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← Writhlington Trust

2021-03-31-accounts

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

Company Registered No: 04757263 Charity Registration No: 900380

WRITHLINGTON TRUST (A COMPANY LIMITED BY GUARANTEE)

AUDITED TRUSTEES’ REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

CONTENTS

Page
Reference and administrative details of the Company, its Trustees and Advisers 2
Trustees’ report 3 – 6
Independent Auditors’ report on the financial statements 7 – 9
Statement of financial activities 10
Balance sheet 11 – 12
Notes to the financial statements 13 – 26

Page 1

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2021

Trustees J Pilling, Chair
C Sampson
J Pike
Company secretary Mrs C Hobbs
Company registered number 04757263
Charity registered number 1111515
Registered office Dragonfly Leisure
1 Knobsbury Lane
Radstock
BA3 3HQ
Independent Auditors Moore Scarrott Limited
Calyx House
South Road
Taunton
Somerset
TA1 3DU

Page 2

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2021

The Trustees present their annual report together with the audited financial statements of the Company for the year ended 31 March 2021. The Annual Report serves the purpose of both a Trustees’ report and a directors’ report under company law. The Trustees confirm that the annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company’s governing document and the provisions of the Statement of Recommended Practice (SORP) 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).

Since the Company qualifies as small under section 382 of the Companies Act 2006, the Strategic Report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors Report) Regulations 2013 has been omitted.

Objectives and activities

a) Policies and objectives

The Company’s Objectives as stated in the Memorandum and Articles are:-

The Trustees have complied with the duty in Section 4 of the Charities Act 2006 to have due regard to the public benefit guidance published by the Charity Commission in respect of the above activities.

b) Strategies for achieving objectives

In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance ‘Public benefit: running a charity (PB2)’.

c) Activities undertaken to achieve objectives

In the year the priorities for the Trust were:

Achievements and performance

a) Review of activities

The Trust has invested heavily in refurbishment at the Midsomer Norton Sports Centre in order to maximise income streams as early as possible.

Only essential infrastructure works were carried out during the year in order to prioritise customer experience.

Page 3

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

TRUSTEES’ REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2021

Achievements and performance (continued)

b) Investment policy and performance

The Trust will invest surplus funds in interest bearing accounts and charity bonds when this is possible. This year, there was no interest received.

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. The Trustees have considered the outbreak of the COVID-19 pandemic and the impact it has had on the ongoing operations of the Charity and how working practices and centre procedures have had to change to reflect the changing legislation and safety guidance.

The Trustees have prepared forecasts which demonstrate the Charity will be able to operate for a period of at least 12 months within its anticipated cash resources. The Trustee’s assumptions and outlook assumes that the COVID-19 pandemic causes no material unanticipated changes to the business model. The financial statements do not reflect the adjustments that would be necessary if the Charity’s ability to operate is jeopardised due to a material issue with the availability of its income or work force. As such, there is a material uncertainty related to events or conditions that may cast significant doubt on the Charity’s ability to continue as a going concern.

Further details regarding the going concern basis can be found in the accounting policies.

b) Reserves policy

The Trust agreed to the use of reserves for the refurbishment at both sport centres as well as funding through borrowing. The Trust will aim to work back to a position of reserves for 3 months operating costs across both sites.

c) Principal risks and uncertainties

On 11 March 2020, the World Health Organisation declared COVID-19 a pandemic. The subsequent periods of lockdown have impacted on the charity’s operations and therefore the pandemic continues to be a principal area of risk and uncertainty for the Charity.

Structure, governance and management

a) Constitution

Writhlington Trust is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association.

The principal activity of the company is to operate Writhlington and Midsomer Norton Sports Centres and to develop them as community facilities.

The Memorandum and Articles of Association of the Trust ensure that the objectives of the organisation are charitable and prevent the distribution of profits to individuals. The prime aim of the organisation is to promote education and sport in the community of Norton Radstock.

Page 4

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

TRUSTEES’ REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2021

Structure, governance and management (continued)

b) Methods of appointment or election of Trustees

The Memorandum and Articles define the Board structure as: Headteacher of Writhlington School and nominated Governor, 4 members from “partner” organisations and 3 independent members, by invitation of the Board.

c) Organisational structure and decision-making policies

Day to day operation of the centres is carried out by the Senior Leadership Team overseen by the CEO. This consists of:-

The Board meets bi-annually to plan developments and to receive reports from operational staff. The CEO and Company Secretary report to the Board on matters relating to the running of the Sports Centres.

