Registered number: 04793176 Charity number: 1104356 

## **PACES SHEFFIELD** 

**(A company limited by guarantee)** 

**TRUSTEES' REPORT AND FINANCIAL STATEMENTS** 

**FOR THE PERIOD ENDED 31 AUGUST 2020** 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## CONTENTS 

||Page|
|---|---|
|**Reference and administrative details of the Company, its Trustees and advisers**|1|
|**Trustees' report**|2 - 10|
|**Independent auditor's report on the financial statements**|11 - 13|
|**Statement of financial activities**|14|
|**Balance sheet**|15 - 16|
|**Statement of cash flows**|17|
|**Notes to the financial statements**|18 - 40|





## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS _FOR THE PERIOD ENDED 31 AUGUST 2020_ 

|**Trustees**|Ann Rawlins Menzies-Blythe,Chair|
|---|---|
||Janet Baker|
||Colin Harris|
||MaryFrance(resigned 7 March 2021)|
||Norma Marie Brindley|
||Alex Guy (resigned 12 June 2020)|
||Suzanne Munroe|
||Walter Hirst(resigned 13 March 2021)|
||Angela Sandhal(resigned 21 October 2019)|
||Marion Hutchinson(appointed 22 March 2021)|
||Rachel Dodd(appointed 16 September 2019)|
||Anita Sandhal(appointed 26 June 2019)|
||David Idle(appointed 22 March 2021)|
|**Company registered**<br>**number**<br>04793176<br>**Charity registered number**<br>1104356<br>**Registered office**<br>Unit 4<br>Smithy Wood Business Park<br>Smithy Wood Drive<br>Sheffield<br>S35 1QN<br>**Company secretary**<br>Kelly Broughton<br>**Chief executive**<br>Spencer Pitfield<br>**Independent auditor**<br>BHP LLP<br>Chartered Accountants<br>Statutory Auditor<br>2 Rutland Park<br>Sheffield<br>S10 2PD<br>**Bankers**<br>Royal Bank of Scotland<br>5 Church Street<br>Sheffield<br>S1 1HF||



Page 1 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## TRUSTEES' REPORT 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

The Trustees, who are all Directors of the Charitable Company present their annual report on the affairs of the Charitable company, together with the audited financial statements for the period ended 31 August 2020. 

The financial statements have been prepared in accordance with the accounting policies set out in notes to the accounts and comply with the Charity’s governing document (updated 22 September 2018), the Charities Act 2011 and 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 published in October 2019. 

Since the Company qualifies as small Company (Limited by Guarantee) under section 383, the strategic report required of medium and large companies under The Companies Act 2006 (Strategic Report and Director's Report) Regulations 2013 is not required. 

## _**Structure, governance and management**_ 

## **a. Constitution** 

The Company is registered as a Charitable Company Limited by Guarantee and was set up by a Memorandum of Association on 22 May 2003. It is constituted under a Memorandum of Association dated 22 May 2003 and is a registered Charity number 1104356. Paces Sheffield Company Number is 04793176. 

New Memorandum & Articles were adopted by Special Resolution by Charity Members at the Annual General Meeting (AGM) on 22 September 2018. Most significantly these new Charity Articles incorporate for the first time a Governance/Leadership framework for the School Governing Body (45.1-45.8.3). At this time the AGM also adopted new Trustee and Governor application forms; Trustee/Governor Application Protocol; Whistleblowing Policy for Charity Volunteers; Member, Trustee & Governor Privacy Notice; Membership Eligibility Statement; Membership Application form and Member Code of Conduct. 

As the Charitable Company continues to develop both the School Governing Body and Trustee Board of Directors continue to focus on how the Company’s Articles of Memorandum & Association might be further enhanced and improved. 

## **b. Methods of appointment or election of Trustees** 

The appointment of Trustees is in accordance with the new Memorandum and Articles adopted in Autumn 2018 (22 September). Trustees retire from office at every AGM and are deemed to be reappointed after declaring they are willing to act unless it is resolved not to fill the vacancy or a resolution for the reappointment of the Trustee is put to the meeting and lost. 

Members vote to appoint Trustees at the AGM. Trustees can appoint a new Trustee at any time, although not more than 10 Trustee positions including Chair, and they will remain in post until the next AGM. Anyone interested in a Trustee position is asked to complete an application form, providing two valid references. Once an application for Trustee is deemed complete and 2 references taken up, the applicant is invited to a meeting with at least two sitting Trustees (including Chair). A recommendation is thereafter placed before the Trustee Board from the interviewing panel about the application. New Trustees have planned visits and receive written material and information outlining their roles and responsibilities. Trustee’s also sign the Charity Commission’s Declaration of eligibility and responsibility and complete an annual register of interests. 

Page 2 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## TRUSTEES' REPORT (CONTINUED) 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **Structure, governance and management (continued)** 

## **c. Risk management** 

The Trustees have assessed the major risks to which the Company is exposed, in particular those related to the operations and finances of the Company and are satisfied that systems and procedures are in place to mitigate exposure to these major risks. The key risks are identified below along with steps put into place to mitigate those risks: 

• **Loss of statutory funding** - Successive Governments commit to allocating additional funds for children with Special Educational Needs (SEN) especially those with an Education, Health and Care (EHC) plans – all children attending Paces school receive an EHC plan. Paces charges will remain comparatively low in the SEN sector when compared to other providers. 

• **Availability of adequately trained staff** – We maintain good relations with training providers and offer placements to trainees where able. Support staff skills are developed internally. Our School and Adult provision has an active programme of internal and external training provisions including; OCN training (led by the School’s accredited Deputy Headteacher), Teacher QTS and Conductor training, together with support for Degree Level studies where deemed essential. A reduced service would be actioned as a last resort. 

• **Loss of key management staff** – We consult and involve key staff in planning the organisational structure and identifying their role to support succession planning and to promote staff loyalty and wellbeing.  Paces is in the process of reviewing its HR approach such that it can recruit, train and retain the highest calibre of employee within its means. 

• **Failure to recruit Trustees** – The Charity has currently 9 appointed/serving Trustees (out of a possible 10 available positions as listed in Memorandum & Articles), and always works carefully to fill any vacant Trustee role. Specifically, at this time there is a requirement to gain further Trustee expertise in the key highlighted areas of Financial Management and Human Resources. 

• **Covid-19 Pandemic** – The Covid-19 Pandemic has brought forward considerable further risks and challenges for our Charity. Trustees and Senior Leadership Team colleagues have worked hard to develop effective and clear responses to all challenges raised. In particular, this has resulted in more regular Finance & Remuneration and Trustee Board meetings – as Trustees and Charity Officers work closely to respond to the key demands and issues faced. 

## _**Objectives and activities**_ 

**Paces’ Charitable Object:** To promote the care, welfare, interest, treatment and education of persons with motor dysfunction in particular by the promotion and provision of facilities for Conductive Education. 

**Paces’ Mission:** Supporting families supporting children with disabilities into independent adulthood as active citizens, especially those with cerebral palsy and particularly through conductive education. 

**Paces’ Vision:** To be a Centre of Excellence and Specialist Resource for children, adults and their families, also for those working with children and adults with physical and related learning difficulties of a neurological condition (typically Cerebral Palsy). Providing leadership in the field of Conductive Education including partnering with others. 

