2021-03-31-accounts - Vision Redbridge Culture And Leisure

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A N N U A L R E P O R T & F I N A N C I A L S T A T E M E N T S 2 0 2 0 / 2 1

01 02 COMPANY CHAIRMAN’S STATEMENT INFORMATION

03 04 TRUSTEES’ REPORT AUDITOR’S (INCLUDING REPORT STRATEGIC REPORT)

05 06 FINANCIAL NOTES TO THE STATEMENTS FINANCIAL STATEMENTS

Martin Solder

4.77% 0.84% LOWER (mean) HIGHER (median)

44.0% 56.0% 38.0% 62.0% MEN WOMEN MEN WOMEN

42.0% 58.0% 46.0% 54.0% MEN WOMEN MEN WOMEN

0% 0% 0% 0% (mean) (median) OF MEN OF WOMEN



1 December 2021

05 FINANCIAL STATEMENTS

Statement of Financial Activities Including Income and Expenditure Account - Year ended 31ST MARCH 2021

		Unrestricted Funds	Unrestricted Funds	Restricted Funds	Total 2020/21	Total 2020/21	Total 2019/20
		General Funds	Designated Funds
	Note	£000’s	£000’s	£000’s	000’s		£000’s
Income and endowments from:

Charitable Activities
●Direct Services Income	2	3,804	-	-	3,804		9,413
●Grants and Contributions		4,687	-	1,355	6042		845
●Management Fee		8,180	-	1,140	9,320		9,789
Investments		-	-	-	-		9
Total		16,671	-	2,495	19,166		20,056

Expenditure on:
Charitable Activities
●Culture and Libraries		5,835	381	3,031		9,247	10,178
●Parks and Open Spaces		3,810	127	323		4,260	4,249
●Sport and Leisure		4,897	39	361		5,297	6,668
Total	3	14,542	547	3,715		18,804	21,095

Net Income/(Expenditure) before Transfers		2,129	(547)	(1,220)		362	(1,039)
Transfers between funds	17,18	(1,951)	-	1,951		-	-


Net Income/(Expenditure) after Transfers		178	(547)	731		362	(1,039)
Other Recognised Gains/Losses
Actuarial (Losses)/Gains on Defined Benefit Pension Schemes	16	-	(3,903)	-		(3,903)	1,629

Net Movement in Funds		178	(4,450)	731		(3,541)	590
Reconciliation of Funds
Total Funds Brought Forward		403	(8,289)	810		(7,076)	(7,666)
Total Funds c/fwd		581	(12,739)	1,541		(10,617)	(7,076)

- Balance sheet (AS AT 31ST MARCH 2021)

		31st March 2021	31st March 2021	31st March 2020	31st March 2020
	Note	£000’s	£000’s	£000’s	£000’s
Fixed Assets
Tangible Fixed Assets	12		1,029		887
Current Assets
Stocks		-		30
Debtors/ Prepayments	14	1,328		985
Cash at Bank and in Hand		3,363		2,128
Total Current Assets		4,691		3,143
Liabilities
Creditors: Amounts Falling Due Within One Year	15	3,598		2,817
Net Current Assets			1,093		326

Total Assets Less Current Liabilities			2,122		1,213

Provision for Liabilities: Defined Benefit Pension Scheme	16		(12,739)		(8,289)

Net Assets			(10,617)	(7,076)	(7,076)

The Funds of the Charity
General Fund	17		581		403
Designated Funds	17		-		-
Designated Pension Reserve	17		(12,739)		(8,289)
Restricted Funds	18		1,541		810
			(10,617)		(7,076)

The Financial Statements were approved by the Board of Trustees and authorised for issue on 30[th] November 2021 and signed on their behalf by:

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Martin Solder Trustee

Brian Spinks Trustee

- Cash Flow Statement (YEAR END 31ST MARCH 2021)

		2020/21	2019/20
		£000’s	£000’s
Cash Flow from Operating Activities		1,764	(3,094)
Cash Flow from Investing Activities
●Interest Received		1	9
●Capital expenditure		(530)	(415)
Increase (Decrease) in Cash in Year		1,235	3,500

Note i - Reconciliation of Cash Flow from Operating Activities

Net Incoming Resources after Transfers		362	(1,039)
Defined Benefit Pension Charge		1,149	1,553
Defined Benefit Pension Contributions Paid		(602)	(739)
Interest Received		(1)	(9)
Decrease (Increase) in Stock		30	(8)
Decrease (Increase) in Debtors and Prepayments		(343)	(362)
Increase (Decrease) in Creditors		781	(2,724)
Depreciation		388	234
Net Cash Flow from Operating Activities		1,764	(3,094)