The Directors of Writhlington Trust work strategically to guide the development of sport at Writhlington and Midsomer Norton. They also have a governance role. Directors do not have an operational role and none are paid for their work as Directors.

The Directors meet bi-annually for the following purposes:-

d) Pay policy for key management personnel

Senior staff pay is reviewed on an annual basis by the Trust Board or delegated trustees.

e) Financial 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 the major risks.

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).

Page 5

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

TRUSTEES’ REPORT (continued) FOR THE YEAR ENDED 31 MARCH 2021

Statement of Trustees’ responsibilities (continued)

Company law requires the Trustees to prepare financial statements for each financial year. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and 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:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the 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 Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of information to auditors

Each of the persons who are Trustees at the time when this Trustees’ Report is approved has confirmed that:-

Auditors

The auditors, Moore Scarrott Limited, have indicated their willingness to continue in office. The designated Trustees will propose a motion reappointing the auditors at a meeting of the Trustees.

Approved by order of the members of the board of Trustees and signed on their behalf by:

J Pilling

Chair of Trustees

Date: 03-03-22

Page 6

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

Opinion

We have audited the financial statements of Writhlington Trust (the ‘charitable company’) for the year ended 31 March 2021 which comprises the Statement of Financial Activities, the Balance Sheet and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:-

Basis of 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 Auditors’ 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.

Material uncertainty related to going concern

We draw attention to note 2.2 in the financial statements, which indicates that the significant challenges and uncertainties caused by the current Coronavirus (COVID-19) pandemic may cast significant doubt on the charitable company’s ability to continue as a going concern. As stated in note 2.2, these events or conditions, along with the other matters as set forth in note 2.2, indicate that a material uncertainty exists that may cast significant doubt on the charitable company’s ability to continue as a going concern. Our opinion is not modified in respect of this matter.

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 Auditors’ 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.

Page 7

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF WRITHLINGTON TRUST (continued) FOR THE YEAR ENDED 31 MARCH 2021

Opinion on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the 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:-

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.

Auditors’ 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 Auditors’ 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 Auditors’ Report.

Page 8

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF WRITHLINGTON TRUST (continued) FOR THE YEAR ENDED 31 MARCH 2021

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 Auditors’ 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.

Duncan Nicholas FCA (Senior Statutory Auditor)

For an on behalf of Moore Scarrott Limited

Chartered Accountant & Statutory Auditors Calyx House South Road Taunton TA1 3DU

Dated: 03-03-22

Page 9

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2021

Notes
Incoming resources
Donations and legacies
3
Charitable activities
4
Other trading activities
5
Total incoming resources
Resources expended
Charitable activities
6
Total resources expended
Net movement in funds before
other recognised gains/(losses)
Other recognised gains/(losses):
Actuarial losses on defined benefit
pension schemes
17
Net movement in funds
Recognition of funds
Total funds brought forward
17
Net movement in funds
17
Total funds carried forward
17		 Unrestricted
Funds
2021
£
10,000
1,752,052
3,792
1,765,844
2,054,349
2,054,349
(288,505)
-
(288,505)
1,800,122
(288,505)
1,511,617		 Restricted
Funds
2021
£
-
-
-
-
4,000
4,000
(4,000)
651,000
647,000
(601,600)
647,000
45,400		 Total
Funds
2021
£
10,000
1,752,052
3,792
1,765,844
2,058,349
2,058,349
(292,505)
651,000
358,495
1,198,522
358,495
1,557,017		 Total
Funds
2020
£
-
3,231,495
31,034
3,262,529
3,002,413
3,002,413
260,116
(285,000)
(24,884)
1,223,406
(24,884)
1,198,522

The Statement of Financial Activities includes all gains and losses recognised in the year.

The notes on pages 13 to 26 form an integral part of these financial statements.

Page 10

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

BALANCE SHEET AS AT 31 MARCH 2021

Notes
Fixed assets
Tangible assets
10
Current assets
Stocks
11
Debtors
12
Cash at bank and in hand
Creditors: amounts falling due within one
year
13
Net current assets
Total assets less current liabilities
Creditors: amounts falling due after one
year
14
Net assets excluding pension liability
Defined benefit pension scheme
asset/(liability)
16
Total assets
Charity funds
Restricted funds:
Restricted funds
16
Restricted funds excluding pension asset
Pension reserve
16
Total restricted funds
Unrestricted funds
16
Total funds
16
14,955
244,918
208,065
467,938
(370,432)
14,400
14,400
31,000		 2021
£
1,821,572
1,821,572
97,506
1,919,078
(393,061)
1,526,017
31,000
1,557,017
45,400
1,511,617
1,557,017
14,378
231,290
490,552
736,220
(425,936)
14,400
14,400
(616,000)		 2020
£
1,920,979
1,920,979
310,284
2,231,263
(416,741)
1,814,522
(616,000)
1,198,522
(601,600)
1,800,122
1,198,522

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 notes on pages 13 to 26 form an integral part of these financial statements.