Page 3 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## TRUSTEES' REPORT (CONTINUED) 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **Objectives and activities (continued)** 

Paces has, and holds, certain core values in everything we do: 

## **Innovative:** We will; 

- Be alert to changes in need and be positive about change 

- Pilot innovative projects and be passionate about communicating and celebrating success so they can be taken further by others 

- Search out and promote new ideas and best practice 

## **Inclusive:** We will; 

- Value the contribution others can make, and we will take time to consult and listen to their views 

- Be responsive to requests for support and suggestions for developing what we do 

- Involve stakeholders in shaping what we do 

- Promote diversity and equality of opportunity 

## **Honest:** We will; 

- Be respectful and fair 

- Consistent in taking a non-partisan / non-judgmental approach 

- Be clear and accountable for our work ensuring best value and high standards of service delivery 

- Make the best use of resources available to us in a business like and transparent manner 

## **Responsible:** We will; 

- Always consider the impact of our work on others 

- Be aware of the wider environmental and social impact of our work 

- Be a conscientious co-occupant providing leadership by setting good examples and contributing positively 

## _**Achievements and performance**_ 

## **a. Review of activities** 

Paces Sheffield is a leading specialist centre for both children and adults with Cerebal Palsy and other Motor Disorders. Our Charity and services focuses on Ability not Disability. 

Paces School currently has 34 full-time equivalent (FTE) pupils (38 pupils on roll) and in our most recent DfE Inspection (Spring 2019) has been rated as ‘Outstanding’ in one key category, and ‘Good’ in a further 3 key inspection areas. Together with our highly rated Adult Service provision – including Adult Sessional programmes supporting Stroke, Multiple Sclerosis and Parkinson’s clients – Paces Sheffield has an ever-growing reputation for both excellence and national leadership in the highly specialist provision of Conductive Education (CE). 

Conductive Education is a holistic integrated pedagogical/educational approach, which enables people with damage to the central nervous system to learn to overcome the challenges they face. It is an approach which is primarily suitable for people with neurological conditions such as Cerebral Palsy, Parkinson’s disease, Multiple Sclerosis, Stroke, acquired head injury and Dyspraxia. Neurological conditions create a wide range of developmental challenges, which can involve areas of gross and fine movement, perception, cognition, social skills, emotional development, speech, language and communication. These in turn can significantly affect motivation, confidence and personality. Ultimately it is the whole personality that is impacted by such conditions. 

Page 4 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

TRUSTEES' REPORT (CONTINUED) 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **Achievements and performance (continued)** 

As always Trustees would like to take this opportunity to thank most sincerely all those grant funders and many supporters – both locally, regionally and nationally -  who have helped sustain and advance the ambitions of our children, adults, parents and staff here at Paces. 

Your support and help has no doubt helped our School, Adult provision and Charity to become an even more inspirational teaching and educational environment during this past year. 

As well as all those who support our work with smaller donations, we would especially like to thank the following organisations for their significant donations during the financial period; 

Children in Need - £26,915 West Riding Masonic Charities - £10,000 Henry Smith Foundation - £25,000 Westfield Health - £50,000 The National Lottery - £10,000 High Green Development Trust - £19,200 National Lottery Community Fund - £45,819 Masonic Charitable Foundation - £19,800 Garfield Weston Foundation - £20,000 Children in Need - Summer School support - £11,575 

Exceptionally during this Covid-19 Pandemic Trustees would particularly like to thank – and celebrate – the incredible fundraising efforts of three of our most outstanding Paces School Pupils; 

- Tobias Weller – aka Captain Tobias! – completed a number of Marathon walks, fundraising for both Paces and the Sheffield Children’s Hospital the most incredible amount in excess of £150,000! Not only showing grit and determination to complete his gruelling challenges, Tobias also shone a beacon of light and hope for all young people facing adversity across the country – and indeed the World – and has received, and continues to receive quite rightly, both national and international plaudits! In total Tobias raised £72,404 for our ‘New Home for Paces’ campaign. 

- Lennie Street – our Paces School piano playing Superstar! – recorded and performed quite literally hundreds of dedicated piano performances bringing delight and happiness to millions of people across the country – and also internationally too. Lennie appeared on national television, performed together with ‘quite well known’ performers like Gary Barlow – and was also on occasion seen to feature in pop videos. Quite incredible performances by Lennie led to further recognition of our School with the generous donation of a piano – by the end of our financial period Lennie has raised an incredible £13,320 (up until end August 2020). 

- Last but definitely not least of our three heroic fundraising Paces School Superstars is Jack Mitchell. An accomplished fine art and wood-work specialist Jack set out to sell as many of his high-quality products to support Paces School and our ‘New Home for Paces’ campaign. Through dedication, finesse and huge focus, Jack’s efforts have raised a wonderful £2,816. 

Trustees and all Members of the Paces wider family commend in the very highest order Tobias, Lennie and Jack for their simply incredible accomplishments, and energetic and dedicated support for their School and School friends. Thank you boys – your accomplishments will be remembered for many years to come – and you are all Paces School & Charity Superstars! 

Page 5 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## TRUSTEES' REPORT (CONTINUED) 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **Achievements and performance (continued)** 

Paces Sheffield continues to strive to support and help both young people and adults gain the very best Conductive Education programmes – specifically tailored to the needs of each individual. We are particularly proud of the fact that each child and adult here at Paces benefits from a bespoke and individually focused programme, tailored for an individual’s own specific needs and requirements. 

Over the last financial period - which has been a 17 month financial period in order that our financial year can now align with our School calendar year - our School, Adult Services, and additional service offers such as Outreach and Summer School provisions, have continued to benefit from significant increased investment and support; 

## **Paces School** 

Our School continues its hugely positive development under the most excellent leadership of our Headteacher and newly appointed Deputy Headteacher. Considerable further investment in School equipment (in excess of £53,000) – including laptops, plinths and hoists – has taken place and the School staffing team has grown to accommodate an additional 2.8 FTE pupils in the school (38 pupils on roll equating to 34 FTE places). 

A particular focus has been placed on staff training and development and a number of teaching staff have benefited from additional courses aimed to improve the quality of teaching even further across the School. With the continued additional numbers of pupils wishing to join the School, space is very much at a premium and School Governors, with the support of Trustees, are absolutely committed to progressing much enhanced facilities for the School through our ‘New Home for Paces’ campaign. Further additional staffing resource has also been added throughout this last financial year with new Lunchtime Assistants, a School Family Services Officer, and increased cleaning support joining the School staff team. 

## **Adult Services** 

Whilst our adult provision has been limited by available space at the Paces Campus, Trustees are very pleased to report that the Service continues to grow and develop steadily. Additional Adult Day Service places have been created, and our Adult Sessional Programme continues to flourish – through the Pandemic offering a widely accessed ‘online’ offer to both our own existing clients – but also new clients across the country. The addition of new senior staff colleagues including a Conductor Consultant (part-time 1.5 days per week) and an Adult Service Manager (full-time) continue to offer even better resource, staffing and expertise to the Adult Service. 

