Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE Ihecoalfields gerEratiffl trust THE COALFIELDS REGENERATION TRUST (A Company Limited by Guarantee) REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2021 CHARITY NUMBER 1074930 SCOTTISH CHARITY NUMBER SCO 39277 COMPANY NUMBER 03738566 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 CONTENTS Page Chalmian'8 report Report of the Trustsss lin¢orporating the Strategic Report) 2-14 Independent auditorfs report 15-18 Consolidated Statement of Financial Activities 19 Charlty Statement of Financial Activities Consolidatsd and Chaiity Balance Sheets 21 Consolidated Statement of Cash Fk>ws 22 Notas on tho accounts 2M9 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Chainnan's report The last year has for everyone been like no olher in Imng memory. While the enlire year has been dominated by the Covhl pandemic here al the co3￿￿1d5 Regeneration TnJst we have continued lo support our former mining communilies. In Wales we ￿Sponded lo the devasialing Floods in P(x)typridd and Cynon Valley by working in partnership with I￿81 MP'S and Senedd Members to deliver a Fltyxl Relief Fund which assisted many families in desperate need. In Scotland we reacted quickty lo the effects of lockdown on our communities and ¢￿ated a fund focussed on the immediate needs of corrwnunity groups. clubs and voluntary or9anisalions as they responded to the COVKI crisis in their communities The Emergency Response Fund wa5 created in recognition of the short temi unprecedented need of funding for groups to carry out essential activities and provided applicants with a rapid turnaround for of grant awards. In EngL8nd we were successful in securing a £1 million grant from the Department of Culture. Media and Sport IDCMSI for their Community Match chaI￿nge Fund. The fund's focus was lo support voluntary and community sector organisalions to respond lo the impacts of the coronavirus. Our team in England had already tailored our in house grant making to ¥espx)nd to emerging needs in communities but the demand for funding was ove￿helMIng. The DCMS grant came at the right lime and enabled us lo scale up our aclnrilies and ensure this injection of funds found its way into the most deprived communities. All this was achieved while our staff in the main worked from home. using the technology we have a11 become so familiar wrth as we have adapted our wotking practices to ensure we can still make a dtfference for communities who rely on our support. In January 2021 we jointly commissioned a report with the Industrial CommunilEs Allian￿ from Sheffield Hallam UnFveTsity "The impacl of the Coronavwus Crisis on Older Industrial Britain.. https'.11¥￿4.C0aIfIe1ds-regen.org.UklreSearCh_and reportsfthe-impad-of-Ihe-coronavirusiTr &s fallows.. 5751 2999 809 1025 2782 people partI￿patIng in hearthy lrfestyle ac11vit￿S members of a S￿la1 group people part￿PatIng in exelvise young ￿pIe with anxiefy/depre￿￿￿ supported adults with anXiety/depre&S￿n supw)rted In delivering the atK)ve impacts in our communitses, our country programme teams embark on wKlef work which adds value. buihls relationships and partnerships wlh slakehoklers and is reflective of the policy influences and conditions bespoke to each country_ VCSE Support Practical support and assistance provided to voluntary, community and social enterprise organisations 363 voluntary. cofftmunity. swialeote@nse organisatK)nsprovided with practical advice. access to training and capacity building events. resources. nefworking opportunrties and enle￿riSe support. Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Development The Trust embarks on a diverse number ol activities that build capacity. resilience and develop new services with our communitie5. These are reflected in the figures below.. 59 10 158 rEw orimproved seTh trainir￿ events. wort(sh(ws, semina￿. consultatKyns and su￿eneS delivered hours of community engagement business and communty actK)n plans developed £227,500 value of funding b￿$ supported Asset Transfer Practical assistance to develop and safeguard community assets for the benefit of the community through asset transfer and the provision of support for the aclivities that lake place within them 38 asset transfers facilitated resulting in the Trust taking on assets for community benefit or enabling community owne￿hlp of asset 148 cofftmunity facilities and aclwities supported Reach 60,000+ people hawe £Enefitted frtxn am ourprcwrnmmes ofadivtity acmss the UK The figures above ￿llect the achievements of our direct delivery and the planned outcomes for our contra¢ted delivery through grants and provider agreements up to 31 March 2021. Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Financial ￿VIeW The Trust had funding agreements in pLace with the ￿Èlsh and s￿ttISh Governments lo deliver programmes up lo 31 March 2021. The Trust received grft aKI from its subsidiary CRT Prwty Investments Limited of £2,313k and from CRT Renewable Energy Limited of £26k dunng the yeaT lo fund the Trust's opeialKJns and programmes in England. The Board of Trustees awarded grants totalling £2.493k during the year. Total income for the year amounted lo £6.565k and expenditure tolalled £5.944k. Net expenditure for the year after lax and investment adiustments sloo¢J at £4,246k. The Trust's wholty owned trading subsidraries perf0m￿l as detailed trEIow. CRT Renewab￿ Eneigy Limited delivers a Community Renewable Energy Investment Programme which benefits community buiklings through reduced energy c051s and provides a return for the Trust lo reinvest in actNities lo meet rts social ofy'ectives. The company sustained a k)ss before lax of £39k during the year. CRT Property Investments Limited has purchased arKI developed inve51menl properties which generate rental income Investments made in properties based within the coawield coMmunit￿S provmde opportunrties for businesses working in these fomier mining areas lo access lower renlal offI￿S and manufacturing siles. In this way the company secures an ongoing income stream while at the same lime supporting coalfield communrtie5. The crxnpany generated a pre-tax profrt of £6.829k dunng the year. CRT Trading Limited delThiers a small business bans scheme wh￿h provides small loans to start-up businesses that are located within the desjgnated coalr￿IdS area. The corrlpany sustained 8 bss of £2k during the year. CRT Community Enterpnses Limrted investment pryrties and sustsined a pre-tsx k)ss of £53k during the year. Investmentpolicy The Trust has invested funds in a portfol￿& consisting of. Property Asset backed investments such as rene*¥ab￿ energy Low risk return liqukl investments The Tfusl seeks lo prcxluce the best financial return within an acceptable level of risk for the tx)rtfolio. The investment objectNes are as follows". Propety 8Q Asset backed investments such as renewable energy 5.4% Low risk return such as charity t()nd 1.5% The above rates d relum are the minimum net amcmjnts cakulated. Some of the above investment portfolio will be funded directly lo further the Trust's aims and social objectives and as such the yield from these purchases may be below the typical return expected fro higher risk investments. This isjustffied by the ant￿Ipated scKial returns from this investment strategy. Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 There should ￿ suffi'aenl liqu￿lty wrthin the wrtfOl￿ lo meet anlrcipaled cash flow requirements. The Trust's cash balances should be deposited in sterfing amnts wrth flexible access in institutions with a minimum A- rating. Given the higher iisk level elements that this FK)rtfol￿ coukl incur. the Trust will mitigate this by ensvring that the Trust's property assets and asset backed investments are spread widety lo ensure the overall objectives are mel A key risk to the long terTn 5UStainabilty of the Trust is inflation and the inve51menl classes may need to be adjusted lo mitigate this ovef a r*riod of time. To allow for this volatility the Trust will keep a minimum of £1m in cash or k)w risk Iv4uJd investments. The Group holds funds with Natwesl rated A+ by Fitch. A1 by Moody, and A by Standard & Poors and wf(h Hande15banken rated AA by Frtch, Aa2 by M(xxly. and AA- by Standard & Poors. Risk statement The Trustees have actively reviewed the major risks the charty fa￿S as an evolving organisation. Risk priorrt￿s indude the following.. Financial risk includirKJ polenlval pension li4bililEs and c0nsKlerat￿)n of accounting and repwjrting problems arising from new developments". Adequate internal ¢onlro15 to mrtigate the risk of fraud and other irregularities", Political risk an(1 in particular changes in Govemment poI￿Y and how the development of new programmes in England, Wales and Scotland may be affected". Grant making risk including consideration of outputs. outcomes and other targets and monitoring of third paty service Fyoviders", Legal and regulatory risk including c1)mplian￿ with new and existing legislatK)n.' Organisalional risk induding Inlegrath)n of disaster recovery and prompt ￿sponSe lo pioblems, People risk, particular￿ the kjss of key staff due lo un￿rtaIntieS about funding", Reputational risk including the possibility of publ￿ c￿t￿L$M as a result of unpx)pular funding decisions., Technok)gul risks in Part￿Ular the wtenlial k)s5 of the Head 0￿e ¢(￿Pu1er ￿e￿Ork.. and Risks associated wrth fraLKI and fM*Ity. Fncluding the Prevention of bribery in accordan￿ with the Bribery Act 2010. The system of internal control is designed lo manage rather than eliminate the risk of failure lo achieve aims and objectives". il can Iheiefore only provKle reasonable and nol absolute assurance of effeclivene55. Systems of internal control are based on the onwng pIc￿esS of Klenltfying principal risks to the achievements of the Trust's policies. aims and obJ"ectives. to evaluate the nature and exient of those known risks and lo manage them efficiently. effectively and economicalty. The Trust has used Its risk assessment matrix do¢umenl as the basis for its internal audit programme. During the year internal audit has examined a combination of financial and operational areas. No lundamenlal weaknesses in systems and controls have iEen xjentified. However, there Is an on- going process of reviewing an(J monitoring controls lo ensure Systems are continually updated and improved where pracluble. Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 8ased on our review of the risk register and internal audrt reports combined wrth controls over the financial systems Ihe Trustees are satisfied Ihat systems a￿ in place to miligale our exposure lo major known risks. Golng ¢on¢em 11 is pleasing lo be able lo reFK)rt Ihat during the past 12 months none of our slaff have had a serious illness resulting from the pandem￿. The Trust has taken all reasonable step5 over this per￿￿1 lo support staff and keep them safe. This has been achieved In the main with all staff working Irom home and ensuring they have the ne￿$sary kil lo enable them lo do so as effectwely as possib￿. The continued use and devebpment of our communication capability. utilising Microsoft Teams and Zoom. has ensu￿￿ we have been able to provKle an eff￿￿ent Se￿iCe while adherir¥J lo the restrictions in pla￿. As reslridions ease m￿e office based work has cornn￿nCed wrth all practical health and safety tools being ulilised to ensure a safe arHJ secure working environment. The Trust's finances have held up well over this uncertain peri(Kl with government grant funding continuing to be accessed and rental Income from CRT Pro￿rtY Investment Limited lour wholly owned 5ubsidiary} al an aijequate level to support the charty. Taking account of the above and the level of reserves held the cash available lo the Trust lo the end of 2022 will ensure even if the worst happE[￿d and a third wave be er￿OUnte￿ed there is sufficient funding lo support our existing commitments. CRT Property Investments has access to Bank funding and the existing facility has headroom of a further £6.5m. Given the March 2021 valuation and existing fental income tK)Ih our loan lo value ratio and income lo interest cover remain well wrthin the covenant parameters allowing further ftjlure drawdown when required. Our other Nvo wholly owned subsidiary companies CRT Renewables Limited and CRT Trading Limited are not affected by the pandemic given the nature of their business. As a resutt of the above. the Iruslees. after reviewing cashflow focecasts p￿pa￿d for a 12 month period after the date Ihese financial 51alements are signed. (*) not believe that there are any material ￿n￿rtainlieS, which cast sMJnrficanl doubl or7 the ability of the Trust lo ccmlinue as a wing COn￿rn. Reserves policy The Trust holds financol reserves tecause.. Given the nature of Government funding round5, there is a need to ensure continuity of operations in Scotland and Wales. The Trust no longer r￿eNe$ Government funding In EngLond so will use the profits generated by ils subsidiary companies in this financial year to fuThl activities in England and lo head Offi￿ costs In Ihe coming financial year." The Trust needs to be able lo athjress potent￿1 future li?kn'lities- The Trust needs lo Continue lo be self-SUStaining in the fulure." and To ensuie the Trust continues lo be a going COn￿rn. The largel free reserves is between six and twefve months ￿t￿lty across ScotL3nd and Wales and tWe￿e months activity in England Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 The Trust and Trustees a￿ comfortable il has sUff￿rent ￿ServeS lo meet this target. Al the ye8r-end free reserves of the group arTvJunled lo £5m_ This is deiived frown the total of unreslricled funds at Ihe end of the re￿tIng perhjd less total value of fixed asse15 al the balance sheet dale. Plans for future periods The Coalfields Regenefalion Trust across the UK has emerged as a key player facilitating the development of community capacity. by encouraging small voluntary. Charitab￿ and other organisalions lo expand their scope, buikj new partnerships and tackle more ambitk)us proJ'e¢ls. We work in the heart and soul of coa￿le1d communities. by M)vesling resources. expertise and knowledge to ensure local t*ople ale able to fu￿111 their wtent￿l. Our specific in-house programme5 tackle key issues such as helping people into work. building skills and capaaty and improving health. The pandemic has brought to the fore the S￿nif￿nI effects of health inequalities and we are introducing new innovative ways ol addressing these issues with key partnership agencies. With the continued support of the Scottish Government and Welsh Government we will continue as a Brrtish Trust serving the coalField communities of England. Scotland and Wales. Our strategic objectives are sim* and respond directty to the evidenced problems. We are commilled lo changing the outlook for people in our communilies arKI recognise that Improved health, skills and employmenl prospects will greatty conlribule lo this aspirakn"on. We continue lo pursue the uealK)n of 8 new £40m fund for the Coaffiekjs of England. It Is the intention lo use this fund lo deliver investments in the fomi of new indusliial COfTwnercial propety. suitable for new and glowing SME businesses in kJcatDns wheie grovrth is des￿ratelY needed. OUR STRATEGIC OBJECTIVES 2019-2024 To enable us lo create opportunit￿S for gKial and econom￿ growth, deliver a w>silive lasting impact and ensure fom)er mining commLtnities are nol disadvantaged by the legacy of the past Ihe Trust will focus on the following slralegK objectNes'. Employment- the str*egic goal will be lo increase the number of people in work and create the ¢ondrtions for newjob opwrtunttEs in our communrties. 