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2021-03-31-accounts

Part of Worcestershire YMCA

REPORT AND FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

Our vision is of transforming communities so that all young people truly belong, contribute and thrive

Worcester YMCA Company No: 05056873 Charity No: 1102766

WORCESTER YMCA

CONTENTS

Page
Report of the Board 3
Report of the Auditor 14
Consolidated Statement of Financial Activities 18
Consolidated Balance Sheet 19
Consolidated Statement of Cash Flows 20
Notes to financial statements 21

WORCESTER YMCA

REPORT OF THE BOARD

The Board is pleased to present its report and audited financial statements for the year ended 31 March 2021.

Reference and administration information

Charity Name Worcester YMCA Charity Registration Number 1102766 Company Registration Number 05056873 Chief Executive Annette Daly Company Secretary Wendy Poole

Board

The Board is composed of the following individuals:

Mike Higley Jacintha Hodgson (resigned 21 December 2020) Philip Simpson (Chair) Simon Hill Dr Juliet Horne Diana Drew

Members of the Board are directors of the association for the purposes of company law and trustees of the association for the purposes of charity law.

Registered Office Auditors Bankers Solicitors Gordon Anstis House Cooper Parry Unity Trust Bank plc mfg Solicitors LLP Loxley Close Group Limited Four Brindleyplace Adam House Redditch Park View Birmingham Birmingham Road Worcestershire One Central B1 2JB Kidderminster B98 9JS Boulevard Worcestershire Blythe Valley DY10 2SH Business Park Solihull B90 8BG

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WORCESTER YMCA

REPORT OF THE BOARD

Structure, Governance and Management

Constitution

The Association is a charitable company limited by guarantee and not having a share capital, with members required to contribute up to a maximum of £1 each should there be a deficiency on winding up. The Association is governed by its Articles of Association, which were reviewed by the Board in 2013.

Organisational structure

The Association is governed by its board of volunteer trustee directors, responsible for overseeing strategy and policy, approving annual budgets & accounts, who work in conjunction with the senior executive staff who recommend strategy, policy and exercise operational management. They hold five meetings per annum to consider business and progress against agreed plans plus hold strategic discussions and consider future work and direction. On appointment trustees receive induction including Charities Commission input. Attendance at meetings, interests and skills is monitored and reviewed annually. The YMCA movement offers support, development and benchmarking information. Codes of Governance and Conduct have been adopted.

The Association is part of the worldwide YMCA movement and is affiliated to the National Council of YMCAs in England and through them to the World Council of YMCAs. It receives no funds from either the National Council or the World Council, but pays an affiliation fee to the National Council of YMCAs.

The Board oversees and endorses or challenges the short and medium term strategies recommended by the senior executive staff. The Board aims to ensure the long term interests of the Association are not adversely affected by decisions taken in the medium term and ensures the ethos and values of the Association are maintained.

The day-to-day control of the Association’s operations is exercised by the senior management team made up of the Chief Executive, Head of Children and Families and Youth, Head of Adult and Communities, Head of Finance, Head of HR and Development Manager. The Chief Executive attends Board meetings and members of the senior management team are invited where appropriate to encourage wider contact between directors and staff. In setting the salaries of the senior management team the Board considers benchmark information from other appropriate organisations in the YMCA movement.

The Association is organised so that those for whom activities are provided and key stakeholders are involved in the design, monitoring and evaluation of that provision; clear access to senior management and the volunteer Board is integral to the structure and is part of our engagement process.

Recruitment and appointment to the Board

The Board consists of up to fifteen elected members who are appointed for a three-year term, but who may stand for re-election at the end thereof. Members who are co-opted during the year are appointed up until the next Annual General Meeting when they are eligible for election. Board members are elected by the Members of the Association at the Annual General Meeting. Worcestershire YMCA Limited is the sole corporate member of Worcester YMCA.

All Board members acknowledge their Christian faith and are appointed by the sole member.

The Directors of the company are also charity trustees for the purposes of charity law and throughout this report are collectively referred to as the board members. Board members give their time voluntarily and receive no benefits from the charity in respect of this commitment. Any expenses reclaimed from the charity or payments made to them are set out in the notes to the accounts.

It is the aim of the board members to have the Board made up of individuals from the community it serves and simultaneously achieve a rich diversity of perspectives and experience, competent to oversee the operations of the Association. The board seeks to recruit new members accordingly. Potential board members are made aware of the aims and purposes of the YMCA Movement and must indicate their desire to join the Movement and accept the responsibilities involved.

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WORCESTER YMCA

REPORT OF THE BOARD

The perspectives, experience and skills of individual Board members are considered to ensure a balance across the Board. Board members are initially co-opted to the Board until the following Annual General Meeting.

Board member induction and training

As part of their induction programme, new Board members are provided with a welcome pack including copies of literature produced by the Charity Commission and the YMCA Movement, including the YMCA Code of Governance. Background information relating to the Association including copies of the articles of association, latest financial information, copies of minutes and policies are included in the welcome pack. The Board schedule five meetings per annum for ordinary business plus meetings to consider the work of the association and future direction.

As part of the YMCA Movement, Board members have access to its board development programme and training, support and benchmarking information. The Board undertakes periodic background and skills audits and as a result identifies certain characteristics it will require of future members. Attendance at Board meetings is monitored.

The Association works in partnership with other organisations, funders and commissioners that are compatible with its ethos and values.

Code of Governance

The Association’s Board has adopted the National YMCA Code of Governance based on the National Housing Federation Code of Governance.

