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← Bid Services

2021-03-31-accounts

Report and financial statements Year ended 31 March 2021

Registered number: 03124204 Registered charity number: 1053184

Chair’s statement

There is no doubt that this has been a difficult year for everyone and the COVID situation continues to bring challenges to charities and organisations like BID Services who work tirelessly to offer support to some of the most vulnerable people in our society. Because we understand the barriers people with a sensory loss face, we recognised early on that providing services during COVID, when normal routes to engagement became unavailable, would necessitate creating new ways to reach people.

Our teams have achieved some excellent results over the past year, adapting services, making greater use of technology, and finding innovative approaches to ensuring service continuity in a safe and secure way. For some of our most vulnerable we work with, this has allowed our face-to-face work to continue.

However, due to age or long-term conditions, some people were forced to withdraw from services and to isolate for significant periods of time. This has, to some extent, impacted on the number of people we have been able to support but we have worked hard and creatively to keep in touch and to support people in the best ways possible. As we start to emerge from the early phases of the COVID pandemic we are focusing strongly on a range of re-engagement initiatives to help people re-engage with their communities. We are continuing to adapt services to ensure they meet changing requirements in light of the impact the pandemic has had on all of our lives.

One of the key issues over the past year has been the lack of accessible COVID information, with many of the Government updates and daily briefings being largely inaccessible to the Deaf community given the lack of a British Sign Language interpreter. BID is working in partnership with a range of organisations to ensure that vital information about COVID is getting through in accessible formats. We have also introduced a new befriending service across the West Midlands to provide support and guidance to people who are feeling confused and isolated due

to the lockdown restrictions. Our youth activities programme was successfully moved online enabling us to expand the geographical reach of our youth services and make a positive impact on the wellbeing of young people who are d/Deaf, hard of hearing or visually impaired, many of whom have felt isolated. We also launched a fresh food project at the Deaf Cultural Centre, offering free hot meals to people with a sensory loss.

Our sign language interpreting and communication service initially faced very real challenges when moving from the long established tradition of face to face service delivery necessitated by the first lockdown. Building on the strengths of the existing IT infrastructure, the service successfully moved to a mix of virtual and face-to-face service quickly and effectively thus ensuring BSL users were able to continue to engage effectively.

We are investing in our Chesterberry Care Home undertaking a full refurbishment of the building to ensure it is able to meet the changing needs of our residents and provides a comfortable, welcoming place for our residents to call home.

We were also pleased to be re-awarded Lottery funding enabling us to continue to deliver our employment programme and have also introduced a remote online employment support service to people living in Lincolnshire with a hearing or sight loss, which has already seen positive results with clients successfully gaining employment.

In common with much of the hospitality sector, our social enterprise, the Signing Tree Venue, our social enterprise conference centre, saw its activity largely cease as most organisations did not hold face-to-face external events; Despite this, the team has worked to maintain established relationships and develop new and this gives confidence that business will recover once COVID rules allow and people are more confident in meeting in group situations.

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Our contract work continues to inspire us, and we have recently been awarded a new information, advice and support contract in Cumbria which sits well beside our existing specialist equipment service.

Within the Board of Trustees, the induction and training of new trustees continues, and they are already bringing fresh ideas and constructive criticality to our work across the organisation.

We also continue to make good progress on our 3-year strategic plan. As may be expected responding to COVID has necessitated reconsideration of priorities, accelerating some initiatives and deferring others.

Overall, BID has managed the difficult operating environment successfully thanks to the dedication of our staff and volunteers and their ability to grasp new ways of working. Although the short-term financial position looks healthy, but, given our place firmly in the social care sector with all the uncertainties that brings, we will need to continue to be creative and innovative in our approach as the realities of the ‘new normal’ finally settle and the wider funding and political environment become clearer. We have a sound financial base and this allows us to approach the future with both caution and measured optimism.

I conclude with thanking Jonathan Shapiro who decided to stand down from the board. His contribution to the continuing development of BID over the last two years has been valued by all concerned and we wish him well for the future.

Contents

Chair’s statement .............................. 2 Directors’ report ................................ 4 ............. 6 Organisational objectives ............. 9 Key initiatives & progress Financial review ............................. 15 Independent auditors’ report to the members ................. 17 Statement of ........................... 20 financial activities Balance sheet ................................... 21 ...................... 22 Cash flow statement Notes to the ...................... 26 financial statements

Michael Price Interim Chair

3

Directors’ report

Constitutional and administrative details

Charity Name BID Services (known as BID)

1053184 Charity Registration Number 03124204 Company Registration Number Deaf Cultural Centre Registered Office Ladywood Road Birmingham B16 8SZ

Board of Trustees

The Directors, who are also trustees of the charity, serving during the year were as follows:

Gail CONWAY Leonard GREGORY (resigned 25 November 2021) Sandeep KAUR Michael PRICE (Interim Chair & Treasurer) Jonathan SHAPIRO (Chair) (resigned 25 November 2021) Alison BEACHIM (appointed 3 December 2020) Natalia FLEMMING (appointed 3 December 2020, resigned 3 December 2021) Halo GARRITY (appointed 3 December 2020, resigned 25 November 2021) Lionel MARTIN (resigned 2 July 2020) Mark HILLIER (resigned 24 September 2020) Chris DANIELS (resigned 3 December 2020) Matthew COLLINGWOOD (appointed 25 November 2021)

The Directors retiring by rotation were M Hillier, C Daniels and G Conway. Gail Conway agreed to stand for re-election and was subsequently reappointed to the board.

Independent Auditors

The charitable company maintains indemnity insurance for its directors and officers at an annual premium of £4,536 (2020: £4,536).

Directors are selected against pre-determined skills criteria designed to ensure that the board has the necessary knowledge with which to direct BID.

The board has an establishment of 6 members with powers of co-option.

Cooper Parry Group Limited Sky View Argosy Road East Midlands Airport Castle Donington Derby DE74 2SA

Company Secretary

Michael Price

Bankers

Senior Management Team

Gail Penberthy Heather Davis Tony Morroll Ian Laing

Chief Executive Head of Human Resources Head of Finance & I.T. Head of Operations

National Westminster Bank Plc 30a Harborne Road Birmingham B15 3AA

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About Us

BID Services is a charity. We support children, young people and adults, along with their families and carers, who are deaf, hard of hearing, visually impaired or have a dual sensory loss. We also support people with a physical disability or mental health.

Through our innovative service delivery, we strive to achieve the best possible outcomes for our client groups, working in partnership with them to maximise independence, improve mobility and ensure they have the right information and advice to help them achieve a better quality of life.

Our specialist service areas focus on hearing and sight loss and include advocacy, employment, specialist information and advice, rehabilitation, British Sign Language interpreting and training, eye and hearing care, specialist equipment support, residential placements, social work, support for tinnitus and housing related services.

Our social enterprise, the Signing Tree Venue, provides high quality conference, meeting and event spaces, located within the award winning Deaf Cultural Centre building which also houses the charity’s main office & café, and offers employment and training opportunities to people with a sensory loss, as well as supporting a range of community, arts and leisure activities.

Our Purpose

We are here to make a positive difference to the people we support by providing innovative services that empower people to control their own lives.

Company Status

The charity is a company limited by guarantee (number 03124204), and as such has no share capital. The company is governed by its Memorandum and Articles of Association, as updated in October 2013. The liability of the members of the company, as set out in the Memorandum of Association, is limited to £1 per member.

