The Birmingham Boys and Girls Union
(a Company Limited by Guarantee)
Trustees’ Report and Financial Statements for the year ended 31 March 2022 Registered Company number 06311234 Registered Charity number 1120499
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
|Index|Page|
|---|---|
|Report of the Trustees|3-9|
|Statement of Trustees’ responsibilities|9|
|Report of the Independent Examiner|10|
|Statement of Financial Activities (incorporating an Income & Expenditure Account)|11|
|Balance sheet|12|
|Principal Accounting Policies|13-16|
|Notes to the financial statements|17-29|
2
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Report of the Trustees**
The Trustees are pleased to present their annual directors’ report together with the financial statements of the charity for the year ended 31 March 2022, which are also prepared to meet the requirements for a directors’ report and accounts for Companies Act purposes.
The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, 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 (FRS102) (updated 1 January 2019).
## **OBJECTIVES AND ACTIVITIES**
The objects as set out in the Memorandum of Association are:
‘The advancement of the education of young people. Without prejudice to the generality of the foregoing the trustees shall provide leisure time activities for the age group of 7 years to and including 25 years of age so as to develop their physical, mental and spiritual capacities that they may grow to full maturity as individuals and as members of society and that their conditions of life may be improved’.
The aims of Woodlands Adventure & Outdoor Learning Centre (‘the Centre’) are to advance the education of young people including in particular those with disabilities, social disadvantage or special educational needs, through undertaking challenges and learning new skills, to try and increase their self-confidence and social skills, and to educate them in the social and the environmental benefits of the countryside.
Woodlands Adventure is an outdoor activity centre for children and young people, accommodating both residential and day visitors. Residential visitors can choose to stay in our dormitory building or on our camping field. Visits can be arranged from half a day to a full week, according to the visitors’ requirements. The minimum group size is 12, and the maximum is 64 for a residential visit or 150 for a day visit. The Centre is open to anyone who makes a booking, on a “first come first served” basis. The majority of our visitor groups are schools and scout/guide groups from Birmingham and the surrounding areas, but some travel from further afield. We welcome disabled visitors, and we are set up to enable them to enjoy our facilities to the fullest practicable extent.
The Centre has modern, well-equipped facilities. We have two sets of washing and toilet facilities, and so we can safely have two separate sets of visitors on site at any one time. Visitors staying in our dormitory building have full use of our main building which includes a large communal area and a well-equipped kitchen and serving area. Day visitors and campers have use of a cabin with simple kitchen facilities, and a barbeque area. There are picnic benches and tables, covered by stretch tents to protect people from the rain or the sun.
3
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## Report of the trustees (continued)
We offer a wide range of outdoor activities, all supervised by qualified instructors. The main activities comprise, in no particular order, climbing wall, bouldering wall, abseiling, archery, vines and bridges, raft-building, kayaking and canoeing on our lake, a high ropes course (which has recently been reconfigured in line with best modern practice), assault course, and two zip-wires of different types. The additional activities comprise bush-craft, fire-lighting and tomahawk throwing (for older children), pond-dipping, nature trails, geocaching and orienteering (for younger children), and circus skills, five a side football and urban disc golf. In the evenings, residential visitors can play table tennis or table football or simply screen a film.
By taking part in these varied activities, children and young people can acquire new skills and improve existing skills, building their self-confidence and their ability to communicate, work as a team and solve problems; at the same time of course as having fun. We encourage visitors to develop their interest in particular activities into longer-term hobbies.
In shaping our objectives for each year, and planning ahead, the Trustees take due consideration of the Charity Commission’s guidance on public benefit, including the guidance “Public Benefit: Running a Charity (PB2)”.
## **ACHIEVEMENTS AND PERFORMANCE**
The Trustees wish to thank our wonderful team of staff; we appreciate their hard work a n d c o m m i tm e n t in these very difficult times arising from Covid-19. We were sorry during the year to lose our manager, Darren Nutting, who left in order to move with his family to another part of the country; and we are pleased to welcome Craig Wright who joined us as manager in September 2021, bringing with him a wealth of experience and some new ideas. Craig has made an excellent start to what we hope will be a long and rewarding career at Woodlands Adventure.
Woodlands Adventure, as a voluntary organisation, is exempt from the Adventure Activities Licensing Scheme (AALS) inspection. However, we have undertaken several quality marks to demonstrate that we comply with current industry good practice. These are Adventuremark® - which is a parallel system of accreditation to AALS and accredits safety management practices for activities, and the Learning Outside the Classroom (LOtC) Quality badge which is nationally recognised indicator of good quality educational provision.
Woodlands Adventure is a British Canoeing Approved Centre. Our High Ropes Course has been certified by a National Indoor Climbing Award Scheme (NICAS) registered contractor. We are also an organisational member of the Institute for Outdoor Learning, and a member of the Birmingham Association of Youth Clubs.