Throughout this financial period the Charity leadership team have worked tirelessly with Trustees to provide enhanced and higher quality Adult Service provision space.  It is therefore with incredible pride that we can  announce that our new facility at Smithy Wood Business Park officially opened its doors on 8th March 2021.The new facility offers the adult team 8,000 square feet of space – is an exciting development which will allow the provision to grow even further. This new Adult provision facility is a considerable investment by the Charity in our Adult Services, with initial fit-out costs in excess of £150,000 the Smithy Wood centre will help grow our Adult Service offer steadily over the years ahead. 

## **Fundraising Team Expansion** 

Trustees remain committed to providing a much-enhanced Fundraising Team – thus able to better support all aspects of the Charity’s varied activities by raising considerable additional and non-statutory monies. This last financial period a new Head of Fundraising, Corporate Fundraiser and Events and Community Fundraiser have been added to our Fundraising Team – which now consists 5 full and part-time colleagues. 

Page 6 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## TRUSTEES' REPORT (CONTINUED) 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **Achievements and performance (continued)** 

In the calendar year January 2020 to December 2020 the Fundraising Team have significantly grown our fundraising successes, with our target of £500,000 achieved for this period. This is a most notable ‘step-up’ in fundraising achievement for the Charity, and Trustees remain committed to growing this additional financial support for all Paces services over the coming years. 

## **Paces School Parent & Teacher Association (PTA)** 

The Charity remains particularly grateful to all our School parents and families for their ongoing and most generous support. In this last financial period, the Trustees are very pleased to report that our new parent led PTA continues to prosper and support the school with ongoing exciting events, which not only offer valuable social gatherings for our pupils and families, but have brought in considerable additional monies for the school for which the Trustees are thankful. In particular the Trustees are very grateful to the PTA for a most excellent Summer Fete and Christmas Fayre, together with ongoing considerable extra funding support for school trips – helping the school to offer even more varied educational visits throughout the school calendar for all our pupils. 

## **b. Fundraising activities and income generation** 

- Approach to Fundraising 

   - As stated earlier in this report, Paces Sheffield has a dedicated team of 5 full-time and part-time Fundraising Department Staff. The Team currently includes a Head of Fundraising, Corporate Fundraiser, Events & Community Fundraiser, Monitoring Officer, Grants Officer and Project Officer (consultancy appointment). 

- Professional Fundraisers 

The Charity does not employ and has never employed commercial/professional fundraisers. In particular, the Trustees would not support the paying of third-party commercial organisations to fundraise on Paces Sheffield behalf. 

- Fundraising Conforming to Recognised Standards The Charity has a Trustee adopted Fundraising Policy, Fundraising Strategy and Cash Donations Procedure. All aspects of the way the Fundraising Team operates refers to our Funding Regulator accreditation. 

- Fundraising Complaints 

We have not had to date any Fundraising Complaints. 

- Protection of Public from Unreasonably Intrusive Approaches 

   - The Charity does not mailshot members of the public, and would never ‘chase’ donors in search of funds. This would be contrary to the expressed articles and objects of the way our Charity is governed and led – both by Trustees, Governors and Staff. Such approaches would also be in breach also of our adopted GDPR Standards, which are led by our Independent Data Protection Officer (Bruce & Butler, Sheffield). 

Page 7 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

TRUSTEES' REPORT (CONTINUED) 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **Achievements and performance (continued)** 

- Data Protection 

The Charity employs an external Data Protection Officer (DPO) and throughout this financial period has continued to make significant progress in the ways that all data is held and processed by the organisation. 

## _**Financial review**_ 

## **a. Going concern** 

After making appropriate enquiries, the Trustees have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies. 

## **b. Review of the financial period** 

Income from charitable activities amounted to £1,339,673 (2019: £904,817). Other income, including income from donations and other incoming resources, was £1,014,423 (2019: £458,543) giving total income for the period of £2,354,096 (2019: £1,363,360). 

The increase in incoming resources is due to an increase in the charitable activities within the charity along with the increased period of account of 17 months in order to align the accounting period with the academic year, which has resulted in an increase in expenditure in delivering these activities (see note 6). 

The Trustees have undertaken an Impairment Review of Fixed Assets to ensure that the carrying value of those assets on the Balance Sheet accurately represents their worth to the organisation. This has resulted in a prior year adjustment of £395,323. Further details of effect of this adjustment can be found within the Notes. 

Total expenditure for the period was £2,221,139 (2019: £1,341,295) giving net income of £132,957 (2019: £22,065). 

## **c. Reserves policy** 

Total funds carried forward are £551,329 (2019: £418,372) of which £112,125 (2019: £52,206) are restricted funds and £439,204 (2019: £366,166) are unrestricted funds. 

Of the unrestricted funds £70,397 (2019: £114,923) have been designated, representing the net book value of fixed assets. 

Free reserves as at 31 August 2020 were £368,807 (2019: £251,243). These are the funds available for the charity net of any fixed assets, loans associated with them, designated and restricted funds. 

The Trustees agreed a policy for the charity to maintain a minimum level of reserves (excluding funds not otherwise committed or restricted) and that minimum is 1 month with the aim of achieving 3 months of budgeted expenditure. Current free reserves sit at 2.9 months of expenditure. 

Page 8 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## TRUSTEES' REPORT (CONTINUED) 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **d. Public Benefit** 

In planning and delivering our services and activities, the Trustees and management of Paces Sheffield have given due regard to the need to ensure that the school provides public benefit – following the Charity Commission’s guidance on these matters. Details of how the charity has carried out its activities for the public benefit are given under the review of activities part of this report. 

## **Plans for future periods** 

## **a. Future Developments** 

The Trustees together with the CEO and Senior Management team, continue to seek growth in the organisation in order to bring benefit to as many children, adults and families as possible, within the constraints of financial viability. 

The Trustees and School Governors, together with wide stakeholder consultation, have accepted that the current facilities here at the Paces Campus are not fit for the future. Our  Charity Offices and Adult Service provision moved to a new and bespoke facility at the Smithy Wood Business Park on 8 March 2021 to commence the transition of the whole organisation into  much improved accommodation. 

Our plans for a ‘New Home for Paces’ School continue to be developed and Trustees have approved plans to move into a new school facility on the site of Thorncliffe Hall in the latter part of 2021. 

## **Statement of Trustees' responsibilities** 

The Trustees (who are also the directors of the Company 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. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of its incoming resources and application of resources, including its income and expenditure, 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 of the Charities SORP 2019 (FRS 102); 

- make judgments and accounting estimates that are reasonable and prudent; 

- state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements; 

- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in operation. 

The Trustees are responsible for keeping adequate 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 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## TRUSTEES' REPORT (CONTINUED) 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **Disclosure of information to auditor** 

In so far as the Trustees are aware: 

- there is no relevant audit information of which the charitable company's auditor is unaware, and 

- the Trustees have taken all the steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information. 

## **Auditor** 

The auditor, BHP LLP, has indicated their willingness to continue in office. The Trustees will propose a motion reappointing the auditor at a meeting of the Trustees. 

This report was approved by the Trustees and signed on their behalf by: 

................................................ 

