OpenCharities

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

2021-03-31-accounts

Company number: 06332267 Charity Number: 1125805

Zest - Health for Life Limited

Report and financial statements For the year ended 31st March 2021

Zest - Health for Life Limited

Reference and administrative information

for the year ended 31st March 2021

Company number 06332267

Charity number 1125805

Registered office and operational address The Old Fire Station, Gipton Approach, Leeds LS9 6NL Zest – Health for Life Limited also uses the name Zest Leeds for operational and marketing purposes

Trustees Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows:

Dan Barnett Chair Scott Robson Treasurer, appointed 13 May 2020 Ann Nicholl Anne Sherriff

Barbara Rhodes Jessalyn Luna Resigned 19 January 2021 Michelle Regan Resigned 19 August 2020 Sanna Marena Resigned 19 January 2021

Trustees who held title to property belonging to the charity during the reporting period or at the date of approval were: none

Key management personnel

Susie Brown Chief Executive Dominic Charkin Operations Manager/Deputy Chief Executive Vicky Elswood Finance Manager Simon Chappelow Food Projects Manager

Bankers Unity Trust Bank Nine Brindley Place Birmingham, B1 2HB Solicitors Wrigleys Solicitors LLP 19 Cookridge Street, Leeds LS2 3AG Independent Catherine Hall FCCA DChA Examiner Slade & Cooper Limited Beehive Mill, Jersey St, Ancoats, Manchester, M4 6JG

1

Zest - Health for Life Limited

Trustees’ annual report

for the year ended 31st March 2021

The trustees present their report and the unaudited financial statements for the year ended 31st March 2021. Included within the trustees’ report is the directors’ report as required by company law.

Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the memorandum and articles of association and the Statement of Recommended Practice - Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102.

Objectives and activities

The objects of the organisation, as stated in the constitution adopted in August 2007 are to promote, preserve and protect the physical health and mental wellbeing of the inhabitants of Yorkshire, in particular by providing or supporting the provision of facilities in the interests of the social welfare or other leisure time occupation, and by providing education, training, advice and support.

Zest works for the purpose of daily use to the following Vision, Values and social objectives:

Our Vision - Leeds is a city where everyone has the same opportunities

Our Mission - To improve life chances in Leeds

Who we work with – All ages

Our personality - Local – Inclusive – Positive – Knowledgeable – Supportive

Our Social Objectives:

To promote healthier lifestyles

To enable fulfilling lives

All of Zest’s work is in line with the social objectives above. Each project meets one or several of the objectives and as well as monitoring and reporting to funder’s on their particular requirements, staff report bi-monthly to the board on how their work meets Zest’s social objectives.

Main Activities

Zest’s current activities include the following:

Jamie’s Ministry of Food Leeds – a cooking skills and healthy eating programme funded by Leeds City Council

Better Together – a community health development programme funded by Leeds City Council

2

Zest - Health for Life Limited

Trustees’ annual report

for the year ended 31st March 2021

Men’s Health – a community health development project funded by Henry Smith Charity.

Make and Take – A family cooking programme to ensure that children worst affected by lockdown had access to healthy, affordable and nutritious meals. Funded by Unicef.

Health Start – To increase the uptake of Healthy Start Vouchers in deprived areas of East Leeds. Funded by Foodpower.

Leeds Food Partnership – To employ Sustainable Food Cities Coordinator – funded by Sustainable Food Cities, Leeds City Council and Leeds University.

All these projects are focussed on serving the charity’s aims, objectives and stated purposes, and benefit the people Zest was set up to support. All projects are meeting or surpassing the targets and outcomes set by funders and are successfully operating in the charity’s stated area of operation.

The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning its future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives that have been set.

The trustees and senior management team seek to further the charity’s aims and objectives by pursuing a fundraising strategy that benefits the people of Leeds who live in the city’s most disadvantaged areas and are suffering from health and social inequality of both opportunity and life expectancy.

The charity's main activities and who each project helps its beneficiaries are described below. All its charitable activities focus on improving health and wellbeing, addressing health and social inequalities, and are undertaken to further Zest’s charitable purposes for the public benefit.

Our Ministry of Food project is a city wide high quality cooking skills programme designed to engage vulnerable adults, those at risk of ill health as a result of poor diet and those who are less able or motivated to prepare healthy food at home. The project expects to reach around 450 people per year. Evaluation of the work shows we have a real impact on the skills, behaviours and confidence of people attending the Ministry of Food.

Our community projects team currently works with around 600 people specifically from East Leeds per year providing opportunities to become involved a variety of community groups and activities that build community resilience and improve the skills and confidence of individuals as well as helping to reduce social isolation. Currently 93% of our service users say they feel happier and have made new friends through attendance at groups; 68% of people say they feel healthier and 77% of attendees say they’ve experienced improved mental wellbeing.

