SANDWELL LEISURE TRUST (A Company Limited by Guarantee) REPORT AND FINANCIAL STATEMENTS for the year ended 31 March 2021 Company Registration No. 05011501 Registered Charity No. 1102431 SANDWELL LEISURE TRUST TRUSTEES, REPORT for the ear to 31 March 2021 For6*r•nl Thiswa8 ¢)ur 16th yearofopèrakn'on and 2020 has been a year ￿11 never forget, Covid-19 haj brought many challenge8 to not only the filn&BS Industry bul th• whole world. We would liko lo offer our¥incer¢st thoughts to our staff, custc¥ners and the wider communlty whose live8 have been affected by Ihls global pandemlc. This ha8 been wlthout a doubt the mo81 dwllenglng and hard-hitting event lo Impactthe leisurn Industy In our lifglime. We have faced many challenges wlh I￿kdOWn¥ and new feslricb'ons in place however our staff arKI cuBtom•r8 have extroordinwry in adapliw to Ihe8e ch8nge8, leaving us hokyful for the future. Sandwell Lel8urn Trust ISLn l• a ￿￿11 entorw+￿, eSta￿lthd as a company Ilmllèd by gu8ranle•. and a r8gl8tér8d chamly. managing aword-winnlng 8POrt and lai•urn 14dlilie8. IA* are noTrprofil dislnbjling m08ns we rwnvest 100% ol any 8urplu8 to maintaln, improv• and deliver quality 8orvices for the whole community lo enjoy, •(￿11￿ in and become more actTVe. The Tru•t mwwges 9 Bport• 8nd1th5ure centre$, indudiry 8 swimming pwl lacilibol, and a golf Gour8• In Sandwdl, and dolivgrs a w¢do range of Fopular sport$ devol¢¥wn•nt •thiii•• thrryjfvrt borough, on béh•ll of •nd in partn¢f$hip wllh Sandw¢ll Coun¢il. We also manage a 10th 8POrts and lei8ure centre of San(M*N - I￿ RY1r￿ Centre In 8fom4ffjve. 11 15 heartening to see that in a ￿peti1•Ve maikel with challgnging local dernographu, SLT conlinugs to dellver servico improv#menls and oxceed targèl$. to in¢reage partl¢lP8Uon in physical activity and Iport throughout the borwJh ¥th1181 improving the heith of Santhd. Our cuilomer8 are al the heart of everything we do and 1118 vltal we continue lo demon81rale the 80clal Impacl we make by shtrwcayng the le81imonial8 and feedback of the Tru81 is changlng P￿PIe, Ilves Sandwell Council'$ vision 18 to create a more phy8ically active Sandwell whi181 driving the o)nlinuou8 improvement of key Putjic Heollh cwlcomej, SLT play8 a l•adir4J role in th• 8￿Coll1u1 dglivory of Ihis vision and achievemgnl of the8e oulcom•• A8 i of the p•ndemk ovorall m•mberthip ha• (ler*oased to $9.11712020.. 78.4241. attendan￿$ •t our sport8 and lei8ur• cenlres were a180 affected des￿1? 3 lockdovms and COVKI Mcure reslnctlon8 Swimmlng for all age8 in Sandwell rem8in•d popular once centre8 re.opened. Free Ammlng regislralions irmased lo 48,96312020: 48,6921. Olh•r nolable highligh1¥ IndLth receiving tha N8tion81 ROSPA Health & Salely'order of Diotinctlon, tho only leisure tNsl lo obtain this wward foll(Mng retaining $lKce￿Y? 15 years of Gold fecognilion. Leisure f4cillU8$ al80 f8ctsived QUEST ex¢ollen¢e which heavily l¢¥1 Covld Secure slandafdj and 0￿rat￿n8. The Trust m8intain6d &"Iver a¢cfe•Jit•tsM from In¥Mlixs in P¢opl• •n award only 8¢hloved by the lop 1 S% ol orgoni88lions in the UK. Importantly, we also conlinued lo rocebve excellent feedback from otsr customers on we are thangirvJ Iheif lives A ￿lectiOn of Ihelr •lorie8 and comment8 are lealured through￿1 this repNt. Sandwell Council's vision is lo cre•te 8 rn0￿ physicdly acts've SWN*￿IL and SLT C￿lInUeS lo play 108dlng fole in the su￿8$￿1U1 delivery ol thi8 vi810n. l of our 8¢hievement8 would not bo poMibSe htr4•Yvef WFtPtht tho Commitm￿t arKI hard work of our •mployee8, the èffective leadership, expertige and innovob'on ol managern and Board Mofflbwl and the sUp￿rt of Santhll Council and all our p8rtnor8. We thank everyone for thelr contlnued contributlon and 8UPPOrt. Ly*£ A•h Ral- Chlef ExecLrtiv• 1 2021 SANDWELL LEISURE TRUST TRUSTEES. REPORT for the year to 31 March 2021 VERNA CE REPORT STATUS The organi8alion was incorporated on 9 January 2004 88 a company Ilmlled by guarantee and wa¥ registered with the Charity Commission on 2 Mar¢h 2004. The charitable company is esiablished under a Memorandum of AsSocialic￿ which establishes th8 object8 and powers of the charilable compary 8nd 18 govemed under ils Artides of Associabon. TRUSTEES A8 the eompany is limited by guarantee, the trustees have no interest in any shares in the company. The trustee8 who Served during the peri¢xI and up lo the dale of this report were as follow8.' V McSw18nd (appointed 01.12.041 Cllr P Hughe8 (appointed 12.09.07, resigned 31.08.18, reappointed 07.02.17, resign8d 07.12.201 lappohted 04.05.101 L Bateman (Chalr from 08.09.161 V Nembhard lappjintwj 17.09.13, resign&a 02.09.19) M Sharma (appointed 17.09.13) P Venable8 Icg Chair from 11.09.181 (appointed 04.02.141 P Piddock {8ppolnted 1109.181 R Jad(son appointed 11.09.18, reslgned 23.07.211 P Kaur 14ppointed 11,09.181 R Mcvittie lappoinled 26.01.211 S Flemlng (appointed 02.11.21) T Barter {8ppoinled 19 11.21) CHIEF EXECUTIVE ARal SECRETARY S Dilllon REGISTERED OFFICE Carnegie Building Victorio Road Tipton Wesl Midlands DY4 8SR SANDWELL LEISURE TRUST TRUSTEES, REPORT for the year to 31 March 2021 REGISTERED NUMBERS Company registration number 05011501 Registered charty number 1102431 AUDITORS RSM UK Audit LLP Chartered Accwnt8nt8 st Philip8 PCommlttee which makes recommendallons to the Trust Board laklng into consider81ion a number of factors l.e. pay 1gve16 of Chlef Executives 81 similar organisats'ons, Iccal 8Uthority head8 of 88rvic88, SPORTA (now Community Leisure UK), awards made by the National Joint Council 8TrJ the Association of Chief Executives of Voluntary Organisalions IACEVOI. The other member5 Of the Tru$l Management Team are gronled pay awards in accordance with their contract of employment. The Sub-Committe¢ 1$ al$0 rèsponsible for undertaking an annual performance apwai8al and development process for the Chief Executive. SANDINELL LEISURE TRUST TRUSTEES, REPORT for the year to 31 March 2021 CORPORATE RESPONSIBILITY We lake our (hjty of care lo all those who work or vl811 our faalilie8 extremely seriOu￿Y and In order th•1 we conlinuewf(h the healthy culture supporting Health and Safety within the Trust, we seek independent advice from our extemal wovider. The Board has agreed a Health & Safety Policy thlch sets the slraleglc diredon fof th18 8fea. We have a Jolnl Health & Safety Consu1181iva Commltlee wth the Tr8de Unions, which meets regularfy lo discuss and res0￿ health and Safety i88ue8. Environment SLT l¥ ￿MmItted lo r•du¢lng Ils cart)on foolprfnt and Imp8Ct on the an￿ronMent. We re￿nIse the import8nce of protecting tho environment and have Installed a numberof mea8ure8to reuseand recyde trade waste and con8umable malerS818. INe have a180 installed Combingd Heal and Power ICHP} unlts at some hlsure f8dlille•. These units enable enerw lo bo u￿d moro effio'onyy by ￿l￿ortIng ex¢K8 hoat into power10 8Lipp&1 the runnln9 of the facility. Vkts 8180 V4Drk in partnersh'p wth ￿r $uppll•ryJ, Ic¢al buslno8seg and contlnue to benchmark ourselv•s wf(hln tho Idsure indu81ry to develop now way8 of worklng and &Jopl b981 practlce. Oursport and lelsure eanlres have recaived Sanowell's Buslness Envlronmental CharterAward ranglng from Bron2e lo Gold standard. Thi8 Award recogn18e8 the eommltmenl by staff in reduclng the centre'• lrnpact cn the envlronmenl. Th18 a180 demon81ral88 the 8ites commrtmenl to 8uppo￿.n9 envifanmental 18sue8 at the lacilily and t1￿38 of Sandw811 as li8led in Agenda 21. THIRD PARTY INDEMNITY PROVISION FOR TRUSTEES Qualifying third paty indemnity PfOVl8ion18 in place for the benefit ol all tru$1•0$ of th8 tharity. STATEMENT TO DISCLOSURE OF INFORMATION TO AUDITORS The tru81ees who were in office on the dale ol approval of these financial slatemenl8 hav8 conffirnied, a8 far a8 they are avrdre, that there 18 no relevant audit information of whith the auditors are unaware. Each of the Iruslees hove corfirmeil Ih8lthgy have taken stepsthatthey oughtto have taken a8 Iruslees in order lo make themselves aware of any relevanl audit inlomiats'on and to 98tobliJh th41 rt has b8en communicated lo the auditor. SANDWELL LEISURE TRUST TRUSTEES, REPORT for the year to 31 March 2021 STRATEGIC REPORT SLT MAKING AN IMPACT FOR SANDWELL IN 202012021 SLT is a non-profit di8lribuling organisatson which m88ns we reinve81100% of any surplus lo improve, maintain and deliver quality services for the whole community to enjoy, sodallse In and become more actlve. It is heartening to see that in a compets'b've market wth challenging local demographics, SLT continues lo deliver seNice Improvem¢nl$ and ox¢eed targets lo increase participation in physical ath'vity whilst improving the health and well.being of Sandwell. Our cuslorners are al the heart ol everything we do and11 is vital we continue to demonslrale thè so¢ial impact we make by 5howca8ing the le8timonia18 and feedback of how ihe Trust is changing people's lives. Sandwell Council's vision is lo create a more physic811y ath.ve Sandwell whi181 dmving the Continuous improvement of kgy Public Health outcomes, SLT plays a leading role In the SLKC88slul delivery of Ihiy vision and achievement of these outcomes. We contsnue lo work in partnership with Sandwell Council on the new £60m San￿￿11 Aquatic Centre swimming lacility openlng forthe Birmingharn 2022 Commonwealth Games and £5.1 m West Smethwkk Park resloralion which Includes a pavilion building, both to be managed by SLT. All ol our achievements would not be p088ible wlhoul the eornmllrnenl and hard work of all our •mployee8, the effectsve leadership, expertise and Innovation of our manag¢r8 and our 8oard and our kèy p8rtnership with Sandwell Council. We thank everyone for their continued Gontribulion and 8UPPOrt. OURAIMS Maintain quality of service8 for Santh￿l Re8idenl8 Increa88 participation In¢rea$e attendances Staff 88118f8Ction & well.bthng Maintain financial 8tablllty, whi18t being well