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← Bid Services

2022-03-31-accounts

REPORT AND FINANCIAL STATEMENTS Year ended 31 March 2022

Registered number: 03124204 Registered charity number: 1053184

Chair’s statement

In the economic and political chaos of the post Brexit and Covid landscape we, along with many other charities working in the Health and Social Care sector, continue to face challenges delivering services on a day-to-day basis: staff shortages, rising demand, and constrained, often diminishing budgets. With legislation enacted in 2022 we are quietly optimistic that there will be a greater recognition of health and care services in the longer term.

Whether sufficient funding to develop an appropriately rewarded, fully trained workforce along with its associated career structure can be made available, given resource allocation changes brought as a consequence of current economic factors, remains to be seen. What is clear, however, is that only this approach can provide the necessary support and capacity for the NHS to be a fully preventative national health provision.

The new government vision for adult social care puts people and families at its heart, an aspiration that is absolutely consistent with BID Services’ mission and strategic priorities. We endeavour to work in partnership with children, young people and adults with sensory loss, disabilities and long-term health conditions, to enable them to live fulfilled, healthy and independent lives.

We are now coming to the end of our current strategic plan and have continued to achieve excellent results in critical areas of service delivery, adapting services to meet the changing requirements. In preparation for our new strategic plan, a group of trustees and staff undertook a formal review of risk to which the organisation is now exposed. This substantially contributes to establishing and addressing, external and internal factors that influence and impact our work. As with any plan, we will seek to align short-term actions to help reduce pressure now with longer-term measures that lead to sustainability. We have also reviewed and updated our Articles of Association, and these are currently awaiting Charity Commission approval.

Our focus continues to be improving health, wellbeing and independence and reducing inequalities. The introduction of the BSL Act 2022 creates frameworks for the use of British Sign Language in public services

including health and social care. This will only further underpin the support we can deliver.

The year brought about new opportunities including our independent lives braille group helping visually impaired clients communicate; BID Interpreting translating for NHS medical staff and d/Deaf Birmingham and Solihull hospital patients; and the new ‘Health Champions’ project funded by NHS Charities Together Trust, helping make community health services more accessible for d/Deaf and visually impaired people across Leeds and Kirklees.

We are also pleased to be once again working with Lincolnshire County Council to provide an integrated, preventative and reablement service for both adults and children across Lincolnshire, living with a sensory impairment and associated disabilities.

This year we have made substantial progress in our people strategy through the introduction of a range of initiatives to support the wellbeing of our staff and volunteers. Our Thrive survey found 78% of staff surveyed feel that BID takes positive action on health and wellbeing. Volunteer numbers are on the increase, adding significantly to BID’s resources by helping provide vital support, particularly to our social and community groups addressing loneliness and isolation issues post pandemic.

With the impact of the changes in the external labour market, we have also adapted our recruitment processes to be more agile and utilise online networks to help secure the specialists needed to support our sensory impaired clients. Professional development and providing positive work opportunities such as Kickstart trainees and apprenticeships are also key to us having a sustainable workforce.

Equality and diversity across the organisation, specifically related to communications inclusion has been a priority. Here we are investing in technology to support a more accessible workplace, with the implementation of MS Teams, Voice to Teams system across the organisation along with the integration of BSL translations for key organisation-wide messaging. New and updated systems such as email automation and online CRM/web platforms will further help

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support enhanced information accessibility and our client/service team relationships.

We are pleased to welcome new Trustees to our Board enhancing the diversity and skill set available to direct the organisation and oversee its effective governance. Matt Collingwood, entrepreneurial businessman, joined us in 2021. Having been born with unilateral hearing loss, Matt is passionate about supporting others who are living with sensory loss. Sam Humphray, Head of Finance at Age UK Birmingham/Sandwell, joined us in early 2022, bringing a wealth of financial and analytical knowledge gained within charitable and commercial environments. The newest member of our Board is Sophie Walmsley. She has a Master’s degree in law and is currently a trainee solicitor. She has personal experience of working with people with disabilities through support of a close relative. Each brings their own experiences and expertise to the Board, improving the Board’s ability to support the executive in the development of the organisation.