From board membership to Ministry of Food Zest involves and supports volunteers in all aspects of our work. We value the diverse range of skills and knowledge which our volunteers bring to these roles and their experience of living and volunteering in the communities that we work informs our work at every level and contributes to our mission of improving life chances in Leeds through the principles of community development. By donating skills, time and knowledge, volunteers contribute towards the expansion and improvement of our services as well as personally learning skills, making new friends and having new experiences.

Beneficiaries of our services

While our services are open to all, the communities we target in Leeds are in the bottom 10% of Super Output Areas nationally and are ranked as among the most disadvantaged in the district. People living

3

Zest - Health for Life Limited

Trustees’ annual report

for the year ended 31st March 2021

in these areas experience multiple disadvantages, that have dramatic and negative impacts on their lives.

All our current funding is aimed at adults over the age of 16. However, during school holidays we also provide low or no cost family activities. Aimed at alleviating holiday hardship experienced by those living in disadvantaged areas, and recruiting new users to our services outside of school holidays.

Achievements and performance

2020/21 was an extremely challenging year for Zest. The Covid pandemic severely impacted the business and its ability to operate. Despite these significant challenges the charity finished the year with a small surplus.

The pandemic led to two significant funding applications being paused in April at very short notice, which impacted on the initial financial forecast. As the year progressed the funding outlook became more settled and the charity received a number of Covid specific funding streams as well as having success in applying for grants to support our core costs. Specific funding included:

The Coronavirus Community Support Fund to allow us to continue the work delivered by DWELL while our reapplication had been paused due to the pandemic.

Gipton and Harehills Community Cares Volunteering fund to support people struggling to get access to food, medical supplies and other essentials.

Garfield Weston Foundation supporting core costs

The pandemic impacted on Zests ability to deliver activities face to face. Existing funders showed us understanding and flexibility to ensure we were able to react quickly to the rapidly changing situation. We were able to adapt our services at short notice and where necessary redeploy staff to maintain presence and contact with the most vulnerable in the city.

Staff teams continue to identify gaps and need in communities and Zest seeks to meet that need by designing engagement projects and finding funding to enable those projects to get started. As we exit the pandemic support to the poorest communities to prevent further widening of inequality will be critical.

All Zest’s work over the last year has directly had a positive impact on its beneficiaries, aligned with its social objectives. Service users reported that without contact from the charity their ability to cope during the pandemic would have been diminished.

Against our three fundraising targets we achieved the following actuals:

Targets 2020/21 Target Actual
New Business/Grants £30,000 £55,238
Fundraising £10,000 £3,818
Leeds Cookery School £0 £ 0

4

Zest - Health for Life Limited

Trustees’ annual report

for the year ended 31st March 2021

Direct Fundraising

Direct fundraising was extremely challenging, with most traditional fundraising opportunities cancelled and limited capacity to explore virtual fundraising opportunities. In the circumstances a total of £3,818 raised can be considered a success.

Social Enterprise

The COVID 19 pandemic forced the Leeds Cookery School to close for significant parts of the year and staff went onto the Government Furlough Scheme. Where appropriate Leeds Cookery School applied for government support.

During operational periods, due to social distancing, we had to operate at no greater than break even capacity. Despite these challenges Leeds Cookery School received two awards: Social Enterprise of the Year in the Garbutt and Elliott Food and Drink awards, and a silver award in the prestigious White Rose awards for experience of the year.

We continue to make plans for the coming year and are in a position to bounce back strongly.

Future Challenges

The COVID 19 pandemic revealed and compounded existing inequalities, with significantly more people in deprived communities dying, becoming seriously ill or suffering the worst effects of multiple lockdowns. In those communities recovery from the pandemic will take longer and will need more intensive support.

We are already seeing the financial fallout from the crisis with cuts being made to local authority budgets and while national funders have, on the whole, not cut the amount of funding available they are all reporting significant increases in demand for their funding.

The anticipated increase in demand for our services and the need to build back fairer along with the challenging outlook to the funding landscape mean that is now more important than ever to continue to develop a more diversified funding structure that ensures business sustainability and ensures our long term survival.

Financial review

Overview

The accounts reflect all the activities listed above.

Income reduced from £560,346 in 2019/20 to £530,903 in 2020/21. Existing grants and contracts makeup the majority of income. Fundraising has contributed £3,818 to this year’s income. Costs have decreased significantly from £511,146 in 2019/20 to £467,394 in 2020/21. This is due to not being able to deliver services in the usual way due the pandemic. Zest had a year-end balance of £63,509, of which £49,437 was unrestricted and £14,072 was restricted.

Our principal sources of funding were Leeds City Council (Public Health Directorate), Big Lottery Fund, Reed Momenta, Leeds Community Foundation, The Henry Smith Charity, Sustainable Food Cities, and Garfield Weston. We are grateful to all of our funders for their continued support.

