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2021-03-31-accounts

Registered company: 4430743
Registered charity: 1102301
Registered housing provider: H4418

ONE YMCA (LIMITED BY GUARANTEE)

REPORTS AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

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ONE YMCA

Report and financial statements for the year ended 31 March 2021

REPORTS AND ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

CONTENTS

Page
Corporate information 3
Report of the Trustee Board 4
Operating & financial review and Strategic Report 14
Independent auditor’s report to the members of One YMCA 29
Consolidated statement of comprehensive income 32
Company statement of comprehensive income 32
Consolidated statement of changes in reserves 33
Consolidated balance sheet (statement of financial position) 34
Company balance sheet (statement of financial position) 34
Consolidated statement of cash flows 35
Notes to the financial statements 36

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ONE YMCA Report and financial statements for the year ended 31 March 2021

CORPORATE INFORMATION

TRUSTEE BOARD AND BOARD OFFICERS
Chair Andrew Newell
Vice Chair: Nicholas Mourant
Treasurer: Nicholas Mourant
Trustees: John Ball
Max Beddard
Simon Box
Jane Cotton
Clare Hearnshaw (to 9 November 2020)
Ben Johnson (to 31 December 2020)
John Knight
Nicola Lucas
Nicholas Mourant
Andrew Newell
Sal Thirlway
Javier Uriarte
Nicola Grinstead
Alan Victor
John Robinson (from 20 July 2020)
Company Secretary: Jonathan Kalemera
CORPORATE INFORMATION
Registered company: 4430743
Registered charity: 1102301
Registered housing provider: H4418
Registered office: Charter House, Charter Place, Watford, Hertfordshire, WD17 2RT
EXECUTIVE MANAGEMENT TEAM
Chief Executive Guy Foxell
Director of Family Services Serreta Pritchard
Director of Operations Mark Turner
Director of Business Development Michael Howe
Director of Corporate Services Jonathan Kalemera
AUDITORS, BANKERS, INVESTMENT MANAGER AND SOLICITORS
Auditor (External) Haysmacintyre LLP, 10 Queen Street Place, London, EC4R 1AG
Auditor (Internal) BDO (UK) LLP, 55 Baker Street, London, W1U 7EU
Bankers: HSBC Plc, 44-52 Lattimore Road, St Albans, Hertfordshire, AL1 3XL
Investment manager: CCLA Investment Management Ltd, Senator House, 85 Queen Victoria
Street, London, EC4V 4ET
Solicitors: Bates Wells Braithwaite LLP, 10 Queen Street Place, London, EC4R 1BE

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ONE YMCA Report and financial statements for the year ended 31 March 2021

REPORT OF THE TRUSTEE BOARD

The Trustee Board presents its annual report together with the audited financial statements for the year ended 31 March 2021.

Organisation

The Group operates out of a number of centres across Hertfordshire, Bedfordshire and Buckinghamshire.

The Executive Team consists of the Chief Executive and Executive Directors who report to the Trustee Board and the relevant sub committees covering the main functions.

The national structure of the YMCA Federation allows for further support and, in particular, national policy development.

Trustee Board

The Trustee Board is responsible for the overall governance of the Group. Those who have served during the year are set out on page 3. They hold a dual role of being trustees of a registered charity as well as being directors for the purposes of the Companies Act.

In accordance with the Articles of Association, Trustees serve for a three-year term. At every Annual General Meeting, a number of the members of the Trustee Board retire from office on a rotational basis. The members of the Trustee Board to retire are those who have been longest in office since their last election or appointment. A retiring member of the Trustee Board shall be eligible for re-election for a second and third full-term, but then having served a third term, must stand down as an elected member for a period of one year. Trustees only serving for a maximum of nine years is our stated policy but in extremis could be overruled by the Board of Trustees with explanation provided.

During the period since the last report, John Robinson was welcomed as a new trustee. Also, Clare Hearnshaw and Ben Johnson stood down as Trustees. A Trustee Board Chair review and feedback process was facilitated by the Chair of the Governance & People Committee.

Strategic management

The Trustee Board is responsible for setting an appropriate strategy for the Group. It also ensures that relevant performance measures are in place.

During the year, the Trustee Board:

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Report and financial statements for the year ended 31 March 2021

The Trustee Board is represented on the Early Childhood Partnership Trustee Board.

The Trustee Board utilises a committee structure to undertake some of the detailed work of supervising the activities of the Group in between Trustee Board meetings. The structure is set out in the following matrix on page 6.

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ONE YMCA Report and financial statements for the year ended 31 March 2021

ONE YMCA - TRUSTEE BOARD

----- Start of picture text -----
Governance & Property Health &
Resources Audit & Risk Safeguarding
People Development Safety
Staff Forum with Staff Forum with
Trustee committee Trustee Committee Trustee Committee Trustee Committee
Trustee Board Trustee Board
with ELT support with ELT support with ELT support with ELT support
oversight oversight
Financial strstegy & Promotion of
Board & committee Investment Strategy Financial regulations, Scrutiny of Property
governance structure and review with performance review and controls & Code of Governance Development Programme Health & safety activities safeguarding / welfare re service users, staff and volunteers
supervision
development, training Trustee recruitment, management and ICT Property, asset Risk management Review/refine asset Trustee Board
and succession strategies and capital policy and review strategy/positionmanagement Staff representation safeguarding report
planning programme
People strategy, External audit Consider relevant
Area strategies of Undertake gateway
policies and training priorities specific focus arrangements and scrutiny reviews Safety culture safeguarding/ welfare matters
Vision, values, Value for money, Internal audit Programme Health & safety Monitor/review
stakeholders and operational & arrangements and Procurement with performance effectiveness of Group
fundraising policies for
reputation performance and KPIs scrutiny Board oversight management safeguarding
Review of final Programme and
Youth & partnerships Service development accounts and contractor Commission and
strategy and oversight recommendations to managment Monitoring consider audit reports
Trustee Board arrangements
Employee Strategic partnerships, Fraud, whistleblowing, Workstreams around
remuneration policy due diligence & quality and decanting, Reviews Ensure legal and
and salary condition precedent compliance nominations etc regulation compliance
benchmarking
----- End of picture text -----

EARLY CHILDHOOD PARTNERSHIP - TRUSTEE BOARD

Each committee reports its progress to the Trustee Board on a regular basis and has established terms of reference.

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ONE YMCA Report and financial statements for the year ended 31 March 2021

As at 31 March 2021, the membership of each committee was as follows:

Governance
& People		 Resources Audit &
Risk		 Property
Development		 Health &
Safety		 Safeguarding
Forum
Jane Cotton
(Chair)		 Nick Mourant
(Chair)		 John Ball (Chair) John Knight
(Chair)		 John Robinson Sal Thirlway
Simon Box Nicola Lucas Max Beddard Nick Mourant Director of
Operations
(Chair)		 Director of
Family Support
(Chair)
Nicola Grinstead John Knight Nick Mourant John Ball Executive team Service
representatives
John Robinson John Robinson John Robinson Service
representatives
Jane Cotton

In addition, Sal Thirlway (Chair) and Alan Victor served on the Early Childhood Partnership trustee board.

Recruitment of members of the Trustee Board

Members of the Trustee Board are recruited by diverse means with sources including:

The Governance and People Committee agreed a standard job description for trustees. All trustees are interviewed by a panel of Board members. Any preferred candidates initially attend a trustee meeting as observers and, if that meets the expectations of all, then co-option follows. New Trustees are inducted into the Group using an agreed framework and ongoing training is provided through a combination of: trustee updates, attendance at charity conferences / training events and bespoke training. A number of the Trustees also serve, or have served as Trustees of other charities and housing associations which broadens the available skills base and the exposure to training and best practice of the social housing and charity sectors. The Governance & People Committee regularly reviews the trustee skills matrix and identifying future needs.

Executive Leadership Team

The Executive Management Team are the senior staff that manage the Group’s operations and comprise the Chief Executive who is supported by Director of Operations, Director of Family Support, Director of Business Development and the Director of Corporate Services. They act within the authority delegated by the Trustee Board.

Employees

The Group recognises the strength of its employees who are committed to the objectives that serve the best interests of its residents and service users. The Group shares information on its objectives, progress and activities through regular management and staff departmental meetings. In addition, an annual staff conference allows the celebration of success, the generation of ideas and positively engages with staff.

The Group is committed to equal opportunities in recruitment, retention and throughout the employee lifecycle.

Gender pay reporting

The Charity has adopted the Living Wage Foundation’s Real Living Wage as the baseline for its employees who are engaged on a permanent contract of employment and are not apprentices or retained under TUPE provisions. Moreover, for many years, the Charity has utilised an established job evaluation scheme to ensure that all job roles are properly assessed against an equal pay criteria. The overall workforce gender split is 73% female and 27% male (2020: 74% / 26%).

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ONE YMCA Report and financial statements for the year ended 31 March 2021

The gender pay reporting principles demonstrate the following position as a snapshot on 5 April 2021 was:

As at the date of this report, the Charity’s management arrangements remain unchanged at 80% male and 20% female at an Executive Leadership level. At the wider Senior Leadership Team level (including ELT), the split is 59% male and 41% female (2020: 64% / 36%), indicating a more balanced leadership team overall in terms of roles held.

Compliance with taxation

The Group is committed to conducting its business with the utmost integrity, transparency and fairness, and in compliance with all relevant rules, regulations and legislation. It values its reputation for ethical behaviour, financial probity and, as a charity, it unequivocally condemns tax evasion in whatever form. The Group will not tolerate tax evasion, or the facilitation thereof, whether committed by or facilitated by staff, suppliers or funders. Moreover, the Group requires all staff to demonstrate the highest standards of honesty at all times and appropriate disciplinary action will be taken wherever tax evasion, or the facilitation thereof, has been proven.

The Group will not engage with any individual or business that does not share our commitment to the prevention of tax evasion. In pursuance of its general obligations, the Group will undertake due diligence on its suppliers to mitigate the risk of facilitation of tax evasion offences and will look to terminate any agreements with suppliers that are not committed to preventing facilitation of tax evasion in compliance with the Criminal Finances Act 2017.

Information security

The Company is committed to information security and continues to promote good and appropriate collection and use of data and information. The Company has invested in staff training, new technology and uplifted its working practices. Both One YMCA and Early Childhood Partnership have the Cyber Essentials accreditation. It is planned to uplift this to Cyber Essentials Plus by the third quarter of the next financial year. Information security is incorporated into the Company’s internal audit rolling programme.

Indemnity insurance

The Group’s insurance policies indemnify the Trustee Board and Officers against liability when acting for the Group providing their actions are not reckless or fraudulent.