We keep focused on our values to deliver quality, professional services, supporting our community of service users and reaping the benefits from creative innovation, particularly through technology tools. Our sound financial base and risk aware planning should allow us to continue to build for the future in support of people living with sensory loss, disabilities and long-term health conditions across England.

The last couple of years have presented BID with challenges of levels never experienced in its 120 years or so of existence. It is difficult to adequately express how thankful we are to the dedication of our staff and volunteers in helping to navigate those challenges. Perhaps concluding this statement with a big thank you is a good start. Without these dedicated individuals we would not be able to fulfil our mission and make a positive difference to the lives of those we support.

Contents

Chair’s statement .............................. 2 Directors’ report ................................ 4 ............. 6 Organisational objectives ............. 8 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 ...................... 23 financial statements

Michael Price Chair

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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:

Alison BEACHIM Matthew COLLINGWOOD (appointed 25 November 2021) Gail CONWAY Leonard GREGORY (resigned 25 November 2021) Sam HUMPHRAY (appointed 31 March 2022) Sandeep KAUR Michael PRICE (Chair) Sophie WALMSLEY (appointed 9 June 2022) Natalia FLEMMING (resigned 3 December 2021) Halo GARRITY (resigned 25 November 2021) Jonathan SHAPIRO (Chair) (resigned 25 November 2021)

The Directors retiring by rotation were M Price, L Gregory and S Kaur. M Price and S Kaur agreed to stand for re-election and were reappointed to the Board. The position of Treasurer has been vacant since November 2021.

Independent Auditors

The charitable company maintains management indemnity insurance for its directors and officers at an annual premium of £4,218 (2021: £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 Chief Executive Heather Davis Head of Human Resources & Organisation Development Tony Morroll Head of Finance & I.T. Ian Laing Head of Operations

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

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ABOUT US

BID Services is a charity supporting children, young people and adults, along with their families and carers, who are d/Deaf, hard of hearing, visually impaired or have dual sensory loss.

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 team of dedicated sensory specialists assist and empower people with hearing and sight loss by the provision of services such as equipment access and training; employment support; rehabilitation; social work; housing and benefits advice support; British Sign Language interpreting and training; eye and hearing care; befriending support, residential placements; support for tinnitus; and advocacy services.

The Signing Tree Venue, our social enterprise, is an accessible high-quality conference, meeting and event space, located within the award-winning Deaf Cultural Centre, the building where BID’s main offices are also based. The Signing Tree Venue also supports a range of community, arts and leisure activities for people living with sensory loss.

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, which were revised 18 March 2022 and are with the Charity Commission for review. The liability of the members, as set out in the Memorandum of Association, is limited to £1 per member.

TRUSTEE AND DIRECTOR INDUCTION AND TRAINING

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

ORGANISATIONAL STRUCTURE

The Board meets a minimum of 5 times a year and additional meetings are held as required. Day-to-day management of the organisation is delegated to the Chief Executive and her team. Limits to authority are detailed through policies, procedures and a scheme of delegation. The charity’s main operating base is at the Deaf Cultural Centre in central Birmingham.

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ORGANISATIONAL OBJECTIVES

Our strategy and vision are wholly focused on improving the lives of children, young people and adults living with sensory loss. We aim to support our service users to achieve the best possible outcomes in life, enabling people to live healthy, fulfilling, independent lives because of our development and delivery of a range of innovative services and products.

We set out five key priorities in our 3-year strategic plan (2019-2022), aligned around the needs of those we support. In this final year of our current plan, we reflect on our progress and achievements as we look to re-target towards 2025.

• A strong organisation, fit for today and prepared for tomorrow

Maintaining a strong and stable future for the charity, to ensure the continued provision of sensory support services that are highly valued remains central to everything our organisation does.

• Improve employment opportunities for service users

Removing obstacles people face in accessing employment, education and training underpins our objective for people to live independently.

• Increase service user access to information and services

Through developing communications solutions that reduce the barriers people face in accessing information and services, we support people to find what they need to help make more informed life choices.

• Support people to live healthy, independent lives

Working in partnership with people to identify and address needs and gaps in service provision, we facilitate a wide range of activities that help people manage their health, improve their physical and emotional wellbeing, maximise independence and become connected to their local community.