## **Ann Menzies-Blythe** 

Chair, Paces Sheffield Trustees Date: 10 May 2021 

Page 10 



**(A company limited by guarantee)** 

## **PACES SHEFFIELD** 

## INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF PACES SHEFFIELD 

## **Opinion** 

We have audited the financial statements of Paces Sheffield (the 'charitable company') for the period ended 31 August 2020 which comprise the Statement of Financial Activities, the Balance Sheet, the 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: 

- 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 period 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 United Kingdom, including the Financial Reporting Council'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. 

Page 11 



**(A company limited by guarantee)** 

## **PACES SHEFFIELD** 

## INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF PACES SHEFFIELD (CONTINUED) 

## **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. 

## **Opinions 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 (incorporating the directors' report) for the financial year for which the financial statements are prepared is consistent with the financial statements. 

- the Directors' report has been prepared in accordance with applicable legal requirements. 

## **Matters on which we are required to report by exception** 

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' report. 

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

- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or 

- the financial statements are not in agreement with the accounting records and returns; or 

- certain disclosures of directors' remuneration specified by law are not made; or 

- we have not received all the information and explanations we require for our audit; or 

- the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the directors' report and from the requirement to prepare a strategic report. 

Page 12 



**(A company limited by guarantee)** 

## **PACES SHEFFIELD** 

## INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF PACES SHEFFIELD (CONTINUED) 

## **Responsibilities of trustees** 

As explained more fully in the trustees' responsibilities statement, 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** 

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. 

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

## **Use of our report** 

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

## **Jane Marshall (Senior statutory auditor)** 

for and on behalf of 

**BHP LLP** Chartered Accountants Statutory Auditor 2 Rutland Park 

Sheffield S10 2PD 

12 May 2021 

Page 13 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) _FOR THE PERIOD ENDED 31 AUGUST 2020_ 

|**Note**<br>**Income from:**<br>Donations and legacies<br>2<br>Charitable activities<br>3<br>Other income<br>4<br>**Total income**<br>**Expenditure on:**<br>Raising funds<br>5<br>Charitable activities<br>6<br>**Total expenditure**<br>**Net income**<br>Transfers between funds<br>15<br>**Net income and net movement in funds**<br>**Reconciliation of funds:**<br>Total funds brought forward<br>Net movement in funds<br>**Total funds carried forward**|**Unrestricted**<br>**funds**<br>**2020**<br>**£**<br>**601,696**<br>**1,339,673**<br>**23,968**<br>**1,965,337**<br>**125,954**<br>**1,792,128**<br>**1,918,082**<br>**47,255**<br>**25,783**<br>**73,038**<br>**366,166**<br>**73,038**<br>**439,204**|**Restricted**<br>**funds**<br>**2020**<br>**£**<br>**388,759**<br>**-**<br>**-**<br>**388,759**<br>**45,392**<br>**257,665**<br>**303,057**<br>**85,702**<br>**(25,783)**<br>**59,919**<br>**52,206**<br>**59,919**<br>**112,125**|**Total**<br>**funds**<br>**2020**<br>**£**<br>**990,455**<br>**1,339,673**<br>**23,968**<br>**2,354,096**<br>**171,346**<br>**2,049,793**<br>**2,221,139**<br>**132,957**<br>**-**<br>**132,957**<br>**418,372**<br>**132,957**<br>**551,329**|As restated<br>Total<br>funds<br>2019<br>£<br>458,148<br>904,817<br>395<br>1,363,360|
|---|---|---|---|---|
|||||63,476<br>1,277,819<br>1,341,295|
|||||22,065<br>-|
|||||22,065|
|||||396,307<br>22,065<br>418,372|



The Statement of financial activities includes all gains and losses recognised in the period. 

Page 14 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

REGISTERED NUMBER: 04793176 

BALANCE SHEET _AS AT 31 AUGUST 2020_ 

|**Note**<br>**Fixed assets**<br>Intangible assets<br>10<br>Tangible assets<br>11<br>**Current assets**<br>Debtors<br>12<br>Cash at bank and in hand<br>Creditors: amounts falling due within one year<br>13<br>**Net current assets**<br>**Total assets less current liabilities**<br>**Total net assets**<br>**Charity funds**<br>Restricted funds<br>15<br>Unrestricted funds<br>15<br>**Total funds**|**136,227**<br>**519,694**<br>**655,921**<br>**(174,989)**|**31 August**<br>**2020**<br>**£**<br>**-**<br>**70,397**<br>**70,397**<br>**480,932**<br>**551,329**<br>**551,329**<br>**112,125**<br>**439,204**<br>**551,329**|53,903<br>288,036<br>341,939<br>(38,490)|As restated<br>31 March<br>2019<br>£<br>-<br>114,923<br>114,923<br>303,449<br>418,372|
|---|---|---|---|---|
|||||418,372|
|||||52,206<br>366,166|
|||||418,372|



Page 15 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

REGISTERED NUMBER: 04793176 

## BALANCE SHEET (CONTINUED) 

_AS AT 31 AUGUST 2020_ 

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements. 

The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime. 

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by: 

................................................ 

**Ann Rawlins Menzies-Blythe** (Chair of Trustees) Date: 10 May 2021 

The notes on pages 18 to 40 form part of these financial statements. 

Page 16 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## STATEMENT OF CASH FLOWS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

|**Note**<br>**Cash flows from operating activities**<br>Net cash from operating activities<br>18<br>**Cash flows from investing activities**<br>Proceeds from the sale of tangible fixed assets<br>Purchase of tangible fixed assets<br>**Net cash used in investing activities**<br>**Change in cash and cash equivalents in the period**<br>Cash and cash equivalents at the beginning of the period<br>**Cash and cash equivalents at the end of the period**<br>19|**2020**<br>**£**<br>**291,675**<br>**-**<br>**(60,017)**<br>**(60,017)**<br>**231,658**<br>**288,036**<br>**519,694**|2019<br>£<br>51,580<br>3,600<br>(30,847)<br>**(27,247)**<br>**24,333**<br>263,703<br>288,036|
|---|---|---|



Page 17 



**(A company limited by guarantee)** 

## **PACES SHEFFIELD** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **1. Accounting policies** 

## _**1.1 Basis of preparation of financial statements**_ 

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - 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 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. 

Paces Sheffield meets the definition of a public benefit entity under FRS 102. The financial statements are prepared under the historical cost convention, modified to include certain items at fair value. The financial statements are presented in sterling, which is the functional currency of the charity and rounded to the nearest £. 

## _**1.2 Company status**_ 

The Charity is a private company limited by guarantee. The members of the company are the Trustees named on page 1. In the event of the Charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the Charity. 

## _**1.3 Going concern**_ 

The Trustees have considered the impact of COVID-19 on the charity’s activities, workforce and supply chain, as well as the wider economy. Whilst it is not considered practical to accurately assess the duration and extent of the disruption, the Trustees are confident that they have in place plans to deal with any financial losses and cash deficits that may arise.  They will continue to monitor the impact on income and take appropriate action as necessary. 

The financial statements have been prepared on a going concern basis and the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern. 

## _**1.4 Income**_ 

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. 

Grants are included in the Statement of financial activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued. 