Page 11

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

BALANCE SHEET (continued) AS AT 31 MARCH 2021

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

J Pilling Chair

Dated: 03-03-22

The notes on pages 13 to 26 form an integral part of these financial statements.

Page 12

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

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

1 General information

Writhlington Trust is a company limited by guarantee, incorporated in England and Wales. The registered office is Writhlington School, 1 Knobsbury Lane, Radstock, B&NES, BA3 34NQ.

2 Accounting Policies

2.1 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.

Writhlington 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.

2.2 Going concern

The Trustees assess whether the use of going concern is appropriate, i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the Charity to continue as a going concern. The Trustees make this assessment in respect of a period of at least one year from the date of authorisation for issue of the financial statements.

The Trustees have considered the outbreak of the COVID-19 pandemic and what impact it has had on the ongoing operations of the Charity. The Trustees have prepared forecasts which demonstrate the Charity will be able to operate for a period of at least 12 months within its anticipated cash resources. The Trustee’s assumptions and outlook assumes that the COVID-19 pandemic causes no material unanticipated changes to the business model.

The financial statements do not reflect the adjustments that would be necessary if the Charity’s ability to operate is jeopardised due to a material issue with the availability of its income or work force. As such, there is a material uncertainty related to events or conditions that may cast significant doubt on the Charity’s ability to continue as a going concern.

2.3 Income

All income is recognised once the Company 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 13

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 MARCH 2021

2 Accounting Policies (continued)

2.4 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.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Company’s objectives, as well as any associated support costs.

All expenditure is inclusive of irrecoverable VAT.

2.5 Tangible fixed assets and depreciation

Tangible fixed assets costing £500 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

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.

Depreciation is provided on the following bases:-

Leasehold improvement - 10.0% straight line
Sports equipment - 20.0% straight line
Fixtures and fittings - 25.0% straight line
Computer equipment - 33.3% straight line
Soft play area - 5.0% straight line

2.6 Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.

2.7 Debtors

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

2.8 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.

Page 14

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 MARCH 2021

2 Accounting Policies (continued)

2.9 Liabilities

Liabilities and provisions 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 Company 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.

Provisions are measured at the best estimate of the amounts required to settle the obligation, where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of Financial Activities as a finance cost.

2.10 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.

2.11 Finance leases and hire purchase

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance leases are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the Company. Obligations under such agreements are included in creditors, net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the Statement of Financial Activities so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

2.12 Pensions

The Company operates a defined benefits pension scheme and the pension charge is based on a full actuarial valuation dated 31 March 2021.

2.13 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.

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 aims and uses of each restricted fund are set out in the notes to the financial statements.

Page 15

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 MARCH 2021

3 Income from donations and legacies

Unrestricted
Funds
£
Grants
10,000
4
Income from charitable activities
Unrestricted
Funds
£
Charity incoming resources
1,752,052
5
Income from other trading activities
Unrestricted
Funds
£
Income from fundraising
events
Shop income
3,792
6
Analysis of expenditure by activities
Activities
undertaken
directly
2021
£
Provision of sports facilities
1,866,105
Total analysis – 2020
2,630,305		 Restricted
Funds
£
-
Restricted
Funds
£
-
Restricted
Funds
£
-
Support
costs
2021
£
188,244
372,108		 Total
Funds
Total
Funds
2021
2020
£
£
10,000
-
Total
Funds
Total
Funds
2021
2020
£
£
1,752,052
3,231,495
Total
Funds
Total
Funds
2021
2020
£
£
3,792
31,034
Total
Funds
Total
Funds
2021
2020
£
£
2,054,349
3,002,413
3,002,413

