LIVERPOOL FC FOUNDATION ANNUAL REPORT AND FINANCIAL STATEMENTS For the year ended 31st May 2023 Char•ty No: 1096572 Company No: 04587220 lli 1111 *ACXtWV6 281Q212024 COMPANIES HOUSE A07
LIVERPOOL FC FOUNDATION Annual Report and Financial Statements Contents Page Company Information Trusiees. Annual Report 2-12 Independent Auditors. Report 13-17 Statement of Financial Activities 18 Comparative Statement of Financial Activities Balance Sheet 20 Statement of Cash Flows 21 Notes to the Financial Statements 22-37
LIVERPOOL FC FOUNDATION Charity Reference and Administrdtive Details 31st May 2023 Charity number: 1096572 Company number: 04587220 Tru5tee5: Susan Black Simon Bowers Billy Hogan Davinder Jhamat Gavin Laws Matthew Parish Linda Pizzuti Tom Werner Laura Weston Victoria Gowan (Appointed 07.06.231 Secrètary. Lynn Taylor Registèred offlte: Anfield Road verpool L4 OTH Bankers.. The Royal Bank of Scotland PIC l Oale street verpool L2 2PP Statutory Audttors: Mitchell Charle5WOrth IAuditl Limited Accountants S Temple Square Tèmple Street Liverpool L2 5RH
LIVERPOOL FC FOUNDATION Trustees. Annual Report Foi the year ended 31st May 2023 The trustees present their report together with the audited financial statements of the charity for the year ended 31st May 2023. The trustees have adopted the provisions of the Statement of Recommended Practice ISORP) "Accounting and Reporting by Charities" IFRS1021 in preparing the annual report and financial Statements of the charity. The financial statements have been prepared in accordance with the attounting policies set out in note I to the financial statements and comply with the charivs governing document, the Charities Act 2011 and Accounting and Reportrng by Charities: Statement of Recommended Practice applicable to charitres preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Iland published in October 2019. Trustees of the charity The directors of the charitable company are the trustees for the purposes of charity law. The trustees who have served during the year and since the year end were as follows: Susan Black Simon 8owers Billy Hogan Davinder Jhamat Gavin Law5 Matthew Parish Linda Pizzuti Tom Werner Laura Weston Victoria Gowan (Appointed 07.06.231 Structure, Governance and Management Governing document The Charity is a company limited by guarantee. incorporated on Ilth November 2W2, and 15 therefore governed by a Memorandum and Articles of Association, which are subject to regular review. The Articles of Association were formally reviewed. updated. and adopted on 12th May 2021. Trustee appointment. induction, and training In accordance with the Artitles of Association and the Trustee Recruitment Policy, all trustees are appointed following a formal process and with regard to a board skills analysis. The 12th May 2021 revision to the Articles of Association included provision to increase the size of the board from 10 to 12, with up to six trustees nominated by Liverpool FC, and up to six independent trustees appointed by the board. Each trustee automatically becomes a member on their appointment to the Charity. On appointment, trustees complete a register of interests. The Foundation is committed to providing trustees with a thorough induction, and access to training. which includes safeguarding. Trustees are invited to key fundraising events, and to observe programme delivery in attion. The chair of trustees is appointed by the board. 21page
LIVERPOOL FC FOUNDATION Trustees, Annual Report {continuedl For the year ended 31st May 2023 Organisation The board of trustees, which. in accordance with the Articles of Association. shall be no less than three members. and a maximum of twelve, is responsible for the overall governare and strategic direction in accordance with legal and statutory regulations. Trustees meet a minimum of three times a yearand provide 5trategit èdvice to the Charitvs seniorleadership team. The Finance SUcoMmittee, chaired by the chair of trustees, reports back to the board of trustees. A CEO is appointed by the board to manage the day-to-day operation. To facilitate effective operations, the CEO, Matthew Parish. has delegated authority, within the Charity's Governance Framework and Scheme of Delegation approved by the board of trustees annUal- The CEO is appointed as a trustee by the Charity which is allowed under the Articles of A55ociatron. The CEO lea(Is a senior leadership team responsible for the day-to4ay operation of the tharity. The senior leadership team comprises.. - CEO Head of Finance Governance Manager Head of Programmes Head of Partnership5 Head of Fundraising Head of Community Engagement Policy on setting the remuneration of the Senior Managernent Team The Charity facilitates a performance management framework for all staff. Remuneration of the Charit5 staff is overseen by the LFC Foundation board of trustees. receiving advice from Liverpool FC HR benchmarking (referring to equivalent roles across the charity 5ectorl. Risk Management The trustees are aware of their responsibilities to identify. assess and manage the risks to which the Charity is exposed and to ensure appropriate controls are in place. The Risk Management Procedures is reviewed by the board annually, the Risk Register is regularly reviewed at trustee board meetings. Safeguarding policy and procedures are in place and reviewed annually by the board of trustees. Safe8uarding is reported at each trustee board meetinE. The chair of tru5tee5 Slts on the Liverpool FC Safeguarding Management Group. Trustees receive an annual safeguarding poliry briefing by the LFC Director of Safeguarding. All staff are recruited in accordance with the Charity's Safer Recruitment Policy including DBS checks and undergo mandatory safeguarding training. Financial risks are mitigated. The Reserves and Investments policies are subject to annual review. Internal and external investment is monitored. evaluated. and reported to trustees.
LIVERPOOL FC FOUNDATION Trustees. Annual Report Icontinuedl For the year ended 31st May 2023 Objective5 and activitie5 . The Charity provides community football and sports related physical èctivity. education. health, social .inclusion, and other charitable activities on behalf of The Liverpool Football Club and Athletic Grounds Limited (Liverpool Football Club). The Charity's objects are for the benefrt of the public generally. both in the United Kingdom and overseas and. in particular, the inhabitants of Liverpool. Merseyside and their surrounding areas= to promote community participation in healthy recreation by providing facilities for the playing of association football and other sports capable of improving health- to provide and assist in providing facilities for sport, recreation or other leisure time occupation of such persons who have need for such facilities by reason of thesr youth. age, infirmity or disablement, poverty or social and economic circumstances or for the public at large in the interests of social Welfa and with the object of improving their conditions of life- to advance the education of children and other persons through such means as the trustees think fit in accordance with the law of the charity.. and for the general purposes of such tharitable bodies or for such other exclusively charitable purposes as the trustees may from time to time decide. Public Benefrt The trustees have had due regard io the guidance published by the Charity Commission on public benefit. Review of artivities The LFC Foundation is the official charity of Liverpool Football Club. Our vision is to become the world's leading football club foundation that change5 the lives of young people and families. We share the value5 of Liverpool Football Club - ambition. commitment. unity. and dignity. Our mission is to bring together the LFC famity to create lrfe thanging opportunities for young people and families in the most underserved communities within the Liverpool City Region and beyond. The primary function of the Charity 15 to deliver impactful activities and seNices that improve the life and health chances of children and young people, and to generate income for sU5tainability through restricted (grant funding) and unrestricted income Ifundraisingl- The Foundation mainfy operates in areas of high deprivation across Liverpool City Region, which is the most deprived city region in England. We strategically target our work in the most deprived areas by operating in schools, community facilities, parks and open spaces to ensure we are able to en8age directly with these hard-to-reath communities. 41page
LIVERPOOL FC FOUNDATION Trustees, Annual Report {continued) For the year ended 31st May 2023 Review of activities (continued) We deliver our programmes across six key areas.'_ Sport and Physical Activity Health and Wellbeing Education and Life Skills Employment and Training Community Engagement Youth InteNentions Foundalion LFC Foundation: This is The Liverpool Way Strategy Overview 2021- 2025 Driving Sustainable Social Impact O'J'.L' By2025 we wlll: AIDUCED (iWLiiII 16 swiAsn(* si 17 SUSTAINABLE F¢x more Inform(thn 51Pa#e
LIVERPOOL FC FOUNDATION Trustees, Annual Report (continuedl For the year ended 31st May 2023 Our key partner organisations who support our programmes financially include'.- Premier League Charitable Fund IPLCFI Professional Players Association IPLPFAI Steve Morgan Foundation Liverpool Football Club Merseyside Police Merseyside Fire and Rescue Service Action for Children Home Office Liverpool City Council Knowsley Council Sefton Council Standard Chartered Foundation Kodansha SC Johnson Nike Wasabi Islamic Relief The National Lottery Community Fund Alder Hey Children's Hospital The Learning Foundry Violence Reduction Partnership Karlsson Jativa Charitable Foundation Regenda Housing James Milner-Foundation 61Page
LIVERPOOL FC FOUNDATION Trustees, Annual Report (continued) For the year ended 31st May 2023 Review of activitie5 (continued) The lotation of our programme delivery continues to expand. Anfield Sport and Community Centre remains our home, but we deliver across schools, parks, pitches, leisure centers and community settings across the Liverpool City Region. We also run programmes with our internatnal charity partner Right To Play in Senegal, Tan2ania and Thailand. We also have our Global Works programme in New York and New Jersey in partnership with the Standard Chartered Foundation. A breakdown of our programme5 is shown below.. Premier League Primary Stars- works with local schools to develop skills and ambition of young people aged 5 to 11 years. in both a sports and classroom environment. The programme is offered free to all Primary Schools in the L4.5 & 6 postcodes and Kirkby. Premier League Inspires- uses the power of football clubs and the Premier League to engage young people who are not involved in education, training or employment and raise aspirations. It is delivered within High Schools in Liverpool. Into University North Liverpool - an education projert run by national education charity Into University in partnership with the University of Liverpool and LFC Foundation, which aims to engage children and youn8 people in areas of high deprivation. raise their aspiration5 and support them in their academic studies. County Lines (Home offi.tel - LFC Foundation and Mer5eyside Polite have joined forces to help address the issues around youth and gang crime in conjunction with schools in Mer5eyside. This highly targeted programme provide5 Students with key skills. confidence and the resilience needed to overcome obstacles and choose the right pathways in life.