Trustee and Director Induction and Training

Organisational Structure

The board meets a minimum of 5 times a year and additional meetings are held as required, with dayto-day management of the organisation delegated to the Chief Executive and her team. A scheme of delegation and policies and procedures detail limits to authority.

The charity’s main operating base is near the centre of Birmingham.

New directors receive induction training appropriate to the role they are to fulfil. Directors regularly review their requirement for training and this is provided as and when required, including their responsibilities under charity law.

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ORGANISATIONAL OBJECTIVES

Our strategy and vision are wholly focused on improving the lives of service users. We want to support them to achieve the best possible outcomes in life by developing innovative services and products that enable them to live as independently as possible.

We continue to move forward with our 3-year strategic plan that is based on achieving 5 key priorities aligned around the needs of those we support.

Key priority areas

A strong organisation, fit for today and prepared for tomorrow

Maintaining a strong and stable future for the charity remains one of our key priorities and is underpinned by our 3 year strategic plan which has now been introduced and embedded across the organisation.

Improve employment opportunities for service users

We want to remove the obstacles people face in accessing employment, education and training and to further expand our reach to offer support to a wider demographic.

Support people to live healthy, independent lives

We continue to identify needs and gaps in services, maintaining our focus on providing personalised support that people need to manage their health, improve their physical and emotional wellbeing and make decisions about their life.

Be an exceptional place to work and volunteer

We have launched a robust People strategy that supports a positive work/life balance, promotes wellbeing throughout the organisation and delivers high impact learning and development initiatives.

Increase service user access to information and services

We aim to reduce the barriers people face in accessing information and services, by increasing the level of accessible communications, such as access to digital technology, so people can obtain quality information as independently as possible and make informed choices.

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Highlights of achievements and performance

people accessed our services 4,342

444 visually impaired people undertook rehabilitati on and mobility training

We covered 8,869 bookings and provided

32,471 hours of interpreti ng and communicati on support

99

deaf and visually impaired people were supported through our befriending service

194 people and their families engaged in our youth, sports, health and wellbeing and family services

----- Start of picture text -----
61 clients
completed Briti sh Sign
Language training
----- End of picture text -----

We undertook 1,236 visual impairment assessments,

211 Dea� lind assessments and 894 deaf/hard of hearing assessments

92 dedicated volunteers donated

4,416 hours of their ti me to support our service users

182 people were supported through our employment programme

which resulted in 51 people getti ng a job and 89 people placed in educati on or training

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KEY INITIATIVES & PROGRESS

The following pages highlight some of our key achievements and the progress we have made during the year.

A strong organisation, fit for today and prepared for tomorrow

Organisational resilience has been tested over the past year, but we remain confident in our ability to maintain a strong infrastructure that is here to support our service users.

Forward Aims

To review and deliver the strategy post COVID, and to maintain a resilient infrastructure that enables us to deliver services to people with a sensory loss across geographic regions.

9

Improve Employment opportunities for service users

Many of the people we support through our employment service have experienced multiple barriers on their journey to find work, such as a lack of communication support and availability of assistive technology. This often results in low confidence in their ability to find meaningful employment. Our aim is to engage and work in partnership with people with a sensory loss of all ages, to provide a package of employment support that enables them to get a job, move closer to the labour market or into further education or training.

Forward Aims

We want to remove the obstacles people with a sensory loss face in accessing employment, education and training. We will continue to explore the use of technology and to seek out funding that will enable us to expand the demographic and geographic reach of our Employment service across all age groups.

10

Increase service user access to information and services

People with a sensory loss want to receive high quality information in a way that is accessible to them. Due to a general lack of awareness of their communication needs, they are often unable to access information in the way they need it. This has been especially highlighted during the pandemic. Throughout our services and campaigns, we are working hard to promote a greater understanding of the communication needs of people with a sensory loss and to ensure that our services, and others, are delivered in an accessible way, ensuring more people can access the information they need.

Forward aims

To continue to campaign and raise awareness of the need to improve access to information across the sensory impairment spectrum

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Support people to live healthy, independent lives

We are committed to offering more opportunities to children, young people and adults so they can participate in an active social life, maintain their tenancies and feel less lonely and isolated, which can have a huge impact on individual health and wellbeing. Over the past year, 194 people and their families engaged in our health, wellbeing and family initiatives.

Forward aims

Continue to provide a range of health and wellbeing activities that promote a healthy lifestyle and support independent living; maintain our existing funding and secure new funding to deliver a range of services across our regions

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Be an exceptional place to work and volunteer

We want BID Services to be an exceptional place where people want to work, where employees and volunteers feel valued and supported and where there are opportunities for people to grow professionally and enjoy a good work/ life balance. In the second year of delivering our People strategy, we continue to make good progress across all areas, and have also taken positive steps to embed new health and wellbeing initiatives to support employees and volunteers through the COVID pandemic.

Forward aims

To ensure the health and wellbeing of our people, strive for equality, diversity and inclusion, recruiting the best employees and volunteers and retaining people that are flexible and skilled to meet future challenges.

13 : KL : Ae e&ieah

Public benefit

As reported above, BID has delivered its products and services with public benefit at the fore of all it does. The trustees confirm that they have reviewed and considered the Charity Commission’s guidance on public benefit and have taken it into account when considering the charity’s activities and future plans.

Key performance indications

Payroll costs represent a substantial portion of operating costs and their continuing control is crucial to the financial wellbeing of the organisation.

Growing income from commercial trading as a proportion of turnover and growing income from grants and donations as a proportion of turnover is a strategic objective in order to better balance the risk associated with current income distribution.

Deaf Cultural Centre

The brief of the Deaf Cultural Centre is to provide a space where the uniqueness of deaf culture is celebrated and to raise its profile.

Pay Policy for Senior Staff

The directors consider that the board of directors, who are the charity’s trustees, and the senior management team are the key groups of people who determine strategy, direct, control and operate the charity on a day to day basis.

The senior management team during the year in question is as previously listed in this document. Their remuneration is reviewed by the executive group of the board who use benchmarking against comparable charities along with an assessment of market rates and consideration of performance.

Risk Management

COVID-19; At the date of signing these financial statements, the trustees have considered the effect on the charity in the context of the information available to them. They do not believe it will affect the charity’s ability to continue to operate for the foreseeable future. As with most organisations there are practical difficulties, mostly short term, which have been addressed and managed accordingly – remote working and delivery of services, effective safeguarding and risk assessment and appropriate use of PPE. Like many organisations we have utilised support schemes, including both the Job Retention Scheme and exceptional local government funding, to assist in actively managing finances and protecting future capacity.

Due to the level of reserves and cash balances held and contractual basis of most of our income streams we are well placed to continue operating. See accounting policy titled Going Concern for further details.

Income diversification, continues to be at the forefront of BID’s strategy and this has left us well placed to respond to current challenges. In addition, the trustees continue to respond to the uncertainty by planning increases in the general fund (where possible), closely monitoring the financial performance of all activities and assessing any project requiring capital expenditure.

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FINANCIAL REVIEW

Net incoming funds for the year amounted to £511,749 compared to £172,130 last year. After transfers between funds, the general unrestricted fund increased to £1,756,004. Other notes in these accounts show clearly the adjustments required under FRS 102 in the recognition of pension deficit recovery liabilities.

