPLE CHARGES (Group)

General
Supported		 Housing Housing
Needs
housing and		 Activities Activities
Housing
housing for		 Total Total
older people 2021 2020
£
£		 £ £
INCOME
Rent receivable net of identifiable service 433,174
7,098,438		 7,531,612 7,743,036
charges
Service income 534,927
7,356,080		 7,891,007 7,529,218
Net rents receivable income 968,101
14,454,518		 15,422,619 15,272,254
Supporting people income - 2,727,900 2,727,900 2,396,876
Lettings activities 968,101
17,182,418		 18,150,519 17,669,130
Amortisation of government grant -
276,886		 276,886 289,386
Other income 26,277
381,091		 407,368 44,879
Turnover from lettings and supporting
people charges 994,378
17,840,395		 18,834,773 18,003,395
EXPENDITURE
Services 55,325
3,098,748		 3,154,073 2,896,077
Management 153,048
10,674,084		 10,827,132 8,792,477
Routine Maintenance 53,378
652,915		 706,293 638,845
Planned Maintenance -
102,235		 102,235 199,568
Bad Debts (1,061)
327,944		 326,883 409,354
Depreciation of Housing Properties 184,518
841,927		 1,026,445 1,271,252
Operating costs on social housing
lettings		 445,208
15,697,853		 16,143,061 14,207,573
Operating surplus on social housing 549,170
2,142,542		 2,691,712 3,795,822
Void losses 21,816
643,921		 665,737 581,028
The Group number of units held for social housing needs was 1,200 (2020: 1,151).

2b PARTICULARS OF TURNOVER, OPERATING COSTS AND OPERATING SURPLUS (YSPG)

Social housing lettings (Note 2a)
Other social housing activities:
Supporting people
Amortisation of Government Grant
Other Income
Total letting and supporting people
Other activities (Notes 3 and 4)		 Turnover
2021
Operating
costs
2021
Operating
Surplus
2021
Operating
Surplus
2021
£
£
£
£
10,205,507
8,977,703
1,227,804
1,249,967
1,018,798
1,018,798
-
-
276,886
-
276,886
289,386
407,368
-
407,368
44,879
11,908,559
9,996,501
1,912,058
1,584,232
4,188,769
5,263,209
(1,074,440)
80,959
16,097,328
15,259,710
837,618
1,665,191

YSPG other income includes Covid-19 related Furlough grant income of £212,859 (2020: £0) and other activities income includes Covid-19 related Furlough grant income of £1,061,322 (2020: £0) and other grant income of £297,768 (2020: £243,191).

YMCA ST. PAUL’S GROUP

Notes to the financial statements for the year ended 31 March 2021 (continued)

2b PARTICULARS OF TURNOVER, OPERATING COSTS AND OPERATING SURPLUS (Group)

Social housing lettings (Note 2a)
Other social housing activities:
Supporting people
Amortisation of Government Grant
Other Income
Total letting and supporting people
Other activities		 Turnover
2021
Operating
costs
2021
Operating
Surplus
2021
Operating
Surplus
2020
£
£
£
£
15,422,619
13,673,424
1,749,195
1,947,670
2,727,900
2,469,637
258,263
(359,788)
276,886
-
276,886
289,386
407,368
-
407,368
44,879
18,834,773
16,143,061
2,691,712
1,922,147
4,887,440
6,353,276
(1,465,836)
(113,525)
23,722,213
22,496,337
1,225,876
1,808,622

Group other income includes Covid-19 related Furlough grant income of £212,859 (2020: £0) and other activities income includes Covid-19 related Furlough grant income of £1,154,518 (2020: £0) and other grant income of £393,497 (2020: £243,191).