Health and Safety

The Trustees are aware of their responsibilities on all matters relating to health and safety. The Group has prepared detailed health and safety policies and provides staff training and education on health and safety matters. Due impact of the pandemic, the health and safety forum met on two occasions comprising of representatives of all service areas and meetings were chaired by the Director of Operations. We will revert back to quarterly meetings in the next financial year.

The Charity continues to invest in both its people, systems and buildings. In particular:

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ONE YMCA Report and financial statements for the year ended 31 March 2021

provided the necessary authority to the new role to ensure that health and safety requirements are addressed more promptly. In the coming year the organisation-wide compliance arrangements will be under the newly created role of Head of Legal Services and Compliance and roles and responsibilities clearly documented,

Creditors’ payments

The Group’s aim is to pay purchase invoices within 30 days of receipt, or earlier if agreed with the supplier.

Investment powers

In accordance with the Articles of Association, the Trustee Board may exercise the power to delegate to any person, company or other organisation any of the Group’s powers of investment, administration or management of all or any part of the money and investments of the Group. Accordingly, the funds held as investments by the Group were managed on behalf of the Trustees by CCLA Investment Management Ltd. The Group has continued to adopt a conservative investment policy that seeks to balance capital preservation and achieving an appropriate return. The cyclical Investment Strategy review process was completed during the year with particular attention being paid to the ethical basis of investment management.

Public Benefit

The Trustee Board held service users at the heart of its approach to formulating the strategic objectives and associated strategies. In doing so, the Trustee Board referred to the guidance contained in the Charity Commission’s general guidance on public benefit when planning for the future. Through the work that the Group undertakes in its service areas, it delivers public benefit and serves a wide range of people, many of whom are vulnerable.

Complaints

Our clear and simple complaints policy is issued to all residents and available to all other service users. All complaints received are monitored by the Chief Executive to help ensure an appropriate and timely resolution and also to help identify any recurring issues that may require a different approach.

Donations

During the year, the Group made donations of £136,100 (2020: £45,000) to:

The Company made a donation to ECP for £150,000 (2020: nil) to be spread in equal amounts across the next three years, restricted to the service delivery and administration costs for existing and new activities delivered by ECP staff which help the wider Group “Double its Impact”.

The trustees were satisfied that these donations further the organisation’s charitable purposes.

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Report and financial statements for the year ended 31 March 2021

Going Concern

In light of the uncertainties arising from the impact of the coronavirus pandemic the Trustees reviewed the group’s financial position and financial forecasts for 2020/21 to test how those uncertainties might affect the entity’s ability to continue as a going concern. The Executive produced a number of scenarios including the positive, realistic and severe scenarios modelling income and expenditure as well as cashflows over the foreseeable future. Since then, the Resources Committee has scrutinised financial information including cashflow forecasts to ensure the resilience of the Charity.

Specifically, Trustees reviewed the Group’s levels of investment, reserves, cash, the pipeline of new income sources and the systems of financial control and risk management. As a result of this review, the Trustees believe that the group is well placed to manage external, operational and financial risks successfully.

Accordingly, the Trustees have a reasonable expectation that the Charity and the Group have adequate resources to continue in operational existence for the foreseeable future. As a consequence, they continue to support the going concern basis in preparing financial statements

Reserves Policy

Reserves that are unrestricted funds held by the Group should be sufficient to meet all payment obligations and to contribute to the Group fulfilling its aims and purposes. The target level of free reserves is determined annually, by the Trustees upon recommendation from the Resources Committee and must reflect the overall objectives of the Group’s Financial Strategy and other plans.

The Trustees consider that the unrestricted funds should be classified into two categories:

The reserves as at 31 March 2021 were as follows:

Reserves
Housing property revaluation reserve
Revenue reserve
Restricted reserve
Total unrestricted funds (revenue reserve)		 £
5,381,819
10,690,900
-
£16,072,719

When taking these reserves into account, the revaluation reserve relates to accounting adjustments which are not cash based. The revenue reserve amounted to £10,690,900 of which free reserves total £6,458,352.

In determining the level of unrestricted funds held as free reserves to cover working balances and payment obligations, the Trustees have considered the following matters:

Accordingly, the Trustees consider it prudent to retain working balances of £2.5 million in cash and/or readily realisable unit trust investments that are not designated or earmarked in order to meet unforeseen risks or obligations. The Trustees are content with the current level of reserves.

Risk Management

The Audit & Risk Committee has delegated authority from the Trustee Board to ensure that an active risk management process is in place and forms part of the ongoing organisational activity. During the year, the Trustees reviewed its risk appetite along with its strategic risk register. The register identifies the types of risks the Group faces and prioritises them in terms of potential impact and likelihood of occurrence. The strategic risk register is a standing item at each Audit & Risk Committee and the Trustee Board reviews the strategic risks

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ONE YMCA Report and financial statements for the year ended 31 March 2021

on a regular basis. The Trustees are satisfied that the Group’s internal financial controls comply in all material respects with the guidelines issued by the Charity Commission and Regulator for Social Housing and has established a separate internal audit function (carried out by an independent internal audit firm) to review risks on a rotational basis. The principal risk affecting the Group continues to be the uncertain external economic environment (compounded by the impact of the Coronavirus pandemic for some services) that could adversely affect income and the cost of the capital/development programme. The Trustees confirm that they have identified and understand the risks to which the Group is subject and that they are being actively managed.

During the year, the Trustees have undertaken a financial strategy review, considered various operating and sensitivity testing scenarios as detailed in the strategic report. These are reviewed on a periodic basis as part of Audit & Risk and Resources Committee work programmes.

Trustees have asked the Executive Leadership Team to develop and implement a stress testing framework in the next financial year in line with the Charity’s growth programme under Mission 25.

Internal Controls Assurance

The Trustees acknowledge their overall responsibility for establishing and maintaining the whole system of internal control and for reviewing its effectiveness.

The system of internal control is designed to manage, rather than eliminate, the risk of failure to achieve business objectives, and to provide reasonable, and not absolute, assurance against material misstatement or loss. One of the primary internal audit exercises during the year was to undertake an analytical review of the Health and Wellbeing system data integrity and the project to replace the system. BDO provided a moderate assurance over both the design and operational effectiveness of the controls in relation to the management of the system change project.

The process for identifying, evaluating and managing the significant risks faced by the Group is ongoing and has been in place throughout the year commencing 1 April 2020 up to the date of approval of the report and financial statements.

Key elements of the control framework include:

A fraud register is maintained and is reviewed by the Audit & Risk Committee on a regular basis. During the year, there were no findings of fraudulent activity.

The Board cannot delegate ultimate responsibility for the systems of internal control, but has delegated authority to the Audit & Risk Committee to regularly review the effectiveness of the system of internal control for the Group and the annual report of the internal auditor and has reported its findings to the Board.

The Audit & Risk Committee monitored the internal audit plan for the Group throughout the year.

Code of Governance

The Trustee Board is pleased to report that the Group complies with National Housing Federation’s Code of Governance (2015). During the course of the year, the Audit & Risk Committee reviewed the compliance framework as well as approving the annual review of Financial Regulations and governance arrangements. As

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Report and financial statements for the year ended 31 March 2021

an evolving organisation, the Group will continue to review and develop its governance in order to best serve its beneficiaries.

Annual review of governance and viability standards

The Trustees have reviewed the governance and viability standards and confirm that the Group has complied with them.

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ONE YMCA Report and financial statements for the year ended 31 March 2021

STATEMENT OF RESPONSIBILITIES OF THE TRUSTEE BOARD FOR THE REPORT AND FINANCIAL STATEMENTS

General Financial Responsibilities

The Trustee Board is responsible for preparing the Report of the Trustee Board, the Operating and Financial Review and Strategic Report and financial statements in accordance with applicable law and regulations.

Company law requires the Trustee Board to prepare financial statements for each financial year. Under that law the Trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable laws). Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and the Group and the surplus or deficit of the Company and the Group for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Company’s and Group's transactions and disclose with reasonable accuracy at any time the financial position of the Company and Group and enable them to ensure that the financial statements comply with the Companies Act 2006. The Trustees are also responsible for safeguarding the assets of the Company and Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Trustees confirm that:

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the Company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Annual General Meeting

The annual general meeting will be held on 11 October 2021.

The Report of the Trustee Board was approved by the Trustees on 19 July 2021 and signed on their behalf by:

_____ Andrew Newell Chair & Trustee

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ONE YMCA Report and financial statements for the year ended 31 March 2021

OPERATING & FINANCIAL REVIEW AND STRATEGIC REPORT

Introduction

The report and financial accounts for the year ended 31 March 2021 sets out the activities and achievements of the Charity.

Principal Activity

The Group’s principal activity is that of the provision of supported accommodation for single men and women who are in conditions of need. In addition, the Group continues to deliver services to people of all ages offering the opportunity to take part in: children’s services, health and wellbeing and youth work.

The Group’s mission is to enable people to develop their full potential in body, mind and spirit. The mission is inspired by, and faithful to, Christian values to create a supportive and energising community that is open to all, where young people can truly belong, contribute and thrive.

BUSINESS AND FINANCIAL REVIEW

The 2020/21 year was impacted dramatically by the COVID19 situation, however despite this the Operations Directorate worked hard to identify, secure and capitalise on opportunities wherever presented and appropriate. Specific examples of innovative and strategic working from across Housing and Enterprise included:

The Trustee Board supports these measures and the way that they can maximise the resources available for delivering the Group’s objectives and serving beneficiaries.

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ONE YMCA Report and financial statements for the year ended 31 March 2021

Financial review

The Group returned an operating surplus on the Group’s activities of £969,792 (2020: £339,968).

A surplus of £1,521,986 (2020: £296,689) was recorded for the Group after taking into account unrealised investment gain of £542,898 (2020: loss of £67,333) during the year. Total comprehensive income for the year was £1,521,986 (2020: £305,689).

The variance between the two years on a consolidated basis relates to:

The Group has continued to invest in front line service delivery to serve some of the most vulnerable people in the local community.

Within the 2020/21 year and despite the COVID19 situation the Trustee Board maintained Executive focus on delivering optimum performance and ongoing geographical and operational expansion of services. Through innovation and agility, the Operations Directorate achieved a number of key successes across Housing and Enterprise, with a few notable detractions in Enterprise, including:

On an ongoing basis, the Trustee Board is committed to achieving a surplus operating budget. With regard to the 2021/22 financial year, a surplus budget has been set.

The Group closely monitors its banking covenants and credit rating. Throughout the year, it was compliant with all covenant obligations.

Housing metrics

The Group has reviewed its metrics in accordance with the Value for Money Code of Practice. The core housing information is set out in the following table.