govemed & friendly Continue to reduce management foo Provide value for money Customer sali8faclion Highe811ov¢l hoallh & safety Achieve & maintain extemal accreditslions OUR PRIORITIES Increasing incomo Maintainingllmproving quallty MaintainiryJllrnproving safety Redu¢in9 expenditure SANDWELL LEISURE TRUST TRUSTEES, REPORT for the year to 31 March 2021 SOCIAL IMPACT Incrvaslng partlclpation in physical aetlvlty and Improvlng tho health and well-being of the Itxal nd wider communlty remalns the top prforlty for SLT. The trust works hard to do thls by provkllng a range of opportunlt*s lor mor8 p8oplo to enjoy lelsur* In a 8af• and saclal way. The coronavirus pandemK has undoubtedly affected end of year figures. The world and SLT started to see ihe effects of Covid-19 al the start of M8rch 2020 and the virus w88 still prevalent and affecting everyday life at the end of this financlal year. Due lo govemment erforced closure¥, our centre8 wero closed for around 9 months IhiB year. Despite a very Strong $18rt 81 the beginning of 2020 for mgmbership grwth, the impact of Covid-19 and the closur8 of the facilities for over hall ol the year April 2020 to March 2021, has had a huge impact on membership for the Leisure Trust. On average, the annual new member sale8 drca, 8,000.. during thi8 year It W86 just under 1,200 and this hay consequently Seen the membership ba8e drop by 51 %. i18t there were br￿f period8 where the l•isur& centres were open. the dw8k)n was made not to run any new member offgrs or womolions. Despite the centre8 being closed, we have retained over 6.200 memt4rs. Plans are beirKJ drafted lo re-build the previousty strong membership base once the centre8 are given the go-ahgad to re-open. A So¢ial Valuè An81ysls report complleil by Indu81ry1gading 4Gk>bal provldes detail of the level of Soci81 Vslue that 811888 from the Trusts operation hefe in Sandwell the analy%8 confimis a staggering £16.5 Million Pcunds worth of Social Value from our 0￿ratIon in one of the mo81 deprived Boroughs in the county. The S0o81 V8lue total Is $pllt irto Su￿e8teg0r1e8.' Subjectlve Wellbelng. Health. EdU￿tion and Crime. Flgures are provlded al 8 per.per8on level and detailed by member category. A breakdown 16 also provided into Iho 'Ca808 prevented, wrthin indivi¢Ju81s 88 • rosull of particlp8ling In phy8ic418Ctivity al Sandwell yiley. The 8ttial value analy8iB Identifi8$ that thè SLT e8t8te generated £16.Sm ol 8cdal value in 2019, wllh Portsvay Lifestyle Centre generating the hlghe81 amount, al almost £3.9m. When comparing the outcome810 the re8tof Ihg UK leisure sector, 7 of tha 10 SLT sits8 811 in the 3rd or4th Ihighg51l quartiles, demon8lr8ling they are abov8 average for the industry, 16.1 % of Santh&ll rèsldents were a member of an SLT faoility al some polnl in 2019, which 18 higher than the 15.9% industry average Ifor Heollh & Fltne95 only} Over 80% ol SLT members were from IMD group 1 or 2 (the mcst deprived groups), which IB almost èxactly ropre￿ntallve lo the Sandwell Borough IMD stali81ics. Over 93% ofSLT members live within the Santhell Borough, wllh 8n average travel b'm• of less than 5 and a half minulos Idrlve Ilmel be￿een their reg181ered home addre55 8nd Ihelr 'home' faality. These Igures Support San(￿￿17,8 Vision 2030 Ambition 2 & Arnbilion 2 - Sandwell Is a p18ce where we live healthy livo$ and live them for longer, and where ttsg8• of us who are vulnerable feel respected and carod for. Ambition 8- Oui di8tinctive towns and n8ighb)urhoods are 8ucc688ful cenlres of community life, leisure aTra entertainment %there people in¢re8$ingty choo88 lo bring up their famllies. THE IMPACT OF COVID-19 The Coronaviru* p4ndemlc began Jff•cting •v•ryday Ilf• In March 2020 wlth extrn meJ8Urnry b•lng Introduced at all SLT centre$ mld-march. Enhan¢od cloanSng and soclal dljtanclng measures wère put In place however tho govornm8nt announced th• n•tlonal closure of all 1•18urn c•ntres on 23rd March 2020. hile all cenlres were closed a core nurnber of staff worked to prepare for when the govemmenl announced tho re•opening of leisure cenlres. Preparab'ons for creating Covid-19 Secu￿ centres ir￿luded.. Creating risk as59ssmenl$ that adhered lo government guidance. SANDWELL LEISURE TRUST TRUSTEES. REPORT for the ear to 31 March 2021 Adjusting various aspects of cenlres to allow s¢xial ¢JSst8ncing such as creating a queue System, spaong apart equipment and producing signage for customer guidance. Regular building checks and cleaning, Implgmenling a new booking 8y8lem. Ensurfng staff are informes and up to dale with training. Lelling cu81omers know of changes lo operations via sodal media & emall. Sourcing cleaning m8tsrials and PPE for stsff. Following the e98ing of restrith'ons, a Phased re-opening commenced Portsvay Lbfestyle Cenlre, Wednesbury Lei8ure Centre, Haden HS11 Lelsure Centr8 and Tipton Sports Academy opening from August 6th 2020. Harry Mitchell Leisure Centre 8nd Hadley Stsdium foll¢)wed re-opening on Seplembef 2nd 2020. Due lo essential building works Tipton Lelsurts Centre re-opened on October 5th 2020. Bookable gym sl¢kn, filne88 classès and S￿MmIng sessions were aVaila￿e 88 wo11 as swmming lessons. Indoor Sports and outdoor yports. Customers were ¢o-operativ• with the n6w Covid-8ecure measures in place and enjoyed the return lo SLT'S 8eNices. Unlortunalely, due to Sn incr8ase in Coronavirus cases. leisure centro$ were once agaln closed and natsonal l¢xkdown began on 5th November 2020. Cenlres onc8 again closed and the relev8nl clèaning and building checks continued lo take plac& until cenlres were a￿e lo rfropen again month later on 2nd Decemb8r2020. D8cemb8r howev¢r Saw anolh8r increase in Coronavlrus casgs 8nd following govemmenl guidance, cenlres were once again closed from Thursday 3161 D8tsmber. Thg Ihlrd nab'onal lockdown eased re81rictlons for outdoor sports on Monday 29th March and gyms were permitted lo re-open on Mond8y April 12th n7eanlng our cenlres didn't see m￿h lime open towards the end of this year. This year has been challenging for peo￿0 businesses all around the worfd however des￿18 the impact it may have had on SLT, customer8 and staff remained poslllve throughout and continue to Jupport th& Irusl. 2020.21 Fl lal Im C vld19 Loss of Income From F•08 & Charges Offs•t by.. Grant8 Net108S S8vingB from Reduc4d Expondilurg on Employe88 Premises Tran8POrt & Other Expendilure Through)ul th¢ pondemic, the Council continued to pay the management fee. 13.2) SANDWELL LEISURE TRUST TRUSTEES, REPORT for the year to 31 March 2021 HELPING THE COMMUNITY DURING THE PANDEMIC Food H A partnership was created with San¢tsell Food Hub, SLT supported the team in delivering ft￿d and essential supplie$ lo those who were the most vulnerable. Vendln donati £4,500 worth of vending 81ock wa5 donated to the Sandwell Food Hub by SLT whi¢h was shared wlh NHS ftontline staff al Walso11 Manor Hospital. Councillor Marfa Crompton, Sanfvell Council Deputy Leader and Cabingl Member for Safer Communities, Bald.. 'Il was a really easy decision lo use the stock donated by San(hvell Leisure Trust lo provide much-needed refreshments lo our local hospital¥, They are doing such an amazing job and we wanted lo show our 8pweciab.on and gupport. Funded by the Natlonal Lottery's Reachlng Communrty programme Pothy Rgach aims lo re-engage and 6UPPOrt people 18 and ov8r in th8 local cornmunity diredly affected by CovitJ-19. Pothay Reach aims to increase the confidence & sew- esteem of individu81s by re-inlroduclng them Into centres and back towards a healthy lifesty￿. P8th'ap8nts receive a free 4 week8 ONE Card membèrshlp, a virtual tour and Induthon of the ￿lId1￿j and a social media Support group. Vaccination Hu Portway Llle•tylo C•ntr• Sin¢& the end of December, Pothlay becarne one of the first Vaccination Clinics Set up. which seemed most fittlng usg of tho facllty dunng l¢xkd(w4n. particularty it8 strong links to the GP Pr•¢tlc8 a Sandwell and ￿$1 Bimiingham NHS Trust. Le&d by the PorNvay Family PraGti¢a. and used ty more than 20 GP Surgene8 across th• Prlmary Care Netr￿rk, the team hav8 surpa888d the target of offering a first vaccine dose lo all of their patien18 who are registered to the GP Surgery within the lop lour priority groups by the middle of February. 1118 fore¢asled that 25,000 individual8 wlll have recelved thelr flr8t J8b by the end of March. DrArun Saini commonled we are delighted to be utillslng the excellent facllilies within Ihelgisure centre in our efforts lo vaccinate the local communlty. The 8UPPOrt of cdlea9Ue8 al Portsvay and across all ol the GP practlcos within the nehvork induding Nur8e8, GP'S. Health care 8UPPOrt staff and Volunteerj has been truly ove￿helMlng.' Tlpton Sports Academy Ay a well.known landmark cb8e lo good transport Ilnk8, the venue in Wedne8bury Oak Road prov¢d to be a strong choice lo support the work of the NHS in dèllvering the vacGine lo the local communty. The vaccIn8￿n centre al Tipton Spgrt5 Academy became operational from Mond8y 22 February, with the nats'onal vacdnation effort bging extended lo further priority groups, as annoLinced recently by the Department of He8llh and NHS Englan¢J. The first patient to raceive a vaccin81i¢M at Tipton Sports Academy when the doors opened on Monday 22 Fgbruary wa8 Mr8 Christine Adams, aged 74. from Tipton. She recdved her va¢¢ino from Consultant Nurse Michelle Dexter. Mrs Adams Said.. °I've been planning lo gel my vacon81ion for a couple ofweeks w whgn I found out Ihero wa5 a eentre ¢¥)enlng just d¢)wn tha road at Tipton Sports Academy. it was ideal for me. Thanks to everyone - the NHS staff and all the scienlis18- who's l¢X•king after u8 so well.. Sally Roberts, Chief Nur8e. Black County and We81 Birmingham CCG8 Said.. 