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The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## Report of the trustees (continued)
Our website is www.woodlandsadventure.co.uk which is constantly reviewed and updated with news. Internet marketing is used as a promotional tool and is supplemented by Facebook and Twitter accounts enabling regular contact with visitors and supporters of Woodlands Adventure.
During the year ending 31 March 2022, the number of visitor days to Woodlands Adventure amounted to 5,011 (2021: nil).
## **FINANCIAL REVIEW**
At the start of the financial year covered by this report, the Centre had been closed for over a year because of the Covid-19 lockdown. We re-opened in stages, starting in April 2021 and staying at all times within the constantly-changing Government rules and guidance. Initially we offered some family days, a first for us, and then started booking scout and guide groups, and then school groups. Understandably the organisers of visitor groups have been cautious, but their confidence has gradually grown, and, by the end of the financial year, bookings were returning to pre-Covid levels. Our office manager has worked with our customers, being flexible in re-arranging bookings which had to be postponed because of Covid; this approach retained good relations with our customers, and has minimised the need for us to repay deposits, although inevitably our cash flow has been affected. At the time of writing this report in August 2022, the situation with pre-Covid bookings is that a few had to be cancelled and refunded, and all of the rest have been re-arranged and fulfilled, except for one which is held over until 2023.
These factors mean that our turnover for the financial year was significantly less than for a normal pre-Covid year. However our expenditure was also less, and we had a gain on our investments, which has helped to reduce our overall loss.
We are encouraging visitor groups to consider booking visits for after the October half-term break, or before the Easter break, thus extending our working season, enabling more young people to enjoy our facilities, and earning additional income for us.
Our pricing policy is based upon what we need in order to cover overheads and enable us to continue operating, whilst taking into account affordability, so enabling our facilities to be enjoyed by the widest possible range of children and young people.
Staff costs are the major expense. The Trustees have adopted a policy that the minimum wage and living wage should be paid subject to the age limits and concessions offered in respect of modern apprentices.
5
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## Report of the trustees (continued)
## **RESERVES POLICY**
It is the policy of the Charity to maintain separate reserve funds for specific purposes. Tangible fixed assets, which include the Woodlands Adventure freehold property, amount to £641,780 and are not regarded as part of the reserves available for distribution. Investments are held with a view to generating income to provide a contribution to the overheads of the Charity. The general reserve is maintained to match financial commitments and overheads to cover fluctuations in income during the year, which provides a buffer for uninterrupted services.
As at 31 March 2022 free reserves, being un-restricted funds less fixed assets, amounted to £413,929 which includes the investment portfolio. In the light of experience learned during the Covid pandemic, and in particular the potential obligation to return all customer deposits paid at the time of booking, the Trustees have amended their reserves policy, which is now to maintain free reserves equivalent to between 9 and 12 months core running costs of the Centre, which amount to around £250,000.
## **Going Concern**
Should the Covid-19 restrictions return, the Trustees have satisfied themselves that the charity is a going concern for next 12 months due to the availability of funds from the Charities cash and investment reserves. We have sufficient reserves set aside to continue to operate for the foreseeable period at the current rate of expenditure.
## **INVESTMENTS AND INVESTMENT POLICY**
During the year ended 31 March 2022 the value of investments increased by £37,823 following another strong performance in the stock market since the start of the pandemic. This has provided a valuable counter to trading losses. The Trustees are conscious of the risk of future volatility on world markets, and have to crystallised part of the increase in the value of the investments, to be spent towards implementing future plans (for which see below).
Income from investments is fully utilised to finance the running costs of the Centre not met by the fees charged to users. The management of the investment portfolio is with the COIF Charities Investment Fund in their Funds Income Units. The fund gives a wide ranging spread of ethical investments which provides the Charity with vital income on a quarterly basis. The Trustees have set investment principles with the objectives of maintaining a balance between income and capital growth.
## **RISK MANAGEMENT**
The Trustees have examined the major strategic and operational risks which the charitable company faces and confirm that systems have been established to enable regular reports to be produced so that the necessary steps can be taken to lessen these risks. The Trustees have delegated the
6
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
responsibility to the Centre Manager who has monitoring systems in place for all the equipment used at the Centre and all activities carried out. An external examiner carries out an inspection each year and reports to the Centre Manager, who in turn reports to the Trustees.
The Centre Manager has, after taking advice about best practice, developed a set of procedures to protect staff and visitors and minimize the risk of transmitting Covid-19 whilst enabling efficient use of our facilities and protective personal equipment by visitors.
## **CHILD PROTECTION CODE OF PRACTICE**
It is the policy of the Charity to provide a safe and secure environment in which children can thrive and develop and where all aspects of their welfare will be protected. A Child Protection Code of Practice has been adopted and is reviewed and updated on a regular basis.