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ONE YMCA Report and financial statements for the year ended 31 March 2021

Metric Definition 2021 2020
Business Health
Operating Margin - Social
Housing		 Operating surplus or (deficit) from social housing lettings /
turnover from social housinglettings		 19% 6%
OperatingMargin - Overall Operatingsurplus of deficit overall/turnover overall 6% 2%
EBITDA MRI interest cover Earnings before interest, tax, depreciation, amortisation,
major repairs included Interest cover %		 1798% 918%
Development
New supply as a % of
current units		 0% 0%
Gearing* Short term loans + long term loans - cash and cash
equivalents + finance lease obligations / Tangible fixed assets:
Housing properties at cost(currentperiod)		 -40% -10%
Outcomes
Reinvestment % Development of new properties (housing) + newly built
properties acquired + works to existing housing properties +
capitalised interest on housing properties + schemes
completed/Tangible fixed assets housingat cost		 2% 2%
Effective Asset Management
ROCE Operating surplus or (deficit) overall / total assets less current
liabilities		 5% 2%
Costper unit
Headline social housingcost £10,886 £8,977

*The gearing ratio is shown as a negative as the amount of cash exceeds the loan balance.

As a result of a successful property development programme which has attracted and continues to attract public sector funding, significant additional borrowing will be undertaken in the next financial year which will affect the interest cover and gearing ratios.

Value for money

One of the Group’s objectives is to provide social housing accommodation and support services to meet the needs of its residents. The aim is to achieve a balance between reasonable cost and good quality. Value for money means:

The Group measures its value for money in terms of cash and outputs / outcomes in various ways such as:

The Group’s value for money strategy is to:

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Report and financial statements for the year ended 31 March 2021

As a registered provider of social housing, the value for money objectives over the next three years are to:

Over the last year, the Group has continued in its drive to deliver value for money. Activities that develop the effectiveness of the Group have embraced both governance and operational improvement, including:

Initiative Status, saving
orgain		 Comments Comments
Social housing
Deliver the budget
for social housing		 £1,587k
operating
surplus
(All Housing)		 A 17.5% (2020: 5.5%) housing return was achieved. This increase was largely
as a result of:
a) Improved occupancy and reduced levels of bad debt losses,
b) Improved commercial housing income levels and associated
surplus.
£970k
operating
surplus
(Group)		 A 6.2% return (2020: 2.4%) after taking into account:
a) Expenditure incurred in relation to the Peartree and other
development projects.
£1,522k
Total surplus
(Group)		 A 9.7% (2020: 2.1%) return after taking into account investment
movements.
Deliver good
occupancy
performance to
maximise income
and service delivery
to beneficiaries		 Substantial
improvement		 Watford
2018/19 – 91.0%
2019/20 – 94.4%
2020/21 – 96.8%
High Wycombe		 Welwyn Garden City
2018/19 – 94%
2019/20 – 96.2%
2020/21 – 96.5%
Bishop’s Stortford

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Report and financial statements for the year ended 31 March 2021

Initiative Status, saving
orgain		 Comments Comments
2018/19 – 91.1%
2019/20 – 94.6%
2020/21 - 94.3%		 2018/19 – 93.9%
2019/20 – 97.9%
2020/21 - 100%
Overall occupancy for ALL housing services (inc specialist MCISS, Winter
Shelter and Shared Housing services) delivered 96.2% occupancy, although
noting a number of specialist services were mobilised during the year and
operated for a reduced period of 4-9 months.
Manage the impact
of welfare reform on
bad debt (% of
housing income not
received)		 Substantial
improvement		 Watford
2018/19 – 5.1%
2019/20 - 2.8%
2020/21 - 1.4%
High Wycombe
2018/19 – 2.8%
2019/20 - 1.5%
2020/21 - 0.7%		 Welwyn Garden City
2018/19 – 3.2%
2019/20 - 7.9%
2020/21 – 0.6%
Bishop’s Stortford
2018/19 – 6.2%
2019/20 - (0.5%)
2020/21 - 1.6%
All schemes improved rent collection totals vs last year. Good rent collection
is essential to overcome Universal Credit challenges.
Complete the
harmonisation of
housing operating
procedures across all
Hostels		 Complete to
base (initial)
standard level
and moving to
further
advanced
standardisation		 Overall harmonisation of housing operations (as demonstrated by improved
overall performance) is complete. The housing division is now working to
standardise service offerings, quality and scalability (to support growth and
contract retention) through the embedding of the Dynamic Pathway to
Independence.
Undertake supplier
reviews in order to
reduce the number
of suppliers and/or
cost		 Ongoing and
cost savings
are being
achieved		 Ongoing, but with the advantage of now having the in-house Property
Services function created and launched. This will, once fully mobilised and
resourced, greatly aid in the harmonisation of a centralised contractor and
component sourcing platform which are currently the greatest secondary
cost area.
Use of the Pyramid
housing repairs
system to track work
flow and target job
completion		 Restructure
complete but
with ongoing
embedding
underway		 The in-house Property Services function (including a major re-structure) has
been created. Ongoing recruitment and resourcing continues to bring the
function to full strength, however this includes an emerging procurement
piece to identify a ‘fit for purpose’ repairs maintenance (and potentially
compliance)reporting,monitoringand work-flow ICT system.
Secure new work to
increase the units
under management
and spread overhead
costs		 Complete with
further
activities to
maintain
ongoing
growth		 Core success in Watford saw us achieve (with partners) an end to rough
sleeping through the creation and mobilisation of all stages of the Dynamic
Pathway to Independence. The model is now recognised as the preferred
model of a single / seamless pathway across Hertfordshire. It is enabling
new market entry and further existing market expansion across all
geographic areas of operation.
Financial modelling
and stress testing		 Ongoing Extensive financial modelling and stress testing has been undertaken to
facilitate our Development Programme through the options appraisal,
financing and subsequent delivery.
The Group’s financial plans and reports were formally assessed by the
Resources Committee and the Board in light of the Mission 25 ambition to
double our impact.
These models continue to be reviewed due to the uncertainties of the
impact of the coronavirus pandemic with full scenario planning and stress
testing taking place on a regular basis.
We are at early stage of conducting an organisation-wide stress testing
exercise.

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Report and financial statements for the year ended 31 March 2021

Initiative Status, saving
orgain		 Comments
Non-social housing
Generate a surplus
on Abbots Langley
nursery operations
and contribute an
overhead		 £31k deficit
£87k overhead		 The nursery is rated as Ofsted ‘Outstanding’ which is an excellent indicator
of high standards and good quality service provision.
A deficit of (£31k) (2020: surplus £90k) due to the nursery only being
available to key workers while running continued to be incurred.
Effective delivery of
the Hertfordshire
Family Support
Service		 On track The contracts are operating well, delivering excellent services to
beneficiaries and performing to budget.
Service user satisfaction is high, KPI figures have been rising despite
lockdown and In Bedford Borough incentivisation payments owing to
outstanding performance have been achieved.
Deliver value for
money at the Orbital
CommunityCentre		 £(39)k deficit A deficit of £(39)k (2020: £(3)k deficit) A loss of income relating to bookings
due to the closure of the community centre for the majority of the financial
year.
Performance
improvement of
Watford Gym		 £(104)k deficit The pressing need for additional homelessness prevention services has led
to the difficult decision to close the Watford Gym in favour of an additional
34 units and associated specialist support facilities.
Performance
improvement of St
Albans Gym		 £(247)k deficit The £(247)k deficit (2020: £1k surplus) was due to the closure of the for the
majority of the year as a result of Covid19.
Performance
improvement of
Abbots Langley Hub		 £(53)k deficit The £(53)k deficit (2020: £(98)k deficit) apparent improvement is due to no
overheads being charged for the financial year as a result of Covid19
closures.
Multi Use Games
Area		 £(12)k deficit A deficit of £(12)k (2020: £(22)k deficit). The initial hire fees from the MUGA
facility have not achieved the budget aspiration set at the investment
appraisal stage. A slight improvement was seen during the year but this was
offset with Covid19 closures.
Achieve £105k of
fundraised income
foryouth work		 £101k achieved £101k (2020: £50k) funding was awarded from Big Lottery and YMCA
England and Wales during the year.
Early Childhood Partnership
Children’s Centre services
Deliver the budget
for the Bedford
Borough area		 £327k surplus The budget maximised the deployment of financial resources for
beneficiaries.
Deliver the
Children’s Centre
contract to the
required
performance levels		 Successfully
delivering the
contract		 The children’s centre contract is underpinned by a series of key performance
indicators (KPI) sitting within four performance areas. These KPIs are
regularly monitored by the Trustee Board, Council and managers. The team
members are clear about which KPIs their activities contribute to, and they
understand the links between the KPIs and achieving good outcomes for our
children and families. In 2020/21 the Charity achieved two out of three
incentivisation KPI targets. These targets covered the number of children
seen at the children’s centres, target groups engaging in children’s centres
services, parents reporting increased confidence in age appropriate child
development and parents making positive progress in the education and
learning area of the family star for targeted intervention. This allowed us to
increase staff time to enable us to support more vulnerable families.
Achieving
performance		 Activities are delivered in each centre as part of the termly timetable along
with family support activities and home visiting. These activities interface
with the KPIs and a simple performance management system of “plan,
deliver,review and develop” means thatgoodprogress is beingmade to

19

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Report and financial statements for the year ended 31 March 2021

