2020-10-31-accounts

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

Company No: 03364718 (England and Wales) Registered Charity Number 1112580

LEEDS RUGBY FOUNDATION (A Charitable Company Limited by Guarantee)

Annual Report For the Year Ended 31 October 2020

LEEDS RUGBY FOUNDATION

	Page
Legal and Administrative Information	1
Trustees’ Report (Including Directors’ Report)	2
Chairman’s Statement	8
Chief Operating Officer’s Report	9
Independent Auditor’s Report	12
Consolidated Statement of Financial Activities	15
Consolidated Balance Sheet	16
Charity Balance Sheet	17
Consolidated Statement of Cash Flows	18
Notes to the Financial Statements	19

LEEDS RUGBY FOUNDATION

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees	P H Caplan (Chairman)
	C Kaiper-Holmes
	P G Hirst
	G Hetherington
	J D P Jones-Buchanan
	P N Holmes
	M Pexton
	N Clephan
	D Lambert
	N A Wilson
	P K Mackreth
	K M Leadbeater (Resigned 11 February 2020)
	J Pryor
	J A Dowson
	P A Hill (Appointed 11 February 2020)
Secretary	P G Hirst FCA
Chief Operating Officer	B Bowman QPM
Registered and principal office	Emerald Headingley Stadium
	St Michaels Lane
	Leeds
	LS6 3BR
Company registration number	03364718 (England and Wales)
Charity registration number	1112580
Auditor	MHA Moore & Smalley
	Richard House
	Winckley Square
	Preston
	PR1 3HP

-1-

LEEDS RUGBY FOUNDATION TRUSTEES’ REPORT (INCLUDING DIRECTORS’ REPORT) FOR THE YEAR ENDING 31 OCTOBER 2020

The trustees present their report and the audited financial statements of the charity for the year ended 31 October 2020. The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” (FRS 102) in preparing the annual report and financial statements of the charity.

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, 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.

The comparative period figures represent a period of 14 months of activity following the trustees decision to align the financial year end with that of the associated company, Leeds Cricket, Football and Athletic Company Limited (“LCF&A”).

Structure, governance and management

Constitution

Leeds Rugby Foundation is constituted under the Memorandum and Articles of Association dated 2 May 1997 and is a registered charity, number 1112580. The company was granted charitable status on 21 December 2005 by the Charities Commission. On 6 October 2014, the charity changed its working name to Leeds Rhinos Foundation.

The responsibility and reporting structure of the Foundation is set out by way of the organisation chart which clearly demonstrates the structure. The senior management team through their enquiries and contacts, together with the history strength and reputation of the organisation, identify opportunities for consideration. The viability of each one is closely examined together with an assessment of the risk. Those opportunities which are subsequently undertaken are continually monitored and reported to the trustees on a regular basis and any variances and threats highlighted and discussed.

The setting of pay and remuneration of key senior management personnel is a board level responsibility, all other staff are the responsibility of senior management.

Principal activity and objectives

The principal aim and objective of Leeds Rugby Foundation during the period was that of the advancement and enhancement of the quality of life of the public generally, and in particular those living and/or working within Leeds and Yorkshire and any other fringe areas through the promotion of education, development, teaching and training in sporting and academic skills.

The trustees confirm that they have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the Foundation’s aims and objectives and in the planning of future activities.

Our objectives: -

to promote community participation in healthy recreation by providing facilities for the playing of rugby league, rugby union and other sports capable of improving health (“facilities” means land, buildings, equipment and organising sporting activities).
to provide and assist in providing facilities for sport, recreation or other leisure time occupation of such persons who have need for such facilities by reason of their youth, age, infirmity or disablement; poverty or social arid economic circumstances or for the public at large in the interests of social welfare and with the object of improving their conditions of life
to advance the education of children and young people through such means as the trustees think fit in accordance with the law of charity.

-2-

LEEDS RUGBY FOUNDATION TRUSTEES’ REPORT (INCLUDING DIRECTORS’ REPORT) FOR THE YEAR ENDING 31 OCTOBER 2020

Our aims: -

To use the “Power of Sport” in the community to inspire, motivate and educate individuals within it.

Details of our significant activities are provided in the Chief Operating Officer’s report.

Fundraising

Fundraising activities are governed by the standards expected from a charitable organisation as set out in the Code of Fundraising Practice.

Relative to all fundraising, we as trustees ensure that Leeds Rugby Foundation adheres to the following key principles and procedures: -

That each fundraising activity is legal, honest, unambiguous and respectful including the use of funds, relationship with donors, reporting of fundraising methods and standards, complaint handling and that all persons involved in fund raising activities are aware of these principles.
Policies relative to data protection, health & safety, volunteer involvement, expenses together with those of equality and inclusion are in operation on behalf of and in aid of fundraisers.
In planning events, lotteries, public collections and raffles, and in respect of legacies and major donations, ensuring that all licencing and regulations are met.
Admin standards and procedures relative to reporting, accounting, banking, VAT and gift aid are being maintained.
The trustees ensure that by enquiry and interview, staff and volunteers maintain a courteous business-like manner in their approach for donations.
Any adverse feedback or reports relative to these principles and standards are investigated and appropriate action taken.
Trustees also monitor the threat of money laundering activities by making enquiries and investigating any offers of funds from sources which are/could be dubious.

Related parties

In order to meet the objectives of the charity, a close working relationship has been developed with Leeds Cricket, Football and Athletic Company Limited (“LCF&A”). LCF&A provide administrative support and the use of premises for the charity to meet its objectives; this is charged as a management fee by way of invoice.

Trustees

The directors of the charitable company are its trustees for the purposes of charity law. The trustees who have served during the year and since the year-end are as listed on page 1.

The trustees come from diverse backgrounds and are experienced which encourages debate, improves decision making and offers professional advice when necessary to both the Board and staff.

The Board can access professional advice where necessary and governance issues are reviewed and discussed. As a result of the above approach the trustees are of the opinion that they are effective as a governing body.

-3-

LEEDS RUGBY FOUNDATION TRUSTEES’ REPORT (INCLUDING DIRECTORS’ REPORT)

FOR THE YEAR ENDING 31 OCTOBER 2020

New trustees

Members of the Board of Trustees are appointed with the aim that each appointee brings individual skills and knowledge to the Foundation so that all areas of responsibility and governance are covered.

The procedure is that suitable candidates are approached with the view of appointment if their commitment to the aims of the Foundation is confirmed.

The proposal is circulated to the Board with view of confirming appointment by Ordinary Resolution to be proposed at the next Trustees’ meeting.

New trustees are inducted by the provision of a copy of the Memorandum & Articles of Association, statutory accounts and the latest management accounts being made available. The background of the charity and its aims and objectives are explained and any general questions addressed.

Existing trustees

At the AGM, in accordance with the Articles of Association, three trustees retire by rotation and vacate office at the conclusion of the AGM, unless reappointed.

An ordinary resolution is then proposed to reappoint individual trustees where applicable.

Financial review

The year end result for the group was a surplus of £14,085. The original budget was a deficit of £4,676.

Relatively, turnover decreased from the previous period by only 1.5% despite the onset of Covid-19 and the rules and regulations that were imposed. The Foundation was able to take advantage of the Coronavirus Job Retention Scheme enabling staff to be maintained despite the restrictions. No other Government funding offers or grants were utilised. Without Government support the effect would have been a turnover reduction of around 30%.

Cost savings as a result of furlough and the prevention of delivery were significant. Notwithstanding this, the overall costs were on budget and similar to last period.

Risk management is undertaken and areas of concern identified.