'Aff058 Ime Black Country and We81 Birmingham, a great many peoplg are working hard to rollout vacanalions, gtsrting wth those most al risk. Our Progress to dale h8s been steady and l am delighted Ihal we are now able to add another vaccination cenlre. capable of delivering thousand8 more vaccines each week.. SANDWELL LEISURE TRUST TRUSTEES, REPORT for the year to 31 March 2021 Ash Rai. Chief Executive of S8ndwell Leisure Trust which runs Tipton Sports Ac8demy, said.. 'By hosting the vaecine eentre al Tipton Sports Academy. we're able to support thè NHS in providlng immuni5alion for the local community. We olready have vaccinations beiro offered at Porfvlay Lifestye Centre, In partner8hlp vllh our local GP8. People who book an 8ppoinlmenl when they're eligible 8né receive the vaccine will be helping the NHS in the most important public health initiative il has ever undertaken." sana￿ell Coundl deputy leader, Councillor Moria Crwpton, 8aid'. 'This 18 fanlasdc news for u8 lo¢alty, in our fight o¢ross th¢ borough against the coronaviru8. Havlng Tipton Sports Academy on board as a vacanalion centre wll greatly increasè the number of jabs we can deliver, and the Speed al which we can •dminist8r them. 11 will make people safer from this deadly rus more quickly.. Quotes.. 'Juyl like 10 8ay a big thank you lo all your staff. Came for my Covid jab today. Fell really safe & well l¢)oked after. Thank you.. .1 had lak8n my dad for hi8 Covid jab. Lovely place. 8nd the staff were lovely and so organlsed. 100% putting their live8 al risk to help other3...well done to each 8nd everyone of you CHANGING WITH FITNESS Team SLT It Hom• During the national lockdown which look place from Thursday 5 Novernber lo Wednesday 2 December, a pl8tform w88 sel up for SLT member8 lo joln Ilve and pre-recorded fllne88 da88e8 by purchasing the 'Team SLT al Home, product. The service cost £9.99 for 30 days and 117 member8 were part of th8 group whith enjoyod daily fitness clas883 Suitable for all abilits'es. Les Mllls on Dèmand A8 8 re8uII of SLT'8 Partner8hip with L88 Mills Fi(ness. cu8tomer8 could benefit from a di8counled ￿ce on Les Mills On Demand, The platform offers over 800 workouts with many popular das8e8 available Such as BodyComb81, BotJyPump, BodyBalance & GRIT. Over 749 members 8igned up and look Jvanlage of the great ¢Jiscounl. Outdoor Workouts In Octcèer Tier 3 reslriclions on Sandwell meant that Indoor fllne88 cla88es could not lake place however outdoor fitness cL98se8 were allowed, Soci81 distancing permilled. Filnes8 l&am8 at Pothay Lifestyle Cenlrn and Haden Hill Leisure Centre quickty adapted to thi8 news offering outdoor filnes8 cla8888. Haden Hill Leisure Centre hosted fitness se88ions in the park while Poth8y Lrfestyle Centro offered cla88es on their 3G pitch and life trail. The cl8S8es proviijed a great allernalivg to indoor filne88 das$e8 anjoyed by many members. SWIMMING IN SANDWELL We are proud to contlnue to play a Major role In the dellvèry of Safe Jwlmmlng In Sandw•ll. Swlmmlng18 an •s•ontl•l sklll and tho demand lor learnlng and enjoylng 8wlmmlng In Sanrtwell contlnues to grow. SLT Swimming Lessons deliver lessons for parent and babyrtoddler. pre-school children, sthool hildren, young people, adult¥, and targeted sessions supporting people with di8abililies. We work in rtnership with Swim England delivering their Learn lo Swim Programme. Although Covid-19 impacted capacities for swmming lessons this year, we were Still a￿e to offer a 8ucce5sful public swimming le850n prograrnme that Is recovering well. SLT'S popular Junior Lifeguard Academy aims to 'pro9￿S91veIY challerye, leamer8 to attain survival and rescue skills that can 8av8 lives and provide opportunities also leading lo employment wlh SLT. though Covid-19 halted our ability to run cour8es, we have high demand for Pool Lifeguard and Sw'mming Teather courses and will be restarting as soon as restrictions ease. 10 SANDWELL LEISURE TRUST TRUSTEES, REPORT for the year to 31 March 2021 Over 11,000 school children from over go Schools al key stage 1 and 2 receive swmming lessons wth SLT in Sandwell each year vnth ar￿nd 200 school lessons a week delwefed during term-lime. Covid- 19 has imp8ctgd ￿ academic years in a¢h￿VIng national curriculurn standprds. We are supporbng local schools lo support their key stsge 1, 2 & 3 attainmant recovery with sign up to Swim England's Sehool Swimming & Water Safety Charter, as well as offering additional 'lop up, swimming lessons vthere possible. Free Swmmin ins Santtsell's free swimming scheme is delivered by SLT al pools across Sanoknll. This initiative helps residents 8ged 60+ and those 89ed 16 and under lo accèss quality safe Swimming locally in San¢tsell. though Covid-19 impacted the tsmescale and logistics of Free Swimming thi¥ year, 4,582 S8ndw¢ll Iree swms have been delivered to those aged 16 and under or over eo. THE RYLAND CEKfRE For many lel*urn provSdern around thè Tmorld, 2020 wa• • ch•ll•nglng y••r wlth lockdown•, closurns and many r88trlctlon8 In plac• whon facllltles were able to open. For the Toam at th• Ryland Centre, th1• ha• 9lv•n ￿ an opportunlty to divfjr81fy our product and In •om• ca808 hlt thè rnsot button. During the fir¥t lockdown we offered a free online fitness da88 ￿MetsbIe, wllh over 200 p¢ople por ¥ession logging in, We used Facebook and Zoom 88 our platfoms. To support the bu5ine85 In this Blage we 8el up a donation5 page lor member8 who Still wanted lo contribut8 8nd support the bulne88. Our aim was lo conlinue $¢Ning and 8UPPOrting our members through these dllficull Um88 aThl to retaln members for we could re.open. We saw a Steady relum In Juty 2020 to the gym arKJ ¢148809. Wlh many re8lrlcllonB In plac4 thi8 did affect our dub u8e and hall hlre on return. We continued our online filne88 offering and madg this 8 part of our m8mb¢r$hip offer. Ajong wlh ad¢Jing programme8 suth 88 beginner Yoga cour8e810 increa8e income and help a8￿8 our eJJ81omers. In November 2020 we facéd anolhar lockdown, lurfng Ihl8 lockdown we made our onllne fitne88 programme a 8tandalon8 product with over 450 sign UPB lo Ihls member8hip. Wlh further restrictions and Iler8 In December, we uealed an outdoor filne8B brand to onable ui lo continue dellverlng classes, During the Janu8ry. MarGh Lockdvwn, we continued wth a 8lrong onllne member8hlp. Towards the end of the year. wo have conlinuod wlth onllne cla88es, a brand new outdoor fline88 cla88 prOd￿t wlh 14 ¢109968 por week and we are set for a Strong retum throughout 2021. OUR STAFF Wo Currently •mploy 424 staff, 64% arn Sandwell resld•nts and th8 8tsff tumovor for 2020121 w*$ 5.8%. For a large part of tho yoar wr ¢￿tr*S were dosgd due to Covid-19, however, SLT continued to Invest In 8tsff Iralning 8nd developmènt induding £6,000 on new and updated E-learning module8 including Inleclion Prevention and Control and Covid safety Ir&ining lo en8ure 81aff continu8 lo keep them8elve8 and our customers Safe. Oue lo the variou8 Coronawru81(Kkdovffls throughout the year, Staff were lurtoughed regularfy, This meant th81 keeping Staff Infomied and updated w88 essential, to do 80 regular stoff emails were sent out. The88 emai18 Varied from essential information, progress updal&s and mental health advi￿. InvHtor• In Pgople SLT rewved a gl¢)wing rgview following the inlerirn review from thp extemal IIP assesBcf Gordon Slopani.. SANDWELL LEISURE TRUST TRUSTEES, REPORT for the year to 31 March 2021 'Despile the significant challenges faced by SLT as a result of the pandemic, the Trust has successlulty continued lo make good progress and improvements in ils approaches lo keeping in touch wfth 8tsff, supportin9 Staff health and wellbeing, as well as forging even more extensive relatsonships wth a range of community stakeholders. The interim IIP Review demonstrated that SLT has regularly mainlaingd contact wlh ils staff, s￿kIng lo ensure that they are sale and well and that any support they may nee(1 15 provided. SLT has also been able lo deliver some learning onllne. onsuring th81 ￿ further maintains contact wth staff. It is dear from the regular staff communication8. whlch have been adaple¢J accordingly. that SLT h88 made the wellbeing of ils staff a key priority for le8der$ and managers in the business lo maintsin a locus on. The information provided to staff via The Wellness Hub for ex8mple, provid0$ extensive heallh-relaled Infom8lion 8nd 8ignpo8tlng suf(ed lo those $18ff who find themselves requiring further BUPPOrt with health-relaled matters. For example. acc8S8 to the 24-hour 'Otttorline' support is an exeèllenl staff benefit which is available tg 811 staff, somelhlng which few organisalions have made available lo their staff during the pandemic. Such measures dearfy dèmonstrate SLT'S on-golng commitment to staff and their wellbeing. What is 8180 Gleor from the Review, 1$ that SLT has been making extensive prepar8tion8 for a retum lo work and ènsuring that ils staff continue lo be 8UPPOrted both in tems of their safely, health 8nd wellbeing and Ihg training Ihalwll be nec8w8ary for them to undertake, In orderlo meet the requirements assoryaled wllh their rolg. This positive and proactive approach lo 're-Sgtting and racovering. from the pandemic, clearly h83 staff wellteing and 8taff intere818 81 its heart.. The Wglln•s• Hub Thi8 y88r Saw tho launch of The Wollne88 Hub whl¢h 1$ 8 new 8taff suP￿rt servlcè. We have teamed up wlh W¢$tfield Heath to provide 'He8llhy Extr88' . The ber￿fits of Ihl8 wll include.. Together all . safe onllne space for you to explue Ihlng8 that are troubllng you and ggt the support y¢)u no8d, in confiden¢e 24 Hour Advice and Inform81ion Line. Includln9 aceA$$ to a Health e-Hub Do¢torLineTM- acce88 10 8 GP 24n Westfield Rewards Making employ¢eB' 8alarie8 go further - gel dlscounts from ¢)ver 1,000 loading high 8lr8et and online retailery The ambition for'The Wdln888 Hub, 1$ lo cre81e a 'go.Io' 8raa for all employee8 lo acces5 help, 8UPPOrt and information to help malnt8in good menlal 8nd phy8ical health. Mental Health First ￿ders, infomalion and resources will be directed through this new 8eNlee, wllh hopes of an employee steering group being sel up to agree on focus areas and improvè posillve c￿nver841￿ln around mental health 8cr088 tho organi8alion. AWARD WINNING SERVICE8 Maintalnlng and achl•vlng •xternal accredltatlon domonstrat•s h¢)w ￿ are bènchmarked wlthln tho lelsure Industry natlonalty. By provldlng award•wlnnlng sorylco1 our cuitomors aro •S8ur•d that thoy aro rec•lvlng the best quallty, Safe gervIc￿. ROSPA Gold Award SLT maintains the presbgious National ROSPA Gold Presidents Award, awarded by the Royal Souely for the Prevention of Accidonl$ IROSPAI. Thi¥ 1$ a highly sought after and inlernalionally recognised accolade, not jii81 for the leisure industry bul sector wide. This award is proof of the high level of health and safety we Pfovidè for all our cu8tomer8 and $taff. Investors in Poople SLT maintain8 Silver accreditation from Inv8Stors in People, an award only achleved by the lop 15% of organi8ats.ons in the UK. The Silver recognition demonstrates the hgh standard of people management and organisalional development SLT ha8. 