Reglstèréd Company Number: 04384765 Reglstered Charity Numbor: 1096244 BLUECOAT SPORTS REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020
BLUECOAT SPORTS REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020 Officers and Professional Advisors Dlrectors and Charlty Trustees Members of the Board of Trustees are the charity trustees of Bluecoat Sports under charity law and the directors of Ihe charitable company. The members of the Board who served durfng the year and subsequently 8re detailed below. James Maclean, Bsc Hong Ichaimianl Nigel Currie Patrick Dearslèy, MA {Cantsbl (Independent Trustee)Ito 29 July 20201 Roger Eades. ACMA Paul Guyer, MRICS Keith Willder MBE Company Secrotary J8cqui Duggan Roglst?r•d Offl¢• The Countlng Houae Chrlst's H08pil81 Hor8h8m West Sussex RH13 OYP Audltor Crowe U.K. LLP 55 Ludgate Hlll London EC4M 7JW Bank•r Barclays Bank plc 2 C8rfax Horsham West Sussex RH12 1DN Sollcltor Mill$ and Reeve LLP Botanic House 100 Hills Road Cambridge CB2 1PH
BLUECOAT SPORTS TRUSTEES, REPORT YEAR ENDED 31 AUGUST 2020 The Trustees of Bluecoat Sports (the Charitable Company, known as Bluecoats} present their annual port for the yoar 8nded 31 August 2020 under the Charities Act 2011 and the Companies Act 2006. Ihus indudlng the DlreGtors' Report and Strategic Report undér the 2006 A¢t, togelher wllh the aLKJlted financial statements for the year. STRUCTURE. AIMS AND GOVERNANCE Constltutlon and objects The Charitable Comp8ny was est8blished in 2002. It is constiluled 88 8 company Ilmlted by guarantee registered in England, number 04384765, and is regISted with the Ch8rity Cornrnlsslon under charity number 1096244. The Charitable Company's activities 8re governed by its Memorandum and Articles ofAs8ociation dated 1 March 2002, as amended by Ihe special resolutlon dated 1 March 2012. The Charitable Compan8 objects as set out In the Memorandum of Associatlon are to.. provlde facilitl8S to Christ's H¢)spilal for physical educatlon and tralnlng for per80nal le8mwork development., promote physlcal health 8nfJ fitne88 amongst the pupils of Chri8t'8 Ho8pltal,' provlde f8cllltie5 to local schools. local authority organisation8 and ¢hanties for the purpose8 of physical education and training for personal and teamwork development: and promote physlcal he81th and fitness amongst the wider community. AIMS, OBJECTIVES AND ACTIVITIES Alm8 The Charitable Companls aim for the public benefit Is to provide safe, 8ecure and up-toate sporting and exercise facilities for pupils at Christ's Hospital. local schools, local authority organisab'ons, Charftles and the wider community. GOVERNANCE AND MANAGEMENT Board of Tru81•08 The Board of Truste88 (the Board) consists of at least three and not more than slx individuals. All but one (the indepondent Trustee) are rmInated by Christ's Hospital Ifomierly Christ's Hospltsl School). The independent Truslee 1$ nominated by the Board of Bluecoats and must not be a Trustee or employee of Christ's Hospital or any of its subsidi8ry undertakings. The Board tskes its govemance responsiblllties serlou8ly and aims to have 8 govern8nc8 framework that is flt for purpose, compliant and efficient. Bluecoats, policy and practice have been reviewed against the Charity Governance Code. Many of the provisions are covered as part of Bluec08ts' relationship with the govemance of Chrisl's Hospital. In particular, the Audit and Risk Committee provides oversight and challenge for Bluecoats, Trustees. The Board has In place a programm8 for continuou8 development. During the ye8r a key area of focus was the development of a matrix against which to evaluate the performance of the Board and of individual Trustees. Recruitm&nt, induGtion and training of Trustees New Trustees are requId to attend an induction meeting which explain5 the objectives of the Charity and the responslbllitles of the Trustees.
BLUECOAT SPORTS TRUSTEES, REPORT YEAR ENDED 31 AUGUST 2020 Organlsatlonal management The members of the Board, as the charity trustees, are legally responsible for the overall management and control of Bluecoats. The Board meets at least the times a year and acts in the Sole interest of Blue¢oat$. The day-lo-day runninq of Bluecoats is delegated to a Senlor Management Team, comprising the Commerclal Manager, who reports to the Chief Operating Officer of Christ's H05pltal, the Centre Manager and Operations Manager. Related partlès The Charitable Company Is a'controlled, ch8rfty in8ofar89 Christ's Hospital controls the appointment of the majority of the Trustees. STRATEGIC REPORT STRATEGIES TO ACHIEVE THE PRIMARY OBJECTIVES DUng the fir8t 8lXth months of th6 year September 2019 to March 2020, the group exercise. swmming and fitness Ilmetables were revi8wed and expanded, with new classes and 8cllvltie8 offered for our core membership groups. We also continued to hirè out our fac1118$ to local clubs and schools for dlfferenl activibes. Bluecoats continued to implement its programme of staff training and attendanc8 at internal training ses5ion8 has remained hlgh in the key operational areas. Structured and focused training has Improved the custom8r Service skllls of a number of $tsff. Facilities hav8 been enhanced and Improved. Completed projects included the opening of "The Fitness Yard" in September 2019. This all-weather strength and conditioning outdoor fitness space, 18 Ihg flr8t of its kind in 8 dual-use Independent school settlng and Is available to pupi18 and mèmbers. The club was affected by the nalional lockdown due to COVID-19 and c108ed to the public on 21 March 2020. The club re-opened to the publlc for all outdoor sessions and classes on 6 July InStlally, payment was on a PAYGO basis only. Thi5 provided the opportunity to test the set up before restarting indoor activities on 25 July 2020, onrA gov8mment guidance changed to allow thi8. ACHIEVEMENTS AND PERFORMANCE Provide facililios to Chrlst's Hospital Th8 rnain focus of Bluecoals, activities remains the provision of sporting facilities to Christ's Hospital to support the health and wellbeing of its pupils. Approximately 550/0 of the time available in the Gore f8cilities (pool, frtness suite, sports hall and gymnaslum) is tsken up by Christ's Hospital during tem time. Pupils of Christ's Hospital have achieved some notable succ8sses durlng this academic ye8r. All of these pupils used Bluecoats, facilities for a rnajor part of their training. The Trustees congratulate Ihe puplls on their efforts and their successes arKJ thank the staff of Bluecoats for their support for all the pupils of Christ'g Hospital. Promote physic81 h881th and fitness amongst the pupils of Christ's Hospital All pupils a inducted Into the fitness suite by a Bluecoats fitness instructor. We have a robust monitoring system to ensure that 811 pupils using the facilities have undergon8 suitable instruction and that they have the infomiation and tools to achieve their health and filness goals. In conjunction with Christ's Hospitsl's PE Department. Bluecoats provides a multitude of activtties to promole health and wellbeing. including aerobic, mind and body and core stability exercise classe5.