3. OTHER ACTIVITIES: PARTICULARS OF TURNOVER FROM CHARITABLE ACTIVITIES (YSPG only)

Membership
Activity fees
Food and beverage
Grants
Conference/Occasional Room Hire
Care Homes income
Other donations and grants
Shop sales
Office rent
Other income		 YSPG
2021
YSPG
2020
£
£
234,229
1,391,817
1,047,256
2,676,392
133,110
676,013
1,359,090
243,191
32,255
188,687
2,805,940
5,176,100
711,704
778,361
31,959
41,060
13,243
75,872
266,021
352,535
359,902
568,313
4,188,769
6,992,241

4. OTHER ACTIVITIES: PARTICULARS OF CHARITABLE ACTIVITIES (YSPG only)

4a. CHARITABLE ACTIVITIES: HEALTH, FITNESS& AND WELLBEING EXPENDITURE

Maintenance
Salaries and wages
Other apportioned costs
Other charitable expenditure:
Letting expenses
Office expenses
Triennial defined benefit pension deficit		 YSPG
YSPG
2021
2020
£
£
312,498
411,063
3,170,904
3,332,764
572,000
1,788,468
4,055,402
5,532,295
560,719
1,089,354
390,627
289,632
256,461
-
5,263,209
6,911,281

YMCA ST. PAUL’S GROUP

Notes to the financial statements for the year ended 31 March 2021 (continued)

4b. CHARITABLE ACTIVITIES: HEALTH, FITNESS AND WELLBEING TURNOVER, OPERATING COSTS AND OPERATING (DEFICIT)/SURPLUS

Health & wellbeing
Children & youth work
Lettings (Care)
Lettings (Office)		 YSPG
Turnover
2021
YSPG
Operating
costs
2021
YSPG
Operating
(Deficit)
2021
YSPG
Operating
Surplus
2020
£
£
£
£
2,208,474
2,823,697
(615,223)
780,662
1,230,927
(450,265)
711,704
560,719
150,985
487,929
647,866
(159,937)
4,188,769
5,263,209
(1,074,440)
80,959

5. DIRECTORS’ EMOLUMENTS

No member of the Board received any remuneration from the Group (2020: Nil). No expenses were reimbursed for Board members (2020: 1 member reimbursed for £15).

6. EMPLOYEE INFORMATION

Staff Costs
Wages and Salaries
Social security costs
Other pension costs		 Group
2021
Group
2020
YSPG
2021
YSPG
2020
£
£
£
£
11,628,246
11,461,773
8,799,095
8,869,702
741,258
757,768
563,084
575,774
739,201
504,334
553,993
401,581
13,108,705
12,723,875
9,916,172
9,847,057

Group other pension costs include a £346,331(2020: £0) defined benefit pension contributions deficit arising from a triennial pension revaluation increase in liability; YSPG defined benefit pension contributions deficit £256,461 (2020: £0) (see notes 19 and 20).

Redundancy and termination payments
Statutory redundancy payments
Payment in lieu of notice period
Ex-gratia payment for loss of office
Total included in wages and salaries
Average number of employees
Managers
Service Delivery
Average number of full-time equivalent
employees		 Group
Group
YSPG
YSPG
2021
2020
2021
2020
£
£
£
£
174,047
25,733
108,320
25,733
89,430
13,943
77,232
13,564
22,222
3,434
18,432
3,434
285,699
43,110
203,984
42,731
Group
Group
YSPG
YSPG
2021
2020
2021
2020
Number
Number
Number
Number
71
82
54
58
256
307
192
236

327
389
246
294

YMCA ST. PAUL’S GROUP

Notes to the financial statements for the year ended 31 March 2021 (continued)

EMPLOYEE INFORMATION (continued)

The number of employees who earned more than £60,000 (excluding pensions) during the year was:

Group Group YSPG YSPG
2021 2020 2021 2020
Number Number Number Number
£60,001 - £70,000 2 - 2 -
£70,001 - £80,000 3 1 3 1
£80,001 - £90,000 - 3 - 3
£90,001 - £100,000 1 - 1 -
£100,001 - £110,000 - 1 - 1
£110,001 - £120,000 1 1 1 1

Total pension contribution for the higher paid employees was £23,402 (2020: £23,877).

7. DIRECTORS’ AND SENIOR EXECUTIVES REMUNERATION

The Directors and Trustees are shown on page 2. Senior Executives are the Senior Management Team as disclosed on page 2.

Senior executive emoluments
Contribution to pension scheme		 Group
Group
YSPG
YSPG
2021
2020
2021
2020
£
£
£
£
649,936
593,786
649,936
593,786
25,171
24,898
25,171
24,898
675,107
618,684
675,107
618,684

The highest paid employee’s emoluments and pension costs as an ordinary member of the contributory pension scheme in the year ended 31 March 2021 were £122,698 (2020: £119,539) and £4,420 (2020: £4,293) respectively.