12 SANDWELL LEISURE TRUST TRUSTEES, REPORT for the year to 31 March 2021 Quelt Accredltstlon Importantly, we also maintain Quest accreditslion, a conts'nuous improvement tool and the leisure industry's only recognised Qualty A88Uf8nce schème for faality management and sports development designed to measure how effective organisations are. The schgme enables organisation$to benchmark themselves with other leadin9 operators nalionalty that are independently verified. This supports Sandwell's Vision 2030 Am￿'tionS 1 & 10 Arnbition 1 Sandwell 18 a community whefe our famili•s have high aspiratio￿ and where we pride oursefves on equallty of aFVOrtunity and on our adaptability and resilignce. Ambitson 10- Sandwell now h85 a national rèpuL8lion for getting things done, where all local p8rtn8rs are focused on what really matters in people's lives and communities. OUR CUSTOMERS 'Ju81 loved being back, l ￿ ache, ams and back bul èven though il hurts il'g a feeling I'v? mlused socwo much. So organised and well manage(I, I'm very proud to be an SLT member.. "Just wanted lo thank you. Du& lo asthma, I belong lo the vulneroble section. Bul seeing how much èffort you put in of keeplng the gym vlrus free. l enjoy comlng everyday now." Ju8t been to use the gym lod8y UBing 8 prfrbooked 8101 online. Hand 88nrtiser, dear directions, load8 of cleaning spray. $18ff on hand lo help. all the rnachine8 spaced out, Really excellently sel up to Use Safety and $¢xial di8lance. So good lo be back," 'Well done Wednesbury first Ilme back yes1grd8y 8b801ulely gol It rlghl spotlo88 everywhere deaning 81alion$ lay(yJl brillianl...and lo be back in a spin ¢1888 was brilliant the staff mu81 of worked realty hard for u8 members thank you and well dong.. 'Greal lo be back al Hadley Stodlum1881 nSghl for badmlnton. Feli realty s8fe. Staff cleaned equipment before we ytarted, one way system and follo￿ng Badmlnton England guidelino$. Well donel And thank "My grandson relurn8d lo hi8 Swimming leyson today 814.15 wllh Tracey. I was very Impre88ed with tho organi8alion of Smethwick Swmmlng Centre from belng greeted 8t th8 door an¢J belng 8hown through the one way $y8tem in plaGe. The liming of the 8wlmming lessons avoids several people being In the changing rooms al once. l ob8oNed social dist8nGing being mainlain8d and 'hand touch" 8re83 belng cleaned. I would like lo encourage everyone lo return lo their 8vAmming lessons In this yala environment. 'It 18 actually lanlasticl Oue lo advanced 081eo8rthrftis in both my hSp8, I've had to give up running and rely heavily on swrnmlng for exercise. Every morning I go in, the 81aff (lifeguards, receptlon and deanlngl are always really welcoming and friendly. I love Itl. 'Really enjoyed the 8LT dass al Tipton Sports Academy. lols of 8pac8, 8ani11ser￿p88 brflli8nl instructor, So glad lo be back keeping fflt. well done SLT and L&8 G.. 80CIAL FOLLOWERS SLT Marketing and Comm8 team played a key rolo In keeping members and custom8r8 fully Informed of opening hours, Covid-19 prcKedures and membership payments across 8118(Kial msdia platform8 and website. The web¥ile received over 215,000 v18it8 which wo$ down on previous year due to customers not using the tlmetable funth'on daily due lo enforced closures. Pages that were particularfy well read were'working lo keep you safg" and all lelsure industy guidance. SLT delivered a fantastic National Frtness Da￿ campaign whith we pr(yJuced a number of vid&o8 showrwj how safe il was lo use the gyms and fitness classes and interviewing a range of customers who told us why filness18 important lo Ihern. Our FaCeb￿k pages had a 6.40A increase of followers contributed to a reach of over 4.7 ml1110n. Responding lo our customers quickly 8nd effi¢ienUy was business critical and a 95% lime measured response rate was achieved across all channels. 13 sAND￿ELL LEISURE TRUST TRUSTEES, REPORT for the year to 31 March 2021 To 8UPPOrt the pandemic issues, ourteam produced in-house a series of videos and conlenl to support members. customers and staff whlch laid out e58enlial guidance for safe use of the facilitigs. In addition. SLT shared a huge range of community P08ts 8upporb.ng Sandwell's Cothd-19 efforts. WHAT IS SLT'S PURPOSE Th8 purpo$o of Sandwell LÈlsure Trust ISLTI is to oncourago and In¢rnas8 partlclpatlon in physlcal acllvlty, sport and le18urg by the whole communlty. SLT Is non-proflt distributing whlch means a$ a trust and charlty we r&Snv•st 100% of any surplus to Improve, malntsin and dellver quality s•rrfic•s for the wholo communlty to enloy. socbalhè Sn and b•com• moro •ctlv•. What aro thè dlfect #nd public benèfits flowing from SLT'S purpos•? The direci benefits th81 flow from SLT'S overall purp05e 1$ to improve the health and well-being of the dor communf(y in Sandwell, reduce the 8oaal isolation of rts ¢itizen$ through group physical activity and deliver ¥u$lainable sport and leisure services for future generations to enjoy. The public benefits that flow from this purpose are,, lal an enhanced quality of lifè and senye of well-being through engagement with and p8rtklpalion in activiti88 and events that bring peoplo together, leading to improvements in physical 8nd emotion81 well-bein9, quality ol life and a more stable and cohesive community,. Ibl incrgased opportunities lo engage in new physical acl5ville$ that bring popl• together, leading lo grealer 8ocial cohesion and ￿￿￿lment.. {cl enhanced adlve dliz8nship and involvement In community lrfe. How can thM• bonfrfit• b• Idontlll•d 4nd m•asured7 Thes8 benefits can be idents'fied through case study examplgs of how SLT is changing people's lives and moasured by the sustained InC￿a88 in p8rticipatton In phy$i¢al a¢tivity, $port and leisure IhroughoLrt Santh¥ell. l• th•f• any ham 4rl8lng from any ol the pufpo8087 No ham arises from SLT'S purpose, the beneficiaries are the genefal public and locally-based community and voluntary organlsalion$, and that no private benefit arige8 ftom Ihe8e purp08es, The objects of SLT are lo promote the benefits wllhout distinction of 8ex, race or polKical, rellglou8 or other opinions. SLT wll where pe88iblè use local suppliers and employ people from the diverse local mmunity therefore 8UPWrting the local economy of Sandwell and will adopt fjffici8nt and onvironmentally friendty processes to optlmI88 the best po$$ible of re$our¢e•. INvesTMENT POLICY We have in our Memorandum & Artides of A88ocialion tho p0￿r to make investments lo fund the activitie8 of the Tru81. Thè level of investment 1$ to be determined by the level of surplus cash available C£*mpar¢d with Ihe demand for re80urces fequlred for the 0￿ratIOn ol Services provided by the Trust. l*Ve Invest 8ny 8urplu8 cash Inot needed lo meet Immedlale Ilabililie81 wlh SMBC Corpor8te Fin8nce under 8 SeNica Level Agreement. The SLA guarantee8 the Trust a rate of 0.3% below base rate on the day of investment on all balances and is virtU8lly risk free. RESERVES POLICY The 8oard's current policy 18 to maintain an un￿mMItted reserve of £500k lo protect against downside co3t risks identified in our risk regisler. We are currently usin9 planned accumulalgd 5urpluse3 lo help meet the managementfee reductions. The Board recognise$ that this 1$ not sustainable in the long term 8nd 1$ working with SMBC aboul the level of service that can be provided in the Ion9 term with the available management fee. As al 31 March 2021, the charity had uncommitted reserves (being ngt current assets, less restricted and designated funds) of £399.41012020'. £2,188,3681 whith is £100,590 below the £500k required. 