## **FUTURE PLANS**
We are working on the best ways to maximise the use of our facilities, partly through flexible rostering and allocation of activities thus enabling larger visitor groups on some days, and partly through installing additional toilet facilities in the sports hall thus enabling a third visitor group to be on site on other days. In making changes, we do not wish to compromise the quality of the visitor experience, nor to push our staff unfairly.
We are currently giving fresh thought to the best ways to use our sports hall. After Covid-19, the demand for residential visits has decreased, and day visits have increased; this seems likely to remain the case for the foreseeable future, so we cannot wisely invest in additional residential facilities as we had intended. Fortunately we had not committed to doing that. Instead, we are planning a general up-grade of the sports hall, in addition to installing toilets. We are thinking of installing an indoor bouldering wall, and a demountable partition to create two multi-use spaces. Also some space heating to enable use earlier and later in the year.
Our new manager, Craig Wright, is introducing some exciting additional activities including mini medics first aid, Woodlands Explorer navigation using GPS devices and two-way radios, and prehistoric atlatl spear-throwing (which is not as dangerous as it sounds!).
We are also fund-raising for an artificial caving system, which would be a major new activity for our young visitors.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing Document**
The Charitable Company is a company limited by guarantee and therefore does not have share capital. The liability of its members is limited and details of their guarantee are detailed in the notes to the accounts. It is also a registered charity governed by its Memorandum and Articles of Association.
The charity was previously known as Woodlands Camp. To reflect more accurately the nature of the activities undertaken by the children and young people, the Trustees adopted the new name Woodlands Adventure & Outdoor Learning (Woodlands Adventure) in 201
7
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## Report of the trustees (continued)
## **Appointment of trustees, induction & training**
New Trustees are appointed by the Trustees. The Trustees, together with the Centre Manager and Office Manager in a non-voting capacity, meet a minimum of nine times a year.
Separate sub-committees have been established to review investment performance, risk management and salary awards. The Trustees keep their skill requirements under review.
New Trustees receive a history of The Birmingham Boys and Girls Union, a copy of the financial statements, a copy of the Memorandum and Articles of Association and a copy of the Charity Commission’s guidance “The Essential Trustee: What You Need to Know”.
The Company secretary is charged with keeping Trustees up to date with the requirements needed to fulfil their responsibilities.
## **REFERENCE AND ADMINISTRATIVE INFORMATION**
**Trustees/Directors:** J R Cox (Chair) N B Rogers (Treasurer) M S Lenton Mrs D Lilburne (Secretary) G H Jones Q H Butler Mrs H Ellis Mr G W Deffley **Centre Manager:** C Wright
**Office Manager:** Mrs L Levesley
**Charity Number:** 1120499 **Registered Office:** Kingsnorth House Blenheim Way Birmingham B44 8LS
**Company Number:** 06311234 **Operational address of Charity:** Woodlands Adventure & Outdoor Learning Bourne Vale, Aldridge Walsall, WS9 0SH
**Independent Examiner:** Karen Hanlan Independent Examiner Limited 1 Saracen Close, Ettington Warwickshire, CV37 7SZ
**Bankers:** HSBC Bank Plc 53 Anchor Road Aldridge Walsall, WS9 8AD
8
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
Approved by the Board and signed on its behalf by:
J R Cox Date: 14/9/22 _Chair of Trustees_
## **Statement of Trustees’ responsibilities**
The Trustees are required to prepare financial statements for each financial year which give a true and fair view of the state of the affairs of the charitable company and of the surplus or deficit incurred by the charitable company for that year. In preparing those financial statements the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- make judgments 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 accounts; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue to exist.
The Trustees have overall responsibility for ensuring that the charitable company has an appropriate system of controls, financial and otherwise.
The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy, at any time, the financial position of the charitable company and to 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.
9
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Independent Examiner’s Report to the Trustees of the Birmingham Boys and Girls Union (‘the Company’)**
I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2022 which are set out on pages 11 to 29.
## **Responsibilities and basis of report**
As the charity trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).
Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.
## **Independent examiner’s statement**
Since the Company’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
- 1) accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or
- 2) the accounts do not accord with those records; or
- 3) the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination; or
- 4) the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102).