Statement of Board responsibilities

The board is responsible for preparing the Report of the Board and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the board to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Association and of the incoming resources and application of resources, including the income and expenditure, of the Association for that period. In preparing these financial statements, the board is required to:

The board is responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the Association and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Association and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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

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WORCESTER YMCA

REPORT OF THE BOARD

Provision of information to auditors

We, the board members of the Association who held office at the date of approval of these financial statements as set out above each confirm, so far as we are aware, that:

Corporate Governance – internal financial control

The Board acknowledges its ultimate responsibility for ensuring that the Association has in place a system of controls that is appropriate to the various business environments in which it operates. These controls are designed to give reasonable assurance with respect to the:

It is the Board’s responsibility to establish and maintain systems of internal financial control. Such systems can only provide reasonable and not absolute assurance against financial misstatement or loss. Key elements include ensuring that:

The Board receives and reviews regular reports from management, internal audit and from the external auditor to provide reasonable assurance that control procedures are in place and are being followed.

Formal procedures have been established for instituting the appropriate action to correct weaknesses identified from the above reports.

Risk management

The Association maintains a risk register covering governance, operational, financial, external and compliance risks. The Board receives and reviews regular reports from management including major risks facing the Association and action taken to reduce or mitigate the effects of those risks.

The board categorises risk into five main headings: Governance, Operational, Financial, Environmental or external and Compliance. The key risk in each heading is identified below:

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WORCESTER YMCA

REPORT OF THE BOARD

Risk management (continued)

Risk Mitigationandfurtheractionto be taken.
Governance - loss of
key staff		 Trustees continue to act as champions for each area of policy, policies are
reviewed regularly, skills and role descriptions are identified, a training matrix
identifies skills gaps, training is budgeted and undertaken, the strategic plan is
approved by theBoard, appraisals are conductedregularly.
Operational – project /
service development		 The organisation has adopted models to demonstrate how and why new and
existing projects are in line with charitable objects and to better define and
communicate our activities.To continue to enhance development of new plans
in line with objects.Further action:review operational strategy and accelerate
implementation. Developfuture plansforchildcare provision in Worcestershire.
Financial - dependency
on limited income
sources		 Strategic plans aim to change the mix of income and the provision of services that
are less dependent on Government policy. Specific opportunities identified.
Acquisition of a trading subsidiary has diversified income. Further action: Review
strategic plan in line with income dependancies. Realise opportunities identified
and monitor success of diversification plans and organisational capability to ensure
theymatch futurerequirements.
Environmental or
external factors -
changing government
policy		 Networking and lobbying to minimise adverse policy changes and their effects.
Regular market scanning. Members of YMCA policy groups and relevant local
groups. Further action: Engage a wider audience particularly potential service
users in the provision of data and case studies for influencing policy and ensure
other initiatives in diversification are coordinated.Conduct research with target
audiences.
Compliance -
diversification of
activities		 Systems to ensure compliance with legislation, regulation and reporting are robust.
Further action: identify and monitor the effect on existing compliance of diversifying
activity and consideranynewcompliance suchdiversification will introduce.

COVID19

The business has affected by the covid pandemic in the year under review. The area of housing has been least adversely affected with lower void levels. The two nursery trading subsidiaries were initially closed to children other than those of key workers and since reopening the nurseries have been required to adhere to strict government regulation with regard to child numbers and staff ratios which has been difficult for the businesses concerned.

Worcestershire YMCA and its subsidiary trading companies benefitted from government grant assistance in the form of from the Coronavirus Job Retention Scheme and other grants during the initial lockdown period.

At the date of signing these financial statements, the trustees have considered the effect of the pandemic on the group with the information available to it, and do not believe it will affect the group’s ability to continue to operate for the foreseeable future. As with most organisations there will be short term practical difficulties which we have addressed and are managing by remote working and ensuring safe working practices. Due to the level of reserves and cash balances held and security of some of our income streams, we are well placed to continue operating. See accounting policy titled Going Concern for further details.

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WORCESTER YMCA

REPORT OF THE BOARD

Financial Review

Reserves

The association makes adequate provision, by way of financial reserves, to enable the discharge of statutory and contractual obligations and to support continuity of business in the face of potential risks.

The Board considers there are sufficient assets to meet obligations as they arise. Net current assets are £1,480,347 (2020: £1,362,667).

The overall funds of the Association have increased as a consequence of a surplus arising from operational income exceeding expenditure in the year under review. It should be noted that central costs have not been apportioned between YMCA Worcestershire Limited and the Association for operational reasons.

The Association does not trade for profit, but plans for income to exceed expenditure each year, ensuring a margin of safety to manage the unexpected, its Articles prevent the distribution of reserves, which are instead applied to further the aims and objectives.

The Board has reviewed its reserves policy and the designation of reserves in the light of the current Covid environment. The policy is to aim to maintain funds in reserves at least sufficient to fund 2 months total expenditure (£59,091) to cover the eventuality of a material decline in incoming resources and to hold at least half of that amount in cash at bank. The Association has free reserves (at group level) of £601,280 which equates to 20 months operating costs. It will regularly review this policy having regard to the changing financial, regulatory and competitive environment in which the charity operates.

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WORCESTER YMCA

REPORT OF THE BOARD

Employment of disabled persons

The Association operates an equal opportunities employment policy and is committed to be a Disability Employer.

Objects and activities

As a Christian charity committed to helping people, especially the young, particularly at times of need, without discrimination, our faith calls us to stand alongside people on their personal journey, and help them develop in body, mind and spirit.

Accordingly, demonstrating our Christian faith and sharing it through social action we are active in working towards our vision of transforming communities so that all young people truly belong, contribute and thrive. We aim to be recognised as the leading provider of activities which inspire transformation.