• Be an exceptional place to work and volunteer

By investing in training, learning and development and promoting initiatives that support a positive work/life balance, we strive to recruit and retain the best employees and volunteers to help deliver our sensory support services.

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Highlights of achievements and performance

5,778 people accessed

We supported 310 Deafb lind, 1,349 visually impaired and 3,296 Deaf/ hard of hearing clients.

Our 112 volunteers donated 9,408 hours of support.

We undertook

1,810 assessments

111 Deafb lind, 771 visual impairment and 928 Deaf/ hard of hearing. 210

Number of young people and their families engaged in our youth, holiday clubs and family support services.

to support Deaf/hard of hearing people, including pati ents in NHS hospitals 304 people

260 received 1:1 skills coaching, 47 secured a job and 42 people went into educati on or training, delivering 46 Job Clubs .

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It j(rf'r?/ IATIYE Ess

A strong organisation, fit for today and prepared for tomorrow

Delivering on our strategic plan in the post-COVID environment, we are maintaining a strong and resilient infrastructure that enables continued support of our service users.

F O R W A R D A I M S

To embed infrastructure changes and drive forward our new strategic plan enabling successful delivery of services across a greater geographic area, that support people living with sensory loss, disabilities, and associated health conditions.

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Achievements and performance

Improve employment opportunities for service users

We continue to remove the multiple barriers people with a sensory loss face in their journey to find meaningful employment, increasing the use of assistive technology, access to communications support, skills training, supporting people across a wider geographic range.

F O R W A R D A I M S

To continue to develop employment, education and training services across England through localised funding sources and utilisation of relevant technology to support people living with sensory loss to access work.

Increase service user access to information and services

As highlighted during the pandemic, people living with sensory loss want to receive high quality information in a way that is accessible to them. We continue to work to promote a greater understanding of the communication needs of people who are d/Deaf, hard of hearing, visually impaired or have dual sensory loss, particularly in areas related to health, ensuring more people can access the information they need.

F O R W A R D A I M S

To continue to raise awareness of the need to improve access to information for those living with sensory loss and to support and develop innovative, accessible communications solutions to meet people’s needs.

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Achievements and performance

Support people to live healthy, independent lives

We are committed to involving people in the design and delivery of the services they need to live fulfilled, independent lives. We believe adults, children and young people should have access to a range of health and wellbeing activities and support in their local communities.

F O R W A R D A I M S

To continue to facilitate through innovative fundraising a broad range of people-centric community based, health and wellbeing activities that promote a healthy lifestyle and support independent living.

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Be an exceptional place to work and volunteer

We want BID to be a place where employees and volunteers feel valued and supported, where there are opportunities for people to grow professionally and enjoy excellent work/life balance.

F O R W A R D A I M S

To continue to invest in staff development, recruitment and retention activities, leadership skills, technology enhancements and wellbeing initiatives as well as finding ways to support and recognise our amazing team of staff and volunteers to ensure they feel valued.

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Achievements and performance

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 ongoing effect of the pandemic on the charity in the context of the information available to them. They do not believe it affects the charity’s ability to continue to operate and that operational management issues (such as remote working and delivery of services, effective safeguarding, risk assessment and appropriate use of PPE) are established and better understood, and will allow the charity to respond to any future COVID related challenges.

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 the trustees continue to respond to the economic uncertainty by increasing 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 £526,458 compared to £511,749 last year. After transfers between funds, the general unrestricted fund increased to £2,218,379.

Notes to the accounts show clearly the adjustments required under FRS 102 in the recognition of pension deficit recovery liabilities. Pension scheme deficits remain of considerable concern but the trustees are keen to maintain a sensible balance between 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 satisfactory foundation to respond to both the uncertain economic post-pandemic landscape and other challenges and opportunities. The focus of future planning is principally about business development alongside longterm 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 changing economic conditions, along with forecast demands on resources, the trustees have decided to continue their policy of keeping reserves in cash or near cash. 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 £1,405,719 at 31 March 2022.

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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 26 January 2023

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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 2022 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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Independent auditors’ report

Matters on which we are required to report by exception

In the light of the 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 any material misstatements in the strategic report and the Directors’ 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

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 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 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.