As noted in risk review, pension scheme deficits remain of considerable concern but the trustees are keen to maintain a sensible balance between the potential for longer-term liabilities and costs and the need to maintain the schemes as a key part of our employee reward package.

The organisation’s financial position will provide a reasonable foundation from which to respond to both the challenges in relation to the on-going effects of the Coronavirus pandemic, and creatively responding to recovery and other opportunities. The focus of future planning is primarily about business development and long term sustainability in a policy environment that is expected to be far from favourable to organisations like ourselves.

Investment Policy and Performance

Taking account of the evolving economic conditions throughout the year along with forecast demands on resources, the trustees have decided to continue their policy of keeping reserves in cash or near cash. Various instruments are selected to balance maximisation of return with risk and cash availability.

In response to continuing concern, accentuated by the Coronavirus pandemic, a risk averse view of financial institutions has been maintained and this, while limiting overall returns, means that our exposure to loss of funds is limited. The trustees continue to review this policy.

Reserves Policy

The Trustees have given careful consideration to the charity’s reserves policy and regularly review the reserves we need to maintain current services and safeguard future programmes. As well as funding the day to day operation of the charity, and allowing the investment needed to maintain the business infrastructure, the reserves allow us to respond to unexpected opportunities to support people by responding proactively to opportunities as they become available.

Continuing assessment of the current economic and political situation, recognition of risks to contract provision, exposure to low investment returns manifesting themselves through defined benefit scheme recovery payments along with working and risk capital requirements when combined, result in a significantly increased risk profile. On this basis the charity has determined that it needs to maintain a general reserve of at least £2 million.

The charity’s free reserves (general unrestricted reserves not represented by fixed assets and net of the pension liability) are £1,275,743 at 31 March 2021. Taking account of the increased risk profile noted above and continuing uncertainty around evolution of service provision, the trustees continue to plan to increase the figure.

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Directors’ responsibilities

The directors (who are also trustees of BID Services for the purposes of charity law) are responsible for preparing the Directors’ Report including the Strategic Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepting Accounting Practice).

Company law requires the directors to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable company and the group for that period. In preparing those financial statements, the directors are required to:

The directors are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities

In so far as the directors are aware:

The directors are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Approved by the board and signed on its behalf by:

Mr M Price, Director 27 January 2022

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Independent auditors’ report to the members and trustees of BID Services

Opinion

We have audited the financial statements of BID Services (“the parent charitable company”) and its subsidiaries (“the group”) for the year ended 31 March 2021 which comprise the group Statement of Financial Activities, the group and parent charitable company Balance Sheets, the group Statement of Cash Flows and the related 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 the parent charitable company in accordance with the ethical requirements 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 directors’ 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 and parent charitable company’s ability to continue as a going concern for a period of at least 12 months from when the financial statements are authorised for issue.

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

Other information

The other information comprises the information included in the directors’ annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. 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.

Opinions on other matters prescribed by the Companies Act 2006

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

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Matters on which we are required to report by exception

In the light of our knowledge and understanding of the group and the parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report and the Director’s 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 directors

As explained more fully in the directors’ responsibilities statement, the directors (who are also the trustees of the charitable company for the purposes of charity law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors 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 directors are responsible for assessing the group’s and the parent charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed auditor under the Companies Act 2006 and report in accordance with that Act.

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.

Irregularities, including fraud, are instances of noncompliance 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 specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud are detailed below:

Our assessment focussed on key laws and regulations the group and parent charitable company has to comply with and areas of the financial statements we assessed as being more susceptible to misstatement. These key laws and regulations included but were not limited to compliance with the Companies Act 2006, Charities Act 2011, taxation legislation, data protection, anti-bribery and employment legislation.

We are not responsible for preventing irregularities. Our approach to detecting irregularities included, but was not limited to, the following:

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Whilst considering how our audit work addressed the detection of irregularities, we also considered the likelihood of detection based on our approach. Irregularities arising from fraud are inherently more difficult to detect than those arising from error.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or noncompliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located at the Financial Reporting Council’s (“FRC’s”) website at: https://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 charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to 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 charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Nick Simkins ( Senior Statutory Auditor)

For and on behalf of: Cooper Parry Group Limited Chartered Accountants & Statutory Auditors

Sky View, Argosy Road, East Midlands Airport, Castle Donington, Derby, DE74 2SA

Date: 27 January 2022

SSS 19

BID Services

Consolidated statement of financial activities

(Incorporating the Income and Expenditure Account)

YEAR ENDED 31 MARCH 2021

Income
Donatons and Legacies
Income from charitable actvites:
Contract service income and grants
Income from other trading actvites:
Commercial trading operatons
Investment income
Total income
Expenditure
Costs of raising funds:
Commercial trading operatons
Costs of generatng voluntary income
Expenditure on charitable actvites:
Contract service income and grants
Other resources expended
Interest and other fnance costs
Total expenditure
Net income/(expenditure) before
transfers and other recognised gains
and losses
Transfers between funds
Net income/(expenditure) before
other recognised gains and losses
Other recognised gains and losses
Actuarial (losses)/gains on defned beneft
pension schemes
Net income/(expenditure) and net
movement in funds for the year
Reconciliation of funds
Total Funds brought forward
Total Funds carried forward		 Note
2
4
5
3
5
6
18
23		 Unrestricted
funds		 Designated
funds		 Restricted
funds
£
456,847
–
–
–
456,847
–
–
298,093
–
–
298,093
158,754
–
158,754
–
158,754
349,004
507,758		 2021
Total
£
459,626
4,602,035
2,764
729
5,065,154
20,448
42,871
4,544,244
29,843
23,000
4,660,406
404,749
–
404,749
107,000
511,749
4,771,771
5,283,520		 2020
Total
£ £ £
2,780 – 343,638
4,602,035 – 4,581,368
2,764 – 228,153
729 – 4,079
4,608,308 – 5,157,237
20,448 – 200,525
42,871 – 32,985
4,231,376 14,775 4,728,881
29,843 – 25,217
23,000 – 17,000
4,347,538 14,775 5,005,108
260,770 (14,775) 152,130
(100,000) 100,000 –
160,770 85,225 152,130
107,000 – 20,000
267,770 85,225 172,130
1,488,235 2,934,532 4,599,641
1,756,005 3,019,757 4,771,771

All amounts above are derived from continuing operations and the charitable company has no recognised gains or losses other than those passing through the Statement of Financial Activities and hence no separate statement of total recognised gains and losses is presented. The notes on pages 26 to 46 form part of these financial statements.