Initiative Status, saving
orgain		 Comments
meet targets. The Data Officer, in partnership with the local authority, is
now using the Children’s Centre database to produce increasingly robust
evidence ofperformance.
Meeting the
needs of
beneficiaries		 The design and delivery of the timetable of activities is informed by local
available data. There is an appropriate split between universal, targeted and
perinatal activities. For example, ECP deliver Parents as First Teachers (PAFT)
as the parenting programme of choice and this is delivered as a targeted
service, with the addition of PAFT Connections as a universal group activity.
The perinatal team offers Baby Brasseries across five centres, a daily breast-
feeding support session, weekly ante natal classes for first time parents
(BBB) and one to one support ante-natally and post-natally. In 2020 they
worked hard to ensure a high-quality universal service offer was available
remotely. This included live and pre-recorded sessions on social media as
well as videos to replace information sessions such as Introduction to Solid
Food and Preparing for Baby. Our Targeted work also was delivered via
video or telephone, ensuring that families continued to receive the support
theyneeded despite thepandemic restrictions.
Expanding the
reach of
services		 The Charity continues to focus on its success in engaging with priority or
excluded groups and are increasingly able to use data to focus resources
where they are most needed.
The team works with the local authority to deliver play activities on local
traveller sites which are very popular.
The Charity is supporting a new unborn baby pathway with Council’s Head of
Social Care. Children’s Centres are one of the lead providers for ante-natal
work to support the Social Worker’s unborn babysingle assessment.
Obtaining
positive
beneficiary
feedback		 The Charity’s fourth parent survey was carried out at the end of 2020
specifically asking about support offered during the pandemic. We received
very positive feedback and a good response rate. Parent feedback was
collected via our social media sites. Our effective online parents’ forum
continues to generate a great deal of discussion. When emerging needs
arise, this online forum is a good space to start early discussions with the
communityto respond to these emergingneeds.
Achieve the contract
key performance
indicator
requirements to the
satisfaction of the
commissioner		 Successfully
delivering the
contract		 Monitoring meetings with the local authority take place three times a year.
These meetings form part of the annual review.
Following our end of year Contract Monitoring visit, our commissioners
wrote to us saying “I have been so impressed with the resilience that you
have all shown through this challenging period. The creative skills that you
have used to enable families to access services via technology have been
superb and I have enjoyed watching some of you tell stories and lead singing
sessions.” The local authority highlighted priority action areas, including the
production of a performance report that could be shared with local
councillors.
Continuously
planning for
future
improvements		 There is clarity around the priority areas for development in the coming
year. The Charity will be looking to compare its performance, particularly in
relation to registration and seen figures, with a particular emphasis on
targeted groups. The areas for development reflect feedback from the local
authority arising from the monitoring meetings and form the basis of the
annual service development plan. This plan is considered by the
management team and updated monthly.
Service Delivery Plan
(SDP) established to
improve delivery to
beneficiaries		 Adopting a
reflective
practice to
develop
services		 ECP has a service delivery plan which allows us to reflect on how well the
Charity is meeting the required outcomes for families. It is used to evaluate
strengths and identify areas for improvement.
Team members are also encouraged to work reflectively. Each team member
completes at least one case study per month where they consider “what
worked well” with aparticular family,and “even better if”,what theymight

20

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Report and financial statements for the year ended 31 March 2021

Initiative Status, saving
orgain		 Comments
have done differently. This reflective practice continues into their monthly
supervision, where they are supported to consider how past experience can
inform futurepractice.
Embracing
effective
planning		 The strong service delivery plan (SDP) focuses on annual targets and breaks
them down into a series of priority actions.
The SDP is completed with input from a range of stakeholders. It is actioned
by the management team and updated monthly and is considered by the
Trustees Board and at the monitoring meetings with Bedford Borough
Council.
Monitoring
performance
andprogress		 The SDP operates on a RAG system (red, amber, green) with good progress
being made. All priority actions are now set against the appropriate KPI(s)
and each action is the responsibilityof a namedperson and time limited.
Efficiencies
Releasing
operational savings
to increase the
workforce delivering
front line services		 Effectively
managing
partners’ SLAs		 Regular contract monitoring meetings take place between the Charity’s
Partners and the Business Manager. Each partner reports back on the
progress it is making towards meeting the service requirements of their
service level agreement. This regular performance review is a key part of the
Charity’s objective of maximising the benefit of services to parents,
prospective parents and young children. Each contract monitoring meeting is
also used as an opportunity to develop further joint working outside the
contract frameworks.
Governance and support services
Develop ICT
accreditation for
information security		 External
accreditation		 The Cyber Essentials accreditation remains in place for information security
purposes.
Undertake a finance
and electronic
payments internal
audit		 Complete A finance and electronic payments internal audit was undertaken by BDO
and a substantial assurance rating was achieved.
Scrutinise electronic
payments via
internal audit		 Complete A full review of expenditure payments was undertaken by BDO using data
analysis methods to ensure probity and good order. This encompassed every
individualpayment made. Apositive assurance ratingwas obtained in 2020.
Undertake
benchmarking on
financial matters		 Comparing
performance		 The Charity participated in the Charity Finance Group’s Finance Count
benchmarkinginitiative.
Developing for
the future		 The electronic ordering, commitments and invoicing system was successfully
implemented. It now automates a number of manual processes and deliver
efficiencies.
Undertake
benchmarking on
people matters		 Comparing
performance		 The Charity participated in the Charity Finance Group’s People Count
benchmarking initiative. Opportunities for organisational development are
sought for continuous improvement
Developing for
the future		 We have recently re-structured our staff team to ensure that they are in a
better position to deliver excellent services, this included re-aligning line
management responsibilities and streamlining our admin team to work more
fluidlyacross the whole Borough.

The Group’s on-going commitment to value for money and continuous improvement will remain a high priority given the challenges to income streams that every social housing provider faces and the need to keep service users at the heart of decision making. Specific on-going activities will include:

21

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Report and financial statements for the year ended 31 March 2021

In conjunction with the Group’s strategic objectives, the 2020/21 value for money approach will provide the foundation for continuous improvement and efficiency developments.

External Influences

As a diverse charity delivering community services, the Group is influenced by Government policies towards social housing, welfare and voluntary sectors. It is regulated by the Regulator of Social Housing which takes precedence for all areas of its operation over the Charity Commission which monitors its charitable activity. The Trustee Board has agreed its strategic objectives with a view to maintaining the financial health, on-going relevance and viability of each area of its activities as well as ensuring the Group’s community impact.

Objectives and Strategy

The charitable objects of the Group arise from its acceptance of the Basis of Union of the YMCA of England, Ireland and Wales, adopted by the British YMCA Assembly held in Birmingham in 1973, which are:

Various strategies are employed to achieve the charity’s objectives within service areas of:

Achievements and performance

In relation to the strategic objectives and despite the COVID19 situation the group has made a substantial positive impact upon many lives during the year. We have supported 65,709 local people to belong, contribute and thrive in their communities, specifically including:

Accommodation

22

ONE YMCA

Report and financial statements for the year ended 31 March 2021

Health and wellbeing

Family work

Nursery

Hertfordshire Family Centres – East Quadrant

Youth

23

Report and financial statements for the year ended 31 March 2021

ONE YMCA

Community Hubs

Individual services operate differently because of the various regulatory and monitoring frameworks that are in place to accord to standards set by the Regulator of Social Housing, Charity Commission and Ofsted. Key performance indicators tend to be set within contracts agreed with commissioners such as County/unitary Councils (Housing Related Support, Family Support Centres, and Children’s Centres), Local Councils and other funders (Trusts & Foundations etc.). Performance against these is monitored on a regular basis.

Accreditations

The Group continues to work hard to secure and maintain accreditations that reflect the quality, compliance and impact of work undertaken. These currently embrace:

The Group will continue to seek accreditations where it is in the best interests of the charity and its beneficiaries to do so.

Strategic developments on new activities

24

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Report and financial statements for the year ended 31 March 2021

Looking to the future

The Group is committed to developing a strong and vibrant organisation in order to serve its residents, beneficiaries and the local community. In doing so, it will:

The Group has continued to adopt the framework for delivering services so that both social housing and nonsocial housing activities are kept in balance. The funding framework diagram set out below details the various components.

Youth work activities are a vital contribution to vibrant and sustainable communities. They provide a sense of belonging for the young people who take part as well as helping to reduce the risk of family breakdown and/or youth homelessness. Youth work is a core part of the Group’s activities and is ancillary to social housing objectives. The size of the programme alongside its potential expansion does not pose any risk to social housing activities.

25

ONE YMCA Report and financial statements for the year ended 31 March 2021

The funding framework

----- Start of picture text -----
FUNDING PRIMARY SIZE
ACTIVITIES FUNDING
FRAMEWORK PURPOSE (income)
funded by:
housing provision, • accommodation
Social housing activities assistance & homeless prevention • housing related support & advice • rental income• commissioned contracts 52%
services
wholly funded by:
Family support services to support family support and • commissioned 31%
activities children & families children's centres contracts
• universal services
Non-social housing people on a paid for services to local • nursery• health & wellbeing funded by: 16%
enterprise activities basis • community centre • enterprise activities
youth clubs, funded by:
Youth work youth work programmes and • investment income 1%
activities empowerment • enterprise activities
projects • grants & donations
----- End of picture text -----

With regard to the funding framework:

The Group is committed to solid financial planning and setting surplus budgets to ensure that activities are sustainable and will actively serve beneficiaries in the medium to long term. The Company will invest in new social housing services where it is prudent to do so. Furthermore, it will take steps in the event that any services suffer from economic, social or market downturns.

Future of social housing

The social housing strategy now sits firmly in the overarching #Mission25 strategy to double our impact by 2025. There are several key concepts in the mission that have specific relevance to our Social Housing activities and these include:

Each of these concepts will see us deliver a staff and resident led improvement in the social impact our social housing activities deliver. That being both in quantity and quality terms, seeing us double the number of units we are able to provide, double the positive outcomes and opportunities for our residents and have the impact our activities have on the environment around us.

Several key redevelopment / development activities sit at the heart of the strategy, each with varying degrees of secured (or in final stages of negotiation) public sector funding. That funding being an enabler to expand the overall length / reach of the Dynamic Pathway to Independence.

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Report and financial statements for the year ended 31 March 2021

The most notable of the development projects being the Peartree Hostel redevelopment in Welwyn Garden City. This has been progressing steadily over recent years, with planning permission having been awarded in October 2020. The project will, pending final funding confirmation and under the scrutiny of the Property Development Committee, progress to a construction stage within the next financial year.

Ongoing efforts to maintain and improve social housing performance (best value) in both occupancy and rent realisation will be maintained. This will be aligned with an increased focus on team training and ongoing engagement with the Insight / KPI dashboard systems.

Residents’ involvement

The inclusion of resident feedback and the ‘lived experience’ voice sits at the heart of our activities and is further enhanced through the activities of #Mission25, our strategy to double out impact over the next five years. There are a number of concepts contained in the mission, but the most relevant to this topic being:

Within these concepts, and actively underpinned by the move to mobilise the Digital Support Journey, there is a specific focus to ‘connect’ stakeholders from across the organisation. This will bring together staff, volunteers and residents from all areas with the specific aim of eliciting feedback, opinion and suggestions.

Initial examples include workshops relating to the creation of a standardised Psychologically Informed Environment (PiE) colourway strategy to support the #BetterPlaces concept. Other input has helped shape and refine our new Intensive (rough-sleeper / complex needs) services, both in living environment and support aspect terms. That input being pivotal in the overall DPI becoming the preferred model of operation across Hertfordshire.

Throughout the next year we will maintain periodic / structured meetings led by #Connecting Together and personal engagement sessions, site based resident meetings and specific training & education workshops, all led by the housing teams.

Alongside this our overarching commitment, via the Chaplaincy Team, to attract, train and embed volunteers will remain a constant. This extra resource provides a completely different voice to the support / resident journey and offers considerable extra value.

