**(a charitable company limited by guarantee)** and subsidiary company 

Annual Report and Consolidated Financial Statements 

Year ended: 31 March 2022 

Registered Charity No. 1129019 Registered Company No. 06848040 



## **Belper Leisure Centre Limited (a charitable company limited by guarantee) and subsidiary company** 

Group Annual Report and Financial Statements 

## Year ended: 31 March 2022 

Registered Charity No. 1129019 Registered Company No. 06848040 


|Contents|Pages|
|---|---|
|**Group Annual Report**|**1 to 17**|
|**Consolidated Statement of Financial Activities**|**18**|
|**Consolidated Balance Sheet**|**19**|
|**Company Balance Sheet**|**20**|
|**Consolidated Statement of Cash Flows**|**21**|
|**Notes to the Accounts**|**22 to 32**|
|**Directors’/Trustees’ Responsibilities**|**33**|
|**Auditors’ Report**|**34 to 36**|





## **BELPER LEISURE CENTRE LIMITED (a charitable company limited by guarantee) and subsidiary company** 

## **Group Annual Report for the year ended 31 March 2022** 

The trustees, who are also directors, are pleased to present their report and group accounts for the year ended 31 March 2022. This report combines the charity trustees’ annual report and the directors’ annual report as required by company law. 

## **Constitution** 

By virtue of the Memorandum and Articles of Association dated 12 March 2009 the Charity is known as ‘Belper Leisure Centre Limited’. 

## **Registered Charity Number:** 

1129019 

## **Registered Company Number:** 

06848040 

## **Registered Office and Principal Office:** 

John O’Gaunts Way Kilbourne Road Belper Derbyshire DE56 0DA 

## **All Correspondence to:** 

Mrs Rachael Vickers Chief Executive Officer Belper Leisure Centre John O’Gaunts Way Kilbourne Road Belper Derbyshire DE56 0DA 

**Auditors:** C J Lucking & Co 34 Cross Street, Long Eaton, Nottingham NG10 1HD **Bankers:** Handelsbanken The Arc, 6 Mallard Way, Pride Park, Derby DE24 8GX **Solicitors:** Flint Bishop St Michael’s Court, St Michael’s Lane, Derby DE1 3HQ 

**Subsidiary:** Belper Sports Centre Services Limited John O’Gaunts Way, Kilbourne Road, Belper, Derbyshire DE56 0DA Registered company number 03538305 

1 



## **BELPER LEISURE CENTRE LIMITED (a charitable company limited by guarantee) and subsidiary company** 

## **Group Annual Report for the year ended 31 March 2022 (continued)** 

**Members, Directors and Officers serving during the year and since the year end were as follows:** 

## **Members:** 

The Governing Body of Belper School Nominated member representative: Mr S Gregson Derbyshire County Council Nominated member representative: Councillor D Taylor (resigned 2 September 2021) Councillor J Nelson (appointed 3 September 2021) 

Independent members: Mr A Evans Mr B Murphy Miss H Burton Mrs S Gamblin (appointed 1 August 2021) Nominated Chair: Mr A Evans **Directors and Trustees:** Mr A Evans Mr B Murphy Miss H Burton Mrs M Wesson Councillor P Makin (retired 30 June 2021) Mrs S Gamblin (appointed 1 August 2021) 

Governing Body of Belper School Nominated Director: Mrs M Wesson 

Derbyshire County Council Nominated Director: 

No longer considered required 

Councillor P Makin (retired 30 June 2021) 3 September 2021 

## **Officers:** 

## **Chief Executive Officer:** 

Mr N Malenoir (retired 20 August 2021) Mrs R Vickers (appointed 21 August 2021) 

## **Finance Manager and Company Secretary:** Mr A Bosley 

2 



## **Principal Activity** 

The principal activity of the charitable company and its subsidiary company is the provision of facilities for swimming and other educational, sporting and recreational activities for schools and the local community. 

## **Structure, Governance and Management** 

Belper Leisure Centre Limited is a company limited by guarantee, incorporated in England, and a registered charity governed by the Memorandum and Articles of Association dated 12 March 2009. 