14 SANDWELL LEISURE TRUST TRUSTEES. REPORT for the ear to 31 March 2021 RESERVES POUCY {contlnu•dl Any uncommitted reserve will be used to support the racovery from the Covid19 pandemlc. There is uncortainty around future cashflows following the Govemmenl enforced closuro from 21. March 2020 across 811 Lc's. Once lockd¢)wn reslriclions are lifted, it will take lime ID renew customer confidence to th8 level il was prior lo the pandemic. Please refer to pago 16 and the accounting poliuès on page 25 for more information on going ¢oncem. A key elament of the overall ffinanGial positi'on of the Trust is the long-lemi affordability of its pons￿n8' obligations to 113 employees. FRS 102 calculations wiihin the financial stalgmenls arg based on retum8 on Government Gill Edged stoGk Igllts). At the year end, because market interest rates are at a 30 ygar low gilts are showlng a very low rate of return, The pension tharge Galwlations ￿thIn our accounts are based on thi¥ calculation. FRS 102 18 based on tskSng the current fate of return, whatever that is, and assumlng It wll be maint8ined for Ihity years. During a down-turn, this Can produce vth8t could be onsidered an overly ￿981m1811cforeCasl of pension fund retum8 and polentlally an over8lalod e$limat8 of pension fund liabilities wlhin the slalutory accounts. The We81 Midland's p8ngion fund 8CtU8ry C81culat08 employer contribLrt+on rates uslng a wider range of assets that beller reflect current and future market conditions. These calculations are therefore mu¢h more driven by the overall long-lerm Blalè ol the market and th& re8uIt18 that they asaurne lower level8 of contribullon from the tru81 are needed lo meet the pension fund obligations. A rl¥k facing the charfty is the maintenance of adequate funding for the charity'¥ pen￿On Ilabllilieg. The financial slalements report the share of the Local Govemmenl Pension Scheme defiat1£19,385k} the Charity's balance sheet in line with the requirements of FRS 102. The risk is miligaled by an agr8•d dgficil recovery plan with the We51 Midlands P8n8ion Fund. FINANCIAL PERFORMANCE A 8el of KPI'8 are agreed and monitored by the Board. The results for the year are show in the Statement of Flnandal ActlvilK88 on page 22. Prfor lo the Covid-19 Pandemic the Trust had increa8ed income year on year by ovor 200k $in¢o 118 inwpor¥tKJn ¢espile reductlons in the Management Fee. However 2020 saw a reduction in income as th8 leisure centr88 were c108ed for the majority of the financial year due to Gov¢mm8nl enforced do8ures13 lockdown8I, and when the cgntre8 openod il was under Covhl 88cure me88ure8 whlch imp8Cted maxlmi88llon of Income. Expendlture was significantly down in 2020 again dueto the dosure ofcenlres and becau8ethe majority of 8mployee5 were fudoughed which resulted in". rodu¢od u$& of ¢agual and self-employed workw8 from the month of July Furlough deductlon ( le paying furfoughed $laff 80% ofthelr Salary up lo • m8ximum of £2,500) from May 2020. Other reduced expenditure in 2020 due to the Glosuro of fa¢J'lilies was from:. Ulllitr98- Reduced con8umption at closed sites. Mlnor WOfks- Reduceil spend on repairs due to certres being cl¢)sed. Equipm8nl- renegolialed serwce contracts eg life Filnes5, Les Mills Printing & siationerylvending supplies- rgducad pur¢hases1 movement in stock G48 l Bank Charges- There was no cash colleth'on service during the ¢losures. and we also t(xk the decisKJn to reduce the frequenw of Collections from weekly lo monthly w.e.f November during phase 1 and 2 reopening as we encouraged online bookings and cashless transaction8. Insurance - The premium was reduced due lo reduced ints)me a88umplion8 for the financial year as a result of dosures and reduced claims 15 SANDWELL LEISURE TRUST TRUSTEES, REPORT for the year to 31 March 2021 FINANCIAL PERFORMANCE Icontinu8dl Reduced irrgcoverable VAT, in Ihg first 2 quarter's this was calculated al 8% and 35% respe¢tiv&ly because of the prt¥ortion of valable sales to total sales. Quarter 3 IV arrounled lo 46%. Whilst the cenlres were closed exempl incorne wa5 significantly reduced, 8nd the Courtil onlinued to pay the m8nagemenl fee, which resulted in Improved partial exemption The Slalemenl of Financial Activities Shows nel expenditure for the chgrily of £1,482,35812020'. net expenditure of £1.100,8891 before actuarial adjustmanls roquired lo account for participation in the local governrnent penslon scheme. The nel result after these adjustments was a net decrease in funds of £11,088,35812020'. nel increase in funds 01£1,787,1111. Al 31 March 2021, the charity had nel liabilities of £15.986,64712020.' nel liabilities of £4,898,289) of whi¢h £32,865 were r¢$lri¢led fvnd$, £1,978.773 wor9 designated funds, £1,366,715 were held as unrestricted charitable funds, and a deficit of £19.365,000 opresenled th8 charity's Share of the deficit in the local govemmenl pension scheme. EMPLOYEE CONSULTA TION AND DISABLED EMPLOYEES SLT encourages the involvement of all employee$ in rt$ management through regular meetings th* take place al a local slle level through lo senior m8nègemenl and board of IruBlees of which a staff representative 18 elected each year and conlrlbules al Board l¢v¢l. SLT elso re¢ogni¥e8 a number of Trade Unions and h88 a fomal agreement whlch enablès the Trust anagemenl Team lo moel with them Jointly on a quarterly ba818 to discu88 and con8uII on employee related maller$. SLT wll and dces emF4oy d18able¢l persons whereby tho individual has demonslraled the obilrty to undertake the role either wlh or wthoul any reagonable adjustments. Disabled candidates are given lull and fair con8lderalion when such vacancies ar18e and reasonable 8djuglmanl$ are congideffjd and made lo support candidat88 thfough the recrullmenl proc888 through lo &mploymenl if Ihey are successful. During employment, the Iru8t ¥eekJ lo work with employee8, taking into account their per8onal clrcum81ance8, lo ensure aPprOp￿ale trainlng and dov•lopmenl opportunit*8 are available lo enable them lo re8ch tMlr full polenlial. GOING CONCERN Al the lime of approving the financi81 s181emenlB, the Iruslg95 have a rgasonablg exp8Ctalion that the chorilable company ha8 adequate resources lo conlnue in operalion818xislence for the foreseeable futuro. Thu8, the Iruslees continue lo adopt the going concem ba813 of 8ccounb.ng in proparing th• rin8nrial statements. The Trust h88 net liabilities of £15,988,84712020.' £4,898.2891 al 31 March 2021 due to the 8ignificanl defined benefit pension scheme li8bility of £19,385,00012020'. £8,847,000>. Following the uncertainty presented by Cowd-19, rnanagemenl has reas8e¥sed the going concem assumption and confimis that it remains 8pproprlate b8sed on the strong cash position which enables the charitsble company to 8U8lain ils bu8in888 and meet ils liabilities as they fall duè despite thè Covid- 19 ¥ilLlO1ion. Management hay Stress tested Iheirforeca81s which indicate that the charrtable company has suffielent Cash lo susl8in ils business for at least 12 months from the dale of the 8igning of the 8udll report thus 8UPWrting ihe assertion to prepare the accounts on a golng concem basis, despite uncertainty surrounding how tha Covid-19 siluab'on will impact Ihe business over th81 period. The charitable company wll conb'nue to monitor the Si￿¥110n closely and adapt to changing ways of doing business over tt)e coming months. FUTURE DEVELOPMENTS The Trust 18 currently supportbng the Local Aulttority with a Built Fa¢ilitie$ Slrolegy os part of an overall borough strategy lo support improvements in Health and education, growng employment opportunities and providing good quality service8. 16 SANDWELL LEISURE TRUST TRUSTEES. REPORT for the year to 31 March 2021 TRUSTEES REPORT APPROVAL This report has b88n prepared in accordarte wilh the Statement of RLummended Practice - Aecountsng and Reporbng by Charrtvés. In preparing this report, Ihg trustees have had due regard to the Charity Commission Guidance on public benefft. The Trustees, Report, in¢orporatiryJ both the Strategic Raport and tho Govemance Rettyyt, is approved by the Tru$lee$, by whose aulhorty il Is signed b810w'. L BATEMAN Chair Kxt. 2021 17 SANDWELL LEISURE TRUST TRUSTEES, REPORT for the ear to 31 March 2021 ststement of Tfu$tee•' responsibillties The trustees (who are also directors of Sandwell Leisure Trust for the PUTpcses ol company lawl are re8ponsible for preparing the Trustees, Report and the financial slalemenls in accordance wlh applie4blè law and Unitèd lQngdom Accounting Standards (United Kingdom Generally Accept8 Accounting Practice). Company law requir8$ the trusl8gS to prepare financial slalements for each finanual year which give a true and fair view of the state of affairs of the charitable company 8nd of the incoming resources and application of resource¥. including the income and expenditure, of the charity for that pgriod In preparing these financial slalements, the Iruslees are required lo.. select suitable accounllng pollcies and then apply them con8lStenlly, ob50rve th8 method5 and principles In the Chariti88 SORP.. make iudgem8nts and eslimolos that are reasonable and prudent,, Stale whether 4ppli¢ablo UK A¢¢ounting Standards have been followed. subject lo any malerS8l departures di$clo$¢d and oxplain•d in th• finano'81 slalom¢nt8', Pf8P8re the financial statements on the going concern basis unlèss il 1$ inappropriate lo presume that the charllable company wlll continue In bu$lnes8. Th• trust•e$ •r• re8pon8ible for kee￿ng proper 4ccounUng record8 that di8clo8e wlh reasonable accuracy 81 any tsme the financial position of the charitable company and enablo thèm lo ensure that the finandal $lal&m¢nl$ ¢omply with the Companies Act 2006. They are also responsible for Safeguarding the assets of the charitable company and hence for taking reasonable 8lep8 for th8 prevention and detection of fraud and other irwularilies. 18 INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF SANDWELL LEISURE TRUST Oplnlon We have audited tha finanoal 6lal8ment5 of sand￿￿11 Leisure Trust Ithe'c*arrtabk r￿MpanY') forthe year ended 31 M8r¢h 2021 whith eompri8è the Staternent ol Financial Activrties, thè B81gnce Shaet. the Statement of Cash FlrM8 and nota lo the finaneAal #tatement$, including svJnifunt aerL)unting polic￿. The financial ￿porting framework that has boon applied in their preparatson is applicable law and Unilad Kingdom Accounting Stan¢Jards. ndudiFvJ FRS 102 'The Financial Reporling Stsndard applicable in the UK and Republ￿ of Irelan(J' (Llnited 'ngdom Generally Acxeptsd Accounting PractKel. In ouropinion thè finondal statements.. give a true and fair vlew ol th8 stsle of the chadtable companls affairs a8 at 31 March 2021 and of it8 incerning resources and application ol ￿aOUrces. indudiro Its Income bnd expenditure, for the year then èrtr#ed," have bo•n prcperly prepared In acLordance wth United Kingdom Generally AccepteA Accounting Pradice., and hth be•n pr•pAr•d In ac£ord8ne• wrth the requiwn*nl8 ofth• Comp8nl•8 Aet 2006. a818 for oplnlon We o)nducte 18,685.4001 Fund• at31 M•r¢h 2021 116,019,512) 32,865 115,986,847) {4,898,2891 The Income and *xp¢ndilure for the year ari88 from thg charity'8 continuing operations. All gains arvJ1088e8 reeognised in the year are Included above. SANDWELL LEISURE TRUST BALANCE SHEET 31 March 2021 Company Registration No: 05011501 |**Note**
