2020-08-31-accounts - Stoke City Foundation

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Stoke City Community Trust (A company limited by Guarantee)

REPORT AND FINANCIAL STATEMENTS

31 August 2020

Company Registration No. 04875877 Registered Charity No. 1104006

Stoke City Community Trust CONTENTS

TRUSTEES’ ANNUAL REPORT	1
STATEMENT OF TRUSTEES’ RESPONSIBILITIES IN THE PREPARATION OF FINANCIAL
STATEMENTS	9
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF STOKE CITY COMMUNITY
TRUST	10
STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE
ACCOUNT)	12
BALANCE SHEET	13
STATEMENT OF CASH FLOWS	14
ACCOUNTING POLICIES	15
NOTES TO THE FINANCIAL STATEMENTS	18

Stoke City Community Trust TRUSTEES’ ANNUAL REPORT

REFERENCE AND ADMINISTRATIVE DETAILS

REGISTERED CHARITY NUMBER	1104006
COMPANY REGISTRATION NUMBER	04875877
COMPANY SECRETARY	J Pelling
TRUSTEES/DIRECTORS	AJ Scholes
	R Flello
	G Mellor
	D Smith
	J Pelling
	C Iwelumo
AUDITORS	RSM UK Audit LLP
	Chartered Accountants
	Festival Way
	Stoke-on-Trent
	Staffordshire
	ST1 5BB
BANKERS	Barclays Bank plc
	118 High Street
	Newcastle-under-Lyme
	Staffordshire
	ST5 1PT
REGISTERED OFFICE	bet365 Stadium
	Stanley Matthews Way
	Stoke-on-Trent
	Staffordshire
	England
	ST4 4EG

Page 1

Stoke City Community Trust TRUSTEES’ ANNUAL REPORT

Trustees Annual Report

The Report and Financial Statements, which relate to the year ended 31 August 2020, are presented by the Trustees of Stoke City Community Trust, who are also Directors of the Charitable Company for the purposes of charity law.

Structure, Governance and Management

Stoke City Community Trust is a company limited by guarantee and does not have any share capital. It is governed by the Memorandum and Articles of Association dated 18 July 2014 and became a registered charity on 28 May 2004.

A review system is in place to monitor the income, expenditure and performance of the Trust, ensuring that appropriate management information is produced on a regular basis including an annual budget, which is approved by the Trustees, regular consideration of financial results and identification and management of risks.

Key management personnel remuneration is determined by the Trustees.

Appointment of Trustees

The skill set of the board of trustees is reviewed and compared to the requirements of the charity to achieve its objectives. Where there are gaps, the trustees seek to make appropriate appointments of individuals with the required skills and experiences by an open recruitment process.

Trustee induction and training

All new Trustees receive an induction meeting with the Chair of Trustees and then spend time with the charity’s management team, observing how the charity’s objectives can be achieved. Should any additional specialised training be required then appropriate training arrangements are in place.

Risk management process

The Trustees review the major risks to which the charity is exposed - in particular, those relating to the operations and finances - and are satisfied that systems and procedures are in place to mitigate any exposure.

The principal risk identified by the Trustees is Safeguarding. This is managed via the Risk Framework review process.

In addition, procedures have been put in place to ensure compliance with health and safety of staff and all those who participate in the scheme. A Safeguarding Panel has been set up to ensure that all regulations are adhered to with regard to contact with children (and vulnerable adults).

Reserves policy

The Trustees have examined the charity’s requirements for reserves in the light of the main risks to the organisation. It has established a policy whereby unrestricted funds, not committed or invested in tangible fixed assets held by the charity (which equal free reserves), should be no less than 12 months of the unrestricted expenditure (£668k) of the charity to ensure that there are sufficient reserves so that the Trust can continue as a going concern during any adverse period. Free reserves at Aug 2020 were £1,002k (2019: £1,055k). In the current Covid-19 climate the Trustees consider it prudent to keep the free reserves at a level higher than the minimum stated policy requirement.

Internal Controls

The internal control system ensures that income, expenditure and performance of the Trust is carefully monitored and is designed to provide reasonable assurances against material misstatement and loss, including:

*An Annual Budget approved by the Trustees

*Regular consideration of financial results

*Identification and management of risks

The Trustees have given due consideration to the Charity Commission published guidance on the operation of the Public Benefit requirement.

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Stoke City Community Trust TRUSTEES’ ANNUAL REPORT

Financial Review

Detail of income and expenditure is provided in the Notes to the Financial Statements and is summarised below:

Description £’000	2020	2019
Restricted Income:	£1,085	£1,286
Un-Restricted Income:	£520	£650
Total Income:	£1,605	£1,936
Total Resources Expended:	£1,467	£1,745
Un-Restricted Reserves:	£1,002	£1,055
Restricted Reserves:	£338	£146
Total Reserves:	£1,340	£1,201

Objectives

The Trust utilises the power and passion of the Club to transform lives in and around Stoke on Trent, North Staffordshire, East Shropshire, South Staffs and South Cheshire, with the aim to help people fulfil their potential and to be more involved, healthier and empowered members of their community.

The Trust firmly believes that its influence and reach will allow it to make a positive difference to the health, wellbeing and life outcomes of those participants who engage in its activities.

Furthermore, the Trust intends to follow a person centred approach by providing opportunities for participants to progress into volunteer and part time employment opportunities with the Club.

The charity not only contributes to educational and skills development but also, via football and the Stoke City brand, makes an impact on prominent issues, such as health, regeneration, crime, community cohesion and employment.

The Trust’s main activities are outlined below.

Evidence of the Trust’s progression and standing as a leading provider of community-based activities in Staffordshire over the last few years is highlighted by the fact that it has increased its expenditure on the provision of these services from just under £800k in 2012 to over £1.5m this year.

The Trustees have considered the Charity Commission’s guidance on public benefit, in the interests of social welfare and life improvement, and consider its main activities to further this is the provision of sporting facilities to such persons who have need for them, without discrimination.

Furthermore, to assist in advancing the education of young people for their benefit, and the provision of lifestyle and health improvement guidance, support, advice and facilities in order to offer any participant the opportunity to change their life for the better.

Achievements and Performance

The Trust’s activities are based around the strong and meaningful partnerships focused around delivering quality projects promoting sports, being active, general wellbeing, and creating education and employment opportunities that will change the lives of those living in the charity’s local community.

The key focus areas of the Trust are Sports Development, Education, Training and Employment, Community Inclusion, Disability and Health as well as supporting various charity initiatives around North Staffordshire. The Trust has a committed and skilled workforce of 54 full time contracted members of staff and 30 casual staff and volunteers who aim to engage and inspire people on a daily basis.

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Stoke City Community Trust TRUSTEES’ ANNUAL REPORT

Covid19

The majority of the Restricted Projects are funded by the Premier League Charitable Fund (PLCF) and as at August 2020 are just completing the first year of a three year contracted funding cycle. The majority of these projects have seen work continue during the Covid-19 pandemic and the Trust has received their funding for all of the projects in the second year.