The Company was formed following a Charity Commission Review Visit during September 2006, when it was confirmed that a fundamental review of the governance of the Charity was required. The Trust subsequently met with all of the requirements of the Review and commenced operations as a charitable company limited by guarantee in April 2009. 

This report includes the activities of the wholly owned subsidiary, Belper Sports Centre Services Limited. 

## **Appointment of Directors** 

Belper School and Derbyshire County Council each have the right, while they are members of the Charity, to appoint one nominee Director to the board. Other Directors can be appointed by the members at a general meeting or by the Directors. However, when Councillor Peter Makin retired as a DCC Councillor and subsequently as their Director/representative it was agreed with DCC that they would no longer be required to provide a Director but would continue to provide a member representative only. 

If a person is appointed by the Directors that person must retire at the next general meeting of members and stand for re-election if they wish. 

## **Director Induction and Training** 

With the assistance of the Charity’s legal advisers and the Company Secretary, newly appointed Directors are advised of their responsibilities and duties as Directors of a Charitable Company registered under the Companies Act 2006. Newly appointed Directors are also given a breakdown of the activities of the Charity by the Chief Executive Officer of the Company. Ongoing advice and guidance is provided by the Company’s legal advisers. 

## **Organisation** 

The Board of Directors is made up of one nominated Director from each of the Corporate Members (refer to Appointment of Directors) and four independent Directors, who effectively administer the Charity. The Board undertook to meet approximately every twelve weeks. 

The Chief Executive Officer of the Charity continues to be responsible for all day-to-day operations. In order to facilitate this responsibility, the Chief Executive Officer has delegated authority, within approved parameters, for all operational matters including finance, employment and Charity related activities. 

The Chief Executive Officer’s remuneration is based on a post carrying similar all-round responsibility for the overall management and development of an organisation within the private sector. Other senior posts are based on similar private/public sector positions in conjunction with added responsibilities conducive to an independent charitable company. 

3 



## **Organisation (continued)** 

During the year the following organisations provided the Charity with professional assistance: 

Legal services were provided by Flint Bishop Solicitors. Personnel services were provided by a Personnel Officer operating with consultancy support from Flint Bishop Solicitors. 

The Charity commissioned a statutory audit during the year that was undertaken by C J Lucking & Co. 

## **Related Parties** 

The Charity continued to operate under a formal Service Level Agreement with Amber Valley Borough Council (AVBC) for the delivery of referral care for residents of Amber Valley (figures relating to this activity are contained within this report). 

AVBC continued to provide a grant for community leisure to the Company. The Company maintained a ‘Contract for Services’ with Derbyshire County Council (for the provision of swimming pool time for Area School Swimming Lessons) and worked towards a Service Level Agreement with Belper School for Physical Education and examination provision. 

In respect of the above arrangements a summary of the financial transactions with these organisations is contained within the accounts. 

A Trading Company, Belper Sports Centre Services Limited continued to provide facilities including catering and vending services, on behalf of the Charity. The licensed bar did not operate during the year. The Trading Company was granted a ‘Licence to Occupy’ by the Charity and any profits that arise are gift aided to the Charity. The activities of both companies have been consolidated in these accounts. 

## **Organisation Structure** 

The Charity is controlled by the Board of Directors. 

## **Risk Management** 

The Charity recognised that risks arise from operational, non-operational, financial and nonfinancial risks areas and undertook to mitigate such by way of a comprehensive Risk Management process. 

In respect of this the Charity undertook to ensure that all risks as known and understood, in relation to the activities of the Charity, were mitigated by appropriate management systems, practices and procedures. Reviews continued to be undertaken annually or as required on an ongoing basis. 

It is to be considered that the focus on risk has continued to ensure better forward planning and has determined a much greater emphasis on service standards, operational policies and procedures. To this end the Charity’s accrued reserves have, to an extent, mitigated the financial effects of the Pandemic. 