	31st March 2020	Movement in Year	31st March 2021
	£000’s	£000’s	£000’s
Note ii - Analysis of Cash and Cash Equivalents

Cash at Bank and In Hand	121	(38)	83
Short-Term Deposits	2,007	1,273	3,280
Total	2,128	1,235	3,363

		2020/21 £000’s	2019/20 £000’s
Note iii - Reconciliation of Cash Flow to Movement in Net Funds

Increase (Decrease) in Cash in the Year		1,235	(3,500)
Movement in Net Funds in the Year		1,235	(3,500)
Opening Net Funds as at 1st April		2,128	5,628
Closing Net Funds as at 31st March		3,363	2,128

06 NOTES TO THE FINANCIAL STATEMENTS

Note 1 - Accounting Policies

Basis of Accounting

These Financial Statements have been prepared under the historical cost convention and in accordance with the Charities Statement of Recommended Practice (SORP) (FRS102) (effective from 1st January 2015), which is the applicable Financial Reporting Standard in the UK and Republic of Ireland and the Companies Act 2006. Vision is a Public Benefit Entity as defined by FRS102.

Going Concern

The charity has a contract with the Council which has been extended to 2026. Although the balance sheet shows a net liabilities position, this is mainly related to the pension scheme liability of £12,739k (2020: £8,289) and under the funding agreement contract with the Council, it will meet ongoing pension obligations. The Covid-19 pandemic has significantly affected the operations of the charity during 2020/21 with many facilities being closed during the periods of lockdown. The charity has furloughed staff during these periods and has also successfully secured grants targeted at the leisure and arts sectors. The trustees have prepared forecast for the 12 months following approval of the financial statements under various scenarios. These indicate that the charity will be able to settle its debts as they fall due in the 12 months following approval of the financial statements and therefore the trustees continue to adopt the going concern basis in the preparation of these financial statements.

Estimates and Judgements

In applying the Accounting Policies, judgements, estimates and other assumptions are required to be made regarding the carrying amount of assets and liabilities, where precise information is not available. Significant examples include the estimates and assumptions that underlie the Pensions data used within the Statements, whereby the professional services of a qualified actuary are commissioned.

The carrying values of Fixed Assets also rely on a number of assumptions, including the Useful Economic Life (UEL) of individual assets, with judgements based on historical experience. Actual results may differ from estimates.

Outstanding debt is reviewed annually for its collectability based on experience and specific intelligence, with adjustments made accordingly to a Bad Debt Provision, to determine the carrying value of Debtors on the Balance Sheet.

Estimates and assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the accounting period in which the estimate is revised where the revision only affects that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Income from Charitable Activities

Income is received from three major sources:

Direct Services Income

This is income generated by the facilities managed by Vision in the form of fees and charges and are recognised as services delivered. All direct services income is credited to the Statement of Financial Activities on an accrual basis. Income for annual memberships is accounted for over the membership year, with amounts relating to future accounting periods being deferred and held on the Balance Sheet as Deferred Income.

Management Fee

An annual Management Fee is received from the London Borough of Redbridge comprising two components – “Restricted Funds” and “Unrestricted Funds”. Restricted Funds mainly relate to the Maintenance, Repairs and Renewals Fund (MRR), which is used for spending on assets used by the Trust, but remaining in the ownership of the London Borough of Redbridge.

Grants and Other Contributions

Grants and other contributions are recognised in full in the Statement of Financial Activities in the year in which they are received, or in the case of grants with associated eligibility criteria, in the year in which those criteria are satisfied. Where entitlement to grants receivable is dependant upon conditions within the charity’s control, the income is recognised when there is sufficient evidence that conditions will be met. Where there is uncertainty as to whether the charity can meet such conditions, recognition of the incoming resource is deferred.

Expenditure on Charitable Activities

Expenditure is accounted for in the Statement of Financial Activities on an accruals basis, being recognised in the year in which it is incurred.

Expenditure is incurred on the costs associated with the organisation’s charitable activities. Charitable activities expenditure can be further sub-divided as follows:

Direct Services Expenditure

Expenses incurred on the defined charitable purpose of the Trust, including staff costs attributable to the activity and management of the facilities.

Grant Funded Activities

Expenditure related to activities where the associated income has been received in the form of a grant.

Other Expenditure

Relates to support costs such as general administration, management and irrecoverable Value Added Tax (VAT).

Allocation and Apportionment of Support Costs

Support costs are allocated to operational services on a basis most consistent with the use of resources.

Financial Instruments

Vision only has financial assets and financial liabilities which are classified as “Basic Financial Instruments” under Section 11 of FRS102. The financial instruments – specifically Bank Deposits, Cash, Creditors and Debtors – are initially recognised at their transaction value and are subsequently measured at amortised cost, where applicable.