Factors likely to affect future financial performance and position would be:

Income shortfall / withdrawal of funding which would threaten our ability to provide services to our beneficiaries
Changes in the current economic climate and how it would affect our donors and their support
Government grant policies withdrawn or adversely amended
Our contractual commitments and our ability to deliver our services
Increased costs as a result of inflation and other direct expenditure
Competition - are there opportunities for collaboration with others?

A separate section considering the impact of the Covid-19 pandemic is reported under the going concern section of this report.

-4-

LEEDS RUGBY FOUNDATION TRUSTEES’ REPORT (INCLUDING DIRECTORS’ REPORT)

FOR THE YEAR ENDING 31 OCTOBER 2020

Risk and reserves policy

Trustees and executive management recognise that sound risk management is vital to good governance practice. Risk management should form an integral part of the decision-making process and is conducted on all new activities and projects ensuring they are in line with policy and objectives. Any material risks arising are identified, analysed and reported.

The trustees have reviewed the reserves of the charity. The Group’s unrestricted funds as at 31 October 2020 are £324,612 (2019: £316,762). Total reserves at 31 October 2020 are £354,879 (2018: £340,794). Of this £30,267 (2019: £24,032) relates to restricted income received for a specific purpose but not fully spent at the year-end. In addition, £185,459 (2019: £252,147) relates to fixed assets held for the furtherance of the charity’s objectives which are being depreciated over their useful economic lives and £nil (2019: £53,333) relates to long term liabilities which are not payable in the next 12 months. Taking account of all of this, the charity is holding free reserves of £169,420 (2019: £117,948).

In the Trustees’ opinion, in order to facilitate the smooth running of the charity’s operations, to maintain liquidity levels and to provide for unforeseen contingencies, an appropriate level of free reserves sufficient to maintain working capital is required. This is considered to be in the region of £270,000 (2019: £282,000). The risk to reserves is that expected income falls and costs exceed budget. The charity is implementing cost saving measures and aims to generate annual surpluses going forward in an effort to bring free reserves in line with the required level.

The monitoring of cash flow projections is continually undertaken in relation to all income and expenditure within all Foundation activities.

The reserves are held in accordance with the investment policy of the charity and in order that the funds are readily available the liquid assets consist solely of cash and short-term debtors.

Plans for future periods

The fundamental objectives of the Foundation are set out on page 2 of the Trustees’ Report.

The Foundation seeks to increase the activities generally in line with the objectives and a SWOT analysis will be periodically reviewed with achievable parameters recognised, considered and undertaken.

Notwithstanding the current ’lockdown’ restrictions and heeding resource availability, the Foundation with its multiskilled management and workforce, together with an iconic stadium and facilities, home to a world famous rugby league team, provides a golden opportunity for the public in the City of Leeds to improve their quality of life and take advantage of the diverse activities already in operation, or take the opportunity to increase the activities generally in line with the Foundation’s objectives, but with constraints of any limiting factors. Decision-making will lie with viability, control and risk assessment, together with the effect on the Foundation’s reputation within the organisation and with the public and the business community generally.

Future capital commitments

There are no future planned capital commitments at this stage.

Key performance indicators

ey performance indicators
	Year ended	31 October 2020	Period ended 31 October 2019
Turnover: -
Unrestricted		655,452	1,059,776
Restricted		580,328	403,984
Staff Numbers - direct		35	37
Current Ratio		1.32	1.40
Reserves: -
Unrestricted		324,612	316,762
Restricted		30,267	24,032
Average number of trustees		14	14

-5-

LEEDS RUGBY FOUNDATION TRUSTEES’ REPORT (INCLUDING DIRECTORS’ REPORT)

FOR THE YEAR ENDING 31 OCTOBER 2020

Events since the period end and going concern considerations

COVID-19 Risk Assessment

When the statutory accounts for the period ending 31 October 2019 were signed off on 22 July 2020 the Trustees Report included a statement which covered their going concern opinion and the threat brought about by the virus. The situation is still unclear and the virus continues to spread resulting in further periods of ‘lockdown’ imposed by the Government affecting all businesses and individuals. On the positive side, a worldwide immunisation programme is well underway.

The disruptive effect to the Foundation’s activities, its financial standing and the action being taken to identify the threats and minimise the risks, together with the goals and achievements so far, are continually being addressed by the Board and management team. The Finance and Governance subcommittee meet regularly with management to monitor the situation to make informed judgments and decisions.

The trustees conclude that at this point in time the general situation both in the UK and throughout the rest of the world is not yet under control and the outcome unknown. The key issues arising for the charity are:-

a) The financial sustainability is under continual review:- current projections are robust and indications show that there will be continuing government help, but the general economy remains under intense pressure.
b) The continuing ability to fund raise:- there have been material withdrawals of funding, although other sources of funds have materialised. However, there is a continuing threat depending on funders’ ongoing circumstances.
c) Effect on employment of staff and volunteers and their safeguarding:- all matters have been addressed including government support, but this may be reduced or removed and employment retention threatened.
d) Effect and duration of control measures:- these are being applied generally, but co-operation is not straightforward and is under strain.
e) Effect on reserves:- the level currently held is satisfactory, but the outcome of the above potential threats may have a negative effect on the level of reserves.

Conclusion

The trustees, in continuing to exercise informed governance, confirm that in their opinion the Foundation’s organisational and control measures are currently effective. Consequently, they are confident that with the measures being taken, together with availability of resources and government support, the Foundation meets the going concern parameters. The Finance and Governance committee cautiously review the position and are taking heed of positive trends which are currently prevailing. It is not yet certain when the charity will be able to resume activities as normal, however the trustees are confident that income generation and costs are being kept under constant review to enable them to react accordingly to ensure the continuation of the entity as a going concern.

Leeds Rhinos Foundation has achieved sustained growth over the years and it is the intention that it will continue to operate for the foreseeable future.

The trustees believe that it remains appropriate to prepare the financial statements on a going concern basis.

-6-

LEEDS RUGBY FOUNDATION

TRUSTEES’ REPORT (INCLUDING DIRECTORS’ REPORT)

FOR THE YEAR ENDING 31 OCTOBER 2020

Trustees’ responsibilities

The trustees (who are also directors of Leeds Rugby Foundation 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 year, which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

select suitable accounting policies and then apply them consistently;
observe the methods and principles in the Charities SORP 2019 (FRS 102);
make judgements and estimates that are reasonable and prudent;
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable 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.

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 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.

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

Disclosure of information to the auditor

We, the directors of the company who held office at the date of approval of these Financial Statements as set out above each confirm, so far as we are aware, that:

there is no relevant audit information of which the company’s auditor is unaware; and
we have taken all the steps that we ought to have taken as directors in order to make ourselves aware of any relevant audit information and to establish that the company’s auditors are aware of that information.

In preparing this report the trustees have taken advantage of the small companies exemption provided by the Companies Act 2006.

The report was approved by the board on and signed on its behalf by: 20 April 2021

…………………………………. P G Hirst FCA Trustee

-7-

LEEDS RUGBY FOUNDATION

CHAIRMAN’S STATEMENT

FOR THE YEAR ENDING 31 OCTOBER 2020

If, as per last year’s report, 2019 was deemed ‘challenging’, then those operating conditions paled into insignificance compared to dealing with the effects of the Coronavirus pandemic in 2020.

The charity sector was especially hard hit with uncertainty over income streams and an effective hold on fundraising, cancellation of most planned programmes and events as lockdowns and restrictions were imposed, and the need to effectively mothball the staff. Judicious utilisation of the government’s furlough scheme was vital and the comprehensive work of the senior management team, with their constant review and reworking of budgets and financial planning, exceptional; the Board pays tribute to their diligence and expertise.