BLUECOAT SPORTS TRUSTEES, REPORT YEAR ENDED 31 AUGUST 2020 Option81 activities for puplls have included badminton. swimming. fitness training. dancing, squash, m8rt181 arts, yoga and slep aerobics. During social periods in the evenings, the main halls a used for football, basketb811, badminton and crick8t trainiro by both pupils and stsff. Provlde facilities to local schools, local authority organisatN)ns and Gharitigs for the purposes of physical eduGation and training for personal and t88mwork development Bluecoats continues to be popular with local schools and community clubs, such a8 th8 Horsham- based Ready and Able Club. Horsham Hockey and Southwater Roya15 football club, along with Wamham Village Primary School and Amphibians triathletes. Bluecoats, facilities are u8ed by 36 local clubs and groups. All of these u8ers benefitfrom discounted r8le$. Promot8 physical h&alth and fllness an70ngst the widgr community Bluecoats provides services to approximately 2,500 mernb8rs from the local community. In addlllon, 8118dult exerclse classes, chbldren's courses and cla88eg (including Swimming lessons) a open to the general public at prices set in accorda9 wlth the lo1 market. To prornot& health and fitness to the wider community, Bluecoals has engaged In a number of local and national events wlth great success, includlng hostlng the Set4Succes8 Awards to support talented young sports people lo achieve their potential. Among other events, BIu8coats staff and members took part in the Technogym Let's Move Campaign online during June 2020.. Bluecoals Supported members planning lo run the Virgin Money London Marathon in support of Children wlh Cancer in April 2020., staff undertook a spinathon for ChSldren in Need.. 8nd the centre supported a member completing a spinathon In aid of St Catherine'8 Hosplce. Lelsure facllltles acro88 th8 country were severely impacted by the n8llonal lockdown introduced lo combat COVlD-19 and 81uecoats was no different. The closure of the indoor facilities forfour months Inevitably affected the ability of Bluecoals to engage wilh ils members and the widor communlty in general {Iher8 was little impact on the School, which was closed for the whole summer lerml. It Is believed that this engagement can be -bUilt, but the sP88d al whlch it can 8chi8ved wlll be determlned by the way the pand8mlc d8velops in the coming months. PUBLIC BENEFIT In setting our objectives and planning our activities the Trustees have given careful con3id8ratlon to the Charlty Commission's general guidance on public benefit and In partlcular to its 8upplementary public benefit guidance on advanclng education and fèe charging. The fee charged to Christ's Hospital is discounted by 25010 lcirca £100kl in comparison lo the commercial rate and there are no addition81 charges to puplls who use the facilities for social activities which include use of the fitness Suite, so¢i81 a8$ and sports halls. In 2019-20, only 250/0 of pupils attending Chrfst's Hospital paid full fees, 311/0 received 51aff di8count8, 110/0 attended at no cost and the remaining 61 % made a contribution which. in most cases, was f8r below the full fee. Bluecoats thus delivers public benefit in making its fa¢ilille$ avallable to these pupils, none of whom are charg8d directly for their use of the Centre, either as part of the curriGulum or out5id8 school hours. Membership fees for the community are on a p8r wlth local leisure facilltles and non4nember8 are able to attend many of the activities for a small charge which is comparable with local leisure facilities. Local community groups also benefit from substantial discounts compared to the commercial rate with significant discounts for the Ready and Able Club which pays 5 /0 of the commercial rate. Again.