Tangible Fixed Assets

The land and buildings at the centres managed by Vision are effectively leased as part of the contract with the Council, but the Council retains the ultimate risks and rewards of these assets. Accordingly, the access Vision has for these assets is to enable it to operate the activities and deliver the public services it is contracted to provide. Vision does not own these assets and therefore they are not recognised in the balance sheet. Where Vision incurs expenditure of a capital nature in relation to these buildings abo ve the “De Minimis” level they are capitalised and depreciated to the end of the contract as set out below.

Vision Fixed Assets

Tangible Fixed Assets are held for use in the supply of services and are expected to be used for more than one financial year. Expenditure on the acquisition, creation or enhancement of such assets is treated as capital provided that the future economic benefits or service potential will flow to Vision. Expenditure that maintains but does not add to an assets potential (i.e. repairs and maintenance) is charged as an expense as it is incurred.

Expenditure which meets the definition of capital, but falls below a pre-set minimum level in value (the “De Minimis” level), is charged as an expense in the year it is incurred. The De Minimis level for Vision is £7000. Tangible Fixed Assets are stated at cost (including Irrecoverable VAT, net of Depreciation and any provision for Impairment). All assets accounted for by Vision are directly owned by the Trust.

• Depreciation

Depreciation is provided on all Tangible Fixed Assets based on the ‘straight line’ method over their Estimated Useful Life (EUL), with no charge made in the year of acquisition, but with a full charge made in the year of disposal. Annual Depreciation charges are as follows.

Asset Type	Annual Depreciation Charge
Building works	pro rata to the end of the current contract*
Equipment and Motor Vehicles	20 to 33.3% per annum
Furniture	10% per annum
Refurbishments & Fittings	20% per annum

*. Annual Depreciation charges ensure such Assets are fully depreciated upon the expiry of the management agreement.

Tangible Fixed Assets, including fully depreciated assets, will continue to be held on the Balance Sheet until such time that they are abandoned, scrapped or sold, at which point they will be written out, with any balance being charged as a revenue expense.

• Impairment

Impairment reviews are carried out where there is an indication that the recoverable amount of a Tangible Fixed Asset may be lower than its Balance Sheet value, and (if confirmed) are written down to the recoverable amount.

Leased Assets

Leases are classified as Finance leases unless they meet the criteria of an Operating lease. The characteristic of a Finance lease is that the lease arrangements transfer substantially all of the risks and rewards of ownership to the lessee.

Assets held on Finance leases are included within Fixed Assets on the Balance Sheet with a corresponding Creditor established for future lease payments. The asset is depreciated (with a corresponding charge to revenue) over the term of the lease. In addition, interest costs are charged directly to revenue. Operating

lease payments are charged to the cost of service on a straight line basis over the term of the lease.

Stocks

Stock is included on the Balance Sheet at the lower of cost or estimated selling price, less costs to complete and sell.

Pension Costs

Employee members of the Local Government Pension Scheme (LGPS) that transferred from the London Borough of Redbridge to the Trust (under “TUPE” regulations) are entitled to remain within the scheme (or join if they have not already done so). The LGPS is a defined benefit scheme which is funded by both employee and employer contributions. An annual update (supplemented by a full triennial valuation) is provided by the scheme’s actuary, which sets out Vision’s share of the estimated assets and liabilities. In accordance with Financial Reporting Standard 102 (FRS102), annual movements are reflected in the Income and Expenditure Account with net balances reflected in the Balance Sheet.

In addition, Vision also has employees that are members of three other pension schemes as follows:

Teachers’ Pension Scheme (TPS)
A number of employees are members of the TPS, which is administered by the Department of Education. The scheme provides members with specified benefits upon their retirement and Vision contributes towards the associated costs alongside employee members. The scheme is technically a defined benefit scheme. However, the scheme is unfunded and it is not possible to determine – with sufficient accuracy for accounting purposes – Vision’s share of the underlying financial position and performance. Consequently the TPS is accounted for on the same basis as a defined contribution scheme.
Friends Provident (“Stakeholder Pension”)
A small number of employees, who were not eligible for LGPS membership, were enrolled on a defined contribution scheme administered by Friends Provident. The cost of the associated retirement benefits is met through ‘matched’ employee and employer contributions. Following a change in legislation on workplace pensions which has seen the introduction of automatic enrolment, membership of the scheme has declined as has the option to transfer to a scheme administered by Friends Life.