I have no concerns and have come across no matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Karen Hanlan, Member of Institute of Chartered Accountants England & Wales Karen Hanlan Independent Examiner Ltd 1 Saracen Close Ettington CV37 7SZ
Date 14/9/22
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The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Statement of Financial Activities (including an income & expenditure account)**
|**Income from:**
**Note**
Donations and legacies
1
Charitable activities
2
Trading activities
3
Investments
4
Other – profit on disposal of asset
**Total income**
**Expenditure on:**
Raising funds
5
Charitable activities
5
Other expenditure
5
**Total expenditure**
Net gains on investments
**Net (expenditure)/ income**
Transfers between funds
Other recognized gains/(losses)
17
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
12
**Total funds carried forward**
**12**|**Un-**
**restricted**
**funds**
**2022**
**Restricted**
**funds**
**2022**
**Total**
**funds**
**2022**
**Total**
**funds**
**2021**
**£**
**£**
**£**
**£**
42,140
29,612
**71,752**
145,313
183,288
-
**183,288**
5,974
1,049
-
**1,049**
-
13,590
-
**13,590**
13,300
250
-
**250**
-|
|---|---|
||**240,317**
**29,612**
**269,929**
**164,587**|
||692
-
**692**
637
331,770
6,772
**338,542**
242,183
233
-
**233**
1,076|
||**332,695**
**6,772**
**339,467**
**243,896**|
||37,823
-
**37,823**
74,480|
||**(54,555)**
**22,840**
**(31,715)**
**(4,829)**
**9,252**
**(9,252)**
**-**
**-**
21,289
-
21,289
(1,381)|
||**(24,014)**
**13,588**
**(10,426)**
**(6,210)**
1,070,630
9,867
**1,080,497**
1,086,707|
||**1,046,616**
**23,455**
**1,070,071**
**1,080,497**|
All income and expenditure derive from continuing activities. The statement of financial activities includes all gains and losses recognised in the year.
11
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
|**Balance sheet**
**Fixed Assets**
Tangible assets
7
Investments
-
Fixed asset investments
8
**Current Assets**
Stock
Debtors
9
Cash at bank and in hand
**Current Liabilities**
Creditors: amounts falling due within one year
10
**Net current assets/(liabilities)**
**Total assets less current liabilities**
Creditors: amounts falling due after more than one year
11
**Net assets**
**Funds of the Charity:**
Restricted Funds
12
Unrestricted Funds
-
General reserve
-
Designated pension reserve
Total un-restricted funds
**Total charity funds**|**2022**
**£**
**2021**
**£**
**641,780**
674,303
**401,064**
453,241|
|---|---|
||**1,042,844**
1,127,544
**2,459**
2,217
**83,900**
39,106
**231,808**
101,739|
||**318,167**
143,062
**(285,160)**
(159,939)|
||**33,007**
**(16,877)**|
||**1,075,851**
**1,110,667**
**(5,780)**
(30,170)|
||**1,070,071**
**1,080,497**|
||**23,455**
9,867
**1,055,709**
1,111,021
**(9,093)**
(40,391)|
||**1,046,616**
1,070,630|
||**1,070,071**
**1,080,497**|
Registered Company number: 06311234
The accompanying accounting policies and notes form part of these financial statements.
For the year ended 31 March 2022 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Responsibilities of directors/trustees:(a) The members have not required the charitable company to obtain an audit of its financial statements for the year in question in accordance with section 476 of the Companies Act 2006 - however, in accordance with section 145 of the Charities Act 2011 the financial statements have been examined by an independent examiner whose report appears on page 10.
(b) The directors/trustees acknowledge their responsibility for complying with the requirements of the Companies Act with respect to accounting records and the preparation of accounts.
Approved by the Trustees and signed on their behalf by:
J R Cox, Chair of Trustees
Date: 14/9/22
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The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Principal accounting policies**
The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:
## **Status of the company**
The charitable company is limited by guarantee and does not have share capital. The liability of members is limited to £10 per member. Any surplus on winding up is to be donated to a charity whose objects are of a similar nature. The charitable company has taken advantage of section 60 of the Companies Act 2006 and deleted the word ‘Limited’ from its name.
## **Basis of preparation**
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (updated 1 January 2019) – (Charities SORP (FRS102)), the Financial Reporting Standard applicable in the UK and Republic or Ireland (FRS102) and the Companies Act 2006.
The Birmingham Boys and Girls Union meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).
## **Going concern**
The financial statements have been prepared on a going concern basis which assumes that the Company will continue to operate. The validity of this assumption is dependent upon both visitor numbers to the camp returning to historic levels and on donations and grants towards the costs of running the centre and its upkeep. The Company’s current business plan shows that it will be able to operate in the foreseeable future. Based on this understanding, the directors believe that it remains appropriate to prepare the financial statements on a going concern basis. The financial statements do not include any adjustments, which would result from the basis of preparation being inappropriate.
## **Funds**
General accumulated funds are unrestricted funds available for general purposes and include funds designated for a particular purpose; the use of such funds remains at the discretion of the trustees.
Restricted funds are funds subject to conditions imposed by the donor or by specific terms of the appeal under which the funds are raised. The restrictive conditions are binding upon the Charitable Company. Funds raised for the purchase of capital items are transferred to unrestricted funds once the items have been purchased, provided the donor has not placed further restrictions over the use of the assets concerned.