Page 18 



**(A company limited by guarantee)** 

## **PACES SHEFFIELD** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **1. Accounting policies (continued)** 

## _**1.5 Expenditure**_ 

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. 

Raising funds are costs incurred in attracting voluntary income, and those incurred in trading activites that raise funds. 

Charitable activities and governance costs are costs incurred on the Charity's educational operations, including support costs and costs relating to the governance of the Charity apportioned to charitable activities. 

## _**1.6 Intangible fixed assets and amortisation**_ 

Intangible assets costing £1,000 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably. Intangible assets are initially recognised at cost and are subsequently measured at cost net of amortisation and any provision for impairment. 

## _**1.7 Tangible fixed assets and depreciation**_ 

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost. 

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method. 

Depreciation is provided on the following bases: 

- Freehold property 40 years straight line - Fixtures, fittings and equipment 5 years straight line - Computer equipment 3 years straight line 

## _**1.8 Debtors**_ 

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

Page 19 



**(A company limited by guarantee)** 

## **PACES SHEFFIELD** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **1. Accounting policies (continued)** 

## _**1.9 Cash at bank and in hand**_ 

Cash at bank and 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. 

## _**1.10 Liabilities and provisions**_ 

Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. 

## _**1.11 Financial instruments**_ 

The Company 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 with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method. 

## _**1.12 Pensions**_ 

The charity does not administer a pension scheme. Contributions represent payments by the charity on behalf of an employee to a defined contribution scheme. 

## _**1.13 Fund accounting**_ 

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

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements. 

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Company for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements. 

## _**1.14 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: 

There were no critical accounting estimates or assumptions this year that are deemed to be material in nature to the financial statements. 

Page 20 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **1. Accounting policies (continued)** 

## _**1.15 Employee benefits**_ 

When employees have rendered service to the charity, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service. 

## _**1.16 Licence to occupy**_ 

The service charges in relation to the licence held by the charity to occupy the premises from which it operates are charged to the SOFA in the period to which they relate. 

Page 21 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **2. Income from donations and legacies** 

|ESFA maintenance grant<br>ESFA PE sports equipment grant<br>ESFA free school meals grant<br>ESFA funding<br>School meals<br>ESFA teachers pay grant<br>ESFA teachers pension grant<br>Pupil premium<br>COVID-19 funding<br>DM Thomas<br>Henry Smith<br>Sainsbury's<br>Edward Gostling Foundation<br>Children In Need<br>Ulrike Ossberger<br>Switalskis<br>West Riding Masonic Charities<br>National Lottery - Awards For All<br>St James Place<br>Ecclesfield PC<br>The Hedley Foundation<br>Other Grants<br>Other fundraising events<br>Other donations<br>**_Total 2020_**<br>Total 2019|**Unrestricted**<br>**funds**<br>**2020**<br>**£**<br>-<br>-<br>-<br>461,833<br>4,520<br>-<br>-<br>-<br>54,002<br>-<br>-<br>-<br>5,000<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>6,120<br>17,453<br>52,768<br>601,696<br>360,295|**Restricted**<br>**funds**<br>**2020**<br>**£**<br>28,142<br>20,773<br>13,183<br>-<br>-<br>9,984<br>19,398<br>28,100<br>86,019<br>-<br>25,000<br>-<br>-<br>51,948<br>-<br>785<br>10,000<br>6,640<br>5,902<br>2,796<br>2,762<br>11,019<br>-<br>66,308<br>388,759<br>97,853|**Total**<br>**funds**<br>**2020**<br>**£**<br>**28,142**<br>**20,773**<br>**13,183**<br>**461,833**<br>**4,520**<br>**9,984**<br>**19,398**<br>**28,100**<br>**140,021**<br>**-**<br>**25,000**<br>**-**<br>**5,000**<br>**51,948**<br>**-**<br>**785**<br>**10,000**<br>**6,640**<br>**5,902**<br>**2,796**<br>**2,762**<br>**17,139**<br>**17,453**<br>**119,076**<br>**990,455**<br>458,148|Total<br>funds<br>2019<br>£<br>19,158<br>12,417<br>784<br>345,365<br>3,631<br>-<br>-<br>935<br>-<br>4,000<br>25,000<br>2,508<br>-<br>25,517<br>5,729<br>1,190<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>11,914<br>458,148|
|---|---|---|---|---|
||||||



Page 22 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **3. Income from charitable activities** 

|Children's services<br>Adult services<br>Adult Sessional<br>Total 2019|**Unrestricted**<br>**funds**<br>**2020**<br>**£**<br>1,168,467<br>167,036<br>4,170<br>1,339,673<br>904,817|**Total**<br>**funds**<br>**2020**<br>**£**<br>**1,168,467**<br>**167,036**<br>**4,170**<br>**1,339,673**<br>904,817|Total<br>funds<br>2019<br>£<br>776,558<br>123,759<br>4,500<br>904,817|
|---|---|---|---|
|||||



## **4. Other income** 

|Coronavirus Job Retention Scheme grants received<br>Other income<br>Total 2019|**Unrestricted**<br>**funds**<br>**2020**<br>**£**<br>23,132<br>836<br>23,968<br>395|**Total**<br>**funds**<br>**2020**<br>**£**<br>**23,132**<br>**836**<br>**23,968**<br>395|Total<br>funds<br>2019<br>£<br>-<br>395<br>395|
|---|---|---|---|
|||||



Page 23 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **5. Expenditure on raising funds** 

|Fundraising costs<br>Fundraising - wages and salaries<br>Fundraising salaries - NI<br>Fundraising - pension costs<br>Total 2019|**Unrestricted**<br>**funds**<br>**2020**<br>**£**<br>59,489<br>60,782<br>4,894<br>789<br>125,954<br>63,476|**Restricted**<br>**funds**<br>**2020**<br>**£**<br>45,392<br>-<br>-<br>-<br>45,392<br>-|**Total**<br>**funds**<br>**2020**<br>**£**<br>**104,881**<br>**60,782**<br>**4,894**<br>**789**<br>**171,346**<br>63,476|Total<br>funds<br>2019<br>£<br>63,476<br>-<br>-<br>-<br>63,476|
|---|---|---|---|---|
||||||



## **6. Analysis of expenditure by activities** 

|Children's Services<br>Adult Services<br>Family Services<br>Adult Sessional<br>Management & administration<br>Governance<br>Total 2019 as restated|**Direct Costs**<br>**2020**<br>**£**<br>1,268,214<br>165,763<br>63,600<br>11,297<br>426,077<br>-<br>1,934,951<br>1,248,361|**Support costs**<br>**2020**<br>**£**<br>16,568<br>107<br>2,420<br>-<br>79,273<br>16,474<br>114,842<br>29,458|**Total**<br>**funds**<br>**2020**<br>**£**<br>**1,284,782**<br>**165,870**<br>**66,020**<br>**11,297**<br>**505,350**<br>**16,474**<br>**2,049,793**<br>1,277,819|As restated<br>Total<br>funds<br>2019<br>£<br>818,198<br>116,666<br>35,556<br>8,501<br>270,448<br>28,450<br>1,277,819|
|---|---|---|---|---|
||||||



Page 24 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **6. Analysis of expenditure by activities (continued)** 

Support costs represent central office functions which include costs of the finance team salaries, human resources, promotion and advertising, information technology and finance costs. 

