REGISTERED COMPANY NUMBER: 04343347 (England and Wales) REGISTERED CHARITY NUMBER: 1093653 GROUP REPORT OF THE TRUSTEES AND cot4SOUDATED FINANaAL sfATEMENTS FOR THE YEAR ENDED 31ST MARCH 2021 INSPIREALL LEISURE AND FAMILY SUPPORT SERVI (A COMPANY UMITED BY GUARANTEE). Wags LLP tla Wagstaffs Chartered Accountants and Statutory Auditors RhM0nd House Walkern Road Stevenage Hertfordshire SGI 3QP AaY2AFC 11112r2021 COMPANIES HOUSE A13 12S8
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES CONTENTS OF THE CON50UDATED FINANaAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2021 Page Reference aml Admlnistrative Detsits Report of the Trustees 2 to 13 Report of the Independent Audltors 14 to 17 Consolidated Statement of Hnancsal Artivltles 18 Consolidated Statement of Financial Posltlon 19 to 20 Charlty Statement of Financlal Position 21 to 22 Consolidated Statement of Cash Flows 23 Nrtes to the Consolidated Statement of Cash Nows 24 Notes to the Consolidated Financial Ststements 25 to 41
INSPIREALL iEISURE AND FAMILY SUPPORT SERVICES REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31ST MARCH 2021 TrUSTEES C N Warne- Chairnian M F Bamett {resigned 01/121) M Gibson A R Jacobson AJ Keating K J O'malley (resigned 011041211 Ratcliffe (resigned 011051201 A M Sinclair STQWilliams REGISTERED OFFICE The Venue Elstree Way Borehamwood Hertfordshire WD6 IJY REGISTERED COMPANY NUM8Efl 04343347 IEn8land and Wolesl REGISTERED CHARITY NUMBEI 1093653 AUDITORS Wags ILP Va Wagstaffs Chartered Accountant5 and statutory Auditors Richmond House Walkern Road Stevenage Hertfordshire SGI 3QP CHIEF EXECUTIVE R W Allan (appointed 011061211 D Brame Iresgned 311051211 Page I
INSWREALL LEISURE AMO FAMILY SUPPORT SERVICES GROUP REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31sr MARCH 2021 The Tmstee5. who are also directors of the Charity for the purposes of the Companies Art 21X)6. present their report with the financial statements of the group for the year ended 31st March 2021. The Trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial ReportinE Standard applicable in the UK and Republic of Ireland IFRS 1021 leffectwe l January 20191. OBJEcfivES AND AcrivmES Policies and objedives The principal activities are those encompassed within the Memorandum of Association. which principally involve managing leisure and family sUPPOrt centre5. InSpiAll Leisure & Family Support SeNices IlnspireAIII exists to promote and preseThe 8ood health, wellbeing and more active lifestyles for the communities it serves. Specifically, it provides leisure services to the residents of Hertsmere IHBCI and Milton Keynes IMKCI. In additK)n. through contracts with Hertfordshire County Council IHCCI, the Charity provides famify centre services to the boroughs and districts of Hertsmere. Three Rivers. St Albans, Warford and Dacorum. This entails being the lead agency in supporting work with children aged pre-birth to 11 years old in these areas and requires the provision of staff and expertise. The leisure sertor is highly competitive. with budget gyms at one end of the price spertrum and expensive sports clubs at the other. InspireAII's role in thi5 sertor is to delNer services on behalf of Local Authoritie5 and, as such, seek to appeal to as wide a spectrum of customers as possible. InspireAII therefore operate pricing policy that makes the facilities accessible yet generates sufficient surplus to allow investment in keeping facilities and equipment up-to-date. In addition, InspireAII operates a concessionary pricing policy to encourage disadvantaged sertion5 of the community to participate, with each site offering a programme of activity to support specialist group5 to encourage them to make use of the facilities. Who used and beneffted from our servlces The leisure side of the business rnanaEes four major leisu centres. plus community centres, pavilions and a theatre. The facilities are used by individuals, groups and clubs, with a wide range of activities on offer that allow individuals of all ages to participate at the level and intensity that Suits their personal need and ability. Every centre is open to all, either on a membership or "pay-as-you-go" basis and a concessionary priting scheme is operated within each contract to encourage participation and, whenever possible, remove barriers to followirE a healthy lifestyle. The provision of Fami Support Ser¥ices, on behalf of Hertfordshire County Council, has grown to become a significant part of the business. The current six-year contrart, which commented on 1st O¢tober 2018. sees InspireAII managing 35 Famity Centres in the borough5 of Hertsmere. Dacorum. Watford, Three Rivers, and St Albans. In these areas. the aim is to establish contact with every new parent and offer them a range of 5ervices- advice, classes, one-to-one assistance - that Can help them with parenting. a55iSt them to lead healthy lives, give children the best start in life and allow them to reach their full potential. The service unifies family centre staff, health visitors and school nursing under a single umbrella, offering a joined-up service that allows easy access. Page 2
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES GROUP REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH ZOZI Public Benefrt The Board of Trustees confirm that they have complied with the duties of Section 1715) of the Charities Act 2011 to have due regard to the Charity Comrni55ion's general guidance on public benefrt. InspireAII has referred to the Charity Commission's Eeneral guidance on public benefit when reviewing its aims and objectives and in planning its future artivities. STRATEGIC REPORT Achlevement and perfomunce Review of actfvltles The year ending March 2021 has been uniquely challenging, with all leisure facilities instrurted to close on 23 March 2020 due to the COVID-19 pandemic. The vital Vrk done by the Family SeThices business continued. but under s18nificant changed circumstances. Survival became the name of the game. With dates for reffjpening uncertain, the leisure facilities were put into "hibernation" in a state that would allow re-opening as quickly as possible, with health and safety consideration5 paramount. Positive discussions were held with Hertsmere Borough Council and Milton Keynes Council to secure relevant funding and paymeni holidays. whilst other funds. Such as the Cultural Recovery Fund, were successfully accessed. Extensive use was made of the Coronavirus Job Retention Scheme I"furlough"l. The leisure business had to adapt quickly and develop services in new a3$ such as outdoor group exercise and online virtual classes. many of which have continued post the COVID lotkdown. but for m05t leisure customers the facilities effectively c105ed. InSpiAll was pleased that some of the facilities were able to act a5 COVID te5tin8 and vaccination centres. The funding for Family SeNices remained in place. but this part of the Charity had to change to delivering its services on-line. from Irne. nece55itating a rapid learning curve for many in the business. The staff rose to the challenge magnificently. delNering courses and consultations via their newly acquired laptops. Page 3
INSPIREALL LEISURE AND FAMILY SUPPORT SERVI GROUP REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2021 Contrart revlews Hertsmere Borou8h Coun¢il Contract (HBC) The year should have seen InspireAII start to reap the benefrts of the major investment programme undertaken over the previous two financial year5. Instead, wtth COVIO striking, attention had to be focused on keeping costs to a minimum. accessing whatever COVID funding was available and ne8Otiating a new schedule for the repayment of the interest and loans related to the investment programme. The HBC sites closed in March 2020. with the exception5 of the Day Nurseries. which remained open throughout. In the first lockdown, staff initialty focused on customer communications. contacting members and hirers to reassure them that their bookings and memberships would be treated fairly. Credtts were produced for the majority of customers. with some refunds. Pay-as-you-80 memberships were extended for the Same length as the facilities were closed, monthly memberships and swimming le55on5 were paused and periods of credits were calculated and applied. rickets for shows were either -bOoked or refunded. After this initial phase of activity. all but a small core of staff Vre placed on fudough through the first and subsequent lockdowns. Facilities were put in a lOW-Wer state. with