5

Zest - Health for Life Limited

Trustees’ annual report

for the year ended 31st March 2021

Reserves policy

The Members consider that it is prudent to operate with a level of reserves to cover the following contingencies: redundancy and other costs in the event of the charity winding up through a substantial loss of funding; to provide working capital where contracts are paid in arrears; to finance existing or new activities until adequate external funding is obtained.

At 31st March 2021 the level of free reserves was £76,840 which is the cash balance in the deposit account. The reserves policy shows that the organisation needs to hold between £88,000 and £105,000 in reserves to allow for the above contingencies. During 2021-2022 the organisation hopes to achieve the level of reserves required by securing some unrestricted income from grants. This will be used to maintain charitable work on a short-term basis once funding has come to an end and before new funding has been secured. The policy is reviewed annually in March.

Plans for the future

Given the continued challenges relating to the COVID 19 pandemic, it is hard to make confident plans. However, Zest aims to continue to implement its three-strand fundraising strategy with the ultimate objective of remaining sustainable and diversifying its income streams to become less dependent on local authority funding and grants. We hope that the coming year will see the easing of restrictions which will allow us to fundraise directly again and fully open the Leeds Cookery School.

Funding – Zest will continue to apply to grant-making foundations and trust for money to both support creative community engagement work which helps achieves Zest’s social objectives and to generate management fees which support the core business costs. A target of £12,000 of management fees on new projects has been set for 2021/22. There are two large projects we are awaiting funding decisions for including a Fire Station Community Hub and Volunteering Development project Meet Me at the Fire Station), continuation for our lottery funded community development work. We are also anticipating the re-procurement process for the Better Together contract.

Direct Fundraising – 2020/21 was the third full year of this type of activity and we raised £3,818 (after costs of fundraising were deducted) of our target £10,000, significantly lower due to the COVID 19 pandemic. This was raised through a combination of activities including corporate partner initiatives, sponsored events, prize draws and sales. We have set a target of £20,000 to raise through this strand in 2021/22.

Social Enterprise – Leeds Cookery School

We hope to be able to resume trading as soon as possible and build the business. We have set a target of £30,000 to raise in 2021/22.

Structure, governance and management

Recruitment, appointment and induction of trustees

Appointment of Trustees is governed by the Memorandum and Articles of Association. The Management Committee is authorised to appoint new members to fill vacancies arising through resignation or death of an existing Member. Membership of the Management Committee is reviewed annually and the confirmation or retirement of Members will be considered at the Annual General Meeting.

6

Zest - Health for Life Limited

Trustees’ annual report

for the year ended 31st March 2021

As part of a Good Governance action plan, the Trustees follow a protocol for the recruitment and induction of new Trustees, which ensures effective understanding of the trustee role and mutual expectations from the beginning. Prospective Trustees are invited to visit Zest projects and meet with the CEO /Deputy CEO before having a discussion with the Chair and observing a Management Committee meeting. If both sides agree to proceed the formal application process will then take place via an application form, and relevant training offered to the new trustee.

Organisational Structure

The Management Committee, meets bi-monthly. On a day to day basis management is delegated to the CEO Susie Brown and Senior Management Team – Dominic Charkin (Operations Manager), Vicky Elswood (Finance Manager) and Simon Chappelow (Food Projects Manager). There is an HR sub group of the Management Committee which convenes quarterly to review salaries, review policies and to oversee substantive HR issues such as restructures, new post creation and disciplinary proceedings.

Leeds Cookery School (LCS) is an incorporated business, wholly owned by Zest, which donates 100% of its profits to Zest. Two members of its board remain on the Zest Management Committee whilst the Chair and other members are independent. The LCS board is therefore able to make independent business decisions, but submits reports to the Zest Management Committee which retains oversight of activity and finances, and whose primary aim is to protect the charity from any financial losses incurred by the cookery school.

The organisation is a charitable company limited by guarantee, incorporated on 2/08/2007 and registered as a charity on 10/09/2008.

The company was established under a memorandum of association which established the objects and powers of the charitable company and is governed under its articles of association.

Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up. The total number of such guarantees at Mar 2021 was 5. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.

All trustees give their time voluntarily and receive no benefits from the charity. Any expenses reclaimed from the charity are set out in note 10 to the accounts.

Related parties and relationships with other organisations

Leeds Cookery School

Overview

Leeds Cookery School (LCS) was established in September 2017 as a trading subsidiary of Leeds charity Zest – Health for Life. Following a business review, Zest developed a three-strand fundraising strategy to reduce its reliance on local authority grant and contract funding, and to generate unrestricted income to ensure the charity’s survival. LCS is an independent social enterprise wholly owned by the charity, and Gift Aids 100% of any profit to Zest.

