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2021-10-31-accounts

Charity Registration Number: 1057222

Company Registration Noumber: 03158023 03158023 (England and Wales)

THE COBNOR ACTIVITIES CENTRE TRUST

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 OCTOBER 2021

THE COBNOR ACTIVITIES CENTRE TRUST

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Mr M Wright
Ms K Chalmers (Appointed 1 October 2021)
Mr M Tomlinson
Mr M Camps
Mr P Evans
Ms L Rushall
Mr M Blackwell (Appointed 4 November 2020)
Mr R I Mackenzie (Appointed 4 November 2020)
Secretary Mr M Tomlinson
Charity number 1057222
Company number 03158023
Registered office Cobnor Activities Centre
Cobnor Point
Chidham
Chichester
West Sussex
England
PO18 8TE
Auditor James Todd & Co Limited
1 & 2 The Barn Oldwick
West Stoke Road
Lavant
Chichester
West Sussex
England
PO18 9AA

THE COBNOR ACTIVITIES CENTRE TRUST

CONTENTS

Page
Trustees report 1 - 5
Independent auditor's report 6 - 8
Statement of financial activities 9
Balance sheet 10 - 11
Notes to the financial statements 12 - 22

THE COBNOR ACTIVITIES CENTRE TRUST

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT AND STRATEGIC REPORT)

FOR THE YEAR ENDED 31 OCTOBER 2021

The Trustees who are also the directors of the Charity for the purposes of the Companies Act 2006, present their annual report and financial statements for the year ended 31 October 2021.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the Charity's governing document , the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) " (effective 1 January 2019 ).

Objectives and activities

The objects for which the Charity is established are to help and educate young people in West Sussex and neighbouring counties to reach their full potential through the provision of outdoor and residential experiences. The Charity may, at the Cobnor Activities Centre, Chidham or elsewhere, provide or assist in the provision of high quality educational, developmental and training programmes, including training in safety, environmental studies (e.g. sustainability) and in the use of the environment.

Mission

The Cobnor Activities Centre Trust exists to deliver outdoor, residential, and environmental activities which provide learning and educational development outcomes to support young people.

Vision

Our vision is that all young people have the opportunity to participate in safe developmental and enjoyable outdoor, residential and environmental activities; enabling and empowering a generation to shape their outlook on life.

The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the Charity should undertake.

Values

Strategic Objectives

THE COBNOR ACTIVITIES CENTRE TRUST

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT AND STRATEGIC REPORT) (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2021

Strategic Direction

The Trustees

There is a good spread of experience and appropriate skills represented by the current team of Trustees of the Charity. They are, however, interested to hear from anyone who feels they can commit to the role and bring additional skills and experience to complement the operational expertise of the permanent staff. The Charity is particularly keen to hear from those with experience of fund raising.

Volunteers and Staff

The Trustees wish to highlight the financially unquantified value provided by the increasing number of volunteers who support the activities of the Centre in diverse ways, helping repair equipment and boats, providing safety cover and general support. In July, the peak month, this amounted to over 150 hours of additional help. In total, 846 hours of volunteer help was provided between April 2021 and October 2021. We are very grateful for their contribution.

The Trustees wish in particular to highlight the role of Martin Tomlinson a fellow trustee who has been involved since 1983, nearly 40 years, supporting Cobnor, including in the role of Company Secretary, before his retirement at the end of the financial year.

The Trustees also express their thanks to the paid staff for their dedication and flexibility of the who have more than risen to the challenges raised by Covid and restarting activities this last season.

Strategic report

The description under the headings "Achievements and performance" and "Financial review" meet the company law requirements for the Trustees to present a strategic report.

Achievements and performance

The year ending 31 October 2021 has been a successful year for the Trust coming after the challenges of Covid-19 and 2020.

Despite the uncertainties created by the COVID pandemic, the Trust was open to deliver activities throughout the season. Indeed, some bookings rolled over from the previous year (£105,000) were delivered in 2021, this together with an increase in activities from pre pandemic times, took the total revenue to £545,121, representing a 178% increase over 2020 (£195,903) taking us back to pre-pandemic levels. This figure includes a return to greater use of the residential facilities £70,720 from £31,799 (2020).