Friends Life (“Group Pension Plan”)

Subject to an opt out clause (following automatic enrolment) and other qualifying criteria, existing employees not already in a pension scheme and new starters are systematically being enrolled into a defined contribution scheme administered by Friends Life. The cost of the associated retirement benefits is met through a combination of employee and employer contributions.

Employer contributions to the three defined contribution schemes described above are reflected in the Income and Expenditure Account only.

Fund Accounting

The funds of the Trust fall into two main types:

Unrestricted Funds are available to use to further the purposes of the Trust. Unrestricted Funds may be set aside to fund particular activities at the discretion of the Trust.
Restricted Funds are held by the Trust for specific purposes, determined by the donor. The specified purposes are consistent with Vision’s overall objectives.

Notes to Financial Statements

(YEAR ENDED 31ST MARCH 2021)

Note 2 - Direct Services Income

(YEARENDED31STMARCH2021) Note 2- Direct Services Income
	Unrestricted Funds	Restricted Funds	Total 2020/21	Total 2019/20
	£000’s	£000’s	£000’s	£000’s
Culture and Libraries	1,820	-	1,820	3,062
Parks and Open Spaces	1,065	-	1,065	1,064
Sport and Leisure	919	-	919	5,287
Total	3,804	-	3,804	9,413

Note 3 - Resources Expended

	Direct Expenditure	Support Costs	Deferred Benefit Pension	Total 2020/21	Total 2018/19
	£000’s	£000’s	£000’s	£000’s	£000’s
Unrestricted Expenditure
Culture and Libraries	5,296	539	381	6,216	6,962
Parks and Open Spaces	3,572	239	127	3,937	3,826
Sport and Leisure	4,690	207	39	4,936	6,017
Sub Total	13,558	985	547	15,089	16,805

Restricted Expenditure
Culture and Libraries	3,031	-	-	3,031	3,216
Parks and Open Spaces	323	-	-	323	423
Sport and Leisure	361	-	-	361	651
Sub Total	3,715	-	-	3,715	4,290
Total Resources Expended	17,272	985	547	18,804	21,095

Note 4 - Support Costs

	Culture and Libraries	Parks and Open Spaces	Sport and Leisure	Total 2020/21	Total 2019/20
	£000’s	£000’s	£000’s	£000’s	£000’s
ICT	328	45	27	400	400
HR and Payroll	39	26	33	98	135
Building Services	-	-	-	-	49
Insurance	107	70	89	266	260
Cash Collection	5	-	8	13	22
Tree Surgery	-	59	-	59	59
MHR Payroll	23	15	20	58	58
Governance Cost	36	24	31	91	84
Management and Support	-	-	-	-	27
Total	538	239	208	985	1,094

Note 5 Statement of Financial Activities Including Income and Expenditure

- Account (YEAR ENDED 31[ST] MARCH 2020)

ccount- (YEAR ENDED	MARCH 2020)	MARCH 2020)
	Unrestricted Funds		Restricted Funds	Total 2019/20
	General Funds	Designated Funds
	£000’s	£000’s	£000’s	£000’s
Income and endowments from:

Charitable Activities
●Direct Services Income	9,413	-	-	9,413
●Grants and Contributions		-	845	845
●Management Fee	8,438	-	1,351	9,789
Investments	9	-	-	9
Total	17,860	-	2,196	20,056

Expenditure on:
Charitable Activities
●Culture and Libraries	6,418	544	3,216	10,178
●Parks and Open Spaces	3,632	194	423	4,249
●Sport and Leisure	5,941	76	651	6,668
Total	15,991	814	4,290	21,095

Net Income/(Expenditure) before Transfers	1,869	(814)	(2,094)	(1,039)
Transfers between funds	(2,127)	(31)	2,158	-


Net Income/(Expenditure) after Transfers	(258)	(845)	64	(1,039)
Other Recognised Gains/Losses
Actuarial (Losses)/Gains on Defined Benefit Pension Schemes	-	1,629	-	1,629

Net Movement in Funds	(258)	784	64	590
Reconciliation of Funds
Total Funds Brought Forward	661	(9,073)	746	(7,666)
Total Funds Carried Forward	403	(8,289)	810	(7,076)

Notes to Financial Statements

(YEAR ENDED 31ST MARCH 2020)

Direct Services Income

(YEARENDED31STMARCH2020) Direct Services Income
	Unrestricted Funds	Restricted Funds	Total 2019/20
	£000’s	£000’s	£000’s
Culture and Libraries	3,062	-	3,062
Parks and Open Spaces	1,064	-	1,064
Sport and Leisure	5,287	-	5,287
Total	9,413	-	9,413