daily buildin8 checks completed on the larger facilities that h•d swimming pools and three per week on the smaller, non-pool facilities. Some Small facility use was allowed for supporting food distribution and providing facilitie5 for pop-up testing site5. Leading up to the reopening at the end of July 2020, the facilities were made COVID secure. with one-way systems, screens and diSinfectn measures. Staff were retrained and welcomed back in the week prior to reopening. The initial reopening was steady. wtth significantly reduted footfall, but was well received by returning customers. Reduced maximurn capacities were implemented and booking systems were put place. as per government and 5POrt5 bodies. guidance. SeNices like the "Health Hub" and "Get ArtNe" programmes Vre operated remotely. Throughout the pandemic, the activit$ and facilities were managed according to the relevant government advice of the time. Each artwity wa5 risk asse55ed based on the relevant guidance for the facility type and the specific industry guidance for the attivities. The autumn lock-down replicated the same process of closing. inforniing customers and furlough. During this period, the introdurtion of the Legend booking System was completed. with staff trainin8 in time for the winter re-opening. Working collaboratively with Stevenage Leisure Ltd. a new Health and Safety policy framework was also introduced. From October 2020 to March 2021. Wyllyotts Theatre was the beneficiary of a successful Cultural Recovery Fund bid, securing £306k which was used to upgrade parts of the facility. in particular the ventilation, to retain staff talent and offer a limited programme of entertainment when legally allowed. This funding precluded Wyllyotts, staff from being furfoughed and they tumed their hands to completing the redecoration of the facility. Page 4
INSPIREALL LEISURE AND FAMILY SUPPORT SERVI5 GROUP REPORT OF THE TRUSTEES FOR ThE YEAR ENDED 31ST MARCH 2021 . The early December reopening of leisure facilities wa5 complicated by a rapid move of Hertsmere through different COVID alert leve15. With varying restrictions on the actNities allowed io operate. A responstve programme allowed facilities to remain open through this period. An improved di8ltal fitness option was available for customer5 and artiNYtie5 like the Christma5 Window Di5play5 provided some customer engagement. During December, the National Leisure Recovery Fund and a second round of the Cultural Recovery Fund were announced and applied for. Working with HBC. £198k wa5 Secured for the three leisure centre5 and £129k additional funding secured for Wyllyotts for the first quarter of 2021-22 financial year. Smaller, but significant. local restrictions funding was applied for throughout the lockdowns through HBC. In January. H8C formally approved a package of measures to ensure InspireAII's solvency, comprlsing: Extension of the Leisure Services Contract by five years to 31 January 2032. Recovery of the 2020121 management fee from the governmenvs irrecoverable loss of income xheme. Deferring the mana8ement fee due in 2021122 and recoverin8 this through a re-ne8Otiated management fee over the extended contract period. Deferring the development loan repayments {principal and interest) for the 2020121 and 202U22 financial years. InspireAII to take SpOnsIbl11ty for the costs a5XlCiated with the interim management of Bushey Community Centre. Through January to March 2021, facilitie5 Within the contrart were used as COVID testing locations on a regular basis, to support HertfOrdshI County Council. During this period. re-opening plans were completed based on the 8overnmenVs Sprin8 Road Map. with outdoor actNates returning in a limited capacity. such as paddle tennis. Pltch bookings and a park events Easter E88 Hunt. Mitton Keynes Clwncll Contrart {MKCI As with the HBC contract, the leisure facilities were dosed for all but a few weeks in the trading year. MKC agreed to pay the management fee in advance. ensuring suitable cashflow to maintain operations for this financial year. For the majority of the year Stes remained closed, excluding the sites that are home for the three pre- schools running within the MK contract. Football academies returned slightly ahead of the other services as essential business was released from full lockdown restrictions. The first period of lockdown was extremèlv Intense and largely dominated by governance. health and safety and restriction changes. at what felt like. dailv. Communication to the team was highly prioritised to ensure contact. engagement and ensure their wellbeing was cared for. The team were sent Sufficient resources to support them, along with opportunity to train and develop as lockdown continues. Training included 3 new Covid and longcovid training opportunity to allow a large number of the team to engage, support and prescribe exercise for those either rehabilitating from recent Covid or those with lon8lovid. Page 5
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES GROUP REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2021 The sltes. although exlremely quiet. were managed by a specific team who carried out Statutory and compliance safety checks. Redecoration across the whole estate was also completed and improvements to the pool plant as well as a new CHP. all took place during the periods of closure. Funding and grant opplications continue to support the income Kisses incurred. Although a far stretch from what was actually needed, £170k was received from the National Leisure Recovery Fund and other small grants. Hertfordshire County Coun¢il Family Support Services Contrart 2020121 was a challenging year for both the Family Support Service and InspireAII Nurseries due to the pandemic and the ever<hanging situation. In line with Government guidelines. the Family Support seiCe continued to provide key support to local families throughout the year. Due to the restrictions. the majority of Family Support staff worked from home. Their much-valued support was initially provided virtually or via the phone. Prompt action was taken to transfer key parenting 5UPPOrt Sessions into an online offer. Due to the necessity for home workin& InspireAII invested resources into providing staff with appropriate IT equipment and mobile phones. Throughout the year. Hertfordshire County Council conlinued to. undertake their quarterty Contrart Monitoring meeting5. InspireAII was able to demonstrate a wide range of innovative approaches to adapting service delivery to the new operating environment. The increased use of social media was key. with regular Facebook and Instagram Live sessions running for parent5 of young children to access. as well as the use of Zoom and MS Teams to deliver a wide range of parenting courses. During the year. Hertfordshire County Council requested a change in the focus of the Family Support Services. thi5 invofved scaling down the vniversal offer to all families in order to increase resources for more targeted seThices to support families with emer8in8 and more complex needs. These needs included speech and language delay. concerns with parents. mental health, increased levels of domestic abuse and children falling behind in reathing their developmental milestones. InspireAII ensured that delivery staff received appropriate additional training where required. whilst regular support from their line managers and colleagues was provided to try and mitigate the stresses of the more complex work and potential feelings of isolation due to horne working. In addition. a regular wellbeing newsletter was developed with contributions from across the teams and staff consultations were undertaken periodically to understand how the organi5ation coukl support the staff further. with appropriate Steps Put in Pla to respond to ' these needs. As the year progressed. key services were able to be delivered face-to-fate from Family Centres. In order that families and staff where protected. comprehensive heah and safety risk a55essment5 were undertaken and continually reviewed. When the vaccines became available. Hertfordshire County Council prioritised Family Support staff to receNe them. for which staff were very grateful. Pa8e 6