Due to the fluidity of the financial situation, the overseeing of the Finance and Governance group of the Board - a group of trustees with more defined focus and specialisms in those areas - came into even sharper focus which is re-defining its terms of reference and involving extensive work on governance assessment, gap analysis and improvement planning. Rigorous testing of the reserves policy has also been regularly undertaken.

The welfare of the staff during such an unprecedented period has also been a paramount concern with regular monitoring and ensuring them access to greater wellbeing resources. The togetherness, commitment, willingness and versatility of our staff has been a stand-out feature of the most difficult of years and their eagerness to volunteer over a number of sectors within the city is a reflection of their qualities and the organisation’s values.

A closer working relationship has been established with Community Integrated Care and the Motor Neurone Disease Association which is expected to offer further programme opportunities. As a result, the profile and reputation of the Foundation has been enhanced despite the circumstances, which again reflects a huge credit to staff and senior management for which the Board and the Club are incredibly indebted and appreciative.

The Board has continued to meet at the scheduled times, principally over Zoom, and plans for trustee development and training to continue apace for when full meetings in person can restart.

My continued thanks go to the Board of Trustees for their understanding, patience and input. They in turn join me in thanking all who have contributed to the Foundation being able to continue its vital work and role in the community in the most trying of circumstances, including our sponsors, donors, supporters and volunteers.

………………………………….

P H Caplan Chairman 20 April 2021

…………………..

-8-

LEEDS RUGBY FOUNDATION CHIEF OPERATING OFFICER’S REPORT

FOR THE YEAR ENDING 31 OCTOBER 2020

A famous Charles Dickens book, A Tale of Two Cities, opens with the sentence, ‘It was the best of times, it was the worst of times’. This would be a very quick and short summary to cover the overall performance of Leeds Rhinos Foundation for this financial period which saw a full 7 months immersed in the global pandemic of Covid19 and its subsequent effects.

It pleases me immensely though to be able to report that through teamwork, economic prudence, collaboration, patience and sheer hard work we are able to report a positive financial outcome to the year. We are not alone in managing the unprecedented negative consequences of the pandemic, the biggest of which has been the uncertainty and ever shifting timescale of potential return to some form of normality. In fact, as I write this report it seems like the light at the end of the tunnel may not be shining brightly until late summer of 2021!

Our year commenced extremely brightly across all of the five sectors of the Foundation and we were especially excited in delivering our first full year of the National Citizen Service programme. Our work with schools was buoyant, the health initiatives we were delivering had strong potential for growth and we looked forward to the positive effects of a full rugby league season; a well-performing team attracting crowds and historically recognised cascades positively for the Foundation.

As we entered the new calendar year everything was moving as per plan; we were able to start diverting some of our time to look at new projects such as a city-wide education offer and assist our Board of Trustees in the area of governance training and development. We continued to be fully engaged within excess of 100 primary schools in the city, either through our Partner Schools programme or continuing to deliver Sky Try, allowing hundreds of children to participate in and enjoy the sport of rugby league.

Utilising our dedicated Disability Officer we embarked on growing our offer of playing structured team rugby league for those clients with physical or learning difficulties, allowing them to train and play at the home of the elite male and female teams. Discussions were also progressing to formalise the inclusion of the semi-independent wheelchair-based rugby league team into the Foundation family.

Adults from some of our most marginalised communities continued to access our unique and highly effective Adult Education programme which once again was delivered back in our traditional home of Try Zone, our purpose-built Education Centre, which had been out of use during the two-year stadium redevelopment. We are indebted to the Chairman of Caddick Group (also Chair of Leeds Rhinos Super League Club) for adapting the building to make it a much more effective place of learning, whilst also making it more comfortable for staff to work from.

Our ground-breaking work within the prison population, specifically around domestic abuse, continued to gain increased profile and credibility and we were very confident that this would prove to be in high demand throughout the rest of the year.

We continued to play a major role in the Leeds Learning Alliance which aims to confront educational inequalities within the city through collaboration and innovative thinking about how to do a lot of things differently.

From late February to early March realisation dawned that things were going to be very different, very soon. At the commencement of lockdown just over 80% of our staff were put on to full furlough and we established a core group of senior managers and trustees to draw up a new plan to ensure economic survival and viability in order to get back to work at a moment’s notice. This was handled extremely well all the way throughout the remaining part of this financial period, albeit the unfortunate decision had to be made to lose some staff at the latter end of summer to remain viable.

-9-

LEEDS RUGBY FOUNDATION

CHIEF OPERATING OFFICER’S REPORT

FOR THE YEAR ENDING 31 OCTOBER 2020

Throughout national lockdown 1, and the subsequent months of restrictions, we continued to deliver some of our services to the best of our ability. Some of our delivery moved to online/virtual models which were very well received. Along with our partners at Community Integrated Care we developed and delivered an online physical activity scheme which was ground breaking in its approach to increasing the mobility and happiness of those people in residential care due to acute learning difficulties. When the opportunity allowed, subject to legal restrictions, we moved back to our normal mode of delivery as soon as was practicable. This meant we were able to deliver our very important health offer, continuing to improve the lives of people suffering from life limiting illnesses, obesity, rheumatoid arthritis, along with the challenges of ageing, isolation and loneliness.

As this period also covered the traditional school holidays we were pleased that camps for children were offered in numerous locations of the city. This not only provided a much needed outlet for pent up ‘lockdown energy,’ but assisted in deterring anti-social behaviour in some of our most deprived localities.

Similarly, an element of our National Citizen Service programme was able to be delivered which involved 16-17yr olds. Their social action project added value which resulted in some valuable enhancement at one of Leeds’ residential activity centres.

The start of the next academic year heralded a return to our work with schools, which I am pleased to report meant that from September 2020 we were effectively back working with schools as we were pre the pandemic. During lockdown we delivered well over 100 hours of online content for children and families to access from home or school (for key worker children etc.) covering physical activity, physical education, dance and simple fun sessions to assist in engaging children and allowing their parent/carer a short break.

Lockdown and subsequent restrictions limited the opportunity for our traditional fundraising events, although it was pleasing to see the success of people supporting us ‘remotely’ and the success of our alternative annual ‘Run with the Rhinos Re-Imagined’ resulted in some much-needed funding.

We have not been immune from the consequences of the negative economic impact of the pandemic. In fact, one of our major annual donations was reduced by £100k; there have been many other revenue streams that have not been received this year. We have been able to manage this as well as we can, but it is also worth pointing out that many of those revenue streams still wish to support us in the future, as and when the economic situation for themselves improves.

-10-

LEEDS RUGBY FOUNDATION

CHIEF OPERATING OFFICER’S REPORT

FOR THE YEAR ENDING 31 OCTOBER 2020

I am immensely proud of my whole staff team, around their approach to ‘dealing’ with the effects of furlough, job insecurity and the physical/mental stresses of lockdown and working from home. They continue to conduct themselves in a tremendously professional way and are a credit to themselves and the Foundation. Our staff involved themselves in many volunteering opportunities in and around the city which resulted in many of our most vulnerable residents receiving food, medical supplies, a visit and even a song or too from our very own Elvis!

Some headline data in respect of our volunteer work:

Delivered in excess of 100 treat packages to 29 care homes across West Yorkshire
Assisting homeless charities, we delivered 300 aid packages a week throughout lockdown and after
Delivered in excess of 3,700 hot meals and this continues
Approximately 650 people per week benefitted from our assistance throughout the height of the pandemic

This work in the community has ironically opened up new discussions with individuals, organisations and businesses who previously did not know Leeds Rhinos Foundation too well and have been very impressed with our work and staff. This will result in positive benefits to the Foundation in the future, I am sure.