4 



## **Objects and Activities** 

The Charity’s Objects continued as being: 

_To provide, or assist in the provision of, facilities for education (including but not limited to satisfying the National Curriculum, examination and extra curriculum needs) of Belper School and local schools (including without limitation primary schools and secondary schools); and_ 

_To provide or assist in the provision of facilities in the interests of social welfare for recreation or other leisure time education of persons who have need of such facilities by reason of their youth, age, infirmity or disablement, poverty or social and economic circumstances with the object of improving their conditions of life._ 

_The Charity shall ensure that both objects are pursued with equal importance._ 

To this end the Charity continued to: 

- Provide Physical Education and Swimming facilities to Belper School and Area Primary Schools. 

- Maintain a close working relationship with the Belper School (shared campus). 

- Offer a varied range of activities for people of all ages, regardless of background or ability. 

- Work actively with Partner organisations. 

- Provide a leisure discount card facility for residents and non-residents. 

- Provide customers with a wide range of club and casual sports/leisure facilities and a varied social programme of events. 

- Assist clubs in the provision of junior activities. 

- Actively develop facilities for purposes of access and equality. 

- Provide a comprehensive Junior and Senior Learn to Swim Programme. 

- Provide customers with a varied social programme of leisure activities. 

- Lobby customers through a Customer Comments scheme and User Surveys. 

- Provide a range of sports development on behalf of AVBC. 

## **Strategic report** 

In determining the Charity’s strategic aims and activities the Trustees have had regard to the Charity Commission’s guidance on public benefit. The Charity’s facilities enabled three key areas of activity for the public benefit to be undertaken; education, community and social, however the Charity’s primary purpose continued to provide for two key areas of activity which were educational and community leisure. The third area of activity, _social,_ is in the main administered by the Trading Company on behalf of the Charity. 

The education programme primarily involved Belper School, who hold a formal Service Level Agreement (SLA) with the Charity for the provision of PE/examination facilities. The SLA specifies the facilities available and the times covered, scope of use, appeals and arbitration process, prime contacts and monitoring and charging agreements. Further, the Charity continued to maintain communication and operational links with Belper School throughout the year. 

5 



## **Strategic report (continued)** 

The Charity also held an SLA with Derbyshire County Council to provide a swimming facility for area primary schools. 

Community leisure was undertaken in two ways: 

- By way of a Grant Agreement with AVBC. 

- By way of both casual and structured activity programmes. 

The grant from AVBC contributes towards leisure/activity availability and a proposal for core activities in line with other leisure organisations within the Borough. 

The Charity commenced the 2021/22 year under the strict Government conditions for operating during the Covid 19 pandemic. The Charity worked through this process successfully operating both casual and structured activity programmes aimed at providing the community with a variety of leisure activities. 

Not all activities and club usage were able to operate from 12[th] April 2021; ones that did were subject to stringent Government guidelines which continued to change throughout the first part of the year. Therefore, the Charity agreed with AVBC that the Key Performance Indicators provided in the Annual ‘Healthy Lifestyle Report’ would not be included in this year’s report. 

## **Achievements and Performance** 

## **BLC 3G Football Turf Pitch Football Development Plan April 2021 – March 2022** 

Despite the various lockdowns that ended in April 2021, the 3G pitch and football at Belper Leisure Centre has continued to be strong. 

The programme included a structured pathway of initiatives and programmes which catered for a wide range of the community in terms of age groups, genders, and inclusivity. 

## **The Objectives:** 

In line with the FA's National Game Strategy and Derbyshire County FA's Strategy: 

- Growth and Retention 

- Raising Standards 

- Better Players 

- Running the Game 

- Workforce Development 

- Facilities 

6 



## **Achievements and Performance (continued)** 

**BLC 3G Football Turf Pitch Football Development Plan April 2021 – March 2022 (continued)** 

## **Belper Sports Football Club** 

As part of the operational development of the 3G pitch, the Charity maintained communication with Belper Sports FC as a key partner of the Football Development Plan. The relationship with Belper Sports FC was initiated to combine the joint considerations and proposals for developing the worth of the 3G pitch along with furthering the aims and aspirations of Belper Sports FC. 

To this end, it is considered that the joint development approach will help to further the aims of local schools, clubs and community groups who wish to become involved at playing, coaching, or administering the game. 

Belper Leisure Centre is the training hub for the Club during the period September to April providing a training venue for boys and girls aged 7-16. 