The main non-PLCF funded Restricted Project is the National Citizen Service, which is funded by the UK Government. Despite the national lockdown the trust was required to adapt to both on-line and actual socially distanced delivery and instead of the usual summer programme it completed both the ‘Keep Doing Good’ and Autumn 2020 programmes. The Trust awaits the Summer 2021 contract.

With regard to the Un-Restricted activities the Trust’s primary responsibility is to ensure that it remains a going concern and adheres to its reserves policy.

The Trustees believe that the Trust remains a Going Concern because it has both sufficient general reserves and un-restricted cash to absorb considerable un-restricted income shortfalls, should they arise, in the forthcoming year.

As is normal for all charities, the charity is dependent upon income streams such as grant monies which may not reoccur. The trustees have reviewed the financial forecasts and believe there are adequate resources which will enable the trust to meet its liabilities for at least one year from the date the financial statements are signed. For this reason, the trustees have adopted the going concern basis in preparing the financial statements.

Sports Development projects delivered in 2019-20

Football Development

The Trust provides a structured pathway of opportunity where young people, from the age of three, can find a level of ability and, if they are identified as showing promise, they are then signposted to programmes that could lead to them joining our Advanced Training Centres and, ultimately, the Club’s Academy.

Identical pathways are also in place for both the girls and the disability football development programmes which has led to several players receiving international recognition.

The Trust will continue to provide the large majority of our participants – most of whom are young people – with the opportunity to play as much football as possible. However, from late March 2020 until the end of August no delivery took place due to Covid-19 related restrictions as explained above.

The charity’s international soccer school programme also suffered due to the Covid-19 travel restrictions put in place.

Schools Football Project

The final year of this project was curtailed by the lockdown; however, staff established a variety of online resources that were delivered virtually to schools. The legacy of this project has seen the district fixture programme maintained.

Community & Education Football Alliance (11v11)

Aimed at young adults aged 16-18 who have a passion for football and a desire to progress to University or work in the sports industry, this programme allows them to study at college and represent Stoke City in the English Football League’s Community & Education Football Alliance League. Our Foundation degree, which offers Community Football Coaching & Development and Sports Coaching & Development, is starting to see an increase in students. With the growth of our 11v11 college programme, we are confident that the degree programme will go from strength to strength.

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Stoke City Community Trust TRUSTEES’ ANNUAL REPORT

Degree Programme

Stoke City Community Trust’s two-year Foundation Degree programme is a course designed for individuals wanting to attain a university qualification and are passionate about pursuing a career in the sports industry.

Students develop the necessary skills, qualities and characteristics that are required to work within a professional football club community department or national governing body. Delivered in partnership with the University of South Wales, all lectures, seminars and tutorials are delivered in a supportive and inspirational club environment via online material.

Students will complete up to 200 hours of voluntary coaching within the community, alongside the Community Trust and academy staff.

This programme was largely unaffected by the lockdown as the majority of the sessions took place online.

Wildcats

Wildcats is for girls aged 5-11 who want to get involved with football for the very first time or want the opportunity to play with other girls their own age at venues across the County.

Mums Play

This project is designed to create an environment that is comfortable, enjoyable and flexible to cater for the needs of Staffordshire’s diverse female community and encourage them to lace up their boots for the first time or make a return to football.

Regional Talent Club (RTC)

Our RTC is an enhanced coaching centre for U10, U12, U14 and U16 age groups, and allows female players identified as having elite potential the opportunity to access appropriate levels of coaching and support. It is one of only 34 RTCs in the country.

Dads & Daughters

The programme aims to increase physical activity levels, sports skills and social-emotional wellbeing of girls aged 5-11 years by challenging stereotypes about playing sport and physical activity and increase confidence of fathers and their ability to act as role models in relation to their daughters’ participation.

Education, Training and Employment projects delivered in 2019-20

Primary Stars

The Trust’s Primary Stars initiative uses the inspiration and fun of sport to connect pupils’ learning to the world around them. The charity’s focus on Primary Stars focuses on upskilling teaching staff through delivering Continual Professional Development (CPD) as well as Physical Education based sessions, where young people are encouraged to develop their Numeracy, Literacy and Enterprise skills in an active environment. A further aim is to increase children’s participation and enjoyment in sport, physical activity and to support talented children into progression pathways.

Premier League Inspires

This programme provides pastoral support to pupils in secondary schools and focuses on providing the young people pro-active mental health skills. The programme supports young people transitioning from Primary to Secondary school, whilst providing positive mentoring experiences designed to increase positive life style choices.

Traineeships

This programme is designed to engage young people aged 16-19 who are unemployed and provide them with work taster and placement opportunities, literacy, numeracy and employability education in order to make them work ready.

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Stoke City Community Trust TRUSTEES’ ANNUAL REPORT

Essential Life Skills

This project is an extracurricular activity programme to develop life skills, with sessions delivered during the school day and in the Community, which is designed to increase school attendance and attainment.

Community Inclusion, Disability and Health projects delivered in 2019-20

RISE

This programme supports young people to make changes or better cope with personal issues with the aim of reducing school and social exclusion and criminal child exploitation. Sessions take place through the school day with a number of social activities and support available in the evening.

Kicks

This project provides diversionary evening activities to reduce crime and anti-social behaviour within some of the most deprived communities in Stoke on Trent. Kicks also works closely with a variety of partners, including Staffordshire Police, to understand the target areas.

The National Citizen Service (NCS)

The Charity’s NCS offering continues to gather great momentum with more and more young people enrolling and participating in the project. NCS is a non-term time volunteering programme for young people aged 16-18 years old, designed to build their skill-set for work and life as they take on new challenges and make new friends. This year the young people were due to complete a three-week programme however, due to lockdown, the programme became virtual and towards the end of the summer, some face-to-face delivery took place under the ‘Keep Doing Good’ campaign and via the usual Social Action projects.

Premier League Kicks Targeted

This programme aims to provide one to one support to young people identified as vulnerable or on the cusp of gangs’ violence.

Football Fans in Training

A programme aimed at engaging men and women, with a BMI over 25, in regular physical activity and healthy lifestyle choices, with the aim of losing and sustaining weight loss.

Walking Football

A programme provides both informal and formal weekly football sessions aimed at decreasing the numbers of inactive males and females aged +50 across North Staffordshire. The programme encourages them to keep fit and healthy by playing a sport at a less competitive and demanding level.

Lived Experience

Working with a range of young individuals who have had more difficult life experiences than most, the project aims to encourage them to make positive lifestyle choices and learn from the Lived Experience Mentors.

Physical Therapy Session

In partnership with ‘Goal Difference’ our physical therapy sessions bring together groups and individuals who are looking to begin or to return to sport and physical activity.

Page 6

Stoke City Community Trust TRUSTEES’ ANNUAL REPORT

Thank You for Your Support

Whilst fully dependant on the continuing partnership and support of Stoke City Football Club, the Stoke City Community Trust also relies heavily on the support of many partners and organisations in order to continue moving forward. Primarily, they are the Premier League Charitable Fund, the Premier League, Professional Footballers’ Association, the English Football League Trust, Staffordshire County Council, Staffordshire Police Fire and Crime Commissioner, City of Stoke-on-Trent Council and the Staffordshire Football Association.