Expenditure rose from £317,854 to £472,581 as the staff costs increased to £240,672 (£149,438 -2020) to support the higher level of activity. Because of the uncertainties in 2021, especially in the early part of 2021, a careful watch was been maintained on cash reserves and capital expenditure was restricted to well below the depreciation charge at £2,902 (£21,417 -2020). The Trustees have reviewed the depreciation policies to align the lives of the assets with the expected lives and in particular those relating to the buildings such that the costs of the buildings are fully depreciated by the end of the term of the head lease.

THE COBNOR ACTIVITIES CENTRE TRUST

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT AND STRATEGIC REPORT) (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2021

As a consequence the Trust has been able to report a surplus of £72,540 compared to the loss of £126,474 in 2020 when the centre was shut for most of the year.

The Trustees have built back reserves (including cash reserves) to net current assets £348,679 compared with £233,663 in 2020. This has allowed the Trustees to refocus on its investment in the facilities of the centre. The Trust has retained the £50,000 of Government bounce back loan taken out in 2020 to help mitigate the shortfall in revenues in 2020.

In terms of outlook, the Trust is planning on the basis of a further return to normal working patterns in 2022 and is reviewing the Strategic Plan in the light of lessons learnt during the pandemic. Plans are underway to look at upgrading the buildings to make them fit for purpose in the next decade and beyond.

Financial review

It is the policy of the Charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The Trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Charity ’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.

Under the memorandum and articles of association, the Charity has the power to invest in any way the Trustees wish.

Investment funds are kept in a separate account to the main current account, attracting a more competitive rate of interest.

Structure, governance and management

The Charity is registered as a charity and as a company as defined in the Companies Act 2006. It is governed by its memorandum and articles of association.

The former charitable trust was incorporated as a company in 1996, having been founded as a trust in the late 1970s, building on the foundation of the Centre in the 1950s.

The Trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

Mr M Wright Ms K Chalmers (Appointed 1 October 2021) Mr M Tomlinson Mr M Camps Mr P Evans Ms L Rushall Mr M Blackwell (Appointed 4 November 2020) Mr M N Bransden (Appointed 4 November 2020 and resigned 18 February 2022) Mr R I Mackenzie (Appointed 4 November 2020) Mrs L Sherrard (Resigned 11 June 2021)

The Charity has nine trustees all of whom are members in accordance with the revised articles of association as adopted at the AGM on November 4 2020. The Trustees are always interested to hear from those who are keen to support the future development of the Charity.

The Trustees meet at least five times each year, including the annual general meeting, and act as the Management Committee (as defined in the Articles of Association) of the Charity.

THE COBNOR ACTIVITIES CENTRE TRUST

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT AND STRATEGIC REPORT) (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2021

Upon appointment, trustees are acquainted with the roles and responsibilities through receipt of the Memorandum and Articles of Association, recent accounts and copies of minutes of previous meetings.

Risk management and health and safety

The Trustees have a duty to identify and review the risks to which the Charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error.

The Trustees are acutely aware of the need to assess regularly areas of potential risk, particularly as young people are participating in a wide range of outdoor and adventurous pursuits at the Charity. Recognition by the Royal Yachting Association, the Adventure Activities Licensing Service and British Canoeing give a strong reassurance.

While health and safety remains the responsibility of all the Trustees, Martin Tomlinson reviews the work of the Head of Centre in this area; he independently highlights matters of potential concern directly to trustees in addition to the reports by the Head of Centre which cover this subject.

Other Trustees also bring specific functional expertise to the Trust including Michael Camps (legal) Liz Rushall (marketing) and Ruairidh Mackenzie (financial); although a specific functional competence is not a requirement to be a Trustee

Personnel policies and staff training

The Charity employs a small number of core staff on a permanent basis but the majority of staff are casual, under a seasonal contract, to meet the specific needs of each visiting group. Over 30 staff are recorded on the Charity's books. It is important that the Charity maintains best practice in this area and has the appropriate procedures in place. The trustee s and the Head of Centre regularly review the Charity's HR policies and provide written reports four times a year.

Review of public benefit

In setting out our objectives and planning our activities, the Trustees have given careful consideration to the Charity Commission's general guidance on public benefit and in particular to its supplementary public benefit guidance on fee charging.