13
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Principal accounting policies (continued)**
## **Income recognition policies**
- Items of income are recognised and included in the accounts when all of the following criteria are met: - The charity has entitlement to the funds;
- any performance conditions attached to the item(s) of income have been met or are fully within the control of the charity;
- there is sufficient certainty that receipt of the income is considered probable; and
- the amount can be measured reliably.
For legacies, entitlement is taken as the earlier of:
- the date on which the charity is aware that probate has been granted;
- the estate has been finalised and notification has been made by the executor(s) to the Trust that a distribution will be made; or
- when a distribution is received from the estate.
Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is a treated as a contingent asset and disclosed if material.
Income received in advance of a visit or provision of other specified service is deferred until the criteria for income recognition are met.
## **Donated services and facilities**
Donated services or facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. On receipt, donated services and facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or
facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.
No amounts are included in the statement of financial activities for services donated by volunteers.
## **Interest and investment income receivable**
Interest on funds held on deposit and dividends on investments are included when receivable and the amount can be measured reliably by the Charity, this is normally upon notification by the bank or investment manager.
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The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Principal accounting policies (continued)**
## **Expenditure and irrecoverable VAT**
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:
- Costs of raising funds comprise the costs of running the on-site gift shop;
- Expenditure on charitable activities includes the costs of the Centre and other educational activities undertaken to further the purposes of the charity and their associated support and governance costs.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
## **Tangible fixed assets**
Depreciation is provided on all assets except for land at a rate calculated to write off the cost on a straight line basis over a period of less than the estimated useful life of the assets as follows:
|Activity Centre & buildings|-|20-50 years|
|---|---|---|
|Furniture, fixtures, fittings and equipment|-|5 years|
|Motor vehicles|-|4 years|
Fixed assets are capitalised when their costs exceeds £400.
## **Investments**
Investments have been professionally valued at 31 March 2021 and are included in the accounts at their market value on that date. Realised and unrealised gains or losses on investment assets as recognised in the Statement of Financial Activity.
## **Stock**
Stocks are valued at the lower of cost and net realisable value.
## **Debtors**
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid after taking account of any trade discounts due.
## **Cash at bank and in hand**
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
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The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Principal accounting policies (continued)**
## **Creditors and provisions**
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
## **Taxation**
As a registered charity no provision is considered necessary for taxation.
## **Pensions**
The charitable company operates a defined contribution pension scheme and new employees are able to join the scheme operated by the Pensions Trust for Charities and Voluntary Organisations or arrange personal pensions. The assets of the schemes are held separately from those of the charitable company in independently administered funds. The pensions cost charge represents contributions payable by the charitable company.
The charitable company also participates in The Pension Trust’s defined benefit scheme for certain employees and has been notified of the estimated employer debt on withdrawal from the Plan based on the financial position of the Plan as at 31 March 2021. See note 17 for further information.
16
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Notes to the financial statements**
**1. Donations and legacies**
|**1. Donations and legacies**|||
|---|---|---|
|Unrestricted donations, legacies and grants:
Donations from Individuals
Legacies
Job Retention Support Scheme
Covid Support Grant from WMBC
Grants from Charitable Foundations
Restricted donations and grants:
Grants from Charitable Foundations
**2. Charitable activities**
Income from residential and day visits to the Centre
Rental income for use of facilities
**3. Trading activities**
Income from sale of goods
**4. Investments**
Dividends from listed investments
Bank interest||**2022**
2021
**£**
£
**2,430**
6,946
**-**
14,787
**1,545**
79,577
**8,000**
10,669
**30,165**
22,800|
|||**42,140**
134,779
**29,612**
10,534|
|||**71,752**
145,313|
|||**2022**
2021
**£**
£
**178,105**
2,464
**5,183**
3,510
**183,288**
5,974
**2022**
2021
**£**
£
**1,049**
-
**2022**
2021
**£**
£
**13,588**
13,238
**2**
62
**13,590**
13,300|
||||
||||
||||
||||