iwill - £1.23m match funded project which seeks to increase participation in social action by young people
aged 8 to 14 years old. The aim is to embed social action in young people's life choices, so it becomes a lifelong behaviour. We also have an extension project that sits under the #l Will umbrello and focuses on engaging with young people from SEND and AlternatNe EducatTron settines. Sport Works - Targeted employability intervention working with young people aged 16-25 who have a passion forsport. The programme aims to upskill young people with the right qualification5 to pursue a career in sport whilst supporting them with employability skills along the way. Delivered in partnership with Regenda Housing and with funding from PLPFA. Youth Works - working alongside Liverpool City Council to recruit young people with a passion for youth work into the sector. The programme will see eight young people trained up as fully qualified youth workers through a two-year apprenticeship overall supporting the ciws youth provision. This is funded via the PLPFA. Street Soccer - A focused 12-week employability programme for homeless young people aged 18.24. The pro8ramme develops employability skills through group work sessions whilst using football as the vehicle for engagement. Kicks Targeted- targeted 1-2-1 youth programme to SUPPOrt those identified by the local police into positive pathways. 71page
LIVERPOOL FC FOUNDATION Trustees, Annual Report (continued) For the year ended 31st May 2023 Review of artivities {continued) Volunteering- Our volunteering programme is delivered across our community hubs and with our university partners. Go Play - our family multi-sport and physical activity project designed to supporting families to be more active together- utilising parks, community venues and open spaces across the Liverpool City Region. The PL Kicks programme continues to support and engage teenagers at risk of crime. The programme now also incorporates our disability ar)d girls football provision. We have expanded our Kicks delivery and set up SMF" Kiik5 wliiili %ire riew sessioris fuiided tlirougli Llie Steve Morgdll Fuundation. Premier League Kicks Football+- a joint initiative with Merseyside Fire and Rescue Service helping to reduce anti-social behavior and criminal activity and encouraging long-term personal growth and development. We have expanded our offer to include an Inclusive programme and Eirls only provision. Holiday Football Camps- We provide a Iow-c05t football camp offeralong5ide free camps delivered in Anfield, Kirkby and Toxteth. Mini Players- paid for coachinE session for young people aged 4-6 years old. Girls School Football-we deliver sessions for girls at lunchtime or after school across six Schools in LNerpool. Military Veterans - supports veterans in Liverpool City Region back into civilian life by offering football coaching sessions and local tournaments. This season we have expanded our provision to have a bigger emphasis on older veterans and supporting veterans, families. MOVE - This programme is delrvered in partnership with Alder Hey Children's Hospital. We support young people living with Cystic Fibrosis, respiratory conditions and endocrine patients in a hospital setting, supporting them to take part in physical activity in a community setting. We have expanded this model with fundin8 from the PLPFA to include asthma and endocrine patients. SMF Kicks - The funding from the Steve Morgan Foundation has enabled us to grow our Kicks programme expanding our hub sites across the Merseyside region. SMF Works - Employability pfoEramme funded through the Steve Morgan Foundation, which seeks to support young people into work. education or training. Creative Works- Funded by Club sponsor Kodansha. is a programme that works with 14-25 year olds to build transferable skills that will improve their chances of finding a meaningful career in creative careers. Working with key external partners across school and community engagement programmes. SMF SEN Schools - We deliver PE sessions in IS SEN schools across Mer5eyside funded via the Steve Morgan Foundation. SMF Community Hub5 - We have created a community wellbeing hub model which allows us to support community sites across six areas of Merseyside creating "community hubs" We have supported each hub with facility refurbishments and are now runninE our programmes from these hub sites. 81Page
LIVERPOOL FC FOUNDATION Trustees, Annual Report {continuedl For the year ended 31st May 2023 Review of actlvlties (continued) Game On-a multi-sportprogramme in partnershipwith the PLPFAand Nike. This programme 5UPPOrtsyoung people to try new sports creating a pathway into local sports clubs. We also run a coach mentoring programme through the additional funding frorn Nike. Player Development Centers- Paid for grassroots football coaching programme. Trent Alexander Arnold Games Progrnmme- Fun football play sessions for children aged 4-6 years old. On Target- a school mental health programme funded by the PLPFA and Action for Children. Robbie Fowler Education Footboll Acaderny IFEFAI - We partner with FEFA to deliver a post 16 education and football offer. Onside (Alternative Educationl- The Orbside. programme funded by the PLFPA aim5 to support a wide range of young people aged I1-16-Year[d in schools across Merseyside. The programme targets those who are at risk of leaving mainstream education andlor on the cusp of criminality and identified by Merseyside Police. Sound Minds - A music and mental health programme funded by the Karlsson Jativa Charitable Foundation 5uppuI Illi¥ yuung peoylv Iu lildlldge Ilieir Irierital wellbeing effeitively. Red Hot Beats- A series of community-based workshops using musTrc, art and dance to enhance the mental health of young people and also their knowledge around theirown mental health. The young people are from disadvantaged communities and the programme uses the hook of music and sports to develop core skills of resilience and coping strategies. Smile Squad Smile Squad is a dental hygiene programme delivered in partnership with University of Liverpool School of Dentistry and Dan Collins la Merseyside based dentist). The first element of Smile Squad focuses on visiting Primary Schools to perform dental checks and provide educational materials as well as making dental hygiene part of the children's classroom routine. Referrals are then rnade to Liverpool University Dental Hospital for free treatment if necessary. Smile Squad occasionally also takes place in community setting by performing dental checks on Foundètion participants at one of our hubs. We Empower-we Empower isan allyship programme with a fotusonfemale empowem)ent. Working with both boys and girls in primary and secondary schools, the programme aims to empower young people to make positive change in all areas of life and champion empowerment and alShiP wherever possible. National Citizen SeNice INCSI is a youth programme targeting 16-17 year-olds to encourage social mixing and community engagement taking place across summer and autumn holiday periods. Global Works is a sport-based employability programme delivered across New York and New Jersey that also LUIIIPTise5 corporate menloi.ing drid Idilored iareei 5UPPOrt that talEet5 those furthest froin tlie job Illdl ket. Target - 160 participants each year. Man2Man - a new men's mental health programme in partnership with Sean's Place a Liverpool based charity supporting men from across the region. 91Paue