**Fixed assets**
**Tangible fixed assets**
**5**
**Current assets**
**Stocks**
**6**
**Debtors**
**7**
**Cash at bank and in hand**
**Creditor: amounts falling**
**due within one year**
**8**
**Net current assets**
**Net assets excluding pension scheme liabilit**
**Defined benefit pension scheme liability**
**16**
**Net (liabilities) including pension scheme liability**
**Represented by:**
**Restricted funds**
**10**
**Unrestricted funds:**
**General funds**
**11**
**Designated funds**
**12**
**Pension fund**
**Total unrestricted funds**
**Total (deficit)**|**2021**
**£**
**967,305**
**20,273**
**450,315**
**3,708,690**
**4,179,278**
**(1,768,230)**
**2,411,048**
**3,378,353**
**(19,365,000)**
**(15,986,647)**
**32,865**
**1,399,515**
**1,945,973**
**3,345,488**
**(19,365,000)**
**(16,019,512)**
**(15,986,647)**|**2020**
**£**
**1,187,525**| |---|---|---| |||**27,647**
**154,436**
**4,064,269**| |||**4,246,352**
**(1,485,166)**| |||**2,761,186**| |||**3,948,711**| |||**(8,847,000)**| |||**(4,898,289)**
**32,820**
**3,375,891**
**540,000**
**3,915,891**
**(8,847,000)**| |||**(4,931,109)**| |||**(4,898,289)**| **The financial statements on pages 22 - 39 were approved by the board of trustees and authorised for issue on 21 December 2021 and are signed on its behalf by:** 23 SANDWELL LEISURE TRUST STATEMENT OF CASH FLOWS For the year ended 31 March 2021 2021 2020 Cash flows fr¢m opèrntlng actlvltles: Net cash lused inllprovided by operating activitie8 {306,6631 349,810 Cajh flo￿ from In¥•8tlng activiti•8: Inlere8t Purchase of tsngible fixgej assets 1,471 150,3871 15,798 {248,8501 Nel cash lu8ed inl investing 8dvity'e8 148,9181 1233,0521 Incraase in cash and cash equlvalents in tho year 1355,579> 116,758 Cash 8nd c88h equivalents at the beglnnlng of the year 4,064.269 3,947,511 Totsl ¢8$h and cash ￿U•V81¢nI¥ al the end of the year 3,708,890 4,064,289 RECONCILIATION OF NEf IEXPENDITUREI TO NEf CASH FLOlhE FROM OPERATING ACTIVITIES 2021 2020 Nel (axpandlture) as per the SOFA 11,482,358 11,100,889) Depreclalion Intere81 Decr8a8e in stocks llncrea8el1dec￿aSe in debtors Increagelldecrea881 in creditors Defined benefit pension 8chome 270,806 11,4711 7,374 1295,8791 283.084 912,000 291,S45 115.7981 6,880 42.056 {224,9651 1,351,000 Nel ca8h luBed in)Iprovided by operating 8GfjviJe8 1306,6631 349,810 ANALYSIS OF CHANGES IN NET FUNDS 2020 Cash flow 2021 CaBh In hand and at bank 4,064,269 13S5,5791 3,708,690 Net fund8 4,064,289 1355,5791 3.708.890 24 SANDWELL LEISURE TRUST ACCOUNTING POLICIES GENERAL INFORMATION San¢thvell Lelsure Tru8t 18 a chanty, registered with the Charity Commission in England and Wales, and o private cornp8ny limited by guorantee, incorporated in England. The addrg$s ol the Charity's registered office is Carnegie Building, Victoiia Road, Tipton, West Midlands, DY4 8SR. Ils pnncipal activty is the managlng of sport8 and leisure centres in sanc￿￿11. BASIS OF ACCOUNTING The accounts lflnanckql slalemenlsl have begn prepared in accordance wlh the Statement of Recommended Practice.. Accounting and Reporting by Charities preparing their accounts in accordance th the Financial Reporting Standard 8pplie8ble in the UK 8nd Republic of Ireland IFRS 1021 issued on 16 July 2014 and the Financial Reporting Stsn¢Jard applicable in the United Kingdom and Republl of Ireland IFRS 1021 and the Charities Act 2011 and UK Generally A¢¢opted Practs'ce as it applies Irom 1 January 2015. The financi81 statement8 8re prepared in sterling which 1$ the functional currency of th• ch8rity. Monetary amountg In these financlal 51atemènts are rour¥Jed to the nearest £ unl888 Othémise stated. sand￿11 Leisure Tru8t me8ts tho d•finition of a public benefit entity undgr FRS 102. A88ets arHJ Ilabilits'e8 are initially recognised al hi$lorfcal c081 or Iran8acllon valuo unle89 othep*i8e 8taled In the relevant accounts'ng pdicy. The principal accounting poliues adopted, iudgemgnt8 and key sources of 88timats.on uncertalnty in tho preparab'on of the financial 8talernents are set out below.. GOING CONCERN At the lime of approving the financlal slalements. the trusta8$ have a reason8ble expectstion that thè charilablg wmpany has adequate resources lo continue in oporalional existence for the fore8aeable future. ThLbS, the Iru8tee8 conllnue lo 8dopl thé golng concern basls of ac¢oun￿ng In preparing the financial 8latemenl8. The Tru81 ha8 nel liabilitie8 of £15,986,84712020.' £4,898,289) al 31 Marth 2021 due lo the #Sgnlflcant defined tenefrt pen8ion Schem¢ liabillty of £19,365,00012020'. £8,847,0001. Following the unwiointy presented by Covid-19, m•n4gomtnt ha8 re888e88ed the going concern assumption confirms that il remains appropriale based on thè strong cash and net a8sel wilion which enables th¢ ch8nl8ble ccmpany to sustain its busines8 and meet rt8 liabilib'e8 as they fall due desprte the Covid.19 sbtuallon. Management ha8 8tr888 te81ed their forecast8 which indlcale that the tharrtable company has sufficient ¢ash to su8lain r(s busine88 for al least 12 months from the dats of the signin9 of the 8udil report thu8 $uppK*rting the 88gertion to prepare the accounts on a gobng concem basis, d88pile uncertainty Surroundlng how the Cowd-19 $ilualKJn wll impact the bu81ne88 over that p8ricd. The chantable company wll continue lo monitor the 8Itualion dosely and adapt lo changing ways of th)ing business over the coming months. INCOME Oth•r tradlng actlvltle$ Income from Ihg operation of calerlng la￿litIeS is induded in inenme In the period In which the ¢hO￿ty become8 enlrtled lo the receipt. Incomè from ¢harltabl• actfvitle• All in￿rne {predomin8nlly from Ihg oporalion of sports centres 8nd the gow course} is recognised in the period in vthich11 Is eamed Ilhal is, as the related good8 or seryices are providgdl. 2S SANDWELL LEISURE TRUST ACCOUNTING POLICIES INCOME Iconb'nued) Grants rneèivable Ravenue and capital grants receivable are recogni5gd in the Statement of Flnancial Adivitie$ when ondilions altaching lo the grant are satisfied. Grants ￿ceNable for caprtal expenditure are maintained In a r•stri¢ted fund to vthlch depreciation of the relevant a8set 18 ch8rged. Government grants linduding CJRS claims) are recognised at the fair valufy of the asset receiveil or receivable when there is rea8on8bl8 888urance that the grant condth'ons vhll b8 mel and the grants wll be received. Membershlp Incom• Ine£Jme from Membershlp (Golf Season Ticke18 and One Card) is reco3nisod over the peritsa covèred by tho Membership, Incomè from Inv•stm•nts Investment Income is recogni8ed on a r¢¢eivalle basis. oth•r Incomè Other income is r¢¢ogni8od as earned. EXPENDITURE Liabilitie¥ ar8 recogn180d 8B expenditure as Soon 88 ther• 18 a legal or con8lructlve obligation ¢ommitting the charity lo the expenditure. Expenditure is recognised in Ihg period in whlch the liablllty 18 IrKurred. Expenditure includes ottributable VAT, which cannot b8 recovered. Expenditure on charitable activities Is allocated lo the partlcular aclivlty where tho co¥1 relates directly lo that actsvily. ￿ere costs are atlfibulable lo more than one aclivily, the costs are apportloned across those aclivilie8 on the bo¥is of an estimate of their u8age. Governance co818 are th080 CO818 incurred In connectlon with admlnl8lralion of th8 Trust and ¢omrdpance wrth con8tllutlonal and statutory requirement8. FUNDS Funds hold by the Trust are either.. Unre8lricled general fvnds these are lund8, whlch Can be used In accordance vllh th• charitable objects al the di5crebon of the Iru81888. Pension fvnd lunre81rict8¢Jl- these are funds repre8enlng tho defined benefit pen8ion 8cheme oblig81ion. Designated ftJnds- these are unre¥lricted funds that have been sel aside by the Tru81e88 lor Particular purpose8. These fund5 are reviewed annually. Reslrided funds- these are fiJnds that can only be used for particular re¥lri¢led purposeswilhln the objects oflhe Trust. Reslri¢lion5 arisg when 8pedfied by the donoror when funds are r8ised for particular rgstricted purposes. Further explanation of the nature and purp(Ise of each re8tr1clad lund is included in t￿ note8 to th8 financial statements. TANGIBLE FIXED ASSETS Individual fixed assets co8llng more than £1,000 are capitalised al ￿91. Fixed ossets are staled al historical cost, less accumulated depreciab'on and any provlsion for impairment. 