LCS was formally constituted in September 2017, with founder directors consisting of two trustees of Zest who have specific food industry experience and now provide continuity by sitting on both boards,

7

Zest - Health for Life Limited

Trustees’ annual report

for the year ended 31st March 2021

and two independent directors with relevant food knowledge and experience. One of the independent directors serves as Chair. The Zest CEO also sits on the board of directors, and the Zest finance manager is Company Secretary.

Objectives

The overriding objective of LCS is to generate income to support the work of the Zest charity. Other objectives are:

Risk Management

Finance and operational overview reports are made by LCS at each Zest trustee meeting but the division is clear; the LCS board concentrates on directing the business and ensuring profitability whilst the Zest board seeks to protect the charity from any financial liabilities or losses caused by the LCS.

The finance manager and LCS manager meet regularly each month to review cashflow, future booking levels and expenditure. Regular LCS team meetings inform the schedule and marketing campaigns. The LCS board meets bi-monthly and retains a strategic overview of business operations and profitability. Achievements and Performance

Orion Consortium

Zest is part of a consortium – Orion – comprising of four like-minded Leeds charities working with similar social objectives and values. The four Orion partners – Feel Good Factor, Space 2 and Shantona collaborate on a variety of funding bids and resulting projects, with each organisation acting as the lead partner on occasion, and sub-contracting the other partners to deliver parts of the project work. A partnership agreement is put in place for each project, and a conflict resolution protocol is also available should the need ever arise. Staff members from all four organisations work closely together at all levels and share resources, line management responsibilities and reporting accountabilities.

Remuneration policy for key management personnel

An organisational Remuneration Policy is in place which outlines the procedures followed on an annual basis. A salary band table is in place which is reviewed annually in March, and all new jobs are evaluated and allocated a banding within this structure. Salary Reviews take place annually in March and the HR Sub Group makes recommendations for the board of trustees to ratify. Salary increases are not automatic or on an incremental basis but aside from any general cost of living rise, are awarded on the basis of increased responsibility and demonstrable personal development. Employees would expect to be at the middle of their salary band when competently fulfilling all aspects of their job.

8

Zest - Health for Life Limited

Trustees’ annual report

for the year ended 31st March 2021

Risk Management

The Members have examined the major strategic, business and operational risks that Zest faces and confirm that systems have been established to lessen these risks. A risk register is in place which is reviewed annually and input is made by both the IT and HR consultants which Zest retains as specialist advisers.

Funds held as custodian trustee on behalf of others

Not applicable

9

Zest - Health for Life Limited

Trustees’ annual report

for the year ended 31st March 2021

Statement of responsibilities of the trustees

The trustees (who are also directors of Zest - Health for Life Limited for the purposes of company law) are responsible for preparing the trustees’ annual 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:

The trustees are responsible for keeping proper 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.

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.

This report has been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime of the Companies Act 2006.

The trustees’ annual report has been approved by the trustees on ___2021 and signed on their behalf by

Dan Barnett

Chair

10

Independent examiner’s report

to the members of

Zest - Health for Life Limited

I report to the charity trustees on my examination of the accounts of the company for the year ended 31[st] March 2021 which are set out on pages 12 to 31.

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 company’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 Association of Chartered Certified Accountants, 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 that in any material respect:

  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 (FRS 102).

I have no concerns and have come across no other 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.

Catherine Hall FCCA DChA

Slade & Cooper Limited Beehive Mill, Jersey Street Manchester, M4 6JG

Date________

11

Zest - Health for Life Limited

Statement of Financial Activities

(including Income and Expenditure account) for the year ended 31 March 2021

Unrestricted
funds
Note
£
Income from:
Donations and legacies
3
70,451
Charitable activities:
4
Community Health
10,252
Investments
5
68
Total income
80,771
Expenditure on:
Charitable activities:
6
Community Health
31,334
Total expenditure
31,334
8
49,437
Transfer between funds
-
Net movement in funds for the year
49,437
Reconciliation of funds
Total funds brought forward
72,807
Total funds carried forward
122,244
Net income/(expenditure) for the
year		 Restricted
funds
£
3,143
446,989
-
450,132
436,060
436,060
14,072
-
14,072
57,040
71,112		 Total funds
2021
£
73,594
457,241
68
530,903
467,394
467,394
63,509
-
63,509
129,847
193,356		 Total funds
2020
£
12,345
547,686
314
560,345
511,080
511,080
49,265
-
49,265
80,582
129,847