2. Skills- grow the confidence and qualilulions of Ouf coalfiekjs populathJn 3. Health and wellbeing- improve the health outcomes for our coalfield wpulalion arvj increase the numbers of people taking part in healthy ljlestyle activities. The State of the CoalfElds Report 2019. ¢onfim)ed that in all of the above Ihemes coalfield communities lag behind the United Kingdom averages and overall 42°% of our ccxmmunilies a among the lop 30% most deprwed. . htt s".IlYA￿.coa￿l .uklresearch and -the-0)a￿le1d$-20l9-re The Future We know that within fo￿er mining communtb'es the￿ are sNJnifKant opportunities. They have a dislincl offer and the potential to contribtrle lo the WKler economy. This will ￿qUIre patience. collakKJration. investment and direct g)vernment supwt. We will lobby for direct funding from Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 government lo address evidenced issues, piowding a compelling case for the ceinstalemenl of a bespoke coamie￿JS fund to help scale up ouf aclivilies. Ih the continued support of the Scottish Government and Welsh Government we will continue as a British Trust serving the coalfiekj communities of England. Scotland and Wales. Our immediate focus will be to engage wilh key stakeholdets and k)bby the UK Government for the Coalfields lo receive a multi-million pK)und boosl over next five years. Structure, governance and managgmont Governing Document The Coalfields Regeneralion Trust is a charitabfe company limited by guarantee governed by its MemorarKlum and Artides of Association dated 7 March 2012. It is registered as a charity with the Charity Commission. The membeis of Ihe Boaid are n￿Mbers of the Company and each agrees lo contribute £1 In the event of the charty winding up. Appointment of trustees A board of up lo 16 nonexecutnie trustees. 13 of whom are elecled by a Simp￿ maj'ofity of 811 the trustees enlilw lo attend and vote at any meeting of the Board and 3 nominated Trustees govems the Trust. One nominated Trustee may ￿ apw)inled by the Secretary CA Stale for the Department of Communities and Local Govemment IDCLGI. one by the Minister for Housing and Communities in the Scottish Government and orte by the Minister for Local Govemment and Communities in the Welsh Government (the Nominating Authoirtie51. New Trustees ale chosen with a view to ensuring that Ihe Board contains an appropriate balance of experEnce relevant lo the requirements of the operations of the Trust and in line with the requirements of ils Memorandum & Art￿leS of AssocialDn. Trnstee induction and ￿{nIng On appointment to the Trust Trustees receive.. Job description.. and Exlenswe background infom)alK)n including.. Annual reports Slalulory accounts Recent Board minutes arKI C(MJe of Conduct for Trustees. In addition, new Trustees benefit from 'on Ihe job. training whi¢h results from Board and Commrtlee meetings Trusl&s also have regular contad with the pnncipal officers of the Trust lo ensure their knowledge of the Trust's work is comprehensive. Trustees are routinely asked if they have any training or information needs. Activities ITn Scotland Over the last 12 months CRT Scotland has ad¥)led programmes we deliver to cope wrth the Pandem￿ and lockdown iestrictions. The Community Action team has had lo be creative and devek)p new slrategies and IcK)Is lo engage with people. Vve have developed the new Pace Standard Tcx)I which allows a community lo Ihink about Ils physical elemenls. as well as its sccial aspects. and prompts discussion identifying the assets of a Pla￿ as well as aspeds of a pla￿ Whe￿ inprovemenls coukj be made. io Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMEpifs FOR THE YEAR ENDED 31 MARCH 2021 When the pandemic hil we reswnded immediately to CNJT communilies who were delivering Se￿Ice$ to people in need and developed funding piogrammes.. Coalfields Emergency Response Fund- aimed al communty led projects which demonstrably meet the needs. concerns o¥ ￿SUeS arising in communrties at the time of uisis. Coalfields Adapt & Thrive Programme- established to support projecis as they dealt with the specrfic barriers lo operation that the pandemic had c￿ated. The Community Futures Participatory Budget was utilised for communty foc*J growing projects, Game On Scotland commen¢e(l in October but due lo k)ckd¢iwn restriclions actTVrties not start until April 2021 The priorities of the programme a￿ lo coordinate and manage current delivery ol our sporting activities and lo eStabl￿h new projects and prcrfJrammes that will quickly build the number of young people engaging in sport. Organisation The Board meets al least four limes a year and delegates the day to day operation of the organisation lo the principal officers who make up the Senior Management Team ISMT). The Board delegates certain funciKJns lo Ci)mmittees wh￿h regularty revEw their lemis of reference lo ensure they are fit for purpose. Any anendments require Board approval. There are currenlfy fwe such Committees.. Audit and Risk Committee This committee ensures that the intemal control system. including audit actThiities of the Trust and any of rts subsidiarÈs are monitored activety. independently and objectively. It also provides a medium of direct communicatson for the Trust's auditors. The Committee has a CCH)Pted memt*r wth rdevanl finanaal expertise and qualIf￿atiOns. General Purpose Commiltee This committee receNes and consM*rs re(*yts from ffEmbers of the Board of Trustees, from the Chief Executive as well as considering and approving empk>ymenl Fyjlicies and procedures and goveinance related matters. The cunmittee also has reswnsibility for Discipline and Grievance prc(edures. English. Welsh and Scottish Commrtiees These committees may approve granl aid lo an applicant to a maximum v81ve of £10,000. The committees may draw up schedules of wommendatwjn for approval or rejection in respect of all giant applications of £10.OCKJ or more for presentation to the full Board of Trustees for Iinal decisK)n. Paypolicy for seniorstaff The pay of senKJT Staff is reviewed annualty and is increased at the same rate as all other employees of the Trust. No Iruslee receives remuneiatk)n or any other benefit from their work with the Trust. Related parties The following Trustees are also Trustee5 of The Community Legacy Trust.. Peter McNestry Nicolas Wilson li Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 The following Trustees are directors of CRT TradTrng Limited. Peter McNeslry Michael c￿pharn Linda Ruller (appointed 041111201 The following Trustees are directors of CRT Renewable Energy Limrted.. Oawn Davies Nicolas Wilson The following Trustees are directors of CRT Property Invesbnen15 Lwniled.. Nicolas Wlson Wayne Thomas Keith Cunliffe lappoinled 041111201 The following Tiuslees are directors of CRT Ccxnmunity Enterpri￿$ Limited." Nicolas Wilson Keith Cunliffe (appointed 04111120) Audilor The company's articles require annual reapwinlmenl of the aLKlrtors. Grant Thornton UK LLP have expressed willingnes5 to continue in office. In &cordance wrth S485141 of the Companies Ad 2(KE a resolution lo reappoint Giant Th￿nton UK LLP as auditors will be proposed al the Annual General Meeting. Reference and administrative details Chanty number.. Scottish Charity number". Company number.. Regisle¥ed Office.. 1074930 SCO 39277 03738566 1 Waterside Pafk, Valley Way. Wombwell, Barnsley, South Yorkshire. S73 OBB Website.. wv4w.coaifEkls-regen.org.uk Advisw3 Auditor Bankers Granl Thomton UK LLP SenKJr Statutory Auditor. 1 Holly Street, Sheffield. S12GT Natwesl 12 High St.. Doncaster. DN1 1 ED Handelsbanke 1°, Fkx)r. Copia House, Gieat Cliffe Rd, Barnsley S75 3SP Andrew Upnchard 1 Alexandra Rd. Buxton, Derbyshire. SK17 9NQ Solicitor Public benefit The Trust. established in 1999. is dedicated lo impTOVitYJ the quality of lrfe for people living in Britain's coaFfield Communit￿S. Our mission is lo lead the way In coalfields re9eneralion and lo restore healthy, prosperous and sustainable communities. The Trust is about gwing people aspirations. talking about the long term and making coa￿le1d communities sustainable so they can be prosperous wilhoul our support. This all needs commitment and we al the Tru51 sland by our communtlies lo help Ihem to aCh￿ve their goals. The principal activity is the promolKFn for the publ￿ benefit of urban or Tural regeneiation in a￿a$ of social and economic deprivation in the coaffield areas in England. Scotland and Wales. 