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The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Notes to the financial statements (continued)**
## **5. Expenditure**
|**_Raising funds:_**
Shop purchases
**_Charitable activities:_**
Staff costs
Training costs
Depreciation
Motor & travel expenses
Equipment, Repairs and Maintenance
Heating and lighting
Water rates & service charges
Insurance
Telephone
Animal upkeep
Office and sundry expenses
Accountancy fees
Legal and professional fees
Independent Examiner’s fee (including £260 for
accounting services)
Trustee Indemnity Insurance
**_Other expenditure_**:
Interest charge on pension liability|Unrestricted
funds
Restricted
funds
**2022**
**Total**
£
£
**£**
692
-
**692**|
|---|---|
||692
-
**692**|
||219,182
-
**219,182**
2,550
-
**2,550**
56,008
-
**56,008**
1,593
-
**1,593**
15,642
6,772
**22,414**
9,344
-
**9,344**
4,808
-
**4,808**
8,298
-
**8,298**
956
-
**956**
346
-
**346**
8,880
-
**8,880**
1,200
-
**1,200**
540
-
**540**
1,100
-
**1,100**
1,323
-
**1,323**|
||331,770
6,772
**338,542**|
||233
-
**233**|
18
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Notes to the financial statements (continued)**
|**_Raising funds:_**
Shop purchases
**_Charitable activities:_**
Staff costs
Training costs
Depreciation
Motor & travel expenses
Equipment, Repairs and Maintenance
Heating and lighting
Water rates & service charges
Insurance
Telephone
Animal upkeep
Office and sundry expenses
Accountancy fees
Legal and professional fees
Independent Examiner’s fee (including £260 for
accounting services)
Trustee Indemnity Insurance
**_Other expenditure_**:
Interest charge on pension liability|Unrestricted
funds
Restricted
funds
**2021**
**Total**
£
£
**£**
637
-
**637**|
|---|---|
||637
-
**637**|
||145,768
-
**145,768**
293
-
**293**
56,128
-
**56,128**
320
-
**320**
3,652
3,764
**7,416**
3,547
-
**3,547**
6,550
-
**6,550**
8,950
-
**8,950**
1,360
-
**1,360**
384
-
**384**
6,056
-
**6,056**
1,200
-
**1,200**
1,388
-
**1,388**
1,500
-
**1,500**
1,323
-
**1,323**|
||238,419
3,764
**242,183**|
||1,076
-
**1,076**|
## **6. Analysis of staff costs**
|Wages and salaries
National Insurance
Pension costs|**2022**
2021
**£**
£
**207,763**
138,435
**8,396**
4,573
**3,023**
2,760|
|---|---|
||**219,182**
145,768|
19
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Notes to the financial statements (continued)**
No employee received remuneration in excess of £60,000 per annum.
The key management personnel of the charity comprise the trustees and Darren Nutting, Craig Wright and Lynne Levesley, Trustees receive no remuneration or other benefits from the charity. The remuneration of key management personnel for the year, including pension contributions, was £51,348 (2021: £49,600). No Trustee received any remuneration or reimbursed expenses in relation to their role as Trustee to the organisation.
The average number of persons employed by the charitable company during the year was:
|Centre Managers and assistants
Administration|**2022**
2021
**12**
7
**2**
2|
|---|---|
||**14**
9|
As well as the full-time staff, voluntary assistance is provided by various individuals and groups on a regular basis.
## **7. Tangible fixed assets**
|**Cost**
At beginning of year
Additions
Disposals
At end of year
**Depreciation**
At beginning of year
Disposals
Charge for the year
At end of year
**Net Book Value**
**At 31 March 2022**
At 31 March 2021|**Woodlands**
**Centre (Freehold**
**land & buildings)**
**£**
**Furniture,**
**fittings,**
**equipment &**
**motor vehicles**
**£**
**Total**
**£**
980,350
156,972
1,137,322
13,441
10,044
23,485
-
-
-|
|---|---|
||993,791
167,016
1,160,806|
||368,316
94,703
463,019
-
-
-
30,691
25,317
56,008|
||399,007
120,020
519,027|
||**594,784**
**46,996**
**641,780**|
||612,034
62,269
674,303|
20
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Notes to the financial statements (continued)**
## **8. Fixed asset Investments**
|**Listed Investments**
Market value at beginning of year
Sales proceeds from disposals
Net gains in year
**Market value at end of year**
**Historic cost at end of year**
**Investments representing over 5% of the portfolio were:**
CCLA – COIF Charities Investment Fund
**9. Debtors**
Trade debtors
Other debtors and prepayments||**2022**
**£**
2021
£
**453,241**
378,761
**(90,000)**
-
**37,823**
74,480|
|---|---|---|
|||**401,064**
453,241|
|||**277,034**
367,034|
|||**£**
£
**401,064**
453,241|
|||**2022**
2021
**£**
£
**77,284**
33,072
**6,616**
6,034|
|||**83,900**
39,106|
21
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Notes to the financial statements (continued)**
## **10. Creditors: amounts falling due within one year**
|Trade creditors
Social security and other taxes
Accruals
Other creditors
Liability for pension deficit contributions (note 17)
Deposits and income received in advance
**Deferred income:**
Balance brought forward
Transferred to statement of financial activities
Deferred in year
Balance at end of year|**2022**
**£**
**5,641**
**3,718**
**5,659**
**6,756**
**3,313**
**260,073**|2021
£
7,510
1,745
4,916
1,535
10,221
134,012|
|---|---|---|
||**285,160**|159,939|
||**2022**
**£**
**134,012**
**(134,012)**
**260,073**|2021
£
101,844
(101,844)
134,012
134,012|
||**260,073**||
Deferred income relates to deposits and fees for activity days received in advance of the period to which they relate.