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

12

Zest - Health for Life Limited Company number 6332267

Balance sheet as at 31 March 2021

Note
£
£
Fixed assets
Tangible assets
13
-
Total fixed assets
-
Current assets
Debtors
14
21,511
Cash at bank and in hand
15
198,731
Total current assets
220,242
Liabilities
Creditors: amounts falling
due in less than one year
16
(26,886)
Net current assets
193,356
Total assets less current liabilities
193,356
Net assets
193,356
The funds of the charity:
Restricted income funds
17
71,112
Unrestricted income funds
18
122,244
Total charity funds
193,356
2021		 £
£
-
-
80,477
96,208
176,685
(46,838)
129,847
129,847
129,847
57,040
72,807
129,847
2020		 £
£
-
-
80,477
96,208
176,685
(46,838)
129,847
129,847
129,847
57,040
72,807
129,847
2020
-
129,847
129,847
129,847
57,040
72,807
129,847

For the year in question, the company was entitled to exemption from an audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

These accounts are prepared in accordance with the special provisions of part 15 of the Companies Act 2006 relating to small companies and constitute the annual accounts required by the Companies Act 2006 and are for circulation to members of the company.

The notes on pages 15 to 31 form part of these accounts.

Approved by the trustees on //____ and signed on their behalf by:

Dan Barnett (Chair)

13

Zest - Health for Life Limited

Statement of Cash Flows for the year ending 31 March 2021

Note
2021
£
Cash provided by/(used in) operating activities
22
102,455
Cash flows from investing activities:
Dividends, interest, and rents from investments
68
Cash provided by/(used in) investing activities
68
102,523
Cash and cash equivalents at the beginning of the year
96,208
Cash and cash equivalents at the end of the year
198,731
Increase/(decrease) in cash and cash
equivalents in the year		 2020
£
(3,242)
314
314
(2,928)
99,136
96,208

14

Zest - Health for Life Limited

Notes to the accounts for the year ended 31 March 2021

1 Accounting policies

The principal accounting policies adopted, judgments and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

a 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 (FRS 102), second edition - October 2019 (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006 and UK Generally Accepted Accounting Practice.

Zest - Health for Life Limited 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.

b Preparation of the accounts on a going concern basis

The trustees consider that there are no material uncertainties about the charitable company's ability to continue as a going concern. The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the next reporting period.

15

Zest - Health for Life Limited

Notes to the accounts for the year ended 31 March 2021 (continued)

c Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably.

Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

For legacies, entitlement is taken as the earlier of the date on which either: 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 charity 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 provision of a specified service is deferred until the criteria for income recognition are met.

d Donated services and facilities

Donated professional services and donated 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. In accordance with the Charities SORP (FRS 102), general volunteer time is not recognised; refer to the trustees’ annual report for more information about their contribution.

On receipt, donated professional services and donated 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.

e Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the Bank.

16

Zest - Health for Life Limited

Notes to the accounts for the year ended 31 March 2021 (continued)

f Fund accounting

Unrestricted funds are available to spend on activities that further any of the purposes of charity.

Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose.

Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity’s work or for specific projects being undertaken by the charity.

g 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:

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

h Allocation of support costs

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back office costs, finance, personnel, payroll and governance costs which support the charity's programmes and activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities. The bases on which support costs have been allocated are set out in note 7.

i Operating leases

Operating leases are leases in which the title to the assets, and the risks and rewards of ownership, remain with the lessor. Rental charges are charged on a straight line basis over the term of the lease.

j Tangible fixed assets

Individual fixed assets costing £1,000 or more are capitalised at cost and are depreciated over their estimated useful economic lives on a straight line basis as follows:

Computer equipment Office fixtures and equipment

33% straight line 25% straight line

17

Zest - Health for Life Limited

Notes to the accounts for the year ended 31 March 2021 (continued)

k Debtors

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

l 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.

m 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.

n Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

o Pensions

Employees of the charity are entitled to join defined contribution schemes in respect of its employees. The assets of these schemes are entirely separate to those of the charity. The pension cost shown represents the contributions payable by the charity in respect of the employees.

There were pension payments outstanding at the year end of £Nil (2020: £2,077.46)

2 Legal status of the charity

The charity is a company limited by guarantee registered in England and Wales and has no share capital. 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 registered office address is disclosed on page 1.

18

Zest - Health for Life Limited

3 Income from donations and legacies

Notes to the accounts for the year ended 31 March 2021 (continued)

Current reporting period
Donations
Grants
Garfield Weston
Leeds City Council
Total
Previous reporting period
Donations
Total		 Unrestricted
£
4,451
30,000
36,000
70,451
Unrestricted
£
12,345
12,345		 Restricted
£
-
-
3,143
3,143
Restricted
£
-
-		 Total 2021
£
4,451
30,000
39,143
73,594
Total 2020
£
12,345
12,345

19

Zest - Health for Life Limited

4 Income from charitable activities

Notes to the accounts for the year ended 31 March 2021 (continued)