The Board of Trustees is indebted once again to all those who have made a significant contribution to the Trust’s progress over the past 12 months and they look forward to working with those new partners in 2021.

The Trustees would like to thank the Football Club’s Head of Community Adrian Hurst and his staff in the Community Trust for their dedication and hard work throughout another successful period, which has resulted in excellent results once again especially in light of the challenges placed upon the Trust’s activities by Covid-19 restrictions.

Future Developments

The Trust will respond to any potential partner and community needs as North Staffordshire moves out of the National Covid-19 lockdown restrictions and any subsequent recovery plans.

Moving forward the Stoke City Community Trust will focus on maintaining and re-establishing its services and community projects. The charity will only consider developing and delivering new projects that are financially viable, which clearly meet the Charity’s aims and objectives and which add real value to people and its local communities.

The Charities core objectives for the 2020/21 Season are:

➢ To ensure people know who we are and what difference the Charity makes in North Staffordshire, South Cheshire and the surrounding areas.
➢ To continue to connect Stoke City Football Club to its local community.
➢ To ensure we recruit, train, and develop our staff to be recognised as high quality practitioners in their fields of expertise.
➢ To be known as a quality provider of services and activities that ensures people, funders, and organisations want to be involved with the Charity.
➢ To generate further support from fans, the business community, and individuals through our fundraising activities towards the Stoke City Community Fund and our charitable activities.

Future New Activity

➢ To liaise with the Trust’s partners in order to continually improve the delivery service for the benefit of the participants and the wider local community.
➢ Continue to deliver the Premier League Charitable Fund projects.
➢ To ensure that all our sessions are inclusive.
➢ To continue to offer the NCS programme to the young people of Stoke-on-Trent and Staffordshire.
➢ To utilise different communication channels to hopefully promote the positive impact of the Community Trust to a wider audience.

Statement as to disclosure of information to Auditors

The Trustees who were in office on the date of approval of these financial statements have confirmed, as far as they are aware, that there is no relevant audit information of which the auditors are unaware. Each trustee has confirmed that they have taken all steps that they ought to have taken as trustees in order to make themselves aware of any relevant audit information and to establish that it has been communicated to the auditor.

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Stoke City Community Trust

STATEMENT OF TRUSTEES’ RESPONSIBILITIES IN THE PREPARATION OF FINANCIAL STATEMENTS

The Trustees (who are also the directors of Stoke City Community Trust (a company limited by guarantee for the purposes of company law)) are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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

select suitable accounting policies and then apply them consistently;
observe the methods and principles in the Charities SORP;
make judgements and estimates that are reasonable and prudent;
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company 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 charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 9

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF STOKE CITY COMMUNITY TRUST

Opinion

We have audited the financial statements of Stoke City Community Trust (the ‘charitable company’) for the year ended 31 August 2020 which comprise the Statement of Financial Activities, (including the Income and Expenditure Account), the Balance Sheet, the Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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:
give a true and fair view of the state of the charitable company’s affairs as at 31 August 2020 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.

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 charitable 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

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or
the trustees have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the charitable company’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Annual Report other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

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

the information given in the Trustees’ Report, which includes the Directors’ Report prepared for the purposes of company law for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Directors’ Report, included within the Trustees’ Report has been prepared in accordance with applicable legal requirements.

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Stoke City Community Trust

STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT) for the year ended 31 August 2020

	Note	Unrestricted	Restricted	Total	Total
		Funds	funds	funds	funds
				2020	2019
		£	£	£	£
INCOME
Donations and legacies	1	49,411	-	49,411	52,931
Charitable activities	2	448,152	1,085,099	1,533,251	1,831,936
Other trading activities		21,448	-	21,448	49,869
Investments income		1,218	-	1,218	1,754
TOTAL INCOME		520,229	1,085,099	1,605,328	1,936,490
EXPENDITURE
Charitable activities	3	(593,577)	(872,955)	(1,466,532)	(1,744,570)
TOTAL EXPENDITURE		(593,577)	(872,955)	(1,466,532)	(1,744,570)
NET INCOME BEFORE TRANSFERS		(73,348)	212,144	138,796	191,920
TRANSFERS BETWEEN FUNDS	11	20,808	(20,808)	-	-
NET (EXPENDITURE)/INCOME		(52,540)	191,336	138,796	191,920
Reconciliation of funds
Total funds brought forward	11/12	1,054,501	146,230	1,200,731	1,008,811
TOTAL FUNDS CARRIED FORWARD	11/12	1,001,961	337,566	1,339,527	1,200,731

All income and expenditure derive from continuing activities.

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

Page 12

	Note	f,	2A20 t	f,	20t9 f.
FIXEDASSETS
Tarrgibleassets	6
CURREN,rASSETS
Debtorsduewithintheyear	7	28,222		t03,974
Cashatbank and in hand		1,737,716		I,537,608
TOTALCURRENTASSETS			I,765,ggg		1,641J92
CREDITORS:Amountsfalling
duewithinoneyear	8		(426,471')		(440,851)
NET CURRENTASSETS			1,339,527		1,200,731
NETASSETS			1,339,527		1,200,73I
THE FUNDSOFTHE
CIIARITY
Uruestricted funds	11		lr00l,961		1,054,501
Restricted funds	t1		337,566		146,230
TOTAL CHARITYFUNDS	12		1,339,527		1,200,731

Stoke City Community Trust STATEMENT OF CASH FLOWS for the year ended 31 August 2020

Note NET CASH PROVIDED BY OPERATING ACTIVITIES 10 CASH FLOWS FROM INVESTING ACTIVITIES Investment income Net cash used in investing activities CHANGE IN CASH AND CASH EQUIVALENTS IN THE PERIOD Cash and cash equivalent at the beginning of the year Total cash and cash equivalent at the end of the year Represented by: Cash at bank	31 August 2020 £ £ 198,950 1,218 _ 1,218 _ 200,168 1,537,608 ___ 1,737,776 ___ 1,737,776 ___	31 August 2019 £ £ 485,912 1,754 ___ 1,754 ___ 487,666 1,049,942 ___ 1,537,608 ___ 1,537,608 ___	31 August 2019 £ £ 485,912 1,754 ___ 1,754 ___ 487,666 1,049,942 ___ 1,537,608 ___ 1,537,608 ___
			487,666 1,049,942 ___
			1,537,608 ___
			1,537,608 ___

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Stoke City Community Trust ACCOUNTING POLICIES

TRUST INFORMATION

Stoke City Community Trust is an incorporated charitable Trust (charity number 1104006) limited by guarantee registered in England (company number 04875877). The Trust’s address is bet365 Stadium, Stanley Matthews Way, Stoke-on-Trent, Staffordshire, England ST4 4EG.

The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the charity’s financial statements.

BASIS OF PREPARATION

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2018) – (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Stoke City Community Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes. The financial statements are prepared in sterling which is the functional currency of the Trust. Monetary amounts in these financial statements are rounded to the nearest £.

GOING CONCERN

With regard to the Un-Restricted activities the Trust’s primary responsibility is to ensure that it remains a going concern and adheres to its reserves policy.