Resources Expended

	Direct Expenditure	Support Costs	Deferred Benefit Pension	Total 2019/20
	£000’s	£000’s	£000’s	£000’s
Unrestricted Expenditure
Culture and Libraries	5,841	577	544	6,962
Parks and Open Spaces	3,384	248	194	3,826
Sport and Leisure	5,672	269	76	6,017
Sub Total	14,897	1,094	814	16,805

Restricted Expenditure
Culture and Libraries	3,216	-	-	3,216
Parks and Open Spaces	423	-	-	423
Sport and Leisure	651	-	-	651
Sub Total	4,290	-	-	4,290
Total Resources Expended	19,187	1,094	814	21,095

Support Costs

	Culture and Libraries	Parks and Open Spaces	Sport and Leisure	Total 2019/20
	£000’s	£000’s	£000’s	£000’s
ICT	328	44	28	400
HR and Payroll	53	31	51	135
Building Services	19	11	19	49
Insurance	102	59	99	260
Cash Collection	9	5	8	22
Tree Surgery	-	59	-	59
MHR Payroll	23	13	22	58
Governance Cost	33	19	32	84
Management and Support	11	6	10	27
Total	578	247	269	1,094

Note 6 - Grants Paid

Note 6 - Grants Paid
	2020/21 £000’s	2019/20 £000’s
Organisations
Community Centres	16	16
Arts	16	24
Total	32	40

Note 7 - Auditor Remuneration

	2020/21	2019/20
	£000’s	£000’s
Statutory Audit	26	25
Consultancy	2	1
Total	28	26

Note 8 - Trustees

No Trustees (or any person connected with them) received remuneration in 20/21 (19/20 nil). No Trustees (or any person connected with them) received expense reimbursement in 20/21 (this was £74.40 in 19/20)

Note 9 - Employees

Employee Numbers

The average number of employees, including Full-Time Equivalents (FTEs), during the year was:

	2020/21	2020/21 FTE	2019/20	2019/20 FTE
Culture and Libraries	274	151.44	309	161.62
Parks and Open Spaces	69	56.76	63	54.82
Sport and Leisure	300	89.01	380	92.99
Management and Support	13	11.8	17	14.15
	656	309.01	769	323.58

Employee Costs

	2020/21	2019/20
	£000’s	£000’s
Wages and Salaries	9,234	10,026
National Insurance Contributions	701	751
LGPS Pension	1,149	1,553
Other Pension	382	354
Agency and Private Instructors	78	443
Redundancy	121	12
Total	11,665	13,139

The number of employees earning a salary of £60,000 or more (including benefits, but excluding pension contributions was as follows:

pension contributions was as follows:
	2020/21	2019/20
£60,000 to £69,999	2	1
£70,000 to £79,999	3	1
£80,000 to £89,999	-	-
£90,000 to £99,999	-	-
£100,000 to £109,999	1	1
Total	5	3

Total pension costs paid to these employees amounted to £90,015 (2019/20: £65,894)

Remuneration of Key Management Personnel

Total employee benefits paid to the key management personnel (Chief Executive, Director of Sport & Leisure, Head of Culture & Libraries, Head of Parks & Open Spaces) totalled £442,413 in 2020/21 (£402,204 in 2019/20).

Note 10 - Taxation

Vision is a Registered Charity and not liable for Corporation Tax on profits derived from its charitable activities under Paragraph 1 of Schedule 6 of the Finance Act 2010.

Note 11 - Related Party Transactions

Trustees and employees are entitled to use the facilities managed by Vision at a discounted price, compared to members of the general public.

A limited number of employees are entitled to use certain leisure facilities managed by Vision free of charge provided that usage does not interfere with the activities and demands of fee paying members and the general public. Such arrangements are often of mutual benefit to both parties (e.g. free access to the swimming pool to maintain the fitness of lifeguards).

There are no other Related Party Transactions to report for 2020/21.

Note 12 - Tangible Fixed Assets

	Building Works	Plant & Equip.	Gym Equip.	Furniture	Refurbs. & Fittings	IT Equip.	Total
	£000’s	£000’s	£000’s	£000’s	£000’s	£000’s	£000’s
Cost
At 1st April 2020	465	42	-	-	1,478	182	2,167
Additions in Year	-	-	-	-	167	363	530
Disposals in Year	-	(41)	-	-	-	-	(41)
At 31st March 2021	465	1	-	-	1,645	545	2,656

Accumulated Depreciation
At 1st April 2020	424	41	-	-	779	36	1,280
Charge for the Year	41	--	-	-	152	195	388
Disposals in Year		(41)	-	-	-	-	(41)
At 31st March 2021	465	-	-	-	931	231	1,627

Net Book Value
At 31st March 2020	41	1	-	-	699	146	887
At 31st March 2021	-	1	-	-	714	314	1,029

Note 13 - Investments

Vision Redbridge Business Services Limited (a trading company) was incorporated on 20th May 2011. Vision Redbridge Culture and Leisure Limited is the sole shareholder, holding 100 Ordinary £1 shares. The Director Trustees of the Trust are the Directors of the trading company.