Page 16

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 MARCH 2021

6 Analysis of expenditure by activities (continued)

Analysis of direct costs
Pension finance costs
Staff costs
Depreciation
Café expenditure
Equipment expenditure
Travel costs
Premises costs
Other costs
Total Direct Costs		 Unrestricted
Funds
£
-
1,298,649
347,084
11,383
53,203
2,506
153,280
-
1,866,105		 Restricted
Funds
£
15,000
(11,000)
-
-
-
-
-
-
4,000		 Total
Funds
2021
£
15,000
1,287,649
347,084
11,383
53,203
2,506
153,280
-
1,870,105		 Total
Funds
2020
£
8,000
1,681,458
297,430
141,164
117,380
1,149
345,162
38,562
2,630,305
Analysis of support costs
Advertising
Office costs
Legal and professional costs
Direct course fees
Accountancy training costs
Insurance
Bank charges and interest
Total Support Costs		 Unrestricted
Funds
£
2,241
55,648
19,151
1,655
14,580
45,088
49,881
188,244		 Restricted
Funds
£
-
-
-
-
-
-
-
-		 Total
Funds
2021
£
2,241
55,648
19,151
1,655
14,580
45,088
49,881
188,244		 Total
Funds
2020
£
21,931
96,976
68,952
59,437
8,124
51,699
64,989
372,108

7 Net income/(expenditure)

This is stated after charging:

2021 2020
£ £
Depreciation of tangible fixed assets:
- Owned by the charity 248,918 234,793
- Held under finance lease 98,166 62,638
Auditors’ remuneration – audit 5,750 5,500

Page 17

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 MARCH 2021

8 Staff costs

Analysis of staff costs
Wages and salaries
Social security costs
Contribution to defined
contribution pension schemes
Operating costs of defined
benefit pension schemes
Total Support Costs		 Unrestricted
Funds
£
1,239,139
49,789
9,721
-
1,298,649		 Restricted
Funds
£
(73,000)
-
-
62,000
(11,000)		 Total
Funds
2021
£
1,166,139
49,789
9,721
62,000
1,287,649		 Total
Funds
2020
£
1,456,768
71,157
13,533
140,000
1,681,458

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

2021 2020
No. No.
Staff 130 152

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

2021 2020
No. No.
In the band £70,001 - £80,000 - 1

The key management personnel of the Trust comprise the sport centre management team. The total amount of employee benefits (including employee pension contributions) received by key management personnel for their services to the Academy Trust was £110,954 – 3 staff (2020: £140,033 – 3 staff).

9 Trustees’ remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2020 - £Nil).

During the year ended 31 March 2021, no Trustee expenses have been incurred (2020 - £Nil).

Page 18

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 MARCH 2021

10
Tangible fixed assets
Cost or valuation
At 1 April 2020
Additions
As at 31 March 2021
Depreciation
At 1 April 2020
Charge for the year
As at 31 March 2021
Net book value
At 31 March 2021
At 31 March 2020
11
Stocks
Finished goods and goods for resale
12
Debtors
Due within one year
Trade debtors
Other debtors
Prepayments and accrued income		 2021
£
14,955
2021
£
22,538
188,870
33,510
244,918		 Plant &
Machinery
£
3,343,577
247,676
3,591,253
1,422,598
347,083
1,769,681
1,821,572
1,920,979
2020
£
14,378
2020
£
46,543
130,488
54,259
231,290

Page 19

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 MARCH 2021

13 Creditors: Amounts falling due within one year

Bank loans
Trade creditors
Other taxation and social security
Obligations under finance lease and hire purchase contracts
Other creditors
Accruals and deferred income		 2021
£
64,512
42,187
17,425
146,868
5,380
94,060
370,432		 2020
£
29,307
80,982
21,797
150,887
4,292
138,671
425,936

Included within bank loans due within one year is £59,512 (2020: £29,307) secured by a fixed and floating charge over all assets of the charitable company. Interest is charged on this loan at 3.18% over the Bank of England Base Rate. The Bank of England Base Rate prevailing at 31 March 2021 was 0.1%.

Hire purchase liabilities are secured against the assets to which they relate.

14 Creditors: Amounts falling due after one year

Bank loans
Obligations under finance lease and hire purchase contracts		 2021
£
168,517
224,544
393,061		 2020
£
72,953
343,788
416,741

Also included within bank loans due more than one year is £123,517 (2020: £72,953) secured by a fixed and floating charge over all assets of the charitable company. Interest is charged on this loan at 3.67% over the Bank of England Base Rate. The Bank of England Base Rate prevailing at 31 March 2021 was 0.1%.

Hire purchase liabilities are secured against the assets to which they relate.