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES GROUP REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2021 In line with Government directives. Furzefield Nursery closed between April and June 2020. The Nursery at the BECC remained open, providin8 care to vulnerable children and children of key workers. As the year progre55ed, both nurseries where able to offer their services to all their families. InspireAII developed a comprehensive programme of risk assessments to ensure children. their parents and staff were reassured and protected and that the nurseries could both function well. 80th nurseries ended the year with strong occupancy levels, despite the challenges faced. Financial review Flnancial posltion The results for the year a set out in the financial stalements. Totsl income, before interest on the defined benefit pension scheme was £8,914.28512020: £17,833,4961. The deficit for the financial year. before ihe pension adjustment. was £2.187.58612020: £31,681 deficit). The pension adjustment was a deficit of £1.191,1)XI12020: £1,031.ID)I, which resulted in an adverse net movement in funds of £1,174,(NXJ12020.. £1.046,6811. Principal funding sources In the leisure sector. the main source of income derives from the individual customer5 that are attracted to and use the facilities. in competititin with other frtnes5 and leisure businesses. In a "normal" year. membership income derived from the gym. fitness classes and swimming is the key income sour, but with the pandemic impacting so dramatically. the Charity depended heavity on using the furbugh scheme and securing significant grant money. as described previously in the Contract Review sections of this report. Milton Keyne5 Council paid a £313k annual managernent fee for the day-to-day running of Several community facilitie5. Hertsmere BC provided the loan, on commercial tern)s. for the programme of investment undertaken over the previou5 two years. Repayments a being rescheduled as part of the Choritys COVID recovery plan. The Family Support Serrfices busine55 15 wholly funded by Hertfordshire County Council. under a six-year contract secured following a competitNe tenderin8 process. InspireAII doe5 noi undertake general fundraising activities on its own behalf and does not employ professional fund-raisers or commercial participators. As a consequence. InspireAII was not subject to an undertaking to be bound by any voluntary or statutory schemes for regulating or monitoring fundraising. Page 7
INSHREALL LEISURE AND FAMILY SUPPORT SERVICES GROUP REPORT OF ThE TRUSTEES FOR ThE YEAR ENDED 31ST MARCH 2021 Flnancial review ReseThes policy At the end of the financial year. the Trust held negative unre5trirted reserve5 (excluding retirement benefrt obligationsl of £598,282 12020: positive reserves of £1,534,5071 and a cash balance of £2,283,969 {2020.' £1,850,114). The current deficit sItion 15 a direct impact of the COVID-19 pandemic. As the business continues to rebuild and stabilise. the aim is to fully recover the deficit over the next i to 2 years and maintain a level of between £5(h)K and Elm moving forward. The defined benefrt pension fund obligation is monitored closety but is not seen as an immediate threat to the day-to-day business of the Trust. Golnz concern After making appropriate enquiries. the Trustees have a rea9)nable expectation that the company has adequate resources to continue to operate for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further detsils regarding the adoption of the going concern basis can be found in the Accounting Policie5. Principal risks and uncertainties In a highly competitive marketplace. InspireAII needed to invest a substantial sum in upgrading its kev facilities. There was a high degree of confidence that this investment would pay off, but the risk clearly existed that this might not be the case. The initial signs were encouragin& bLrt the COVID lockdown Stalled the initial momentum. However. worthwhile discussions took place with both our Local Authority le4SUfe clients that significantly relieved the pressure on the business. Most importantly. Hertsmere BC agreed to defer repayment of the £4.8m investment loan. as well as interest and rent. Hertsmere BC has also agreed a fNe-year contract extension, which gives InspireAII more time to gain a return on the recent investment programme. Thi5 SUPPOrt from the Council is hugety significant and is a reflection of the good working lationShIp the business ha5 maintained over the years with its largest leisure client. tikewise. Milton Keynes Council has agreed to pav its annual contract fee in advance. should it be required. The Family Support Services incorne stream 15 contrartually secure. although the range and standard of seNice that the contract requires must continue lo be provided. The efficiency with which InspireAII has managed the business has provided the finance for the additional IT resources. infrastructure and the development of on-line training packages. Page 8
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES GROUP REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2021 Financ1 rtview Future plans Having invested significant Sums in renewing and enharbcing selerted key facilities, the focus of the business had turned to ensuring these investments are fully exploited over the next few years. This remains the case in the longer-temi, but the impact of the COVID lockdowns means that the immediate focus has to be on ensuring the short to medium temi survival of the leisure business. A5 mentioned above, In5pireAII has secured vital support from it5 Local Authority clients. It has Used social media to maintain dialogue with individual customers. Future focus will be to rebuild the membership base across all the contracted leisure facilities. The recent switch to the °LeBend° customer management system will leave the business in a better place to achieve this objective. Cost control will become even more important. To this end. in a joint initiative with Stevenage Leisure. a new HR 5y5tem will be irnplemented which will drarnaticalty improve our management of staff costs and release managers from the many hours currentty spent on paperwork. Payback will be seen in the first year. In respect of the Milton Keynes contract. it is likely that some of the small community facllities will be taken back into the control of the relevant parish councils. STRucfuRE, GOVERNANCE AND MANAGEMENT Governing document and ¢harity constitution The Trust and the group are registered as a charitable company Inumber 10936531 limited by guarantee and were set up by a Memorandum of Association on l December 2CKI3. The Memorandum and Articles of Association were revised in 21J)6 to accommodate the a(idition of children's centres (now temied ~family centre} services to the portfolio. The Memorandum and Articles of Association were further revised at the AGM in 2016 to remove non-trustees as Members of the Company. The Members are guarantors of the Charitable company and each has undertaken to contribute such amount as may be required Ibut not exceeding £1 each) to the Charitable Company's assets if it should be wound up while he or She is a memberor wtthin one yearafter he or she should cease to be a member, for payment of the Charitable company's debts and liabilities contracted before he or She ceased to be a member, and of the costs. charges and expenses of the winding up. and for the adjustments of the rights of the contributors among themselves. The Charity is required to have between three and eleven Trustees. They are the Trustees of InspireAII in accordance with the Charitie5 Act 2011 and they are also Directors in accordance with the Companies Act 2.6. At the end of the financial year the number stood at eight, one havin8 left due to family commitments, one due to relocation and a third due to work commitments. Page 9