## **7. Net income/(expenditure)** 

|||As restated|
|---|---|---|
||**31 August**|31 March|
||**2020**|2019|
||**£**|£|
|Depreciation of tangible fixed assets|||
|- owned by the charity|**25,131**|20,430|
|Impairment of fixed assets|**79,412**|-|
|Auditor's remuneration - audit|**6,475**|7,320|
|Auditor's remuneration - other services|**854**|3,843|
|Gain on sale of tangible fixed asset|**-**|3,600|



Page 25 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **8. Staff costs** 

|Wages and salaries<br>Social security costs<br>Contribution to defined contribution pension schemes|**2020**<br>**£**<br>**1,397,448**<br>**100,907**<br>**42,670**<br>**1,541,025**|2019<br>£<br>824,997<br>59,039<br>11,862|
|---|---|---|
|||895,898|



Wages and salaries include redundancy costs of £14,044 (2019: £nil) relating to restructuring undertaken during the period. 

The average number of persons employed by the Company during the period was as follows: 

|Average number of employees during the year<br>The average headcount expressed as full-time equivalents was:<br>FTE employees|**2020**<br>**No.**<br>**51**<br>**2020**<br>**No.**<br>**37**|2019<br>No.<br>46|
|---|---|---|
|||2019<br>No.<br>35|



The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was: 

||**2020**|2019|
|---|---|---|
||**17 months**|12 months|
||**No.**|No.|
|In the band £60,001 - £70,000|**-**|1|
|In the band £80,001 - £90,000|**1**|-|
|In the band £130,001 - £140,000|**1**|-|



The above bandings relate to a 17 month period for 2020 and a 12 month period for the comparative period. 

The total amount of benefits received by key management personnel in the 17 month period including employer's pension and national insurance is £257,548 (2019: £148,782 (12 month period)). The charity considers its key management personnel to comprise the Chief Executive Officer (CEO) and the Headteacher. 

Settlement agreement costs of £25,000 (2019: £10,020) were paid during the period. 

Page 26 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **9. Trustees' remuneration and expenses** 

During the period, no Trustees received any remuneration or other benefits (2019 - £NIL). 

During the period ended 31 August 2020, expenses totalling £1,473 were reimbursed to 1 Trustee (2019: £8,532 to 2 Trustees). 

|**10.**<br>**Intangible assets**<br>**_Cost_**<br>At 1 April 2019<br>At 31 August 2020<br>**_Amortisation_**<br>At 1 April 2019<br>At 31 August 2020<br>**_Net book value_**<br>At 31 August 2020<br>At 31 March 2019|**Goodwill**<br>**£**<br>**10,000**|
|---|---|
||**10,000**|
||**10,000**|
||**10,000**|
||**-**|
||-|



Page 27 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **11. Tangible fixed assets** 

|**_Cost_**<br>At 1 April 2019<br>Additions<br>At 31 August 2020<br>**_Depreciation_**<br>At 1 April 2019 (as restated)<br>Charge for the period<br>Impairment charge<br>At 31 August 2020<br>**_Net book value_**<br>At 31 August 2020<br>At 31 March 2019 (as restated)<br>**12.**<br>**Debtors**<br>Trade debtors<br>Prepayments and accrued income|**Freehold**<br>**property**<br>**£**<br>**608,871**<br>**-**<br>**608,871**<br>**529,459**<br>**-**<br>**79,412**<br>**608,871**<br>**-**<br>79,412|**Fixtures and**<br>**fittings**<br>**£**<br>**73,437**<br>**46,827**<br>**120,264**<br>**51,285**<br>**13,978**<br>**-**<br>**65,263**<br>**55,001**<br>22,152|**Computer**<br>**equipment**<br>**£**<br>**62,588**<br>**13,190**<br>**75,778**<br>**49,229**<br>**11,153**<br>**-**<br>**60,382**<br>**15,396**<br>13,359<br>**31 August**<br>**2020**<br>**£**<br>**129,345**<br>**6,882**<br>**136,227**|**Total**<br>**£**<br>**744,896**<br>**60,017**|
|---|---|---|---|---|
|||||**804,913**|
|||||**629,973**<br>**25,131**<br>**79,412**|
|||||**734,516**|
|||||**70,397**|
|||||114,923|
|||||31 March<br>2019<br>£<br>45,921<br>7,982|
|||||53,903|



Page 28 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **13. Creditors: Amounts falling due within one year** 

|Trade creditors<br>Other taxation and social security<br>Accruals and deferred income<br>Deferred income at 1 April 2019<br>Resources deferred during the period<br>Amounts released from previous periods|**31 August**<br>**2020**<br>**£**<br>**22,448**<br>**22,813**<br>**129,728**<br>**174,989**<br>**31 August**<br>**2020**<br>**£**<br>**-**<br>**97,766**<br>**-**<br>**97,766**|31 March<br>2019<br>£<br>9,654<br>18,238<br>10,598<br>38,490<br>31 March<br>2019<br>£<br>1,370<br>-<br>(1,370)<br>-|
|---|---|---|



Deferred income is in respect of local authority fees paid in advance. 

## **14. Prior period adjustments** 

A prior year adjustment has been recognised in the period in relation to property improvements previously capitalised which should have been impaired in full during a prior period following the end of a licence to occupy. This has resulted in a reduction in net assets at 1 April 2018 of £395,323 and a reduction in net assets at 31 March 2019 of £382,565. Net income for the year ended 31 March 2019 has increased by £12,758 as a result of this restatement. 

Page 29 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **15. Statement of funds** 

## **Statement of funds - current period** 

|**_Unrestricted funds_**<br>**_Designated funds_**<br>Designated Funds - fixed assets<br>**_General funds_**<br>Free reserves<br>**_Total Unrestricted funds_**<br>**_Restricted funds_**<br>ESFA - Free School Meals<br>ESFA - PE Sport Grant<br>Summer School<br>Adult Services<br>School Equipment<br>Pupil Premium<br>Children In Need<br>Henry Smith<br>EHCP Funding<br>A New Home For Paces<br>Family Services<br>Paces PTA<br>ESFA Maintenance Grant<br>Covid Assistance<br>ESFA Teachers Pay Grant<br>ESFA Teachers Pension Grant<br>Sensory Equipment<br>National Lottery Community Fund|**Balance at 1**<br>**April 2019**<br>**as restated**<br>**£**<br>**114,923**<br>**251,243**<br>**366,166**<br>**-**<br>**13,066**<br>**-**<br>**-**<br>**-**<br>**1,811**<br>**7,609**<br>**25,000**<br>**-**<br>**720**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**<br>**4,000**<br>**-**<br>**52,206**|**Income**<br>**£**<br>**-**<br>**1,965,337**<br>**1,965,337**<br>**13,183**<br>**20,773**<br>**21,565**<br>**7,048**<br>**26,609**<br>**22,150**<br>**40,373**<br>**25,000**<br>**5,950**<br>**76,176**<br>**1,508**<br>**1,714**<br>**28,142**<br>**21,000**<br>**9,984**<br>**19,399**<br>**2,366**<br>**45,819**<br>**388,759**|**Expenditure**<br>**£**<br>**(102,848)**<br>**(1,815,234)**<br>**(1,918,082)**<br>**(13,183)**<br>**(24,604)**<br>**(24,505)**<br>**(4,256)**<br>**(4,325)**<br>**(10,091)**<br>**(41,646)**<br>**(35,220)**<br>**(498)**<br>**(45,391)**<br>**(1,508)**<br>**(1,714)**<br>**(28,142)**<br>**(21,000)**<br>**(9,984)**<br>**(19,399)**<br>**-**<br>**(17,591)**<br>**(303,057)**|**Transfers**<br>**in/out**<br>**£**<br>**58,322**<br>**(32,539)**<br>**25,783**<br>**-**<br>**-**<br>**5,263**<br>**-**<br>**(15,766)**<br>**-**<br>**-**<br>**-**<br>**(3,629)**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**<br>**(6,388)**<br>**(5,263)**<br>**(25,783)**|**Balance at 31**<br>**August 2020**<br>**£**<br>**70,397**<br>**368,807**<br>**439,204**<br>**-**<br>**9,235**<br>**2,323**<br>**2,792**<br>**6,518**<br>**13,870**<br>**6,336**<br>**14,780**<br>**1,823**<br>**31,505**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**<br>**-**<br>**(22)**<br>**22,965**<br>**112,125**|
|---|---|---|---|---|---|