In conclusion, I believe that this year has really tested our organisation around its mission to ‘Changing Lives Through Sport’. Everybody’s life, in some shape or form, has been impacted due to Covid-19. I truly believe, under such extraordinary circumstances, we have performed exceptionally well to not only finish our year-end in a positive financial position, but also continued to do everything we could to deliver our services in order to achieve our objectives and be fit for purpose, to carry on doing so in very challenging times that lay ahead.

…………………………………. B Bowman QPM Chief Operating Officer

20 April 2021

………………………….

-11-

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS AND TRUSTEES OF

LEEDS RUGBY FOUNDATION

Opinion

We have audited the financial statements of Leeds Rugby Foundation (the ‘parent charitable company’) and its subsidiary (the ‘group’) for the period ended 31 October 2020 which comprise the Consolidated Statement of Financial Activities, the Consolidated and Parent Charity Balance Sheets and the Consolidated Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including 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 group’s and parent charitable company’s affairs as at 31 October 2020, and of the group’s incoming resources and application of resources, including its income and expenditure, for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Charities Act 2011.

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 group and parent charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

Other information

The trustees are responsible for the other information. The other information comprises the information included in the trustees’ 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.

-12-

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS AND TRUSTEES OF

LEEDS RUGBY FOUNDATION

Matters on which we are required to report by exception

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

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

adequate accounting records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us; or
the parent charitable company’s 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.

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 7, 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 group’s and parent 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 group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed auditor under section 151 of the Charities Act 2011 and report in accordance with this Act.

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.

-13-

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS AND TRUSTEES OF LEEDS RUGBY FOUNDATION

Use of our report

This report is made solely to the charitable company’s trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company’s trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

MHA Moore and Smalley (Statutory Auditor)

Richard House 9 Winckley Square Preston PR1 3HP

10/05/2021

…………………

MHA Moore and Smalley is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006.

-14-

LEEDS RUGBY FOUNDATION

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDING 31 OCTOBER 2020

Note Donations and legacies 3 Charitable activities 4 Other trading activities 5 Other income 6 Total income and endowments Expenditure on: Charitable activities 7 Raising funds 10 Other 11 Total expenditure Net income/(expenditure) Transfer between funds Net movement in funds Reconciliation of funds Total funds brought forward 22 Income and endowments from: Total funds carried forward	Unrestricted funds £ 225,853 303,906 125,693 - 655,452	Restricted funds £ 24,929 303,738 - 251,661 *12 months*	*14 months* Total funds Total funds 2020 2019 £ £ 250,782 321,574 607,644 919,499 125,693 222,687 251,661 - 1,235,780 1,463,760 1,200,240 1,398,977 1,716 13,154 19,739 15,804 1,221,695 1,427,935 14,085 35,825 - - 14,085 35,825 340,794 304,969 354,879 340,794
		580,328
	626,126 1,716 19,739	574,114 - -
	647,581	574,114
	7,871 (21)	6,214 21
	7,850 316,762	6,235 24,032
	324,612	30,267

All income and expenditure derive from continuing activities.

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

-15-

LEEDS RUGBY FOUNDATION

CONSOLIDATED BALANCE SHEET

FOR THE YEAR ENDING 31 OCTOBER 2020

Note Tangible assets 15 Intangible assets 16 Total fixed assets Current assets Debtors 18 Cash at bank and in hand Total current assets Liabilities 19 Net current assets Total assets less current liabilities 20 Net assets Funds Unrestricted general fund Restricted funds Total funds 22 Fixed assets Creditors:Amounts falling due after more than one year Creditors:Amounts falling due within one year	Unrestricted funds £ 184,084 1,375 185,459 30,005 477,338	Restricted funds £ - -	Total Total funds funds 2020 2019 £ £ 184,084 249,772 1,375 2,375 185,459 252,147 110,287 222,867 585,459 275,133 695,746 498,000 (526,326) (356,020) 169,420 141,980 354,879 394,127 - (53,333) 354,879 340,794 324,612 316,762 30,267 24,032 354,879 340,794
		- 80,282 108,121
	507,343 (368,190)	188,403 (158,136)
	139,153	30,267
	324,612 -	30,267 -
	324,612	30,267
	324,612 -	- 30,267
	324,612	30,267

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

For the year ending 31 October 2020 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies but as this company is a charity, it is subject to audit under the Charities Act 2011.

Directors’ responsibilities:

The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476;
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements were approved and authorised for issue by the board of trustees on and 20/04/21 signed on its behalf by:

…………………………………

P G Hirst FCA Trustee

Company number: 03364718

The notes on pages 19 to 38 form part of these financial statements.

-16-

LEEDS RUGBY FOUNDATION

CHARITY BALANCE SHEET

FOR THE YEAR ENDING 31 OCTOBER 2020

Note Tangible assets 15 Intangible assets 16 Investments 17 Total fixed assets Current assets Debtors 18 Cash at bank and in hand Total current assets Liabilities 19 Net current assets Total assets less current liabilities 20 Net assets Funds Unrestricted general fund Restricted funds Total funds 22 Fixed assets Creditors:Amounts falling due after more than one year Creditors:Amounts falling due within one year	Unrestricted funds £ 184,084 1,375 1 185,460 17,455 441,190	Restricted funds £ - -	Total Total funds funds 2020 2019 £ £ 184,084 249,772 1,375 2,375 1 1 185,460 252,148 97,737 212,109 549,311 210,589 647,048 422,698 (516,613) (336,116) 130,435 86,582 315,895 338,730 - (53,333) 315,895 285,397 285,628 261,365 30,267 24,032 315,895 285,397
		- 80,282 108,121
	458,645 (358,477)	188,403 (158,136)
	100,168	30,267
	285,628 -	30,267 -
	285,628	30,267
	285,628 -	- 30,267
	285,628	30,267

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

Directors’ responsibilities:

The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476;
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements were approved and authorised for issue by the board of trustees on and 20/04/21 signed on its behalf by:

…………………………………

P G Hirst FCA Trustee

Company number: 03364718

The notes on pages 19 to 38 form part of these financial statements.

-17-

LEEDS RUGBY FOUNDATION CONSOLIDATED CASH FLOW STATEMENT

FOR THE YEAR ENDING 31 OCTOBER 2020

2020 Note £ £ Cash inflows from operating activities: 1 320,128 Cash flows from investing activities: Purchase of property, plant and equipment (9,802) Purchase of intangible assets - (9,802) *Change in cash and cash equivalents in the year* 310,326 275,133 2 585,459 *Net cash used for investing activities* Cash and cash equivalents at 31 October 2020 *Net cash generated from operating* *activities* Cash and cash equivalents at 1 November 2019 1 Reconciliation of net income/(expenditure) to net cash from operating *Net income for the reporting period* Adjustments for: Depreciation charges Amortisation charges Decrease/(increase) in debtors Increase in creditors Net cash generated from operating activities 2 Analysis of cash and cash equivalents Current account	£ (8,890) (3,000)	2019 £ 53,974 (11,890)
		42,084 233,049
		275,133

-18-

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDING 31 OCTOBER 2020

1 Accounting policies

General information and basis of preparation

Leeds Rugby Foundation is a private company limited by guarantee in England. 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. The address of the registered office is given in the charity information on page 1 of these financial statements. The nature of the charity’s operations and principal activities are detailed in the Trustees’ Report.

The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice.