INCOME RECOGNITION

The values of all resources accruing to the charitable company are recorded in the Statement of Financial Activities as soon as it is legally entitled to the income and the amount can be quantified with reasonable accuracy. This is dependent on an actual receipt or enforceable right to receipt, a reasonable certainty of receipt and whether the monetary value can be sufficiently and reliably measured. Where terms and conditions relating to income have not been met or uncertainty exists as to whether the charity can meet any terms or conditions otherwise within its control, income is not recognised but is deferred as a liability until it is probable that the terms or conditions imposed can be met.

Any grant that is subject to performance-related conditions received in advance of delivering the services required by that condition or is subject to unmet conditions wholly outside the control of the recipient charity, is accounted for as a liability and shown on the balance sheet as deferred income. Deferred income is released

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Stoke City Community Trust ACCOUNTING POLICIES

to income in the reporting period in which the performance-related or other conditions that limit recognition are met.

INCOME RECOGNITION (continued)

Where time related conditions are imposed or implied by a funder, then the income is apportioned to the time periods concerned and, where applicable, is accounted for as a liability and shown on the balance sheet as deferred income. When grants are received in advance of the expenditure on the activity funded by them, but there are no specific time related conditions, then the income is not deferred.

EXPENDITURE RECOGNITION

All expenditure is accounted for on an accruals basis and includes attributable VAT which cannot be recovered. Expenditure has been classified under the appropriate heading but where costs cannot be directly attributed to particular headings (support costs); they have been allocated to activities on a basis consistent with the use of the resources. Support costs comprise all services supplied centrally, and include office staff and overhead expenses.

Governance costs are those costs associated with the governance arrangements of the charity which relate to its general running. These include audit, insurance costs, legal advice for trustees and costs associated with constitutional and statutory requirements such as the costs of trustee meetings and preparing the statutory financial statements, plus a share of support costs.

All costs are allocated between the expenditure categories of the statement of financial activities on a basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly.

DONATED SERVICES AND GIFTS IN KIND

The value of donated services and gifts in kind provided to the charity by Stoke City Football Club are disclosed at their open market value in the period in which they are receivable where the benefit to the charity can be reliably measured and are reported in the related party note to the financial statements.

TANGIBLE FIXED ASSETS

Tangible fixed assets are capitalised at cost and capital expenditure over a value of £500 is capitalised.

Depreciation is provided at the following annual rates to write off the cost, less the estimated residual value of the assets, over their expected useful economic lives as follows:

Motor vehicles - 25% straight line Office equipment - 20% straight line Plant and machinery - 33.3% straight line

A full year of depreciation is charged in the period of acquisition and none in the period of disposal.

FUND STRUCTURE

Unrestricted funds

General funds are unrestricted funds available to the charity for use at the discretion of the trustees in furtherance of the general charitable objectives of the charity and which have not been designated for other purposes.

Restricted funds

Restricted funds are subject to restrictions imposed by the donor or by the specific terms of the appeal under which funds are raised. The restrictions are binding upon the charity.

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Stoke City Community Trust ACCOUNTING POLICIES

FUND TRANSFER POLICY

At each year end it is the practice of the Trust to review all fund balances and to identify the restricted projects that have ended in that financial year.

It is the policy of the Trust that any restricted fund overspends, on ceased projects, will be transferred into the Un-Restricted (General) Reserve.

If there are any restricted fund underspends then the related fund contract is referred to. If the contract states that any such surplus should be returned then the funder is contacted, informed of the surplus balance and their instruction is adhered to.

If however the contract does not stipulate that surplus funds should be returned and the reading of the contract permits the surplus to be kept then the surplus is transferred to the Un-Restricted (General) Reserve.

TAXATION

As a registered charity the Trust is exempt from tax on income and gains falling within Part 11 of the Corporation Taxes Act 2010 or Section 252 of the Taxation of Chargeable Gains act 1992 to the extent that these are applied to these charitable objects.

FINANCIAL INSTRUMENTS

The Trust only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

Cash at bank and in hand

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

CRITICAL ACCOUNTING ESTIMATES AND AREAS OF JUDGEMENT

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions

The Charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The Trust do not consider there to be any estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.

Page 17

Stoke City Community Trust NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

1 INCOME: DONATIONS AND LEGACIES

	Unrestricted	Unrestricted
	2020	2019
	£	£
Donations	49,411	52,931

2 INCOME: CHARITABLE ACTIVITIES

	Unrestricted	Restricted	Total	Total
	funds	funds	2020	2019
	£	£	£	£
Sports Participation	340,152	587,818	927,970	1,213,601
Education and Lifelong Learning	-	497,281	497,281	543,335
Core cost support	108,000	-	108,000	75,000
	448,152	1,085,099	1,533,251	1,831,936

£1,285,966 of income was attributed to restricted funds in 2019.

Other trading and investment income were unrestricted in 2019.

3 RESOURCES EXPENDED: CHARITABLE ACTIVITIES

Direct costs £ Sports Participation 867,081 Education and Lifelong Learning 318,008 Core support costs - Governance costs - 1,185,089	Support costs Total 2020 Total 2019 £ £ £ - 867,081 1,183,591 - 318,008 441,440 275,190 275,190 113,719 6,253 6,253 5,820 281,443 1,466,532 1,744,570

£1,195,359 of charitable activities costs were attributable to restricted funds in 2019.

Page 18

Stoke City Community Trust NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

3 RESOURCES EXPENDED: CHARITABLE ACTIVITIES (continued)

a) Support costs allocation

The charity allocates its support costs to general activities unless it is appropriate to allocate them between the other charitable activities undertaken. The charitable activities are as listed above.

Support costs are allocated on a basis consistent with the use of resources as explained above:

		Core support	Core support
		2020	2019
		£	£
	PL Continuous Improvement Costs	21,600	21,600
	Salaries and social security costs	248,351	86,084
	Pensions	10,115	3,725
	Medical costs	2,183	1,959
	Travelling and subsistence	3,173	10,371
	Bank charges	840	1,679
	Motor expenses	2,177	3,124
	Other expenses	35,176	56,702
	Depreciation	-	1,680
	Recharge	(48,425)	(73,205)
		275,190	113,719
b)	Governance costs	Unrestricted	Unrestricted
		2020	2019
		£	£
	Professional fees	6,253	5,820

Page 19

Stoke City Community Trust NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

4 NET INCOMING RESOURCES FOR THE PERIOD

Net incoming resources for the period is stated after charging:

	2020	2019
	£	£
Auditor’s remuneration	6,253	5,820
Depreciation	-	2,400

5 STAFF NUMBERS, COSTS AND KEY MANAGEMENT REMUNERATION

The average number of persons employed (excluding trustees) during the year was 54 (2019: 56).

In addition to the above the charity employed an average of 30 casual staff during the year (2019: 37).

No emoluments or expenses were paid during the year to trustees (2019: £nil). Details of employee costs are as follows:

	2020	2019
	£	£
Wages and salaries	1,099,411	1,173,157
Social security costs	81,164	81,717
Pension costs	42,309	42,164
	1,222,884	1,297,038
The number of higher paid employees was:
	2020	2019
	No	No
In the band £60,000 - £69,999	1	1

The number of higher paid employees was:

Stoke City Football Club runs a defined contribution pension scheme, which employees of Stoke City Community Trust are eligible to join.