Page 30 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

|**15.**<br>**Statement of funds (continued)**<br>**_Statement of funds - current period (continued)_**<br>**Balance at 1**<br>**April 2019**<br>**£**<br>**_Total of funds_**<br>**418,372**|**Income**<br>**£**<br>**2,354,096**|**Expenditure**<br>**£**<br>**(2,221,139)**|**Transfers**<br>**in/out**<br>**£**<br>**-**|**Balance at 31**<br>**August 2020**<br>**£**<br>**551,329**|
|---|---|---|---|---|



Page 31 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **15. Statement of funds (continued)** 

## **Statement of funds - prior period** 

|**_Unrestricted funds_**<br>**_Designated funds_**<br>Designated Funds - Fixed assets<br>**_General funds_**<br>General Funds - all funds<br>**_Total Unrestricted funds_**<br>**_Restricted funds_**<br>Eye Gazing Grant<br>ESFA - PE Sport Grant<br>EFA building maintenance grant<br>EFA universal free school meals<br>Condition Specific - capital<br>Pupil Premium<br>Children In Need<br>Henry Smith<br>LTV Artisan crafts<br>A New Home For Paces<br>PDC Equipment<br>School<br>Westfield - LTV<br>Family Services<br>Jonathan Ralph<br>Paces PTA<br>DM Thomas Foundation for Young<br>People|Balance at<br>1 April 2018<br>as restated<br>£<br>101,630<br>238,918<br>340,548<br>1,185<br>2,568<br>-<br>-<br>6,162<br>2,255<br>6,054<br>22,933<br>6,360<br>-<br>6,506<br>619<br>292<br>-<br>825<br>-<br>-|Income<br>£<br>-<br>1,265,507<br>1,265,507<br>-<br>12,417<br>19,158<br>784<br>-<br>935<br>25,517<br>25,000<br>-<br>720<br>-<br>6,026<br>-<br>1,407<br>-<br>1,889<br>4,000|As restated<br>Expenditure<br>as restated<br>£<br>(12,971)<br>(1,259,783)<br>(1,272,754)<br>-<br>(1,919)<br>-<br>(784)<br>-<br>(1,379)<br>(23,962)<br>(22,933)<br>-<br>-<br>(6,506)<br>(6,645)<br>(292)<br>(1,407)<br>(825)<br>(1,889)<br>-|Transfers<br>in/out<br>£<br>26,264<br>6,601<br>32,865<br>(1,185)<br>-<br>(19,158)<br>-<br>(6,162)<br>-<br>-<br>-<br>(6,360)<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-|Balance at<br>31 March<br>2019<br>as restated<br>£<br>114,923|
|---|---|---|---|---|---|
||||||251,243|
||||||366,166|
||||||-<br>13,066<br>-<br>-<br>-<br>1,811<br>7,609<br>25,000<br>-<br>720<br>-<br>-<br>-<br>-<br>-<br>-<br>4,000|



Page 32 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **15. Statement of funds (continued)** _**Statement of funds - prior period (continued)**_ 

|**_Total of funds_**|Balance at<br>1 April 2018<br>as restated<br>£<br>55,759<br>396,307|Income<br>£<br>97,853<br>1,363,360|As restated<br>Expenditure<br>as restated<br>£<br>(68,541)<br>(1,341,295)|Transfers<br>in/out<br>£<br>(32,865)<br>-|Balance at<br>31 March<br>2019<br>£<br>52,206|
|---|---|---|---|---|---|
||||||418,372|



Page 33 



**(A company limited by guarantee)** 

## **PACES SHEFFIELD** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **15. Statement of funds (continued)** 

## ESFA Free School Meals 

This funding is for the provision of school meals for pupils under the age of 7 and for pupils of disadvantaged families. 

## ESFA PE Sport Grant 

This funding is being used to remunerate staff as PE/Sports Co-ordinators and for the purchase of PE and sports equipment. 

## Summer School 

Grants and donations for children with cerebral palsy and other motor disorders to benefit from a series of conductive education activities outside term time. 

## Adult Sessional 

Provision of regular flexible conduction education to those with both acquired and congenital movement disorders. 

## School equipment - capital 

Donations received towards the purchase of equipment for use within the school. 

## Pupil Premium 

This funding is being used to raise the attainment of disadvantaged pupils of all abilities and to close the gap between them and their peers. 

## Children in Need 

Grant to support and aid the ongoing delivery of the Outreach Service 

## Henry Smith 

Grant to support and aid families who are affected by disabled children and adults. 

## EHCP funding 

Additional funding provided by local authorities to support a particular childs needs. 

## A New Home for Paces 

Income received towards funding new premises for the Charity through a sponsored events.. 

## Family Services 

Grant funding and donations towards the running costs of the Family Services department. 

## ESFA maintenance grant 

Funding received to be spent on the maintaining and upkeep of the school building. 

Page 34 



**(A company limited by guarantee)** 

## **PACES SHEFFIELD** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

Covid Assistance 

Grants awarded for assistance during the COVID-19 pandemic. 

ESFA Teachers Pay Grant and Teachers Pension Grant 

To provide additional monies to contribute towards teachers salaries and penison contributions. 

## PDC equipment 

Grants and donations to support and aid the ongoing delivery of the Adult Sessional (e.g. stroke) Conductive Education programmes. 

## National Lottery Community Fund 

Grant awarded from the Coronavirus Community Support Fund to assist with the Covid-19 pandemic 

## Eye gazing grant 

This funding is being used to purchase equipment to help children overcome their speech difficulties as they can activate software using their gaze. It is especially important for those children whose hand/eye co-ordination and fine motor control is poor. 

## Adult Sessional - capital 

Grants and donations towards costs associated with the development of this new venture within the Personal Development Centre. 