The Association’s objects and principal activities are to:

Our aims mean we work with others to deliver activities through which all young people can be offered the opportunity to develop in body, mind and spirit so they have hope of experiencing life in all its fullness.

Strategy

Build on the strength of YMCA’s Early Years presence across the County; Provide opportunities that prepare young people, including the marginalised, for adult life and the world of work through positive activities, alternative curriculum, employability skills, health and wellbeing, volunteering, community and family engagement, and targeted mentoring support. In addition, we will work with churches and other Christian organisations to deliver high quality youth work and opportunities for religious education. With the global YMCA movement, we will provide wider opportunities for young people, to improve outcomes.

We measure the success of the strategy:

Annually, prior to the commencement of the financial year, when plans are produced as part of our budgetary cycle. These are submitted to the Board for approval by the beginning of the year. During the year, the senior management meet regularly to monitor performance in both financial and non-financial terms. We are organised into three areas of work.

Progress is reported and variances explained to Board throughout the year. An annual review is conducted by the board and senior management and an Annual General Meeting is also held and a report presented by the board and senior management to members.

During the year there are periodic reviews conducted with partner organisations including commissioning bodies.

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WORCESTER YMCA

REPORT OF THE BOARD

Review of activities

Working from our own centres and accommodation units of other organisations, we provide preschool nurseries, youth work including the support of young people towards independent living, ‘move on’ accommodation and support for vulnerable adults.

The two most significant charitable activities contributing to the achievement of our objectives in the year were:

Residential Accommodation Children and Youth Services

During the year our work in providing support to young people aged 16-25 and to vulnerable adults continued.

Further analysis of the income and expenditure on operations can be found in notes 3, 4, 5 and 6 to the financial statements.

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WORCESTER YMCA

REPORT OF THE BOARD

Strategy: Build on the strength of YMCA’s Early Years and families presence across the County, work with older children and partnership working. We will work in partnership with others to improve health of mothers and their babies and work with older children and their families to make them better informed and benefit from their knowledge to improve their lives. Provide opportunities that prepare young adults, including the marginalised, for adult life and the world of work through positive activities, employability skills, health and wellbeing, volunteering, community and family engagement, and targeted mentoring support. In addition, we will work with churches and other Christian organisations to deliver high quality youth work and opportunities for religious education. With the global YMCA movement, we will provide wider opportunities for young people, to improve outcomes.

Housing and Support

We offer 14 units of accommodation for young people aged 18-35 in training, education or employment. This has enabled YMCA to provide affordable rents to young people in the City and young people to live independently whilst maintaining employment and training.

It has been a critical priority to develop strategic partners to support young people in our accommodation; this has included working with:

Further partnerships have been developed throughout the year, including engaging with an onsite drug and alcohol worker, employability and life skills, onsite counselling and working closely with the local policing and neighbourhood team. These partnerships have played a key role in developing transformational communities for young people.

Nurseries

Little Treasures has continued to enhance our provision across the group and contributed to the diversification of income sources. Throughout the pandemic, we have adapted the delivery of childcare to create childcare bubbles; this enabled us to continue delivery with minimal interruption to service. For part of the year, during the initial lockdown, childcare was only provided to key worker children; this saw an increase in home learning for children during this time and it was necessary to ensure that the children's development was monitored whilst they were not in the settings.

A curriculum statement of intent provides a framework for setting out the aims of a programme of education, including the knowledge and skills gained at each stage, developing a framework over time into a structure and narrative. In line with the organisation's objectives, our statement enables children to live life to its fullest by offering stimulating learning experiences with Christian values at its heart. Our nurseries develop children's spiritual, social, moral and cultural understanding. They provide a holistic curriculum that fosters lifelong learning. The nurseries have created learning environments that build upon children, prior learning experiences and are tailormade for the families we support. From September 2021, a new curriculum will be published and adopted by each nursery setting in line with Government guidance for the education sector.

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WORCESTER YMCA

REPORT OF THE BOARD

Strategy: Sustain service (Continuous improvement in quality and value for money; Increase unrestricted funding and social enterprise; Diversify and maintain a balance between housing and other provision; Increase the use of appropriate volunteers; Increase the number of partners, including faith communities and the wider YMCA movement, with whom we unite; Diversify across each district; Increase participation).

Highlighted achievements:

In conjunction with Worcestershire YMCA we have recruited a Business Manager with a view to increasing unrestricted funding and undertaken joint fundraising events. Together we have also explored further partnership working with local councils, the private sector, local college and local churches.

International Partnerships

Throughout the year, we have developed international partnerships with YMCA France in providing opportunities for young people to live and volunteer within YMCA Worcestershire. Over the past 12 months, four volunteers joined our housing, nursery and youth teams to support the delivery of our services. The programme has been successful in providing opportunities for young people. Due to the project's success, next year we will look to expand the international volunteering opportunities.

Communication

The online and digital presence has been a critical part of our communication strategy throughout the year due to limitations in face-to-face delivery. The digital presence enabled us to communicate quickly in the rapidly evolving situation. The Covid Community Page promoted the organisation’s risk assessment and demonstrated the measures that have been put in place to operate safely, giving confidence to the communities.

Black Lives Matter Response

YMCA Worcestershire has been part of the regional response to the Black Lives Matter movement (BLM). The group represents the region on its commitment to have a clear position on BLM by carrying out a diversity audit and making appropriate recommendations, assessing and reporting on equality data across the region annually, supporting YMCAs to engage with Black, Asian and Minority Ethnics (BAME) young people and encouraging staff to share their stories and experiences.