Statement of Trustees responsibilities

The Trustees, who are also the directors of The Cobnor Activities Centre Trust for the purpose of company law, are responsible for preparing the Trustees Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company Law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

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

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

THE COBNOR ACTIVITIES CENTRE TRUST

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT AND STRATEGIC REPORT) (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2021

Auditor

In accordance with the company's articles, a resolution proposing that James Todd & Co Limited be reappointed as auditor of the company will be put at a General Meeting.

The Trustees r eport, including the strategic report, was approved by the Board of Trustees.

Mr M Wright

Trustee

10 May 2022

THE COBNOR ACTIVITIES CENTRE TRUST

INDEPENDENT AUDITOR'S REPORT

TO THE TRUSTEES OF THE COBNOR ACTIVITIES CENTRE TRUST

Opinion

We have audited the financial statements of The Cobnor Activities Centre Trust (the ‘Charity’) for the year ended 31 October 2021 which comprise the statement of financial activities, the balance sheet and the notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" (United Kingdom Generally Accepted Accounting Practice) .

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 Charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Trustees 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 Charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the Trustees 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 annual report other than the financial statements and our auditor's report thereon. The Trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and 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.

THE COBNOR ACTIVITIES CENTRE TRUST

INDEPENDENT AUDITOR'S REPORT (CONTINUED)

TO THE TRUSTEES OF THE COBNOR ACTIVITIES CENTRE TRUST

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

Responsibilities of Trustees

As explained more fully in the s tatement of Trustees r esponsibilities, the Trustees, who are also the directors of the Charity for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Trustees are responsible for assessing the Charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the 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 as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an 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 extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below .

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

THE COBNOR ACTIVITIES CENTRE TRUST

INDEPENDENT AUDITOR'S REPORT (CONTINUED)

TO THE TRUSTEES OF THE COBNOR ACTIVITIES CENTRE TRUST

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Michelle Daniels FCA (Senior Statutory Auditor) for and on behalf of James Todd & Co Limited

12 May 2022

Chartered Accountants Statutory Auditor

1 & 2 The Barn Oldwick West Stoke Road Lavant Chichester West Sussex England PO18 9AA

James Todd & Co Limited is eligible for appointment as auditor of the Charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

THE COBNOR ACTIVITIES CENTRE TRUST

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 OCTOBER 2021

Unrestricted
funds
2021
Notes
£
Income and endowments from:
Donations and legacies
4
1,805
Charitable activities
5
448,133
Other trading activities
6
70,720
Investments
7
7
Other income
8
268
Total income
520,933
Expenditure on:
Charitable activities
9
466,619
Net income/(expenditure) for
the year/
Net movement in funds
54,314
Fund balances at 1 November
2020
1,457,923
Fund balances at 31 October
2021
1,512,237		 Restricted
funds
2021
£
10,000
14,188
-
-
-
24,188
5,962
18,226
20,200
38,426		 Total Unrestricted
funds
2021
2020
£
£
11,805
18,272
462,321
132,370
70,720
31,799
7
72
268
5,390
545,121
187,903
472,581
314,377
72,540
(126,474)
1,478,123
1,584,397
1,550,663
1,457,923		 Restricted
funds
2020
£
8,000
-
-
-
-
8,000
3,477
4,523
15,677
20,200		 Total
2020
£
26,272
132,370
31,799
72
5,390
195,903
317,854
(121,951)
1,600,074
1,478,123

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

THE COBNOR ACTIVITIES CENTRE TRUST

BALANCE SHEET

AS AT 31 OCTOBER 2021

Notes
Fixed assets
Tangible assets
12
Current assets
Stocks
13
Debtors
14
Cash at bank and in hand
Creditors: amounts falling due within one
year
16
Net current assets
Total assets less current liabilities
Creditors: amounts falling due after more
than one year
17
Net assets
Income funds
Restricted funds
Unrestricted funds		 2021
£
682
6,534
378,803
386,019
(37,340)		 £
1,242,662
348,679
1,591,341
(40,678)
1,550,663
38,426
1,512,237
1,550,663		 2020
£
948
105,579
330,875
437,402
(203,739)		 £
1,294,460
233,663
1,528,123
(50,000)
1,478,123
20,200
1,457,923
1,478,123