The key management personnel are the Trustees. The total remuneration of these key management personnel was £nil (2019: £nil).

Page 20

Stoke City Community Trust NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

6 TANGIBLE FIXED ASSETS

Motor
vehicles
£
Office
equipment
£
Plant and
machinery
£
Cost
At beginning and end of year
85,748
24,003
4,350
Depreciation
At beginning and end of year
85,748
24,003
4,350
Net book value
At 31 August 2020
-
-
-
At 31 August 2019
-
-
-
Fixed assets are held for direct charitable purposes.
7
DEBTORS: Amounts falling due within one year
2020
£
Trade debtors
4,323
Prepayments and accrued income
20,463
Amounts due from related undertakings
3,436
28,222

Total
£
114,101
114,101
-
-
2019
£
84,471
19,503
-
103,974

Page 21

Stoke City Community Trust NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

8 CREDITORS: Amounts falling due within one year

Trade creditors Other taxes and social security Accruals and deferred income Amounts due to related undertakings Deferred income Brought forward Deferred in year Released in year Carried forward	2020 £ 23,038 18,588 188,219 196,626 426,471 2020 £ 237,500 180,334 (237,500) 180,334	2019 £ 19,574 25,293 245,407 150,577
		440,851
		2019 £ - 237,500 -
		237,500

9 COMPANY LIMITED BY GUARANTEE

Stoke City Community Trust is a company limited by guarantee and accordingly does not have share capital. Every member of the charitable company undertakes to contribute such amount as may be required not exceeding £10 in the event of it being wound up while he or she is a member, or within one year after he or she ceases to be a member.

10 RECONCILIATION OF OPERATING SURPLUS TO CASH INFLOW FROM OPERATING ACTIVITIES

	31 August	31 August
	2020	2019
	£	£
Net movement in funds	138,796	191,920
Add back depreciation charge	-	2,400
Deduct investment income	(1,218)	(1,754)
Decrease in debtors	75,752	29,938
(Decrease)/increase in creditors	(14,380)	263,408
	_	_
Net cash provided by operating activities	198,950	485,912
	_	_

Page 22

Stoke City Community Trust NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

11 STATEMENT OF FUNDS

	At 1				At 31
	September	Income	Expenditure	Transfer of	August
	2019	resources	expended	funds	2020
	£	£	£	£	£
Unrestricted funds:
General fund	1,054,501	520,229	(593,577)	20,808	1,001,961
Restricted funds:
Sports Participation	18,119	587,818	(554,947)	49	51,039
Education & Lifelong Learning	128,111	497,281	(318,008)	(20,857)	286,527
	146,230	1,085,099	(872,955)	(20,808)	337,566
TOTAL FUNDS	1,200,731	1,605,328	(1,466,532)	-	1,339,527
	At 1				At 31
	September	Income	Expenditure	Transfer of	August
	2018	resources	expended	funds	2019
	£	£	£	£	£
Unrestricted funds:
General fund	900,381	650,524	(549,211)	52,807	1,054,501
Restricted funds:
Sports Participation	28,963	742,631	(753,919)	444	18,119
Education & Lifelong Learning	79,467	543,335	(441,440)	(53,251)	128,111
	108,430	1,285,966	(1,195,359)	(52,807)	146,230
TOTAL FUNDS	1,008,811	1,936,490	(1,744,570)	-	1,200,731

Unrestricted funds

The general fund represents the unrestricted funds of the charity that are not designated for particular purposes.

Restricted funds

The restricted funds represent contracts to supply specific services under each of the above categories.

Transfers

There was one Sports Participation and two Education & Lifelong Learning Funds that had overspends on and these liabilities were met by surplus unrestricted reserves. There was also one Sports Participation and two Education & Lifelong Learning Funds that had underspends on and these surpluses were transferred into other current restricted funds, at the request of the funder. Finally, there was an Education & Lifelong fund that was delivered in the year to its full contractual objectives and obligation and its surplus fund balance was transferred to the unrestricted fund.

Page 23

Stoke City Community Trust NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

12 ANALYSIS OF NET ASSETS BETWEEN FUNDS

	Unrestricted	Restricted	Total
	funds	funds	funds
	£	£	£
Debtors	22,572	5,650	28,222
Cash at bank and in hand	1,114,787	622,989	1,737,776
Creditors	(135,398)	(291,073)	(426,471)
TOTAL NET ASSETS AS AT 31 AUGUST 2020	1,001,961	337,566	1,339,527
	Unrestricted	Restricted	Total
	funds	funds	funds
	£	£	£
Debtors	92,687	11,287	103,974
Cash at bank and in hand	1,056,205	481,403	1,537,608
Creditors	(94,391)	(346,460)	(440,851)
TOTAL NET ASSETS AS AT 31 AUGUST 2019	1,054,501	146,230	1,200,731

13 RELATED PARTY TRANSACTIONS

The Trustees consider that Stoke City Football Club Limited is a related party of the charitable company by virtue of significant influence. The charity receives significant financial support from the Football Club in respect of office space and other costs, and this Gift in Kind in respect of specific establishment costs, player and personnel time has been estimated at £245,459 (2019: £266,747). During the year there were sales of £128,465 (2019: £113,356) made to Stoke City Football Club Limited and at 31 August 2020 £nil (2019: £5,132) was owed. Certain specific, dedicated salary and other costs relating to the charity are recharged. These costs totalled £1,285,106 (2019: restated £1,411,566) and at 31 August 2020 £196,286 was owed to the Football Club (2019: restated* £160,428).

The Trustees consider that Stoke City (Property) Limited is a related party as both J Pelling and AJ Scholes are key management of both reporting entities. During the year there were sales of £1,930 (2019: £3,073) made to Stoke City (Property) Limited and at 31 August 2020 £nil (2019: £nil) was owed. Other costs relating to the charity are recharged. These costs totalled £29,137 (2019: £31,033) and at 31 August 2020 £18,930 was owed to Stoke City (Property) Limited (2019: £15,442).

The trustees consider bet365 Group Limited as a related party. At the year end there was an amount due from bet365 Group Limited of £3,436 (2019: £nil). Value of services provided during the year was £48,140 (2019: £nil).

Prior year recharges from related party, Stoke City Football Club, have been restated from £1,336,869 to £1,411,566, to reflect non-salary related recharges.

** Prior year amount owed to Stoke City Football Club Limited has been restated from £141,414 to £160,428 to include non-salary related items owed to the Club.