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BID Services

Company number 03124204 Group and company balance sheets

YEAR ENDED 31 MARCH 2021

Fixed assets
Tangible assets
Investments in subsidiary undertakings
Current assets
Stocks
Debtors
Cash at bank and in hand
Creditors:
Amounts falling due within one year
Net current assets
Total assets less current liabilities
Creditors:
Amounts falling due afer more than one year
Net assets excluding pension scheme liability
Defned beneft pension scheme liability
NET ASSETS		 Note
10
11
12
13
14
15
16		 Group
2021
2020
£
£
4,001,498
4,071,924
–
–
4,001,498
4,071,924
5,413
6,865
616,317
785,607
2,075,200
1,599,916
2,696,930
2,392,388
(645,910)
(700,540)
2,051,020
1,691,847
6,052,518
5,763,771
–
–
6,052,518
5,763,771
(769,000)
(992,000)
5,283,518
4,771,771		 Company Company
2021
£
4,001,498
–
4,001,498
5,413
616,317
2,075,200
2,696,930
(645,910)
2,051,020
6,052,518
–
6,052,518
(769,000)
5,283,518		 2021
£
3,947,468
10,000
3,957,468
5,413
731,111
2,008,075
2,744,599
(638,546)
2,106,053
6,063,521
–
6,063,520
(769,000)
5,294,521
2020
£
4,071,924
10,000
4,081,924
6,865
835,111
1,516,685
2,358,661
(677,012)
1,681,649
5,763,573
–
5,763,573
(992,000)
4,771,573

The funds of the charity:

RESTRICTED FUNDS
Unrestricted funds
General funds – general
– pension fund
Designated funds
TOTAL FUNDS		 17
18
18
18		 507,758
2,525,003
(769,000)
3,019,757
5,283,518		 349,004
2,480,235
(992,000)
2,934,532
4,771,771		 507,758
2,536,006
(769,000)
3,019,757
5,294,521		 349,004
2,480,037
(992,000)
2,934,532
4,771,573

Approved by the Board of Directors on 27 January 2022. Signed on its behalf by:

Michael Price, Director

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BID Services

Consolidated cash flow statement

YEAR ENDED 31 MARCH 2021

Net cash infow from operatng actvites
Returns on investments and servicing of fnance
Capital expenditure
Increase in cash
Cash fow statement
Defned Beneft Pension Scheme
Interest payable
Net valuaton changes/contributons
(Increase)/decrease in debtors
Increase in creditors
Net cash infow from operatng actvites
Reconciliation of net expenditure to net cash fow
from operating activities
Net expenditure
Depreciaton charges and losses on disposal
Net interest
Decrease in stocks		 (a)
10
(b)
13
14
Note
10
3
12		 556,952
729
(82,397)
475,284
23,000
(246,000)
169,289
(54,631)
556,952
2021
£
511,749
152,822
(729)
1,452		 2020
£
172,130
139,876
(4,079)
1,803
17,000
(178,000)
(168,037)
186,994
167,687
167,687
4,079
(34,434)
137,333

22

BID Services

Notes to the consolidated cash flow statement

YEAR ENDED 31 MARCH 2021

(a)
(b)
(c)
(d)		 Note
Returns on investment and servicing of fnance
Interest received
Decrease in cash
Balance at beginning of year
Net cash infow
(c)
Balance at end of year
Reconciliation of net cash fow to movements in net funds
Increase in cash during year being change in net funds
Net funds at 1 April 2020
Net funds at 31 March 2021
At April 1
2020
£
Analysis of changes in net funds
Cash at bank
1,599,916		 2021
£
729
2021
£
1,599,916
475,284
2,075,200
£
475,284
1,599,916
2,075,200
Cash
fows
£
475,284		 2020
£
4,079
2020
£
1,462,583
137,333
1,599,916
Increase in cash during year being change in net funds
Net funds at 1 April 2020
Net funds at 31 March 2021
Analysis of changes in net funds
Cash at bank
At 31 March
2021
£
2,075,200

23

4U16 24

BID Services

Notes to the financial statements

YEAR ENDED 31 MARCH 2021

1. Accounting policies

The financial statements have been prepared in accordance with applicable Accounting Standards in the United Kingdom. A summary of the more important policies is set out below.

a) General information and basis of preparation

BID Services is a charitable company limited by guarantee in the United Kingdom. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The address of the registered office is given in the charity information on page 4 of these financial statements. The nature of the charity’s operations and principal activities are to work in partnership with people with a sensory impairment, as well as those with a physical disability or mental health problems. Working with children, young people and adults and their families and carers to make a positive difference by providing innovative services that empower those people to control their own lives.

The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Practice as it applies from 1 January 2015.

The financial statements are prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value. The financial statements are prepared in sterling which is the functional currency of the charity and rounded to the nearest pound.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

b) Funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

26

c) Income recognition

All incoming resources are included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received.

For donations to be recognised the charity will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained, then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled.

No amount is included in the financial statements for volunteer time in line with the SORP (FRS 102).

Income from trading activities includes income earned from fundraising events and trading activities to raise funds for the charity. Income is received in exchange for supplying goods and services in order to raise funds and is recognised when entitlement has occurred.

Income from grants is recognised at fair value when the charity has entitlement after any performance conditions have been met, it is probable that the income will be received and the amount can be measured reliably. If entitlement is not met then these amounts are deferred.

Investment income is earned through holding assets for investment purposes such as shares and property. It includes bank interest. Interest income is recognised using the effective interest method.

d) Expenditure recognition

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. It is categorised under the following headings:

Irrecoverable VAT is charged as an expense against the activity for which expenditure arose.

e) Support costs allocation

Support costs are those that assist the work of the charity but do not directly represent charitable activities and include office costs, governance costs, and administrative payroll costs. They are incurred directly in support of expenditure on the objects of the charity.

Where support costs cannot be directly attributed to particular headings they have been allocated to cost of raising funds and expenditure on charitable activities on a basis consistent with use of the resources. Premises overheads have been allocated using the calculated surface area utilised/occupied, and other overheads have been allocated on the basis of full-time equivalent staff or units of I.T. equipment accordingly.

Fundraising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities. The analysis of these costs is included in note 7.

27

continued Notes to the financial statements

f) Tangible fixed assets

Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:

Freehold buildings: over 50 years. Fixtures and fittings: over 3-10 years. Leasehold land and buildings: over 50 years. Motor vehicles: over 4 years. Plant and machinery: over 3- 5 years.

g) Investments

Investments in subsidiaries are measured at cost less impairment.

h) Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.

i) Debtors and creditors receivable / payable within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.

j) Loans and borrowings

Loans and borrowings are initially recognised at the transaction price including transaction costs. Subsequently, they are measured at amortised cost using the effective interest rate method, less impairment. If an arrangement constitutes a finance transaction it is measured at present value.

k) Impairment

Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset’s cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit or loss unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.

l) Provisions

Loans and borrowings are initially recognised at the transaction price including transaction costs. Subsequently, they are measured at amortised cost using the effective interest rate method, less impairment. If an arrangement constitutes a finance transaction it is measured at present value.

28

m) Leases

Assets acquired under finance leases are capitalised and depreciated over the shorter of the lease term and the expected useful life of the asset. Minimum lease payments are apportioned between the finance charge and the reduction of the outstanding lease liability using the effective interest method. The related obligations, net of future finance charges, are included in creditors.

Rentals payable and receivable under operating leases are charged to the SoFA on a straight line basis over the period of the lease.

n) Employee benefits

When employees have rendered service to the charity, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service.

The charity operates a defined contribution plan for the benefit of its employees. Contributions are expensed as they become payable.

The charity operated a defined benefit plan and two multi-employer defined benefit schemes for the benefit of its employees. A liability for the charity’s obligations under the plan is recognised net of plan assets.

The net change in the net defined benefit liability is recognised as the cost of the defined benefit plan during the period. Pension plan assets are measured at fair value and the defined benefit obligation is measured on an actuarial basis using the projected unit method. Actuarial valuations are obtained at least triennially and are updated at each balance sheet date.

o) Tax

The charitable company meets the definition of charity within the Charities Act 2011 and is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes.

p) Going concern

At the time of signing the accounts, the Trustees have considered the effect of the Coronavirus on the going concern position, and consider that this does indicate that the charity will continue to operate for a period of at least 12 months from the date of signing these accounts due to the level of funding already secured with its key partners. At the balance sheet date the charity held significant cash balances. The charity has significant reserves which are sufficient to absorb short-term in-period deficits if required. Government support is utilised, where it is appropriate to do so, and since the year end both the Furlough scheme and exceptional local government funding schemes have been used.