LIVERPOOL FC FOUNDATION TrusteÈ5' Annual Report (continued> For the year ended 315t May 2023 Intemational Development As the official charity of a truly global football club. the LFC Foundation has always aspired to develop its international reach and impact. In October 2020 we launched the 'Side by Side. campaign, whith is our official charity Partnership with Right To Play an International charity that U5e5 Sport & play to empower children in some of the most underserved communities in the wodd. Currently we are operating in four high need communities in Bangkok. Thailand. We also partner on a Girls Empowerment programme in Senegal and a school engagement programme in Tanzania. We have also been engagin8 the global LFC famify through a new initiative called the This Means More ChallenEe', which encourages our Official Liverpool Supporters Clubs {OLSCsl to do something positive for their local community and take part in fun & Creative challenges. Since February 2022 we have had two LFC Foundation staff based out of the Liverpool FC Office in New York delivering our 'Global Works, programme that includes offering mentoring and employobility sessions to young people in New Jersey. The work is run in partnership with the Standard Chartered Foundation. In November 2022 we launched a partnership with three pro<lub5 in Dublin. We support each club by part- funding a community manager to build capacity within their community departments. We work alongside Bohemian FC, Shamrock Rovers FC and Shelbourne FC. Achievements and Performance The continued growth of the Foundation was demonstrated in 202212023 with a turnover of £7.Im, up from total of £6.4m in the previous season. This was achieved by renewing and uplifting existing restricted income via grants and growing the unrestricted income through Legends fixtures, major gifts. and matchday fundraising. A significant proportion of the unrestricted income in 202212023 was raised via the two home LFC Legends charity games. In September 2022, Anfield stadium hosted a match between LFC Legends and Manchester United Legends which generated £0.9m gross income with a surplus of £0.4m unrestricted income. A second home fixture, held in March 2023, featuring a game between LFC Legends and Celtic Legends, generated a gross income figure of £1.4m, with a surplus after costs of £0.8m. The total net proceeds of the fixtures in 202212023 were £1.2m, up from a total surplus of£l.Im from the previous season. Originally launched in June 2021. the 'Red Hearts. initiative. a major gifts giving Scheme, continued to generate £0.4m in 202212023. The appointment of a Head of Fundraising at the very end of the season demonstrates a renewed fotus on major gift fundraisin& with increased outcomes expected for 2023124. Growth was also seen in other areas of the fundraising,. for example, the net proceeds from the LFC home game matchday lottery increased from £0.17m in 202112022 to £0.19m for 202212023. Across all of its activities. the Foundation supported nearly I23.C) people in the 202212023 season. An increase of 47% on last year. Almost half of participants were from the IO% most deprived local authority wards in the country. 88% of participants reported and improvement in their mental health and wellbeing and 90% reported an improvement in their physical health. Our social value is now £88.75 million and for ever £1 spent our Social return on investment is £13.32. IOIpage
LIVERPOOL FC FOUNDATION Trustees, Annual Report {continued) For the year ended 315t May 2023 Financial review Income for the year was £7,063,994. Funding is a mixture of ljoth restricted and unrestrirted with any unspent amounts at the balance sheet date being carried fonNard to be spent in the next financial year. At 31st May 2023 total reserves stood at £3.608,020 of which £3.326.366 were unrestricted including a £150,000 cash reserve to ensure financial resilience las per the reserves policy below). Reserves polity It has been agreed by trustees that it is prudent to have an amount of cash reserve to cover future unknown5 in the receipt of unrestricted funds. This amount should be held separately from the Charity's other cash balances. The Resee$ policy is reviewed annually in line with Charity Commission guidance. The reserves policy was reviewed post year end and due to the growth of the Foundation and its financial commitments that the cash reserves amount be uplifted from £150,000 to £250,000. This was approved by Trustees in October 2023. Investment policy The investment policy of Liverpool FC Foundation airns to minimise risk and maintain liquidity. Funds will be diversified, where appropriate across banking institutions on short to medium term dewsits, which can be easily accessed in line with the Charrty's Reserves polic¥. Interest rates will be reviewed biannually to ensure the most competitive rates are sourced. Trustees will be briefed on the status of investment values and interest rates on a quarterly basis or more frequently if significant changes arise. The Investment Policy is reviewed annually in line with Charity Commission guidance. Plans for the future Looking longer term, the Charitvs five-year strategy will continue to be developed overthe next year focusing on business planning for growth, continuing to deliver high quality and impactful programmes acros5 the Liverpool City Region and building an international platform for programme delivery through our partnership with Right To Play and by seeking to continue to engage LFC supwrters around the world. Illpage
LIVERPOOL FC FOUNDATION Trustees, Annual Report (continued For the year ended 31st May 2023 Trustees, responsibilities rtatement The trustees (who are a150 dirertors of Liverpool FC Foundation for the purposes of company lawl are responsible for preparing the Trustees, Annual Report lincluding the Strategic Report) and the financial Statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Prarticel. Company law requires the trustees to prepare financial statements for eath financial year. which give a true and fair view of the state of affairs of the charitable company and of the incoming resource5 and application of resource5. including the income and expenditure. of the charitable company for that period. In preparing these financial statements, the trustees are required to= selert suitable accounting polities and then apply them consistently. observe the methods and principles in the Charities SORP 2019 IFRS 1021. make judgements and estimates that are reasonable and prudent. state whether applicable UK Accounting Standards have been followed, subject to any material departure5 disclosed and explained in the financial statements. prepare the financial statements on the going concem basis unless it is inappropriate to presume that the charitable company will continue in operatiorb. The trustees are responsible for keeping adequate accounting records that disclose with reasonable atcuraty at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Art 2CXJ6. They ère also responsible for safeguarding the assets of the charitable company arKI hence for taking reasonable steps for the prevention and detection of fravd and other irregularities. Auditor Mitchell Charlesworth {Auditl Limited is willing to continue in office and a resolution for its reappointment was passed at the 2023 Trustees Meeting. By Order of the Board Gavin Laws Trustee 121Page
Mitchell Charlesworth (Audit) Limited Accountants 5 Temple Square Temple Street Liverpool L2 5RH LIVERPOOL FC FOUNDATION Independent Auditorfs Report to the Member5 of Liverpool FC Foundation for the year ended 31st May 2023 Opinion We have audited the financial statements of Liverpool FC Foundation Ithe'charitVI for the year ended 31st May 2023 which comprise the statement of financial activities, the balance sheet, the 5taternent of cash flows and the note5 to the financial statements, including significant accounting policie5. The financial reporting framework that ha5 been applied in their preparation is applicable law and United Kingdom Accounting Stand3rd5, induding FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kirb8dom Generally Accepted Accounting Practice). In our opit)ion the financial staternents.. give a true and fair view of the state of the ¢haritable company's affairs as at 31st May 2023 and of its in¢ominE resources and application of resources, for the year then ended- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice.. and have been prepared in accordan with the requirements of the Companies Act 2006. Basls for opinion We conducted our audit in accordance with International Standards on Auditing IUKI IISA5 IUKII and applicable law. Our responsibilities under those 51andards are further described in the Auditor's re5ponsibilitie5 for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the finanaal statements in the UK. including the FRC'S Ethical Standard. and we have fuifi11ed our other ethical responsibilities in accordance with ihese requirements_ We believe that rhe audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relating to Boing concern In auditing the financial statements. we have concluded that the trustees, use of the going Conrn b3515 of a¢counting in the preparation of the financial statements is appropriate. Based on the work we have performed. we have not identified any material uncertainties relatinE to events or conditions that. individually or collectively. may cast significant doubt on the charitvs ability to continue as a going concern for a period 013t leasi twelve months from when ihe financial staiements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant secliorb5 of this report. 131Page