Christian Spiritual Development

The Christian Spiritual Development Coordinator left the organisation in September 2020, and plans are in place to recruit for this position next year. It is our aim to develop an internal chaplaincy group that will support the organisation in developing its Christian mission. In addition, we have hosted a daily online prayer meeting for YMCAs globally throughout the year, which has been well-received globally.

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WORCESTER YMCA REPORT OF THE BOARD Value for Money Valuè for money lonrs parl ol our $uslain service strategy. The consolidallon ol activities across tha group continues to pr8s8nl opportunities lo increase valu8 lor money and dilute costs over a broader base. Publlc Banèflt The board has relarr8d to the guldance conlalwd In the Charity Commission's general guidance on public benellt when reviewing the charilable company's aims and objectives and In planning future acllvSlles. In particular. Ihe board has consldered how planned activilles wlll conlrlbule lo the aims and objectives sel. Communities and particularly young people wlthln the County ol Worcèsl8rshlre benelll from our work. Wg work with parents ol chlldren. childr8n, young people and vulnerable adults. Our acllvltias Include allordable 118xible childcare,. work with school age chSldren outslde school throughout the year.. work with young people and adults In formal and informal educallon, leisure activities including heallh and we11belng and in support towards inde sndonl living. We engage In waventalivg work aNJ oller residenllal a¢commt)dalion. We re¢ognls& the importance ol respondlng lo the needs ol the communily and allowing them lo inlluencg the Charitable eompany's developments. We consult wlth partlelpant$ In our acllvities. potentlal participants and partner organisallons. Consulialion takes plac6 through a vaiiely ol routes Including formal survays. one lo one sessSons and Inlormal meellngs. We aim to conllnuously irnprove our servSces. rosponding to comments and compla1nls madg by pgople who participate in our aclivltlas. Informal commgnts are dealt with by the rnanagemenl ol the partleular d8livery arm ol th& AssocIal￿ll. Fomial issues may be Taised in ac¢ordance with our sèrvlce delvery policies and procedures and will be reported lo the Board. S6rvi¢g8 are regular￿ r6vi9wed against curr8nl developments in recornmended practice and uid81in8s issued by regulator and smilai bodias. Plans for fulur• pèrlods Our ass8ssrnent ol performance in Ihg year is used lo InloTm our medium to long term slralegy. Following the disposal of our fflain sitg, W8 are rgvlewing our strategies. Our objects remain re￿vant and appropriat6. Wg have engaged with 81aff rnore widely to assist in th8 short to medium t8rtn plans lor the organisation as11 deaL% wilh consolidaling activities In the lace ol reduced public spending. The oroanisation has begun lo invest in its inlrastruclure lo ensure a com ehensive and cohesiv6 011or Can be made to moro Potential bgnellclarles. Our maSn objeciives lor next year.. Young P8oplo and Adults.. To consolldale Ihg work ol our nurserfes and klenlily further opportunllie$ for additional Snv8s1ffl8nt. By ordèr of oard Gordon An5tis House Loxfey Close Worceslershlre B98 9JS Tel.. 01527 61643 P SiFllPSOll Chair 27 September 2021 Page 13

WORCESTER YMCA

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF WORCESTER YMCA

Opinion

We have audited the financial statements of Worcester YMCA (“the parent charitable company”) and its subsidiaries (“the group”) for the year ended 31 March 2021 which comprise the Group Statement of Financial Activities, the Group and Parent Company Balance Sheets, the Consolidated Statement of Cash Flows and the related notes, 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 company 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 or parent charitable company’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 other information comprises the information included in the Report of the Board, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the Report of the Board. 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. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

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WORCESTER YMCA

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF WORCESTER YMCA

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 our knowledge and understanding of the group and 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.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charities Act 2011 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Statement of Trustees' Responsibilities set out on page 5, 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 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 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

We have been appointed auditor under the Companies Act 2006 and section 151 of the Charities Act 2011 and report in accordance with those Acts.

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:

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WORCESTER YMCA

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF WORCESTER YMCA

Our assessment focussed on key laws and regulations the group and parent charitable company has to comply with and areas of the financial statements we assessed as being more susceptible to misstatement. These key laws and regulations included but were not limited to compliance with the Companies Act 2006, Charities Act 2011, the Childcare Act 2006, taxation legislation, data protection and employment legislation.

We are not responsible for preventing irregularities. Our approach to detecting irregularities included, but was not limited to, the following:

Whilst considering how our audit work addressed the detection of irregularities, we also considered the likelihood of detection based on our approach. Irregularities arising from fraud are inherently more difficult to detect than those arising from error.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of noncompliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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.

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WORCESTER YMCA

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF WORCESTER YMCA

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 Part 16 of the Companies Act 2006 and to the charitable company’s trustees as a body in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company's members and trustees 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 and trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Simon Atkins FCA

Senior Statutory Auditor for and on behalf of:

Cooper Parry Group Limited

Chartered Accountants and Statutory Auditor One Central Boulevard Park View Blythe Valley Park Solihull West Midlands B90 8BG

27 September 2021

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WORCESTER YMCA

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (including an income and expenditure account) YEAR ENDED 31 MARCH 2021

Unrestricted Restricted Total Total
Note Funds Funds 2021 2020
£ £ £ £
Income from:
Voluntary income 3 366,330 - 366,330 42
Other trading activities 4 784,162 - 784,162 851,121
Investment income 31 - 31 8
Charitable activities 5 62,603 - 62,603 428,677
Total income 1,213,126 - 1,213,126 1,279,848
Expenditure on:
Raising funds-trading activities 833,243 - 833,243 633,948
Charitable activities 354,544 - 354,544 694,360
Total resources expended 6 1,187,787 - 1,187,787 1,328,308
Net income / (expenditure) for
the year before other
recognised gains and losses
25,339 - 25,339 (48,460)
Transfers between funds 15 - - - -
Net movement in funds 25,339 - 25,339 (48,460)
Reconciliation of funds
Fund balance at 1 April 2020 2,343,082 - 2,343,082 2,391,542
Fund balance at 31 March 2021 16 2,368,421 - 2,368,421 2,343,082

The accompanying notes form part of these financial statements.