7 



## **Achievements and Performance (continued)** 

**BLC 3G Football Turf Pitch Football Development Plan April 2021 – March 2022 (continued)** 

## **Community usage of the 3G Pitch** 

## **Adult/Junior Usage:** 

Bargate Rovers FC Belper Sports FC Belper Sports FC Academy Belper Sports Ladies FC Belper Town Academy (NPLFA) Belper Town Ladies FC Belper United FC Belper United Juniors Codnor Boys DCCT Talent Identification Programme DCCT Ability Counts Club Derby United Furniss 5v5 Holbrook St Michaels Holbrook St Michaels Juniors Howarth Loscoe AFC Millhouse 5v5 Pottery Players Ripley Town Spencer 5v5 and 7v7 Slater 5v5 St John’s Dads Truckers 

Over the course of a 12-month period, 38,183 block booking and casual booking users have used the 3G facility; this is up from 15,041 for the previous covid-hit year.  Junior usage of the facility slightly outweighs that of adult users (Juniors 19,839; Adults 18,344); whereas in 2020-21, adults used the pitch more than juniors. 

8 



## **Achievements and Performance (continued)** 

**BLC 3G Football Turf Pitch Football Development Plan April 2021 – March 2022 (continued)** 

## **Peak Season use:** 

During peak months of September to March the 3G pitch operates at full capacity between 18:00 – 21:00 with a small number of available slots between 17:00 – 18:00 and 21:00 – 22:00. Weekend usage has increased with the addition of more block bookings, regular twohour match bookings from Belper Sports FC on Sundays.  Due to the Covid pandemic Derbyshire FA Coach Education courses have been run online for the majority of the year, although 2 coach education sessions have been delivered. There is a move to more courses being delivered online. 

During a typical booking period in the peak period of September to March, most bookings are block-booked during this period.  Block bookings during 2021-22 are up to 87% (from 76% in 2020-21); this could partly be put down to the Covid pandemic, but also due to the need to clubs and groups wanting to secure a regular booking space. 

The 3G pitch is set-up to open 87 hours per week (Monday-Friday and Sunday 8am-10pm; Saturday 8am-6pm).  During the peak season (September to March), the pitch is utilised on average 40 hours per week. 

9 



**Achievements and Performance (continued)** 

**BLC 3G Football Turf Pitch Football Development Plan April 2021 – March 2022 (continued)** 

## **Peak Season use: (continued)** 

## **Off-season use:** 

Ordinarily there is a decrease in pitch usage throughout the summer months in terms of block bookings due to the break in the Football season. During the summer months and holiday periods our usage usually changes to camps, training days and festivals, such as: Derby County Community Trust (DCCT) holiday camps which run during the school holidays from 9:00–15:00, DCCT Talent Identification Programme (TIPs) events which run from 10:00–16:00, Walking Football Festivals 10:00–13:00. We still managed to maintain an excellent programme of usage by holiday camps and festivals throughout the year. 

Most usage during the Off-peak months is through the operation of holiday camps operated by DCCT, which operates Mon-Fri 9-3pm during school holidays. 

10 



## **Achievements and Performance (continued)** 

**BLC 3G Football Turf Pitch Football Development Plan April 2021 – March 2022 (continued** 

## **Off Season use: (continued)** 

## **Access and Equality** 

The Charity commenced the 2021/22 year under the strict Government conditions for operating during the Covid 19 pandemic. Government and governing body advice was strictly maintained with restrictions only being lifted when feasible to do so throughout the year. As previously stated on page six not all activities or club usage was able to commence from 12[th] April 2021. 

The Charity continued to operate in accordance with the accreditation received from the Quest award (July 2021) and the Royal Life Saving Society (RLSS). In addition, the Charity maintained a registration with UK Active throughout the year. 

With regards to access and equality, the stroke club started back September 2021 with a total of 380 visits. Palms Health and Fitness Suite continued to host regular visits from the Holbrook School for Autism and the Whitemoor Day Centre, (an accessible centre with specialist equipment for people with profound and multiple learning disabilities). Providing both facilities with a highly regarded exercise and social benefits programme, 66 visits were made throughout the year. 