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES GROUP REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2021 Recruitment and appointment of new trustees The Board is continually seeking to recruit new Twstees to achieve a breadth of experience and skill5. Vacancies are advertised as Dece55ary. with suitable candidates inf(ialty meeting the Chair and Chief Executive to explore the opportunity. Candidales are then invited to attend two Board meetings as observers, prior to possible appointment. Indurtion and training of new tryste¢s Many Trustees are users of the facilities, so often come to the business with their experience as customers. All new Trustees are encouraged to spend time with managers in various locations, to gain further insight into the business. A trustee guidebook has also been produced. which provides a handy guide to the business and trustees, responsibilities. Organisatlonal struciure and decision making The Board of Trustees meet5 at least every two months and has delegated the responsibility for administerin8 the charity to a management tearn that has been formed jointly with SLL: Richard Allan Robert Keegan Natalie Palmer Liz Applin Lee Medlock Adrian Hill Donna Radics Martin Smith Chief Executive Officer (appointed OV06120211 Head of Finance (resigned 31112120201 Head of Finance lappointed 17105120211 Head of Famity Centres - Head of Operations (appointed 01107120211 Head of Head of HR Head of Facilities In addition to the Board Meetings. there are regular meetings of Finan and Development Committee and the HR Committee. The current Board offers professional expertise encompassing finance. customer relations. law, food & beverage. marketin& HR and energy efficiency. in addition to the general management experience of operating at senior levels in theif respettwe professions. None of the three Local Authorities presentty served by InspireAII (Hertsmere Borough Council. Milton Keynes Council and Hertfordshire County Councill nominate people for consideration by the Trustees. Pay policy for senior staff The pay and remuneration for key management personnel is based on benchmarking of similar roles in comparable organisations. Changes in remuneration of key management personnel are agreed by the Board. Pa8e 10
IN5PIREALL LEISURE AND FAMILY SUPPORT SERVICES GROUP REPORT OF THE TRUSTEE5 FOR THE YEAR ENDED 315T MARCH 2021 C(•operatlon with other oryanlsatlons InspireAII operates independently, but occupies buildings owned by Hertsmere Borough Council, Milton Keyne5 Council and Hertford5hire County Council. InspireAII works with and supports the respective Councils in their health. leisure and children's objectr¥e5 where they coincide with the aims ol the Charity. The Family Support Servios team works in co-QFeration with Hertfordshire Community Trust. Bamardo's and One YMC InspireAII and Stevena8e Leisure Limited ISLLI have pooled selected head office functions in order to achieve economies of scale and improved support. As an example. InspireAII have adopted the SLL ustomer management system. Legend. which is allowing IA to deliver a far better customer experience at lower cost than using its own system. Rlsk management Key risks are identified as part of the annual strategic planning process. The Board and the Finance & Development Committee review monthly management accounts, re-forecasts and Key Performance Indicotor5 at each meeting. Other non-financial r*sks are reviewed regularly. with the Risk Register updated as necessary. EVENTS SINCE THE END OF THE YEAR The leisu centres were able to reopen from the 12th of April 2021. with some restrictions still in place. Workout Classes resumed on the iw May 2021. again wtth restrictions. Wyllyotts reopened in full in September 2021. Swimming has bounced back impressively. to approach pre-COVID levels. Membership sales have been good, but have been counter-balanced by cancellations. High-intensity classes have tsken the biggest hit, as customers remain wary of the virus, despite the centres switching their system5 to maximurn extract. It would appear that recovery will be slow. In the light of this experience, revised medium-tenn plans are bein8 drawn up. EMPLOYEE INVOLVEMENT AND EMPLOYMENT OF THE DISABLED Employees have been consulted on issues of ton¢ern to them by means of regular consultative committee and staff meetings and hove been kept infomied on specific matters direttly by management. The company and the group carry out exit interviews for all staff leaving the organisation and has adopted a procedure of upward feedback for senior management and the Trustees. The company and the group have implemented a number of detsiled policies in relation to all asperts of personnel matters including: Equal Opportunities Volunteer5, Policy Health & Safety Policy Page 11
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICE5 GROUP REPORT OF THE TRU5tEES FOR THE YEAR ENDED 31ST MARCH ZOZI In accordance with the company and the groups Equal Opportunities Policy. the charity and the group has long established fair ernployment practices in the recruitment selection. retentKn and training of disabled staff. Full details of these policies are available from the charity and the group's Offi5. STATEMENT OF TRUSTEES. RESPONSIBILmE5 The Trustees Iwho are also the directors of InspireAII Leisure and Family Support sees for the purposes of company lawl are responsible for preparing the Report of the Trustees and the con501idated financial statements in actordance with applicable law and Unrted Kin8dom Accountin8 Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 'The Financial Reporting Standard opplicable in the UK and Republic of Ireland" 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 charitable company and of the incoming resources and applitation of resources, includin8 the income and expenditure. of the charitsble company for that period. In preparing those financial statements, the Trustees are required to= select Sultable accounting policies and then app them consistently observe the methods and principles in the Charity SORP- make judgements and estimates that are reasonable and prudent- prepare the financial statements on the going concem basis unless it is inappropriate to presume that the charitable company will continue in business. The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time. the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 26. They are also responsible for safeguarding the assets of the charitable company and hence for takin8 reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the Trustees a aware.- there is no relevant audit information of which the charitable company's auditors are unaware,. and the Trustee5 have taken all steps that they ought to have taken to make theMSee$ aware of any relevant audil information and to establish that the auditors are aware of that information. Page 12
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES GROUP REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST MARCH 2021 AUDITORS The auditors, Wags LLP tla Wagstaffs, will be proposed for re-appointment a.t the forthcoming Annual General Meetin8. Inspire1 uses its auditors to help prepare the Financial Statements. to safe8uard auditor objectivity and independence. InspireAII qUest that a member of staff separate to the audit team is used to prepare the Statutory ac¢ount5. Report of the trustees, incorporating a strategic report. approved by order of the board of trustees, as the company directors. on .*.......W.ew.<•knknr Z•L . and signed on the board's behalf by: C N Wame- Chairman Page 13
REPORT OF THE INDEPENDENT AUOtroRS TO THE MEMBERS OF INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES Opinion We have audited the consolidated financial statements of InspireAII Leisure and Family Support Services (the 'charitable company'l and its subsidiary Ithe 'group'} for the year ended 31st March 2021 which comprise the Consolidated Statement of Financial Activities. the Consolidated Statement of Financial Position. the Charity Statement of Financial Position. the Consolidated Statement of Cash Flows and notes to the consolidated financial statements, including a summary of significant accounting policies. The financial reporting frarnework that ha5 been applied in their preparation is applicable law and United Kingdom Accounting Standards Iunited Kingdom Generally Accepted Accounting Practice). including Financial Reporting Standard 102 The Financial Reportin8 Stsndard applicable in the UK and Republic of Ireland,. In our opinion the consolidated financial 5tatements= give a true and fair view of the state of the charitable company's and group's affairs as at 31st March 2021 and of its incoming resources and application of resources. in¢ludinE its income and expenditure, for the year then ended: have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice, including Financial Reporting Standard 102 Yhe Financial Reporting Standard applicable in the UK and Republic of Ireland.: and have been prepared in accordance with the requirement5 of the Companies Act 2CM)6. Basls for opinlon We conducted our audit in accordance with International Standards on Auditing IUKI IISA5 IUKII and applicable law. Our responsibilities under those standards are further described in the Auditors, responsibilities for the audit of the financial 0ternents section of our report. We are independent of the charitable company and group in