THE COBNOR ACTIVITIES CENTRE TRUST

BALANCE SHEET (CONTINUED)

AS AT 31 OCTOBER 2021

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 October 2021, although an audit has been carried out under section 144 of the Charities Act 2011.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The members have not required the company to obtain an audit of its financial statements under the requirements of the Companies Act 2006, for the year in question in accordance with section 476.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Trustees on 10 May 2022

Mr M Wright

Trustee

Company Registration No. 03158023

THE COBNOR ACTIVITIES CENTRE TRUST

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 OCTOBER 2021

1 Accounting policies

Charity information

The Cobnor Activities Centre Trust is a private company limited by guarantee incorporated in England and Wales. The registered office is Cobnor Activities Centre, Cobnor Point, Chidham, Chichester, West Sussex, PO18 8TE, England.

1.1 Accounting convention

The financial statements have been prepared in accordance with the Charity's [governing document], the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). The Charity is a Public Benefit Entity as defined by FRS 102.

The Charity has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.

The financial statements are prepared in sterling , which is the functional currency of the Charity . Monetary a mounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the Charity.

1.4 Income

Income is recognised when the Charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the Charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the Charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

THE COBNOR ACTIVITIES CENTRE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2021

1 Accounting policies

(Continued)

1.5 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.

Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Leasehold land and buildings Straight line over 50 years
Leasehold improvements Straight line over 50 years
Computers Straight line over 5 years
Boats and land fleet Straight line over 10 years
Equipment Straight line over 5 years

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities .

1.7 Impairment of fixed assets

At each reporting end date, the Charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any ) .

1.8 Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell . Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. Items held for distribution at no or nominal consideration are measured the lower of replacement cost and cost.

Net realisable value is the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution.

1.9 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

THE COBNOR ACTIVITIES CENTRE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2021

1 Accounting policies

(Continued)

1.10 Financial instruments

The Charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Charity 's balance sheet when the Charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Charity ’s contractual obligations expire or are discharged or cancelled.

1.11 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the Charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.12 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

THE COBNOR ACTIVITIES CENTRE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2021

2 Change in accounting policy

The trustees have seen fit to change the charity's accounting policy for depreciating its leasehold properties and associated improvements to align with a new lease signed in the year to 31 October 2020 for a period of 50 years. This because they charity has no right to sell or sub-let the property, and its ownership would default to the landlord should a further lease not be agreed at the end of the 50 year period. The effect of the change in this year's financial statements is to increase the unrestricted depreciation charge by £11,529 and reduce the surplus made in the year by the same amount.

3 Critical accounting estimates and judgements

In the application of the Charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

4 Donations and legacies

Unrestricted Restricted Total Unrestricted Restricted Total
funds funds funds funds
2021 2021 2021 2020 2020 2020
£ £ £ £ £ £
Donations and gifts 1,805 10,000 11,805 18,272 8,000 26,272

THE COBNOR ACTIVITIES CENTRE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2021

5 Charitable activities
Unrestricted Unrestricted
2021 2020
£ £
Activity courses 420,076 107,370
Grants 42,245 25,000
462,321 132,370
Analysis by fund
Unrestricted funds 448,133 132,370
Restricted funds 14,188 -
462,321 132,370
6 Other trading activities
Unrestricted Unrestricted
funds funds
2021 2020
£ £
Residential hire charges and contributions 70,720 31,799
7 Investments
Unrestricted Unrestricted
funds funds
2021 2020
£ £
Bank interest 7 72

THE COBNOR ACTIVITIES CENTRE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2021

8 Other income

Unrestricted Unrestricted
funds funds
2021 2020
£ £
Net gain on disposal of tangible fixed assets 84 4,375
profit on sale of merchandise 184 1,015
268 5,390

THE COBNOR ACTIVITIES CENTRE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2021

9 Charitable activities

Charitable Charitable
Expenditure Expenditure
2021 2020
£ £
Staff costs 240,672 149,438
Depreciation and impairment 50,572 50,330
Utilities 10,291 16,435
Building maintenance 16,208 16,350
Equipment maintenance 38,024 36,079
Office cost 30,370 12,096
Motor and travel cost 12,449 2,467
Subscriptions 8,081 3,252
Computer expenses 9,355 -
Staff welfare and training 11,375 4,191
Insurance 16,580 14,804
Marketing and advertising 1,761 4,744
Bank charges 503 707
Legal and professional 18,852 1,561
Auditors' remuneration 5,688 3,600
Auditors' remuneration for non audit work 1,800 1,800
472,581 317,854
472,581 317,854
Analysis by fund
Unrestricted funds 466,619 314,377
Restricted funds 5,962 3,477
472,581 317,854

10 Trustees

None of the Trustees (or any persons connected with them) received any remuneration or benefits from the Charity during the year.