The statement of financial activities includes all gains and losses recognised in the year.

All activities derive from continuing operations.

Page 18

WORCESTER YMCA CONSOLIDATED BALANCE SHEET 31 MARCH 2021 R¥glstered company number.. 05056873 Notes Group 2021 Assoclallon 2021 Group Assoclatlon 2020 2020 Flxed assets Intangible assets Tangible fixed assets Inv6slmenls 10 428,741 1,337,710 690 493.372 1,381,604 690 541,110 1.050,306 560,486 1,050,306 12 1,767,141 1,591,416 Curront assets Debtors Cash al bank and In hand 1,875,666 1.610.792 13 656,805 948,822 1,242.851 704,941 384,898 1,111,980 944,181 934,333 1,605,627 1,947.792 1,496,878 Credltors.. amounts lalllng due wlthln one year 1,878,514 14a 1125,2801 146,4901 1134,2111 163,6691 Net current Ag$el$ 1,480.S47 1,899,302 1,362,667 1,814,645 Total assats19$9 ¢urient IlabllltSe8 3,247,488 3,490,718 3,238,333 3,425,637 Crgdllor$'. amounts lalllng duo aftor rnore than one year 14b 1789,9671 1789,9671 1817,5631 1817.5631 Provlslon lor liabilities and chargas 21 189,1001 189,1001 177,6881 175,6901 Net a$$ets 2.368,421 2,611,651 2,343,082 2,532,384 Represenled by UnrostYl¢l&d fund3 General funds Pension reserve 15 15 2,457,521 189,1001 2,700,751 189,1001 2,418,772 175.6901 2,608,074 175,6901 TotAI 2,368,421 2,611.651 2,343,082 2,532,384 Apwoved he Board on 27 Seplamber 2021. P Simpson Tho acwmpanying notes form part ol these linarcial statements. Page 19

WORCESTER YMCA

CONSOLIDATED STATEMENT OF CASH FLOWS for the year ended 31 March 2021

2021 2020
Note £ £
Net cash inflow / (outflow) from operating activities 18 (115,000) (612,677)
Returns of investment and servicing of finance
Interest paid (16,744) (19,408)
Interest received 31 8
Net cash outflow from returns on investments and
servicing of finance (16,713) (19,400)
Capital expenditure
Payments to acquire tangible fixed assets (2,650) (25,465)
Acquisition of subsidiary - (91,094)
Net cash (outflow) / inflow from capital expenditure (2,650) (116,559)
Financing
Net movement in short term borrowings (1,199) -
Net movement in long term borrowings (27,596) (31,240)
Net cash inflow from financing (28,795) (31,240)
Change in cash and cash equivalents during the
year 19 (163,158) (779,876)
The accompanying notes form part of these financial statements.

Page 20

WORCESTER YMCA

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

1 Legal status

Worcester YMCA is a company limited by guarantee with members required to contribute up to a maximum of £1 should there be a deficiency on winding up. The company is registered under the Companies Act 2006 and is a registered charity.

The address of the registered office is given in the information on page 3 of these financial statements.

2 Accounting policies

The principal accounting policies of the company are as follows:

Basis of preparation

The accounts have been prepared in accordance with UK applicable accounting standards including Financial Reporting Standard 102, The Financial Reporting Standard Applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The financial statements are prepared in sterling and rounded to the nearest pound.

Going Concern

At the time of signing the accounts, the Trustees have considered the effect of the Coronavirus on the going concern position, and consider that the group will continue to operate for a period of at least 12 months from the date of signing these accounts due to the level of funding already secured with its key partners and easing of restrictions on staffing ratios within the nursery settings.

At the balance sheet date, the group held significant cash balances. The group has significant reserves, the majority of which are unrestricted and is sufficient to absorb short-term in-period deficits if required. Government support is utilised, where it is appropriate to do so, and since the year end the Furlough scheme has been used to a limited extent.

The financial forecasts prepared by the executive team show that the group will be able to operate within the facilities available to it.

On that basis the Trustees have prepared these financial statements on a going concern basis.

Basis of Consolidation

The group is required by Charities Act 2011 to prepare consolidated Financial Statements. The Financial statements incorporate those of the Charity and the its subsidiary, reflecting trading activities to 31 March 2021.

All Intra-Group transactions and balances between Group companies are eliminated on consolidation.

The wholly owned subsidiaries which are consolidated are:

Little Treasures Limited First Class Nursery (Kidderminster) Limited

Page 21

WORCESTER YMCA

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

Accounting policies (continued)

Business Combinations

The cost of a business combination is the fair value at the acquisition date, of the consideration paid and liabilities incurred or assumed, plus costs directly attributable to the business combination.

The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. Goodwill arising on business combinations is capitalised, classified as an asset on the balance sheet and amortised on a straightline basis over its useful life. The period chosen for writing off goodwill is ten years representing the remaining life of the lease acquired on the business premises of the subsidiary acquired.

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity. Restricted funds are subject to restrictions on their expenditure imposed by the donor or through the terms of an appeal.

Incoming resources

All incoming resources are included in the Statement of Financial Activities when the charity is entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income:

Voluntary income including grants, covenanted income, gifts and legacies is included in full when there is certainty of receipt.