accordance with the ethical requirements that are relevant to our audit of the consolidated 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. Material uncertainty relating to going concern We draw Youf attention to note 2 in the financial statements, which indicates that the charity has incurred outgoing net movement in funds of £2.187,5891£3,378,589 after retirement benefit obligations) in the year ended 31st March 2021 and as of this date. the charity'5 total funds were in deficit by £626.0891£3.065,089 after retirement benefit obligation51 a5 a result of the COVID 19 pandemic. As stated in note 2. these events or conditions along with other matters are set out in note 2 indicate that a material uncertainty exists that may cast significant doubt on the charity as a going con¢em. Our opinion is not modified in this respert. Except as detailed above, we have nothing to report in respect of the following matters in relation to which the ISAS IUKI require us to report to you where- the trustees, use of the going concern basis of accounting in the preparation of the consolidated financial statements is not appropriate. or the trustee5 have not disclosed in the consolidated financial statements any identified material uncertainties that may cast significant doubt about the charitable company's ability to continue to adopt the going concern basis of accounting for a period of at least twefve months from the date when the consolidated financial staternents are authorised for issue. Page 14
REPORT OF THE INDEPENDENT AVDITORS TO THE MEMBERS OF IMSPIREALL LEISiIRE AND FAMILY SUPPORT SERVI5 Other Information The trustees are responsible for the other infomiation. The other inforrnation comprises the infomation included in the Annual Report. other than the consolidated financial statements and our Report of the Independent Auditors thereon. Our opinion on the consolidated financial statements does not cover the oiher"information and, except to the extent otherwise explicitly stated in our report. we do not express any form of assurance conclusion thereon. In connertion with our audit of the consolidated financial statements, our responsibility is to read the other inforrnation and. in doing so, consider whether the other infomation is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be énaterially misstated. If we identify such material incon5iStencie5 or apparent material mi5Statements. we are required to determine whether there 15 a material misstatement in the consolidated financial statement5 or a material misstatement of the other information. If. based on the work we have perfomied. we conclude that there is a material misstatement of this Qther information. we are required to report that fart. We have nothing to report in this regard. Oplnlons on other matters prescribed by the Companles Act 2006 In our opinion, based on the work undertaken in the course of the oudit- the information given in the Group Report of the Trustees for the financial year for which the financial statements are prepared is consistent with the con501idated financial statements- and the Group Report of the Trustees has been prepared in accordance with applicable legal requirements. Matters on whith we are requlred to report by exceplion In the light of the knowledge and understanding of the charitable compary and group and tts environment obtained in the course of the audit. we have not identifd material rni55tatements in the Group Report of the Trustees. We have nothing to report in respect of the followine matters where the Companies Act 2006 requires us to report to you if. in our opinion: adequate accountin8 records have not been kept or returns adequate for our audit have not been received from branches not visited by us- or the financial statements are not in agreement with the accounting records and returns.. or certain disclosures of trustees. remuneration specified by law are not made,. or we have not received all the information an(i explanations we require for our audit. Page 15
REPORT OF THE114DEPENDENT AVDITORS TO THE MEMBERS OF INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES Responsibilities of trustees As explained more fully in the Statement of Trustees, Responsibilities, the trustees (who are also the directors of the charitable company and group for the purposes of cornpany lawl are responsible for the preparation of the consolidated 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 consolidated financial statements that are free from material mi55tatement. whether due to fraud or error. In preparing the consolidated financial statements, the trustees are respjnsible for assessing the charitable company and group's ability to continue as 3 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 group or to cease operations. or have no realistic altemative but to do so. Our responsibilities forthe audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial statement5 as a whole are free from material misstatement. whether due to fraud or error. and to issue a Report of the Independent Auditors that includes our opinion." Reasonable a55urance is a high level of a55uran¢e, but is not guarantee that an audit conducled in accordance with ISAS IUKI will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if. indwidually or in the aggregote, they could reasonably be experted to inlluence the economic decisions of users taken on the basis of these financial ststements. 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: We obtained an understanding of the legal and regulatory framework applicable to the charity and the sector in which they operate. We deterniined that the following laws and regulations were m05t significant- the Companies Act 2006 and the charitSACt 2011. We obtained an understanding of how the charty is complying Wlth thjse legal regulatory frameworks by makirbg inquiries to the management. We corroborated our inquir5 through our review of board minutes and papers provided by those charged with governance. We assessed the susceptibility of the charity's financial statements to mater¢al mi55tatement. including how fraud might occur. Audit procedures perfom)ed by the engagement team include: identifying and assessing the design effertiveness of controls management has in place to prevent and detect fraud.. understanding how those charged wtth govemance considered and addressed the potential foi override of controls or oiher inappropriate influence over the financial reporting process: challenging assumption5 and judgments made by rnaDagement in its Sl8nificant accounting estimates- identifying and testing journal entries. in particular any journal entries posted with unusual account combinations- and - assessing the extent of compliance with the relevant laws and regulations. Page 16
REPORT OF THE INDEPENDENT AUDITOR5 TO THE MEMBERS OF INSPIREALL LEISURE AND FAMILY SUPPORT SERVI Our responslbllltles for the audlt of the finandal ststements We have reviewed the financial statements and considered whether they are consistent with our understanding of the entity or indicate a previously unc08n1sed risk of material misstatement that could be due to fraud. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's vRbsite at www.frc.org.uklauditorsresponsibilities. This description forms part of our Report of the Independent Auditors. Use ol our report This report Is made 501ely to the charitable company's rnernbers. as a boty. in accordance with Chopter 3 of Part 16 of the Companies Act 21x16. Our audit work has been undertaken 50 that we might State to the charitable company's members 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 charitable company and the charitable company's members as a bodyi for our audit work. for this report, or for the opinions we have formed. M R Hubbocks FCA (Senior Statutory Auditor) for and on behalf of Wags LLP tla Wagstsffs Chartered Accountants and Statutory Auditors Richmond House Walkern Road Stevenage Hertfordshire SGI 3QP Page 17