Mitchell Charlesworth (Audit) Limited Accountants S Temple Square Temple Street Liverpool L2 5RH LIVERPOOL FC FOUNDATION Independent Auditorfs Report to the Members of Liverpool FC Foundation for the year ended 31st May 2023 l¢ontinuedl Other information The other information comprises the information included in the annual report other than the financial s13tements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and. except to the extent otherwise explicitly staled in ou¥ report. we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and. in doing so. consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appear5 to be materiallv rnisstated. If we identify such material inconsistencies or apparent material misstatement5, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If. based on the work we have performed. we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Opinions on other matters presryibed by the Companies Ad 2006 In our opinion, based on the work undertaken in the course of the audit- the information given in the trustees. report. which includes the directors. repoit and the strateg4c report prepared for the purposes of company law. foi the financial year forwhith the financial statements are prepared is consistent with the financial 5tatements.' and the strate8ic report and thedirectors, report included within thetrustees, report have been prèparèd in accordance with applicable legal requirements. Matters on which we are requlred to report by eXptIon In the light of the knowledge and understanding of the ¢harity and its environrnent obtained irt the Course of the audit. we have not identified material rnisstatements in the strategic report or the directors. report included within the trustees. report. Wè have nothing to report in respect of the following matters in rdation to which the Companies Act 2CL16 requires us to report to you if, in our opinion.. adequate accouniing records have not been kept. or return5 adequate for our audit have not been received from branches not visited by us: or the financial staternents are not in agreement with the accounting fÈtords and returns- or certain disclosures of trustees. remuneration swified by law are not made.. or we have not receiv all the information and explanations we require for our audit. 141Page
Mitchell Charlesworth (Audit) Limited Accountants 5 Temple Square Temple Street Liverpool L2 5RH LIVERPOOL FC FOUNDATION Independent Auditorfs Report to the Members of liverpool FC Foundation for the year ended 31st May 2023 Icontinuedl Responsibilities of trustees As explained more fully in the ststement of trustees, responsibilitie5. the trustees, who are also the direclor5 of the charity for the purpose of company law, are responsible for the preparation of the financial 5tatement5 and for being satisfted thai they give a true and fair view, and for such internal Control as the tru5tee5 determine 15 necessary to enable the preparation of financial statements that are free from material misstatement. whether due to fraud or error. In preparing the financial statements, the trustees are responsible for a55e55ing the charitrfs ability to conlinue as a going concern, disclosin& a5 applicable. matters related to going concern and using the going concern basis of atcounting unless the tru5tee5 either intend to liquidate the charitable company or to cease operation5, or h3ve no rèalistic Iternative bvt to do so. Auditoes Tesponslbllitie5 for the audit of the financial statements Our objective5 are to obtain rea50nable assurance aboul whether the financial 5talemen15 as a whole are free from material mi5Staternent. whether due to fraud or Èrror. and to issue an auditor's report that includes our opinion. Reasonable a55uran¢e is a high level of a55urance but is not a Buarantee that an audit conducted in accordance with ISAS IUKI will always detert a material misstatement when it exists. Missi3iemènt% tan arise from fraud or error and are considered material Èf, individuallyor in the a8gregatÈ. they could reasonably be expected to influence the economic decisions of user5 taken on the basis of these financial siatements. A further description of our responsibilities for the audit of ihe financial statements Is located on the Financi31 Reporting Council's website at htip'.Ilwww.frc.org.uklauditor5responsibilities. This descfiption forffl5 part of our auditor's ieport. Irregularities, including fraud. are instan$ of non-complian with laws and regulations. We design procedures in line with our responsibilities, outlined above. to detert material misstatements in respect of irregularities. including fraud. The extent to which our procedures are capable of detecting irregularities. including fraud. is deiailed below. Emtent to whlch the audit wa5 considered capable of deterting irregularities Induding frayd We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, induding obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. 151Page
Mitchell Charlesworth (Audit) Limited Accountants 5 Temple Square Temple Street Liverpool L2 5RH LIVERPOOL FC FOUNDATION Independent Auditorfs Report to the Members of Liverpool FC Foundation for the year ended 31st May 2023 (continu) Identifying and assessing potentlal risks related to irregulariti In identifyin8 and assessing risks of material misstatement in re5peci of irre8ularities, includin8 fraud and non- compliance with laws and regulations. we considered Ihe followinE- the nature of the industry and sector. contiol environment and business performance: the charity's own assessment of the r45ks that irregularities may octur either as a result of fraud or èrror.. the result5 of our enquiries of management and members of the Board of Trustees of their own identificatiowb and assessment of the risks of irregularitie5- any'matiers we identified having obtained and rewewed the charitls documentation of thelr policies and procedures relating to.. identifying, evaluatin8 and complyin8 Wlth law5 and regulations and whether they were aware of znv instances of non-compliance,. and detectin8 and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud- and the internal controls e5t8blished to mitigate risks of ffaLFd or non<ompliat)ce with laws and regulations- and the matters dlscussed amone the audit engagement tearn regardinK how and where fraud mi8hl (xcur in the financial statements and any potential indicators of fraud. As a result of these procedures. we considered the opportunities and incentive5 that rnay exist withln the organisation for fraud and identified the greatest potenlial for fraud in the following area5= lil The presentation of the ¢h?rity'S Statement of Financial Activitie5. lill the charity's accounting policy for revenue recognition," and liiil the overstatement of salary and other costs. In common with all audits under ISA5 IUKI, we are also required to perform specific procedures to respond to the risk of management override. We also obtained an understanding of the le831 and re8ulatory framework that the charity operates in, focusing on provisions of those laws and regulations ihat had a direct effect on the determination of material amounts and di5c195ure5 in the financial statements. Thè key laws and regulations we considered in this context included the UK Companies Act and the Stalement of Recommended Practice - 'AccountinE and Reporting by Charities. issued by the joint SORP making bodv. In addition. we considered provisions of other laws and regulations that do not have a direct effect on the finanoal statements but Ct)rnpliance with which may be fundamental to the charivs ability to operate or to avoid a material penalty. These included Safeguarding and Data Protection Regulations. 161Page