BLUECOAT SPORTS TRUSTEES, REPORT YEAR ENDED 31 AUGUST 2020 Bluecoats deliver8 public benefit in making its facllities avallable to Ihe members of these groups, none of whom are charged direcdy for their use of the Centre. FINANCIAL REVIEW Results for the y&ar Income for the year was £1.57 million12019'. £1.99 million), with n8t ouffiow of £237.000 12019.. £57,000). The prior year loss was after expenditure tolalling £116,000 on the d8velopmenl of a p18n for the future expansion of the f8¢ilitie8. That expenditure had been approved by the Board in the light of plans to expand BlueGoats to provide improv&d facilities for the School and the local community. The results for the year ended 31 August 2020 were signific8ntly impacted by COVID- 19 8nd the first national lockdown with a loss of membership and income. The1088 was partially mlllgaled by the Coronavirus Job Relentlon Scherne funding. However, whilst memb8rship numb8rs started to recover slowly following reopenlng in July 2020, Ihe second national lockdown In November 2020 amid increasing infection rate5 is likely to188d to ch811enge8 for the company in the next financlal year. The exp8rlence of operatlng Bluecoats in the COVID-19 period has underllned that the op8ration Is well-placed to recover over Ihe medium term, provided th81 indoor fitness aclivltles 8re 8ble to function al least 8t th8ir ne cap8city levels. Feedback from Bluecoatg. users on the measure8 taken lo organi58 fitness activities safely, and in particular on th8 Professionalism of gtsff, has been overwhelmingly posltlve and has underlined the Strong relationshlp with the membership base. While 80me parts of the BIu8coats offering have been scaled back lo ensure COVIO-safely, the centre has offered as close to Sts regular timetables as possible. Ind8ed. there are e18ments of the changes introduced due to COVID-19 which management will seek to retain, as th8y improve the customer experience for both pupils and members. The operation wll continue to be tightly managed while uncertainly about th8 operating environment persists. The financlal 8u818inablllty of Bluecoats 18 consldered further on page 6 of thls report. Investment policy Bluecoats malntalns sufficient cash in its curient account to meet day-to-day requirement8. Amounts surplus to this are deposited with CCLA via the Chnst's Hospital group cash pooling facility al acceptable risk and attracting interest at more favourable rates than Bluecoats, current account. Al 31 Augu812020, £0.2 million12019'. £0.7 million) of Bluec081s cash was held in the group cash pooling facility. The a no pl8ns to inve8t in any long8r-tem instruments or for higher returns where increased risk is a factor. Fundraising Blue¢oats does not undertake fundralslng and is therefore not reglstered with the Fundralslng Regulator. RESERVES LEVEL AND POLICY Th8 policy is lo hold free reserves of vp to months, runnlng costs1£342,0001. At 31 August 2020, Bluecoats had serveS of £382.000. These are r8presented by the net book value of fixed assets of £225,000 and free reserves of £157,000. Free reserve5 are held to enable Bluecoats to continue to provide an educational facility for pupils of Christ's Hospital and spurts facilities for the public but have been depleted in the current financial year due to COVID-19. The financial sustainability of Bluecoats is considered further in the Financlal SustsSnability paragraph later in this report.
BLUECOAT SPORTS TRUSTEES, REPORT YEAR ENDED 31 AUGUST 2020 REMUNERATION POLICY The Board considers and approves remungr81ion levels for all staff, including key management personnel. A decision is laken annually with due regard to local markel forces and fitness indu8try norms and the need to ensure that the team 18 fairty and equitably rewarded and motivated. TRUSTEES AND PROFESSIONAL ADVISERS The Trustees and professional advisers durlng the year are those listed on page 1. FUTURE PLANS COVID-19 h85 had an impact on future plans with the complete closure of the facllity for a significant period of 2020 having a financial impact. Whilst this may delay some plans in the short lemi, Blueco8ls will contlnu8 to enhance the service8 which it offer8 10 ils customers and combine the obleclives of Chflst's Hospit81 with the fitne8$ aspirations of the k)cal community to provide a first ra18 facility. M81nlalning the building is an important part of the future. The Bluecoal Sports Planned MaSntenance Programme Working Group which con818ts of Christ's Hospllal 8nd Bluecoat Sports representatives completed thè fourth year of Vrks. RISK MANAGEMENT The Board Is responsible for the m8n8gement of the nsk8 faced by the Charltsble Company. Detsiled considerations of rlsk are delegated to senior staff. Risks are identified, assessed and controls established throughout the year. A formal review of the Charitable Company's risk rnanagement processes Is und8rtakèn on an annual basls. The key controls Include.. str81egic planning, budgeting and management acGounting', Established organi881ional and governance structure and Ilnes of reportlng,. Formal written policles., Formal agenda8 for Board activity., and Hler8rchical aulhorls81ion and approval levols. In addlllon, the Trustees are committed to safeguarding and promoting the welfare of chIldn and young peopl8 and we expect all staff and volunteers to share this commltment. All successful candidates musl consent for Bluecoats to seek written references and musl provid8 documentary proof of quallfi¢ations and proof of their identity. Any offer of employrnent is conditional on all of these being salisfaclory. Prlnclpal rl8k8 and uneértalntles The principal rfsks facing Bluecoals relate to the heallh and safety of the pupils and member8 and the welfare of the pupils. Robust procedur88, wllh regular checks and balances. are in place to ensure that these risks ar8 minimised. Through the risk management processes estsblished by Bluecoals, the Trustees a satisfied that the major risks identified have been adequatoly mitigated. It is recognised Ihat systems can only provide reasonable but not absolute assurdnce that major risks have been adequately managed. Financlal sustalnablllty While Bluec08ts has developed a tried and tested programme with the School over many years and built up a strong local brand and member loyalty. the complete closure of the facility for a Signifan1
BLUECOAT SPORTS TRUSTEES, REPORT YEAR ENDED 31 AUGUST 2020 perfod of last year had, as should be expected, a significant financial impact. The Feriod of re- opening has been encouraging. with membership numbers starting to recover and a strong sense that Bluecoats had emerged from the lockdown period in beller shape than many of it5 local competstors. Flnancial plans have been reforecast a number of times to allow for successful operation at considerably lower membership numbers than before the pandemic, with overall costs scaled back accordingly. While the second lockdown poses further challenges for the implernenlation of recovery plans, it 1$ expected that re-opening and re-engagement with members wlll be much more straightforward, given th8t staff and members now know what to expect. On that basis, it is believad that membership numbers can be brought back to the level required over the course of the current y88r to ensure the financi81 Sustainabillty of Bluecoats. In the worst case scenario, which would be exiended perfod8 of lo¢kdown, there would be a nee(1 to consider more drastlc action to address the cost base of Blueco8ts. bul il should be noted th8t there is an expeclatlon that education will not be sublect to lockdown and that Bluecoals S11 continue lo fulfil a vital function