INSPIREALL LEISURE AND FAMILY SUPPORT %RVICES CONSOUDATED STATEMENT OF FINANaAL ACTivmES {INCORPORATING AN INCOME ANO EXPENOITURE ACCOUNTI FOR THE YEAR ENDEO 31sr MARCH 2021 2021 Totsl funds 2020 Total funds Unrestricted Restricted funds funds Notes INCOME AND ENDOWMENTS FROM Charitable activitie5 8A49.871 8,849,871 16,661,730 Other trading activities Other income 64.414 2.192.125 64,414 2,192,125 1,171.766 226,1 Total 11.106.410 11,106,410 18.059.496 EXPEP4DITURE ON Fundraising trading 40831 40.831 606.869 Charltable activities Operation of leisure facilities Children's and famity tentre5 Support costs 8.265.678 4.278,243 709247 .265,678 11,444,144 4,278,243 S.064,960 709,247 975.204 Total 13293.999 13,293,999 18.091.177 NET INCOME/(EXPENDtfuRE) (2,187Y9) 12.187,589) 131.6811 Transfers between funds 21 43.993 (43.9931 Other recoznlsed105ses Actuarial losse5 on retirement benefit obligations 22 {1.191.CO)) (1,191,000} I1,015.1) Net m¢)vement In funds {3334S96) (43.993) (3.378,589) 11.046,6811 RECONaLIATION OF FUNDS Total funds broughi forward 269507 43.993 313,500 1,360,181 TOTAL FUNDS CARRIED FORWARD 13.065.089) (3.065,0891 313,5 CONTINUING OPERATIONS All income and expenditure has arisen from continuing activities. The notes form part of these financial statements Page 18
INSPIREALL LEISURE ANO FAMILY SUPPORT SERVICES (REG15tERED COMPANY NUMBER: 043433471 CONSOUDATED STATEMENT OF FINANCML PooN 31ST MARCH 2021 2021 Total furbds 2020 Total fvnds Unrestricted Restricted funds funds Notes FIXED ASSETS Tangible assets 12 5.335.320 5.335,320 6,554,170 CURRENT ASSETS Stocks Debtors Cash at bank 14 15 24284 798294 2.283,969 24284 798,294 2.283,969 23.797 1,894,568 1.890,602 3.106.547 3.106.547 3,808.967 CREDITORS Amounts falling due within one year 16 (4.220,780) (4,Z20.780) {3.937.4621 NET CURRENT LIABIUTIES ql,114233} qi.114,233) 1128.4951 TOTAL ASSETS LESS CURRENT LIABIUTIES 4.221.087 4,221,087 6.425.676 CREDITORS Amounts fallin8 due after more than one year 17 (4A47.176) 14.847,1761 14.847,1761 RETIREMENT BENEFIT OBUGATION5 22 12,439,iXXI) {2,439.[) 11.265.OLM)I NEf ASSETSI(UABILmES) 13.065,089) 13,065,089) 313.500 The notes form part of these financial statements Page 19
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES {REGISTERED COMPANY NUMBER: 01343347) CONSOUDATEO STATEMENT OF FINANaAL POSThION- continued 31ST MARCH 2021 zozi 2020 Notes 21 FUNDS Unrestricted fvnds Restricted funds 13.065,089) 269,507 43.993 TOTAL FUNDS (3,065,089) 313,5(Ki The financial statements were approved by the Board of Trustees and authorised for issue OD tr4h.P•.yfjW..AE¢.s*£.K . and were signed on its behalf by: C N Warne- Chairman The notes forrn part of these financial Statements Page 20
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES IREGISTERED COMPANY NUMBER: 04343347) CHARITY STATEMENT OF HNANCIAL posmoN 31ST MARCH 2021 2021 Total funds 2020 Total funds Unrertricted Restricted funds funds Notes FIXED ASSETS Tangible assets Investments 12 5.335.320 13 5,335,320 6,554,170 5335321 5,335,321 6,554,171 CURRENT ASSErs Stocks Debtors Cash at bank 14 15 24.284 826,IlX) 2283,969 24.284 826,100 2,283,969 23,797 1,922,374 1.850,114 3.134.353 3,134,353 3,796,285 CREDrnRS Amounts falling due within one year 16 (4,220,780) (4,220,780) 13.937.460) NET CURRENT UA8IUTIES 11.086N27) 11,086.4271 1141.1751 TOTAL ASSETS LESS CURRENT UABiunES 4.248.894 4,248,894 6,412.996 CREOITORS Amountsfalling due after more than one year 17 14y7.1761 {4.847.1761 14,847,176) RETIREMENT BENEFIT OBUGATIONS 22 12A39,0(KI) 12.439.0(Kl) 11,265,(KJOI NET ASSETSIIUABILITIES) 13.037.282) (3,037.282) 3(KJ,820 The notes fom part of these financial statements Page 21
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES (REGISTERED COMPANY NUMBER: 04343347) CHARITY STATEMENT OF FINANaAL posmoN- continued 31ST MARCH ZOZI 2021 2020 FUNDS Unrestricted fund5 Restricted funds 13.037282) 256,827 43,993 TOTAL FUNDS 13m7282) 3).820 Charity net movement in funds for the year 13378589) 11.046.681) The financial statements were approved by the Board of Trustees and authorised for issue on Cs44*w.L...K and were signed on its behalf bv: C N Warne- Chaimian The note5 fonn part of these financial statements Page 22
INSPIREALL LEISURE AND FAMILY SUPPORT SERVI CONSOUDATED STATEMENT OF CASH FLOWS FOR ThE YEAR EP4DED 31ST MARCH 2021 20ZI 2020 Notes Cash flows from operating artivlties. Cash generated from operations Tax paid 794394 I,(KM,148 17 Net cash provided by operating activities 794394 I,(KJ4.165 Cash flows from Investlng actl¥ltles . Purchase of tangible fixed assets (201,0811 12,969,897) Net cash used in investin8 actNitie5 (zo1.0) 12.969,8971 Cash flows from financlng artlvlile5 Loan advances in year Interest paid 1.657.176 1101.1561 1199,946) Net cash used in financing activities {199.946) 1.556.020 Change in cash and cash equlvalents in the reporting perlod sh and cash equivalents atthe beginnifftg of the reportifig perlod 393.367 1409,7121 1,890.602 2.31J).314 Cash and cash equivalents at the end of the reporting period 2,283,969 1,890,602 The notes fomi part of these financial statements Page 23
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES NOTES TO ThE CONSOUDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31ST MARCH 2021 RECONCIUATION OF NET. IEXPENDITURE)IINCOME TO NET CASH FLOW FROM OPERATING AcfiviTIES 2021 2020 Net {expenditure)/income for the reportin8 period (as per the Statement of Financial Artl¥•tles) Adjustments for. Depreciation charges Interest paid Ilncreasel/decreose in stocks Decrease in debtors Increaselldecreasel in creditors Difference between pension charge and cash contributions 12.187.589) 131.6811 1.419,931 199.946 (4871 1.096,274 283,319 117,000) 1,132,258 101.156 31.754 155.785 1450,1241 65.1 Net cash provlded by operatlons 794,394 I,Crf)4,148 ANALYSIS OF CHANGES IN NET DEBT At 1.4.20 Cash flow At 31.3.21 Net cash Cash at bank 1.890.602 393.367 2.283,969 Debt Debts falling due within l year Debts falling due after l year 14A47,1761 {4,847,176) (4.847,176) {4,847,176) Total (2,956.5741 393,367 (2,563,207) The notes fomi part of these financial statements Page 24
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES NOTES TO THE CONS¢XIDATED FINANaAL STATEMENTS FOR THE YEAR ENDED 315T MARCH 2021 STATUTORY INFORMATION InspireAII Leisure and Family Support SeNices is a company limited by guarantee and charity registered in England and Wales. The company and charity registered numbers and office address can be found within the reference and administrative details on page l. The presentation currency of the financial statements is the Pound Sterlin8 (£1. ACCOUNTING pouaES Basis of preparifig the Ilnan¢ial statements The consolidated and individual financial statements of the charitable company. which is a public benefit entity under FRS 102. have been prepared in accordance with the Charities SORP {FRS 1021 '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 IFRS 1021 leffectNe l January 2019),. Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland, and the Companies Act 2006. The con501idated and individual financial statements hove been prepared under the historical cost convention. The consolidated and indiv*Yual financial statements have been prepared on a going concern basis. In assessing the going concern position of the groL•P and charity for the year ended 31st March 2021, the trustees have considered cashflows. liquidity and business activities. As at 31st March 2021, the group held cash reseNes of £2.2 million which are available for general charitable purposes. including but noi limited to fundin8 new site5. working capital and futu Capital expenditljre required to ensure that the facilities remain first class for users. In making this assessment, the trustee5 have considered the impact of the COVID-19 pandemlc on the cash flows and liquidity of the group over the comin8 12 months. This assessment has taken account the current measures that have been put in place to preserve cash and reduce discretionary expenditure during the period when the company had to temporarily close its sites as a result of compliance with Government regulations combined with changing customer behaviour when using the facilities once re-opened. The financial modelling used by the company anticipates reduced membership and revenues as a direct result of COVID-19 in the coming 12 months. The trustees have 0150 considered further Government artions and more longer term ¢losure5 Within this period and the downside to cashflow5 and liquidity as a result. These down5ide5 have a severe impact on the group and charity EBITDA. far greater than would have been anticipated prior to the COVID-19 pandemic. At these anticipated levels of EBITDA combined with the mitigating actions implemented by management, the trustees currently believe that they can maifttain Sufficient liquidity to continue to operate and sustain anticipated10sse5 for the corning 12 months. The trustees will fully utilise all available financial assistance that is available, includin8 the government QRS scheme combined with obtaining funding from the Arts Council and other equivalent and business rates exemption5. This has been onticipated within the forecast5 and will help with stemming cash outhow as far as possible. Page 25