Risks and uncertainties

Risks that may prevent the Group achieving its objectives are considered and reviewed by the Trustee Board, Audit & Risk Committee and Executive Management Team on a periodic basis as part of the corporate planning processes. The risks are recorded and assessed in terms of their impact and probability. Major risks, presenting the greatest threats to the Company are reported to Trustee Board every six months. The strategic risk register is reviewed at every Audit & Risk Committee meeting. In addition, people related risks are reviewed by the Governance & People Committee every six months. The Group’s major risks relate to:

27

ONE YMCA Report and financial statements for the year ended 31 March 2021

From the beginning of 2020/21 to date, risk management has been primarily focused on managing and in some cases mitigating the impact of the Coronavirus pandemic on the safety of our residents, service users and staff along with the resilience of the Charity as some of our services such as gyms and group activities were closed. Trustees and the Executive Team also set out to explore ways in which our assets and resources would be used to support more vulnerable people such as the homeless and childcare for key workers through this difficult period. The Executive Team and Trustees put in place an action plan to address these areas and have worked with the Senior Management Team to successfully deliver the plan.

The principal financial risks relate to loss of income and/or contracts and development programme cost escalation. Whilst the Audit & Risk Committee reviews controls and standards, the Resources Committee proactively monitors and challenges the financial and service performance of the Group.

The principal property and information risks relate to systems, process and monitoring. Further investments are being made in a new information system for safety compliance monitoring and reporting. Ongoing investments on information security projects and checks remain paramount.

The principal people risk relates to safeguarding and ensuring that the best interests of beneficiaries are protected.

With the external support and facilitation by Campbell Tickell, the Trustee Board has refined its understanding of its strategic risk appetite. This has previously been discussed at Audit & Risk Committee and was discussed in a strategy workshop. The product of this was a new strategic risk appetite map approved 2020/21.

On an annual basis, the Group reviews its key policies and controls frameworks. These included the financial regulations as well as the Code of Governance, committee terms of reference, code of conduct, safeguarding, fraud, whistleblowing, health & safety, UK GDPR, equal opportunities and risk management policies. The next reviews are scheduled for July to November 2021.

The risk management and internal controls arrangements are described in more detail in the Report of the Trustee Board on page 4.

Borrowings

At year end, the Group had long term borrowings of £1,528,168 (2020: £1,602,660) which are secured against income generating assets: the supported housing hostels. In approving the Operating and Financial Review, the Trustees are also approving the Strategic Report in their capacity as directors of the Group.

The Operating and Financial Review and the Strategic Report were approved by the Trustee Board on 19 July 2021 and signed on their behalf by:

_____ Andrew Newell Chair and Trustee

28

ONE YMCA Report and financial statements for the year ended 31 March 2021

Independent auditor’s report to the members of One YMCA

Opinion

We have audited the financial statements of One YMCA for the year-ended 31 March 2021 which comprise the consolidated and company statements of comprehensive income, the consolidated and company statements of changes in reserves, the consolidated and company balance sheets, the consolidated statement of cash flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Report of the Board (which includes the directors’ report), and the Operating and financial review and Strategic Report Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

29

ONE YMCA Report and financial statements for the year ended 31 March 2021

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Board, the operating and financial review or the strategic report.

Responsibilities of trustees for the financial statements

As explained more fully in the Statement of Responsibilities of the Trustee Board set out on page 13, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the group’s and the parent charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Based on our understanding of the group and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to the regulation of registered charities and registered providers of social housing, regulation by Ofsted, and Health and Safety regulation, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006, the Charities Act 2011 and the Housing and Regeneration Act 2008, and we considered other factors such as tax compliance.

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to areas of

30

ONE YMCA Report and financial statements for the year ended 31 March 2021

estimation uncertainty and manual accounting journals. Audit procedures performed by the engagement team included:

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members, as a body, for our audit work, for this report, or for the opinions we have formed.

Tracey Young (Senior Statutory Auditor) 10 Queen Street Place For and on behalf of Haysmacintyre LLP, Statutory Auditor London EC4R 1AG Date: 10 September 2021

31

ONE YMCA

Report and financial statements for the year ended 31 March 2021

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 MARCH 2021

Notes
Turnover
3
Operating expenditure
3
Operating Surplus
4
(Loss) / gain on disposal of property, plant and equipment
5
Interest receivable and other income
6
Interest and financing costs
7
Movement in fair value of financial instruments
13
Surplus for the year
Actuarial gains relating to Pension Fund
18
Total comprehensive income for the year
COMPANY STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2021
Notes
Turnover
3
Operating expenditure
3
Operating Surplus
4
(Loss) / gain on disposal of property, plant and equipment
5
Interest receivable and other income
6
Interest and financing costs
7
Movement in fair value of financial instruments
13
Surplus for the year
Actuarial gains relating to Pension Fund
18
Total comprehensive income for the year		 2021
£
15,614,169
(14,644,377)
969,792
(21,335)
90,835
(60,204)
542,898
1,521,986
-
1,521,986
2021
£
13,996,884
(13,354,362)
642,522
(21,335)
90,835
(60,204)
542,898
1,194,716
-
1,194,716		 2020
£
12,898,341
(12,558,373)
339,968
1,426
97,154
(74,527)
(67,333)
296,689
9,000
305,689
2020
£
11,859,078
(11,580,205)
278,873
1,426
97,154
(74,527)
(67,333)
235,594
9,000
244,594

The accompanying notes form part of these financial statements.

32

ONE YMCA Report and financial statements for the year ended 31 March 2021

CONSOLIDATED STATEMENT OF CHANGES IN RESERVES

FOR THE YEAR ENDED 31 MARCH 2021

GROUP
Balance at 1 April 2020
Surplus from income and expenditure
account
Transfer from revaluation reserve to
income and expenditure reserve
Balance at 31 March 2021
COMPANY
Balance at 1 April 2020
Surplus from income and expenditure
account
Transfer from revaluation reserve to
income and expenditure reserve
Balance at 31 March 2021		 Income &
expenditure
reserve
Restricted
reserve
Property
revaluation
reserve
Total
£
£
£
£
9,085,149
18,156
5,447,428
14,550,733
1,540,142
(18,156)
-
1,521,986
65,609
-
(65,609)
-
10,690,900
-
5,381,819
16,072,719
Income &
expenditure
reserve
Restricted
reserve
Property
revaluation
reserve
Total
£
£
£
£
9,022,996
-
5,447,428
14,470,424
1,194,716
-
-
1,194,716
65,609
-
(65,609)
-
10,283,321
-
5,381,819
15,665,140

The £65,609 transfer between funds relates to the release of the revaluation reserve to offset increased depreciation as a result of the revaluation of assets on adoption of FRS 102.

33

ONE YMCA Report and financial statements for the year ended 31 March 2021

BALANCE SHEET

Registered company 4430743

AS AT 31 MARCH 2021

Notes
Fixed assets
Tangible fixed assets
11,12
Investments
13
Current assets
Trade and other debtors
14
Cash and cash equivalents
Creditors: falling due within one year
15
Net current assets
Creditors: falling due after more than one
year
16
Pension funds
18
Provision for liabilities and charges
17
Total net assets
Capital and reserves
Housing property revaluation reserve
Revenue reserve
Restricted reserve
21
Total reserves		 Group
2021
£
2020
£
13,792,921
13,746,933
3,027,913
2,485,014
16,820,834
16,231,947
805,653
1,258,607
6,281,783
2,710,095
7,087,436
3,968,702
3,656,996
2,983,178
3,430,440
985,524
3,283,907
1,800,180
822,648
794,558
72,000
72,000
16,072,719
14,550,733
5,381,819
5,447,428
10,690,900
9,085,149
-
18,156
16,072,719
14,550,733		 Company
2021
£
2020
£
13,792,921
13,746,933
3,027,913
2,485,014
16,820,834
16,231,947
741,899
1,169,434
5,640,106
2,430,370
6,382,005
3,599,804
3,431,144
2,766,589
2,950,861
833,215
3,283,907
1,800,180
822,648
794,558
-
-
15,665,140
14,470,424
5,381,819
5,447,428
10,283,321
9,022,996
-
-
15,665,140
14,470,424

The accompanying notes form part of these financial statements.

The accounts were approved by the Trustee Board on 19 July 2021 and were signed on its behalf by:

Andrew Newell ________ Chair and Trustee

Nicholas Mourant ________ Treasurer and Trustee

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Report and financial statements for the year ended 31 March 2021

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2021

Net cash generated from operating activities
Surplus for the financial year
Adjustments for non-cash items:
Depreciation of tangible fixed assets
Decrease / (Increase) in trade and other receivables
Increase in trade and other creditors
Loss / (gain) on fixed asset disposals
Movement in fair value of financial instruments
Pension costs less contributions payable
Interest paid
Interest received
Cash generated from operating activities
Cash flow from investing activities
Purchase of tangible fixed assets
Proceeds from the sale of tangible fixed assets
Interest received
Net cash from investing activities
Cash flows from financing activities
Interest paid
Repayments of borrowings
Net cash used in financing activities
Net increase in cash and cash equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year
Cash and cash equivalents at 31 March
Cash at bank		 2021
£
2020
£
1,521,986
296,689
511,382
500,949
452,954
(66,310)
2,229,165
318,809
21,335
(1,426)
(542,898)
67,333
31,211
(89,884)
33,768
45,653
(90,835)
(97,154)
4,168,068
974,659
(578,705)
(498,705)
-
1,426
90,835
97,154
(487,870)
(400,125)
(33,768)
(45,653)
(74,742)
(64,429)
(108,510)
(110,082)
3,571,688
464,452
2,710,095
2,245,643
6,281,783
2,710,095
6,281,783
2,710,095
6,281,783
2,710,095

The accompanying notes form part of these financial statements.

35

ONE YMCA Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

1. Status

The Company is a company limited by guarantee, registered under the Companies Act 2006 registration number 4430743, a registered charity number 1102301 and registered with the Regulator of Social Housing as a social housing provider registration number H4418. The charity meets the definition of a public benefit entity under FRS 102.

The registered office is Charter House, Charter Place, Watford, Hertfordshire WD17 2RT.

Each member of the Company undertakes to contribute such amount as may be required (not exceeding £1.00) to the assets of the Company in the event of the same being wound up while he or she is a member or within one year after he or she ceases to be a member for payment of the debt and liabilities of the Company contracted before he or she ceases to be a member and of the costs, charges and expenses of winding up and for the adjustment of the rights of the contributories among themselves. If upon the winding up or dissolution of the Company there remains, after the satisfaction of all its debts and liabilities, any property whatsoever, the same shall not be paid or distributed among the members of the Company but shall be transferred to The National Council of Young Men’s Christian Association (Incorporated) for its general purposes.