for the School. If it becomes likely that public access lo Bluacoats will be reslncted for an extended period of lime. il Is believed that operatlons can be reconfigured in a w8y to allow for School us8ge only, minlmising costs and conserving cash, until such tlme as It Is p0s8ible lo fully re-open but there may be difficulty in settling certain InteoMpanY balances from July 2021. In the unlikely ovent of those Circumstances occurring, the Council of Christ's Hospital has agreed that it would not demand payment of intercompany balances for up lo 12 months from the dale of approval of the flnanclal slalements. Accordlngly. the Board b81ieves that Bluecoats can continue as a going concern for the foreseeable future. being 8t least 12 months from the date of approval of the financial statements and h8ve therefore prepared the fln8nci81 statements on going conc&m basis. STATEMENT OF TRUSTEES, RESPONSIBILITIES The Trustees (who are also the directors of Bluecoal Sports for the purposes of company18wI are respon8ible for preparing the Trustees, Annual Report and the financial statements in accordance with applicable law and Unlted Kingdom Generally Accepted Accounting Practice {United Kingdom Accounting Slandards). Company law requlres the Trustees to preparo Inancial slalements for each financlal year. Under company law the Trustees must not approve the financial ststements unless they are sat15fied thal they give a true and fair view of the slate of affairs of the Charitable Company and of the incoming resources and application of resources, including th8 Income and expenditure, of the Charitsble Company for that period. In pperfng these fi'nancial 8lalements, the Trustees are required to: select suitable accounting poll¢le8 and then apply them cons16tenly'. observe the methods 8nd principles in the Charilies SORP. make judgements and estimates that a eSonable and prudent: state whether applicable UK accounting standards have b8en followed, Subject to any material departures disclosed and explained in the financial statements., and prepare the financial statements on the going corKem basls unless it is inappropriate to presume that the Charitable Company will continue in busin8SS. The Trusiees are responsible for ensuring that Bluecoat Sports keeps adequate accounting records that are sufficient to show and 8xplain the Charitable Company's transactions, disclose with reasonable accuracy at 8ny lime the financial position of the Charitable Company and enable them to ensure that the financial statements comply with the Companies Act 2006 and the provision8 of the charity's constitution. They are also responsible for safeguarding the assets of the charity 8nd hence for taking reasonable steps for the pVention and detection of fraud and other irregularities.
BLUECOAT SPORTS TRUSTEES, REPORT YEAR ENDED 31 AUGUST 2020 So far as the Trustees are awa, there is no relevant audit Infomiallon of whlch the Charftsble Companls auditor is unaware and w8 have taken all the steps that we ought to have taken as Trustees in order to make ours6lves aware of any relevant audit infomation and to estsblish that the Charitable CoMpanS auditor is avrare of that information. AUDITOR Crowe U.K. LLP ha8 expSsed Its wllllngness to continue as audltor for the next flnancial year. This Trustees, R8PJrt, prepared under the Charltl8s Act 2011 and the Companies Act 2006, was approved by the Board of Truste6s on 2 December 2020, including in their capacity as company directors approval of the Strateglc Report contained ther81n, and Is sign&d on its behalf by James Maclean Chairnan 2 December 2020
BLUECOAT SPORTS AUDITOR'S REPORT YEAR ENDED 31 AUGUST 2020 Independent Audltor's Report to the M•mhrs of Bluecoat Sports Oplnlon Wa have audited the financial statements of Bluecoat Sports forthè yoar 8ndÈd 31 August 2020 which compri98 th8 Statement of Flnancial Activities, Balance Sheet and notes to the financig18tsternent8, including 8 8urnmary of significant a¢counllng pollcl95. The finan¢l81 rgporb'ng framework that ha5 boen applied in their preparatson 18 8pplicablè law And United Kingdom A¢counts"ng Standards. Including Financial Raporbng Stsndard 102. thè financial reporting standard 8pplk8ble in the LIK and Republ of Ireland IUnlt611 Kinydom Gen8rally Acc8Pted Accounfjng Practic81. In our op1n1 the financial ststemenis.. give a Inj8 and fair vlew of th8 8t8te of the chari18ble company'8 affair8 a8 at 31 Augu8t 2020 and of it8 Incoming resources and 8pplkatlon of r880urces for the year then ended,. have been proparfy prepared in accordance th Unllad Kingdom G8n8rolly Accèpted AccounUt)g Practlc8'. and have been prepared in accordance wlh the requirement8 of the Companie8 Act 20Ck8. 8a•l• for oplnlon We conducted our audil in accordance with Intemabonal Standards on Audibng IUKI IISAS IUKII and applicable law. Our responsibilities under those standards are furth8r described in the Auditols r68ponsibilllies for the oudll ol the financial 8talem8nls section ol our report. We are independent of the charitabl8 company in accordance with the gthical requirements that are relevant to our audit ol the financial slaternenls in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical respon8ibiliti88 in accordance with these r6quir8mont8. Wg baligve that tha audit gvldanca wa hava obtained is guificient and appropdat& to provlde a ty8818 for our oplnlon. Con¢lu$lon• rnlatlng to qolng conrn We hove nothlng lo report In re8pect of the followlng matlgrn In r¢lgllon to whl¢h Ihe ISAS IUKI fgqulrg u8 lo roport lo you where,. th8 Tru8leeJ' u88 ol thè golrvJ concem ba&.8 of accountlng In the preparation ol the financial statements18 not approprfale., or the Trustees have ntsl di$clo8èd in the finan¢ial slalemenls any Identified material Ltncertainlies Ihal may cas18ignificant doubl about the charii8ble company's ability lo continue to adopt the going concem basis of accounting lor a period of at1o881 hyelve monlhB from Ihe date vthon the financial 6tai8monts Bre authori8ed for issue. Oth•r Inforniatlon The Trustees are reBpon61ble for the other inlormalion. The other Infornalion cornprises tha Infomiatlon Included Sn the annual POrt, other than the financial slalemenls and our auditorfs report Iheroon. Our oplnlon on the financlal $totemen18 does nol cover the other Infomiatlon and, excgpt to the gxienl otheNil8e explicilly 8t8ted in our rerx)rt. we do not axpress any fomi of assurance conclusion Ihereon. In connection th our 8udil of the fin8nd81 slatemenlB, our responsibility 18 to rèad ihe other information and, in doing so, consider wh8lher the other inlomalion is materially inconBislenl wlh the financial siatements OT OUT knowledge obtained in the audit or otherwise appears lo be materfally missialod. If we ldenfy such materlal Snconslstencies or apparent material mlsstalements, we are Tequired to determlne whether there Is a mateflal misstatement in tho financlal statements or a rnaterial mis5talement of the other infoation. If, based on the work we have perfornied, we conclude that there is a material misstalemenl of this other informabon. we ara r8quired to report that fact. We have rK*thing lo report in Ihis regard. Oplnlons on other rnatter¥ prescrlb•d by the Companles Act 2006 In ouropinion based on the work undertaken in the cour8& of Ouf audit ihB infomiation given in the Trustees, Report. which indudesthe Dlrectors, Report prepad forthe pUTwe8 of company law, for the financial year forwhich the financial statements are prepared is consistent with the finarKial 5ts1emen15.' and the Directors, Report included within the TrLL8lees' Report has been prepared in accordance with applicable leg81 requirements.