The financial forecasts prepared by the executive team show that the charity will be able to operate within the facilities available to it. On that basis the Trustees have prepared these financial statements on a going concern basis.

29

continued Notes to the financial statements

2. Voluntary income

Grants, donations and other income
Legacies
Donatons
Grants
Lotery – employment project
Sport England / Children in Need
Other grants and donatons from Trusts		 2021
£
556
23,522
245,629
114,420
75,500
459,627		 2020
£
785
60,667
150,363
71,858
59,964
343,638

Income from grants, donations and other sources was £459,627 (2020: £343,638) of which £2,780 (2020: £3,923) was attributable to unrestricted funds, £nil (2020: £nil) was attributable to designated funds and £456,847 (2020: £339,715) was attributable to restricted funds.

3. Investment income

Interest earned 2021
£
729		 2020
£
4,079

Investment income was £729 (2020: £4,079) of which £729 (2020: £4,079) was attributable to unrestricted funds and £nil (2020: £nil) was attributable to restricted funds.

4. Incoming resources from charitable activities

Statutory bodies – contract service income
Trading and other actvites		 2021
£
3,773,107
828,928
4,602,035		 2020
£
3,587,057
994,310
4,581,368

Incoming resources from charitable activities was £4,602,035 (2020: £4,581,368) of which £4,602,035 (2020: £4,581,368) was attributable to unrestricted funds and £nil (2020: £nil) was attributable to restricted funds.

30

5. Trading operations

The charitable company owns 100% of the share capital of Deaf Cultural Centre (Trading) Limited which provides catering and conference facilities. During the year, Deaf Cultural Centre (Trading) Limited made sales of £6,641 (2020: £39,896) to the parent company and recharges of £157 (2020: £67,524).

Deaf Cultural Centre (Trading) Limited
Turnover
Cost of sales
Gross proft
Administratve expenses
Other income
Operating (loss) / proft
Tax on proft on ordinary actvites
Retained in subsidiary
The assets and liabilites of the subsidiary at 31 March were:
Tangible assets
Net current assets
Total assets less current liabilities
Aggregate share capital and reserves		 2021
£
9,404
(335)
9,069
(40,540)
20,270
(11,201)
–
(11,201)
54,031
(55,034)
(1,003)
(1,003)		 2020
£
268,049
(59,079)
208,970
(208,970)
–
–
–
–
10,198
10,198
10,198

6. Resources expended by charity

Charitable activities
Community services
Residental services
Public educaton development and Research
Costs of generating funds
Other resources expended
Total resources expended		 Finance
Costs
£
–
–
–
–
23,000
23,000		 Direct
Costs
£
3,454,793
485,159
45,238
57,918
29,843
4,072,951		 Support
Costs
£
511,358
33,847
13,850
5,401
–
564,456		 2021
Total
£
3,966,151
519,006
59,088
63,319
52,843
4,660,406		 2020
Total
£
4,148,291
507,329
73,260
233,510
42,717
5,005,108

Total resources expended was £4,660,406 (2020: £5,005,108) of which £4,347,538 (2020: £4,613,172) was attributable to unrestricted funds, £14,775 (2020: £101,981) was attributable to designated funds and £298,093 (2020: £289,955) was attributable to restricted funds.

31

continued Notes to the financial statements

7. Support costs by activity

Facilites
Human resources and administraton
Finance
Informaton Technology		 Community
Services
£
180,665
141,711
128,600
60,382
511,358		 Residential
Services
£
620
14,238
12,921
6,067
33,846		 Public
education
development
and research
£
4,990
3,797
3,446
1,618
13,851		 Activities
for
generating
funds
£
1,946
1,481
1,344
631
5,402		 2021
Total
£
188,220
161,227
146,311
68,698
564,456		 2020
Total
£
214,936
153,991
131,749
98,783
599,458

Support costs are allocated as follows: Facilities – surface area utilised/occupied Finance/HR – full time equivalent staff members IT – units of equipment

8. Charitable expenditure

Expenditure includes:
Auditors’ remuneraton – in respect of audit
Depreciaton – owned assets
Rentals payable under operatng leases – ofce equipment		 2021
£
19,050
146,854
3,450		 2020
£
18,180
139,876
3,450

32

9. Trustee and staff costs

Staff costs during the period were:

Staf costs during the period were:
Staf restructuring costs compromise:
Wages and salaries
Social security costs
Pension costs
Redundancy costs		 2021
£
2,605,461
211,189
89,026
2,905,677
30,423		 2020
£
2,617,617
208,935
99,582
2,926,134
–

The average number of employees in the year was as follows:

Community services
Public educaton, development and research
Actvites for generatng funds
Governance
Support		 2021
Number
81
10
1
1
8
101		 2020
Number
85
6
2
1
9
103
£60,001-£70,000
£70,001-£80,000		 2021
Number
0
1		 2020
Number
0
1

The key management personnel of the charity comprise the trustees and the senior management team as listed on page 4. The total amount of employee benefits (incl. employer pension contributions) received for their services to the charity was £257,013, being 4.1 FTE (2020: £277,538, 4.4 FTE).

In previous years, Michael Price was invited to serve as Treasurer while continuing his executive role, albeit, part time. This decision was taken in order to ensure that his knowledge and experience was kept within the organisation and available to the board. Article 4 of the Memorandum of Association allows for payment of trustees for professional services:

“The Board may, in its absolute discretion, agree to pay a Trustee for provision of professional services to BID provided it considers that it is appropriate and in the interests of BID.”

The total cost of remuneration for his executive duties after appointment as a trustee was £2,590 in the year (2020: £31,104) and his employment ended on 30 April 2020.

Members of the trustee board and committees do not receive any remuneration for their services. During the year, no directors received travel and subsistence expenses (2020: £nil). Charitable funds were used to purchase indemnity insurance for the trustees at a cost of £4,536 (2020: £4,536).

33

continued Notes to the financial statements

10. Tangible fixed assets

Group

Total cost
At 1 April 2020
Additons
Disposals
At 31 March 2021
Net book values
At 31 March 2021
At 31 March 2020
Depreciation
At 1 April 2020
Charge for year
Eliminaton on disposal
At 31 March 2021		 Long
leasehold
property
£
4,536,846
–
–
4,536,846
3,266,500
3,357,237
1,179,609
90,737
–
1,270,346		 Freehold land
and buildings
£
881,410
–
–
881,410
634,616
652,244
229,166
17,628
–
246,794		 Motor
vehicles
£
19,500
–
–
19,500
–
–
19,500
–
–
19,500		 Plant
machinery
fxtures &
fttings
£
854,109
82,397
–
936,506
100,382
62,443
791,666
44,457
–
836,124		 Total
£
6,291,865
82,397
–
6,374,262
2,219,941
152,822
–
2,372,763
4,001,498
4,071,924

Company

Total cost
At 1 April 2020
Additons
Disposals
At 31 March 2021
Net book values
At 31 March 2021
At 31 March 2020
Depreciation
At 1 April 2020
Charge for year
Eliminaton on disposal
At 31 March 2021		 Long
leasehold
property
£
4,536,846
–
–
4,536,846
3,266,500
3,357,237
1,179,609
90,737
–
1,270,346		 Freehold land
and buildings
£
881,410
–
–
881,410
634,616
652,244
229,166
17,628
–
246,794		 Motor
vehicles
£
19,500
–
–
19,500
–
–
19,500
–
–
19,500		 Plant
machinery
fxtures &
fttings
£
854,109
22,398
–
876,507
46,352
62,443
791,666
38,489
–
830,155		 Total
£
6,291,865
22,398
–
6,314,263
2,219,941
146,854
–
2,366,795
3,947,468
4,071,924

34

11. Investment in subsidiary undertakings

The charitable company owns 100% of the ordinary share capital of Deaf Cultural Centre (Trading) Limited, a company incorporated in the United Kingdom. The shares were acquired at a cost of £10,000. The principal activity of Deaf Cultural Centre (Trading) Limited is the provision of catering services and facilities hire.