Current reporting period
Big Lottery
Community Foundation
ENC Communities Team
Feel Good Factor
Food Power
GFS Community Enterprise
Leeds City Council
Leeds Community Foundation
Reed Wellbeing
Soil Association
Space2
University of Leeds
Other income
Total
Previous reporting period
Big Lottery
Feel Good Factor
Food Power
Leeds City Council
Leeds Community Foundation
Reed Wellbeing
RERF
Shantona Womens Centre
Soil Association
Space2
University of Leeds
Community Fund
Sustainable Food City
Income from activities
Other income
Total		 Unrestricted
£
-
-
242
3,200
-
1,149
-
-
-
-
5,631
-
30
10,252
Unrestricted
£
-
-
-
-
-
-
-
-
-
10,851
-
-
-
4,973
1,166
16,990		 Restricted
£
47,900
-
1,693
93,074
33,975
559
10,000
33,947
179,394
11,000
33,035
300
2,112
446,989
Restricted
£
114,808
90,165
4,719
5,022
84,150
175,290
771
7,980
14,000
10,133
5,000
8,988
4,000
-
5,670
530,696		 Total 2021
£
47,900
-
1,935
96,274
33,975
1,708
10,000
33,947
179,394
11,000
38,666
300
2,142
457,241
Total 2020
£
114,808
90,165
4,719
5,022
84,150
175,290
771
7,980
14,000
20,984
5,000
8,988
4,000
4,973
6,836
547,686

20

Zest - Health for Life Limited

Notes to the accounts for the year ended 31 March 2021 (continued)

5 Investment income Current reporting period

Income from bank deposits

Previous reporting period

Income from bank deposits

Unrestricted
£
68
68
Unrestricted
£
314
314		 Restricted
£
-
-
Restricted
£
-
-		 2021
£
68
68
2020
£
314
314

21

Zest - Health for Life Limited

6 Analysis of expenditure on charitable activities

Notes to the accounts for the year ended 31 March 2021 (continued)

Current reporting period
Community Health
£
Staff costs
260,672
Accommodation
23,929
Project costs
54,390
6,667
121,736
467,394
Previous reporting period
Community Health
£
Staff costs
274,715
Accommodation
38,613
Project costs
98,885
7,541
91,326
511,080
2021
£
Restricted expenditure
436,060
Unrestricted expenditure
31,334
467,394
Governance costs
(see note 7)
Support costs (see
note 7)
Governance costs
(see note 7)
Support costs (see
note 7)		 Total 2021
£
260,672
23,929
54,390
6,667
121,736
467,394
Total 2020
£
274,715
38,613
98,885
7,541
91,326
511,080
2020
£
485,197
25,883
511,080

22

Zest - Health for Life Limited

Notes to the accounts for the year ended 31 March 2021 (continued)

7 Analysis of governance and support costs

Current reporting period
Basis of
apportionment
Staff costs
Time spent
Office costs
Floor area
Accountancy services
Governance
Legal and professional
Governance
Previous reporting period
Basis of
apportionment
Staff costs
Time spent
Office costs
Floor area
Accountancy services
Governance
Legal and professional
Governance		 Support
£
101,695
20,041
-
-
121,736
Support
£
78,618
12,708
-
-
91,326		 Governance
£
-
-
1,680
4,987
6,667
Governance
£
-
-
1,380
6,161
7,541		 Total 2021
£
101,695
20,041
1,680
4,987
128,403
Total 2020
£
78,618
12,708
1,380
6,161
98,867

23

Zest - Health for Life Limited

Notes to the accounts for the year ended 31 March 2021 (continued)

8 Net income/(expenditure) for the year

This is stated after charging/(crediting): 2021 2020
£ £
Operating lease rentals:
Property 20,000 20,000
Other 665 351
Independent examiner's fee 1,680 1,830

9 Staff costs

Staff costs during the year were as follows:

Wages and salaries
Social security costs
Pension costs
Agency costs
Recruitment
Staff training
Travel expenses
Allocated as follows:
Charitable activities
Support costs		 2021
£
323,561
25,154
10,600
-
850
2,002
200
362,367
260,672
101,695
362,367		 2020
£
286,025
26,961
16,380
16,840
705
3,954
2,468
353,333
274,715
78,618
353,333

No employees has employee benefits in excess of £60,000 (2020: Nil).

The average number of staff employed during the period was 25 (2020: 20). The average full time equivalent number of staff employed during the period was 17 (2020: 14).

The key management personnel of the charity comprise the trustees and the Senior Management Team. The total employee benefits of the key management personnel of the charity were £122,800 (2020: £122,500).

24

Zest - Health for Life Limited

Notes to the accounts for the year ended 31 March 2021 (continued)

10 Trustee remuneration and expenses, and related party transactions

Neither the management committee nor any persons connected with them received any remuneration or reimbursed expenses during the year (2020: Nil).

No members of the management committee received travel and subsistence expenses during the year of £Nil (2020:£0).

Aggregate donations from related parties were £Nil (2020: £0).