Glen Bott (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 2023

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BID Services

Consolidated statement of financial activities

(Incorporating the Income and Expenditure Account)

YEAR ENDED 31 MARCH 2022

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
£
502,571
–
–
–
502,571
–
–
334,548
–
–
334,548
168,023
–
168,023
–
168,023
507,758
675,781		 2022
Total
£
505,700
4,554,426
66,485
185
5,126,796
70,828
37,619
4,699,977
27,914
6,000
4,842,338
284,458
–
284,458
242,000
526,458
5,283,519
5,809,977		 2021
Total
£ £ £
3,129 – 459,626
4,554,426 – 4,602,035
66,485 – 2,764
185 – 729
4,624,225 – 5,065,154
70,828 – 20,448
37,619 – 42,871
4,261,489 103,940 4,544,244
27,914 – 29,843
6,000 – 23,000
4,403,850 103,940 4,660,406
220,375 (103,940) 404,749
– – –
220,375 (103,940) 404,749
242,000 – 107,000
462,375 (103,940) 511,749
1,756,004 3,019,757 4,771,771
2,218,379 2,915,817 5,283,520

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 23 to 45 form part of these financial statements.

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BID Services

Company number 03124204 Group and company balance sheets

YEAR ENDED 31 MARCH 2022

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
2022
2021
£
£
3,883,458
4,001,498
–
–
3,883,458
4,001,498
12,197
5,413
1,032,825
616,317
2,074,585
2,075,200
3,119,607
2,696,930
(798,088)
(645,910)
2,321,519
2,051,020
6,204,977
6,052,518
–
–
6,204,977
6,052,518
(395,000)
(769,000)
5,809,977
5,283,518		 Company Company
2022
£
3,883,458
–
3,883,458
12,197
1,032,825
2,074,585
3,119,607
(798,088)
2,321,519
6,204,977
–
6,204,977
(395,000)
5,809,977		 2022
£
3,835,395
10,000
3,845,395
9,997
1,146,305
1,987,299
3,143,601
(784,218)
2,359,383
6,204,779
–
6,204,778
(395,000)
5,809,779
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

The funds of the charity:

RESTRICTED FUNDS
Unrestricted funds
General funds – general
– pension fund
Designated funds
TOTAL FUNDS		 17
18
18
18		 675,781
2,613,379
(395,000)
2,915,817
5,809,977		 507,758
2,525,003
(769,000)
3,019,757
5,283,518		 675,781
2,613,181
(395,000)
2,915,817
5,809,779		 507,758
2,536,006
(769,000)
3,019,757
5,294,521

Approved by the Board of Directors on 26 January 2023. Signed on its behalf by:

Michael Price, Director

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BID Services

Consolidated cash flow statement

YEAR ENDED 31 MARCH 2022

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 / (decrease) in creditors
Net cash infow from operatng actvites
Reconciliation of net income to net cash fow from
operating activities
Net income
Depreciaton charges and losses on disposal
Net interest
Decrease in stocks		 (a)
10
(b)
13
14
Note
10
3
12		 31,551
185
(32,351)
(615)
6,000
(380,000)
(416,508)
152,178
31,551
2022
£
526,458
150,392
(185)
(6,784)		 2021
£
511,749
152,822
(729)
1,452
23,000
(246,000)
169,289
(54,631)
556,952
556,952
729
(82,397)
475,284

22

BID Services

Notes to the consolidated cash flow statement

YEAR ENDED 31 MARCH 2022

(a)
(b)
(c)		 Returns on investment and servicing of fnance
Interest received
Decrease in cash
Balance at beginning of year
Net cash infow
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 2021
Net funds at 31 March 2022		 Note
(c)		 2022
£
185
2022
£
2,075,200
(615)
2,074,585		 2021
£
729
2021
£
1,599,916
475,284
2,075,200
£
(615)
2,075,200
2,074,585
(d) Analysis of changes in net funds
Cash at bank		 At April 1
2021
£
2,075,200		 Cash
fows
£
(615)		 At 31 March
2022
£
2,074,585

23

BID Services

Notes to the financial statements

YEAR ENDED 31 MARCH 2022

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 5 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.

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.

24

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.

25

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.