BLUECOAT SPORTS AUDITOR'S REPORT YEAR ENDED 31 AUGUST 2020 Matt•r8 on whl¢h w• aro T¢qulrod to report by •xc•ptlon In light olthe knowledge and und8r8tanding of the charitable company and its environrnentobtalned in the course of the audit, w8 have not identifled m8l&rlal ml8ststernents In lh8 Directors. Report included withln the Trustees, Report. W8 hav8 nolhirrfJ lo report in respect of the followng matters In relatlon lo whlch the Companies Act 2006 requires U8 lo report lo you if. in our opinion.. adequate accounting record8 have not baen kept., or the fin8ncSal 8tatements are nol in ogreemenl the accounting record8 and retums., or certaln dlsclosur88 01 TN81988' remuneration speclfled by law 8re not made.. or we have Th)t r8c8lved all the Informth'on and explanallon8 requSr8 for Ouf audll.. or the trustees were not entled lo preparè th8 financlal ststgments in accordance %lh the small companl8s reglme and lake advantage of the small companle$ oxempuon in preparing Ihe TnJ8te88' Report. RPOn01b1l1t1•$ of Trust• As explained more fvlty in the Sl8lemenl of Tru8tee3' Respon51blllties 881 out on pago 8. Ihe Trusleas (who aro also the dlrectors of the charitable ¢omp8ny for the purpo888 of company lawl are reBponsible lor the preparatlon of the financial statement8 and lor b8lng sali8f18d that they glve 8 tru8 and falr vlew. and for such Intgrngl ¢onlrol 88 th8 Truste88 delemi5nè 18 ne¢g9sary lo enablè the preparation of financial slatgmonts thal are Iroe from material misstatement. whèther due lo Iraud or 6rror. In prepariNJ the financial sialements, th& Trust88s are n8{ble for 8sseB8lng the charftable company'8 obllity lo continue 88 a gThng concom, disclosing. os applichbl8, matl8r8 relateil lo going concem and usirrfJ the going concam bas58 of accounting unless the Twslge8 eilher Inlend lo Ik4ui(Jate the charitable cofflpany or to ceose oparatlon8. or have no realistic allem8tlvè bul io do 80. AudltorfB rn•pon•lbllltl•• lor the •udlt ol th• flnanclal Bt•t•m•nt• Our objectives are to obtain reasonabl& 88sufdnce about whether the finandal 8t8temen18 as o whol8 8re free from material misstatgmenl, whether ijue lo fr8ud or error, and to 185U8 an audilorfs report that includay our opinion. Reasonablo a88urance1s 8 hlgh lovol of assurance, bul18 not a gLtarant88 th91 an 8u(Jll conducted in accordance with ISAS IUKI will olways de18cI a material misslaiernenl wh8n11 axlst8. Mis81alem8nt8 can arig8 from fraud or error ani1 a ¢on8idered material if, individually or Sn the aggregate, ih8y could reasonably be expeclgd lo Influ&nce the economlc declslon8 01 users taken on ihe ba8180f these finBncial 8tatèmonl$. A further descriplion of our r88ponsibilities for th6 Mudit ol the financial slalemenls is located on tho Flnanclgl Reportlng Councll'8 Webte al.. vMw.Irc.org.uklaudllor8r88ponglt*il1t&8. Thig descripts'on forms part of our audllo¢8 report. UB• of our r•port Th18 roport 18 mod& 801ely to the ch8dlable company'8 members, as a body. in accordance wth Ch8pler 3 of Part 16 ofthe Companl8s Act 2006. Our audit work has been undertaken so that W8 might slate to the charitable company, m8mb8rsth098 m8tters we are required lo stale lo thern in an auditorfs report 8nd for no other purp08e, To the fullest 8Xtent pèmill8d by law, we do not aoupl or assume r69ponslbillly to anyon& other Ih8n the ¢harft8ble company and the ch8ritable cornpany's membgrs a$ a body. for our audit work. lor this report, or for the opinions w8 have fomi8d. Nicola May Sènior Statutory Auditor For 8rKI vn beh81f of Crowè U.K. LLP Slalulory Audllor London D•t• 15th Decen)ber 2020 10
BLUECOAT SPORTS STATEMENT OF FINANCIAL ACTIVITIES YEAR ENDED 31 AUGUST 2020 Notes 2020 2019 INCOME FROM.. Charhable actlvltie8 SKK)rts Centr8 Ir01T CXh8r arIllary inco 1,323,334 11795 1, 939,525 30,346 knvestnwntj Other tradlng actSvltle8 Grant from Furlough Schemfr 12,687 12,353 7,905 222,142 TOTAL INCOME 1571966 1, 994, 911 EXPENDITURE ON: Charltable actlvltlo• 2,051,955 NET OLrrFLOW (237,3071 (57,044) TOTAL FUNDS BROUGHT FORWARD 619,671 676, 715 FUND BALANCE 619,611 The notes on pages 13 to 20 form part of these financial statements.