The financial statements are prepared on a going concern basis under the historical cost convention. The financial statements are presented in sterling which is the functional currency of the charity and rounded to the nearest £.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

Going concern

The recent escalation of measures taken by the Government to combat the spread of Covid-19 resulted in the postponement of a number of the charitable activities of the charity. During the year the charity developed methods of continuing to deliver some services despite lockdown restrictions. The trustees believe the charity will be able to continue to operate over the next 12 months as the outlook for the Foundation is looking positive, as is the national climate now that the country has a definitive roadmap out of lockdown restrictions.

Based on the above, the trustees believe that it remains appropriate to prepare the financial statements on a going concern basis. The financial statements do not include any adjustments that would result from the basis of preparation being inappropriate.

Reporting period

On 20 May 2019 the company's accounting period was extended from 31 August 2019 to 31 October 2019. As a result, the comparative amounts presented (including related notes) to 31 October 2019 represent the results for a period of 14 months and are therefore not entirely comparable.

Group financial statements

The statement of financial activities and the balance sheet consolidate the financials of the charity and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis. The charity has adapted the Companies Act formats to reflect the special nature of the charity’s activities. No separate Statement of Financial Activities has been presented for the charity alone as permitted by Section 408 of the Companies Act 2006 and paragraph 367 of the SORP. Total incoming resources for the charity alone were £1,204,767 (2019: £1,443,966) and the net increase in funds was £30,498 (2019: £62,876). The parent company’s surplus for the year for Companies Act purposes was £30,498 (2019: £62,876).

-19-

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDING 31 OCTOBER 2020

1 Accounting policies (continued)

Funds

Unrestricted funds are incoming resources receivable or generated without further specified purpose. They are available for use at the discretion of the trustees in furtherance of the objectives of the charity 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 charity for particular purposes. The cost 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.

Transfers are made from restricted to unrestricted funds where applicable. Transfers from unrestricted funds to restricted funds are made if a project’s expenditure has exceeded income and this is not anticipated to reverse.

Income recognition

All incoming resources are included in the Statement of Financial Activities when the charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably, and it is probable that the income will be received.

For donations to be recognised the charity will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled.

Income from trading activities includes income earned from fundraising events and trading activities to raise funds for the charity. Income is received in exchange for supplying goods and services in order to raise funds and is recognised when entitlement has occurred.

The charity receives grants in respect of specific projects. Income from government and other grants are recognised at fair value when the charity has entitlement after any performance conditions have been met, it is probable that the income will be received and the amount can be measured reliably. If entitlement is not met then these amounts are deferred.

Donated services and facilities

Donated services and facilities are included as income and matching expenditure in accordance with the estimated value of the service and facilities provide as advised by the donor. If the services or facilities are in relation to a project for which other funding is restricted, the donated income and expenditure is accounted for as restricted. All other donated services and facilities are accounted for within unrestricted funds.

No amount is included in the financial statements for volunteer time in line with the SORP (FRS 102). Further detail is given in the Trustees’ Annual Report.

Expenditure recognition

Expenditure is included in the Statement of Financial Activities on an accruals basis. Resources expended are allocated directly to a particular activity where costs relate directly to that activity. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. An analysis of these support costs is included in note 7.

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities.

Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity.

Irrecoverable VAT is allocated as a support cost across the activities of the charity.

-20-

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDING 31 OCTOBER 2020

1 Accounting policies (continued)

Tangible and intangible fixed assets

Assets with a cost in excess of £250 intended to be of ongoing use to Leeds Rugby Foundation in carrying out its activities are capitalised as fixed assets.

Fixed assets are stated at cost or valuation less accumulated depreciation/amortisation. Depreciation and amortisation are provided at rates calculated to write off the cost or valuation of fixed assets, less their estimated residual value, over their expected useful lives on the following basis:

Computer Equipment 33% straight line Plant & machinery 33% straight line Motor Vehicles 50% straight line Archie Gordon Pitch 10 years straight line Website 33% straight line

Heritage assets are stated at cost, net of any provision for impairment. They are considered to have an infinite useful economic life and therefore are not depreciated.

Investments

Investments in subsidiaries are measured at cost less impairment.

Grants receivable

Grants relating to tangible fixed assets are treated as deferred income and released to the Statement of Financial Activities over the expenses useful lives of the assets concerned. Grants are only deferred when the company must fulfil conditions before becoming entitled to it or where the donor has specified that the income is to be used in a future period.

Financial instruments

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

Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Creditors

Short term creditors are measured at the transaction price. Other financial liabilities are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

-21-

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDING 31 OCTOBER 2020

1 Accounting policies (continued)

Leases

Rentals payable under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.

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.

Redundancy and termination payments are recognised as falling due at the termination date provided that a value can be reliably measured.

The charity operates a defined contribution plan for the benefit of its employees. Contributions are expensed as they become payable.

Tax

The charity is an exempt charity within the meaning of schedule 3 of the Charities Act 2011 and is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes.

In the trading subsidiary, the tax expense represents the sum of the tax currently payable and deferred tax.

2 Key judgements and estimation uncertainty

In preparing these financial statements, the trustees have had to make the following judgements:

Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on the number of factors.

3 Income from donations

General Donations Rugby League Development Education, Health and Wellbeing Heritage NCS Total for the year ended 31 October 2020	Unrestricted funds £ 202,285 6,968 15,000 1,600 -	Restricted Total funds funds 2020 £ £ - 202,285 - 6,968 - 15,000 24,929 26,529 - - 24,929 250,782 *12 months*
	225,853

-22-

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020

3 Income from donations (continued)

Unrestricted funds £ General Donations 186,833 Rugby League Development 30,535 Community 1,775 Education, Health and Wellbeing 15,010 Heritage 4,625 NCS - Total for the period ended 31 October 2019 238,778	Restricted Total funds funds 2019 £ £ 25,000 211,833 - 30,535 - 1,775 - 15,010 57,796 62,421 - - 82,796 321,574 *14 months*

4 Income from charitable activities

Rugby League Development Grants and contracts Services Other income Community Grants and contracts Services Other income Education, Health and Wellbeing Grants and contracts Other income NCS Grants and contracts Core Grants and contracts Services Other income Total for the year ended 31 October 2020	Unrestricted funds £ 42,517 11,310 2,662 - 218,111 63 14,497 25 - - 9,557 5,164	Restricted Total funds funds 2020 £ £ 73,988 116,505 667 11,977 - 2,662 14,590 14,590 - 218,111 - 63 76,339 90,836 - 25 88,154 88,154 50,000 50,000 - 9,557 - 5,164 303,738 607,644 *12 months*
	303,906

-23-

LEEDS RUGBY FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020

4 Income from charitable activities (continued)

Rugby League Development Grants and contracts Services Other income Community Grants and contracts Services Other income Education, Health and Wellbeing Grants and contracts Netball Grants and contracts Other income Core Grants and contracts Total for the period ended 31 October 2019	Unrestricted funds £ 7,583 7,096 11,563 10,168 429,493 21 114,760 13,333 4,294 -	Restricted Total funds funds 2019 £ £ 121,167 128,750 5,619 12,715 - 11,563 63,617 73,785 - 429,493 - 21 76,618 191,378 - 13,333 - 4,294 54,167 54,167 321,188 919,499 *14 months*
	598,311

£180,090 (2019: £87,103) of government grants were received for specific projects. These have been recognised in line with the terms of the agreements in place and deferred where relating to later periods or unfulfilled performance criteria.