8. INTEREST RECEIVABLE AND SIMILAR INCOME

Dividends and fixed interest securities
Bank interest receivable		 Group
2021
£
Group
2020
£
YSPG
2021
£
YSPG
2020
£
-
22,776
-
22,776
463
17,243
257
5,620
463
40,019
257
28,396

9. INTEREST PAYABLE AND SIMILAR CHARGES

Bank charges
Bank overdraft/loans repayable within
5 years
Amortization of arrangement fees		 Group
Group
YSPG
YSPG
2021
£
2020
£
2021
£
2020
£
10,848
35,510
10,848
35,510
838,247
957,538
637,744
738,255
40,024
35,484
40,024
35,483
878,271
993,022
677,768
773,738
889,119
1,028,532
688,616
809,248

The cumulative amount of capitalised interest at balance sheet date was £727,935 (2020: £727,935).

YMCA ST. PAUL’S GROUP

Notes to the financial statements for the year ended 31 March 2021 (continued)

10. SURPLUS ON ORDINARY ACTIVITIES BEFORE TAXATION

The operating surplus is stated after charging:

Group Group YSPG YSPG
2021 2020 2021 2020
£ £ £ £
Depreciation of tangible assets:
Owned assets 1,812,455 2,090,640 1,541,173 1,678,248
Write down of development costs - 53,681 - 53,681
Profit on disposal of fixed assets (8,735) - (8,735) -
Auditors’ remuneration:
In their capacity as auditors 49,780 45,910 30,080 26,780
Tax work 7,688 12,249 7,688 12,249
Other services 10,763 4,915 10,763 4,915
Operating lease rentals:
Land & buildings 671,428 644,041 671,428 644,041
Other 113,234 105,586 106,567 80,441

11 . INTANGIBLE FIXED ASSETS (GROUP ONLY)

2021 2020
Computer Computer
Software Software
£ £
Cost
1 April 169,347 169,347
--------------- --------------
Balance at 31 March 169,347 169,347
--------------- --------------
Depreciation
1 April 169,347 169,347
Charge for the year
-		 -
--------------- --------------
Balance at 31 March 169,347 169,347
--------------- --------------
Net Book Value
- -
At 31 March
--------------- --------------
- -
At 31 March
--------------- --------------

Notes to the financial statements for the year ended 31 March 2021 (continued)

YMCA ST. PAUL’S GROUP

12 . TANGIBLE FIXED ASSETS (GROUP)

COST OR VALUATION
At 1 April 2020
Reclassification
Additions
Disposals
At 31 March 2021
DEPRECIATION
At 1 April 2020
Reclassification
Charge for the year
Disposals
At 31 March 2021
NET BOOK VALUE
At 31 March 2021
At 31 March 2020		 Housing Property
Other Property
Other Assets
Freehold
Buildings
Long
leasehold
Land &
Buildings
Development
Buildings
Freehold
Short
Leasehold
Buildings
Computer
Equipment
Furniture &
Equipment
Motor
Vehicles
TOTAL
£
£
£
£
£
£
£
£
£
44,736,235
5,079,777
11,139,934
878,870
59,007
1,662,526
7,214,477
44,815
70,815,641
(3,408,862)
3,224,619
(7,002)
(3,390)
-
6,984
187,651
-
-
114,950
45,882
780,151
-
-
213,831
51,390
-
1,206,204
-
-
-
-
-
-
(51,793)
(17,500)
(69,293)
41,442,323
8,350,278
11,913,083
875,480
59,007
1,883,341
7,401,725
27,315
71,952,552
5,614,909
1,668,461
1,281,139
3,736
59,007
893,471
4,464,879
42,416
14,028,018
(115,351)
(364,629)
(1)
(1,695)
-
(4,117)
485,793
-
-
580,206
275,522
9,111
3,234
-
313,042
629,741
1,599
1,812,455
-
-
-
-
-
-
(51,793)
(17,500)
(69,293)
6,079,764
1,579,354
1,290,249
5,275
59,007
1,202,396
5,528,620
26,515
15,771,180
35,362,559
6,770,924
10,622,834
870,205
-
680,945
1,873,105
800
56,181,372
39,121,326
3,411,316
9,858,795
875,134
-
769,055
2,749,598
2,399
56,787,623

During the year to 31st March 2021, assets acquired under a previous group merger were reclassified, so that similar items fall within the same asset type category.