## **11. Creditors: amounts falling due after more than one year**
|||**2022**|2021|
|---|---|---|---|
|||**£**|£|
|Liability for pension deficit contributions (note|17)|**5,780**|30,170|
22
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Notes to the financial statements (continued)**
## **12. Movement in funds**
|**2022**
**Restricted funds:**
Equipment replacement
Ratcliffe Foundation - Visitor Building
project (currently on hold)
Rowlands Trust – CCTV equipment
29thMay 1962 Charitable Trust- mower
Lord Austin Charitable Trust - harnesses
GJW Turner Trust - Kayaks
Total restricted funds|**Balance**
**At beginning**
**of year**
**Income**
**Expendi**
**ture**
**Transfers**
**Balance**
**At end of**
**year**
£
£
£
£
£
6,867
16,612
(6,772)
(9,252)
7,455
2,000
-
-
-
2,000
1,000
-
-
-
1,000
-
5,000
-
-
5,000
-
3,000
-
-
3,000
-
5,000
-
-
5,000|
|---|---|
||9,867
29,612
(6,772)
(9,252)
23,455|
|**2021**
**Restricted funds:**
Equipment replacement
Ratcliffe Foundation - Visitor Building
project (currently on hold)
Edward & Dorothy Cadbury Trust – Tree
maintenance
Rowlands Trust – CCTV equipment
Total restricted funds|**Balance**
**At beginning**
**of year**
**Income**
**Expendi**
**ture**
**Transfers**
**Balance**
**At end of**
**year**
£
£
£
£
£
6,431
6,670
(2,900)
(3,334)
6,867
-
2,000
-
-
2,000
-
864
(864)
-
-
-
1,000
-
-
1,000|
|---|---|
||6,431
10,534
(3,764)
(3,334)
9,867|
Transfers relates to capital expenditure funded by restricted donations.
The majority of restricted income is provided towards the cost of equipment and capital items for the activity Centre, no major appeals were carried out in the year. Remaining restricted funds are for expenditure on items of equipment which will be purchased in the following financial year.
23
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Notes to the financial statements (continued)**
## **13. Analysis of net assets between funds**
||Restricted|Un-||
|---|---|---|---|
||funds|restricted||
|**2021**||funds|Total|
||£|£|£|
|Fixed assets|-|641,780|641,780|
|Investments|-|401,064|401,064|
|Current assets|23,455|294,712|318,167|
|Current liabilities|-|(285,160)|(285,160)|
|Long term liabilities|-|(5,780)|(5,780)|
|Total funds|23,455|1,046,616|1,070,071|
||Restricted|Un-||
||funds|restricted||
|**2021**||funds|Total|
||£|£|£|
|Fixed assets|-|674,303|674,303|
|Investments|-|453,241|453,241|
|Current assets|9,867|133,195|143,062|
|Current liabilities|-|(159,939)|(159,939)|
|Long term liabilities|-|(30,170)|(30,170)|
|Total funds|9,867|1,070,630|1,080,497|
|**14. Operating lease commitments**||||
|The following annual operating lease payments are|committed to be paid:|**2022**|2021|
|Expiring:||**£**|£|
|Within one year||**-**|-|
|Between two and five years||507|507|
**15. Controlling Interests**
The charity is controlled by the trustees.
24
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Notes to the financial statements (continued)**
## **16. Related Party Transactions**
During the year professional services were provided by Malcolm Piper and Company Limited in connection with administration, financial and accounting matters provided. Mr N B Rogers, who is a Consultant with that firm, is also a Trustee of the Birmingham Boys and Girls Union. Fees amounting to £1,200 (2021: £1,200), plus VAT, were charged during the year.
Woodlands Adventure Trading Limited is a wholly owned subsidiary of the charity. The company was dormant for the whole of the year ended 31 March 2022.
## **17. Pension schemes**
## _**The Pension Trust Retirement Solutions (‘the scheme’)**_
The company participates in the scheme, a multi-employer scheme which provides benefits to some 638 non-associated participating employers. The scheme is a defined benefit scheme in the UK. It is not possible for the company to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. Therefore it accounts for the scheme as a defined contribution scheme.
The scheme is subject to the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, set out the framework for funding defined benefit occupational pension schemes in the UK.
The scheme is classified as a 'last-man standing arrangement'. Therefore the company is potentially liable for other participating employers' obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme.