5 Income from other trading activities

Archie Gordon pitch Fundraising events Charity total Income from trading subsidiary Total for the year ended 31 October 2020	Unrestricted funds £ 20,000 20,359	Restricted Total funds funds 2020 £ £ - 20,000 - 20,359 - 40,359 - 85,334 - 125,693 *12 months*
	40,359 85,334
	125,693

-24-

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020

5 Income from other trading activities (continued)

Unrestricted funds £ Archie Gordon pitch 26,833 Fundraising events 94,771 Charity total 121,604 Income from trading subsidiary 101,083 Total for the period ended 31 October 2019 222,687	Restricted Total funds funds 2019 £ £ - 26,833 - 94,771 - 121,604 - 101,083 - 222,687 *14 months*

6 Other income Coronavirus Job Retention Scheme grants Other Coronavirus grants Total for the year ended 31 October 2020	Unrestricted funds £ - -	Restricted Total funds funds 2020 £ £ 251,661 251,661 - - 251,661 251,661 *12 months*
	-

-25-

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020

7 Expenditure on charitable activities

Unrestricted funds Rugby League Development Community Education, Health and Wellbeing NCS Heritage Archie Gordon pitch Total unrestricted expenditure Restricted funds Rugby League Development Community Education, Health and Wellbeing NCS Heritage Total expenditure on charitable activities for the year ended 31 October 2020	Staff costs £ 183,695 212,926 62,313 15,390 - -	Admin Total funds costs 2020 £ £ 45,540 229,235 34,487 247,413 18,453 80,766 8,789 24,179 1,659 1,659 42,874 42,874 151,802 626,126 20,500 215,309 16,500 111,226 7,500 89,490 9,439 110,089 48,000 48,000 101,939 574,114 253,741 1,200,240 *12 months*
	474,324
	194,809 94,726 81,990 100,650 -
	472,175
	946,499

-26-

LEEDS RUGBY FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020

7 Expenditure on charitable activities (continued)

Unrestricted funds Rugby League Development Community Education, Health and Wellbeing Netball Heritage Archie Gordon pitch Total unrestricted expenditure Restricted funds Rugby League Development Community Education, Health and Wellbeing Heritage Total expenditure on charitable activities for the period ended 31 October 2019	Staff costs £ 167,775 475,258 187,973 3,184 - -	Admin Total funds costs 2019 £ £ 46,919 214,694 48,337 523,595 45,804 233,777 13,330 16,514 4,062 4,062 24,508 24,508 182,960 1,017,150 17,537 151,524 27,297 103,591 16,199 91,987 34,725 34,725 95,758 381,827 278,718 1,398,977 *14 months*
	834,190
	133,987 76,294 75,788 -
	286,069
	1,120,259

8 Support costs

Rugby League Development Community Education, Health and Wellbeing NCS Total for the year ended 31 October 2020	Staff costs £ 81,485 65,585 29,811 21,862	Admin Total funds costs 2020 £ £ 53,260 134,745 42,867 108,452 19,485 49,296 14,289 36,151 129,901 328,644 *12 months*
	198,743

-27-

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020

8 Support costs (continued)

Staff costs £ Rugby League Development 77,745 Community 129,578 Education, Health and Wellbeing 51,831 Total for the period ended 31 October 2019 259,154	Admin Total funds costs 2019 £ £ 36,574 114,319 60,959 190,537 24,383 76,214 121,916 381,070 *14 months*

Support costs are those associated with admin, IT and establishments that are charged centrally. These are then apportioned on a basis consistent with the use of the resource.

9 Governance costs

Auditor's fees Legal and professional fees Wages and salaries	*12 months* *14 months* 2020 2019 £ £ 7,100 6,500 179 187 19,442 17,427 26,721 24,114

10 Expenditure on raising funds

Fundraising events	Staff Admin Total funds costs costs 2020 £ £ £ - 1,716 1,716 - 1,716 1,716 *12 months* *Unrestricted funds*
	-

-28-

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020

10 Expenditure on raising funds (continued)

Fundraising events	Staff Admin Total funds costs costs 2019 £ £ £ - 13,154 13,154 - 13,154 13,154 *14 months* *Unrestricted funds*

11 Other expenditure

ther expenditure
Trading costs of subsidiary Trading costs of subsidiary	Staff Admin Total funds costs costs 2020 £ £ £ - 19,739 19,739 - 19,739 19,739 Staff Admin Total funds costs costs 2019 £ £ £ - 15,804 15,804 - 15,804 15,804 *12 months* *14 months* *Unrestricted funds* *Unrestricted funds*
	-

All other expenditure is from unrestricted funds in the current and preceding period.

12 Net income/(expenditure)

Net income/(expenditure)
	*12 months*	*14 months*
	2020	2019
	£	£
These are stated after charging:
Auditor's remuneration - charity	7,100	6,500
Auditor's remuneration - trading subsidiary	1,350	1,300
Depreciation	75,490	84,408
Amortisation	1,000	625
Operating lease rentals	16,474	10,932

-29-

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDING 31 OCTOBER 2020

13 Auditor’s remuneration

The auditor’s remuneration amounts to the charity audit fee of £7,100 (2019: £6,500) and the trading subsidiary audit fee of £1,350 (2019: £1,300).

14 Analysis of staff costs, trustee remuneration and expenses, and the cost of key management personnel

Wages and salaries Social security costs Employer's contribution to defined contribution pension schemes Redundancy costs Other staff costs	*12 months* 2020 £ 792,131 50,763 20,648	*14 months* 2019 £ 873,002 68,812 17,253
	863,542 21,103 61,854	959,067 3,138 171,208
	946,499	1,133,413

Other staff costs relate to amounts recharged from related companies along with other costs of employment.

The average number of employees during the period, analysed by category was:

Direct charitable	2020 2019 No. No. 35 37 35 37

No employees earned over £60,000 per annum in the current or previous period.

The total employee benefits of the key management personnel of the Group were £211,141 (2019: £227,320 for a 14 month period).

The trustees received no remuneration or other benefits and no expenses were reimbursed in either the current or preceding period.

The Group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the Group in an independently administered fund. Contributions are charged to the Statement of Financial Activities in the year in which they became payable.

The pension cost charge represents contributions payable by the Group to the fund and amounted to £20,648 (2019: £17,253). Contributions totalling £16,271 (2019: £3,422) were payable to the fund at the reporting date.

-30-

LEEDS RUGBY FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020

15 Tangible fixed assets – Group and Charity

Archie Gordon pitch Cost £ At 1 November 2019 690,183 Additions - At 31 October 2020 690,183 Depreciation At 1 November 2019 464,044 Charge for year 69,018 At 31 October 2020 533,062 Net Book Value At 31 October 2020 157,121 At 31 October 2019 226,139	Computer equipment £ 21,786 4,455 26,241	Plant & Machinery £ 14,356 5,347	Assets under construction £ 8,523 - 8,523 - -	Heritage assets £ 6,872 -	Total £ 741,720 9,802 751,522
690,183		19,703		6,872
464,044 69,018	16,713 3,582 20,295	11,191 2,890		- -	491,948 75,490
533,062		14,081	-	-	567,438
157,121	5,946	5,622	8,523	6,872	184,084
226,139	5,073	3,165	8,523	6,872	249,772

Heritage assets

Heritage assets are all held at cost and consist of historical items relating to the rugby club and held for display to the public. The charity has not obtained a valuation of its donated heritage assets. It is impracticable because given the low value of the assets held, the cost to the charity of obtaining such a valuation would outweigh the benefits gained.