Income from the hire of facilities is recognised as the related services are provided.

Investment income is recognised on a receivable basis.

Rental income for accommodation is accounted for when it becomes receivable. Income from education and training activities includes income received under contract, subject to specific performance conditions.

Government grants are accounted for under the accruals model as permitted by FRS 102. Grants of a revenue nature are recognised in the Statement of Financial Activities in the same period as the related expenditure.

Resources expended

Expenditure is recognised on an accruals basis when a liability is incurred. The costs of all activities include a share of support costs, the individual elements of which are apportioned to each activity on the basis of direct time spent thereon. Direct costs relating to particular activities are allocated directly.

Costs of generating voluntary income include staff costs associated with that activity.

Costs of generating funds include related staff costs and direct costs incurred in those activities.

Charitable activities costs include a direct allocation of staff and other direct costs and an apportionment of support costs.

Governance costs comprise those costs incurred in the governance of the charity and its assets and are primarily associated with constitutional and statutory requirements.

Page 22

WORCESTER YMCA

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

Accounting policies (continued)

Tangible fixed assets and depreciation

Fixed assets are recorded at cost at the time of acquisition.

Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its estimated useful life, as follows:

Freehold buildings Over 10 or 32 years Fixtures and Fittings 20% straight line Computer equipment 20% straight line Motor vehicles 25% straight line

Investments

Investments are included at closing mid-market value at the balance sheet date. Any gain or loss on revaluation is taken to the Statement of Financial Activities.

Stock

Stock is valued at the lower of cost and net realisable value.

Current asset property

Freehold property held for resale is included at open market value.

Operating leases

Rentals paid under operating leases are charged to income on a straight line basis over the lease term.

Pensions

Worcester YMCA 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 Worcester YMCA.

As described in note 21 Worcester YMCA has a contractual obligation to make pension deficit payments of £11,137 per annum over the period to April 2029 and, accordingly, this is shown as a liability in these accounts. In addition, Worcester YMCA is required to contribute £2,636 per annum to the operating expenses of the pension plan and these costs are charged to the statement of financial activities as they are incurred.

The employer contributions in relation to the pension plan are determined by the Trustee based on advice from a qualified actuary.

In addition, all staff are eligible for employer’s pension contributions to be paid to a stakeholder or equivalent contributory personal pension scheme, with the level of contribution depending on their own level of contribution. The association has no liability beyond the payment of its agreed monthly contributions. The contributions are charged to the Statement of Financial Activities as made.

Page 23

WORCESTER YMCA

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

Accounting policies (continued)

Critical areas of Judgements

Useful lives of depreciable assets

Management reviews its estimate of the useful lives of depreciable assets at each reporting date, based on the expected utility of the assets. Uncertainties in these estimates relate to technological obsolescence that may change the utility of certain software and IT equipment and changes to decent homes standards which may require more frequent replacement of key components.

Page 24

WORCESTER YMCA

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

3 Voluntary income

Unrestricted
2021
£
Grants from other charities
850
Government grant income
115,480
Donations and legacies
250,000
366,330		 Restricted
2021
£
-
-
-
-		 Total
2021
£
850
115,480
250,000
366,330		 Total
2020
£
-
-
42
42

In 2020 all of the voluntary income was attributable to unrestricted funds.

4 Other trading activities

Unrestricted
2021
£
Restricted
2021
£
Hiring of facilities
-
-
Non charitable trading activities
784,162
-
784,162
-		 Total
2021
£
-
784,162
784,162		 Total
2020
£
17,180
833,941
851,121

In 2020 all of the trading activities income was attributable to unrestricted funds.

5 Charitable activities

Unrestricted Restricted Total Total
2021 2021 2021 2020
£ £ £ £
Residential accommodation 62,603 - 62,603 428,677

In 2020 all of the charitable activities income was attributable to unrestricted funds.

Page 25

WORCESTER YMCA

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

6 Resources expended

Accommodation
£
Corporate
Services
£
Direct costs
People related
188,549
13,098
Premises related
41,479
-
Vehicle related
448
-
Office expenses
3,725
-
Other direct expenses
-
-
Indirect costs
Overheads
207
8,109
Depreciation and amortisation
19,376
55,632
Other costs
9,351
14,570
Taxation
-
-
Total resources expended
263,135
91,409		 Trading
income
£
2021
Total
£
2020
Total
£
665,533
867,180
854,189
64,297
105,776
192,890
-
448
268
8,751
12,476
25,070
42,206
42,206
58,252
12,371
20,687
54,042
36,167
111,175
100,945
(1,795)
22,126
51,332
5,713
5,713
(8,680)

833,243
1,187,787
1,328,308		 2020
Total
£
854,189
192,890
268
25,070
58,252
54,042
100,945
51,332
(8,680)

All of the total expenditure of £1,187,787 (2020: £1,328,308) related to unrestricted funds.

Page 26

WORCESTER YMCA

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

7 Operating surplus

The operating surplus is arrived at after charging:
Depreciation of tangible fixed assets
Amortisation
Auditor’s remuneration
mployee costs
Salaries and wages
Social security costs
Pension and other costs		 2021
£
46,544
64,631
15,390
2021
£
771,700
38,065
20,410
830,175		 2020
£
43,005
57,882
13,573
2020
£
700,473
33,870
15,947
750,290

8 Employee costs

No employee received emoluments in excess of £60,000 (2020: none).

The average monthly number of persons employed during the
year were as follows:
Direct charitable work
Administration		 2021
No.
54
1
55		 2020
No.
63
1
64

The salaries of senior management are paid by the parent charitable company, Worcestershire YMCA. The aggregate remuneration of senior management is disclosed, on a group basis, in the accounts of Worcestershire YMCA. The accounts of Worcestershire YMCA are available as detailed in note 2 to the accounts.