There are no donations from related parties which are outside the normal course of business and no restricted donations from related parties.

No trustee or other person related to the charity had any personal interest in any contract or transaction entered into by the charity, including guarantees, during the year (2020: nil).

The Charity has one Subsidiary:

Leeds Cookery School Ltd, registered on 5th December, a company Limited by shares, Company number - 11098044

2021 2020
£ £
Transactions in the period Comprise
Recharge of expenses to Subsidiary 116,753 18,049
Services provided by Subsidiary (21,970) (317)
Balance owed by/(to) the Subsidiary at period end 15,773 39,113

25

Zest - Health for Life Limited

Notes to the accounts for the year ended 31 March 2021 (continued)

11 Government grants

The government grants recognised in the accounts were as follows:

Leeds City Council 2021
£
49,143
49,143		 2020
£
5,022
5,022

There were no unfulfilled conditions and contingencies attached to the grants.

12 Corporation tax

The charity is exempt from tax on income and gains falling within Chapter 3 of Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. No tax charges have arisen in the charity.

13 Fixed assets: tangible assets

Cost
Additions
Disposals
Depreciation
Charge for the year
Disposals
Net book value
At 1 April 2020
At 31 March 2021
At 1 April 2020
At 31 March 2021
At 31 March 2021
At 31 March 2020		 Office
equipment
£
860
-
-
860
860
-
-
860
-
-		 £
860
-
-
Total
860
860
-
-
860
-
-

26

Zest - Health for Life Limited

Notes to the accounts for the year ended 31 March 2021 (continued)

14 Debtors

14
Debtors
2021
£
Amounts owed by group undertakings
15,568
Other debtors
4,178
Prepayments and accrued income
1,765
21,511
15
Cash at bank and in hand
2021
£
Cash at bank and on hand
198,731
198,731
16
Creditors: amounts falling due within one year
2021
£
Other creditors and accruals
17,015
Taxation and social security costs
9,871
26,886		 2020
£
41,889
35,458
3,130
80,477
2020
£
96,208
96,208
2020
£
37,854
8,984
46,838

27

Zest - Health for Life Limited

Notes to the accounts for the year ended 31 March 2021 (continued)

17 Analysis of movements in restricted funds

Balance at
1 April
2020
£
Community Health
Better Together
-
Caring Dads
3,215
CCV Volunteering
-
Developing You
-
Eat Dance Love
(365)
-
Food Power
4,310
Food Resilience
-
-
-
Henry Smith
13,712
Holiday
Hunger
(1)
Impact
7,822
Impact 2
-
Leeds MOF
3,561
Leeds Soup
846
Lottery - Covid
-
-
Make and Take
-
Manbassodors
1,888
7,218
Men that Munch
(1,636)
MMATOFS
-
MMR
1,200
Prevent & Support
-
-
6,278
Veg Cities
8,992
Total
57,040
Health &
Wellbeing Post
Lockdown
Meet Me
Downstairs
Family Health
Project (HATCH)
Current reporting
period
Sustainable Food
Cities
Good Food
Movement
Lottery -
Loneliness
Stay Well This
Winter		 Income
£
83,301
-
1,000
559
-
4,805
7,219
2,483
4,000
1,693
23,850
-
-
8,591
183,820
-
47,900
1,000
24,073
4,008
-
10,133
16,120
-
5,742
1,506
18,329
-
450,132		 Expenditure
£
(83,301)
-
(1,000)
(559)
365
(4,712)
(7,247)
(385)
(59)
(1,693)
(31,466)
-
(7,822)
(3,754)
(163,244)
-
(47,900)
(1,000)
(17,975)
(5,896)
(7,218)
(8,497)
(13,595)
(1,200)
(30)
(1,506)
(20,803)
(5,563)
(436,060)		 Transfers
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-		 Balance at
31 March
2021
£
-
3,215
-
-
-
93
4,282
2,098
3,941
-
6,096
(1)
-
4,837
24,137
846
-
-
6,098
-
-
-
2,525
-
5,712
-
3,804
3,429
71,112

28

Zest - Health for Life Limited

17 Analysis of movements in restricted funds (Continued)

Notes to the accounts for the year ended 31 March 2021 (continued)