26 SANDWELL LEISURE TRUST ACCOUNTING POLICIES TANGIBLE FIXED ASSETS IGontinL*d) Depredation is provided on all langiblefixed assets lexduding f￿ehOld landl at rates calcLblaled lo wrrte each asset down to ils ests'mated residual value evenly over its expected u8elul life. as follow8:_ Plant and Machinery Sports Equipment IT Equipment Office Equipment 7 years 5 year¥ 3 years 5 years The Trust charg88 a full yearfs depreGlafjon in the ye8r of acqulsilion and no depredation in the year of dl8posal. Relurbishmenl works are capitalised and wI￿on off over the estimated life ofthe 8cheme from the date the project is complete and open lo the wbllc. Refvrbishmenl works are depreciated over their expe¢tod usefLbl Ilfe of 10 year5, STOCKS The Trust hold8 8POrts equlpmenl for resale lo.g. Swimming goggles) and vendirvj Stock. Stocks are valued al the lower of cost and nel realisablo value. Net reallsable value 18 based on osti'maled selling price less further costs expected to be incurred lo dispo981. Provi8lon is made for ob8olele and 81ow movlng i1om8. LEASED ASSETS AND OBLIGATIONS AJI lea88s are operalirvJ1008•8 And th& annual rent81s arn expensed on a 8traight-line ba￿6 ovorthe lea8e lami. RETIREMENT BENEFITS For defined benefit schernes thè amount charyed lo the Slalemenl of Financial Activities in respecl of pension co815 and other posl.relirement tenefitS IB the eslimaled regulaf cost of pr¢¥i¢Jing the benefit8 accwed in the year, adlusted lo reflect vari8tion8 from that CO81. Actuarial gains and 1088e8 ari81ng from new valu81ion$ and from updating valuations to the balance 8hogt date are reeogn188d in the SOFA Defined b¢nefit schemes are fuTrJe(l. wth the #89818 held aeparalely from the ¢harflable company In separate trusts6 admini81ered lund¥. Full actuarkgl valualk*n8, by a profo9$ionally oualSfied actuary, arg obtained 4t lea8t every three years. and updated lo reflect currgnt condilKJn8 81 each balance 8heel dale. The pension Scheme a¥se15 are measured al lair value. Tho pension Scheme liabil￿.e$ are measured uslng the Pfojecled unrt credrt method and discounte(141 the current rale of return. A pénsion 8cfieme a88el 18 recognised on ihe 881ance Sheet only to the extent that th8 8urplus may b8 recovered by reduced future eonlributlons or lo the extent that the trustees have agreed a refund from the scheme at the balan￿ Sheet dale. A pension scheme liability is recognised lo the extent that the company h88 a legal or con8tructive obli9alion to 8glUg the liability. EMPLOYEE BENEFITS The costs of short-term employee benefits are Tecognlsed 88 a liability and an ¢xpen8e, unle88 tho$8 costs are required to be recogni8ed 4$ part of the cost of stock or fix8d assets. The cost of any unu8ed holiday enliuemgnl i¥ recognised in the period in which the employee'8 8ervice8 are received. Temlnatbon benefits are recognised immedlatety as an expens6 when the company is dernonslrably committed lo lerminate the employment of an employeg or lo provide lerminalion benefrts. 27 SANDWELL LEISURE TRUST ACCOUNTING POLICIES FINhACIAL INSTRUMENTS The Charity only ha3 financial as9ets and liabilill88 of a kind that qU81ify as basic financial instruments and are not considered to be of a financial nature. Such finanaal inslrumenls, except for investments cla88rfied atfairv81ue through the Slalemenl of Financial Adivilies, are Inllially recognised atlran8acb.on value and subsequently measured at Ih&r settlement value. Debtorn Fees receNable are re¢ogni8ed at the selllement amount due after any trade discounts offered. Cash at bank and In hond Cash al bank and c88h in hand includes Gash and mon￿3 on ¥hort term deposit, al the bank and other short-lem liquid inve8lmenl$ with origin81 malurib'es of three months or less. Cr•dltorn Creditors are rèeognised where the Charity has a present obligation rgsulling from 8 past event that wll probably resutt in the transfer of funds lo a third party and the amount due 10 8ettl& the obligation can be measurad or estimated reliably. Credrtors ar¢ Th)rmally reeognised al their settlement amount allowing for any trad& discounts du•. CRITICAL ACCOUNTING JUDGEME￿s AND KEY SOURCES OF ESTIMATION UNCERTAIW In the application of the charlty's ac¢ounling polideg, which are de8cribed 81)ove. the Tru$lees are required lo make judgements, 881im81es and a88umptlons about the c8rrylng amounts of as8915 and liabillties that are not readily apparent from other sources. The e81irnales and a¥¥oclated as8umplion8 are based on hi8loric81 expen'ence and other factor8 that are con8Klered lo b8 relevant, Actual r88uIIg may dlffer from these as￿rnates The gslimales and underlylng 88$umplion8 are revievKfl on an ongolng ba818. Revi8lon$ lo accountlng 981imale8 are ￿COgnised in the p8nod in which the estimate is r8vis¢d if the revision affect8 only that pgriod or in the period of the revl8ion and future p&nodJ if the revislon affects both currènt 4n(I future penods. The esllmales and a88umptlons that hav• 8 81gnificanl risk of causlng a mateTial adlu8lm8nl lo the carrylng amoun18 of a88elB and liabilittes within the next financial year are discu85ed below. Defin•d 8•n•llt P•n•lon 8chem• Actu*rl•l a•sumptlon• The pre8enl value of the defln8d benefft pension Scheme liability depends on a number ol fact￿8 that arg delermlne¢J on an actuari81 ba*8 using 4 variety of assumptions. The assumptions u8ed in determining the nel co81 lor pensions indud8 the discount rate. Any changes in these a8sumplion8, wthiGh are di8clo$&d in note 16, will impact the carryin9 arnounl of the pension liability. 28 SANDWELL LEISURE TRUST NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2021 NET EXPENDITURE 2021 2020 Nel experKliture is staled after thargirvJ-. Depreciation of tangible fixed assets.. Owned assets Operating lease rentals - plant and machinery Audrtor's reMUnerat￿n as audite4 - other service8- VAT advi¢a Intsmal audit 270,6C 291,545 115,551 110.044 21,110 2.000 12.300 14,441 4.000 18,000 INCOME FROM CHARITABLE ACTIVITIES Totsl Fund• 2021 Tot•1 Fund• 2020 Unrnstrlct Fund¥ Ro•trlct•d Funds Incomg from operation of 8POrt8 fecilities 1,283.696 1.283.696 7,512,251 Grant8 Im8nagement fe￿> 2,779,884 45 2,779.909 2,904.Ce9 CJRS Income and Covld grant8 3.240,258 3,240,258 7.303.818 45 7.303,883 10,416,320 ANALYSIS OF TOTAL EXPENDITURE Unr••trlthd Funds Ponslon R••orrfg RMtrlct•d Fund• Tolal Funds 2021 Tot•1 Funds 2020 Oth•r tradlng •Gtl¥ltl C081 of goods Jold Other 10,194 7,836 10,194 7,836 134,853 5,351 17,830 17,830 140,204 Charliable 4ctlvltlo8 Stsff c08ts (Xher employee costs Premises TranskX)rt Profe88ional foe8 Dekyecialion Other Govemance costs 5,528.225 75,683 1,017,433 711,000 6,237,225 75,683 1.017,433 7,842.450 316,923 1.593,671 51 20,999 291.545 1,701.431 47,511 22,527 270,606 1,125.120 46.903 22.527 270,606 1,326,120 46,￿3 201,000 8.084.497 912,000 8,996.497 11.814,581 29 SANDWELL LEISURE TRUST NOTES TO THE FINANCIAL STATEMENTS For the ear ended 31 March 2021 ANALYSIS OF GOVERNANCE COSTS Unrestrfcted Funds P•nslon Reserve Rostrlctod Funds rotsl Fund¥ 2021 Total Funds 2020 Legal c05ts 33,410 33,410 32,441 Tru8tee Indemnity Insurance 578 578 439 Staff costs relab'ng lo preparation and attendance al trustee meetings 12,915 12.915 14,350 Other 281 Total 46,903 48.903 47,511 Sleff costs h8v• been allocated in accordance wllh the percentsge of Ilme spent by employee8. Al othèr C0818 have been all￿ated on a direct b8818. TRUSTEES AND EMPLOYEES No remuneration is paid lo ony Iru81e8 {directcil in re8pect of their service as Trustees, No expenseB were reimbursed lo truslee812020.' no Iru81ee81 during the peri¢xI12020'. £nil). Trustee indgmnity in8uran¢o of £57812020.. £4391 was pur¢ha8ed during the year. 2021 2020 Staff co8t• Wag98 and salarie$ Soclal Security c08ts Pension c08ts 4,858,018 289.112 1.305.009 5,634,457 418,903 1,803,440 8,250,139 7,858,800 2021 Number 2020 Numbgr Average numbgr of per80ns employed, including executive dlrector8 IFTE) 164 190 Average number of pgrsons employèd, includin9 gxeculive director8 (head count) 424 485 Thes9 employee8 cary out a variety of dutie8 includlrKJ dirpLt charttable, management and admini5tratson tssks. 30 SANDWELL LEISURE TRUST NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2021 TRUSTEES AND EMPLOYEES (CONTINUED) One 12020." one) employee earned in excess of £60,000 during the perii)d. Th15 ￿plOYee earned be￿een £80,000 and £￿,00012020, One). Pension contributions in respect of higher paid staff amounted lo £13.95612020'. £13,180). Ono hlgher paid staff member is accruing benefits under the defined benefrt pension ￿herne. Remuneration paid to key management ￿r￿Onnel lirKluding the above, employerfs pension contributions and employer's NatiC￿al Insurance} was £265,412 (2020.. £265,438). Redundancy and tsmination payments Pold during the pefi¢xl amounted to £42,33612020'. £nill. One employee 8eNed ao a Trustee. The total remun¢r•ts'¢X during the peric¥J lindudlng employels pen5i0n eonln"butions, employerfs Nats'onal Insurance, redundancy & termlnalion cos181 was £14,447 12020.. £17,504). No other remuneration was paid lo a Tru$l4e. TANGIBLE FIXED ASSETS Frnehold R•furblshm¢nt Plant & Sport• IT & Offlco l•nd 08t• Machln•ry Equlpmont Equlpmont Tot•1 Co•t At 1 Ayil 2020 Additsons 487,828 2.169,588 200,520 1,301,107 828,596 4.967.835 50,387 50,387 31 March 2021 487,828 2,169,588 200,520 1,301,107 878,983 5,018,022 Dèpr•cl•tlon Al 1 April 2020 Charge for year 1,790.717 119.079 138,851 14,235 1.035,438 109,203 815,304 3,780,110 28,090 270.808 31 March 2021 1,909,796 152,886 1,144,641 843.394 4,050,717 N•t book •mount 31 March 2021 467.828 259.790 47,834 156,486 35.589 967,305 31 March 2020 467,826 378,889 81.869 285,669 13,292 1,187.525 6 STOCKS 2021 2020 Goods for resale 20,273 27.647 31 SANDWELL LEISURE TRUST NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2021 DE8TORS 2021 2020 Trade d8blor8 other debtor8 Pr8paymenls 29,683 414,889 5,943 142,318 8,886 3,234 450,315 154,438 Included within other debtors 8bove are amounts due after more than one year of £13,400 (2020.. £10.8711 in respect of car loans to 8t8ff who qualify under their Tomis and Condllion8 of Seryice. 8 CREDITORS.. Amourts tslling due within one year 2021 2020 Tr8fle creditors Other t8xalion and 80cial 8ecurity Olhef creditor8 Accwals and deferred Incoma 131,018 155.637 245,725 1,235,850 183,228 220,617 86,034 995,287 1,788,230 1,485.188 DEFERRED INCOME 8alance 8$ al l AF¢il 2020 Amount releasèd lo income AM￿nI deferred in the year 212,648 1212,84BI 237,054 Balanc• as at 31 March 2021 237,054 Deferred Incomo represent8 prepaid membershlp income for the coming year and hlre of ladlrtie8 income received in advanctr. 