12 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Dlrn¢tors and trustees The directors of the charitable ci)mpany are its Truslees for the pU￿oSe of charity law. The Iruslees and offi￿rS serving during the year were as folkxs.. Directors. Peter McNeslry M.B.E. (Chairl Nicolas Wilson (VI￿ Chairl Sylvia Wileman Wayne Thomas Dawn Davies Michael Clapham Robert Young Trudie McGuinness Nicky Stubbs Keith Cunliffe (appointed 21171201 Judith Kirton-Darling (appointed 21ITr201 Linda Rutter (appointed 21111201 Secretary. Louise Dy50n Ifespned 051081201 Teresa Jones lappoinled 051081201 Principal officers" Gary Ellis Louise Dyson Andy Lock Alun Taylor Pauline Douglas Stuart Douglas Shaun O'Brien Chief Executive Head of Finan￿ & Corporate servI￿s [reS￿ned 301091201 Head of Operations {Englandl Head of O[*rat￿nS Iwalesl Iresuned 31110121 } Head of operat￿nS Iscotlandl IresKJned 31112120) Head of OperatDns (Scotlandl lappoinled 19107121) Pioperty Investment & Devejopment Director 13 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Trustees, responsibiltli•s statement The Trustees (who are also directors of the Coalfields Regeneration Trust for the purposes of company lawl ale resw)nsible for preparing the Trustees. Annual Report and Ihe financial slalements in accordan￿ wilh applicable law and regulations. Company law requires the Trustees lo prepare finann5 and disclose with reasonable a¢¢uracy at any lime the financial position of the charitable company and the group and enable them lo ensure that the financial statemenls Comply wrth the Companies Act 201%. Ihe Charities and Trustee Investment (Scollandl Act 2005. the Chariles Accounts (Scollandl Regulalions 2006 las amended) and the provisions of Ihe trust deed. The Trustees are also responsible for safeguarding the assets of the charitable company and the group and hen￿ for taing wsonable steps for the wevention and detection of fraud and other irregularilies. The Trustee5 confimi that.. so far as each Trustee is aware, there is no relevant audit information of which the charitable company'5 audf(or is unaware." and the Trustees have taken all the steps that they ought to have taken as Trustees in order to make themselves aware of any relevant audil infotmalion and to establish Ihal Ihe charitable ¢cm)pany's auditor is aware of that infomiatKJn. The Trustee5 are resFM)nsible for the maintenance and integnty of the corrx)rate and financial information Included on the charitable company's websile. Legislation in the United Kingdom governing the preparation and dissemination of financial slalemenls may differ from legislatson In other jurisdictions. In approving Ihe Report of the Trustees. the Trustees are also approving the Strategic Report in their capacf(y as company directors. On behalf of the Board of Trustees Peter M¢Neslry (Chairl Dale." 3rd 14 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE Independent auditorfs report to the members and tNstees of The Coalfields Regeneration Trust Opinion We have audited the financial slalements of The CoaW*kls Regeneiation Trust Ilhe 'parenl charitable company'l and Its subsidiaries Ithe 'group'l for the year ended 31 March 2021, which comprise the Consolidated and Chafily Slalements of Financial AclN1l￿S (including the Consolidated and Charity Statements of Income and Expenditure). the Consolidated and Charity Balance Sheets, the Consolidated Slalement of Cash Flows. and notes to Ihe financial statements. including a summary of significant accounting policEs. The financial reporting framework that has been applied In their preparation is applicable law and Unrted Kingdom Accounting stsr￿ardS. including Financial Reporting Standard 102." The Financial Reporting Standaid appl￿ble in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opink?n. the financial statements.. give a true and fair VEW of the slate of the group's and parent charitable company's affairs as at 31 March 2021 and of the group's and the parent chairtable company's incoming resources and application of resources, including the group's and the parenl company's income and expenditure for the year then ended, have been properly p￿pared in accordance wtth United Kingtential fraud risks to all engagement team members. and remained ajert lo any indications of fraud or non-complian￿ with laws and ulalions IhroughoLtt the audit. We under5t(Kxl how the Company is (xxnplying with those legal and regulatory frameworks by making enquiries of management. We corwol￿aled our enquiries thrrmjgh our ￿VIeW of board minutes and legal expenses We assessed the susceplibilty of the Company's finan¢tal slalemenls lo material misstatement, including how fraud rn￿h1 occur by discussKJns with management lo undersiand where management considered there is a susceptibility lo fraud. 17 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE Independent auditorfs r¢port to the memb¢rn and trnstees of Tha Coalfields Regeneration Trust Audit procedures performed by the engagement team induded". evaluation of the wnlrols established lo address the risks related to irregularities and fraud", lesling manual joumal entries. in particuL3rjournal enlres determined lo be laige or relating to unusual transactions based on our understanding of Il* business., Jentifying and lesling reL4led party IransactKJns completion of audit procedures to conclude on the compliance of disclosures in the annual report and accounts with applicabk financial repK)rting requirements. Assessment of the atvoptialeness of the co1￿￿e Competen￿ and capabilitie5 of the engagement team induded consideration of the engagement team's". understanding of. and practical experience wilh audit engagements of a similar nalure and complexily through appropriate training and parti¢ipatKTrn knowledge of the Industry in which Ihe cl*nl operates understanding of the legal and reguLqlory requirements to the entity Use ofour report This report Is made solely lo the charitable CO￿panY'S members and trustees. as a body, in accordance with Regulation 10 of the Charities Accounts (Scollandl RegulatKJns 20￿. Section 4411 Ilcl of the Charities and Trustee Investment Iscotlandl Ac* 2005 and Chapler 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we mwJht state lo the charitable company'5 members and Iruslees those matters we are required to state to them in an audilor's report and for no other purpose. To the fullest extent perniitted by law. we ¢*) t)ol accept or assume responsibility to anyone other than the Charitab￿ company and ils Members atKI Iwslees as a trxxly. for our audil work. for this report, or for the opinions we have formed. Peter Edwards Senior Statutory Audilof for and on behalf ol Grant Thornton UK LLP Statutory Auditor. Chartered Accounlanls Sheffield Date.. ￿1112021 Gr*t Thorn¢￿ UK LLP is elvJitAe lo ￿t as an a￿lItOr in tem￿ ol Seth{￿ 1212 of the c￿panieS Act kn)6 18 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Tha Coalfields R¢generation Trust Consolidated Statement of Financial Activitigs {including consolidated income and exp&ndttur¢ a¢¢ount) for year ending 31 Mar¢h 2021 Unrestricted Unrestricted Total General Pensions Utyestricted Restricted Funds Funds Funds Funds 2021 2021 2021 2021 £'ooo Total Funds 2021 £'ooo Total Funds 2020 Note Income frc*n= Donations and legacies Charitable aclivities Other trading adivilies InvestmeTrts Other Total 1551 575 2.551 57S 1.301 353 103 3,271 47 5.075 3.249 61 3.282 61 3.439 3.282 61 6.S65 3.126 Expenditure on.. Ch8ritable admties other Total 1029 1.012 2.095 1,012 3.107 2,837 4,932 1.012 3.589 1.097 4.6 2.837 Nel gains I lthsesl c investments 16 4.783 4.783 13361 4,447 14461 Net income I lexpenditurel before tax Tax charge Net Income I lexpenditurel for the year 4148 1331 5.115 1471 5,068 899 1571 17 14 4.249 133) 4,216 1471 4.169 1741 Transfers tsets•￿en funds Actuarial Ilossesllgains on defined benefit pension schemes 1￿ClUdIng restriction on pension assell Net movement in funds 20 77 4.293 28 11021 4,249 147} 4,246 Re¢oncSllaUon of funds Total funds brought f(Wdrd 21122 Total funds carried forward 761 37,$70 37,654 37,756 41.058 41,863 37 37,654 All income and expenditure derive from ¢onlinuing aclivrties. The notes on pages 23 to 39 form part of these &£ounls. 