The results of the subsidiary undertakings are set out in note 5.

12. Stock

12. Stock
Catering and equipment stocks Group
2021
2020
£
£
5,413
6,865		 Company
2021
£
5,413		 2021
£
5,413
2020
£
6,865

13. Debtors: amounts falling due within one year

Fees receivable
Other debtors and accrued income
Prepayments
Amounts due from group company		 Group
2021
2020
£
£
296,467
448,434
246,541
247,814
73,309
89,359
–
–
616,317
785,607		 Company Company
2021
£
296,467
246,541
73,309
–
616,317		 2021
£
296,110
246,541
73,309
115,150
731,110
2020
£
406,214
247,814
65,486
115,598
835,111

14. Creditors: amounts falling due within one year

Trade creditors
Taxaton and social security
Loans
Other creditors
Accruals
Deferred income		 Group
2021
2020
£
£
210,530
218,388
41,345
43,577
–
–
237,891
276,883
109,770
104,160
46,375
57,532
645,911
700,540		 Company Company
2021
£
210,530
41,345
–
237,891
109,770
46,375
645,911		 2021
£
208,491
40,953
–
237,891
104,836
46,375
638,546
2020
£
204,298
44,080
–
266,942
104,160
57,532
677,012

35

continued Notes to the financial statements

» 14. Creditors: amounts falling due within one year continued

Deferred Income
Deferred income brought forward
Deferred in year
Recognised in year
Deferred income carried forward		 Group
2021
2020
£
£
57,532
15,564
112,335
163,514
(123,492)
(121,546)
46,375
57,532		 Company Company
2021
£
57,532
112,335
(123,492)
46,375
2021 2020
£ £
57,532 15,564
112,335 163,514
(123,492) (121,546)
46,375 57,532

Income is deferred when the charitable company may not have unconditional entitlement to the income or when the invoice relates to the delivery of a service and is therefore only recognised to the extent that the charitable company has provided the service.

15. Creditors: amounts falling due after one year

Loans
Included within the above are amounts falling due
for repayment as follows:
Less than 1 year
in 1-2 years
in 2-5 years		 Group
2021
2020
£
£
–
–
2021
2020
£
£
–
–
–
–
–
–
–
–		 Company Company
2021
£
–
2021
£
–
–
–
–		 2021
£
–
2021
£
–
–
–
–
2020
£
–
2020
£
–
–
–
–

16. Pension scheme liability – group and company

At 1 April 2020
Movement for the year
At 31 March 2021		 £
992,000
(223,000)
769,000

36

17. Restricted funds

Group and company

Restricted funds
Arts
Community
Employment
Residental
Sports
Other
B&DTG
BCA
Capital appeal
Company restricted funds
Total Group restricted funds		 1 April 2020
£
7,100
118,611
47,081
31,755
53,134
–
20,144
–
71,180
349,004
349,004		 Incoming
£
–
95,752
245,629
–
113,966
1,000
500
–
–
456,847
456,847		 Outgoing
£
–
(44,589)
(145,015)
–
(105,125)
–
(1,445)
–
(1,920)
(298,094)
(298,094)		 Transfers
£
–
–
–
–
–
–
–
–
–
–
–		 31 March 2021
£
7,100
169,774
147,695
31,755
61,975
1,000
19,199
–
69,260
507,758
507,758

2020 (Prior year)

Restricted funds
Arts
Community
Employment
Residental
Sports
Other
B&DTG
BCA
Capital appeal
Company restricted funds
Total Group restricted funds		 1 April 2019
£
7,100
56,370
43,994
27,879
60,909
–
20,348
9,544
73,100
299,244
299,244		 Incoming
£
–
113,618
150,363
3,875
71,858
–
–
–
–
339,715
339,715		 Outgoing
£
–
(51,377)
(147,276)
–
(79,634)
–
(204)
(9,544)
(1,920)
(289,955)
(289,955)		 Transfers
£
–
–
–
–
–
–
–
–
–
–
(1,800)		 31 March 2020
£
7,100
118,611
47,081
31,755
53,134
–
20,144
–
71,180
349,004
349,004

Purposes of restricted funds

Arts: Funds from various sources supporting the deaf arts development project. Community: Funds to support a range of community activities. Employment: Funds held to support activities furthering opportunities for employment for deaf people. Residential: Funds to support deaf people in our accommodation. Sport: Funds to support a range of sporting activities for deaf people. Other: Funds donated to support a range of activities across the charity. B&DTG: Funds held to support the activities of Birmingham and District Tinnitus Group. BCA: Funds to support the activities of Birmingham Community Advocacy. Capital appeal: Funds donated to support the construction of the Deaf Cultural Centre.

37

continued Notes to the financial statements

18. Unrestricted funds (group and company)

Group
Designated
Business development fund
Building development fund
Total designated funds
General funds
Pension fund
Total unrestricted funds
Company
Designated
Business development fund
Building development fund
Total designated funds
General funds
Pension fund
Total unrestricted funds		 1 April 2020
£
105,854
2,828,678
2,934,532
2,480,235
(992,000)
4,422,767
1 April 2020
£
105,854
2,828,678
2,934,532
2,762,037
(992,000)
4,422,569		 Incoming
£
–
–
–
4,546,643
–
4,546,643
Incoming
£
–
–
–
4,544,036
–
4,544,036		 Outgoing
£
61,665
(76,440)
(14,775)
(4,401,873)
(116,000)
(4,300,648)
Outgoing
£
61,665
(76,440)
(14,775)
(4,670,067)
(116,000)
(4,286,843)		 Losses/Transfers
£
100,000
–
100,000
(100,000)
107,000
107,000
Losses/Transfers
£
100,000
–
100,000
(100,000)
107,000
107,000		 31 March 2021
£
267,519
2,752,238
3,019,757
2,525,005
(769,000)
4,775,761
31 March 2021
£
167,519
2,752,238
2,919,757
2,536,006
(769,000)
4,786,762

Purposes of designated funds

Business development fund:

To both support the organisation in its recovery from the COVID pandemic, and to facilitate future organisational development initiatives

Building development fund: This fund was created to support the construction of the Deaf Cultural Centre. The balance will reduce in line with depreciation of the building.