As at the 31st March 2021 the company was dormant, as defined by Company Law.

Note 14 - Debtors

	31st March 2021	31st March 2020
	£000’s	£000’s
Trade Debtors	462	307
Other Debtors	57	85
Provision of Bad and Doubtful Debt	(57)	(43)
Prepayments and Accruals	866	636
Total	1,328	985

Note 15 - Creditors: Amounts Due Within One Year

			31st March 2021	31st March 2020
			£000’s	£000’s
Trade Creditors			270	46
VAT and Social security			1,130	570
Accruals			2,022	2,044
Deferred income			176	157
Total			3,598	2,817
Deferred Income Analysis	2020/21	2019/20
	£000’s	£000’s
Balance April 1st	157	248
Charged in Year	157	248
Deferred in Year	176	157
Balance March 31st	176	157

Note 16 - Pension Costs

Defined Benefit Scheme

As part of the terms and conditions of employment under “TUPE” regulations, employees transferred from the London Borough of Redbridge (LBR) are entitled to remain within the Local Government Pension Scheme (LGPS). The Redbridge scheme is a funded final salary defined benefit scheme, which is administered by the Council in accordance with the LGPS Regulations.

It is possible to identify Vision’s share of the underlying assets and liabilities of the Redbridge Fund for the purposes of FRS102.

The assets of the LGPS are invested and managed independently of the Trust and employer contributions are determined by a qualified actuary on the basis of triennial valuations using the projected unit method. The most recent actuarial valuation reflected the position as at March 2020.

Active LGPS Members and Contribution Levels

	2020/21	2019/20
Employer’s Contributions (£000’s)	602	739
Employer’s Contribution (%)	20.1	20.1
Number of Members	238	238

Reconciliation of Defined Benefit Obligation

Reconciliation of Defned Beneft Obligation
	2020/21	2019/20
	£000’s	£000’s
Opening Defined Benefit Obligation	31,935	35,578
Current Service Cost	954	1,327
Losses /(Gains) on Curtailments	-	-
Effect of Business Combinations and Disposals	-	-
Interest Cost	740	866
Total Defined Benefit Recognised in SOFA	1,694	2,193
Contribution by Members	173	186
Estimated Benefits Paid	(611)	(613)
Re-measurements
Changes in Actuarial Assumptions	9,978	(4,420)
Other Experience	(312)	(989)
Closing Defined Benefit Obligation	42,857	31,935

Reconciliation of Plan Assets

	2020/21	2019/20
	£000’s	£000’s
Opening Fair Value of Employer Assets	23,646	26,474
Interest Income	545	640
Effect of Business Combinations and Disposals	-	-
Total Defined Benefit Recognised in SOFA	545	640
Contribution by Members	173	186
Contributions by Employer	602	739
Benefits Paid	(611)	(613)
Re-Measurements
Return on Assets	5,763	(3,780)
Closing Fair Value of Employer Assets	30,118	23,646

Reconciliation of Total Cost of Defined Benefit Liability

	2020/21	2019/20
	£000’s	£000’s
Current Service Cost	(954)	(1,327)
(Losses)/Gains on Curtailments	-	-
Effect of Business Combinations and Disposals	-	-
Net Interest	(195)	(226)
Charge to Net (Income)/Expenditure	(1,149)	(1,553)

Re-Measurements
Changes In Actuarial Assumptions	(9,978)	4,420
Other Experience	312	989
Return on Assets	5,763	(3,780)
Total Re-Measurements	(3,903)	1,629
Employers Contribution	602	739
Surplus or (Deficit) in Scheme	(5,052)	76
Opening Balance – Surplus/(Deficit)	(8,289)	(9,104)
Closing Balance – Surplus/(Deficit)	(12,739)	(8,289)

Fair Value of Plan Assets - Values

Fair Value of Plan Assets - Values
	31st March 2021	31st March 2020	31st March 2019	31st March 2018	31st March 2017
	£000’s	£000’s	£000’s	£000’s	£000’s
Equities	21,986 (73%)	16,079 (68%)	18,532 (70%)	16,950 (70%)	16,340(71%)
Bonds	4,518 (15%)	5,202 (22%)	5,559 (21%)	5,083 (21%)	4,833(21%)
Property	3,313 (11%)	2,128 (9%)	2,383 (9%)	2,180 (8%)	1,842 (8%)
Cash	301 (1%)	237 (1%)	-	-	-
Total Fair Value of Plan Assets	30,118 (100%)	23,646 (100%)	26,474 (100%)	24,213 (100%)	23,014 (100%)

Actuarial Assumptions

	31st March 2021	31st March 2020
	(%pa)	(%pa)
Pension Increases	2.85	1.9
Salary Increases	2.85	1.9
Discount Rate	2.00	2.3

Vision contributes to three defined contribution schemes:

Teachers’ Pension Scheme (TPS)

The TPS which, although technically a defined benefit scheme, is accounted for as a defined contribution scheme. All TPS members are employed within the Music and Drama services. As at 31st March 2021 there were 65 employees in the TPS.