A full actuarial valuation for the scheme was carried out at 30 September 2020. This valuation showed assets of £800.3m, liabilities of £831.9m and a deficit of £31.6m. To eliminate this funding shortfall, the Trustee has asked participating employers to pay additional contributions to the scheme as follows:
Deficit contributions
From 1 April 2019 to 31 January 2025: £3,312,000 per annum (payable monthly)
Unless a concession has been agreed with the Trustee the term to 31 January 2025 applies.
25
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Notes to the financial statements (continued)**
Note that the scheme’s previous valuation was carried out with an effective date of 30 September 2017. This valuation showed assets of £794.9m, liabilities of £926.4m and a deficit of £131.5m. To eliminate this funding shortfall, the Trustee had asked the participating employers to pay additional contributions to the scheme as follows:
Deficit contributions
£11,243,000 per annum (payable monthly and increasing by From 1 April 2019 to 30 September 2025: 3% each on 1st April)
The recovery plan contributions are allocated to each participating employer in line with their estimated share of the Series 1 and Series 2 scheme liabilities.
Where the scheme is in deficit and where the company has agreed to a deficit funding arrangement the company recognises a liability for this obligation. The amount recognised is the net present value of the deficit reduction contributions payable under the agreement that relates to the deficit. The present value is calculated using the discount rate detailed in these disclosures. The unwinding of the discount rate is recognised as a finance cost.
## PRESENT VALUES OF PROVISION
|31 March 2022
(£’s)|31 March 2021
(£’s)
31 March 2020
(£’s)|
|---|---|
|Present value of provision
9,093|40,391
47,858|
26
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Notes to the financial statements (continued)**
## RECONCILIATION OF OPENING AND CLOSING PROVISIONS
||Year Ending
31 March 2022
(£s)
Year Ending
31 March 2021
(£s)|
|---|---|
|Provision at start of period|40,391
47,858|
|Unwinding of the discount factor (interest expense)|233
1,076|
|Deficit contribution paid|(10,242)
(9,924)|
|Remeasurements - impact of any change in assumptions|(209)
1,381|
|Remeasurements - amendments to the contribution
schedule|(21,080)
-|
|Provision at end of period|9,093
40,391|
## INCOME AND EXPENDITURE IMPACT
||Year Ending
31 March 2022
(£s)
Year Ending
31 March 2021
(£s)|
|---|---|
|Interest expense|233
1,076|
|Remeasurements – impact of any change in assumptions|(209)
1,381|
|Remeasurements – amendments to the contributions
schedule|(21,080)
-|
## ASSUMPTIONS
||31 March 2022|31 March 2021|31 March 2020|
|---|---|---|---|
||%per annum|%per annum|%per annum|
|Rate of discount|2.35|0.66|2.53|
The discount rates shown above are the equivalent single discount rates which, when used to discount the future recovery plan contributions due, would give the same results as using a full AA corporate bond yield curve to discount the same recovery plan contributions.
27
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **Notes to the financial statements (continued)**
The following schedule details the deficit contributions agreed between the company and the scheme at each year end period:
## DEFICIT CONTRIBUTIONS SCHEDULE
||31 March 2022
(£s)
31 March 2021
(£s)
31 March 2020
(£s)|
|---|---|
|Year 1|3,313
10,221
9,924|
|Year 2|3,313
10,528
10,221|
|Year 3|2,761
10,844
10,528|
|Year 4|-
9,308
10,844|
|Year 5|-
-
9,308|
The charity has recognised a liability, measured as the present value of the contributions payable that arise from the deficit recovery agreement and the resulting expense has been recognised in the statement of financial activities.
These contributions have been used to derive the charity’s balance sheet liability.
28
The Birmingham Boys and Girls Union Financial Statements for the year ended 31 March 2022
## **18. Comparative statement of financial activities for 2021**
|**Income from:**
Donations and legacies
Charitable activities
Trading activities
Investments
**Total income**
**Expenditure on:**
Raising funds
Charitable activities
Other expenditure
**Total expenditure**
Net gains on investments
**Net (expenditure)/income for year**
Transfers between funds
Other recognized gains
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
**Total funds carried forward**|**Un-restricted**
**funds**
**Restricted**
**funds**
**Total funds**
**£**
**£**
**£**
134,779
10,534
**145,313**
5,974
-
**5,974**
-
-
**-**
13,300
-
**13,300**|
|---|---|
||**154,053**
**10,534**
**164,587**|
||637
-
**637**
238,419
3,764
**242,183**
1,076
-
**1,076**|
||**240,132**
**3,764**
**243,896**|
||74,480
-
**74,480**|
||**(11,599)**
**6,770**
**(4,829)**
3,334
(3,334)
**-**
(1,381)
-
**(1,381)**|
||**(9,646)**
**3,436**
**(6,210)**
**1,080,276**
**6,431**
**1,086,707**|
||**1,070,630**
**9,867**
**1,080,497**|
29