Mitchell Charlesworth (Audit) Limited Accountants 5 Temple Square Temple Street Liverpool L2 5RH LIVERPOOL FC FOUNDATION Independent Auditorfs Report to the Members of Liverpool FC Foundation for the year ended 31st May 2023 Icontinuedl Audlt response io rlsks Identified As a result of performing the above. we identified the presentation of the charity's Statement of Financial Activitie5, revenue recognition and overstatement of wagÈs and other costs as the key audit maiters related to the potential risk of fraud. The kèy audit matters section of our report explains the matters in more detail and also describes the spècifit procedures we performed in response to ihose key audit matters. In addition to the above, our procedures to respond io risks identified included the following.. reviewing the financial statement disdosures and testing to supportirb8 documentation to assess compliance with relevant laws and regulations described above as having a direct effect on the financial statements,. enquirinE of management and members of the Board of Trustees corkcerninE actual and potential litlgation and claims,. performing analytical procedure5 to identify any unusual or unexpected relationships that may indicate risks ctrf material misstatement due to fraud; reading minutes of meetings of those charge(I with governance and reviewing correspondence with relevant authorities where matters identified were significant," in addressing the risk of fraud through management override of contro15, testing the appropriatenÈss of journal entries and other adjustments," assessing whether the judgements made in makin8 accounting estimates are indicative of a potential bias,- and evaluating the business rationale of any significant tran5artions thèt are unusual or outside the normal course of business. We also communicated relevant identified laws and re8ulations and potential fraud risk5 to all engagement team members and remained alert to any indicètions of frèud or non-compliance with laws and regulations throughout the audit. Use of our report This report is made solely to the charitable company's members, as a boty. in accordance with Chapter 3 of Part 16 of the Companies Act 2LK)6. Our audit work has been undertaken so that we might state to the charitable company's rnembers those matters we are required to state to them in an auditors, ieport and for no other purpose. To the fullest extent permitted by law. we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body. for our audii work. for this report. or for the opinions we have formed. Loulse Casev Senior Statutory Auditor On behalf of Mitthèll Charlesworth IAuditl limited Statutory Auditor 6 febfiLa( 171page
LIVERPOOL FC FOUNDATION ststement of Financial Activitie5 (including Incorne and Expenditure Account) For the year ended 31st May 2023 Unrestricted Funds Restrirted Funds 2023 Total 2022 Total Notes Income from: Donations and legacies Charitable artivities Other trading artivities Interest received 1,135.209 780.141 2.782.062 19.755 1,135.209 3.126.968 2,782,062 19,755 1,393,097 2,737,127 2,242,041 918 2,346.827 Total income 4.717.167 2.346.827 7.063,994 6.373.183 Expenditure on.. Raising funds Charitable activities 1,532,609 2.509.586 1,532,609 5.098.641 997,305 4.041.402 2.589.055 Total expenditure 4.042.195 2.589.055 6,631.250 5,038.707 Net incomellexpenditurel 674,972 1242,2281 432,744 1.334,476 Transfers between funds Net movement in fvnds 20 674.972 1242.2281 432.744 1,334.476 ReconcFliation of fund5: Total funds brought forward 20 2.651.397 523.879 3.175.276 1.840.800 Total funds carried forward 3,326.369 281,651 3.608,020 3,175,276 All income and expenditure derives from continuing activities. The statement of financial activities includes all gains and 105sès reco8ni5ed durin8 the year. The notes on pa8e$ 22 10 37 form part of these financial statements 181Page
LIVERPOOL FC FOUNDATION Statement of Financial Activities lincluding Income and Expenditure Account) For the year ended 31st May 2023 Comparative information in respect of the Preceding period is as follows= Unrestrirted Funds Restricted Funds 2022 Total 2021 Total Notes Intome from: Oonations and leBa¢res Charitable attivitie5 Other trading activities Interest receivèd 1.329,263 510.242 2.242.041 918 63,834 2,226,885 1.393.097 2.737,127 2,242,041 918 1,037,195 2,513,657 172,497 932 Total intome 4.082.464 2.2.719 6,373,183 3,724.282 Expenditure on: Raising funds Charitable activities 997.305 1.952.208 997,305 4,041,402 195,026 3.465.082 2.089.194 Tatal expendlture 2,949.513 2.089,194 5.038.707 3.660.108 Nét incomèllexpendlturel 1.132.951 201.525 1,334,476 64.174 Transfers between funds 3,376 13,3761 Net movement in funds 20 1,136.327 198,149 1.334.476 64,174 Reconciliation of funds: Total fund5 brought fovward 20 1.515.070 325.730 1.840.800 1,776,626 Total funds carried forward 2,651,397 523.879 3.175.276 1.840.81XJ The notes on pages 22 to 37 form part of these finanaal statements 191page
LIVERPOOL FC FOUNDATION Balance Sheet As at 31st May 2023 Plotes 2023 2022 Fixed a55et5 Intangible assets Tangible assws Investments 14 39.512 66,354 16 39.513 66,355 Current asset5 Debtors Cash at bank and in hand 17 503,381 3,744,604 704.293 3.251.922 4,247,985 3.956.215 Creditors Amounts falling due within one year 18 679.478 847,294 Net current amets 3.568.507 3.108,921 Net assets 3,608.020 3.175.276 Fund5 UnrÈstflCted funds General funds Designated funds Restried funds 20 20 20 3.176.369 150.OLX) 281,651 2,501.397 1S0.tM)O 523.879 Total funds 3.608.020 3.175.276 The financial statements were approved by the Board of Tru5tee5 and authorised for issue on signed on its behalf by= Gavin Laws Trustee Company Re8iStration Number- 04587220 The notes on paEes 22 to 37 form part of these finana31 statements 20IPage
LIVERPOOL FC FOUNDATION ststernent of Cash Flows For the year ended 31st May 2023 Note5 2023 2022 Cash flow from operating acti¥ities 22 482.279 997.530 Cash flow from investrng acttvities Payments to acquire tangible fixed assets Interest received 19,3521 19,755 124.0751 919 Net cash flow from investing actlwti 10,403 123,1561 Net increase in cash and cash equl¥alents 492.682 974.374 Cash and cash equivalents at tst June 2022 3,251,922 2,277,548 Cash and cash equivalents at 31st May 2023 3.744,604 3,251.922 Cash and cash equivalents consists of=. Cash at bank 3,744.604 3,251,922 Cash and cash equivalents at 31st May 2023 3.744,604 3.251.922 Thp notes on page5 22 to 37 form part of these financial stalernents 211pa8è
LIVERPOOL FC FOUNDATION Notes to the Financial Statements For the year ended 31st May 2023 Summary of %8nificant accountin8 policie5 General Informalion and ba5[5 of preparation Liverpool FC Foundation is a company limited by guarantee. and a registered charity in England and Wales. In the event of the charity being wound up. the liability in respeu of the guarantee is limited lo £10 per member of the charity. The address of the registered office i58iven in the charity information on page l of these financial statements. The natule of ihe charivs operations and principal aaivities are described in the Trustees. Report on page 4. The charity constitutes a public benefit èntity as defined by FRS 102. ThÈ finantial statèments have been prepared in accordance with Accountin8 and ReportinB by Charitie5.' Ststement of Recornmended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland. IFRS 1021. the Companies Act 2006, and UK Generally Accepted Accounting Practice. The financial statements are prepared on a going concern basis under the historical cost convention. The financial statèments are prepared in sterling which is the funttional currency of the charity. and rounded to the nearest £1. The significant accounting policies applied in the preparation of these finantial statements are Set out below. These policies have been consistently applied to all years presented unless Otherwise stated. Funds Unrestricted fund5 are fund5 available for use at the discretion of the trustees in lurtherance of thè genèral objective5 of the charity and which have not been de518nated for other purposes. Designated funds comprise unrestricted fund5 that have been set aside by the trustee5 for particular purposes. The aim and use of each designated fund 15 set out in the note5 to the financial statements. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The cost of raising and administerinB such funds are charged against the specific fund. The aim and use of each restritted fund is set out in the notes to the financial statements. Income recognition All incoming resources are included in the Statement of Financial Artivities1SoFAI when the charity is legallv entitled to ihe income after any performance conditions have been met. the amount can be rneasured reliably and it is probable that the income will be received. For donations to be recognised the charity will have been notified of the amount5 and the settlement date in writing. If there are condittons attached to the donation and this require5 a level of performance before entitlement can be obtained then income is deferrèd until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and il is probable that they will be luifilled. Donated facilities and donated professional services are recognised in income at their fair value when their economic benefit is probable. it can be measured reliably and the charity has control over the item. Fair value is dètermined on ihe basis of the value of the gift to the charity- For example the amount the charify would be willing to pay in the open market for suth facilitie5 and servi. A Correspondi amount is recognised in expenditure. 22Ipage