BLUECOAT SPORTS BALANCE SHEET AT 31 AUGUST 2020 Notes 2020 2019 FIXED ASSETS Tangle 0859ts 271,461 CURRENT A8SErs Stock Debtor8 Cash at bank and in hand 13,593 213,634 545,043 67,855 624,598 290,966 CREDITORS Due Vlithin one year 1133,702) (276,388) NEf CURRENT ASSETS 157 284 348,210 TOTAL P£SETS LESS CURREKf LIABILMES 382 364 619,671 FUNDS UnreBtrlctad fund• Designated C*neral 225.100 271, 461 348,210 619, 671 The note8 on pages 1310 20 fomi part of th888 financial statèments. Approved by the Board Trustees on 2 December 2020 and signed on its behaFf by.. James Maclea Chalrman 2 Decemb8r 2020 12
BLUECOAT SPORTS NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020 1. ACCOUNTING POLICIES Accountirig Gonventlon The financial Statements have been prepared in accordance with the Financlal Reporting Stsndard 8ppIic8ble in the UK and Republic of Ireland (FRS 102). the Companies Act 2006 and the 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 effective I January 2019. These Financial Statements have been drawn up on the historical cost accounting basi8. At the Ilme of approv81 of the Annual R8POrt, the COVID-19 pandamic continue8 to evolve and the long temi impact on Bluecoals. in common with oth8r businesses, is unknown. The Board has reviewed the posltlon carefully wlth a view to ensure that Bluecoats Gan Gontinue to provide vllal sporting facilit18s for the School and to the general public. Financlal plans have been reforecast 8 number of limes, coverfng a period to 31 August 2022, to allow for successful operation al considerably lower membership numbers than before the pandemic, with overall costs scaled baGk accordingly. While the second lockdown p058s further challenges for the implementation of recovery plans, it is expected that re- opening and re-angagemenl with members wlll be much more slraightfornvard, given that s18ff and members now know what lo e¥poct. On that basis, 11 Is believed that m8mbership numbers Can be brought back to the level reqUId over the course of the current year to ensure the finandal sustainability of Bluecoats. In the worst case scenario, which would be extended periods of lockdown, there would be a need to conslder more drastic action to address th8 CO8t base of Bluecoats, but it should be noted that there is an expectation that educ8tlon will not be subject to lockdown and that Bluecoats wlll continue lo fulfil a vital fundion for the School. If il becomes likely that public access lo Bluecoals will be restrlct6d for an extended perlod of lime. it is b8lleved that operats'ons Gan be reconligured in a way lo allow for School Usage only, mlnlmlsing c08ts and conserving cash, until such time as it is possible lo fully Te-open but there may be difficulty in settling certain intercompany balances from July 2021. In the unlikely ovent of those circumstances occurring, the Council of Christ's Hospitsl ha8 agreed th81 il would not demand payment of inlercompany balances for up to 12 months from the dale of approval of the financial statements. Accordingly, the Board believe8 that Bluecoals can continue as a going concern for the foreseeable future, being at least 12 months from the dale of approval of the financi81 statements and have therefore prepared the fin8ncSal statements on a going concern b8sI8. Bluecoat Sports is a Charitable Company limited by guarantee (Company number 043847651 and regISted In England. It is a Public Beneflt Enllty registered with the Charity CommS55ion in England and Wales under Charity numb8r 1096244. Bluecoat Sporls oper81es from ils registered office at The Counling House, Christ's Hospital, Horsham, West Sussex. RH13 OYP. Thè Charitsble Company has taken advantag8 01 the exemptlon, available under FRS102 1.12 to subsidiary charities, from preparing a cash flow statement a8 this is included in the consolidated rinancial st8t8ments of Christ's Hospital. Crltl¢al accountlng ludgoments and key sources of estlmatlon uncortalnty In the applicab'on of the Charitable Company's a¢Gounting policies. Trustees are required to make Judgements, eslirnates and assumpkn'ons about the carrying values of assets and liabilities that are not readily app8renl from other sources, The estimates and undedying assumptions are based on historical experlence and other factors that are considered lo bg relevant. Actual results may differ from these estimates. The estimates and undedying assurnptions are VieWed on an on-going basis. Revisions lo accounting estimates are recognised in the period in vthich the estimate is revised if the revision affects only that 13