Page 20

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 MARCH 2021

15 Financial instruments

Financial assets
Financial assets measured at fair value through income and
expenditure
Financial assets that are debt instruments measured at
amortised cost
Financial liabilities
Financial liabilities measured at amortised cost		 2021
£
208,065
56,048
264,113
2021
£
(718,150)		 2020
£
490,552
82,476
573,029
2020
£
(804,601)

Financial assets measured at fair value through income and expenditure comprise of cash at bank.

Financial assets that are debt instruments measured at amortised cost comprise of trade debtors and accrued income.

Financial liabilities measured at amortised cost comprise of trade creditors, loans, HP obligations, accruals and other creditors.

16 Statement of funds

Statement of funds – current year

Unrestricted funds
General funds
Restricted funds
LTA tennis court
resurfacing fund
Pension reserve
Total of funds		 Balance at
1 April
2020
£
1,800,122
14,400
(616,000)
(601,600)
1,198,522		 Income
Expenditure
£
£
1,765,844
(2,054,349)
-
-
-
(4,000)
-
(4,000)
1,765,844
(2,058,349)		 Gains/
(Losses)
£
-
-
651,000
651,000
651,000		 Balance at
31 March
2021
£
1,511,617
14,400
31,000
45,400
1,557,017

Restricted funds include a grant from the Lawn Tennis Association (LTA) towards the cost of future tennis court resurfacing and grants from the LTA and other charitable bodies for the furtherance of sports education within the local community.

Page 21

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 MARCH 2021

16 Statement of funds (continued)

Statement of funds – current year (continued)

The pension reserve represents the charitable company’s share of the assets and liabilities in the Local Government Pension Scheme. As with most pension schemes this is currently in deficit due to an excess of scheme liabilities over scheme assets which was inherited on acquisition of the operations of the South Wansdyke Sports Centre. The charitable company is following the recommendations of the actuary to reduce the deficit by making additional contributions over a number of years.

Statement of funds – prior year

Balance at
1 April
2019
£
Unrestricted funds
General funds
1,453,006
Restricted funds
LTA tennis court
resurfacing fund
14,400
Pension reserve
(244,000)
(229,600)
Total of funds
1,223,406
17
Summary of funds
Statement of funds – current year
Balance at
1 April
2020
£
General funds
1,800,122
Restricted funds
(601,600)
Total of funds
1,198,522
Statement of funds – prior year
Balance at
1 April
2019
£
General funds
1,453,006
Restricted funds
(229,600)
Total of funds
1,223,406		 Income
Expenditure
£
£
3,262,529
(2,915,413)
-
-
-
(87,000)
-
(87,000)
3,262,529
(3,002,413)
Income
Expenditure
£
£
1,765,844
(2,054,349)
-
(4,000)
1,765,844
(2,058,349)
Income
Expenditure
£
£
3,262,529
(2,915,413)
-
(87,000)
3,262,529
(3,002,413)		 Gains/
(Losses)
£
-
-
(285,000)
(285,000)
(285,000)
Gains/
(Losses)
£
-
651,000
651,000
Gains/
(Losses)
£
-
(285,000)
(285,000)		 Balance at
31 March
2020
£
1,800,122
14,400
(616,000)
(601,600)
1,198,522
Balance at
31 March
2021
£
1,511,617
45,400
1,557,017
Balance at
31 March
2020
£
1,800,122
(601,600)
1,198,522

Page 22

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 MARCH 2021

18 Analysis of net assets between funds

Analysis of net assets between funds – current year

Unrestricted
funds
2021
Restricted
funds
2021
£
£
Tangible fixed assets
1,821,572
-
Current assets
453,538
14,400
Creditors due within one year
(370,432)
-
Creditors due in more than one year
(393,061)
-
Provisions for liabilities and charges
-
31,000
Total
1,511,617
45,400
Analysis of net assets between funds – prior year
Unrestricted
funds
2020
Restricted
funds
2020
£
£
Tangible fixed assets
1,920,979
-
Current assets
721,820
14,400
Creditors due within one year
(425,936)
-
Creditors due in more than one year
(416,741)
-
Provisions for liabilities and charges
-
(616,000)
Total
1,800,122
(601,600)
Reconciliation of net movement in funds to net cash flow from operating activities
2021
£
Net income for the period (as per Statement of Financial
Activities)
(321,634)
Adjustments for:
Depreciation charges
347,084
Loss on the sale of fixed assets
-
Decrease/(increase) in stocks
(577)
Decrease/(increase) in debtors
(13,628)
Increase/(decrease) in creditors
(79,184)
Defined benefit pension movements
62,000
Net cash provided by operating activities
(5,939)		 Total
funds
2021
£
1,821,572
467,938
(370,432)
(393,061)
31,000
1,557,017
Total
funds
2020
£
1,920,979
736,220
(425,936)
(416,741)
(616,000)
1,198,522