26

l) 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..

m) 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.

n) 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.

o) Going concern

At the time of signing the accounts, the Trustees have considered the going concern position (including any residual impact from the Coronavirus pandemic) and judge 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.

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.

27

continued Notes to the financial statements

2. Voluntary income

Grants, donations and other income
Legacies
Donatons
Grants
Employment projects (incl. Lotery)
Sport England / Children in Need
Other grants and donatons from Trusts		 2022
£
626
22,607
187,426
92,815
202,226
505,700		 2021
£
556
23,522
245,629
114,420
75,500
459,627

Income from grants, donations and other sources was £505,700 (2021: £459,627) of which £3,129 (2021: £2,780) was attributable to unrestricted funds, £nil (2021: £nil) was attributable to designated funds and £502,571 (2021: £456,847) was attributable to restricted funds.

3. Investment income

Interest earned 2022
£
185		 2021
£
729

Investment income was £185 (2021: £729) of which £185 (2021: £729) was attributable to unrestricted funds and £nil (2021: £nil) was attributable to restricted funds.

4. Incoming resources from charitable activities

Statutory bodies – contract service income
Trading and other actvites		 2022
£
3,653,480
900,946
4,554,426		 2021
£
3,773,107
828,928
4,602,035

Incoming resources from charitable activities was £4,554,426 (2021: £4,602,035) of which £4,554,426 (2021: £4,602,035) was attributable to unrestricted funds and £nil (2021: £nil) was attributable to restricted funds.

28

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 £18,339 (2021: £6,641) to the parent company and recharges of £2,796 (2021: £157).

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		 2022
£
84,825
(10,641)
74,184
(62,983)
–
11,201
–
11,201
48,062
(37,864)
10,198
10,198		 2021
£
9,404
(335)
9,069
(40,540)
20,270
(11,201)
–
(11,201)
54,031
(55,034)
(1,003)
(1,003)

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
£
–
–
–
–
6,000
6,000		 Direct
Costs
£
3,443,128
629,371
51,368
97,759
27,914
4,249,540		 Support
Costs
£
526,298
35,562
14,249
10,688
–
586,797		 2022
Total
£
3,969,426
664,933
65,617
108,447
33,914
4,842,337		 2021
Total
£
3,966,151
519,006
59,088
63,319
52,843
4,660,406

Total resources expended was £4,842,337 (2021: £4,660,406) of which £4,403,849 (2021: £4,347,538) was attributable to unrestricted funds, £103,940 (2021: £14,775) was attributable to designated funds and £334,548 (2021: £298,093) was attributable to restricted funds.

29

continued Notes to the financial statements

7. Support costs by activity

Facilites
Human resources and administraton
Finance
Informaton Technology		 Community
Services
£
178,455
151,405
105,250
91,188
526,298		 Residential
Services
£
613
15,212
10,575
9,162
35,562		 Public
education
development
and research
£
4,929
4,057
2,820
2,443
14,249		 Activities
for
generating
funds
£
3,697
3,043
2,115
1,833
10,688		 2022
Total
£
187,694
173,717
120,760
104,626
586,797		 2021
Total
£
188,220
161,227
146,311
68,698
564,456

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		 2022
£
26,400
150,392
3,450		 2021
£
19,050
146,854
3,450

30

9. Trustee and staff costs

Staff costs during the period were:

Staf costs during the period were:
Wages and salaries
Social security costs
Pension costs		 2022
£
2,629,171
216,956
87,853
2,933,980		 2021
£
2,605,461
211,189
89,026
2,905,677

Staff restructuring costs compromise:

Redundancy costs – 30,423

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

Community services
Public educaton, development and research
Actvites for generatng funds
Governance
Support		 2022 Number
75
10
4
1
8
98		 2021 Number
81
10
1
1
8
101

The number of employees whose employee benefits (excl. employer pension costs) exceeded £60,000 was:

£60,001-£70,000
£70,001-£80,000
£70,001-£80,000
£70,001-£80,000		 2022 Number
0
0
0
1		 2021 Number
0
1
0
0

The key management personnel of the charity comprise the trustees and the senior management team as listed on page 5. The total amount of employee benefits (incl. employer pension contributions) received for their services to the charity was £271,759, being 4.0 FTE (2021: £257,013, 4.1 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 £nil in the year (2021: £2,590) 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 (2021: £nil). Charitable funds were used to purchase indemnity insurance for the trustees at a cost of £4,218 (2021: £4,536).