LIVERPOOL FC FOUNDATION Notes to the Financial Statements For the year ended 315t May 2023 Summary of s18nificant accounting policies Icoo)tlnued) Income recognition {continuedl No amount is included in the financial statèments for volunteer time in line with the SORP IFR5 1021. Further detail 15 given in the Trustees. Annual Report. Income from trading activities includes income earned from fundraising events and tradin8 activities to raise funds for the charity. Income is received in exchange for supplying goods and services in order to raise funds and is recognised when entitlement has occvrfed. Income from charitable artivities indudes incorne received under contract or where entitlement tQ 8rant funding is subject to special performance conditions and t5 reco8nised as earned as the related services are provided. Grant income included in this category provide5 funding to support performance acttvities and is reco8nised when there is entitlement. certainty of receipt and ihe amounts can'be measured with sufficTrent Expenditure recognltlon All expenditure is accounted for on an accruals basis and ha5 been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it 15 probable that the settlement will be required and the amount of the obligation can be measured reltably. It is categorised under the following he4din8S'. Cost of raising funds includes costs incurred in running fundraising events. Expenditure on charitable activities include5 Costs incurre(l in the provision of education, health and social inclusion activitie5. Irrecovefable VAT is char8ed as an expense against the actNity for which expenditure arose. Support costs all(Kation Support costs are those that assist the work of the tharity but do not directly rèpresent tharttable activities and include office costs, governance costs, and adrninistrative payroll costs. They are in¢urred directly in support of expenditure on the objects of the charity and intlude project management ¢arried out at Headquaiiers. Where 5VPPOrt costs cannot be directly attributed to particular headings. they have been allocated to C05t of raising funds and expenditure on charitable actiVLtie5 on a pro-rata basis consistent with use of the re50urce5. The analysis of these costs is included in rbote 7. Intangible fixed assets Intangible assets acquired are capitalised at cost. Intangible a55ets are amortised on a 5trai8ht-line basis over their useful lives. The useful lives of Intangible assets are as follows=_ Bookin8 System 50ftware 33% pèr annum Provision is rnade for any impairment. 231Page
LIVERPOOL FC FOUNDATION Notes to the Financial Statements For the year ended 31st May 2023 Summary of Significant accountlng poJicle5 {continuedl Tangible fixed a$5ets Tangib fixed assets are stated at CQSt lor deerned costl or valuation less accumulated depreciation and accumulated impairrnent105ses. C05t includescosis dirertly attributable to makingthe asset capable of operating as intended. Laptops and mobile phones are capitalised on the balan sheet, along with any other bndividual assets where their cost excÈeds £SCQ. Depreciatioft is provided on all tangible fixed assets. at rates calculated to write off the cost, less estmated residual value, of each asset on a systematic basis over its expetted useful life a5 follows.. Computer and other equipment Fixtures and fittings Refurbishment COSts 25-33% per annum 25% per annum 5% per annum Investments Investments in subsidiaries are measured at cost les5 impairment. Con501idated financial statements have not been prepared on the ground5 thal the subsidiary undertaking is dormani. Debtors and (dItorS receivablelpayable within one yeaf Dèbtors and creditors with no stated inieiest rate and receivable or payable within one year afe Tècorded at transaciion price. Any losses arising from impairment are recognised in expenditure. Provisrons Provisions arè recognised when the charity hasan obligation at the balance Sheet date as a result of a past event. It is probable that an outnow of economic tjenefiis will be required in settlement and the amouni can be reliably estimated. Finanoal instrumènt5 The charity has dected to apply the prgvisions of Section 11 'Basic Financial In5trvments' and Section 12'0ther Financial Instruments Issues. of FRS 102 to all of its financial instruments. Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contrartual provisions of the instrument. Financial assets and liabilitie5 are offset, wilh the net an)ounts presented in the financial statements, when there is a legally enlorceable right to set off the retognised amounts and there is an intention to settle on a net basi5 or to realise the asset and settle rhe Irabilitysimultaneously. Bosi¢Ainan¢iol 05sets Basie financial assets. which include debtors and cash and bank balances, are initially measured at transaction price including transaction cost5 and are subsequently carried at amortised cost U5in8 Ihe effective interest method unless the arrangement constitutes a financing transaclion. where the tran53Ction is measured at the present value of the future reiptS discounted at a market rate of interest. Financial assets dassilied as receivable thin one year are not amortised. 241Page
LIVERPOOL FC FOUNDATION Note5 to the Financial Ststements For the year ended 31st May 2023 Summary of significant accouniing policies Icontlnued) 8asi(finonclal liabllltles Basic financial liabilities. including creditors and bank loans. are initially recognised attransaction price unless the rranBemeni constitutes a finanong transaction, where the debt instrument is rneasured at the present value of the future receipis discounted at a market rate of interest. Financial liabilities classified as payable within one vear are not amortised. Debt instruments are subsequèntly carried at amortised c95t, using the èffective interest rate method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are dassified as current liabilities f payment 15 due wiihin one year or less. If not. they are presented as non-current liabilities. Trade creditors are recognised initially at transartion price and subsequently measured at amortised cost using the effettrve interest method. Derecognltlon of finon¢iolliobilitie5 Financial liabilitie5 are derecognised when ihe chariws contractual obligations expire or a discharged or cancelled. Leases Rentals payable and receNable under operaiinB aSe5 are tharged to the SOFA on a straight line basis over the peiiod of the lease. Employee benefits When employees have rendered service to the charity. short-term employee benefits to which thè employees are entitled are recognised at ihe undiscounted amount expected to be paid in exchange for that service. The charity operates a defined contribution plan for the benefit of its employee5. Contributions are expensed as they become payable. Tax The charity is an exempt tharity within the meaning of schedule 3 of the Charities Act 2011 arbd is considered to pass the tests set out in Paragraph l. Schedule 6 of the Finance Act 2010 and therefore rneet5 the definition of a charitable company foi UK corporation tax purposes. Going cOnM The financial statements have been prepared on a going concern basis as the trustees believe thai no material uncertaintie5 exist. The trusteès have considered the level of fund5 held and the expected level of income and expenditure for 12 months from authofising these financial statements and have had due regard to the impact of Covid-19. The budgèted incomè and expenditure is sufficient with the I*1 of reserves for the charity to be able to ¢ontinue as a goin8 conrn. 251pagè
LIVERPOOL FC FOUNDATION Notes to the Flnancial Statements For the year ended 31st May 2023 Income from donations and legacies Unrestrlrted Funds 20Z3 2022 Total Total Vnrestrkted Restricted Donations Liverpool FC donation in kind 557.665 577.544 557.665 577.544 845,235 547,862 1.135.2(VJ 1.135.209 1.393.097 Income trom charilable activities 2023 T31 2022 Total Unrestr*ted Restricled Project income.. Football & Sports Development Community En8a8ernent Youth Work Education & Skills Ernployment & Training Health & Wellbeing Other charitable income 58.050 1,735 45.C#)8 92.614 397.433 295,350 745.385 285.201 383.997 239,461 455,483 297,085 790.393 377.815 384,800 239,461 581,931 676,956 317,002 320,041 17S.579 634.748 192.934 419,867 581.931 780.141 2.346.827 3.126.968 2.737,127 £2.045.093 of the above income in 2022 was attributable to restri¢ied funds and £468564 of the above income rn 2022 was attributable to unrestricted funds. Income Irom other tradin8 arthvit Unrestricied Funds 2023 2022 Total Total £vent5 income 2.782.062 2,242,041 Interest received Unrestricted Funds 2023 2022 Interest re1vable 19.755 918 261Page