2020
£
260,116
297,431
-
3,616
(70,651)
180,364
79,000
749,876

19 Reconciliation of net movement in funds to net cash flow from operating activities

Page 23

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 MARCH 2021

20 Analysis of cash and cash equivalents

Cash in hand
Total cash and cash equivalents		 2021
£
208,065
208,065		 2020
£
432,583
432,583

21 Analysis of changes in net debt

Cash at bank and in hand
Bank overdrafts repayable on demand
Debt due within 1 year
Debt due after 1 year
Finance leases		 At
1 April
2020
490,552
-
(29,307)
(72,953)
(494,675)
(106,383)		 Cash
flows
£
(282,487)
-
69,231
-
123,263
(89,993)		 New
finance
leases
£
-
-
(104,436)
(95,564)
-
(200,000)		 At
31 March
2021
£
208,065
-
(64,512)
(168,517)
(371,412)
(396,376)

22 Pension commitments

The Company operates a defined benefit pension scheme.

The LGPS is a funded defined benefit scheme, with assets held in separate trustee-administered funds. The total contribution made for the period ended 31 March 2021 was £95,382 of which employer’s contributions totalled £68,716 and employee’s contributions totalled £26,666. The agreed contribution rates for future years are 21.4% for employers and 5.5% to 6.5% for employees.

Principal actuarial assumptions at the Balance Sheet date (expressed as weighted averages):

Discount rate at 31 March
Expected return on scheme assets at 31 March
Future salary increases
Future pension increases
Mortality rates (in years)
-
For a male aged 65 now
-
At 65 for a male aged 45 now
-
For a female aged 65 now
-
At 65 for a female aged 45 now		 At 31
March 2021
At 31
March 2020
%
%
2.20%
2.30
2.70%
2.10
4.20%
3.60
2.80%
2.20
At 31
March 2021
At 31
March 2020
Years
Years
23.3
23.2
24.8
24.7
25.4
25.3
27.4
27.3

Page 24

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 MARCH 2021

22 Pension commitments (continued)

The Company’s share of the assets in the scheme was:

At 31
March 2021
£
Other
2,323,000
The actual return on scheme assets was £1,087,000 (2020: £298,000).
The amounts recognised in the Statement of Financial Activities are as follows:-
2021
£
Current service cost
(62,000)
Past service cost
-
Interest income
27,000
Interest cost
(41,000)
Total amount recognised in the Statement of Financial
Activities
(76,000)		 At 31
March 2020
£
1,152,000
2020
£
(79,000)
(61,000)
37,000
(45,000)
(148,000)

Movements in the present value of the defined benefit obligation were as follows:

Opening defined benefit obligation
Current service costs
Interest cost
Contributions by scheme participants
Actuarial (gains)/losses
Past service costs
Closing defined benefit obligation		 2021
£
1,768,000
62,000
41,000
13,000
408,000
-
2,292,000

Movements in the fair value of the Company’s share of scheme assets were as follows:

Opening fair value of scheme assets
Expected return on assets
Actuarial (losses)/gains
Contributions by employer
Contributions by scheme participants
Closing fair value of scheme assets		 2021
£
1,152,000
26,000
1,059,000
73,000
13,000
2,323,000

Page 25

DocuSign Envelope ID: 14C3FF8E-48D6-4116-A4E7-CAA34738260E

WRITHLINGTON TRUST FOR THE YEAR ENDED 31 MARCH 2021

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 MARCH 2021

23 Operating lease commitments

At 31 March 2021 the Company had commitments to make future minimum lease payments under noncancellable operating leases as follows:

Not later than 1 year
Later than 1 year and not later than 5 years		 2021
£
4,503
-
4,503		 2020
£
4,503
4,503
9,006

24 Members liability

Each member of the charitable company undertakes to contribute to the assets of the company in the event of it being wound up while he/she is a member, or within one year after he/she ceases to be a member, such amount as may be required, not exceeding £1 for the debts and liabilities contracted before he/she ceases to be a member.

25 Related party transactions

The Company has not entered into any related party transaction during the year, not are there any outstanding balances owing between related parties and the Company at 31 March 2021.

26 Controlling party

The Trust is controlled jointly by the Trustees. There is no controlling party.

Page 26