YMCA ST. PAUL’S GROUP

Notes to the financial statements for the year ended 31 March 2021 (continued)

12 . TANGIBLE FIXED ASSETS (YSPG)

COST OR VALUATION
At 1 April 2020
Reclassification
Additions
Disposals
At 31 March 2021
DEPRECIATION
At 1 April 2020
Reclassification
Charge for the year
Disposals
At 31 March 2021
NET BOOK VALUE
At 31 March 2021
At 31 March 2020		 Housing Property
Other Property
Other Assets
Freehold
Buildings
Long
leasehold
Land &
Buildings
Development
Buildings
Short
Leasehold
Buildings
Computer
Equipment
Furniture &
Equipment
Motor
Vehicles
TOTAL
£
£
£
£
£
£
£
£
26,211,188
4,886,669
11,136,124
59,007
1,662,526
7,042,971
44,815
51,043,300
557,486
559,529
(7,002)
-
6,984
(1,116,997)
-
-
64,016
42,807
780,151
-
213,831
49,467
-
1,150,272
-
-
-
-
-
(51,793)
(17,500)
(69,293)
26,832,690
5,489,005
11,909,273
59,007
1,883,341
5,923,648
27,315
52,124,279
5,212,293
1,376,614
1,281,140
59,007
893,471
4,430,686
42,416
13,295,627
220,376
84,910
(1)
-
(4,117)
(301,168)
-
-
695,913
111,872
9,111
-
313,042
409,635
1,599
1,541,172
-
-
-
-
-
(51,793)
(17,500)
(69,293)
6,128,582
1,573,396
1,290,250
59,007
1,202,396
4,487,360
26,515
14,767,506
20,704,108
3,915,609
10,619,023
-
680,945
1,436,288
800
37,356,773
20,998,895
3,510,055
9,854,984
-
769,055
2,612,285
2,399
37,747,673

During the year to 31st March 2021, assets acquired under a previous group merger were reclassified, so that similar items fall within the same asset type category.

YMCA ST. PAUL’S GROUP Notes to the financial statements for the year ended 31 March 2021 (continued)

13. TAXATION

YMCA St. Paul’s Group is exempt from Corporation Tax on its charitable activities. The trading company had nil Corporation Tax for the year.

14. DEBTORS

Rental Debtors
Provision for bad debts
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income
5. INVESTMENTS
Investment in subsidiary companies
Managed units (see below)
Managed units:
Market value at 1 April 2019
Additions
Disposal proceeds
Net investment losses
Market value at 31 March 2020
Historical cost at 31 March 2020		 Rental Debtors
Provision for bad debts
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income
5. INVESTMENTS
Investment in subsidiary companies
Managed units (see below)
Managed units:
Market value at 1 April 2019
Additions
Disposal proceeds
Net investment losses
Market value at 31 March 2020
Historical cost at 31 March 2020		 Group
Group
YSPG
2021
2020
2021
£
£
£
1,399,303
1,504,835
876,948
(814,582)
(784,471)
(527,506)
-
-
450,829
1,317,768
1,117,401
1,256,153
898,195
788,285
803,373		 Group
Group
YSPG
2021
2020
2021
£
£
£
1,399,303
1,504,835
876,948
(814,582)
(784,471)
(527,506)
-
-
450,829
1,317,768
1,117,401
1,256,153
898,195
788,285
803,373
YSPG

2020

£

989,272

(387,685)

850,267

1,042,745

780,213
2,800,684
2,626,050
2,859,797
3,274,812
Group
2021
£
2
-		 Group
YSPG
2020
2021
£
£
3
2
-
-		 YSPG
2020
£
-
-
2 3
2		 -
826,232
-
(772,216)
(54,016)
-
-		 826,232
-
(772,216)
(54,016)
-
-

15. INVESTMENTS

The Group has a £2 (2020:£3) total investment (£1 each) in wholly-owned dormant subsidiaries YMCA St Paul's Group (Development) Limited and YMCA London Group Limited. West London YMCA Trading Limited dormant company was dissolved on 20[th] October 2020. Forest YMCA, wholly-owned dormant subsidiary, has no balance sheet.