2. Principal accounting policies

The financial statements are prepared in accordance with Financial Reporting Standard 102 and the Statement of Recommended Practice: accounting by registered social housing providers 2018 (“SORP”) and comply with the Accounting Direction for private registered providers of social housing 2019.

In the view of the trustees in applying the accounting policies adopted, an area of judgement relates to the provision for dilapidations as disclosed in 2(p). No other judgements were required that have a significant effect on the amounts recognised in the financial statements nor do any estimates or assumptions made carry a significant risk of material adjustment in the next financial year. No complex financial instruments are held.

(a) Basis of accounting

Assets and liabilities are initially recognised at historical cost or transaction values unless otherwise stated in the relevant accounting policy notes. Those assets measured at fair value are re-measured at each balance sheet date.

(b) Basis of consolidation

The Group financial statements consolidate those of the Company and its subsidiary undertaking of Early Childhood Partnership, drawn up to 31 March 2021. Profits or losses on intra-group transactions are eliminated in full in accordance with FRS 102.

(c) Going concern

The Group’s business activities, its current financial position and factors likely to affect its future development are set out within the Trustees’ Report. On this basis, the Trustee Board has a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future, being a period of twelve months after the date on which the report and financial statements are signed. For this reason, it continues to adopt the going concern basis in the financial statements. No material uncertainties exist.

(d) Turnover

Turnover comprises rental and service charge income receivable in the year and other services at invoiced value (excluding VAT) of goods and services supplied in the year.

36

ONE YMCA Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

Revenue grants are receivable when the conditions for receipts of agreed grant funding have been met. Charges for support services funded by Housing Related Support and Family & Children’s Centres are recognised as they fall due under the contractual arrangements with Administering Authorities.

Where an asset is acquired at undervalue a notional grant is recognised in respect of the difference between the purchase price and the fair value of the asset. The trustees determine the fair value based on the available data including external valuations.

(e) Expenditure

Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. Support and other central costs have been apportioned to each activity on the basis of turnover and staff numbers.

(f)

Debtors and creditors

Short term debtors are measured at transaction price, less any impairment and short term creditors are measured at the transaction price.

Housing properties

Housing properties are principally properties available for rent. The properties at Peartree Lane, Welwyn Garden City and Charter House, Watford were revalued upon the implementation of FRS102 and SORP. The Company elected to measure housing properties on the date of transition at its fair value and use that fair value as its deemed cost at that date. The valuation is based upon an Existing Use Value for Social Housing (EUV-SH) basis by an independent professional advisor qualified by the Royal Institute of Chartered Surveys to undertake valuations.

Housing properties are stated at cost less depreciation, the cost of future additions being the cost of acquiring land and buildings and expenditure incurred in respect to improvements.

Work to existing properties which replace a component that has been treated separately for depreciation purposes, along with those works that result in an increase in net rental income over the lives of the properties, thereby enhancing the economic benefits of the assets, are capitalised as improvements.

(h)

Housing properties and depreciation

The Company separately identifies the major components that comprise its housing properties, and charges depreciation, so as to write down the cost of each component to its estimated residual value, on a straight-line basis, over its estimated useful economic life.

The Company depreciates the major components of its housing properties at the following annual rates:

Component
Structure (Leased)
Structure
Roofs
Windows
Kitchens
Bathrooms
Heating
Lifts		 Useful economic life
Residue of lease
80 years
30 years
20 years
20 years
30 years
20 years
15 years

37

ONE YMCA Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

Where the unexpired lease term is shorter than the longest component life envisaged, the unexpired term of the lease is adopted as the useful economic life.

(i)

Other tangible fixed assets and depreciation

Depreciation is provided evenly on the cost of other tangible fixed assets to write them down to their estimated residual values over their expected useful lives. The principal annual rates used for other assets are:

Component
Non-Housing Leasehold improvements
Fixture and fittings
Motor Vehicles
ICT		 Useful economic life
Over the term of the lease
5 years
5 years
3 - 7 years (depending upon items)

(j) Operating leases

Rentals payable under the operating leases are charged on a straight-line basis over the lease term. The benefits of lease incentives entered into after the date of transition to FRS 102 are recognised in income and expenditure over the lease period.

The Company has taken advantage of the exemption in FRS 102 section 35 to continue to treat incentives received on leases entered into before the date of transition on the same basis as at the date of transition.

(k)

Pensions

Hertfordshire County Council Pension Fund

The Company is a participating employer in the Hertfordshire County Council Pension Fund (HCCPF) in respect of employees already in the scheme who transferred from other admitted local authority bodies. The scheme is a multi-employer defined benefit scheme and the Company’s share of the results of the scheme is shown within the accounts in accordance with FRS 102.

For the HCCPF, scheme assets are measured at fair values. Scheme liabilities are measured on an actuarial basis using the projected unit method and are discounted at appropriate high quality corporate bond rates. The net surplus or deficit is presented separately from other net assets on the balance sheet. A net surplus is recognised only to the extent that it is recoverable by the Company.

The current service cost and costs from settlements and curtailments are charged against operating surplus. Past service costs are recognised in the current reporting period. Interest is calculated on the net defined benefit liability. Remeasurements are reported in other comprehensive income.

YMCA Pension Plan

The Company participated in a multi-employer defined benefit pension plan for employees of YMCAs in England, Scotland and Wales, which was closed to new members and accruals on 30 April 2007. Due to insufficient information, the plan's actuary has advised that it is not possible to separately identify the assets and liabilities relating to the company.

As described in note 18 the Company has a contractual obligation to make pension deficit payments over the period to April 2029, accordingly this is shown as a liability in these accounts. In addition, the company is required to contribute £28k pa to the operating expenses of the Pension Plan and these costs are charged to the Statement of Comprehensive Income as made.

38

ONE YMCA Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

Group Personal Pension Plan (defined contribution)

The Company also makes contributions to a group personal pension plan (defined contribution) provided by Aviva which is open to all employees.

(l) Social Housing Grant

Social Housing Grant (SHG) is receivable from Homes England as a contribution towards the capital cost of housing schemes. The Company has taken advantage of transitional relief for deemed cost and treated all SHG grant on transition under the performance model in accordance with SORP. Any subsequent SHG grants received for housing properties are recognised in income over the useful life of the housing property structure and, where applicable, its individual components (excluding land) under the accruals model.

SHG due from Homes England or received in advance is included as a current asset or liability. SHG is subordinated to the repayment of loans by agreement with Homes England. SHG released on sale of a property may be repayable, but is normally available to be recycled and is credited to a Recycled Capital Grant Fund and included in the balance sheet in creditors.

Where individual components are disposed of and this does not create a relevant event for recycling purposes, any grant which has been allocated to the component is released to the income and expenditure account. Upon disposal of the associated property, the Company is required to recycle these proceeds; as such a contingent liability is disclosed to reflect this.

(m)

Other Grants

Other grants are receivable from local authorities and other organisations and are accounted for under the accruals model. Capital grants are recognised in income over the expected useful life of the asset. Grants in respect of revenue expenditure are credited to the income and expenditure in the same period as the expenditure to which they relate.

(n)

Investments

(o)

Interest Free Loans

(p)

Provisions for Liabilities

(q) Holiday pay accrual

The group recognises an accrual for annual leave accrued by employees as a result of services rendered in the current period, and which employees are entitled to carry forward and use within the next 12 months. The accrual is measured at the salary cost payable for the period of absence.

39

ONE YMCA

Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. The revaluation of properties is reported separately in the property revaluation reserve. This is the difference between the fair value of social housing properties and the historical cost carrying value.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

40

ONE YMCA Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

3. Group - Turnover, operating costs and operating surplus
2021 Turnover
Operating costs
Operating
surplus/ (deficit)
£ £ £
Social Housing:Rent receivable 6,337,863 4,874,965 1,462,898
Other social housing activities:
Housing related support 2,155,192 2,012,498 142,694
Total – social housing activities 8,493,055 6,887,463 1,605,592
Other non-social housing 536,826 555,700 (18,874)
Total housing activities 9,029,881 7,443,163 1,586,718
Non-social housing activities
Health & wellbeing – budget gyms 90,850 441,465 (350,615)
Health & wellbeing – other 56,782 122,620 (65,838)
Child and family services 4,755,212 4,325,503 429,709
Nursery 1,139,312 1,164,299 (24,987)
Youth 125,810 455,793 (329,983)
Community Centre 106,235 145,386 (39,151)
Government grants taken to income 269,986 269,986 -
Other grants taken to income 12,477 12,477 -
Other 27,624 263,685 (236,059)
6,584,288 7,201,214 (616,926)
15,614,169 14,644,377 969,792
Group - Turnover, operating costs and operating surplus
2020 Turnover
Operating
costs		 Operating
surplus/
(deficit)
£
£		 £
Social Housing:Rent receivable 4,452,233
4,112,050		 340,183
Other social housing activities:
Housing related support 1,674,752
1,652,510		 22,242
Total – social housing activities 6,126,985
5,764,560		 362,425
Other non-social housing 525,800
524,326		 1,474
Total housing activities 6,652,785
6,288,886		 363,899
Non-social housing activities
Health & wellbeing – budget gyms 642,776
629,806		 12,970
Health & wellbeing – community programmes 109,366
231,095		 (121,729)
Child and family services 5,211,180
4,800,728		 410,452
Youth 65,953
273,531		 (207,578)
Community 179,025
181,785		 (2,760)
Other grants taken to income 12,421
12,421		 -
Other 24,835
140,121		 (115,286)
6,245,556
6,269,487		 (23,931)
12,898,341
12,558,373		 339,968