Balance at
1 April
2019
£
Community Health
-
BSBT
-
Cook Eat Chat
-
DWELL
-
Eat Dance Love
-
Food Power
-
HAP (Cultural Even
-
Henry Smith
7,481
Holiday Hunger
(1)
Impact
-
Leeds
MOF
-
Leeds Soup
846
Manbassodors
-
Meet Me Downstair
-
Men that Munch
-
MMR
-
Youth Activities
-
Yorkshire More
-
Sustainable Food C
-
Veg Cities
-
Caring Dads
3,215
Total
11,541
Better Together
Previous reporting
period		 Income
£
83,487
7,980
8,988
114,808
771
4,718
500
48,686
-
9,868
180,360
-
5,478
19,657
10,133
1,200
3,137
600
21,325
9,000
-
530,696		 Expenditure
£
(83,487)
(7,980)
(8,988)
(114,808)
(1,136)
(408)
(500)
(42,455)
-
(2,046)
(176,799)
-
(3,590)
(12,439)
(11,769)
-
(3,137)
(600)
(15,047)
(8)
-
(485,197)		 Transfers
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-		 Balance at
31 March
2020
£
-
-
-
-
(365)
4,310
-
13,712
(1)
7,822
3,561
846
1,888
7,218
(1,636)
1,200
-
-
6,278
8,992
3,215
57,040

Name of restricted fund Description, nature and purposes of the fund

Better Together (Public Health)

As part of the Orion Partnership, this is a 3 year contract to deliver community activity in the NE Leeds. Started April 2018.

DWELL

This project is funded by the Big Lottery with the aim of improving the social and physical wellbeing of isolated and disadvantaged people in east Leeds. Activities started in April 2017.

Henry Smith

Project to cover a range of activities to promote men's health.

Leeds MoF (Ministry of Food)

City wide cooking skills programme to engage and motivate vulnerable adults to prepare healthy food at home.

Make and Take

A family cooking programme to ensure children worst affected by the lockdown had access to health, affordable and nutritious meals.

MMATOFS

A range of weekly activities for socially isolated people who live within a 2 mile radius of the Old Fire Station.

Sustainable Food Cities

National network to support healthy sustainable food. Funded by Leeds City Council and match funded by the University of Leeds.

29

Zest - Health for Life Limited

Notes to the accounts for the year ended 31 March 2021 (continued)

18 Analysis of movement in unrestricted funds

Balance
at 1 April
2020
£
66,627
1,243
10,000
9,955
10,175
Leeds Cookery School
(25,193)
72,807
Balance
at 1 April
2019
£
62,861
1,243
10,000
9,955
10,175
Leeds Cookery School
(25,193)
69,041
Reed Momenta -
Current reporting
period
Volunteering fund
Fire station fund
Fundraising
Reed Momenta -
MOF
General fund
Previous reporting
period
General fund
Volunteering fund
Fire station fund
Fundraising		 Income
£
80,771
-
-
-
-
-
80,771
Income
£
29,649
-
-
-
-
-
29,649		 Expenditure
£
(31,334)
-
-
-
-
-
(31,334)
Expenditure
£
(25,883)
-
-
-
-
-
(25,883)		 Transfers
£
10,000
-
(10,000)
-
-
-
-
Transfers
£
-
-
-
-
-
-
-		 As at 31
March 2021
£
126,064
1,243
-
9,955
10,175
(25,193)
122,244
As at 31
March
2020
£
66,627
1,243
10,000
9,955
10,175
(25,193)
72,807

Name of unrestricted fund Description, nature and purposes of the fund

General fund The free reserves after allowing for all designated funds

Volunteering fund This amount has been put aside to support volunteers

Fire station

This amount has been put aside to support the business plan in respect of the proposed moved to Gipton Fire Station.

Leeds Cookery Costs associated with the set up of the cookery school before School incorporation

Reed Momenta - This amount has been ring fenced for the relocation and refurbishment of MOF the new site in Leeds market.

30

Zest - Health for Life Limited

Notes to the accounts for the year ended 31 March 2021 (continued)

19 Analysis of net assets between funds

Current reporting period
Tangible fixed assets
Net current assets/(liabilities)
Total
Previous reporting period
Tangible fixed assets
Net current assets/(liabilities)
Total		 General
fund
£
-
126,064
126,064
General
fund
£
-
66,627
66,627		 Designated
funds
£
-
(3,820)
(3,820)
Designated
funds
£
-
6,180
6,180		 Restricted
funds
£
-
71,112
71,112
Restricted
funds
£
-
57,040
57,040		 Total
£
-
193,356
193,356
Total
£
-
129,847
129,847

21 Operating lease commitments

The charity's total future minimum lease payments under non-cancellable operating leases is as

Less than one year
One to five years
Over five years		 2021
2020
£
£
20,000
20,000
80,000
80,000
25,000
45,000
125,000
145,000
Property		 2021
2020
£
£
-
531
-
-
-
-
-
531
Equipment		 2021
2020
£
£
-
531
-
-
-
-
-
531
Equipment
531

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

Net income/(expenditure) for the year
Adjustments for:
Dividends, interest and rents from investments
Decrease/(increase) in debtors
Increase/(decrease) in creditors
Net cash provided by/(used in) operating		 2021
£
63,509
(68)
58,966
(19,952)
102,455		 2020
£
49,265
(314)
(43,282)
(8,911)
(3,242)

31