2020 (Prior year)

Group
Designated
Business development fund
Building development fund
Total designated funds
General funds
Pension fund
Total unrestricted funds
Company
Designated
Business development fund
Building development fund
Total designated funds
General funds
Pension fund
Total unrestricted funds		 1 April 2019
£
131,395
2,905,118
3,036,513
2,416,883
(1,153,000)
4,300,396
1 April 2019
£
131,395
2,905,118
3,036,513
2,416,684
(1,153,000)
4,300,197		 Incoming
£
–
–
–
4,817,523
–
4,817,523
Incoming
£
–
–
–
4,656,894
–
4,656,894		 Outgoing
£
(25,541)
(76,440)
(101,981)
(4,472,171)
(141,000)
(4,715,152)
Outgoing
£
(25,541)
(76,440)
(101,981)
(4,311,541)
(141,000)
(4,554,522)		 Losses/Transfers
£
–
–
–
–
20,000
20,000
Losses/Transfers
£
–
–
–
–
20,000
20,000		 31 March 2020
£
105,854
2,828,678
2,934,532
2,480,235
(992,000)
4,422,767
31 March 2020
£
105,854
2,828,678
2,934,532
2,762,037
(992,000)
4,422,569

38

19. Operating lease commitments (group and company)

At the year end the charitable company has guaranteed minimum lease payments under non-cancellable operating leases as follows:

Within 1 year
Within 1-2 years
Within 2-5 years
Total		 Buildings
2021
2020
£
£
76,969
174
–
22,795
–
129,670
76,969
152,639		 Equipment Equipment
2021
£
76,969
–
–
76,969		 2021
£
3,112
–
–
3,112
2020
£
–
6,562
–
6,562

In addition to the above the charitable company holds a 125 year lease expiring in 2131 from Birmingham City Council on which a peppercorn rent is payable.

20. Analysis of group net assets between funds

Tangible fxed assets
Net current assets
Loans > 1 year
Pension reserve
Total net assets		 Unrestricted
£
1,249,260
1,275,743
–
(769,000)
1,756,003		 Designated
£
2,752,238
267,519
–
–
3,019,757		 Restricted
£
–
507,758
–
–
507,758		 Total
£
4,001,498
2,051,020
–
(769,000)
5,283,518
2020 (Prior year)
Tangible fxed assets
Net current assets
Loans > 1 year
Pension reserve
Total net assets		 Unrestricted
£
1,243,246
1,236,989
–
(992,000)
1,488,235		 Designated
£
2,828,678
105,854
–
–
2,934,532		 Restricted
£
–
349,004
–
–
349,004		 Total
£
4,071,924
1,691,847
–
(992,000)
4,771,771

The net current assets within designated funds and restricted funds are represented by cash at bank.

39

continued Notes to the financial statements

21. Financial activities of the charitable company

The financial activities shown in the consolidated statement of financial activities includes those of the company’s wholly owned subsidiaries.

A summary of the financial activities undertaken by the parent charitable company is set out below:

Gross income
Total expenditure
Net income for the year
Actuarial (losses)/gains on defned beneft pension schemes
Net income/expenditure
Total funds brought forward
Total funds carried forward
Represented by:
Unrestricted funds
Designated funds
Restricted funds		 2021
£
5,062,548
(4,646,598)
415,949
107,000
522,949
4,771,572
5,294,521
1,767,007
3,019,757
507,758
5,294,521		 2020
£
4,996,608
(4,844,478)
152,130
20,000
172,130
4,599,442
4,771,572
1,488,036
2,934,532
349,004
4,771,572

22. Tax status

As a charitable company, BID Services, is exempt from tax on income and gains falling within Section 478 of the Taxes Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. No tax charges have arisen within the charitable company. The trading subsidiary has no profits which are subject to taxation under the provisions of the Income and Corporation Taxes Act 2000.

23. Pensions

As at the year-end, pension contributions outstanding were £nil (2020: £nil).

a) Pension costs – West Midlands Local Government Pension Scheme

The West Midlands Local Government Pension Scheme is a funded defined benefit pension scheme, with the assets held in separate trustee-administered funds. The total contribution made for the year ended 31 March 2021 was £7,320 (2020: £33,687), of which employer’s contributions totalled £6,232 (2020: £32,599) and employees’ contributions totalled £1,088 (2020: £1,088). The agreed contribution rates for future years are 33.2 per cent for employers and 5.8 per cent for employees.

40

» Pensions continued

Principal actuarial assumptions
Rate of increase in salaries
Rate of increase for pensions in payment/infaton
Discount rate for scheme liabilites
Infaton assumpton (CPI)
Commutaton of pensions to lump sums
 At 31 March
2021
3.85%
2.85%
1.85%
2.85%
50.00%		 At 31 March
2020
2.95%
1.95%
2.30%
1.95%
50.00%

The post retirement mortality tables adopted are the S3PA heavy tables with a multiplier of 85% for males and 95% for females. These base tables are then projected using the CMI_2020 Model, allowing for a longterm rate of improvement of 1.5% p.a., smoothing parameter of 7.5, an initial addition parameter of 0.5% p.a. and a 2020 weighting of 25%.

The assumed life expectations from age 65 are:

Retiring today
Males
Females
Retiring in 20 years
Males
Females		 At 31 March
2021
21.6
23.9
23.4
25.8		 At 31 March
2020
21.9
24.1
23.8
26.0

The charity’s share of the assets in the scheme were:

Cash/liquidity
Other
Equites
Debt instruments
Property
Total market value of assets		 Fair value at
31 March 2021
£000
51
120
501
118
61
851		 Fair value at
31 March 2020
£000
27
109
421
117
66
740

The actual return on scheme assets was £141,000 (2020: (£32,000))

Amount recognised in the statement of financial activities

Current service cost (net of employee contributons)
Net interest cost
Beneft changes, gain/(loss) on curtailment
and gain/(loss) on setlement
Total operatng charge		 2021 £000
(8)
–
(1)
(9)		 2020 £000
(15)
(1)
–
(16)

41

continued Notes to the financial statements

» Pensions continued

Changes in the present value of defined benefit obligations were as follows:

At 1 April
Current service cost
Interest cost
Employee contributons
Actuarial (gain)/loss
Benefts paid
Past service costs, including curtailments
At 31 March		 2021 £000
772
8
17
1
93
(36)
–
855		 2020 £000
801
10
18
1
(28)
(35)
5
772

Changes in the fair value of charity’s share of scheme assets:

At 1 April
Interest income
Return on plan assets (excluding net interest
on the net defned pension liability)
Other actuarial gains/(losses)
Employer contributons
Employee contributons
Benefts paid
Plan introductons, beneft changes, curtailments and setlements
At 31 March		 2021 £000
740
17
124
–
6
1
(36)
1
851		 2020 £000
766
17
(49)
5
35
1
(35)
–
740

Sensitivity analysis

Adjustment to discount rate
Present value of total obligaton
Projected service cost
Adjustment to long term salary increase
Present value of total obligaton
Projected service cost
Adjustment to pension increases and deferred revaluation
Present value of total obligaton
Projected service cost
Adjustment to life expectancy assumptions
Present value of total obligaton
Projected service cost		 £000s
+0.1%
846
10
+0.1%
856
10
+0.1%
864
10
+ 1 year
908
11		 £000s
0.0%
855
10
0.0%
855
10
0.0%
855
10
None
855
10		 £000s
-0.1%
865
10
-0.1%
854
10
-0.1%
846
10
- 1 year
806
10

42

» Pensions continued

b) Pension costs – Pensions Trust (CARE Scheme)

The company participates in the scheme, a multi-employer scheme which provides benefits to some 37 non-associated employers. The scheme is a defined benefit scheme in the UK.