Summary analysis

*Purchased additions* Assets held at cost Total additions	2020 2019 £ £ - - - -	2018 2017 £ £ - 2,000 - 2,000	2016 £ 750
			750

16 Intangible Assets – Group and Charity

Cost At 1 November 2019 Additions At 31 October 2020 Depreciation At 1 November 2019 Charge for year At 31 October 2020 Net Book Value At 31 October 2020 At 31 October 2019	Website Total £ £ 3,000 3,000 - - 3,000 3,000 625 625 1,000 1,000 1,625 1,625 1,375 1,375 2,375 2,375

-31-

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDING 31 OCTOBER 2020

17 Investments – Charity

								2020	2019
								£	£
At	1	November	2019	and	31	October	2020	1	1

The investment relates to the charity’s investment in Leeds Rugby Foundation Services Limited (Company number: 06091052) representing 1 Ordinary share of £1 each, which is the company’s entire share capital.

The principal activity of Leeds Rugby Foundation Services Limited is to generate trading income in support of the activities undertaken by the charity. The capital and reserves of Leeds Rugby Foundation Services Limited at 31 October 2020 were £38,984 (2019: £55,397). A summary of its results for the period ended 31 October 2020 and year ended 31 October 2019 is as follows:

Turnover Admin expenses Profit before taxation Taxation Profit after taxation Retained earnings brought forward Distributions to parent charity under gift aid Retained earnings carried forward	2020 £ 85,334 (47,426)	2019 £ 101,083 (46,845)
	37,908 -	54,238 -
	37,908 55,397 (54,321)	54,238 82,448 (81,289)
	38,984	55,397

18 Debtors

Debtors
Trade debtors Prepayments Accrued income Amounts owed by group undertakings	2020 2019 £ £ 79,387 194,267 11,460 5,560 19,440 23,040 - - 110,287 222,867 Group		2020 2019 £ £ 64,387 173,267 11,460 5,560 19,440 23,040 2,450 10,242 97,737 212,109 Charity
	110,287	222,867

-32-

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020

19 Creditors: Amounts falling due within one year

Creditors: Amounts falling due within one	year	year
Trade creditors Other taxes and social security Other creditors Accruals Deferred income Loan from related company	2020 2019 £ £ 12,442 15,611 14,999 16,679 72,273 - 39,223 27,358 387,389 276,700 - 19,672 526,326 356,020 Group		2020 2019 £ £ 12,442 15,611 14,999 16,679 72,273 - 37,843 25,871 379,056 258,283 - 19,672 516,613 336,116 Charity
	526,326	356,020

20 Creditors: Amounts falling due after more than one year

Creditors: Amounts falling due after more	than one year	than one year
Deferred income - grant receivable related to tangible fixed assets	2020 2019 £ £ - 53,333 - 53,333 Group		2020 2019 £ £ - 53,333 - 53,333 Charity
	-	53,333

Deferred income includes grants received in respect of tangible fixed assets which are released to the Statement of Financial Activities over the expected useful lives of the assets concerned. These are all due to be released to the Statement of Financial Activities within 5 years.

21 Deferred income

Deferred income
Balance at 1 November Amount released to income Amount deferred in the period Balance at 31 October	2020 2019 £ £ 330,033 235,875 (259,190) (128,605) 316,546 222,763 387,389 330,033 Group		2020 2019 £ £ 311,616 228,359 (240,773) (121,089) 308,213 204,346 379,056 311,616 Charity
	387,389	330,033

Deferred income comprises of the following:

Grants received in respect of tangible fixed assets which are released to the Statement of Financial Activities over the expected useful lives of the assets concerned. Grants are only deferred when the company must fulfil conditions before becoming entitled to it or where the donor has specified that the income is to be used in a future period.
Grants received which are performance related and criteria has not been met in order to recognise the income in the Statement of Financial Activities.

-33-

LEEDS RUGBY FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020

22 Movements in funds

At 1 November 2019 £ Unrestricted funds General fund 261,365 Restricted funds Rugby League Development - Community - Education, Health and Wellbeing 961 Heritage 23,071 NCS - Core - 24,032 Charity total funds 285,397 Leeds Rugby Foundation Services Limited 55,397 Group total funds 340,794	Incoming resources £ 570,118 174,012 75,289 88,039 24,929 109,223 108,836	Resources expended £ (600,155) (170,686) (75,310) (73,165) (48,000) (98,117) (108,836)
24,032	580,328	(574,114)
285,397 55,397	1,150,446 85,334	(1,174,269) (47,426)
340,794	1,235,780	(1,221,695)

The specific purposes for which the funds are to be applied are as follows:

Rugby League Development

Sky Try funding allows the Foundation to promote the sport of rugby league within the communities of Leeds utilising local schools and community clubs with the aim to engage more young people to play, watch and enjoy the sport. The Foundation’s work with Aspire allows some of our most vulnerable and isolated communities to access sport/physical recreation which greatly improves the clients health and overall quality of life. The Foundation works closely with rugby league’s governing body, the RFL, who recognise our organisation as a national exemplar of best practice. Grant funding is received from the RFL to ‘kick start’ rugby league initiatives in communities/areas that would otherwise struggle due to lack of infrastructure/support.

Community

Ward Councillors and their respective area committees respect that the Foundation can deliver high quality provision at excellent value for money in the most challenging and deprived areas of the city. They support this work with the provision of grant funding.

Education, Health and Wellbeing

Education

Leeds Rhinos Foundation receive grant funding, via the local authority, to deliver adult education to some of the most marginalised and isolated adults in the city, for example refugees and asylum seekers. We deliver this service which proves to exceed the attendance and success targets compared to statutory council delivery. Following a successful bid, the Youth Endowment Fund provides the Foundation with grant funding to specifically target those young people and their families deemed at highest risk of social exclusion, at risk of involvement in criminal activity and at risk of ending up not in employment, education and training.

-34-

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020

22 Movements in funds (continued)

Health and Wellbeing

The Foundation offers an effective, credible and respected health intervention service which attracts funding allowing us to deliver services to those clients who suffer health inequalities; specifically in the areas of weight management (obesity), receiving treatment/ post treatment for various forms of cancer and clients suffering from rheumatoid arthritis.

Heritage

The Foundation continued to receive donations in order to provide this memorial in recognition of one of the city’s greatest rugby league players. The statue will be unveiled on 11 July 2021.

NCS

The Foundation, in partnership with the English Football League, is now an official provider of the Government backed National Citizen Service, a voluntary personal and social development programme for 16-17yr olds.

Core

Leeds Beckett University provide grant funding to support our overall mission of work within our five sectors of Sport, Health, Education, Arts and Heritage. This is targeted towards the overall running costs of the Foundation which mainly include communications & PR, income generation, senior management and leadership.

Coronavirus Job Retention Scheme Grant

Following the commencement of the ‘official Covid-19 lockdown’ of 2020 the Foundation accessed this grant to assist in retaining staff, congruent and commensurate with the negative impact of the organisation, as certain income streams ceased whilst its staff were unable to work.

General unrestricted funds

Unrestricted income funds represent the resources which may be used towards meeting any of the charitable objects of the charity at the discretion of the trustees. Where restricted funding for individual projects has been overspent in the year transfers are made from the general unrestricted fund to subsidise the projects.