THE COBNOR ACTIVITIES CENTRE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2021

11 Employees

The average monthly number of employees during the year was:

The average monthly number of employees during the year was:
Administration
Operations
Total
Employment costs
Wages and salaries
Other pension costs		 2021
Number
3
15
18
2021
£
236,432
4,240
240,672		 2020
Number
3
8
11
2020
£
146,755
2,683
149,438

There were no employees whose annual remuneration was more than £60,000.

THE COBNOR ACTIVITIES CENTRE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2021

12 Tangible fixed assets

Leasehold land
and buildings
Leasehold
improvements
£
£
Cost
At 1 November 2020
445,025
892,839
Additions
-
-
Disposals
-
-
Reclassification
-
-
At 31 October 2021
445,025
892,839
Depreciation and impairment
At 1 November 2020
61,152
70,860
Depreciation charged in the year
11,897
16,775
Eliminated in respect of disposals
-
-
Reclassification
-
-
At 31 October 2021
73,049
87,635
Carrying amount
At 31 October 2021
371,976
805,204
At 31 October 2020
383,873
821,979		 Computers
Boats and land
fleet
£
£
-
219,339
1,902
1,000
-
(11,970)
12,315
(3,531)
14,217
204,838
-
150,049
2,557
12,464
-
(7,841)
1,366
(2,232)
3,923
152,440
10,294
52,398
-
69,289		 Equipment
£
85,711
-
(757)
(8,784)
76,170
66,392
6,879
(757)
866
73,380
2,790
19,319		 Total
£
1,642,914
2,902
(12,727)
-
1,633,089
348,453
50,572
(8,598)
-
390,427
1,242,662
1,294,460

THE COBNOR ACTIVITIES CENTRE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2021

13
Stocks
Raw materials and consumables
14
Debtors
Amounts falling due within one year:
Trade debtors
Prepayments and accrued income
15
Loans and overdrafts
Bank loans
Payable within one year
Payable after one year		 2021
£
682
2021
£
5,661
873
6,534
2021
£
50,000
9,322
40,678		 2020
£
948
2020
£
101,370
4,209
105,579
2020
£
50,000
-
50,000

The charity has utilised the Government secured Bounce Back Loan made available during the Coronavirus pandemic.

16 Creditors: amounts falling due within one year

Notes
Bank loans
15
Deferred income
18
Trade creditors
Accruals and deferred income		 2021
£
9,322
11,708
1,479
14,831
37,340		 2020
£
-
197,241
510
5,988
203,739

THE COBNOR ACTIVITIES CENTRE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2021

17 Creditors: amounts falling due after more than one year

Notes
Bank loans
15
18
Deferred income
Arising from government grants
Other deferred income		 2021
£
40,678
2021
£
5,803
5,905
11,708		 2020
£
50,000
2020
£
-
197,241
197,241
19
Analysis of net assets between funds
Unrestricted
funds
2021
£
Fund balances at 31
October 2021 are
represented by:
Tangible assets
1,240,400
Current assets/(liabilities)
322,515
Long term liabilities
(40,678)
1,522,237		 Restricted
funds
2021
£
2,262
26,164
-
28,426		 TotalUnrestricted
funds
2021
2020
£
£
1,242,662
1,290,960
348,679
216,963
(40,678)
(50,000)
1,550,663
1,457,923		 Restricted
funds
2020
£
3,500
16,700
-
20,200		 Total
2020
£
1,294,460
233,663
(50,000)
1,478,123

20 Related party transactions

Allonsy Ltd is company co-owned by the trustee Matthew Wright. During the year Allonsy Ltd supplied sailing instructor services to the charity at a cost of £3,060 (2020: £800). The transaction is considered at 'arms length' and is with the full knowledge and support of the trustees and the centre manager.