Page 24

Stoke City Community Trust (A company limited by Guarantee)

REPORT AND FINANCIAL STATEMENTS

31 August 2020

Company Registration No. 04875877 Registered Charity No. 1104006

Stoke City Community Trust CONTENTS

TRUSTEES’ ANNUAL REPORT	1
STATEMENT OF TRUSTEES’ RESPONSIBILITIES IN THE PREPARATION OF FINANCIAL
STATEMENTS	9
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF STOKE CITY COMMUNITY
TRUST	10
STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE
ACCOUNT)	12
BALANCE SHEET	13
STATEMENT OF CASH FLOWS	14
ACCOUNTING POLICIES	15
NOTES TO THE FINANCIAL STATEMENTS	18

Stoke City Community Trust TRUSTEES’ ANNUAL REPORT

REFERENCE AND ADMINISTRATIVE DETAILS

REGISTERED CHARITY NUMBER	1104006
COMPANY REGISTRATION NUMBER	04875877
COMPANY SECRETARY	J Pelling
TRUSTEES/DIRECTORS	AJ Scholes
	R Flello
	G Mellor
	D Smith
	J Pelling
	C Iwelumo
AUDITORS	RSM UK Audit LLP
	Chartered Accountants
	Festival Way
	Stoke-on-Trent
	Staffordshire
	ST1 5BB
BANKERS	Barclays Bank plc
	118 High Street
	Newcastle-under-Lyme
	Staffordshire
	ST5 1PT
REGISTERED OFFICE	bet365 Stadium
	Stanley Matthews Way
	Stoke-on-Trent
	Staffordshire
	England
	ST4 4EG

Page 1

Stoke City Community Trust TRUSTEES’ ANNUAL REPORT

Trustees Annual Report

Structure, Governance and Management

Key management personnel remuneration is determined by the Trustees.

Appointment of Trustees

Trustee induction and training

Risk management process

The principal risk identified by the Trustees is Safeguarding. This is managed via the Risk Framework review process.

Reserves policy

Internal Controls

*An Annual Budget approved by the Trustees

*Regular consideration of financial results

*Identification and management of risks

The Trustees have given due consideration to the Charity Commission published guidance on the operation of the Public Benefit requirement.

Page 2

Stoke City Community Trust TRUSTEES’ ANNUAL REPORT

Financial Review

Detail of income and expenditure is provided in the Notes to the Financial Statements and is summarised below:

Description £’000	2020	2019
Restricted Income:	£1,085	£1,286
Un-Restricted Income:	£520	£650
Total Income:	£1,605	£1,936
Total Resources Expended:	£1,467	£1,745
Un-Restricted Reserves:	£1,002	£1,055
Restricted Reserves:	£338	£146
Total Reserves:	£1,340	£1,201

Objectives

The Trust firmly believes that its influence and reach will allow it to make a positive difference to the health, wellbeing and life outcomes of those participants who engage in its activities.

Furthermore, the Trust intends to follow a person centred approach by providing opportunities for participants to progress into volunteer and part time employment opportunities with the Club.

The Trust’s main activities are outlined below.

Achievements and Performance

Page 3

Stoke City Community Trust TRUSTEES’ ANNUAL REPORT

Covid19

With regard to the Un-Restricted activities the Trust’s primary responsibility is to ensure that it remains a going concern and adheres to its reserves policy.

Sports Development projects delivered in 2019-20

Football Development

Identical pathways are also in place for both the girls and the disability football development programmes which has led to several players receiving international recognition.

The charity’s international soccer school programme also suffered due to the Covid-19 travel restrictions put in place.

Schools Football Project

Community & Education Football Alliance (11v11)

Page 4

Stoke City Community Trust TRUSTEES’ ANNUAL REPORT

Degree Programme

Students will complete up to 200 hours of voluntary coaching within the community, alongside the Community Trust and academy staff.

This programme was largely unaffected by the lockdown as the majority of the sessions took place online.

Wildcats

Wildcats is for girls aged 5-11 who want to get involved with football for the very first time or want the opportunity to play with other girls their own age at venues across the County.

Mums Play

Regional Talent Club (RTC)

Dads & Daughters

Education, Training and Employment projects delivered in 2019-20

Primary Stars

Premier League Inspires

Traineeships

Page 5

Stoke City Community Trust TRUSTEES’ ANNUAL REPORT

Essential Life Skills

Community Inclusion, Disability and Health projects delivered in 2019-20

RISE

Kicks

The National Citizen Service (NCS)

Premier League Kicks Targeted

This programme aims to provide one to one support to young people identified as vulnerable or on the cusp of gangs’ violence.

Football Fans in Training

A programme aimed at engaging men and women, with a BMI over 25, in regular physical activity and healthy lifestyle choices, with the aim of losing and sustaining weight loss.

Walking Football

Lived Experience

Physical Therapy Session

In partnership with ‘Goal Difference’ our physical therapy sessions bring together groups and individuals who are looking to begin or to return to sport and physical activity.

Page 6

Stoke City Community Trust TRUSTEES’ ANNUAL REPORT

Thank You for Your Support

Future Developments

The Trust will respond to any potential partner and community needs as North Staffordshire moves out of the National Covid-19 lockdown restrictions and any subsequent recovery plans.

The Charities core objectives for the 2020/21 Season are:

➢ To ensure people know who we are and what difference the Charity makes in North Staffordshire, South Cheshire and the surrounding areas.
➢ To continue to connect Stoke City Football Club to its local community.
➢ To ensure we recruit, train, and develop our staff to be recognised as high quality practitioners in their fields of expertise.
➢ To be known as a quality provider of services and activities that ensures people, funders, and organisations want to be involved with the Charity.
➢ To generate further support from fans, the business community, and individuals through our fundraising activities towards the Stoke City Community Fund and our charitable activities.

Future New Activity

➢ To liaise with the Trust’s partners in order to continually improve the delivery service for the benefit of the participants and the wider local community.
➢ Continue to deliver the Premier League Charitable Fund projects.
➢ To ensure that all our sessions are inclusive.
➢ To continue to offer the NCS programme to the young people of Stoke-on-Trent and Staffordshire.
➢ To utilise different communication channels to hopefully promote the positive impact of the Community Trust to a wider audience.

Statement as to disclosure of information to Auditors

Page 7

Stoke City Community Trust

STATEMENT OF TRUSTEES’ RESPONSIBILITIES IN THE PREPARATION OF FINANCIAL STATEMENTS

select suitable accounting policies and then apply them consistently;
observe the methods and principles in the Charities SORP;
make judgements and estimates that are reasonable and prudent;
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.

Page 9

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF STOKE CITY COMMUNITY TRUST

Opinion

In our opinion the financial statements:
give a true and fair view of the state of the charitable company’s affairs as at 31 August 2020 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

Conclusions relating to going concern

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or
the trustees have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the charitable company’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.

Other information

Opinion on other matters prescribed by the Companies Act 2006

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

the information given in the Trustees’ Report, which includes the Directors’ Report prepared for the purposes of company law for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Directors’ Report, included within the Trustees’ Report has been prepared in accordance with applicable legal requirements.