9 Trustee remuneration

No trustee or other person related to the charity had any personal interest in any contract or transaction entered into by the charity during the year. Expenses of £Nil (2020: £Nil) were reimbursed to trustees during the year.

Page 27

WORCESTER YMCA

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

10 Intangible assets - Goodwill

a
Cost
At 1 April 2020
Additions
At 31 March 2021
Amortisation
At 1 April 2020
Charge for year
At 31 March 2021
Net book value
At 31 March 2021
At 1 April 2020
11
Tangible fixed assets - Group
Computer
equipment
£
Cost
At 1 April 2020
43,739
Additions
2,650
At 31 March 2021
46,389
Depreciation
At 1 April 2020
15,293
Charge for year
12,568
At 31 March 2021
27,861
Net book value
At 31 March 2021
18,528
At 1 April 2020
28,446		 Goodwill
on
cquisition
£
P
556,320
-
556,320
99,698
55,631
155,329
400,991
456,622
Motor
vehicles
£


10,788

-
10,788

2,697
2,697
5,394
5,394

8,091
 urchased
goodwill
£
39,000
-
39,000
2,250
9,000
11,250
27,750
36,750
Land and
buildings
£
1,401,558
1,401,558
56,491
31,279
87,770
1,313,788
1,345,067		 Total
£
595,320
-
595,320
101,948
64,631
166,579
428,741
493,372
Total
£
1,456,085
2,650
1,458,735
74,481
46,544
121,025
1,337,710
1,381,604		 428,741
493,372

Page 28

WORCESTER YMCA

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

Tangible fixed assets - Association

Computer
equipment
£
Cost
At 1 April 2020 and 31
March 2021
5,596
Depreciation
At 1 April 2020
5,296
Charge for year
226
At 31 March 2021
5,522
Net book value
At 31 March 2021
74
At 1 April 2020
300
12
Investments – Group
COIF Charities Investment
Market value at 1 April 2020
(Loss) / gain on revaluation
Market value at 31 March 2021		 Motor
vehicles
£
10,788
2,697
2,697
5,394
5,394
8,091		 Land and
buildings
£
585,000
32,905
16,453
49,358
535,642
552,095
2021
£
690
-

690		 Total
£
601,384
40,898
19,376
60,274
541,110
560,486
2020
£
690
-
690

12a Investments – Company

The charity owns 100% of the issued share capital of Little Treasures Limited, a company limited by shares incorporated in England and Wales (company number 04029930). Its net assets totalled £401,851 as at 31 March 2021 (2020: £401,030).

The charity owns 100% of the issued share capital of First Class Nursery (Kidderminster) Limited, a company limited by shares incorporated in England and Wales (company number 08887253). Its net assets totalled £3,544 as at 31 March 2021 (2020: £2,662)

Brought forward at 1 April 2020
Additions
Carried forward at 31 March 2021		 2021
£
1,050,306
-

1,050,306		 2020
£
893,603
156,703
1,050,306

Page 29

WORCESTER YMCA

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

13 Debtors

ebtors
Other debtors
Prepayments and accrued
income
Intercompany		 Group
2021
£
14,447
-
642,358

656,805		 Group
2020
£
Association
2021
£
Association
2020
£
8,008
(19)
1,662
10,963
-
8,565
365,927
1,242,870
933,954



384,898
1,242,851
944,181
944,181

14a Creditors: amounts falling due within one year

Bank loans and overdrafts
Trade creditors
Other taxes and social security costs
Owed to related undertakings
Accruals and deferred income
Corporation tax payable
Other creditors		 Group
2021
£
32,176
16,778
11,120
15,434
36,856
7,711
5,205

125,280		 Group
2020
£
Association
2021
£
Association
2020
£
33,375
32,176
33,375
54,518
841
13,189
10,852
3,604
3,925
3,883
-
-
24,907
11,869
12,299
2,365
-
-
4,311
-
881



134,211
48,490
63,669		 Group
2020
£
Association
2021
£
Association
2020
£
33,375
32,176
33,375
54,518
841
13,189
10,852
3,604
3,925
3,883
-
-
24,907
11,869
12,299
2,365
-
-
4,311
-
881



134,211
48,490
63,669
63,669

Included in accruals and deferred income above is deferred income of £17,068 (2020: £3,928) and this is analysed below:

Deferred income brought forward
(Released) / deferred during the year		 2021
£
3,928
13,140
17,068		 2020
£
81,105
(77,177)
3,928

The amounts are deferred when the companies do not have unconditional entitlement to the income or when the invoice relates to the delivery of a service and is therefore only recognised to the extent that the companies have provided the service.