19 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 The Coalfields Regeneration Trust Charity Statement of Financial A¢tivities (including income and exp8nditure account) for year ending 31 March 2021 Unrestricted Unrestricted Total General Pertsions un￿strICtEd Restricted Fund$ Funds Funds Funds 2021 2021 2021 2021 £'ooo £'ooo Total Funds 2021 Total Funds 2020 £'ooo Note Income from.. Donations and legaC￿S Charitable aclivities Investments Other Totsl 2,SS1 S75 2,551 1.301 476 2.540 48 4,365 108 2,726 61 2,895 2.693 61 2.862 2726 61 6,021 3.126 Expenditure on.. charitab￿ admties Tclal 1029 029 2,B37 4.932 4.932 3,589 3.589 Impairment105S O invesltnenls Net rncome I lexpendlturel Transfers b8h¥een funds Actuarial losses on defined benefit perison schemes (including restricti(￿ on KEnsion asset) Net movement In funds 16 82 82 418 751 {33) 718 1471 671 776 28 751 795 1471 748 748 Reeonciliation of funds. Total furlds brought forwafij Total funds carried forward 21122 36,771 761 37,S32 37.616 37.522 38.327 37 37,616 All income and ext*ndiluTe derive from continuing actiwties. The notes on pages 23 10 39 fomi part of these account5. 20 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 The Coalfields R¢generation Trust Consolidated and Charity Balance Sheet As at 31 March 2021 Group 2021 Group 2020 £'ooo Charity Charty 2021 2020 £'ooo £'ooo Note Fixed assets: Tangible assets Investments Total fixed assets Current assets- Debtors Cash at bank and in hand Total current assets Liabiliti&s'. c￿ditOrS." Amounts falling due wrthin one yeac Net current assets Total assets less Current liabilities Cfedilors.. Amounts falling due after more than one year Net assèts excluding penslon asset Defined knelil pension scheme assel Total net assets 15 16 1.698 47.145 42.265 48.843 43.929 394 16.566 16.960 644 16,416 I7,￿0 957 7.165 .122 799 16.030 15,482 4,797 20,279 7,765 21,282 18 3.091 4.672 5,031 3.093 53.874 47.022 20,599 37,559 19,795 36.855 19 12.779 10,129 41.095 36.893 80$ 761 41.900 37,654 37.559 805 38,364 36,855 761 37,616 20 The funds ofthe charity- Unrestricted fijnds Restricted funds 41.863 37 37.570 38.327 37 37.532 Total charity funds 21r22 41,900 37.654 38,364 37.616 Approved by the Board of Trustees on 311112021 Peter McNeslry Chair of trustees on behalf of the trustees Company number". 037385e6 The notes on pages 23 to 39 form part of these accounts. 21 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 The Coalfields Regeneration Trust Consolidated Statement of Cash Flows For year ending 31 March 2021 Group 2021 £'ooo Group 2020 £'ooo Cash flows frorn operating activities: Nel cash used in operating ￿tivItIeS 12.498) 13,1801 Cash flows from investing activitigs: Rents from investments Inleresl received Proceeds from sale of propety. plant and equipment Purchase of property. plant and equipment Proceeds from sale of investrnents Purchase ol investments Nel cash used in investing activities 3,247 35 3,218 53 16741 89 12931 698 2,986 690 2.697 Cash flows from financing activTrties: Cash inflows from new l)orrowing Net cash provided by financing actwilies 3,800 3,800 Change in cash and cash equwalents in the year 199 1,310 Cash and cash equivalents al the beginning of the year Cash and cash equivalents at the end of the year 6,966 7,165 5,656 6,966 Notes to the consolidated cash flow sLitement a} Reconciliation of net in¢omg to n•t cash flow from operating acttV5ties Net income for the year Depreciation charges (Gains) I losses on investments Lossllprofitl on investment disposals Renlal income Interest received Ilncreasel I decrease in deblors Inciease I Idecreasel in credrt015 Pension adjuslmenl N•t cash used in operating activities 4,169 72 14.4471 1741 73 446 80 13,2471 13.2181 1351 1531 11581 13211 1.069 11291 33 16 2.498 3.180 The notes on pages 23 to 39 fomi part of these accounts. 22 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Notes on the accounts 1 Accounting Policios The principal accounting rK)IKies adopled. judgements and key sources of eslimation uncertainty in the preparation of the financial statements a￿ as follows- Basis of preparation The financial slalements have been prepared in accordan￿ with Accounting and Reporting by Charities.. Slalemenl of Recommended PraclFce applicable to charities preparing their accounts in accordance with the Financrdl Retx)rting Standard appluble In the UK and Republic of Ireland IFRS 1021 leffeclive 1 January 2019)- (Charities SORP IFRS 10211, the Financial Reporting Standard appI￿able in the UK and Republ￿ of Ireland IFRS 1021 and the Companies Act 2(X￿. The Coaifiekls Regeneralhjn Trust meets the definrtion of a public benefit entity under FRS 102. Assets and liabilities are initially recognised al historical cosl or tran￿lon value unless otherwise slated in the relevant accounting wlicy note. The finanual slalements are presented in pound slerling and in round thousands l£'OOO'sl. Preparntion of accounts on a going concem basis After making enquir¢es. the Trustees have a ￿asOnable expeclalK)n that the charty has adequate resources lo continue In operational existence for the foreseeable future. being al least 12 months from the dale that the financial slalemenls are S￿ned. Accordingly. they continue lo adopt the going concern basis In preparing the annual report and accounts. Golng concern 11 is pleasing lo be able to refK)rt that during the past 12 months none of our staff have had a ser*ous illness resulting from the pandern￿. The Trust has taken all reasonab￿ steps over this period to support staff and keep them safe. This has been achieved In the main wrth all staff working from home and ensuring they have the necessary kil to enable them to th so as effectively a5 poSs￿e. The continued use and devek>pment of our communicalion capabilrty. ublising Microsoft Teams and Zoom, h85 ensured we have been able lo provhle an eff￿lent servte while adhenng to the reslriclion5 In place. As restrictions ease more oftice based work h8s commenced wilh all pr*i¢al hearth and safety tools being utilised lo ensure a safe and secure working environment. The Trust's finances have hekj up well over Ihis Un￿rtain wrth government giant funding continuing to be accessed and rental income frcrtm CRT PFoperty Investmenl Limited lour wholly owned subsidiary) at an adequate level lo supw)rt Ihe ¢*arity. Taking account of the above and the level of reserves hekl the cash available lo the Trusl to the end of 2022 will ensure even if the worst hapFEned and a third wave be encounleTed there is sufficient funding lo support our existing ¢ommilmenls. CRT Propety Investments has access to Bank funding and the existing facility has headroom of a further £6.5m Given the March 2021 valuatK)n and existing rental income both our ban lo value ralhJ and income to interest cover remain well wthin the covenant parameters alk)wing further fvlure drawdown when required. 