41

ONE YMCA

Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

Company - Turnover, operating costs and operating surplus

2021 Turnover Operating
costs		 Operating
surplus/
(deficit)
£ £ £
Social Housing:Rent receivable 6,337,863 4,874,965 1,462,898
Other social housing activities:
Housing related support 2,155,192 2,012,498 142,694
Total – social housing activities 8,493,055 6,887,463 1,605,592
Other non-social housing 536,826 555,700 (18,874)
Total housing activities 9,029,881 7,443,163 1,586,718
Non-social housing activities
Health & wellbeing – budget gyms 90,850 441,465 (350,615)
Health & wellbeing – other 56,782 122,620 (65,838)
Child and family services 3,012,970 2,880,745 132,225
Nursery 1,139,312 1,164,299 (24,987)
Youth 125,810 455,793 (329,983)
Community Centre 106,235 145,386 (39,151)
Government grants taken to income 269,986 269,986 -
Other grants taken to income 12,477 12,477 -
Other 152,581 413,685 (261,103)
4,967,003 5,911,199 (944,196)
13,996,884 13,354,362 642,522
Company - Turnover, operating costs and operating surplus
2020 Turnover Operating
costs		 Operating
surplus/
(deficit)
£ £ £
Social Housing:Rent receivable 4,452,233 4,112,050 340,183
Other social housing activities:
Housing related support 1,674,752 1,652,510 22,242
Total – social housing activities 6,126,752 5,764,560 362,425
Other non-social housing 525,800 524,326 1,474
Housing asset purchase costs & pension project - - -
Total housing activities 6,652,785 6,288,886 363,899
Non-social housing activities
Health & wellbeing – budget gyms 642,776 629,806 12,970
Health & wellbeing – other 109,366 231,095 (121,729)
Child and family services 4,069,313 3,822,559 246,754
Youth & Community 65,953 273,531 (207,578)
Community 179,025 181,785 (2,760)
Government grants taken to income - - -
Other grants taken to income 12,421 12,421 -
Other 127,439 140,122 (12,683)
5,206,293 5,291,319 (85,026)
11,859,078 11,580,205 278,873

42

ONE YMCA

Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

Turnover, operating costs and operating surplus (continued)

Operating costs for social housing:
Management
Services
Routine maintenance
Planned maintenance
Rent losses from bad debts
Depreciation of housing properties and
equipment
Void losses: notional calculation of income lost
from vacant rooms
Number of registered accommodation units
(The number of units reduced in 2021 due to
the removal of non-social housing units from
this figure)
4
Operating surplus
The operating surplus is arrived at after
charging:
Depreciation
Operating lease payments:
- Land and buildings
Auditors’ remuneration (excluding VAT)
- Fees payable for the audit of the financial
statements
5.
Gain / (loss) on sale of fixed assets
Disposal proceeds
Carrying value of fixed assets		 Group
Company
2021
2020
2021
2020
£
£
£
£
2,261,242
1,966,334
2,261,242
1,966,334
1,796,028
1,437,784
1,796,028
1,437,784
180,319
156,246
180,319
156,246
98,250
107,135
98,250
107,135
237,781
141,006
237,781
141,006
301,345
303,345
301,345
303,345
4,874,965
4,112,050
4,874,965
4,112,050
336,814
348,518
336,814
348,518
468
483
468
483
Group
Company
2021
2020
2021
2020
£
£
£
£
511,382
500,949
511,382
500,949
205,321
116,930
205,321
116,930
24,500
22,500
21,000
20,000
Group
Company
2021
2020
2021
2020
£
£
£
£
-
1,426
-
1,426
21,335
-
21,335
-
21,335
1,426
21,335
1,426

43

ONE YMCA

Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

6. Interest receivable and other income

Interest receivable and similar income
Income from listed investments
7.
Interest and financing costs
Defined benefit pension charge
Loan and bank overdrafts		 Group
Company
2021
2020
2021
2020
£
£
£
£
1,740
11,182
1,740
11,182
89,095
85,972
89,095
85,972
90,835
97,154
90,835
97,154
Group
Company
2021
2020
2021
2020
£
£
£
£
26,436
28,874
26,436
28,874
33,768
45,653
33,768
45,653
60,204
74,527
60,204
74,527

8. Executive Directors’ remuneration

Executive Directors’ remuneration
Basic salary Pension contribs. 2021
Total		 2020
Total
£ £ £ £
Chief Executive
Guy Foxell 114,717 9,176 123,893 113,136
Director of Resources
David Martin (to Nov 2019) - - - 71,444
Director of Family Support
Serreta Pritchard 62,801 5,023 67,823 65,882
Director of Operations
Mark Turner 104,938 6,394 111,333 87,358
Director of Business Development
Michael Howe (from Jan 2020) 58,134 2,333 60,467 13,729
Director of Corporate Service
Jonathan Kalemera (from Jan 2020) 80,743 - 80,743 12,325
421,334 22,925 444,259 363,874

The Chief Executive is a member of the Aviva defined contribution pension scheme. Both the Company and Chief Executive make contributions to this money purchase scheme.

The full time equivalent number of staff who received emoluments: 2021 2020
No No
£60,001 to £70,000 2 2
£70,001 to £80,000 0 1
£80,001 to £90,000 1 1
£100,001 to £110,000 1 1
£110,001 to 120,000 1 0

44

ONE YMCA

Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

9. Employee information

Employee information
Average monthly number of employees:
Housing
Support Services
Sports, health & fitness
Child & family services
Youth & community
Orbital Community Centre
Early Childhood Partnership
Total
Staff costs (for the above persons)
Wages and salaries
Social security costs
Other pension costs		 Group
Company
2021
2020
2021
2020
No
No
No
No
95
120
95
120
30
22
30
22
24
23
24
23
136
140
136
140
14
14
14
14
12
14
12
14
43
27
-
-
354
360
311
333
2021
2020
2021
2020
£
£
£
£
6,976,296
5,918,089
6,068,549
5,513,348
599,264
472,847
525,953
444,630
363,304
312,899
329,560
297,429
7,398,864
6,703,835
6,924,062
6,255,407

During the year, termination payments of £78,758 (2020: £17,859) were recognised as an expense as compensation for loss of office.

10. Taxation

The Company is a registered charity qualifying for relief from income and capital gains taxes on its charitable activities.

11. Group and Company – Tangible fixed assets (housing)

Cost
At 1 April 2020
Additions
At 31 March 2021
Depreciation
At 1 April 2020
Providing during year
At 31 March 2021
Net book value
At 31 March 2021
At 31 March 2020		 Freehold
property
Housing
long
leasehold
property
Housing
property
improvm’ts
WIP
Total
£
£
£
£
£
6,621,000
4,856,000
2,019,926
-
13,496,926
-
-
219,843
268,017
487,860
6,621,000
4,856,000
2,239,769
268,017
13,984,786
441,385
334,892
1,215,323
-
1,991,600
108,597
55,816
67,553
-
231,966
549,982
390,708
1,282,876
-
2,223,566
6,071,018
4,465,292
956,893
268,017
11,761,220
6,179,615
4,521,108
804,603
-
11,505,326

45

ONE YMCA

Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

12. Group and Company – Tangible fixed assets (non-housing)

Cost
At 1 April 2020
Additions
Transfer from
WIP
Disposals
Cost at 31
March 2021
Depreciation
At 1 April 2020
Providing during
year
Released on
disposal
At 31 March
2021
Net book value
At 31 March
2021
At 31 March
2020		 Other
property
Long
leasehold
property
£
£
129,394
760,000
-
-
-
-
-
-		 Leasehold
improvm’ts
£
1,609,235
-
-
-		 Fixtures,
fittings &
equipment
£
1,975,725
79,190
3,201
(145,259)		 Vehicles
£
6,157
-
-
-		 WIP
Total
£
£
3,201
4,483,712
11,655
90,845
(3,201)
-
-
(145,259)
129,394
760,000		 1,609,235 1,912,857 6,157 11,655
4,429,298
72,788
52,379
3,341
8,736
-
-		 751,045
68,784
-		 1,359,736
198,555
(123,924)		 6,157
-
-		 -
2,242,105
-
279,416
-
(123,924)
76,129
61,115		 819,829 1,434,367 6,157 -
2,397,597
53,265
698,885		 789,406 478,489 - 11,655
2,031,701
56,606
707,621		 858,190 615,989 - 3,201
2,241,607

46

ONE YMCA

Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

13.
Investments
Fair value
As at 1 April 2020
Listed on a recognised stock exchange
Unrealised (losses) / gains on valuation
As at 31 March 2021		 2021
Group
2020
Group
2021
Company
2020
Company
£
£
£
£
2,485,014
2,552,347
2,485,014
2,552,347
542,898
(67,333)
542,898
(67,333)
3,027,912
2,485,014
3,027,912
2,485,014

An investment in 1 £1 ordinary share in YMCA Platforms Ltd, a private limited company registered in England and Wales company number 11220819, was made in September 2019. The £1 is unpaid and the company is dormant.

14. Debtors

Rent arrears (including housing benefit, and
resident arrears)
Less provision for doubtful debt
Students (Steiner college)
Trade debtors
Less provision for doubtful debt
Other debtors
Prepayments and accrued income
Amounts due from subsidiary		 2021
Group
2020
Group
2021
Company
2020
Company
£
£
£
£
803,227
427,516
803,227
427,516
(492,431)
(280,890)
(492,431)
(280,890)
310,796
146,626
310,796
146,626
58,752
74,880
58,752
74,880
369,548
221,506
369,548
221,506
109,226
915,487
51,910
823,628
(260)
(2,349)
(260)
(2,349)
108,966
913,138
51,650
821,279
50,031
3,900
50,031
3,900
277,108
120,063
256,674
120,063
-
-
13,996
2,686
805,653
1,258,607
741,899
1,169,434
15.
Creditors
Amounts falling due within one year
Current instalments due on loans
(see note 16 for security details)
Trade creditors
Other taxes and social security costs
Other creditors
Amounts due to subsidiary
Deferred grant income
Accruals and deferred income		 2021
Group
2020
Group
2021
Company
2020
Company
£
£
£
£
72,003
66,626
72,003
66,626
241,844
262,748
183,044
247,021
206,156
314,797
182,381
304,468
490,287
291,649
471,483
287,780
-
-
-
-
28,324
12,477
28,324
12,477
2,618,381
2,034,881
2,493,909
1,848,217
3,656,995
2,983,178
3,431,144
2,766,589

47

ONE YMCA Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

16. Creditors

Creditors
Amounts falling due after more than one year
Bank loan
Other loans
Deferred grant income		 2021
Group
2020
Group
2021
Company
2020
Company
£
£
£
£
1,408,309
1,488,118
1,408,309
1,488,118
47,606
47,916
47,606
47,916
1,827,992
264,146
1,827,992
264,146
3,283,907
1,800,180
3,283,907
1,800,180

A loan of £124,000 was made by Watford Borough Council in 1977. The loan is interest-free and is repayable over the term of the lease. The amount due of £47,916 at 31 March 2021 (2020: £48,221) is the measurement of the liability after discounting for the income rate of return.

£1,664,500 was borrowed from HSBC in 2018 at 2.07% above the Bank’s sterling Bank Rate and is repayable over a 20-year term. The amount due at 31 March 2021 was £1,480,001 (2020: £1,554,439).

Based on the earliest repayment date,
borrowings are repayable as follows:
One year or less
One year or more but less than two years
Two years or more but less than five years
Five years or more		 2021
Group
2020
Group
2021
Company
2020
Company
72,003
66,626
72,003
66,626
73,578
68,525
73,578
68,525
230,463
217,417
230,463
217,417
1,151,874
1,250,092
1,151,873
1,250,092
1,527,918
1,602,660
1,527,917
1,602,660

The lease of Charter House, Watford is held as security for the above Watford Borough Council loan.