Page 30

WORCESTER YMCA

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

14b Creditors: amounts falling due after one year

Bank loans and overdrafts
Loan maturity analysis
Within one year
Within one to two years
Within two to five years
In more than 5 years		 Group
2021
£
789,967

32,176
32,176
96,529
661,261
822,142		 Group
2020
£
Association
2021
£
Associatio
n
2020
£
817,563
789,967
817,563
33,375
32,176
33,375
33,375
32,176
33,375
100,125
96,529
100,125
684,063
661,261
684,063
850,938
822,142
850,938		 Group
2020
£
Association
2021
£
Associatio
n
2020
£
817,563
789,967
817,563
33,375
32,176
33,375
33,375
32,176
33,375
100,125
96,529
100,125
684,063
661,261
684,063
850,938
822,142
850,938		 Group
2020
£
Association
2021
£
Associatio
n
2020
£
817,563
789,967
817,563
33,375
32,176
33,375
33,375
32,176
33,375
100,125
96,529
100,125
684,063
661,261
684,063
850,938
822,142
850,938
33,375
33,375
100,125
684,063
850,938

15 Movement in funds

Balance at 1 Balance at
April 2020 Incoming Outgoing Transfers 31 March 2021
£ £ £ £ £
General fund 2,418,772 1,213,126 (1,174,377) - 2,457,521
Pension reserve (75,690) - (13,410) - (89,100)
Total unrestricted
funds 2,343,082 1,213,126 (1,187,787) 2,368,421

15a Movement in funds - prior year

Balance
Balance at 1 at 31 March
April 2019 Incoming Outgoing Transfers 2020
£ £ £ £ £
General fund 2,473,079 1,279,848 (1,334,155) - 2,418,772
Pension reserve (81,537) 5,847 - (75,690)
Total unrestricted
funds 2,391,542 1,279,848 (1,328,308) 2,343,082

16 Analysis of net assets between funds

All assets and liabilities are allocated to unrestricted funds in both the current and prior year.

Page 31

WORCESTER YMCA

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

17 Cash flows from operating activities

Reconciliation to changes in resources
Net movement in funds
Interest received
Interest paid
Profit on disposal
Depreciation of tangible fixed assets
Amortisation
(Increase) / decrease in debtors
Decrease in stock
(Decrease) / increase in creditors
(Decrease)/increase in provisions		 2021
£
25,339
(31)
16,744
-
46,544
64,631
(271,907)
-
(7,732)
11,412
(115,000)		 2020
£
(48,460)
(8)
19,408
258
43,005
57,882
(273,199)
700
(406,414)
(5,849)
(612,677)

18 Change in cash and cash equivalents

Decrease / (increase) in cash in the period
Movement in net funds
Net funds at 1 April 2020
Net funds at 31 March 2021
19
Analysis of net debt
At 1 April
2020
£
Cash at bank and in hand
1,111,980
Loans falling due within
one year
(33,375)
Loans falling due after one
year
(817,563)
261,042		 Cash
Flow
£
(779,876)
1,199
27,596
(134,363)		 2021
£
2020
£
(163,158)
(779,876)
(163,158)
(779,876)
1,111,980
1,891,856
948,822
1,111,980
Non-cash
Changes
£
At 31 March
2021
£
-
948,822
-
(32,176)
-
(789,967)
-
126,679

Page 32

WORCESTER YMCA

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

20 Provisions for liabilities and charges

rovisions for liabilities and charges
Pension liability (21a)
Deferred tax-accelerated capital allowances		 2021
£
89,100
-
89,100		 2020
£
75,690
1,998
77,688

21 Pension costs

Worcester YMCA 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 Worcester YMCA 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 recent 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. This 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.

The valuation prepared as at 1 May 2017 showed that the YMCA Pension Plan had a deficit of £36 million. Worcester YMCA has been advised that it will need to make monthly contributions of £928 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.

Within 1
One to
Two to
After
m
year
two years
five years
five years
o
£
£
£
£
As at 31
March
2021
11,137
11,137
33,413
33,413
As at 31
March
2020
10,813
10,813
30,439
21,625		 After
ore than
ne year
£
77,963
64,877		 Total
2021
£
89,100		 Total
2020
£
75,690

In addition, Worcester YMCA 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 Worcester YMCA may be called upon to pay in the future.

Page 33

WORCESTER YMCA

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2021

21 Pension costs (continued)

YMCA contributory pension scheme

All staff are eligible for employers’ pension contributions to be paid to a stakeholder or equivalent contributory personal pension scheme, with the level of contribution depending on their own level of contribution. The association has no liability beyond the payment of its agreed monthly contributions.

The total pension charge for the year is shown in note 8. The amount outstanding at the year-end was £2,176 (2020: £1,730).

22 Related Party Transactions

No members of the Board or other person related to the organisation had any personal interest in any contract or transaction entered into by the charitable company during the year (2019: nil).

During the year Worcestershire YMCA increased its indebtedness to Worcester YMCA Limited by £277,020 (2020: £426,754). Worcester YMCA was owed £613,376 (2020: £336,356) at the year end.

Little Treasurers Limited, subsidiary of Worcester YMCA repaid loans and covenanted income amounting to £60,000 (2020: £38,600) during the year. £366,455 (2020: £491,455) was owed by Little Treasures Limited at the year end. The movements relate to net cash movements during the year and the recharges etc. noted above.

Worcester YMCA made loans, recharged expenses and received covenanted income to/from First Class Nursery (Kidderminster) Limited, subsidiary of Worcester YMCA, amounting to £156,895 during the period (2020: £106,143) £263,038 was owed to Worcester YMCA at the year end (2020: £106,143) The movements relate to net cash movements during the year and the recharges etc. noted above.

During the year First Class Nursery (Kidderminster) Limited loaned £100,000 to Little Treasures Limited – this amount was outstanding at the year end (2020: £nil)

25 Ultimate controlling party

Worcester YMCA is controlled by Worcestershire YMCA Limited. Consolidated accounts are available from the head office of Worcestershire YMCA at Gordon Anstis House, Loxley Close, Redditch, Worcestershire B98 9JS.

26 Taxation

As a charitable company, Worcester YMCA is exempt from tax on income and gains to the extent that these are applied to its charitable objects. No tax charges have arisen within the charitable company.

Little Treasures Limited and First Class Nursery (Kidderminster) Limited are not registered as charities and therefore corporation tax is payable on tax surpluses as they arise.

Page 34