LIVERPOOL FC FOUNDATION Notes to the Financial Statements For the year ended 31st May 2023 Analysis of èxpenditure on dritabl* actiwtiès 2023 Total 2022 Total Staff Co$ Other Project expenditure: Football & Sports Development Community Engagement Youth Work Education & Ski115 Employment & Training Health & Wellbeing Foundation Activity Partnership Income Support Costs 415.305 153.987 583,531 430.880 452.425 205.146 174.073 260.657 239,803 116.527 131.944 143.836 732.083 81.046 338.481 S89.378 414,644 823,334 547,407 584.369 348.982 732.083 83.734 974.710 742.033 356.269 272.712 200,682 738,851 262,548 161,434 144.084 1.162.789 636.299 2.880.191 2,218,450 5,098,641 4,041.402 2023 Total 2022 Total Unrestricted Re5tricied Project expenditure.. Football & Sports Development Community Engagement Youth Work Education & Skills Employment & TraininB Health & Wellbeing Foundation Activity Partnerships Support costs 159.254 81.239 53,073 262.202 94.420 95.758 732.083 56,847 974,710 430,124 333,405 770.261 228.205 489.949 253.224 589.378 414,644 823.334 547.407 584.369 348.982 732.083 83,734 974,710 742.033 356,270 272,712 200,681 738,851 262.548 161,434 144,084 1,162,789 26,887 1880.189 2.218.452 5.098.641 4.041.402 £2.089.194 of the above expenditure in 2022 was attributable to restricted funds and £1,952,208 of the above expenditure in 2022 wa5 attributable to unresrricted funds. Allocation of support Costs 2023 2022 Governance (see note 81 Staff tosts Depreciation Loss on disposal of fixed assets Office costs Legal and professional Information technologv Advertising Oonation in kind Other 10.000 636.229 4.167 9,3(Kl 630,102 8,839 238 66.137 18.555 82.974 14.786 10.978 124.442 91.133 8.577 364.540 56,501 974.710 1.162,789 271Page
LIVERPOOL FC FOUNDATION Notes to the Financial Statemerrts For the year ended 31st May 2023 Govèrnance r05ts 2023 2022 Audit and &countancy fees io.c(x) 9.300 Net bntomel{eXpenditu} for the year 2023 2022 This is stated after char8ing: Amortr5ation of intangible fixed assets Depreciation of tangible fixed assets Auditors, remuneration- audit Operating lease rentsls 35,987 10,0 62,655 45.931 9.300 66.033 io. Taxatlon The company is exempt from corporation tax on its charitable auivities. ii. Audltorfs rèmuneration The auditorfs remuneration amounts to an audit fee of £lO,O(KI12022- £9,3001. 12. Trustee< and key management personnel remuneration and expenses M Parish. the Chief EXeCute is also a Trustee of the Charity. His remunerètion in his capacity as Chief Exetutive for the year was £116.75012022- £107.OLKII and employer pension £ontributlOn5 were £I0.5cl2o22- £4,5(KJI. No other tru5tee5 received nor waived any remuneration during the year12022- ENill. Two12022.' one) trustee5 had travel expense5 reimbursed during the year to the value of £23312022- £4991. The key management personnel of the charity comprise the CEO. Hea(1 of Finance, Head of Prograrnmes, Head of Partnerships. Head of Fundraising and Govèrnance ManaBer The total amount of employee benefrts received by thè kèy managèrnent pèrsonnel is £388,918 12022 £384,5891. 281PaBe
LIVERPOOL FC FOUNDATION Notes to the Financial Statements For the year ended 31st May 2023 13. Staff cost5 and employee benefits Number of employees The average monthly number of employee5 and full time equivalent during the year was as follows: 2023 Number 2023 2022 Number 2022 FTE Total 82 78 71 67 The total staff costs and employee benefits were as follows: 2023 2022 Wèges and salaries Sotial security Costs Defined contribution pension Costs 2,462.995 207.589 158.032 2.010.164 168.963 138.160 2.828.616 191,776 134,868 2.317.286 95,707 183,282 Rechar8ed wages Donations in kind 3,155.260 2,596.275 Total re(lundancy/termination payments amounted to £Nil12022 £19,¢XM)I. The number of employees who received total employee benefits lexcludingemployer pension costs) of morethan £60.C4JO is as follows=_ 2023 Number 2022 Number £60,CQI- £70.(AJO £70,fX)1- £80.000 £iOO.OOi- £iiO,OCll) £110,001- £120,0 291page
LIVERPOOL FC FOUNDATION Notes to the Financial Statements For the year ended 31st May 2023 14. Intangible fixed assets Bookin¥ System Total Cost At 1st June 2022 Additions Disposals 12.492 12,492 112,4921 112,4921 At 31st May 2023 Amortls*ion At 1st June 2022 Charge for the yeaf Disposals 12.492 12,492 112,4921 112.4921 At 3tst May 2023 Net book value At 31st May 2023 At 3151 May 2022 15. Tangible fixed assets Computers & other equipment Total At 1st lune 2022 Additions Disposals 180,020 9.352 128.3031 180,020 9.352 128.3031 At 31st May 2023 161.069 161.069 Depreciation At 1st June 2022 Charee for the year Disposa15 113,666 35,987 128,0961 113,666 35,987 128,0961 At 31st May 2023 121,557 121,557 Net book value At 31st May 2023 39,512 39,512 At 31st May 2022 66,354 66,354 30IPa8e
LIVERPOOL FC FOUNDATION Notes to the Financial Statements For the year ended 31st May 2023 16. Flxed asset investments The investment represents the whole of the issued share capital of Liverpool FC Foundation Trading Company Limited. a cornpany incorporated in England and Wales which undertakes commercial activities on behalf of the Liverpool FC Foundation. The company has not traded during the year_ The balance sheet F)OSition 15 as follows:_ 2023 2022 Balance sheet Debtors Net assets Irepresented by share capital) 17. Debt015 2023 2022 Trade debtors Amounts owed by related undertaking Othei debtors Prepaymènts and actrued income 78.991 223.066 161.397 39.927 128,830 263.164 284.098 28.201 503,381 704,293 18. Credltors: Amounts falllng due withln one year 2023 2022 Trade creditors Amount5 due to 5ub5idiary undertaking Other tax and social security Costs Accruals and deferred income Other creditors 33.704 57,030 55.573 582,475 7,725 44.265 735.621 10.377 679,478 847.294 19. OÈferred income At 1st June 2022 Addilions during the year Amounts released to income 458,633 419.852 1458.6331 At 31st May 2023 419,852 Dèfèrred income represents Brants received in advance from ¥arious Sour5. 311page
LIVERPOOL FC FOUNDATION Notes to the Financial Statements For the year ended 31st May 2023 20. Fund reconciliation Unrestrirted funds Asat 01.06.22 Income Expenditure Tran5fer5 31.05.23 General funds Designated funds.. Cash reserves 2.501,397 4.717.16? 14.042.195) 3.176.369 150,OCKI 150,0 2.651.397 4,717,167 14.042.195) 3,326,369 Designated funds The trustees have set aside a cash reserve to ensure financial resilience. The objective is to maintain a cash reserve of £I50.th. Restricted fvnds Liverpool Football Club provides in-kind 5UPPOrt for LFC Foundation operational services includ¢n8 central office accornmodation. Corporate services including legal. payroll and HR. The charity a150 secure5 investment from grant funders for programme delivery, in the rnajority via the Prernier League. Details of these pro8ramme5 Can be found below:_ Asat 31.05.23 01.06.22 Income Expendlture Transfers Football & Sports Development Community Engagement Youih Work Education & Skills Employment & Training Health & Wellbeing Partnerships Support Costs 103.253 117.848 77.284 397,433 295.350 745.385 285.201 383.997 239.461 1430.1241 1333.4051 1770.2611 1285.2051 1489.9491 1253.2241 126.8871 19.1221 125.0001 34.122 61,440 54,793 86,530 134.564 52,726 38.204 141 28.608 38,963 11.317 523.879 2,346,827 12.589,0551 281,651 321Page
LIVERPOOL FC FOUNDATION Notes to the Financial Statements For the year ended 31st May 2023 20. Fund reconciliation Icontinuedl Comparative inforrnation in respert of the precedin8 period is as follows= Asat 31.05.22 Unrestrlrted funds 01.06.21 Income Expenditure Transfer5 General fund5 Designated funds.. Cash reserves 1,365.070 4.082.464 12,949,513) 3.376 2,SOI,397 150.( 150.0 1,515,070 4,082.464 12.949,5131 3,376 2,651.397 Asat A5at 31.05.22 01.06.21 Income Expenditure Transfers Football & Sports Developrnènt Community Engagèmernt Youth Work Education & Skills Employment & Training Health & Wellbeing Partnership5 Support Costs 98,248 103.541 25.367 632,560 317.(Q2 309.641 140.C(K) 634,748 192,934 63,834 1628,8701 1302,6951 1257.7241 1140.0001 1530,5151 1203.7601 125,6301 1,315 103,253 117.848 77.284 30.331 63.552 134.564 52.726 38.204 4,691 14.6911 325.730 2.290.719 12.089.194) 13.3761 523.879 The following programmes are fvnded by the Premier League:_ PL Kicks The PL Kicks programme continues to support an(1 engage teerbagers in areas of high antl-50cial behaviour. The proEramme incorporate5 our young people's disability and girls football provisTron. We have expanded our Kicks delivery and Set up SMF Kicks which are new sessions funded throu8h the Steve Morgan Foundation. Kicks Footb311+ a joint initiative with Merseyside Fire and Rescue Service helping to reduce anti-social behaviour and crifflirral artivity and entour8ging long-term personal growth and development. We have expanded our offer to include an Inclusive programme and girls only provision. Pl Insplres The programme looks to 115e a range of activities in and outside the dassroom delivering sessions based around teafflwork and togetherness alon8side Èmpowering young people in engaging in social artion. in-turn increasing tO8etherne55 Wlthin the group. PL Primary Stars Works with local schools to develop skills and ambition of young people aged 5 to 11 years. in both a sport5 and classroom et)vironmeni. The pro8ramme is offered ffee to all Primary Schools in the L4,5 & 6 postcodes and Kirkby. 331Page