YMCA ST. PAUL’S GROUP

Notes to the financial statements for the year ended 31 March 2021 (continued)

16. CREDITORS – Amounts falling due within one year

Bank Loans and overdrafts (note 17)
Hampton Pool Ltd Loan
Hampton Fuel Allotment Charity Loan
Trade creditors
Taxation and social security
Accruals and deferred income
Pension Deficit Liability (notes 19 & 20)
Housing Grants (note 21)
Other creditors		 Group
2021
Group
2020
YSPG
2021
YSPG
2020
£
£
£
£
244,563
292,745
(40,732)
(40,484)
-
5,518
-
5,518
6,800
6,800
6,800
6,800
806,364
1,025,011
721,175
957,186
212,658
215,854
165,570
188,910
2,581,388
1,420,839
1,772,344
1,193,631
173,627
173,697
128,572
128,624
276,886
276,886
276,886
276,886
117,524
1,102,367
101,728
418,649
4,419,810
4,519,717
3,132,343
3,135,720

Rental receipts in advance of £ 545,704 are included within Group accruals and deferred Income (2020: £583,982 included within group other creditors).

17. CREDITORS – Amounts falling due after more than one year

Bank Loans

Hampton Fuel Allotment Charity Loan

Pension deficit liability (notes 19 & 20)
Deferred capital Grant

Total loans and borrowings
Debt comprises
Bank Loans and overdrafts
Other Loans
The aggregate debt is repayable:
In one year or less, or on demand
In more than one year but not more than
two years
In more than two year but not more than
five years
In more than five years		 Group
2021
Group
2020
YSPG
2021
YSPG
2020
£
£
£
£
24,659,774
25,216,498
20,653,155
20,924,580
-
6,800
-
6,800
24,659,774
25,223,298
20,653,155
20,931,380
1,227,653
1,054,948
909,087
781,198
5,153,545
5,430,431
5,153,545
5,430,434
31,040,972
31,708,677
26,715,787
27,143,012
Group
2021
Group
2020
YSPG
2021
YSPG
2020
£
£
£
£
24,904,337
25,509,24320,612,423
20,884,096
6,800
19,118
6,800
19,118
24,911,137
25,528,361
20,619,223
20,903,214
251,363
305,063
(33,932)
(28,166)
1,539,212
255,277
1,236,609
(30,018)
4,872,223
5,367,559
3,879,111
4,407,230
18,248,339
19,600,46215,537,435
16,554,168
24,911,137
25,528,361
20,619,223
20,903,214

Loans – YMCA St Paul’s Group

The bank loans are secured by a first fixed charge over the following freehold properties: Forest Road-Main Hostel, Marsham Court-Residential, Marsham Court-Office, Brookscroft, 18 Balaclava Road, Forest Road-Gym, 49 Victoria Road-Main Hostel, Surbiton-Gym, Surbiton-Office, Forest RoadTelecoms, Rodney House in Walton-on-Thames, Langdown in Molesey. £1,893,887 of the loan is repayable over 23 years and the rest is repayable over 2 to 12 years. Loans bear interest at rates between 2.00% and 3.25%.

YMCA ST. PAUL’S GROUP Notes to the financial statements for the year ended 31 March 2021 (continued)

17. CREDITORS – Amounts falling due after more than one year (continued)

Loans – West London YMCA

The loan is secured by a fixed charge on the leasehold housing property, a fixed charge on the rental income arising thereon, and a floating charge over all of the charity’s assets and undertakings, except the non-housing freehold property. The capital element is repayable in instalments over 20 years starting on 28 September 2011. Interest is charged at various rates with a weighted average of 3.91% (2020: 3.74%) at the year-end and £2,427,121 (2020: £2,754,639) is due after more than five years.

The housing property finance is secured by a first charge on certain freehold housing properties. It is repayable in instalments with 25 years to run. It bears interest at 10.875% (2020: 10.875%) and £283,788 (2020: £291,655) is due after more than five years.