It is not possible for the company to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. Therefore it accounts for the scheme as a defined contribution scheme.

The scheme is subject to the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, set out the framework for funding defined benefit occupational pension schemes in the UK.

The scheme is classified as a ‘last-man standing arrangement’. Therefore the company is potentially liable for other participating employers’ obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme.

A full actuarial valuation for the scheme was carried out at 30 September 2016. This valuation showed assets of £60.45m, liabilities of £85.30m and a deficit of £24.86m.

A full actuarial valuation for the scheme was carried out at 30 September 2019. This valuation showed assets of £79m, liabilities of £93.9m and a deficit of £14.9m. To eliminate this funding shortfall, the Trustee asked the participating employers to pay additional contributions to the scheme as follows:

Deficit contributions

From 1 April 2021 to 30 September 2027: £1,530,000 per annum

(payable monthly and increasing by 3.0% each year on 1st April)

The recovery plan contributions are allocated to each participating employer in line with their estimated share of the scheme liabilities.

Where the scheme is in deficit and where the company has agreed to a deficit funding arrangement the company recognises a liability for this obligation. The amount recognised is the net present value of the deficit reduction contributions payable under the agreement that relates to the deficit. The present value is calculated using the discount rate detailed in these disclosures. The unwinding of the discount rate is recognised as a finance cost.

Present value of provision

Present value of provision
Present value of provision Period Ending
31 March 2021
(£s)
481,242		 Period Ending
31 March 2020
(£s)
622,751		 Period Ending
31 March 2019
(£s)
708,693

43

continued Notes to the financial statements

» Pensions continued

Reconciliation of opening and closing provisions

Provision at start of period
Unwinding of the discount factor (interest expense)
Defcit contributon paid
Remeasurements – impact of any change in assumptons
Remeasurements – amendments to the contributon schedule
Provision at end of period		 Period Ending
31 March 2021
(£s)
622,751
15,150
(71,537)
23,969
(109,091)
481,242		 Period Ending
31 March 2020
(£s)
708,693
10,604
(69,453)
(27,093)
–
622,751

Income and expenditure impact

Income and expenditure impact
Interest expense
Remeasurements – impact of any change in assumptons
Remeasurements – amendments to the contributon schedule
Contributons paid in respect of future service
Costs recognised in income and expenditure account		 Period Ending
31 March 2021
(£s)
15,150
23,969
(109,091)
(23,264)
(93,236)		 Period Ending
31 March 2020
(£s)
10,604
(27,093)
–
(23,685)
(40,174)

Assumptions

Assumptons
Rate of discount 31 March 2021
% per annum
0.98		 31 March 2020
% per annum
2.58		 31 March 2019
% per annum
1.58

The discount rates shown above are the equivalent single discount rates which, when used to discount the future recovery plan contributions due, would give the same results as using a full AA corporate bond yield curve to discount the same recovery plan contributions.

c) Pension costs – Pensions Trust (Growth Plan)

The company participates in the scheme, a multi-employer scheme which provides benefits to some 950 non-associated participating employers. The scheme is a defined benefit scheme in the UK. It is not possible for the company to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. Therefore it accounts for the scheme as a defined contribution scheme.

The scheme is subject to the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, set out the framework for funding defined benefit occupational pension schemes in the UK.

44

» Pensions continued

Present value of provision Period Ending
31 March 2021
(£s)
284,450		 Period Ending
31 March 2020
(£s)
337,035		 Period Ending
31 March 2019
(£s)
408,853

The scheme is classified as a ‘last-man standing arrangement’. Therefore the company is potentially liable for other participating employers’ obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme.

The scheme’s previous valuation was carried out with an effective date of 30 September 2014. This valuation showed assets of £793.4m, liabilities of £969.9m and a deficit of £176.5m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme.

A full actuarial valuation for the scheme was carried out at 30 September 2017. This valuation showed assets of £794.9m, liabilities of £926.4m and a deficit of £131.5m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme as follows:

Deficit contributions

From 1 April 2016 to 30 September 2025: £12,945,440 per annum

(payable monthly and increasing by 3% each on 1st April

From 1 April 2016 to 30 September 2028: £54,560 per annum

(payable monthly and increasing by 3% each on 1st April)

Unless a concession has been agreed with the Trustee the term to 31 January 2025 applies.

The recovery plan contributions are allocated to each participating employer in line with their estimated share of the Series 1 and Series 2 scheme liabilities.

Where the scheme is in deficit and where the company has agreed to a deficit funding arrangement the company recognises a liability for this obligation. The amount recognised is the net present value of the deficit reduction contributions payable under the agreement that relates to the deficit. The present value is calculated using the discount rate detailed in these disclosures. The unwinding of the discount rate is recognised as a finance cost.

Reconciliation of opening and closing provisions

Provision at start of period
Unwinding of the discount factor (interest expense)
Defcit contributon paid
Remeasurements – impact of any change in assumptons
Remeasurements – amendments to the contributon schedule
Provision at end of period		 Period Ending
31 March 2021
(£s)
337,035
7,573
(69,886)
9,728
–
284,450		 Period Ending
31 March 2020
(£s)
408,853
5,173
(67,850)
(9,141)
–
337,035

45

continued Notes to the financial statements

» Pensions continued

Income and expenditure impact

Interest expense
Remeasurements – impact of any change in assumptons
Remeasurements – amendments to the contributon schedule
Contributons paid in respect of future service
Costs recognised in income and expenditure account		 Period Ending
31 March 2021
(£s)
7,573
9,728
–
(1,660)
15,641		 Period Ending
31 March 2020
(£s)
5,173
(9,141)
–
(1,835)
(5,803)

Assumptions

Assumptons
Rate of discount 31 March 2021
% per annum
0.66		 31 March 2020
% per annum
2.53		 31 March 2019
% per annum
1.39

The discount rates shown above are the equivalent single discount rates which, when used to discount the future recovery plan contributions due, would give the same results as using a full AA corporate bond yield curve to discount the same recovery plan contributions.

24. Related party transactions

In the year, Deaf Cultural Centre (Trading) Limited made sales of £6,641 (2020: £39,896) to the parent company and there was £439 (2020: £5,583) owed at the year-end. There were also recharges from the parent company to Deaf Cultural Centre (Trading) Limited of £157 (2020: £67,524), with £19 (2020: £254) owed at the year-end.

25. Third party supported accounts

Included in the Balance Sheet are cash balances of £167,589 (2020: £172,874) held in respect of third party supported accounts where BID Services have agreed to take on the payment of support monies under custodian arrangements, in a partnership with Penderels Trust, in relation to Lincolnshire service users. Lincolnshire C.C. pay the required support monies to Penderels Trust at varied time periods, who in turn transfer to BID Services who disburse the support monies to the service providers on behalf of the users, based on service assessment and arrangement. The receipts and payments regarding the TPSA funds are not shown as part of SOFA.

26. Ultimate controlling party

The members of BID Services are trustees and hence BID Services is controlled by the board of trustees.

46

47

BID Services

Deaf Cultural Centre, Tel 0121 246 6100 Ladywood Road, Textphone 0121 246 6101 Birmingham, B16 8SZ Fax 0121 246 6125 www.bid.org.uk Email info@bid.org.uk

BID Services registered in England Charity No. 1053184. A company limited by guarantee. Registered number 03124204

48