Friends Provident (“Stakeholder Pension”)

As at 31st March 2021, there was one employee with a Stakeholder Pension.

• Friends Life (“Group Pension Plan”)

The continued application of “auto-enrolment” during the financial year has seen a growing number of employees taking out a Group Pension Plan through Friends Life. As at 31[st] March 2021, 284 employees were Group Pension Plan holders. ( 31[st] March 2020 there were 301 employees)

The Employer Contributions paid into Defined Contribution Schemes during the year is summarised in the table below.

the table below.
	2020/21	2019/20
	£000’s	£000’s
Teachers’ Pension Scheme (TPS)	265	232
Friends Provident	2	2
Friends Life	116	120

Note 17 - Unrestricted Funds

Unrestricted Funds held by Vision are available to use for the general charitable purposes of the Trust. However, part of these may be “Designated” for particular future purposes. The movement in Unrestricted Funds during 2020/21 is set out as follows.

	Movement in Unrestricted Funds 2020/21	Movement in Unrestricted Funds 2020/21	Movement in Unrestricted Funds 2020/21	Movement in Unrestricted Funds 2020/21	Movement in Unrestricted Funds 2020/21
	Balance 1st April 2020	Incoming Resources	Resources Expended	Transfers Between Funds	Balance 31st March 2021
	£000’s	£000’s	£000’s	£000’s	£000’s
General Fund	403	16,671	(14,542)	(1,951)	581
Sub Total	403	16,671	(14,542)	(1,951)	581

Designated Funds
ICT Transformation	-	-	-	-	-
Pension Fund Reserve	(8,289)	(3,903)	(547)	-	(12,739)
Sub Total	(8,289)	(3,903)	(547)	-	(12,739)

Total	(7,886)	12,768	(15,089)	(1,951)	(12,158)

	Movement in Unrestricted Funds 2019/20	Movement in Unrestricted Funds 2019/20	Movement in Unrestricted Funds 2019/20	Movement in Unrestricted Funds 2019/20	Movement in Unrestricted Funds 2019/20
	Balance 1st April 2019	Incoming Resources	Resources Expended	Transfers Between Funds	Balance 31st March 2020
	£000’s	£000’s	£000’s	£000’s	£000’s
General Fund	661	17,860	(15,991)	(2,127)	403
Sub Total	661	17,860	(15,991)	(2,127)	403

Designated Funds
ICT Transformation	31	-	(31)	-	-
Pension Fund Reserve	(9,104)	1,629	(814)	-	(8,289)
Sub Total	(9,073)	1,629	(845)	-	(8,289)

Total	(8,412)	19,489	(16,836)	(2,127)	(7,886)

Note 18 – Restricted Funds

Restricted Funds held by the Trust are only available to use for the purposes specified by the donor. Vision holds Restricted Funds in three categories:

• Management Fee

Funded by LBR through the main Management Fee. Specifically:

Maintenance, Repairs & Renewals (MRR)

To be used solely for the maintenance, repair and renewal of LBR assets entrusted to Vision as part of the management contract for Culture and Leisure services in the Borough.
Exercise on Referral
To be used in accordance with a Service Level Agreement with the Redbridge Clinical Commissioning Group for the supply of relevant Sport & Health related services.
Redbridge Arts Grants

To be used to support community and voluntary sector arts activities.

Adult Activator

To support a post, specifically created to lead and co-ordinate an adult health programme on Redbridge housing estates.

Music Bursary Fund

To be used in support of music school pupils to advance their musical education beyond Redbridge Music School.

Cycle Quiet Ways

To extend the opening hours at Valentines Park – initially for two years – to allow access to the Cycle Quiet Way, linking Redbridge to other London boroughs. The grant is to fund additional staffing costs.

0-19 Health

To help fund and deliver an obesity strategy and action plan, and to develop physical activity provision for antenatal women.
Alice White Legacy

A legacy left to Valentines Park to be spent on a specific area within the Park.

Claybury Park Dowry
To be used to support a 6-year Investment Plan (2015-21) for the maintenance of Claybury Park.