18. OPERATING LEASE COMMITMENTS

At the year-end, the total future minimum lease payments non-cancellable operating leases were:

Total future payments due:
Not later than one year
Later than one year and less than five years
Later than five years
Lease payments expensed in the year
Total future payments due:
Not later than one year
Later than one year and less than five years
Later than five years
Lease payments expensed in the year
19. PENSION DEFICIT LIABILITY
As 1 April 2020
Unwinding of discount provision
Triennial revaluation increase
Contribution paid
At 31 March 2021		 Total future payments due:
Not later than one year
Later than one year and less than five years
Later than five years
Lease payments expensed in the year
Total future payments due:
Not later than one year
Later than one year and less than five years
Later than five years
Lease payments expensed in the year
19. PENSION DEFICIT LIABILITY
As 1 April 2020
Unwinding of discount provision
Triennial revaluation increase
Contribution paid
At 31 March 2021		 Group
Property
2021
Group
Property
2020
Group
Other
2021
Group
Other
2020
£
£
£
£
619,656
476,818
104,323
58,478
1,375,620
1,284,554
23,491
18,963
966,675
1,256,677
-
-
2,961,951
3,018,049
127,814
77,441
671,428
644,041
113,234
95,120
YSPG
Property
2021
YSPG
Property
2020
YSPG
Other
2021
YSPG
Other
2020
£
£
£
£
619,656
476,818
97,656
49,465
1,375,620
1,284,554
19,602
2,831
966,675
1,256,677
-
-
2,961,951
3,018,049
117,258
52,296
671,428
644,041
106,567
80,441
Group
2021
£
Group
2020
£
YSPG
2021
£
YSPG
2020
£
1,228,645
1,399,138
909,822
1,036,702
13,744
7,878
10,177
7,878
346,331
-
256,461
-
(187,440)
(178,371)
(138,801)
(134,758)
1,401,280
1,228,645
1,037,659
909,822

The Pension Deficit Liability represents the amounts set aside to meet payments to the YMCA Pension & Assurance Plan towards its deficit (note 20) and is included under creditors within the Statement of Financial Position.

YMCA ST. PAUL’S GROUP Notes to the financial statements for the year ended 31 March 2021 (continued)

19. PENSION DEFICIT LIABILITY (continued)

The contractual obligation to make pension deficit contribution payments, as calculated based on the discounted value of expected future payments, is split as follows:

GROUP
At 31 March 2021
At 31 March 2020		 Repayable Repayable
Within
one year
£
173,627		 One to
Two to
After five
two years
five
years
years
£
£
£
173,556
520,248
533,849		 After more
than
TOTAL
one year
2021
£
£
1,227,653
1,401,280		 TOTAL
2020
£
1,228,645
173,697 173,627
520,457
360,864		 1,054,948
YSPG
At 31 March 2021
At 31 March 2020		 Repayable Repayable
Within
one year
£
128,572		 One to
Two to
After five
two years
five
years
years
£
£
£
128,520
385,248
395,319		 After
more
than
TOTAL
one year
2021
£
£
909,087
1,037,659		 TOTAL
2020
£

909,822
128,624 128,572
385,404
267,222		 781,198

In addition, YMCA St. Paul’s Group may have over time liabilities in the event of the non-payment by other participating YMCAs of their share of the YMCA Pension Plan’s deficit. It is not possible currently to quantify the potential amount that YMCA St. Paul’s Group may be called upon to pay in the future.

20. PENSIONS

The Group operates a number of pension schemes:

Defined benefit pension scheme

YMCA St. Paul’s Group participated in a contributory pension plan providing defined benefits based on final pensionable pay for employees of YMCAs in England, Scotland and Wales. The assets of the YMCA Pension Plan are held separately from those of YMCA St. Paul’s Group and at the year-end these were invested in the Mercer Dynamic De-risking Solution, 40% matching portfolio and 60% in the growth portfolio and Schroder (property units only).

The most recently completed three year valuation was as at 1 May 2020. The assumptions used which have the most significant effect on the results of the valuation are those relating to the assumed rates of return on assets held before and after retirement of 2.59% and 1.09% respectively, the increase in pensions in payment of 2.99% (for RPI capped at 5% p.a.), and the average life expectancy from normal retirement age (of 65) for a current male pensioner of 22.0 years, female 24.4 years, and 23.7 years for a male pensioner, female 26.1 years, retiring in 20 years’ time. The result of the valuation showed that the actuarial value of the assets was £146.1m, which represented 79% of the benefits that had accrued to members.