LIVERPOOL FC FOUNDATION Notes to the Financial Slatements For the year ended 31rt May 2023 20. Fund retonciliation ltoniinuedl Restricted funds Icontinuedl PL Ificks Targeted A targeted 1-2-1 youth programme io support those identifjed by the local police into positive pathways. We have reIVed significant amount of funding from ihe Steve Morgan Foundation and deliver the following pro8rammes Wlth the funding. SEN Schools We currently deliver PE and support curriculum attivities in 15 SEN sth0015 across the Liverpool City Region. Specialist disability coachès run this pro8rarnme wèèkly. SMF Works This employability programme work5 With 16-25 year olds who are looking for support with Èdting into employment, edutation or training. Thè progrèmme encompasses a rnixture of Èroup sessions and 1-2-1 support with all aspects of employability from CV support to interview Practice and Confiden building. SMF Kicks The funding from Steve Morgan has enabled us to grow our Kicks programme expanding our hub sites a¢ross the Mersey5ide re810n. SMF Hubs We have treated a communilywellbeing hub model which allows us to support Community siies across six aieas of Merseyside creating -community hubs- We have supported each hub with facility refurbishments and are now running our programmes from these hub sites. Other funded projects are as follows:_ Go Play Our family rnulti-sport and physical activity projett designed to support families to be more active together - utilising park5, community venues and open spaces across the Ltverpool City Region. County LFnÉslonside (Home Offi) LFC Foundation and Merseyside Police have joined fofces to help address rhe issues around youth and gang crime in conjunttion wilh schools in Merseyside. This highty taTgeted proEiamme provides students with key ski115. confidence and the resilience needed to overcome obstacles and choose the right pathways in life. Youth Works LFC Foundation working alongside Liverpool City Council to recruit young people with a passion for youth work into the sector. The pro£rarnme will see eight young people trained up as fully qualified youth workers through a two-year apprenticeship overall supporring the civs youth provision. This is funded via the PLPFA. National Citlzen SeNice INCSI A youth proeramme targeting 16-17 year-dds to encourage social mixing and community engagement taking place across summer and autumn holiday periods. Onside (Alternative Education) The Onside programme funded by the PLFPA aims to 5UPPOrt a wide range of young people aged 11-16-year- old in schools acros5 Mer5eyside. The programmetar8ets those who are at risk of leaving rnainstream education andlor on the cusp of criminality and identified by Merseyside Police. 341pa8e
LIVERPOOL FC FOUNDATION Note5 to the Flnancial Ststements For the year ended 31st May 2023 20. Fund retontiliation {tontinued) Restrirted funds Icontinuedl
l Will El.23m match fvnded project which seeks to incre35e partiupation in social actrDn by young people
aged 8 to 14 years old. The atrn 15 to embed Social action in young people's life choices, 50 It becomes a life-long behaviour. We have an extension project that sit5 under the #l Will umbrella and focvse5 on engaging with yovng people from SEND and Altwnative Education settings. Street Socter A focused 12 week employability proBramme for homeless young people aged 18-24. The programme develops employability skills through 8roup work sessions whilst usin8 football as a vehicle for enBa8ement. Mental Health- Spirit of Shankly We are working with the fan group"Spirit of Shankv to delivef mental health workshops tarBeting male fan5 to raise awareness of suicide preventton. Sound Minds A music and mental health piograrnme funded by the Karlsson Jat¢va Charitable Foundation supporting youn8 people to manage their mental wellbeing effectivelv. Global Works A sport-based efnployabilily programme delivered across New York and New Jersey that also comprises corporate mentoring and tailored career support that t3r8ets those furthest from the job market. Tar8et- 160 participant5 each year. Military Veterans Supports veterans in Liverpool City Region back iftto civilian life by offerin8 football £oaching sessions ènd local lournament5. This season we have expanded our provision to have a bigger emphasis on older veterans and supporting veterans, families. On Target A school mental health pro8ramrne delivered in partnership with Action for Children funded by the PLPFA. Movè This programme is delivered in partnefship wilh Alder Hey Children's Hospital. We support young people living with Cystic Fibrosis, respiratory conditions and endocrine patients in a hospital setting, supporting them to take part in physical activity in a community settin8. We have expanded this model with funding from the PLPFA to indude asthma and endocrine Paiients. Man2Man A new men's mental health programme in partnership with Seans Pla, a Liverpool based charity SUPPOrting men from across the region. Game On A multi-sport pro8ramme in partnership with the PLPFA and Nike. This programme support5 young people to try new sports creating a pathway into local sports clubs. We also run a coach mentoring pro8ramrne through the additional funding from Nike. 351pa8e
LIVERPOOL FC FOUNDATION Notes to the Financial Statements For the year ended 31st May 2023 Fund reconciliatlon (continued) Restrlcted fvnds (continued) Trent Alexander Arnold Games Programme Fun football play se55iOll5 lor children a8ed 44 years old. Sport Works TarÈeted employability iniervention working with young people aged 16-25 who have a passion for sport. The programmè aims to upskill young people with the right qualifications to pursue a career in sport whilst supporting them with employability skills alonB the way. Delivered in partnership with Regenda Housing and with funding from PIPFA. Unreslrlcted fur*ds Restrirted Funds 21. Analysis of net assets between funds Total Fund balances at 31st May 2023 are represented bv= Tangible fixed assets Investmenis Cash Other net current assets 39.512 39.512 3,462,950 1176,0971 281.654 3,744,604 1176,0971 3,326,366 281,654 3,608,020 Comparative information in respect of the preceding period is a5 follow5-. Unrestricted fvnds Restritted Funds Total Fund balènces at 31st May 2022 are presented by.. Tangible fixed assets Investments Cash Other net curTent assets 66.354 66.354 2,728,044 I143.2) 523.879 3,251,923 1143,0021 2.651.397 523,879 3.175.276 361page
LIVERPOOL FC FOUNDATION Notes to the Financial Ststements For the year ended 31st May 2023 22. Reconciliation of net movement in funds to net Cash flow from gperating activlties 2023 2022 Net incomellexpenditurel for year Depreciaiion of tangible fixed asseis Amortisatton of intan8ible fixed assets Loss on di5P05al of fixed assets Interest received Ilncreasel/Decrease in debtors IDecrea5el/lncrease in creditors 432,744 35.987 1,334.475 45.931 207 119.7551 2.912 1167,8161 698 19191 1394.9181 12.263 Net cash flow from operatin8 activities 482.279 997.530 Finantial commitments The company had capital tommiiments of ÉNil at 31st May 202312022- £Nill. 24. Related party transartions Liverpool FC Foundation is the charitable arm of The Liverpool Football Club and Athletic Grounds Limited. The charity operates separately from the Liverpool Football Club and its results are not included in the accounts of Liverpool Football Club. During the year Liverpool Football Club and Athletic Grounds Limited incurred operating costs of £577.54412022- E547.8621 on behalf of the charity, these are includecl as a donation in kind and as direct charirable and support costs within notes 2, 6 and 7 in the accounts. The charity rÈceived other income via the club amounting to £2.211.97512022- £1.673.8061. Of this amount. £1,736,44512022- £1.245.9151 relaies to ficketing and Hospi131ity income for Liverpool FC Foundation Events wherè the income was taken by Liverpool Football Club on behalf of the charity. Expenditure invoiced by the club amounted to £503.16212022- £365.0741. The balante due from the Club at 315t May 2023 amounted to £223.(6612022- £263,164). 25. Analysis of net debt The charity has no debt to analyse for the purposes of the Staternent of Cash Flo. 371Page