31

continued Notes to the financial statements

10. Tangible fixed assets

Group

Total cost
At 1 April 2021
Additons
Disposals
At 31 March 2022
Net book values
At 31 March 2022
At 31 March 2021
Depreciation
At 1 April 2021
Charge for year
Eliminaton on disposal
At 31 March 2021		 Long
leasehold
property
£
4,536,846
–
–
4,536,846
3,175,763
3,266,500
1,270,346
90,737
–
1,361,083		 Freehold land
and buildings
£
881,410
–
–
881,410
616,988
634,616
246,794
17,628
–
264,422		 Motor
vehicles
£
19,500
–
–
19,500
–
–
19,500
–
–
19,500		 Plant
machinery
fxtures &
fttings
£
936,506
32,351
(734,663)
234,194
90,707
100,382
836,124
42,027
(734,663)
143,488		 Total
£
6,374,262
32,351
(734,663)
5,671,950
2,372,763
150,392
(734,663)
1,788,492
3,883,458
4,001,498

Company

Total cost
At 1 April 2021
Additons
Disposals
At 31 March 2022
Net book values
At 31 March 2022
At 31 March 2021
Depreciation
At 1 April 2021
Charge for year
Eliminaton on disposal
At 31 March 2022		 Long
leasehold
property
£
4,536,846
–
–
4,536,846
3,175,763
3,266,500
1,270,346
90,737
–
1,361,083		 Freehold land
and buildings
£
881,410
–
–
881,410
616,988
634,616
246,794
17,628
–
264,422		 Motor
vehicles
£
19,500
–
–
19,500
–
–
19,500
–
–
19,500		 Plant
machinery
fxtures &
fttings
£
876,507
32,351
(734,663)
174,195
42,644
46,352
830,155
36,059
(734,663)
131,551		 Total
£
6,314,263
32,351
(734,663)
5,611,951
2,366,795
144,424
(734,663)
1,776,556
3,835,395
3,947,468

32

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
2022
2021
£
£
12,197
5,413		 Company
2022
£
12,197		 2022
£
9,997
2021
£
5,413

13. Debtors: amounts falling due within one year

Fees receivable
Other debtors and accrued income
Prepayments
Amounts due from group company		 Group
2022
2021
£
£
464,088
296,467
409,906
246,541
158,831
73,309
–
–
1,032,825
616,317		 Company Company
2022
£
464,088
409,906
158,831
–
1,032,825		 2022
£
451,600
409,906
158,831
125,968
1,146,305
2021
£
296,111
246,541
73,309
115,150
731,111

14. Creditors: amounts falling due within one year

Trade creditors
Taxaton and social security
Loans
Other creditors
Accruals
Deferred income		 Group
2022
2021
£
£
116,913
210,529
61,083
41,345
–
–
404,312
237,891
113,275
109,770
102,504
46,375
798,088
645,910		 Company Company
2022
£
116,913
61,083
–
404,312
113,275
102,504
798,088		 2022
£
113,581
58,377
–
404,312
105,444
102,504
784,218
2021
£
208,491
40,953
–
237,891
104,836
46,375
638,546

33

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
2022
2021
£
£
46,375
57,532
184,903
112,335
(128,774)
(123,492)
46,375
46,375		 Company Company
2022
£
46,375
184,903
(128,774)
46,375
2022 2021
£ £
46,375 57,532
184,903 112,335
(128,774) (123,492)
102,504 46,375

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
2022
2021
£
£
–
–
2022
2021
£
£
–
–
–
–
–
–
–
–		 Company Company
2022
£
–
2022
£
–
–
–
–		 2022
£
–
2022
£
–
–
–
–
2021
£
–
2021
£
–
–
–
–

16. Pension scheme liability – group and company

At 1 April 2021
Movement for the year
At 31 March 2022		 £
769,000
(374,000)
395,000