BLUECOAT SPORTS NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020 period or in the period of the revision and future periods rf the revision affects the cuent and future periods. In the view of the Trustees, no assumptions conceming the future or estimation UnrtainlY affecting assets and liabilities at the balance sheet d8te are likely to result in a material adjustment to their carrying amounts in the next financial year. The following paragraphs degcnbe the specific policie6 adopted for recognits'on of significant categories of incoming re$our¢e and expenditure. Sports Centrn Income Sports C8nlre income relates to continuing activitl8s and comprises membership subscription5, guest fees and hire of facilities in the year, exclusive of Value Added Tax and is accounted for when receivable. InstM?nt Incomo Investment Income currently comprfse8 bank Interest and Is accounted for on an accruals bas18. Doforr•d Incom• F88 income invoiced In advancè of cour8&8 is deférred to thè year in which ihe courses are delivered. Flxèd a88ets A number of flxed assets are In the ownershlp of Chrfst's Hospllal Foundatlon, the cost of use being charged on a monthly ba61S to the Charilable Company. Expendlture on Indlvidual St8m8 Costlng more than flv& thousand pounds has b88n capltalised. Fixed assets are depreciated in equal annual instalmenls over their economlc liv88 as follow8- Plant and equlpment 200/0 or 331AOh on cost DepCIall0n is Tr)1 charged on work in progress. Slock Stock is slated al the loVr of cost and net realisable value. Loase commltments Rentsls pald under operating leases are charged lo Income on a stralght Ilne basis over the lease tem. Expendlturo Expenditure is accnjed as soon as a liability is considered probable. discounted to present value for longer-temi liabllitles. Expenditure Is 8PPOrtloned to cost categories based on the 8slimaled amount attnbulable to that activity in the year. Govemance costs comprise the costs running the Charitable Company, including strategic planning for future development, external audit, any legal advice for the Board, and all the costs of complying with constilulional and statutory qUIreMents, such as the costs of Committee meetings, preparing statutory accounts, and satisfying publlc accounlability. 14
BLUECOAT SPORTS NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020 Taxation Th8 activities of Bluecoat Sports are exempl from Income and Corporation Tax but are gISted for Value Athjed Tax (VAT). The majority of these activities are classified as exempt or non-business activities for VAT purp08e5 and consequently it is not possible to reclairn the malodty of the VAT incurred on purchases. Pon81on sch?me6 The Chdst's Hospit81 PensSon Scheme is a multl-employer Scheme and It18 not posslble to Identify the assets and liabilities of the Schema that are attn'bLrt8ble to the Charitable Company on 8 consistent and reasonable basis. Therefore, in accordance with FRS 102, the Charitsble Company accounts for thls SGheme a5 If It were a defined contribution scheme. Note 12 provides further inf0mtIon on th18 SGherne and the 8tak8holder pension Scheme. Flnanclal Instrum•nts Beslc flnancl81 Instruments arè initially recognisad 8t transaction value 8nd subsequentty measured 8t amorti8ed cost. Financi81 assets held al 8mortised cost comprise cash at bank and In hand, logethgr wilh short lemi deposits. trade and other debtors. A specific provision is made for debts for which recoverability is in doubt. Cash at bank and in hand is defingd as all cash held in in8tant access bank accounts and used as working capital. Financial liabilities held at amortised cost comprise all creditors except 8oc181 securlty and other tax88 and provisions. 2. ANALYSIS OF TOTAL EXPENDrruRe 8TAFF C08T8 OTHER COSTS DEPRECiATION TOTAL 2020 TOTAL 2019 Chartt•bkn actfvltl•• Pro¥iding sporUrvJ f4.•8 Pr•mi9•g c0819 Equiprrwnt co Publicity t05ts Other support ¢0st8 Finance ¢o$ts Gmrn8nce costs 873.148 3.270 14,350 491.694 39,315 80,145 167,091 887.498 494,964 121,910 80,146 229.052 6.464 9.240 981.207 543,353 135, 936 g6, 759 272, 566 11,903 10,831 82,595 61,981 9,240 Total •xndItur0 938 379 788 299 2,051,955 Premises costs included £132,000 of development ¢ost8 In 202012019.. £116.000) in respect to the 8luec081 Sports Expansion Project.
BLUECOAT SPORTS NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020 J. STAFF CO3TS 2020 2019 W¥Jes and sakrl8s Co8che5' f8aS 'on81 Insurance costs PenOn9 769,957 123.B85 32.008 22.631 820,564 146,896 36, 145 24,820 1,028,425 The full Ilme nurtr of staff an881 by functl(n V+YS'. 2020 2019 FfE £188 departr1 aass instrucicfs Fllngss sulte Ftycro8tlon a$stants SM hCl VOn&JnI ond adrTinIStr 21 enWoy88 ¢)w £&),C(n12019.' nlll. The avdr&ae h68d count IbrKJ lh8 nurt of aff employ&J Th)t &Jlu*ed fef FTE) 14712019,. 1351. Thera Mere 4 key rrfjnagnt wyuinel12019.. 41 In fv year b 31 August 2020. Thar aoJr•Jate enploy88 tfjn811ts £145,44212019. £135,184>. Thls inckndes £27,80712019: £27,331) vknich Kes recharg&J frcffl thrld8 Pbspital. There were no redurKlancy costs during the year (2019.. £nlll. 4. AUDITOR'8 RewNERATb)N 2019 fee 16
BLUECOAT SPORTS NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020 5. TANGIBLE FIXED ASSETS Work In Pl•nt & progr•8• equlpm?nt TOTAL 2020 AI 1 Swombar 2019 Addition8 at cost Transferred 182,995 825,eé8 36,234 182,995 1.008.863 36.234 {182,9951 Al 31 Auoust 2020 1044 897 D•pr¢clatlon Al 1 September 2019 Chorgg fty yeor 737,202 82,595 n7.202 82.595 At 31 AU$l 2020 819 797 Net book value at 31 AuJuBt 2020 225 100 Nfjl b)ok volue 81 31 Augjst 2019 182, 995 88,466 271,461 6. STOCK 2020 2019 Slock lor sa18 materiaL8 ccn8umat488 1788 1,670 10,030 11,7Jg 7. tEBTOR8 2020 2019 Trade debtor5 Due from Chrisfs FtsF4ts1 Due from Chrisfs Fthtal Foundat'on FUrfgh Gr1 & Cther TayBS 42.200 107,897 3,641 534,668 6, 734 545,043 17