23 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Our other iwo wholly owned subsidiary companies CRT Renewables Limited and CRT Trading Limited are not affected by the pandemic gwen the nature of their business. As a resuk of the atK)ve. the trust￿s. after reviewing cashflow forecasts prepared for a 12 month period after the dale these financial slalemenls a￿ signed, ¢*) not believe thal there are any material uncertainties. wh￿h cast swjnilicant doubt on the abilty ol the Trust to continue as a going concern. Group financial statements The financial slalemenls consolidate the ￿ul1$ of the charity, its wholty owned subsidiaries CRT Tiading Limited, CRT Renewable Energy ￿MIted. CRT PiopErty Investments Limited and CRT Community Enterprises Limited on a Iine-by-line basis. The subsidiary, The Community Legacy Tiust. has not been consolidated on the basis that it was domanl in the yeai. Income Income is recognised when the charity has entrtlemenl to the funds. any performance conditions attached lo the Income have been mel. it is probab￿ that the income will be received and the amount can be measured reliably. Income from government and other grants is recognised when the charity has entitlement to the funds, any perfomiance conditions attached lo the grant have been met. It is probable that the income will be re￿iVed and the amount can be measured reliably and is not deferred. Income received in alVan￿ of piovisv)n of a spEcrfied service is deferred untsl the criteria for income recognition is met. Donated services and facilities Donated professional services and donated facilities are recognised as in¢￿)e when the chanty has control over the item, any conditions ass￿l3ted with the donated item have LEen mel, the receipt of economic benefit fr(￿n the use by the charity of the rtem is probab￿ and the economic benefit can be measured reliab￿. On receipt. donated professional ServI￿S and donated I￿lI111e$ are wognised on the basis of the value of Ihe gift lo the charty which is the amount the charity would have been willing lo pay lo obtain services or facilities of equivalent economic benefit on ihe open market". a corcesponding amount is then recognised in expenditure in the periThl of weipt. Interest re¢elvable Interest on funds held on deposit is included when ceceivable and the amount can be measured reliably by the charity." this is nomialty upon nO￿lC3¢￿ of the interest paKI or payable by the banks. Fund accounting Unrestricted funds are available lo S￿nd on actwilies that further any of the pu(poses of the charity. Designated funds are unrestr￿ed funds which the trustees have decKded at Iheir discretKJn lo set aside lo use for a specific Pu[￿Se. Restricted funds are donations which the donor has SFecified are solety to be used for particular areas of the trust's work ￿ for specrfic prL4eds being undertaken by the Irusl. 24 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Expenditure and irrecoverable VA T Expenditure is recognised On￿ there is a legal or conslruciive obl￿alKIn to make a payment to a third Party, il is probable that settlement will be required and the amount of the obligation can be measured reliabty. Expenditure is ctassilied under the following activity headings". Expenditure on charitable aclivrties includes Ihe costs of actmies undertaken lo further the purposes of the charity and associated support costs. Other expenditure comprises the costs of commeicial trajing and associated support costs and those items not falling into any olhef heading. Ifrecoverable VAT is charged as a c051 against the activity for which the e￿ndIlUre was It￿Urred. Allocation of support costs Support costs are those funcik)ns that assisl the woth of the charity bul do not direct￿ undertake charitable activities. Support costs in¢lude shared servtes, finan￿. IT. quality and govetnanee which support the Trust's pr￿TammeS and activities. These ¢osls have been allocated between costs of raising funds and expendilure on charitable aclmties and are shown in note 8. Operating leases Operating lease rentals are Charged on a straight line basts over the lemi of the ￿aSe. Tangible fixed assets Assets costing £2,000 or are capilalised al cost and are depreck?ted over their estimaled useful economic lives on a straight line basi5 as folkw￿." F￿ehOld property IT Equipment Office equipment. fuinilure, fixtures & frttings Solar panels Biomass boiler & wind turbine 2% strauht line 33% stravJht line 20°k straNJhl line 4% slraKJht line 5% 5trauht line Investments Irivestmenl properties are valued annually and any surplus or defiot re￿nised in the year Unlisted investmen15 are slated at cost ￿sS any provision for diminution in value Debtors Debtors are recognised at their expecled recoverable amount. Cash at bank and In hand Cash al bank and in hand includes any short lerTn, hvJhty Iv4uKJ investments requiring less than three monlhs, notice. Creditors and provisions Creditors and provisions a￿ iecognised where the charty has a present oblwJalion resulting from a past event Ihal will probab￿ result in the transfer of funds lo a third party and the amount due to settle the obligation can be measuied or estimated ￿lIablY. Credrtors and provisions are nomially recognised al their settlement amount after allowing for any trade discounts due. Financial instruments The Irust only has financi?1 assets and IkAbililies of a kM)d that qualify as basic financrdl inslrumenls. Basic financial instruments are inilialty recognised at transaction value and subsequenlty measured al their settlement value with the exception of bank k)ans which are measufed al amortised ¢osl using the effective interest melhcxj. 25 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Pensions Existing employees of Ihe charity were enlilled tojoin the West Yorkshire Pension Fund IVVYPF) which is funded by conlribulions from employee and employer or allernatwely they may have opted to join the group stakeholder pension scheme operated by Scottish W¢knis which is funded by defined contributions from employee and emptyer. Since 1 January 2008 nw employees are onty able to join the stakehokjer scheme and cannot join the WYPF. From 1 January 2015 new and existing employees who are not in the VVYPF or Scottish Widows scheme are automatically enrolled into the National Employment Savings Trust INESTI unless they have exercised Ihwr right lo opt out of scheme's M￿n￿rshIp. The WYPF is part of the L￿81 Govemment PensK)n Fund ILGPFI which is a multi-employer funded defined benefit plan with benefits earned up to 31 March 2014 being linked lo final salary. Benefi15 after 31 March 2014 are based on a Career Average Revalued Eamings scheme. Concessionary loan$ An intercompany loan befvleen The Coatfiekls Regenerat￿n Trtjst and CRT Renewable Energy Limited is Irealed as a concessionary loan. They ale initially recc>Jnised as a loan al the arnount receThied and any impairment kjss is reccxjnised in income and expenditure. No interest is accrued on this loan. 2 Legal status of the Trust The Trusl is a company limited by guarantee, incorporated in England and has no share capital. In the event of the charty being wound up. Ihe liability in ￿SpeCt of the guarantee is limited lo £1 per membei of the charty. 3 Judgements in applying accounting pollcles and key sources of estimalh)n uncortainty Eslimsles and judgements are continually evaluated and are based on historical experience and other factors, Including expe¢tslKJns of future events Ihat are ￿lieved to be reasonable under the circumstances. The directors made the followng judgements and eslimales in preparing the financk31 slatemenls. Impaimient of debtors The company makes an estimate of the recoverable value of trade and other debtors. v￿en assessing the impairment of trade and other deblors. management ci)nsiders factors wh￿h include the ageing of the debtors and historical experience. Useful economic lives of pmperty. plant and equipment The annual depreciation charge lor pioperty, plant and equipment is sensitive lo changes in the estimated ijseful economic lives and residual value of the assets. These are ￿-aSSesSed annually and are amended when necessary lo renect cu¥renl ests"males. base(l on technological advancement. economic ulilisation and physKal condits.on ol the assets. 