34

17. Restricted funds

Group and company

Restricted funds
Arts
Community
Employment
Residental
Sports
Other
B&DTG
Capital appeal
Company restricted funds
Total Group restricted funds		 1 April 2021
£
7,100
169,774
147,695
31,755
61,975
1,000
19,199
69,260
507,758
507,758		 Incoming
£
–
215,795
187,426
50
92,815
6,486
–
–
456,847
456,847		 Outgoing
£
–
(33,195)
(207,537)
–
(90,476)
–
(1,420)
(1,920)
(334,548)
(334,548)		 Transfers
£
–
–
–
–
–
–
–
–
–
–		 31 March 2022
£
7,100
352,374
127,583
31,805
64,314
7,486
17,779
67,340
675,781
675,781

2021 (Prior year)

Restricted funds
Arts
Community
Employment
Residental
Sports
Other
B&DTG
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

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. Capital appeal: Funds donated to support the construction of the Deaf Cultural Centre.

35

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 2021
£
267,519
2,752,238
3,019,757
2,525,005
769,000)
4,775,762
1 April 2021
£
267,519
2,752,238
3,019,757
2,536,006
(769,000)
4,786,763		 Incoming
£
–
–
–
4,624,225
–
4,624,225
Incoming
£
–
–
–
4,560,536
–
4,560,536		 Outgoing
£
(27,500)
(76,440)
(103,940)
(4,535,851)
(132,000)
(4,507,791)
Outgoing
£
(27,500)
(76,440)
(76,440)
(4,483,361)
(132,000)
(4,455,301)		 Losses/Transfers
£
–
–
–
–
242,000
242,000
Losses/Transfers
£
–
–
–
–
242,000
242,000		 31 March 2022
£
240,019
2,675,798
2,915,817
2,613,379
(395,000)
5,134,196
31 March 2022
£
240,019
2,675,798
2,915,817
2,613,181
(395,000)
5,133,998

Purposes of designated funds

Business development fund:

Building development fund:

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

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

2021 (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 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
£
267,519
2,752,238
3,019,757
2,536,006
(769,000)
4,786,762

36

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
2022
2021
£
£
72,639
76,969
22,332
–
–
–
94,971
76,969		 Equipment Equipment
2022
£
72,639
22,332
–
94,971		 2022
£
1,153
–
–
1,153
2021
£
3,112
–
–
3,112

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
£
1,207,660
1,405,719
–
(395,000)
2,218,379		 Designated
£
2,675,798
240,019
–
–
2,915,817		 Restricted
£
–
675,781
–
–
675,781		 Total
£
3,883,458
2,321,519
–
(395,000)
5,809,977
2021 (Prior year)
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

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

37

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		 2022
£
5,063,107
(4,789,849)
273,258
242,000
515,258
5,294,521
5,809,779
2,218,181
2,915,817
675,781
5,809,779		 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

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 (2021: £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 2022 was £5,524 (2021: £7,320), of which employer’s contributions totalled £4,702 (2021: £6,232) and employees’ contributions totalled £822 (2021: £1,088). The agreed contribution rates for future years are 33.2 per cent for employers and 5.8 per cent for employees.

38

» Pensions continued

Principal actuarial assumptions
Rate of increase in salaries
Pension Increase Rate (CPI)
Discount rate for scheme liabilites
Infaton assumpton (CPI)
 At 31 March
2022
4.30%
3.30%
2.70%
2.85%		 At 31 March
2021
3.85%
2.85%
1.85%
2.85%

Life expectancy is based on the S3PA heavy tables (with a multiplier of 85% for males and 95% for females), with improvements in line with the CMI 2021 model, with a 0% weighting of 2021 (and 2020) data, standard smoothing (Sk7), initial adjustment of 0.25% and a long term rate of improvement of 1.5% p.a. for both males and females.