• Service Grants

External grants, ring-fenced to support the Music and Drama services.

• Other Grants

Primarily external grants and contributions received outside the main Management Fee for Culture and Leisure related specified projects and initiatives in the fields of Arts, Events, Libraries, Museums, Parks, Sport and Health.

The movement in Restricted Funds during 2020/21 is set out in the table below.

	Movement in Restricted Funds	Movement in Restricted Funds	Movement in Restricted Funds	Movement in Restricted Funds	Movement in Restricted Funds
	Balance 1st April 2020	Incoming Resources	Resources Expended	Transfers Between Funds	Balance 31st March 2021
	£000’s	£000’s	£000’s	£000’s	£000’s
Management Fee
MRR Fund	20	1,107	(607)	(350)	170
Asset Plan ( Restricted Reserve.)	133	-	-	350	483
Exercise on Referral	4	80	(80)	-	4
Redbridge Arts Grants	52	33	(10)	-	75
Adult Activator	14	4	(9)	-	9
Music Bursary Fund	62	0	0	-	62
Cycle Quiet Ways	46	0	0	-	46
0-19 Health	14	32	(27)	-	19
Alice White Legacy	-	15	(15)	-	-
Claybury Park Dowry	84	0	(27)	-	57
	429	1,271	(775)	-	925
Service Grants
Drama	-	66	(614)	548	-
Music	-	493	(1,896)	1,403	-
	-	559	(2,510)	1,951	-
Other (Grants)
Arts	7	-	-	-	7
ACE	-	548	(363)	-	185
Corporate	4	-	(4)	-	-
Libraries	181	66	(55)	-	192
Museum	-	-	-	-	-
Music Education	35	-	-	-	35
Parks	44	4	(15)	-	33
Sport and Health	110	55	(1)	-	164
	381	673	(438)	-	616

Total	810	2,503	(3,723)	1,951	1,541

	Movement in Restricted Funds	Movement in Restricted Funds	Movement in Restricted Funds	Movement in Restricted Funds	Movement in Restricted Funds
	Balance 1st April 2019	Incoming Resources	Resources Expended	Transfers Between Funds	Balance 31st March 2020
	£000’s	£000’s	£000’s	£000’s	£000’s
Management Fee
MRR Fund	18	1,107	(1,105)	-	20
Asset Plan ( Restricted Reserve.)	133	-	-	-	133
Exercise on Referral	4	180	(180)	-	4
Redbridge Arts Grants	34	33	(15)	-	52
Adult Activator	32	-	(18)	-	14
Music Bursary Fund	62	-	-	-	62
Cycle Quiet Ways	46	-	-	-	46
0-19 Health	19	32	(37)	-	14
Alice White Legacy	1	26	(27)	-	-
Claybury Park Dowry	142	-	(58)	-	84
	491	1,378	(1,440)	-	429
Service Grants
Drama	-	65	(793)	728	-
Music	-	495	(1,925)	1,430	-
	-	560	(2,718)	2,158	-
Other (Grants)
Arts	7	-	-	-	7
Corporate	4	-	-	-	4
Libraries	55	208	(82)	-	181
Museum	-	-	-	-	-
Music Education	35	-	-	-	35
Parks	53	4	(13)	-	44
Sport and Health	101	46	(37)	-	110
	255	258	(132)	-	381

Total	746	2,196	(4,290)	2,158	810

Note 19 - Analysis of Net Assets Between Funds

	Unrestricted Funds	Unrestricted Funds	Restricted Funds	Total
	General	Designated
	£000’s	£000’s	£000’s	£000’s
Fund Balances at 31st March 2021 are represented by:
Tangible Assets ( Net book values)	-	-	1,029	1,029
Current Assets / (Liabilities)	581	-	512	1.093
Provisions	-	(12,739)	-	(12,739)
Total	581	(12,739)	1,541	(10,617)

Fund Balances at 31st March 2020 were represented by:
Tangible Assets ( Net book values)	64	-	823	887
Current Assets / (Liabilities)	339	-	(13)	326
Provisions	-	(8,289)	-	(8,289)
Total	403	(8,289)	810	(7,076)

Note 20 - Lease Commitments

Total payments of £120,837.90 relating to operating leases were made in 2020/21 (£64,406.62 2019/20). There are no Finance Leases. Outstanding commitments under non-cancellable Operating Leases at the end of the financial year were as follows:

	31st March 2021	31st March 2020
	£000’s	£000’s
Expiry Date:
Within One Year	60	93
Between One and Five Years	96	151

Total	156	244

All leases relate to plant, equipment and vehicles. There are no leases relating to land and buildings.