26 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Defined Benefit Pansion Scheme The piesenl value of the Local Govemment Pension Scheme defined t*rhefil liability depends on a number of factors that are deleffliined on an acluarial basis using a variety of assumptions. The assumptions used in determining the net cosl lincomel for Fknsions include the discount rate. Any changes in these assumptions. wh￿h are disch)sed in note 20. will impact the carrying amount of the pension liability. Furthermore a roll fO￿ard approach which projects ￿su11$ from the latest full actuarial valuation performed al 31 March 2019 has been used by the actuary in valuing the pensions liability al 31 March 2021. Any drfferences between the figures derived from the roll fO￿ard approach and a full actuarial valuation would impact on Ihe carrying amount of the pension liability. 4 Incomo from donation8 Group Group Charity Charity Charity Charity R8slri¢ted ReStr￿ted Unrestricted Re$tri¢ted Unreslricled Restricted 2021 2020 2021 2021 2020 2020 £'ooo £'ooo £'ooo £'ooo £'ooo Government grant5 Donations 2.200 351 1,260 41 2.200 351 1.260 41 1551 1.301 2,551 1,301 S Income from charitable activities Group Group Unrostrlcted R88tricted Uryestricted 20 2021 2020 É'ooo £'o EOOO Gr(xJp Charrty Charity Resthcied Unrn8tri¢ttrd Rg8tricted 2020 2021 20Z1 £'ooo E'OiM) Charrty ReSIr￿e0 2020 E'ooo Unrestricled 2020 E'OOO Contracts and Ser¥￿e Levd Agreemènts Mafiagernent charges 575 10 575 10 123 343 108 575 10 343 575 133 343 6 Income from other trading activities Group Unrestricted 2021 Group UnreStr￿ted 2020 £'ooo Charity Unrestricted 2021 £'ooo Chartty Unreslri¢led 2020 £'ooo Renewable ener9y 103 103 27 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 7 Income from investments Group Grnup Unr8stii¢t•d Rostricted UNestrthd 2021 2021 202 £'ooo £000 Grwp Charity Charity Restsicted Unrostrf¢iod Resiri¢ttd 2020 2021 2021 £'ooo £'ooo Charity UnreStr￿ted 2020 £'wo Charity Restricted 2020 £000 Bank interest Finarte Income Pryty Incotne GIftAid recenied Penwon re5erwe incorne 12 342 3,247 3218 2.338 33 2.149 41 33 41 3.282 3.271 2.726 2.540 8 Expenditure on charitable activities GROUP AND CHARITY Unrestricted Pfynsbo Futhd Rèsthcted 2021 2021 £'ooo £'ooo Unwirf¢ied 2021 Totsl 2021 £'ooo Total 2020 £'ooo Grant making: Grants approved Staff Costs Other overheads Governance General support 1.704 231 49 10 2.493 372 106 97 432 3.500 1,136 352 116 104 456 2.164 57 87 386 1.460 2,040 Cofflrnunity Support: Pr￿r￿MMe cosis Staff costs Other overheads Governance General support Pension 18 241 125 192 S75 210 816 133 38 169 66 1.432 222 699 171 52 224 57 1.425 151 18 $69 797 Total 2.029 2.837 4.932 3,589 There were 511 grants approved in the year totalling £2.493k. All grant approvals are intended lo support the iegeneralion of Coa￿le￿I communrties and contribute towards the Implementation plans ag￿ed with the Trust's princlple funders. Grants are approved under our social investment lemplales lo contribute to the Trust's strategic ofy'eclives. 28 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 9 Analysis of goveman¢• and general support costs General support costs £'ooo Governance £'ooo Totsl £'ooo Staff costs Legal and professional fees Audit Twslee costs 98 285 383 17 17 32 57 18 16 129 601 38 57 18 16 142 736 Marketing Insurance Depreciation Other 13 135 10 Net income I lexpenditur¢) for the year This IS stated after charging- Group 2021 Group 2020 £'ooo Charity 2021 £'ooo Charity 2020 £'ooo Oeprecialion Lossllprofill on disw)sal of fixed assets Bank interest payable Auditor's remuneration_. Audit fee Non-audit 72 73 16 17 347 330 31 15 29 13 17 16 11 Analysi8 of staff costs, trustee remunoration and expenses and the costs of key management personnel Group 2021 Group Charity Charity 2020 2021 2020 £'ooo £'ooo £'ooo Salaries Social security costs Pension costs- defined conlribution schemes Pension costs- defined trtnefrt scheme 1.316 1.342 133 1,208 122 52 58 1.434 22 1,715 26 1,561 1,571 17 Other benefits 1.741 1.587 1,588 1.456 29 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 There were 5 employees (Charity.. 4 employeesl vthose 10181 efflployee benefits lexcludirg employer pension costs) exceeded £60,￿0 in the following ranges12020." 6 Charrty". 51. Group 2021 GTOUP Charity Charty 2020 2021 2020 £60.￿o- £70.(KIO £70.001 £80.000 £80.001 £90.000 £90,001 - £100.000 £100,001 £110.000 The chanty trustees were not paid or did not receive any other benefits from their service wrth the Trust or its subsidiaries in the year12020". nill. No trust*s recewed payment for professional or other ServI￿S supplied lo the ¢harity12020." nill. A l￿al of £0.3k12020' £11kl for 312020." 81 Iruslees wa5 reimbursed or mel by the charity for travel and subsistence. The key management ￿rsOnnel of the Trust comprise Ihe Chief Executive and ihe Head of Finance & Corporate Services. The lotal employee benefits of the key personnel of the Trust were £197k12020." £202kl. 12 Staff numbern The average monthly head count was 42 5taff12020.. 371 and the average monthly numkr offull-lime equivalent employees during the year was 35 folbws". Group 2021 Group Charity Charty 2020 2021 2020 Grant making Community support Management and adminislralion 28 25 25 37 35 13 Related party transactions The following Trustees are also Trustees of The Community L*Jacy Trust.. Peter McNe51ry Nicolas Wilson The following Trustees are directors of CRT Trading Limited.. Peter McNeslry Michael Clapham Linda Rutter (appointed on 041111201 The following Trustees are directors of CRT Renewable Energy Limited". Dawn Davies Nicolas Wilson Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 The following Trustees are directors of CRT Pro￿rtY Inveslrnents Limited.. Nicolas Wilson Wayne Thomas Keith Cunliffe lappointed on 041111201 The following Trustees ale directors of CRT Communty EnterprEes Limrted". Nicolas Wilson Kerth Cunlfffe lappoinled on 04111r201 14 Taxation GROUP Analysis of tax lcreditl ¢harge for the period Current tsx UK Cofporalion lax at 1Vk12020.' 19%) 2021 £'ooo 2020 £'ooo 17 Deferred tax originats.on and reversal of liming drfferences 898 Tax payable 899 17 Provision for deferred tax Fixed asset differences Total deferred tax liats.lity Movement in provish)n'. Provision brought fO￿ard Charge for the period Provision Carried forward 898 898 Factors affecting the current tax charge for the year_" The lax charge for the year 15 lthver12020.' higher} than the standard rale of corpofalion lax in the UK of 19.￿12020." 19%). The differences are explained below.. 2021 £'ooo 2020 £'ooo C￿r￿n1 lax rewncilialion Nel income I lexpenditurel beft)re lax 5.068 57 Current tax at 19%12020'. 19%) Effects of.. Items not subject to corwralion tax Expenses not deductible for lax purposes Fixed asset liming drfferences Tax losses carried fornard lutilised) Deferred tax liming differences Overprovision in previous year 963 317 68 19041 262 81 898 1443) 14261 Total current tax Charge 31 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 15 Tangible fixgd asset GROUP F￿ehr￿1 FI￿ureS nd& fillings & SY8r P40ma55 Idiry5 crrffiKIM)11 eq￿￿￿ent eQ￿￿ent Pands BOi￿r Turtsntr £'ooo £'ooo £'ooo Éooo £'ooo £'ooo Total É'ooo Al l Awl 2020 Additions Transfer lo vesltnent woperty DL4posaL Al 31 MarGh 2021 81 327 674 157 25 1.087 109 142 2,328 674 15681 15681 433 157 25 1.087 109 142 2.434 Dopreciation Al 1 April 2020 Chargtr for year Al 31 M￿h 2021 77 10 87 151 25 43 72 736 157 25 374 49 N•1 Book Value At 31 March 2021 394 433 713 65 93 1,608 Al 31 March 2020 404 327 757 71 CHARITY Freehokl Fixtufes Assets larKJ & IT fittINJs & under bu￿11￿9$ eqLKpment 94uiprnert cor6trudK)n Total £'ooo Cost At 1 Apnl 2020 Additions Transfer to investment property 157 25 234 334 15681 At 31 March 2021 157 25 663 Deprèciation At 1 April 2020 Chaige for year 151 25 253 16 10 At 31 Maich 2021 87 157 25 269 Net Book Value At 31 March 2021 At 31 March 2020 394 644 234 32 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 16 Investmonts GROUP Investment properties £'ooo Fair value Al 1 Apfil 2020 Athlilions Transfer from FKopety plant and equipment Disposals Fair value adjustment At 31 Mar¢h 2021 42.265 568 11351 4,447 47,145 Al 31 March 2020 42.265 The historical cost of properties held