BLUECOAT SPORTS NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020 8. CREDITORS: Due wtthln orvJ •r 2020 2019 Trade cTgJilor5 Deferred incm Tax and National Insurance Due to Chrisfs Pbw'tsl Enterprises Linited Due lo Chrisfs FSla1 Foundation Ilher crtryitors and accruds 24709 129.070 44670 ia970 10,098 25,134 89,6T8 27a388 Deferred incorr In¢¢xre de1wr1 In the current year.. - Cknor 188S 44 6T0 4q 670 rr B8nCe 811 Septwrt)er 2019 Re8ed to Inc¢)m8 In lh8 year vfees Balance al 31 AUt 2020 46,670 146,6701 g. MObEhENT OF FUNI)8 B•lIn at 1 gW•mbpr Incornlng 2019 r•80urc08 Balanc• at 31 Auguot 2020 R880urce• ndad Tr•n8f6r• Do•lgnat•d fund• Fixed 8858ts C•pitg1 fund 271,461 36,234 182,5951 225,1D) G•ra1 furKI8 348.210 1.535.732 11,728,878) 157,2e4 TOTAL FUNDS 819 671 J02,364 PRIOR YEAR MOVEMENT OF FUNDS 8l•n¢• #t 1 Septembgr 2018 B¥lanc• at 31 Augu•t 2019 Incorring resources R•soure8S eyFend8d Tran8f8rs 088lgnated fund• Liquid 8S58ts Dthe1oprrwrt lund 212.089 1116,0541 19S,0351 FId a889ts C8pitsI fund 117427 329.516 205 438 205,43e 51404 1167,4581 IS,035) 271,461 Gen8ral furth 347.1g9 1,789,473 11.884,4971 96,035 348,210 TOTAL FUND5 67871$ 2 061 966 619671 18
BLUECOAT SPORTS NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020 10. ALLOCATION OF NET ASSETS BETWEEN FUNDS Tanglble flxed assets Net current ass¢t$ Total 2020 General funds 157,284 157,264 Designated funds.. C8piial Fund 225,100 225,100 225,100 157,204 382,304 PRIOR YEAR ALLOCATION OF NET ASSETS BETWEEN FUNDS Tangibl• fix•d a•aets N•t curr•nt a•8•t• Total 2019 General funds 348,210 348,210 Designated funds.. Capital Fund 271,481 271.481 271461 The Development Fund was establlshed to provide for future development of the Cenlre. 11. RELATED PARTY TRANSACTIONS The Charit8ble Company rented the sports centre and laundry to Christ's Hospital for £288,750 {2019'. £288,750) and £9,45012019.' £9,450) respectively. Chrlst's Hospilal recharged expenses totalling £66.00012019'. £66.000) to the Charltsble Company. This included £27,000 relatlng to key management Salae$ {2019'. £27,000). No Tru5toe received remuneration during the year {2019.. £nil). 19
BLUECOAT SPORTS NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 AUGUST 2020 12. CHRIST'S HOSPITAL PENSION SCHEMES The Charitable Company is a participaling employer in the Christ's Hospltal Pension Scheme (the Scheme), a defined b8nefit scheme. tr) which contnbutions are made by both employees aThJ employers. The Scheme was closed to new members with effect from 31 March 2005. The Scheme is a mulli-employer scheme and as such the Charitab18 Company is unable lo identify its share of the underlying assets and liabilities as each employer is exposed lo actuarial risks aswiated with the current and former employees of the other entiti&s participating in the Scheme. Member contributions are 6.5°/o of salary for those members who have an accrual rate of 1180th of final salary for each year of sorvlce, and 4Vo for those who have an accrual rate of 11100th Contributions payable by employer5 are 19.7Vo, plus an annual deficit-reduction contribution. which is paid by Christ's Hospitsl Foundatlon. The deflcil-reduction payment is in arKordance with an agreed schedule, allowing the deficlt to be eliminated by 30 Aprll 2029. The b88is of conlrfbutlon to the Scheme is specilied in a schedule of contribution8 agreed wrth the Scheme Trustees and certified by the actuary on 18 Ap1 2018. The la81 full acluarfal valu811on of the Scheme was carfied out wlth an affective date of 31 March 2017. Employer contnbutions for the year ended 31 August 2020 were £5,35412019'. £5,799). For staff not in thls Scheme, the Charitable Company offer5 a st8keholder penslon scheme with Legal and General. Employ8r contributions are currently 88t at the Statutory minimum of 30/0. Employer contributions tolalllng £18,020 (2019.. £18,293) wore paid in respect of this penslon scheme forthe year. 13. FINANCIAL INSTRUPENT8 Total 2020 Total 2019 Fin8rKlal assets rroasurod at 8nvJrb5ed cost lal Fina181 liabifitye8 measured 818rMrtised cost Ibl 277,373 612,898 {101,5421 (218, 748) 176 131 394, IXI lal Financial 888elg ItKILKie cash. sPKJrt iemi deposits, trad¢ debtc*$, other debtor5, Ibl Financial liabllties incbJde trade and cts creditor8 arnunts duo trJ npmtfjrs ol the Chrisfs HosF4'tal group. 14. ULTIMATE PARENT UNDERTAKING Blueat Sports is a 'controlled' charlty Insof8r as Chrlst's Hospit81, 8 charity registered in England and Wales (number 1120090), controls the appointment of th8 majority of the Trustees. This is the largest and smallesl group into which the Charitable Company is consolidated. A copy of the arKounls can be obtained from the Finance Director, the Counting House. Christ's Hospital, Horsham, West Sussex, RH13 OYP. Christ's Hospital's obj8cts and principal activities a.. the advancement of education of childr8n, principally for the benefit of thos6 families in social, financial or other specific need, by provision of a school for boys and girls- and the und@rtaking of ancillary educational and other associated activities for the benefit of the community. 20