Page 10

Stoke City Community Trust

STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT) for the year ended 31 August 2020

	Note	Unrestricted	Restricted	Total	Total
		Funds	funds	funds	funds
				2020	2019
		£	£	£	£
INCOME
Donations and legacies	1	49,411	-	49,411	52,931
Charitable activities	2	448,152	1,085,099	1,533,251	1,831,936
Other trading activities		21,448	-	21,448	49,869
Investments income		1,218	-	1,218	1,754
TOTAL INCOME		520,229	1,085,099	1,605,328	1,936,490
EXPENDITURE
Charitable activities	3	(593,577)	(872,955)	(1,466,532)	(1,744,570)
TOTAL EXPENDITURE		(593,577)	(872,955)	(1,466,532)	(1,744,570)
NET INCOME BEFORE TRANSFERS		(73,348)	212,144	138,796	191,920
TRANSFERS BETWEEN FUNDS	11	20,808	(20,808)	-	-
NET (EXPENDITURE)/INCOME		(52,540)	191,336	138,796	191,920
Reconciliation of funds
Total funds brought forward	11/12	1,054,501	146,230	1,200,731	1,008,811
TOTAL FUNDS CARRIED FORWARD	11/12	1,001,961	337,566	1,339,527	1,200,731

All income and expenditure derive from continuing activities.

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

Page 12

	Note	f,	2A20 t	f,	20t9 f.
FIXEDASSETS
Tarrgibleassets	6
CURREN,rASSETS
Debtorsduewithintheyear	7	28,222		t03,974
Cashatbank and in hand		1,737,716		I,537,608
TOTALCURRENTASSETS			I,765,ggg		1,641J92
CREDITORS:Amountsfalling
duewithinoneyear	8		(426,471')		(440,851)
NET CURRENTASSETS			1,339,527		1,200,731
NETASSETS			1,339,527		1,200,73I
THE FUNDSOFTHE
CIIARITY
Uruestricted funds	11		lr00l,961		1,054,501
Restricted funds	t1		337,566		146,230
TOTAL CHARITYFUNDS	12		1,339,527		1,200,731

Stoke City Community Trust STATEMENT OF CASH FLOWS for the year ended 31 August 2020

Note NET CASH PROVIDED BY OPERATING ACTIVITIES 10 CASH FLOWS FROM INVESTING ACTIVITIES Investment income Net cash used in investing activities CHANGE IN CASH AND CASH EQUIVALENTS IN THE PERIOD Cash and cash equivalent at the beginning of the year Total cash and cash equivalent at the end of the year Represented by: Cash at bank	31 August 2020 £ £ 198,950 1,218 _ 1,218 _ 200,168 1,537,608 ___ 1,737,776 ___ 1,737,776 ___	31 August 2019 £ £ 485,912 1,754 ___ 1,754 ___ 487,666 1,049,942 ___ 1,537,608 ___ 1,537,608 ___	31 August 2019 £ £ 485,912 1,754 ___ 1,754 ___ 487,666 1,049,942 ___ 1,537,608 ___ 1,537,608 ___
			487,666 1,049,942 ___
			1,537,608 ___
			1,537,608 ___

Page 14

Stoke City Community Trust ACCOUNTING POLICIES

TRUST INFORMATION

The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the charity’s financial statements.

BASIS OF PREPARATION

GOING CONCERN

With regard to the Un-Restricted activities the Trust’s primary responsibility is to ensure that it remains a going concern and adheres to its reserves policy.

INCOME RECOGNITION

Page 15

Stoke City Community Trust ACCOUNTING POLICIES

to income in the reporting period in which the performance-related or other conditions that limit recognition are met.

INCOME RECOGNITION (continued)

EXPENDITURE RECOGNITION

DONATED SERVICES AND GIFTS IN KIND

TANGIBLE FIXED ASSETS

Tangible fixed assets are capitalised at cost and capital expenditure over a value of £500 is capitalised.

Depreciation is provided at the following annual rates to write off the cost, less the estimated residual value of the assets, over their expected useful economic lives as follows:

Motor vehicles - 25% straight line Office equipment - 20% straight line Plant and machinery - 33.3% straight line

A full year of depreciation is charged in the period of acquisition and none in the period of disposal.

FUND STRUCTURE

Unrestricted funds

Restricted funds

Restricted funds are subject to restrictions imposed by the donor or by the specific terms of the appeal under which funds are raised. The restrictions are binding upon the charity.

Page 16

Stoke City Community Trust ACCOUNTING POLICIES

FUND TRANSFER POLICY

At each year end it is the practice of the Trust to review all fund balances and to identify the restricted projects that have ended in that financial year.

It is the policy of the Trust that any restricted fund overspends, on ceased projects, will be transferred into the Un-Restricted (General) Reserve.

TAXATION

FINANCIAL INSTRUMENTS

Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

Cash at bank and in hand

Creditors and provisions

CRITICAL ACCOUNTING ESTIMATES AND AREAS OF JUDGEMENT

Critical accounting estimates and assumptions

Page 17

Stoke City Community Trust NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

1 INCOME: DONATIONS AND LEGACIES

	Unrestricted	Unrestricted
	2020	2019
	£	£
Donations	49,411	52,931

2 INCOME: CHARITABLE ACTIVITIES

	Unrestricted	Restricted	Total	Total
	funds	funds	2020	2019
	£	£	£	£
Sports Participation	340,152	587,818	927,970	1,213,601
Education and Lifelong Learning	-	497,281	497,281	543,335
Core cost support	108,000	-	108,000	75,000
	448,152	1,085,099	1,533,251	1,831,936

£1,285,966 of income was attributed to restricted funds in 2019.

Other trading and investment income were unrestricted in 2019.

3 RESOURCES EXPENDED: CHARITABLE ACTIVITIES

Direct costs £ Sports Participation 867,081 Education and Lifelong Learning 318,008 Core support costs - Governance costs - 1,185,089	Support costs Total 2020 Total 2019 £ £ £ - 867,081 1,183,591 - 318,008 441,440 275,190 275,190 113,719 6,253 6,253 5,820 281,443 1,466,532 1,744,570

£1,195,359 of charitable activities costs were attributable to restricted funds in 2019.

Page 18

Stoke City Community Trust NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

3 RESOURCES EXPENDED: CHARITABLE ACTIVITIES (continued)

a) Support costs allocation

Support costs are allocated on a basis consistent with the use of resources as explained above:

		Core support	Core support
		2020	2019
		£	£
	PL Continuous Improvement Costs	21,600	21,600
	Salaries and social security costs	248,351	86,084
	Pensions	10,115	3,725
	Medical costs	2,183	1,959
	Travelling and subsistence	3,173	10,371
	Bank charges	840	1,679
	Motor expenses	2,177	3,124
	Other expenses	35,176	56,702
	Depreciation	-	1,680
	Recharge	(48,425)	(73,205)
		275,190	113,719
b)	Governance costs	Unrestricted	Unrestricted
		2020	2019
		£	£
	Professional fees	6,253	5,820

Page 19

Stoke City Community Trust NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

4 NET INCOMING RESOURCES FOR THE PERIOD

Net incoming resources for the period is stated after charging:

	2020	2019
	£	£
Auditor’s remuneration	6,253	5,820
Depreciation	-	2,400

5 STAFF NUMBERS, COSTS AND KEY MANAGEMENT REMUNERATION

The average number of persons employed (excluding trustees) during the year was 54 (2019: 56).

In addition to the above the charity employed an average of 30 casual staff during the year (2019: 37).