## LTV artisan crafts 

Grants and donations towards upskilling of LTV Artisans to expand their crafts portfolio, and to aid marketing of these products. 

## School 

Donations received to be spent within the school. 

## Westfield – LTV 

Grant to purchase equipment within LTV. 

## Jonathan Ralph 

Donation to subsidise the participation fees for Condition Specific Programmes. 

## Paces PTA 

Income received from the Parent Teacher Association to fund expenditure associated with day trips such as transport and admission fees. 

DM Thomas Foundation for Young People 

Funding provided for the acquisition of sensory equipment. 

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**(A company limited by guarantee)** 

## **PACES SHEFFIELD** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

Transfers 

National Lottery Community Fund  - The transfer out of this fund relates to monies spent on the Summer School 

Other transfers represent funds designated by the trustees during the year including the movement on the designated fixed asset fund. Fund transfers also include the reanalysis of expenditure in relation to the ESFA Maintenance grant. 

## **16. Summary of funds** 

## **Summary of funds - current period** 

|Designated funds<br>General funds<br>Restricted funds<br>**Summary of funds - prior period**<br>Designated funds<br>General funds<br>Restricted funds|**Balance at 1**<br>**April 2019**<br>**as restated**<br>**£**<br>**114,923**<br>**251,243**<br>**52,206**<br>**418,372**<br>Balance at<br>1 April 2018<br>as restated<br>£<br>101,630<br>238,918<br>55,759<br>396,307|**Income**<br>**£**<br>**-**<br>**1,965,337**<br>**388,759**<br>**2,354,096**<br>Income<br>£<br>-<br>1,265,507<br>97,853<br>1,363,360|**Expenditure**<br>**£**<br>**(102,848)**<br>**(1,815,234)**<br>**(303,057)**<br>**(2,221,139)**<br>As restated<br>Expenditure<br>£<br>(12,971)<br>(1,259,783)<br>(68,541)<br>(1,341,295)|**Transfers**<br>**in/out**<br>**£**<br>**58,322**<br>**(32,539)**<br>**(25,783)**<br>**-**<br>Transfers<br>in/out<br>£<br>26,264<br>6,601<br>(32,865)<br>-|**Balance at 31**<br>**August 2020**<br>**£**<br>**70,397**<br>**368,807**<br>**112,125**<br>**551,329**|
|---|---|---|---|---|---|
||||||Balance at<br>31 March<br>2019<br>£<br>114,923<br>251,243<br>52,206<br>418,372|



Page 36 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **17. Analysis of net assets between funds** 

## **Analysis of net assets between funds - current period** 

|Tangible fixed assets<br>Current assets<br>Creditors due within one year<br>**_Total_**|**Unrestricted**<br>**funds**<br>**31 August**<br>**2020**<br>**£**<br>70,397<br>543,796<br>(174,989)<br>439,204|**Restricted**<br>**funds**<br>**31 August**<br>**2020**<br>**£**<br>-<br>112,125<br>-<br>112,125|**Total**<br>**funds**<br>**31 August**<br>**2020**<br>**£**<br>**70,397**<br>**655,921**<br>**(174,989)**<br>**551,329**|
|---|---|---|---|



## **Analysis of net assets between funds - prior period** 

|Tangible fixed assets<br>Current assets<br>Creditors due within one year<br>**Total**|Unrestricted<br>funds<br>as restated<br>31 March<br>2019<br>£<br>114,923<br>289,733<br>(38,490)<br>366,166|Restricted<br>funds<br>31 March<br>2019<br>£<br>-<br>52,206<br>-<br>52,206|Total<br>funds<br>31 March<br>2019<br>£<br>114,923<br>341,939<br>(38,490)<br>418,372|
|---|---|---|---|



Page 37 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **18. Reconciliation of net movement in funds to net cash flow from operating activities** 

|Net income for the period (as per Statement of Financial Activities)<br>**_Adjustments for:_**<br>Depreciation charges<br>Impairment of assets<br>Loss/(profit) on the sale of fixed assets<br>(Increase)/Decrease in debtors<br>Increase/(Decrease) in creditors<br>**_Net cash provided by operating activities_**<br>**19.**<br>**Analysis of cash and cash equivalents**<br>Cash in hand<br>**_Total cash and cash equivalents_**<br>**20.**<br>**Analysis of changes in net debt**<br>Cash at bank and in hand|**At 1 April**<br>**2019**<br>**£**<br>**288,036**<br>**288,036**|**31 August**<br>**2020**<br>**£**<br>**132,957**<br>**25,131**<br>**79,412**<br>**-**<br>**(82,323)**<br>**136,498**<br>**291,675**<br>**31 August**<br>**2020**<br>**£**<br>**519,694**<br>**519,694**<br>**Cash flows**<br>**£**<br>**231,658**<br>**231,658**|As restated<br>31 March<br>2019<br>£<br>22,065<br>20,430<br>-<br>(3,600)<br>9,229<br>3,456<br>51,580<br>31 March<br>2019<br>£<br>288,036<br>288,036<br>**At 31 August**<br>**2020**<br>**£**<br>**519,694**<br>**519,694**|
|---|---|---|---|



Page 38 



**(A company limited by guarantee)** 

## **PACES SHEFFIELD** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **21. Pension costs** 

The charity does not administer a pension scheme. The pension cost charges represent contributions payable by the charity on behalf of its employees to a defined contribution benefit scheme. Contributions for the period ended 31 August 2020 were £23,272 (2019: £11,862). 

## **22. Operating lease commitments** 

At 31 August 2020  the total of the Charity’s future minimum lease payments under non-cancellable operating leases was: 

|Within 1 year<br>Between 1 and 5 years|**31 August**<br>**2020**<br>**£**<br>**3,632**<br>**6,032**<br>**9,664**|31 March<br>2019<br>£<br>3,632<br>11,365|
|---|---|---|
|||14,997|



## **23. Related party transactions** 

During the year ended 31 March 2019, invoices were raised by Spencer Pitfield and SP Educational Consultancy Services Limited, a company owned by Spencer Pitfield, of £12,593 for services provided as interim CEO. During the period ended 31 August 2020, Spencer Pitfield was paid through the payroll for the full period. 

During the period, there was a donation received of £785 (2019: £1,190) from Switalskis Solicitors, a company in which Janet Baker and Suzanne Munroe are Directors. 

## **24. Commitments under licence to occupy** 

At 31 August 2020, Paces Sheffield was committed to making the following repayments under a non-cancellable licence agreement in the period to 31 August 2021: 

|Less than one year|**31 August**<br>**2020**<br>**£**<br>**88,077**<br>**88,077**|31 March<br>2019<br>£<br>136,346<br>136,346|
|---|---|---|



Page 39 



## **PACES SHEFFIELD** 

## **(A company limited by guarantee)** 

## NOTES TO THE FINANCIAL STATEMENTS 

_FOR THE PERIOD ENDED 31 AUGUST 2020_ 

## **25. Corporation Tax** 

As a charity, Paces Sheffield is exempt from tax on income and gains falling within the available tax exemptions to the extent that these are applied to its charitable objects. No tax charges have arisen for the charity. 

## **26. Control** 

The charity is controlled by its members. No individual member has overall control. 

Page 40