INSPIREALL LEISURE ANO FAMILY SUPPORT SERVICES NOTES TO THE CONSOLIDATED FINANaAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2021 ACCOUNTING pouaES- contin11 The trustees have concluded that the potential impart of COVID-19 described aly)ve combined with uncertainty over possible mitigation actn5 represents a material uncertainty that may cast doubt on the group and charit$ ability to continue as a goin8 concern. Nevertheless, having assessed the combination of these variou5 Options and the impact of any liquidity Shortfall in the event of a sustained period of closures followin8 the ongoing COVID-19 pandemic. the trustees have a reasonable expectation that the charity has adequate resources to continue to operate for a period of 12 months fn)m the date of these financial statements. For these reasons, they continue to adopt a going concern basis for the preparation of the financial statements. Accordingly, these financial statements do not include any adjustments to the carrying amount or cla55ification of assets and liabilities that would result if the charity were unable to continue as a going conrn. Basls of consolldatlon The group consolidated financial"statements include the financ1 statements of the charity and all of it5 Subsidiary undertakings made up to 31st March 2021. Income All income is recognised in the Statement of Financial Activities once the charity has entitlement to the fund5. it 15 probable that the income will be received and the amount can be measured reliably. Expenditure Liabilities are recognised as expenditure as soon as the is a legal or constructive obligation committing the charity to that expenditure. it is probable that a transfer of economic benefrt5 will be required in settlement and the amount of the obligation can be measured reliably. Tanglble fixed assets Depreciation is provided at the followin8 annual rates in order to write off each asset over its estirnated useful life. Long leasehold property Plant and machinery Fixtures and fittin85 over the lrfe of the lease 3-10 years on c05t
5 years on cost Stocks Stocks are valued at the lower of cost and net realisable value. after making due allowance for obsolete and slow moving items. Taxation The charity is exempt from corporation tax on its charitable activities. Pa8e 26
INSPIREALL LEISURE ANO FAMILY SUPPORT SERVICES NOTES TO THE CONSOUDATED FINANaAL STATEMENTS- continu¢d FOR THE YEAR ENDED 31 MARCH 2021 ACCOUNTING pouaES- wntlnued Fund accounting Unrestricted funds can be used in accordance with the charitable objectives al the discretion of the trustees. Restricted funds can only be used for particular restrirted purposes within the object5 of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. INCOME FROM CHARITABLE AcmiiTIES 2021 2020 Operation of leisure facilities Children's and famity centres 3.739,895 11.414.985 5,109.976 5.246.745 8A49,871 16,661,730 CHARITABLE AcnvinES COSTS Direct Costs Isee note 8) Support COSt5 (see note 9) Totals Operation of leisure fatilit*s Children's and family centres Support costs 8,265,678 4.278,243 8,265.678 4,278,243 709,247 709,247 12,543.921 709,247 13.253.168 OTHER INCOME 2021 2020 Expected return on retirement benefit assets Income from CJRS claims 210,000 1,982,125 226,C 2.192.125 226,CM Page 27
IN5PIREALL LEISURE AND FAMILY SUPPORT SERVICES NOTES TO THE C01450UDATED FINANaAL STATEMENTS- tontinued FOR THE YEAR ENDED 31ST MARCH 2021 OIREcf COSTS OF CHARITABLE AcnvrnES 20ZI 2020 Staff costs Premises expen5e5 Repairs and maintenan Depreciatlon Other costs 7.643.279 1,194,862 919.528 1.359.397 1.426,855 9.232.726 2,016,029 1,460.278 1,076,540 2.723.531 12,543,921 16,509,104 SUPPORT COSTS 2021 2020 Staff costs Premi5e5 expenses Repairs and maintenance Depreciation Other costs 485.903 21.( 2.710 60.534 139,1(K) 735,927 20,779 5,591 55,718 157.189 709,247 975,204 AUOITORS, REMUNEIIATION 2021 2020 Fees payable to the charitrfs auditors for the audit of the charitys financial statements 00 12,5 Fees payable to the chariws auditors for other financial senrfices 4,500 TRUSTEES, REMUNERAnoN AND BENEFITS There Vre trustees. remuneratbon or other benefits for the year ended 31st March 2021 nor for the year ended 31st March 2020. Tw5tees' expenses There were no tru5tees' expenses paid for the year ended 31st March 2021 nor for the year ended 31st March 2020. Page 28
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES NOTES TO THE CON)UDATED FINANOAL STATEMENTS- continued FOR THE YEAR ENDED 31ST MARCH 2021 10. STAFF COSTS 2021 2020 Wages and salaries Social security costs Other pension costs 7.279,363 486,395 363,424 9,163,779 463,478 341.396 8,129.182 9.968,653 The average monthly number of employees during the year was as folh)ws: 2021 2020 Leisure activities Family support activities Senior management and administratK)n 419 195 561 170 18 632 749 The number of employees whose employee benef lexcluding employer pension costs) e¥ceeded £60,(M)O was: 2021 2020 £60.001- £70,CO) £70,001- £80.000 £80,001- £90,000 £i,(l- £iiO,(KK) £120,(KIi- £130,LXK) Key management remuneratlon Total key management personnel remuneration (including benefftsl was £125.07812020: £108.2121- Page 29
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES NOTES TO THE CONSOLIDATED FINANaAL STATEMEf4TS- continued FOR THE YEAR ENDED 31ST MARCH 2021 ii. COMPARATIVES FOR THE CONSOUDATED sfATEMENT OF FINANCIAL AcnvmES Unrestricred Re5tritted funds funds Total funds INCOME AND ENI)OWMENTS FROM Charitable activities 16.661.730 16,661.730 Other trading activities Other income 1,171.766 226.(K 1,171,766 226.000 Total 18.059.496 18.059.496 EXPEMOITURE ON Raising funds 606.869 606.869 Charftable arti¥ttles Operation of leisure facilities Children's and family centres Support costs 11.444,144 5,064,960 975.204 11,444.144 5,064,960 975,204 Total 18.091.177 18,091,177 NEf INCOMEIIEXPENDITURE) (31.6811 {31,6811 Other reco8nlsed losses Actuarial losses on retirement benefit obligation5 11.015.Crf)01 11,015.0001 Net moven*nt In funds {1,046,681) 11.046.681) RECONauATION OF FUNDS Total fund5 brought forward 1.316.188 43.993 1.360.181 TOTAL FUNDS CARRIED FORWARD 269.507 43.993 313,500 Page 30
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES NOTES TO THE FINANaAL STATEMENTS- continued FOR THE YEAR ENDED 31ST MARCH 2021 12. TANGIBLE FIXED A55Ers Gmup and charlty Long leasehold property Fixtures and fittings Plant and machinery Totals At 1st April 2020 Additions 818A64 8,689,210 124,989 178.271 76.092 9,685,945 201,081 At 31st March 2021 818864 8,814,199 254363 9.887,026 Depreciation At IstApril 2020 Charge for year 357,627 89.142 2,680,900 1,263,508 93.248 67.281 3.131,775 1.419,931 At 31 March 2021 446.769 3,944.408 160.529 4.551,706 Net book value At 31st March 2021 371.695 4.869.791 93,834 S,335.320 At 31st March 2020 460,837 6.(N)8,310 85.023 6,554,170 Page 31
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES NOTES TO ThE CONSOLIDATED FINANaAL STATEMENTS- continued FOR THE YEAR ENDED 31ST MARCH 2021 13. FIXED ASSET INVESTMENTS Charlty Shares in group undertakings Cost At 1st April 2020 and 31st March 2021 120,OLKI Provisions At 1st April 2020 and 31st March 2021 119.999 Net book value At 31st March 2021 At 31st March 2020 There We no investment assets outside the UK. The chariV5 investments at the balance sheet date in the share capital of companies include the following: Herts Leisure Limited Registered office". The Venue, Elstree Way. Borehamwood. Hertfordshire WD6 IJY Nature of business.. Non trading subsidiary undertaking Class of share: Ordinary holding 2021 2020 Aggregate capital and reserve5 12.682 12.682 Page 32
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES NOTES TO THE CON50LIOATED FINANOAL STATEMEtITS- contlnued FOR THE YEAR ENDED 31ST MARCH 2021 14. STOCKS Group and charlty 2021 2020 Finished goods 24,284 23,797 24.284 23.797 15. DEBTORS: AMOUNTS FAWNG DUE WITHIN ONE YEAR Group 2021 2020 Trade debtors Amounts owed by connerted undertakings Other debtors Prepayments and accrued income 242,542 4066 376,898 137,988 1.697.144 52,813 144.611 798,294 1,894,568 Charlty 2021 2020 Trade debtors Amounts owed by subsidiary undertakings Amounts owed by connected undertakings Other debtors Prepayments and accrued income 242.542 27.806 40.866 376,898 137,988 1.697,144 27,806 52.813 144,611 826.1(X) 1,922,374 Page 33