The HSBC mortgage is secured against the freeholds of:

Deferred Capital Grants
Deferred income as at 1 April
Additions
Released to Statement of Comprehensive
Income
As at 31 March		 2021
Group
2020
Group
2021
Company
2020
Company
£
£
£
£
276,623
279,044
276,623
279,044
1,592,170
10,000
1,592,170
10,000
(12,477)
(12,421)
(12,477)
(12,421)
1,856,316
276,623
1,856,316
276,623

48

ONE YMCA

Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

Deferred income to be released to the
statement of comprehensive income:
In less than one year
In more than one year
17. Provision for liabilities and charges
As at 1stApril
Arising during the year
Used during the year
As at 31 March		 2021
Group
2020
Group
2021
Company
2020
Company
£
£
£
£
28,324
12,477
28,324
12,477
1,827,992
264,146
1,827,992
264,146
1,856,316
276,623
1,856,316
276,623
2021
Group
2020
Group
2021
Company
2020
Company
£
£
£
£
72,000
47,000
-
-
-
25,000
-
-
-
-
-
-
72,000
72,000
-
-

A provision for dilapidations to premises is being held to cover the costs of any necessary reinstatement and repairs to the properties at the termination of the lease.

18. Pensions

The Company has recognised pension liabilities relating to two schemes, the multi-employer defined benefit pension plan for employees of the YMCAs in England, Scotland and Wales and the Hertfordshire County Council Pension Fund.

Total Pension creditor:
Current
Greater than one year		 2021
2020
£
£
90,138
87,017
822,648
794,558
912,786
881,575

Hertfordshire County Council Pension Fund (HCCPF)

The HCCPF is a multi-employer scheme, administered by Hertfordshire County Council under the regulations governing the Local Government Pension Scheme, a defined benefit scheme. The most recent formal actuarial valuation was completed as at 31 March 2020 and the results have been projected forward using approximate methods, allowing for the different financial assumptions required under FRS102, to 31 March 2021 by a qualified independent actuary.

The employer’s contribution to the HCCPF by the Company for the year ended 31 March 2021 was £nil (2020: £3,854).

Estimated employer’s contributions to the HCCFP during the accounting period commencing on 1 April 2021 is £nil.

49

ONE YMCA

Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

Financial assumptions 31 March
2021		 31 March
2020
% per % per
annum annum
Discount rate 2 2.3
Future salary increases 3.25 2.3
Inflation 2.85 1.9

Mortality assumptions

Life expectancy is based on the Fund's Vita curves with improvements in line with the CMI 2018 model, an allowance for smoothing of recent mortality experience and a long-term rate of improvement of 1.25% per annum for women and men.

Current Pensioners:
Males
Females
Future Pensioners:
Males
Females
Figures assume members aged 45 as at last formal valuation date.
Amounts recognised in the statement of comprehensive income
Current service cost
Total defined benefit cost recognised in surplus or deficit
Reconciliation of opening and closing balances of the present value of
scheme liabilities
Opening scheme liabilities
Current service cost
Interest cost
Contributions by members
Remeasurements
Benefits paid
Closing scheme liabilities
Reconciliation of opening and closing balances of the fair value of plan
assets
Opening fair value of scheme assets
Interest income
Return on plan assets (in excess of interest income)
Contributions by employer
Scheme participants’ contributions
Benefits paid
Closing value of fair value of plan assets		 2021
2020
No. of years No. of years
22.1
21.9
24.5
24.1
23.2
22.8
26.2
25.5
2021
2020
£000’s
£000’s
7
8
7
8
2021
2020
£000’s
£000’s
162
197
7
8
4
5
4
1
48
(49)
(1)
-
224
162
2021
2020
£’000
£’000
190
188
4
5
37
(8)
-
4
4
1
(1)
-
234
190

50

ONE YMCA

Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

Major categories of scheme assets as a percentage of total plan assets

Equities
Bonds
Property
Cash
Sensitivity analysis
Change in assumptions at year ended 31 March 2021
0.5% decrease in real discount rate
1 year increase in member life expectancy
0.5% increase in the salary increase rate
0.5% increase in the pension increase rate
HCC Pension fund asset / liability		 2021
2020
%
%
59
48
26
38
11
10
4
4
100
100
Approximate
% increase to
Employer
Liability
Approximate
monetary
amount
(£000’s)
10%
21
3-5%
-
1%
2
8%
18
2021
2020
£
£
-
-

The scheme results produce a fair value of employer assets greater than the present value of the fund liabilities. The resulting surplus has not been recognised as an asset in the balance sheet as at 31st March 2021 or March 2020 . As a result, remeasurements of £nil (2020:£9k) were recognised as actuarial movements rather than the full £10k.

Pensions – YMCA Pension Plan

The company participated in a contributory pension plan providing defined benefits based on final pensionable pay for employees of YMCAs in England, Scotland and Wales. The assets of the YMCA Pension Plan are held separately from those of the company and at the year-end these were invested in the Mercer Dynamic De-risking Solution, 40% matching portfolio and 60% in the growth portfolio and Schroder (property units only).

The most recently completed three-year valuation was as at 1 May 2020. The assumptions used which have the most significant effect on the results of the valuation are those relating to the assumed rates of return on assets held before and after retirement of 2.59% and 1.09% respectively, the increase in pensions in payment of 2.99% (for RPI capped at 5% p.a.), and the average life expectancy from normal retirement age (of 65) for a current male pensioner of 22.0 years, female 24.4 years, and 23.7 years for a male pensioner, female 26.1 years, retiring in 20 years’ time. The result of the valuation showed that the actuarial value of the assets was £146.1m, which represented 79% of the benefits that had accrued to members.

The Pension Plan was closed to new members and future service accrual with effect from 30 April 2007. With the removal of the salary linkage for benefits all employed deferred members became deferred members as from 1 May 2011.

51

ONE YMCA Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

The valuation prepared as at 1 May 2020 showed that the YMCA Pension Plan had a deficit of £36 million. The company has been advised that it will need to make monthly contributions of £9.8k from 1 May 2021. This amount is based on the current actuarial assumptions (as outlined above) and may vary in the future as a result of actual performance of the Pension Plan. The current recovery period is 8 years commencing 1st May 2021.

YMCA Pension fund liability

At 1 April
Increase in liability
Paid in year
Unwinding of discount included in finance costs
At 31 March
Repayable within one year
Repayable in more than one year
Discount		 2021
2020
£
£
881,575
962,461
118,596
-
(113,821)
(109,760)
26,436
28,874
912,786
881,575
As at 31
Mar 21
As at 31
Mar 20
£
£
90,138
87,017
954,900
895,407
(132,252)
(101,238)
912,786
881,186

In addition, the company may have over time liabilities in the event of the non-payment by other participating YMCAs of their share of the YMCA Pension Plan’s deficit. It is not possible currently to quantify the potential amount that the company may be called upon to pay in the future.

19. Group analysis of changes in net debt

Cash at bank
Loans falling due within 1 year
Loans falling due after more than 1 year
Cash at bank
Loans falling due within 1 year
Loans falling due after more than 1 year		 1 April
2020
£
Cash flows
£
Non-cash
movement
£
31 March
2021
£
2,710,095
3,571,688
-
6,281,783
(66,626)
66,626
(72,003)
(72,003)
(1,536,034)
8,112
72,003
(1,455,915)
1,107,435
3,646,430
-
4,753,865
1 April
2019
£
Cash flows
£
Non-cash
movement
£
31 March
2020
£
2,245,643
464,452
-
2,710,095
(64,432)
64,429
(66,623)
(66,626)
(1,602,656)
-
66,622
(1,536,034)
578,555
528,881
(1)
1,107,435

52

ONE YMCA Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

20. Operating lease commitments

The future minimum lease payments are set out below. Leases relate to the rental of properties in eight locations and one vehicle.

The following operating lease payments
are committed to be paid
within 1 year
within 1-2 years
within 5 years		 Group
Company
2021
£
2020
£
2021
£
2020
£
359,107
116,581
359,107
116,581
306,924
69,298
306,924
69,298
246,624
125,703
246,624
125,703
912,655
311,582
912,655
311,582

21. Restricted Funds

Period ended March 2021
Group
Big Lottery Fund – YOUTHRIVE Project
HCF HAPpy grant
Big Lottery Fund – Horizons project
Children in Need
Harpur Trust
Male Victims
Violence & Exploitation Reduction Unit
Bedfordshire and Luton Community
Children in Need Covid Booster
CAST (Comic Relief)
Bedfordshire police
National Lottery Grant – Dads Aloud
Wishing Tree
Safelives
Friends of Eastcotts Fund
Company
Big Lottery Fund – YOUTHRIVE Project
HCF HAPpy grant		 1 April
2020
£
Income
£
Expenditure
£
31 March
2021
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
18,156
70,943
1,360
164,474
39,383
44,813
74,857
22,182
6,504
3,600
5,000
1,223
4,313
3,500
1,176
-
70,943
1,360
164,474
39,383
44,813
74,857
22,182
6,504
3,600
5,000
1,223
4,313
3,500
1,176
18,156
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
18,156
443,328
461,484
-
1 April
2020
£
Income
£
Expenditure
£
31 March
2021
£
-
-
70,943
1,360
70,973
1,360
-
-
-
72,303
72,303
-

53

ONE YMCA Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

Period ended March 2020
1 April Income Expenditure 31 March
Group 2019 £ £ 2020
£ £
BBC Children in Need - 14,303 14,303 -
National Lottery Grant – Dads Aloud - 2,253 2,253 -
Friends of Eastcotts Fund - 18,156 - 18,156
- 34,712 16,556 18,156
1 April Income Expenditure 31 March
Company 2019 £ £ 2020
£ £
BBC Children in Need - 14,303 14,303 -
- 14,303 14,303 -
23. Capital commitments
2021 2020
£ £
Contracts placed for future capital commitments not provided
in the financial statements 584,829 27,374

The contracted capital commitments at the 31 March 2021 relate to the conversion of three floors within Charter House to studio flats, new bathrooms to be installed at the High Wycombe hostel and leasehold improvements at two additional sites. All items are current year commitments.

24. Contingent liabilities

All of these assets remain in social housing use and the Company has no plans to change the status of the sites.

54

ONE YMCA Report and financial statements for the year ended 31 March 2021

NOTES TO THE REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

25. Membership

As at 31 March 2021, there were 38 members of the Company (2020: 40).

26. Post Balance Sheet Events

55