al fair value is as follows.. At 31 Mar¢h 2021 Al 31 March 2020 42,484 41.916 CHARITY Investment Invostmgnt in group Property undertakings Total £'ooo Cost Al 1 April 2020 Transfer from property plant and equipment Fair value adjustment 16.765 16.765 568 14181 568 14181 16,765 150 16,915 Impairment Al 1 April 2020 Charge in year Al 31 March 2021 349 349 349 349 Nel book value At 31 March 2021 Al 33 March 2020 16.416 16.416 150 16.566 16.416 The historical cost of woperties held at fair value 15 as follThvs'. At 31 March 2021 Al 31 March 2020 The investment properties were valued at 31 Marth 2ff21 by BNP Paribas Real Estate. an independent valuer with a recognised and relevant professK)nal qualificatK)n and wth recent eXper￿nCe in the location and category of the investment property being valued The properties have been valued on the basis of open mafkel value in accordance with the Appraisal and Valuation Manual of The Royal Institute of Chartered Surveyors 33 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Subsidiary Company number Charity number Equity shareholdrng Principal activity CRT Trading Limited 04547241 r￿a 100% Business loans The Community Legacy Trust C6855302 1133280 nla. Dormant CRT Renewabk Energy Limited 07876C nla 100% Renewable inilialives CRT Property Investments Limited 0838￿21 nla ILK)% Property Investment CRT Community Enterprises Limited 08791168 100% Property Investment 'The Community Legacy Trust is a company limrted by guaranlee and is Ireated as 8 subsidiary of the Trust by virtue of rt being the foun(*r memkr and by holding the majority of voting rights. The financial results of the sUbsKI￿rieS for the year entsd 31 March 2021 and their net assets al that dale are as follows.. CRT CRT CRT Renewable Property Comrnunity Energy Investments Enterprises Limit Limited Limitod £,{￿0 CRT Trading Limited Income Expenisiture Other operating income Other operating expense Interest r￿1Vable Interest payable Net gain on investments 3,208 15841 37 121 11351 171 1461 16991 4,865 prof￿ Ilossl before tax Tax payable Trading profiu Ilossl for the year Gift aid payment Profit l {Lossl for the year (21 1391 6,829 901 5.928 2.312 3,616 {531 121 1371 26 63 1531 Net Assets at 31 March 2021 19,292 15 34 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL sTATEmE￿s FOR THE YEAR ENDED 31 MARCH 2021 17 Debtors Group 2021 Group 2020 £'ooo Charity 2021 £'ooo Charity 2020 £'ooD Trade debtors Amounts owed by group undertakings Prepayments and accrued income 321 292 26 15,968 61 15.409 47 507 957 799 16.030 15,482 Amounts falling due after more than one year included alyjve are.. Group 2021 £'ooo Group 2020 £'ooo Charity 2021 £'ooo Chanty 2020 £'ooo Amounts owed by group undertakings 12,151 18 Credito￿. amounts falling due within on• year Group 2021 Group 2020 £'ooo Charity 2021 £'ooo Charrty 2020 £'ooo Bank loan5 Gran15 payable Trade creditors Accruals Corporation tax Deferred lax Other taxation and social security 2.650 49 154 1,158 443 193 193 49 132 234 1.263 367 205 218 67 69 3.091 4.672 19 Creditors.. amounts falling due after one year Group 2021 Group 2020 £'ooo Charity 2021 £'ooo Charrty 2020 £'ooo Bank loans 12.779 10.129 12.779 10,129 The bank loan is secured on investment properties with a carrying value of £41.955k. The loan is charged al 2.5% over LIBOR and is repayable betW￿n 25 May 2022 at)d 20 Decembei 2024. 35 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 20 Pensions and oth¢r post-ret1￿ment benefits The Trust operates a defined benefrt FensK)n scheme wh￿h is part of the Wesl Yorkshire Pension Fund mulli-employer scheme. The assets d the scheme are held separately from those of the Trust and are independentty administered. The valuation used has been based on the most ￿￿ent acluarral valuath)n at 31 March 2019 and was updated by Aon Hewitt lo lake account of the requiremenls of FRS 102 The assets and liabilities of Ihe scheme at 31 March are.. 2021 £'ooo 2020 £'ooo Scheme assets at fair value Equities Propety Government bonds Corporate bonds Cash Other 10.042 479 1.046 580 252 202 8,072 469 1.000 531 198 146 Fail value of scheme assets Present value of funded delined benefrt obligations Funded slalus Unrecognised asset Asset rgcognised on the balance sheet 12,601 10.655 10.416 8.984 1,432 671 761 1,141 The amounts recognised in the irthme stalwment are as folltrus." 2021 £'ooo 2020 £'ooo Operating cost Current service ¢osl Past service cost Financing ¢ost Interest on nel defined benefit asset 109 115 133) 1411 P•nsion expense recognised 76 74 Amount recognised in olher COmp￿hen$￿e inc(xne 2021 £'ooo 2020 £'ooo Asset gains I Ikjssesl in the yeai Liabilily Ibssesl I gains in the year Change in the effect of asset cerling Adjustment to ￿￿e¢l reStriCt￿n on pension asset 2.172 (1,625) {15} 1455} 11,0821 852 202 Total amount re¢ognised 28 36 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Changes in the present value of the defined benefit obligat￿n are analysed as follows. 2021 £'ooo 2020 £'DOO Al 1 April 2020 Current service cost Interest expense on defined benefit oblwJalion Contributions by participants A¢luarial losses / (gains) on liabiliiEs Nel benefits paid Past service cost At 31 March 2021 8,984 109 9,646 115 230 27 1852} 1182) 26 1.625 {2931 10,6SS 8,984 Changes In the fair value of plan assets are anatysed as folbws." 2021 £'ooo 2020 £'ooo Al 1 April 2020 Interest on income assets Re-measurement gains l (losses) on assets Employer ¢onlribulions Participant contributions Nel benefi15 paid At 31 March 2021 10,416 237 2,172 11,324 271 11.Q821 26 293 12,601 27 182 10,416 Main assumptions 2021 2020 Discount rale CPI inflation Pen510n increases Pension accounts ￿valUation rale Salary increases 3.95 325 Post-relirement mortality". Current pensK)ners aged 65- male Current pensione¥s aged 65- female Future pensioner current age 45 male Future pensioner current age 45 - fema 21.9 21.8 24.6 225 25.7 22.6 25.8 37 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 21 Restricted funds Analysis of movement in raslricted funds Balance Balance at31 March 2021 £'ooo Gains and 105ses April 2020 Incc¥nt Expenditure Transfe E'OOO £'OOO £'ooo DCMS Wakefield MDC Sheffield Futures Yorkshire Sport FNe Towns PCN Scottish Governrnenl Big Lottery ScotlarKJ Fife Cwnol Other Scotland Towns Corra Foundation DVVP Kickslart Sustrans East Ayrshire DC Welsh Assembty Merthyr Tydfil C8C RDP Golf Foundation MoondaKe Found*on WCVA TOget1￿r Fund Celn Golau DriviThJ Change 8uilding for the Future THI Heritage L(rttery Blaenau Gwwrt En￿n￿rnent Invoiced Say￿e$ Coronoviws Job Retention Scheme 11.(MX)I 115) 1108 181 1281 17501 1211 151 1371 131 1251 15 28 750 21 10 45 25 147 11331 17 450 14501 151 121 11441 1131 1631 144 13 142 11421 11861 181 14 1141 15 1151 CHARITY TOTAL Subsidiary Compantes GROUPTOTAL 3.126 11837) 13361 37 336 37 Purpose of funds All funds are used lo delNer activty in accordance wilh the Trust's objectNes in Scotland and Wales respectively. 22 Analysis of net a$sots botween funds Group Unrestricted Funds {including Group Pension) Restricted £'¢Joo Charity UNestricted Funds lincludlng Charity Charity Penslonl R•5tricted Total £'ooo £'ooo £'ooo Group Tclal £'ooo Tangible fix￿ assets Investments Cash at bank and In hand Other net current Iliabilitie51 l assets Creditors due after ort year Pensi(Ki Scheme Asset 1.698 47. 145 7.128 394 16,566 5.215 394 1e.566 5.252 47. 145 7.165 37 37 12. 1341 112.7791 12. 1341 112.7791 15.347 15.347 Total 37 38.327 37 38,364 38 Docusign EnvÈlope ID." 6288DF89-B32C4041-AD61-848C6F131CEE THE COALFIELDS REGENERATION TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 23 Leasing commitments Operating lease and rental payments fall due as follows.. Group and charrty Equipment 2021 £'ooo Equipment 2020 £'ooo In one year or less Between one and five years 10 13 io 10 23 24 Financial commitments The group had no caprtal commrtment5 at 31 March 2021 12020.. £269kl. There were no Conlingenl Iiabililies at the year end. 39