-35-

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020

22 Movements in funds (continued)

Movements in funds (comparative)

1 September 2018 £ 221,643 241 140 497 - -	Incoming resources £ 958,693 126,786 63,617 76,618 57,796 79,167	Resources expended £ (999,263) (127,774) (64,007) (76,154) (34,725) (79,167)
878	403,984	(381,827)
222,521 82,448	1,362,677 101,083	(1,381,090) (46,845)
304,969	1,463,760	(1,427,935)

23 Analysis of net assets between funds

Fund balances at 31 October 2020 are represented by: Tangible fixed assets Intangible fixed assets Current assets Current liabilities Creditors due in more than one year	Unrestricted funds £ 184,084 1,375 507,343 (368,190) -	Restricted 2020 funds Total £ £ - 184,084 - 1,375 188,403 695,746 (158,136) (526,326) - - 30,267 354,879
	324,612

-36-

LEEDS RUGBY FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020

23 Analysis of net assets between funds (continued)

Analysis of net assets between funds (continued)
Fund balances at 31 October 2019 are represented by: Tangible fixed assets Intangible fixed assets Current assets Current liabilities Creditors due in more than one year	Unrestricted funds £ 249,772 2,375 380,064 (262,116) (53,333)	Restricted 2019 funds Total £ £ - 249,772 2,375 117,936 498,000 (93,904) (356,020) - (53,333) 24,032 340,794
	316,762

24 Commitments under operating leases

The charity had minimum lease payments under non-cancellable operating leases as set out below:

Expiring: Within one year Between one and five years	2020 2019 £ £ 20,115 8,198 36,487 20,180 56,602 28,378 Group Other	2020 2019 £ £ 20,115 8,198 36,487 20,180 56,602 28,378 Charity Other

25 Transactions with related parties

The trustees neither received nor waived any emoluments during the period and no expenses were reimbursed. Total donations received without condition from trustees amounted to £395 (2019: £785).

During the period Leeds Rugby Foundation received donations under gift aid of £54,321 (2019: £81,289) from its subsidiary Leeds Rugby Foundation Services Limited. Other income of £27,687 (2019: £31,041) was received from Leeds Rugby Foundation Services Limited. At 31 October 2020 £2,450 (2019: £10,242) was due to the charity from Leeds Rugby Foundation Services Limited.

During the period Leeds Cricket, Football and Athletic Company Limited is a company of which trustees G Hetherington and P G Hirst are directors. Other income of £32,531 (2019: £51,442) was received from Leeds Cricket, Football and Athletic Company Limited. During the period Leeds Cricket, Football and Athletic Company Limited charged the Group £80,296 (2019: £138,160) for management and other charges.

At the period end the charity owed £nil (2019: £12,172) and the subsidiary company owed £nil (2019: £nil) to Leeds Cricket, Football and Athletic Company Limited. At the period end, Leeds Cricket, Football and Athletic Company Limited owed £nil (2019: £nil) to the charity.

During the period, Leeds Cricket, Football and Athletic Company Limited charged the subsidiary £3,054 (2019: £10,632) for management and other charges. The subsidiary received income of £nil (2019: £nil) from Leeds Cricket, Football and Athletic Company Limited.

During the period Chadwick Lawrence LLP, a partnership of which trustee N Wilson is Managing Partner, was charged £nil (2019: £690) by Leeds Rugby Foundation. At the period end, Chadwick Lawrence LLP owed the charity £nil (2019: £nil). Chadwick Lawrence LLP was charged £nil (2019: £7,200) by Leeds Rugby Foundation Services and the subsidiary company was owed £nil (2019: £nil) by Chadwick Lawrence LLP.

-37-

LEEDS RUGBY FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020

26 Financial instruments

The carrying amounts of the charity’s financial instruments are as follows:

2020 2019 £ £ Financial assets Debt instruments measured at amortised cost: Trade debtors (note 18) 79,387 194,267 Amounts owed by group undertakings (note 18) - - Cash at bank and in hand 585,459 275,133 664,846 469,400 Equity instruments measured at cost less impairment: Fixed asset unlisted investments (note 17) - - - - Financial liabilities Measured at amortised cost: Trade creditors (note 19) (12,442) (15,611) Amounts owed to related companies (note 19) - (19,672) Other creditors (note 19) (72,273) - (84,715) (35,283) Group	2020 2019 £ £ Financial assets Debt instruments measured at amortised cost: Trade debtors (note 18) 79,387 194,267 Amounts owed by group undertakings (note 18) - - Cash at bank and in hand 585,459 275,133 664,846 469,400 Equity instruments measured at cost less impairment: Fixed asset unlisted investments (note 17) - - - - Financial liabilities Measured at amortised cost: Trade creditors (note 19) (12,442) (15,611) Amounts owed to related companies (note 19) - (19,672) Other creditors (note 19) (72,273) - (84,715) (35,283) Group	2020 2019 £ £ Financial assets Debt instruments measured at amortised cost: Trade debtors (note 18) 79,387 194,267 Amounts owed by group undertakings (note 18) - - Cash at bank and in hand 585,459 275,133 664,846 469,400 Equity instruments measured at cost less impairment: Fixed asset unlisted investments (note 17) - - - - Financial liabilities Measured at amortised cost: Trade creditors (note 19) (12,442) (15,611) Amounts owed to related companies (note 19) - (19,672) Other creditors (note 19) (72,273) - (84,715) (35,283) Group	2020 2019 £ £ 64,387 173,267 2,450 10,242 549,311 210,589 616,148 394,098 1 1 1 1 (12,442) (15,611) - (19,672) (72,273) - (84,715) (35,283) Charity
	664,846	469,400
	-	-
	-	-
	(12,442) - (72,273)	(15,611) (19,672) -
	(84,715)	(35,283)

27 Members

The liability of members is limited to a guarantee of £1 each if the charitable company is wound up during membership or within one year after ceasing to be a member. At 31 October 2020 there were fourteen (2019: fourteen) members.

-38-

CONTENTS

LEGAL AND ADMINISTRATIVE INFORMATION

Structure, governance and management

Constitution

Principal activity and objectives

Fundraising

Related parties

Trustees

New trustees

Existing trustees

Financial review

Risk and reserves policy

Plans for future periods

Future capital commitments

Key performance indicators

Events since the period end and going concern considerations

COVID-19 Risk Assessment

Conclusion

Trustees’ responsibilities

Disclosure of information to the auditor

FOR THE YEAR ENDING 31 OCTOBER 2020

FOR THE YEAR ENDING 31 OCTOBER 2020

20 April 2021

LEEDS RUGBY FOUNDATION

Opinion

Basis for opinion

Conclusions relating to going concern

Other information

LEEDS RUGBY FOUNDATION

Matters on which we are required to report by exception

Responsibilities of trustees

Auditor’s responsibilities for the audit of the financial statements

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS AND TRUSTEES OF LEEDS RUGBY FOUNDATION

Use of our report

MHA Moore and Smalley (Statutory Auditor)

10/05/2021

LEEDS RUGBY FOUNDATION

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDING 31 OCTOBER 2020

LEEDS RUGBY FOUNDATION

CONSOLIDATED BALANCE SHEET

FOR THE YEAR ENDING 31 OCTOBER 2020

P G Hirst FCA Trustee

Company number: 03364718

LEEDS RUGBY FOUNDATION

CHARITY BALANCE SHEET

FOR THE YEAR ENDING 31 OCTOBER 2020

P G Hirst FCA Trustee

Company number: 03364718

FOR THE YEAR ENDING 31 OCTOBER 2020

1 Accounting policies

General information and basis of preparation

Going concern

Reporting period

Group financial statements

1 Accounting policies (continued)

Funds

Income recognition

Donated services and facilities

Expenditure recognition

1 Accounting policies (continued)

Tangible and intangible fixed assets

Investments

Grants receivable

Financial instruments

Debtors

Creditors

Cash and cash equivalents

1 Accounting policies (continued)

Leases

Employee benefits

Tax

2 Key judgements and estimation uncertainty

3 Income from donations

3 Income from donations (continued)

FOR THE YEAR ENDING 31 OCTOBER 2020

4 Income from charitable activities (continued)

5 Income from other trading activities

LEEDS RUGBY FOUNDATION NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDING 31 OCTOBER 2020