No emoluments or expenses were paid during the year to trustees (2019: £nil). Details of employee costs are as follows:

	2020	2019
	£	£
Wages and salaries	1,099,411	1,173,157
Social security costs	81,164	81,717
Pension costs	42,309	42,164
	1,222,884	1,297,038
The number of higher paid employees was:
	2020	2019
	No	No
In the band £60,000 - £69,999	1	1

The number of higher paid employees was:

Stoke City Football Club runs a defined contribution pension scheme, which employees of Stoke City Community Trust are eligible to join.

The key management personnel are the Trustees. The total remuneration of these key management personnel was £nil (2019: £nil).

Page 20

Stoke City Community Trust NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

6 TANGIBLE FIXED ASSETS

Total
£
114,101
114,101
-
-
2019
£
84,471
19,503
-
103,974

Page 21

Stoke City Community Trust NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

8 CREDITORS: Amounts falling due within one year

Trade creditors Other taxes and social security Accruals and deferred income Amounts due to related undertakings Deferred income Brought forward Deferred in year Released in year Carried forward	2020 £ 23,038 18,588 188,219 196,626 426,471 2020 £ 237,500 180,334 (237,500) 180,334	2019 £ 19,574 25,293 245,407 150,577
		440,851
		2019 £ - 237,500 -
		237,500

9 COMPANY LIMITED BY GUARANTEE

10 RECONCILIATION OF OPERATING SURPLUS TO CASH INFLOW FROM OPERATING ACTIVITIES

	31 August	31 August
	2020	2019
	£	£
Net movement in funds	138,796	191,920
Add back depreciation charge	-	2,400
Deduct investment income	(1,218)	(1,754)
Decrease in debtors	75,752	29,938
(Decrease)/increase in creditors	(14,380)	263,408
	_	_
Net cash provided by operating activities	198,950	485,912
	_	_

Page 22

Stoke City Community Trust NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

11 STATEMENT OF FUNDS

	At 1				At 31
	September	Income	Expenditure	Transfer of	August
	2019	resources	expended	funds	2020
	£	£	£	£	£
Unrestricted funds:
General fund	1,054,501	520,229	(593,577)	20,808	1,001,961
Restricted funds:
Sports Participation	18,119	587,818	(554,947)	49	51,039
Education & Lifelong Learning	128,111	497,281	(318,008)	(20,857)	286,527
	146,230	1,085,099	(872,955)	(20,808)	337,566
TOTAL FUNDS	1,200,731	1,605,328	(1,466,532)	-	1,339,527
	At 1				At 31
	September	Income	Expenditure	Transfer of	August
	2018	resources	expended	funds	2019
	£	£	£	£	£
Unrestricted funds:
General fund	900,381	650,524	(549,211)	52,807	1,054,501
Restricted funds:
Sports Participation	28,963	742,631	(753,919)	444	18,119
Education & Lifelong Learning	79,467	543,335	(441,440)	(53,251)	128,111
	108,430	1,285,966	(1,195,359)	(52,807)	146,230
TOTAL FUNDS	1,008,811	1,936,490	(1,744,570)	-	1,200,731

Unrestricted funds

The general fund represents the unrestricted funds of the charity that are not designated for particular purposes.

Restricted funds

The restricted funds represent contracts to supply specific services under each of the above categories.

Transfers

Page 23

Stoke City Community Trust NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 August 2020

12 ANALYSIS OF NET ASSETS BETWEEN FUNDS

	Unrestricted	Restricted	Total
	funds	funds	funds
	£	£	£
Debtors	22,572	5,650	28,222
Cash at bank and in hand	1,114,787	622,989	1,737,776
Creditors	(135,398)	(291,073)	(426,471)
TOTAL NET ASSETS AS AT 31 AUGUST 2020	1,001,961	337,566	1,339,527
	Unrestricted	Restricted	Total
	funds	funds	funds
	£	£	£
Debtors	92,687	11,287	103,974
Cash at bank and in hand	1,056,205	481,403	1,537,608
Creditors	(94,391)	(346,460)	(440,851)
TOTAL NET ASSETS AS AT 31 AUGUST 2019	1,054,501	146,230	1,200,731

13 RELATED PARTY TRANSACTIONS

Prior year recharges from related party, Stoke City Football Club, have been restated from £1,336,869 to £1,411,566, to reflect non-salary related recharges.

** Prior year amount owed to Stoke City Football Club Limited has been restated from £141,414 to £160,428 to include non-salary related items owed to the Club.

Page 24

Stoke City Community Trust Audit findings report – year ended 31[st] August 2020

RISKS

Significant risks

Higher assessed risks

Management override of internal controls
Fund accounting
Journals: No issues or errors noted, control recommendation made

We reviewed income streams to ensure that any conditions attached to the income have been applied, and that the income and related expenditure has been appropriately classified. Spending of restricted income appears to be in line with conditions imposed.

  - Unusual Transactions: None noted.

Revenue recognition and cut off
We reviewed contractual and grant agreements to ensure that all income and any potential claw backs by funders have been satisfactorily reflected in the financial statements. We noted that a number of income streams are conditional upon certain criteria being met, as such income is only recognised once these criteria have been fulfilled. This approach is compliant with the FRS102 Charities SORP.
Related parties & donated services

We reviewed the completeness and accuracy of related party transactions disclosure. The donated services appear to have been allocated to the charity on an appropriate basis, in line with activity and on a comparable basis to previous years. The accounts appear reasonable and accurate and provide users of the accounts with appropriate information and disclosure.

Adjusted misstatements

Going concern

We have assessed the trustees’ conclusions on going concern in the context of the grant funding environment, covid-19 considerations and future cash flow projections. Forecasts have been scrutinised and appear attainable given current conditions of the Trust. Final accounting policy and Trustee Report disclosure on going concern is deemed appropriate.

There were £36k additional related party purchases in the year identified. Additional prior year related party purchases relating to Stoke City Football Club have also been identified and disclosed in the note for transparency. The figures have been updated in the related party note with actual prior year figures also disclosed.

Disclosures

£3.4k was reclassified as a related party debtor (amount due from bet365) and the related transactions disclosed.

All disclosure amendments recommended have been processed in the final accounts.

Control recommendations

Journals:-

To consider implementing a formal review process for non-routine journals in addition to the board review of accounts.

Unadjusted misstatements

Dr Costs £220k Cr Gift in Kind £220k, to recognise the donated facilities as Gift in Kind from the football club.

Change in materiality

No change in materiality since it was set at planning.

Representations sought

In addition to the standard representations: http://www.rsmuk.com/standard-representations we have asked for confirmation of fund transfers.

YOUR RSM TEAM

Anna Spencer-Gray Principal

Tel: +44 (0) 7436 268623 anna.spencer-gray@rsmuk.com

Cheryl Randles Manager

Tel: +44 (0) 7436 831040 cheryl.randles@rsmuk.com

Rachel George Supervisor

Tel: +44 (0) 1782 216000 rache.george@rsmuk.com

Respective responsibilities

As auditor we are responsible for performing the audit in accordance with ISAs (UK), which is directed towards forming and expressing an opinion on the financial statements that have been prepared by management with the oversight of those charged with governance.

The audit of the financial statements does not relieve management or those charged with governance of their responsibilities.

FINANCIAL REPORTING UPDATES

Important updates

A full list of financial reporting updates can be found by clicking the link below