32 SANDWELL LEISURE TRUST NOTES TO THE FINANCIAL STATEMENTS For the ear ended 31 March 2021 10 RESTRICTED FUNDS The funds of the tharity indude restricted fvr￿s hdd on trust to be applied for speafL purposes. Mov•m•nt In Funds 8al•nce Balanc• 31 March 2021 2020 In¢om• Expendlturn Trnnsfern 17.970 45 18,015 Physical P£liwty 8oard 12.420 Street Game8 12.420 Athve CIIIzwi8 2.430 2.430 32,865 Total 32,820 45 PrlorYo•r Mov•m•nt In Fund• 8Jlance 1 Aprfl 2019 Balanco 31 March 2020 In¢¢)m• Exyndltur• Tran¥forn Phy8uI Actlvlty Board Street Games 11,037 8,933 17.970 12,420 12,420 2,430 Activ• CilLzen8 2,430 6,933 32.820 Total 25,887 Phy•lc*l Actlvlty Boartl This fund represents the conlribulion8 to tho Phy$lcAI Actlvlty Board from SLT and othef partner8 Such 88 PCT, and Sptsrt Colleges lo support vnrk in the voluntary 8ector. sir•etGamo• The grant from StreetGames will be used to fund activity In partngr8hip with SlreelG8mes. induding weekly activity for local young people in $port$ which may in¢ludg football, basketball. criGkel, $treel cheer, cycling elc. In addition, school holiday sports programmes and events such as bmxing leslival. The activity wll be I￿U89d on the most deprived areas of We81 Bromwich, Smelhwick, Tipton, Rowley and Oldbury. Acllv• Gltlzons This grant 18 from the Police and 18 aime(l al intervention around physical acllvity for non-spoty girlJ. Moliv8tional PTogramme8 are developed for girts not achieving, orwlh behavioural problems, life issues. poor school attendarKe8 etc. 33 SANDWELL LEISURE TRUST NOTES TO THE FINANCIAL STATEMENTS For the ear ended 31 March 2021 11 UNRESTRICTED GENERAL FUNDS 2021 2020 1 April 2020 Nel lexpen¢Jilurelllncome Transfer lo dosignated fund 3,375,891 1570,403) (1,405,973) 3,132,713 243.178 31 March 2021 1,399,515 3,375,891 Genoral Fund8 includ8 an amount lor the Ryland Repair Fund. 12 DESIGNATED FUNDS 2021 2020 1 April 2020 Transfer from unrestricted general fund8 540.000 1,405,973 540,000 31 Mar¢h 2021 1,945,973 540.000 84ndw•ll Aquatlc8 Fund During 2L119-20, the Trustees de8ignaled £540.000 lo help wpport the Councll In the del+very of the Sandwell Aqualic5 Centre Ryland R•palr Fund In 2020-21 Twslees designated £185,373 to thè Ryland Repalr Fund lo dgal wrth all major Ilfocyclo maintenance issue8. Indudlng the ffjplac4menl of the alhlelics track Redundancy Fund In 202Ch21 Trustees de8pnaled £240,000 lo deal with fLrture redund8ncy eo818 associated with clo8lng facilitie8 in prepoialion for when tho new Sandwell Aquotic Centre is operaliond. Bu•lno88 Plan 2021-2023 Fund In 2020-21 the Truste88 design8led £313,400 of re8eThe8 lo support the 2020-2023 8u8lneJ8 Plan Inve•tm•nt Portfollo Fuftd In 202LL21 the Trustees de$lgnaled £500,000 to support the development of an investment slralegylportfolio to generate incre85ed Income and thereby enabling the Trust lo reduce Ihg Management Fee in future years. The process commenced February 2020 bLrt pul into $bey8n¢e following the outbreak of the Covid-19 pandemic crisls, EnerBY Savlng Opportunltlo• Fund In 2020-21 Trustees designated £100,000 towards Inve81ing in new energy efficiency prole¢ts across SLT facililles which will lead lo roduced carbon fcolprint. reduced eneigy Costs. which again will hdp lo r¢duce the Monagemenl fee, W•dne8bury Lel•ure Centro Sauna In 2020-21 Trustees designated £35.000 for the installation of the sauna & steam facillly at Wednesbury LC, which is *ill an oulstsnding commitment, subject lo agreeing a final ￿an wllh SMBC. 34 SANDIfiELL LEISURE TRUST NOTES TO THE FINANCIAL STATEMENTS For the ear ended 31 March 2021 12 DESIGNATED FUNDS ICONTINUEDI Trnnsformatlon Fund In 2020-21 the TTUStees designated £30,OOOtowards Implementing additional modutes Ihatwll generate more efficiency for example Rostering, once we have gmbedded Recruitment and Selectic￿. TSA IHadley Project Fund In 2020-21 thè TnJstee8 d88lgnated £25,000 to develop an 1r￿me-98nerats.ng project al either TSA or Hadley P•riner8hlp Fund In 2020-21 thè Truste95 design8led £10,000 to Professional feas for negots'alions to investigate the potential of a partnership with the Alblon Foundation to use Hadley In ratum promier league investment on the 511e. 13 ANALYSIS OF NET ASSETSI{LIABILITIESI 8ETWEEN FUNDS Unrn8trf¢t•d R8•trl¢t•d Funds Fund* Tot•1 2021 Total 2020 Tanglble fix8d assets 967,305 987,305 1,187,52S 27,847 Stocks 20,273 20,273 450,315 450,315 154,438 Debtors Cash at bank and In hand 3,875.825 32,885 3,708.690 4,064,289 Cr•JIl￿8 due wthln one yaar Dellned benefit penslon 8cI)eme 11,768,230) {1,7e8.230) 11.485,166) 119,365,000) 119,365,000) 18,847,tsJOI N•t au•tsllll•bllltlM) 116,019,512) 32,685 (15,986,647) (4,898,289) Prlor ye•r- 31 March 2020: Unr•slrfctèd Fund8 Ro•trlct•d Fund• Total 2020 Total 2019 Tangible flxed a88ets Stocks 1,187,525 1.187,525 1.230,220 27.647 27,847 34,507 D8bt(Ys 154,436 1 $4,436 196,492 Cash al bank and in hand 4,031,449 32,820 4,064.269 3,947,511 Creditor8 due within one year 11,485,166) 11,485,186) 11.710,130) Defined ben￿t pension scheme lIa￿'11fy 18,847,000) 18,847,000) {10,384,0001 Not •B8etsllllablllllM) 14,931,109) 32,820 (4.898,2891 16,685.4001 35 SANDWELL LEISURE TRUST NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2021 14 COMMITMENTS UNDER OPERATING LEASES 2021 2020 At 31 March 2021, th8 Charity had lolal future commiln7ents under non cancellable opèr81ing le88e8 as follows.. Plant and machinery.. Amounis wlhin one year Amounts within cne to five year5 39,197 202 44.704 520 39,399 45,223 15 TAXATION The company. which is a reg18tsred Charity, 18 6xampl frofft laxaiion on Its charitable acb'vities. 18 PENSION COSTS Delln•d b•nèfit •ch•mg The Tru81 partl¢ipale8 in a pensknn 8ch¢me operated by the West Mld18nds Pension Fund, Th• Wesl Midlands Pension Fund is a fvnd&l $cheme, vllh the asset8 held in ¥8parale Iruslee ¥dminislered fund8. There We￿ out8landing cMthbution8 of £68,928 12020.. £75,454) al the year end, Included within other crfjdith. The Charity expects lo make Contri￿tIOnS in the year ended 31 M8rch 2022 01£611,00012027.' £888,000), The followng information is based upon 8 full actuarial valuation of the Fund al 31 March 2017 upaated to 31 March 2021 by a qualified independent actuary. At 31 M•rch 2021 At 31 March 2020 Rate of Increaje In 8alarie8 Rale of increase in pen$ion$ in payment Dlscounl rale Infl8b'on a￿UMptIon 3.8% 28% 2.8% 2.05% 2.8% The Current mort81ily a8sumplions included Sufficlenl allowan¢e for future Improvem￿18 in mortalSty rate3. The assumed life expeclab'ons on IElirement ago 85 are.. 2.35% At 31 March 2021 At 31 March 2020 Reliriry loday'.- Males Female$ 21.6 23.9 21,9 24.1 Retiring in 20 yearn... Males Fem8le8 23.4 25.8 23.8 26.0 36 SANDWELL LEISURE TRUST NOTES TO THE FINANCIAL STATEMENTS For the ear ended 31 March 2021 16 PENSION COSTS Iconts'nuedl The fair value of the a88ets in the scheme was.. 2021 £000 2020 £000 Equille8 Gov¢mrnent Bond5 other Bonds Property CaBh Olh8r 17,095 2.890 1,114 2.098 1,734 4.087 13,705 2,798 1,006 2,141 3,581 Total falr value ol as8tl8 29,016 24,075 2021 2020 £000 Trust's e8timaled asset share ple￿nI valu8 of 8ch•me Ilabilltle8 29,018 {48,3811 24,075 (32,9221 Deficbt in $chem• 119.385) 18,84n ANALYSIS OF THE AMOUNT CHARGED TO STATEMENT OF FINANCIAL ACTIVITIES 2021 £000 2020 £000 609 {1,3021 650 {1,3831 (3551 12471 {161 Employer ccntrfbulion8 Current servi¢¢ cost Pa8t service co81 Nel inlgresl co81 Adminiotration expon 12011 {17) 19121 (1,3511 Analys18 of thè amount charged to actuarfal IloMe•VgJln• on deflnod bon•flt p•n•lon 8ch•m• Reme8surement81898Ot61 Olher aGluarial gains on as8et$ Experifjnce gains and losses on liabllitles Change in demographic assumpts'ons Change8 in as8umption8 2021 £000 2020 £000 4,099 11,6121 339 407 (14,451) (5451 18181 5,519 Actuarial11088llgain rgeognised in SOFA 19,6061 2,888 37 SANDWELL LEISURE TRUST NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2021 16 PENSION COSTS (conlinu8dl Cumulative ￿￿ana1108seS recognised in the SOFA lotslled £9,901,OIJO {2020.' £295,000 lossl. 2021 £000 2020 £000 Movemont In deficlt durfng year Deficit in scheme at beginning of year Movemfjnt in year.. Cufrenl service cest Pos18ervpce co81 Conlribulion8 Nel return on asse18 Actuarial Ilossllgain Adminislralive expenses 18,8471 110,384) 11,3021 11,3831 13551 850 12471 2,888 <161 809 1201) 19.6061 1171 Deficit in 8cheme al end of year 119,365) 18,8471 Asset and Llablllty roconclllatlon 2021 £000 2020 £ooD Reconclll•tlon of Ilabllltl88.' Liabilities 8t start of year Current 86rvice cost Inte￿￿1 c08t Member conlributlonB Retum on asso18 le$8 inl¢re81 Change In demcgraphic assumption8 Experience1088 on defined ben6fi1 obligation Benefits paid Past 58Nl¢e ￿1 32,922 1,302 770 236 14,451 1407) 13391 (5551 34,702 1,383 265 15,5191 818 545 14751 355 Liabillti88 al the end of year 48.381 32,922 R•conclllatlon ol a8•9tJ'. Asset8 al start of year Interest on plan asset8 Actuarial gain￿(103598} Adminislr811ve expenBe Employer contribution8 Member contributions Benefits p811Y Other acluarlal galns 24,075 569 4,099 1171 24,318 601 (1,8121 116) 650 265 14751 344 236 {555} Assets al the end of yeer 29.016 24,075 The aclu81 return on scherne assets was £4,668,00012020.' 1088 of £1.011,000). Under the Management gnd Funding Agreement IMFAI with Sondwell M8C, the Council bears the risk ol ch•nges in the superannuation contribution rate for the e$labli8hment that Iransfefrad lo the Tru81 on 1 Ap￿1 2004 and the Trust'8 Management Fee 1$ adjusted lo roflecl this. As a result. the Trust only bears the risk of any shortfall ￿le(ing lo additional superannuation costs il ha5 incurred ovor and above the amounts funded by the Council. In FY2020121 the level of management fee relatin9 to superannuation covered the Trust's actual expenditure. 38 SANDWELL LEISURE TRUST NOTES TO THE FINANCIAL STATEMENTS For the ear ended 31 March 2021 17 CCVAPANY LIMITED BY GUARANTEE Thé ch8ritsbl8 company is limit•d by gu8fante8 •m￿ntIng to £1 lor each member in •v•nt of the Chttrits￿e ¢ompany being wound up. 18 COMPARATIVE STATEMENT OF FINANCIAL ACTMTIES Total 2020 Fufid• Fund• Incom• from.. Charltablè Ath¥￿•1 Ot1￿ Iradlng acllvrtlej Investments 10.409,387 421,778 15,798 8,933 10,416,320 421,778 15,798 T¢)tsl Inc