The assumed life expectations from age 65 are:

Retiring today
Males
Females
Retiring in 20 years
Males
Females		 At 31 March
2022
21.2
23.6
22.9
25.4		 At 31 March
2021
21.6
23.9
23.4
25.8

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

Equites
Bonds
Property
Cash
Total market value of assets		 Fair value at
31 March 2022
£000
587
193
61
35
876		 Fair value at
31 March 2021
£000
562
179
59
51
851

The actual return on scheme assets was £72,000 (2021: £141,000)

Amount recognised in the statement of financial activities

Current service cost (net of employee contributons)
Net interest cost
Administraton expenses, gain/(loss) on curtailment
and gain/(loss) on setlement
Total operatng charge		 2022 £000
(8)
–
(1)
(9)		 2021 £000
(8)
–
(1)
(9)

39

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		 2022 £000
855
8
15
1
(32)
(49)
–
798		 2021 £000
772
8
17
1
93
(36)
–
855

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		 2022 £000
851
15
53
–
5
1
(49)
–
876		 2021 £000
740
17
124
–
6
1
(36)
1
851

Sensitivity analysis

The sensitivities regarding the principal assumptions used to measure the scheme obligations are set out below:

Change in assumptions at 31 March 2022:
0.1% decrease in Real Discount Rate
1 year increase in member life expectancy
0.1% increase in the Salary Increase Rate
0.1% increase in the Pension Increase Rate (CPI)		 Approx. % increase to
Defned Beneft
Obligation
1%
4%
0%
1%		 Approximate monetary
amount (£000)
7
32
–
7

40

» 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 2022
(£s)
398,072		 Period Ending
31 March 2021
(£s)
481,242		 Period Ending
31 March 2020
(£s)
622,751

41

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 2022
(£s)
481,242
4,343
(70,336)
(17,177)
–
398,072		 Period Ending
31 March 2021
(£s)
622,751
15,150
(71,537)
23,969
(109,091)
481,242

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 2022
(£s)
4,343
(17,177)
–
(19,885)
(32,719)		 Period Ending
31 March 2021
(£s)
15,150
23,969
(109,091)
(23,264)
(93,236)

Assumptions

Assumptons
Rate of discount 31 March 2022
% per annum
2.55		 31 March 2021
% per annum
0.98		 31 March 2020
% per annum
2.58

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 638 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.

42

» Pensions continued

sions contnued
Present value of provision Period Ending
31 March 2022
(£s)
74,640		 Period Ending
31 March 2021
(£s)
284,450		 Period Ending
31 March 2020
(£s)
337,035

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 2020. This valuation showed assets of £800.3m, liabilities of £831.9m and a deficit of £31.6m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme as follows:

Deficit contributions

From 1 April 2022 to 31 January 2025: £3,312,000 per annum

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

Note that the scheme’s previous valuation was carried out with an effective date of 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 asked the participating employers to pay additional contributions to the scheme as follows.

Deficit contributions

From 1 April 2019 to 30 September 2025: £11,243,000 per annum (payable monthly and increasing by 3% each on 1st April)

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 2022
(£s)
284,450
1,640
(71,982)
(1,716)
(137,752)
74,640		 Period Ending
31 March 2021
(£s)
337,035
7,573
(69,886)
9,728
–
284,450

43

continued Notes to the financial statements

» Pensions continued

Income and expenditure impact

Period Ending
31 March 2022
(£s)		 Period Ending
31 March 2021
(£s)
Interest expense 1,640 7,573
Remeasurements – impact of any change in assumptions (1,716) 9,728
Remeasurements – amendments to the contribution schedule (137,752) –
Contributions paid in respect of future service (1,761) (1,660)
Costs recognised in income and expenditure account (139,589) 15,641

Assumptions

Assumptions
31 March 2022
% per annum		 31 March 2021
% per annum		 31 March 2020
% per annum
Rate of discount 2.35 0.66 2.53

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 £18,339 (2021: £6,641) to the parent company and there was £3,248 (2021: £439) owed at the year-end. There were also recharges from the parent company to Deaf Cultural Centre (Trading) Limited of £2,796 (2021: £157), with £585 (2021: £19) owed at the year-end.

The inter-group debtor balance, owed by Deaf Cultural Centre (Trading) Limited, at the year-end was £125,968 (2021: £115,150).

25. Third party supported accounts

Included in the Balance Sheet are cash balances of £329,578 (2021: £167,589) 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.

44

-)• 45

BID Services

Deaf Cultural Centre, Ladywood Road, Birmingham, B16 8SZ www.bid.org.uk

Tel 0121 246 6100 Textphone 0121 246 6101 Fax 0121 246 6125 Email info@bid.org.uk

BID Services registered in England Charity No. 1053184.

A company limited by guarantee. Registered number 03124204

46