The Pension Plan was closed to new members and future service accrual with effect from 30 April 2007. With the removal of the salary linkage for benefits all employed deferred members became deferred members as from 1 May 2011.

YMCA ST. PAUL’S GROUP Notes to the financial statements for the year ended 31 March 2021 (continued)

Defined benefit pension scheme (continued)

The valuation prepared as at 1 May 2020 showed that the YMCA Pension Plan had a deficit of £36 million. YMCA St. Paul’s Group has been advised that it will need to make group monthly contributions of £16,128 (2020: £15,658) from 1 May 2021 (YSPG £11,943, 2020: £11,595). This amount is based on the current actuarial assumptions (as outlined above) and may vary in the future as a result of actual performance of the Pension Plan. The current recovery period is 8 years commencing 1st May 2021.

In addition, YMCA St. Paul’s Group may have over time liabilities in the event of the non-payment by other participating YMCAs of their share of the YMCA Pension Plan’s deficit. It is not possible currently to quantify the potential amount that YMCA St. Paul’s Group may be called upon to pay in the future.

Defined Contribution Schemes

YMCA St. Paul’s Group also operates a defined contribution pension scheme for the majority of its employees. The assets of this scheme are also held separately from those of the company and contributions are charged to the income and expenditure as they fall due. The combined pension charge of both schemes is shown in note 6.

21. DEFERRED CAPITAL GRANT

As 1 April 2020
Released to income during the year
At 31 March 2021		 Group
2021
Group
2020
YSPG
2021
YSPG
2020
£
£
£
£
5,707,317
5,984,203
5,707,317
5,984,203
(276,886)
(276,886)
(276,886)
(276,886)
5,430,431
5,707,317
5,430,431
5,707,317

22. STATEMENT UNDER SECTION 37 LOCAL GOVERNMENT AND HOUSING ACT 1989

Hampton Fuel Allotment Charity (HFAC)

The Group received restricted grant funding from the HFAC, which has been utilised towards the revenue expenditure and refurbishment of the White House centre.

23. CAPITAL COMMITMENTS

Commitments contracted but not provided for
Furniture and Equipment
Computer software
Maintenance
Construction
Expenditure approved but not contracted for
Furniture and Equipment
Computer software
Maintenance
Motor vehicles
Construction (note 25)
Fixtures and Fittings		 Group
Group
YSPG
YSPG
2021
2020
2021
2020
£
£
£
£
-
-
-
-
-
-
-
-
28,391
-
-
-
65,929
-
65,929
-
94,320
-
65,929
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
18,699,057
-
18,699,057
-
-
16,764
-
12,614
18,699,057
16,764
18,699,057
12,614

YMCA ST. PAUL’S GROUP

Notes to the financial statements for the year ended 31 March 2021 (continued)

23. CAPITAL COMMITMENTS (continued)

Capital commitments for the Group will be
funded as follows:
New loans and grants
Internal Cash Reserves
8,346,313
-
8,346,313
-
10,447,064
16,764
10,418,673
12,614
18,793,377
16,764
18,764,986
12,614

24. RELATED PARTY TRANSACTIONS

The Group Director Of Operations is also the chair of the Board of Governors of Woodside Primary Academy, a ReAch2 Trust academy. The school hire the facilities at the YMCA in Walthamstow on a regular basis. The value of the transaction for the year was £Nil (2020: £2,400). Members of the Board, Executive Team and Senior Staff made donations to YMCA St Paul's Group of £1,444 (2020: £0).

All transactions with the related party are carried out on standard terms of business.

25. POST BALANCE SHEET EVENT

On 16 July 2021, the development conditions associated with the Wimbledon development scheme became unconditional and the project officially started. As a result, all appropriate development obligations commenced including the Works Contract. The project is being supported by Greater London Authority grant and private sector support

26. LEGAL STATUS

YMCA St. Paul’s Group is a company limited by guarantee (company number 02971930), a registered charity (number 1041923) and is registered with the Regulator of Social Housing as a social housing provider (number LH4078).