INSPIREALL LEISURE AND FAMILY SUPPORT SÉRVICES NOTES TO THE CONSOUDATED FINANOAL STATEMEMTS- continu FOR THE YEAR ENDED 31ST MARCH 2021 I& CREoifoRS: AMOUNTS FAWNG DUE wmiiN ONE YEAR Group 2021 2020 Trade creditors VAT Other creditors Accruals and deferred Iorne 464,256 347,668 5.123 3.403.733 596,309 402,782 4.535 2.933.836 4.220,780 3,937,462 Charity 2021 2020 Trade creditor5 VAT Other creditors Accruals and deferred income 464,256 347,668 5,123 3,403,733 596,309 402,782 4,535 2,933,834 4.220,780 3.937.460 Deferred income has been recognised to ensure that charitable income has been accounted for in the correct financial period. 17. CREDITORS: AMOUMTS FALLING DUE AFTER MORE THAN ONE YEAR Group and charlty 2021 2020 Other loans An analysis of the maturity of loans is gNen below= Amounts falling due between one and five years Amounts falling in more than fNe years 2.262,354 1,080,403 2.584,822 3,766,733 The loans are secured by way of a fixed and floating charge over the assets of the group and charity. Page 34
INSPIREALL LEISVRE AND FAMILY SUPPORT SERVICES NOTES TO THE CONSOLIDATED FINANaAL STATEMENTS. contlnued FOR THE YEAR ENDED 31ST MARCH 2021 LEASING AGREEMENTS Minimum lease payrnents Under0nncellèts1e operating leases fall due as follows- Group and charlty 2021 2020 Within one year Between one and fNe years 148.410 271,565 139,337 419,974 419,974 559,311 19. CONTINGENT UABILMES The group issued a performance bond of £l(K).CW to Milton Keynes Council on l November 2009 which is valid for 15 years in relation to the charitable company's contract with the Council. The charity has undertaken to reimburse RBS for any arnount called under this 8uarantee and ha5 given RBS a charge over a deposit totalling £50,000. 20. RELATED PARTY DISCLOSURES There were no related party transactions for the year ended 31st March 202112020: none). Page 35
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES NOTES TO THE CON50LIDATED FINANaAL STATEMENTS- ¢ontinued FOR THE YEAR ENDED 31ST MARCH 2021 21. CONSOUDATED MOVEMENT IN FUNDS Net movement nd transfer5 At 31.3.21 At 1.4.20 Unrestrirted funds General fund Family centres 96 Shenley Road Bushey Community Centre HertSSPOrts Retirement benefit obligations 991,322 508282 119275) {2.645.045) 11.653,n3) 480,091 988.373 4.358 114,917) 1661 5.244 5,244 {1216.0(KI) 11.174.IXKI) 12,390,000) 169507 (33345961 13.065,0891 Restrirted funds Children's centres 43,993 143.993) TOTAL FUNDS 313W 13.378.589) {3.065.089) Net m¢)vement in funds. included in the above are as follow5: Incomin8 resources Resources expended Gains and Movement losses in funds unrtrirted funds General fund Family centres 96 Shenley Road BLiShey Community Centre Retirement benefit obligations 5.786.434 4.758,334 2n.410 79232 210,( 18A75An) 14.278.243) (268,052) {79,2321 I193AKl {1,191.10) {1,174.¢NIO) 12,689.0381 480.091 4,358 TOTAL FUNDS 11.106.410 113,293,999) 11.191.0> 13,378.589) Page 36
INSPIREALL LEISURE AND FAMILY SUPPORT SERVI NOTES TO THE CONSOUDATED FINANaAL 5TATEMENTS- cOntIrnl FOR THE YEAR ENDED 31ST MARCH 2021 21. CONSOLIDATED MOVEMENT IN FUNDS- contlnued Comparatlves for movement In funds Net movement and transfers At 31.3.20 At 1.4.19 Unrestricted fvnds General fund Family centres 96 Shenley Road Bu5hey Community Centre Herts sports Retirement benefit obligations 1,197.225 294,825 3.894 1205,YY)3) 213,457 123.169) 1661 991.322 508.282 (19.2751 1661 5.244 5,244 1185.LIXI) (1,031,0) 11.216.000) 1.316.188 11.046,6811 269.507 Restricted funds Children's centres 43.993 43.993 TOTAL FUNDS 1,360,181 {1.046,6811 313,500 Comparative net movement in funds. included in the above are as follows: Incoming resources Resources expended Gains and Movement 105ses in funds Unrestricted funds General fund Family centres 96 Shenley Road Bushey Community Centre Retirement benefft obligations 12,564,073 112,769.9761 4,752,629 14.539.172) 433,977 1457,1461 82,817 182,8831 226.IXKI {242.OCK>) 11.015.000) 11.031,{) 1205.9031 213,457 123.1691 TOTAL FUNDS 18.059.496 118.091.177} 11.0l5.Ljl 11,046,681) Pa8e 37
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES NOTES TO THE CONSOUDATED FINANaAL STATEMENTS- contlnued FOA THE YEAR ENDED 31ST MARCH 2021 21. CONSOUDATED MOVEMENT IN FUNDS. continued The purpose of material deggnated and restricted funds is as follows: SURE START CHILDREN'S CENTRES These are now termed Family Centres under the new contrart with Hertfordshire County Council, that started in October 2018 (see below). FAMILY CENTRES Thi5 15 a 6 year contract from 1st October 2018 to oversee 50% of Hertfordshire County Council's Family Support Centres. Total fundin8 received 2020121 was £4.758.33412019120: £4.779,8931. The core purpose of Family Centres= The Government believes that Famity Centres should have a clear core purpose. focused on improving outcomes for young children and their familie5. Wlth a particular focu5 on the most disadvantaged families. in order to reduce inequalities in=_ Child development and school readine55,' Parenting aspirations. self esteem and parenting skills: and Child and family health and life chances. HERTS SPORTS Hert5 Sports is the funding of a sports development Offer for the Hertfordshire area..The officer coordinates programs to gei people More artive and to live healthier lifestyles. 96 SHENLEY ROAD 96 Shenley Road is managed by InspireAII on behalf of Hertfordshire County Council. The building is a multi-purp05e facility including library. meeting rooms, perf0rrnan facilities and cafe. Any surpluses are repayable to HCC and any defKits underwritten by HCC. Page 38
INSPIREALL LEISURE AND FAMILY SUPPORT SERVICES NOTES TO THE CONSOUOATED FINANaAL STATEMENTS- contlnued FOR THE YEAR ENDEO 31ST MARCH 2021 22. RETIREMENT BENEFIT OBLIGATIONS Deflned benefft scheme The group operates a defined benefit pension scheme. The amounts recognised in the Statement of Financial Position are a5 follow5= Deflned benefft penslon plans 2021 2020 Present value of funded obligations Fair value of plan a55ets 113,523,rM)01 110.431.0001 11,084.000 9.166,000 {2A39.IM)) 11.265.000) Present value of unfunded obligati0115 Deficit 12.439,0(Xl) 11.265,0001 The amounts recognised in the Ststement of Financial ActNities are as follows: Defined benefit pension plans 2021 2020 Current seNice cost Net interest from net defined benefit liability Past seniice cost 95,0 193.000 29.( 124,( I98,cl0 Actual return on plan assets 1,763,( 1370,0001 Page 39
INSPIREALL LEISURE AND FAMILY SUPPORT SERVI NOTES TO THE CONSOUDATED FINANaAL STATEMENTS- contlnued FOR THE YEAR ENDED 31st MARCH 2021 22. REfiREMENT BENEFIT OBUGATIONS- contlnued Changes in the Psent value of the defined benefit obligation are as follows- Defined benefit penslon plans 2021 2020 Opening defined benefft obligation Current serrfice c05t Contributions by scheme participants Interest cost Actuarial losses 8enefits paid 10,431.0(M) 95,ODD 17.(th) 239,000 2,954,000 1213,000) 9,630,CwJO 193.000 32,000 231,( 645.000 13(XI,OCKJI I3,523,0 10,431.IxIo Changes in the fair value of stheme assets are as follows: Oefined beneflt pension plans 2021 2020 Opening fair value of scheme a55ets Contributions by employer Contributions by scheme participants Experted return Actuarial gainslllosses) Benefrts poid 9,166,OIN) 141,000 17.IKIO 210,0(KI 1,763,000 1213.0(YJ) 9,445,C 133.000 32.000 226.000 1370,IxJOI 1300.(KM)I 11,084,0 9.166,000 Page 40
INSPIREALL LEISURE AND FAMILY SUPPORT SERVI NOTES TO THE CONSOLIDATED FINANaAL STATEMENTS- contlnued FOR THE YEAR ENDED 315T MARCH 2021 REnREMENT BENEFIT OBUGATIONS- continued The amounts recognised in other recognised gains and losses are as follows.. D¢fined benefit pension plans 2021 2020 Actuarial losses 11.191,0) 11,015.0001 (1.191.(M)O1 11,015,000> The major categories of scheme assets as a percentage of total scheme assets are as follows: Defined benetit pension plans 2021 2020 Equities Bonds Property Cash 48% 39% 8% 26% 11% 10 Ic(J% Principal 3Ctuarial a55umptions at the Statement of Financial Position date (expressed as weighted average51: 2021 2020 Discount rate Future salary increases Future pension increases 2.30% 2.30% 1.90% 3.25% 2.85% Defined ¢ontril>ution scheme The group operates a defined contribution pension scheme. The assets of the schemes are held separately from those of the Broup in independentty adrnini5tered funds. The pen5i0n cost charge represents contributions payable by the 8roup to the funds and amounted to £408.729 {2020-. £194,985). Page41