Additionally, 312 visits were made to Palms Health and Fitness from customers living with a registered disability and 1,528 combined junior and adult attendances to the disability football sessions on the 3G FTP. 

11 



## **Access and Equality (continued)** 

Since the 2003 capital programme the Centre has been able to provide facilities that added a certain level of _value_ plus to customers with disabilities, further works were undertaken to enable a wider access and equality to the facility. The Charity was IFI (Inclusive Fitness Initiative) accredited during 2014. 

The Charity’s health and fitness suite continued to be used strongly by the community. The provision of this facility continued to ensure that specific health and fitness-based community leisure time was available for 184.25 hours per week (93.5 hours in the fitness suite and 90.75 hours in the health suite). The health and fitness package option continued to operate steadily throughout 2021/22, contributing significantly to the income of the Charity. 

The Charity’s objective relating to education provided physical education facilities for approximately 1,250 students of Belper School, which amounted to approximately 73,125 visits throughout the year from Belper School, along with 2,925 after school activity visits. 

Additionally, Area Schools recommenced swimming lessons from September 2021 for the first time since the Pandemic, amounting to approximately 3,527 visits. Pottery School which operates outside of the Area Schools programme recommenced in March 2022 with 240 visits. 

The Charity’s Learn to Swim programme ‘Splash Academy’ recommenced in April 2021 and catered for adult and junior customers from the age of three in group lessons. The ‘Splash Academy’ provided a comprehensive learn to swim programme (569 per week individual spaces) throughout the year with 408 per week spaces being taken by children learning to swim. 

Additionally, a one-to-one teaching facility also accommodated 873 juniors, effectively providing personal training for children and adults with specific needs or those lacking the confidence to commence their formal swimming training within a larger group. 

Beyond the ‘Splash Academy’ programme the Charity provided facilities for the successful ‘Belper Marlin’ and ‘Ripley Rascal’ Swimming Clubs, which accommodated competitive swimming training for adults and juniors throughout the year. Alternatively, those customers wishing to take part in water-based activity other than swimming alone were able to join in with the ‘Viking Venture’ Canoe Club or the ‘10:20’ Triathlon Club on a weekly basis. The combined customer throughput for these clubs throughout the year was approximately 10,883. 

Casual swimming sessions enabled 4,064 (under 16 yrs) 5,181 (16-59 yrs) and 856 over 60’s to swim throughout the year. The Oasis Swimming Pass in conjunction with the Palms members swimming pass continued to offer cost reductions and 17,257 swims were enjoyed as a result of these schemes. 1056 customers attended the popular family fun sessions. 

Pool exercise classes attracted 552 customers and 21 customers used the shower facilities. 

As outlined in the previous section the 3G FTP adults and 18,333 junior visits were made in block/contract bookings during the year. Casual bookings accounted for a further 3,418 adults and 1,506 juniors. 

12 



## **Access and Equality (continued)** 

Additionally, Walking Football attracted 710 visits, other adult activities 402, other junior activities 189 and the Derby County Community Trust Holiday Camps received 761 attendances. 

When able to do so the Charity provided a comprehensive range of casual dry side activities including badminton, squash, 5v5 football (excluding 3G FTP), volleyball, basketball, and table tennis for 9,739 customers. 

Additionally, the Charity made facilities available to a variety of dry-side clubs including three Martial Arts clubs, enabling adult and junior customers to practice Kick Boxing, Tae Kwon Do and Tetsudo. Other clubs utilising the Charity’s indoor facilities throughout the year included badminton, dodgeball and volleyball. The combined customer throughput for these clubs throughout the year was approximately 10,980. 

The Charity continued with the pre-school club Gymkids which accommodated approximately 596 children from July 2021 with introductory Gymnastics training. 

The Charity saw a return of some of the community activities, including the indoor car boot, nearly new sales and blood doners attracting approximately 5,950 customers. 

Children’s pool parties continued to be in demand with 204 children attending throughout the year. 

The Charities Holiday Activity Club attracted 760 visits during the school holidays for children aged 5 to 11. 

In addition to the basic provision of community leisure/sporting activities the Charity provided a formal structure of exercise for children by way of the ‘Club Fit’ activity sessions for children aged 11-15. ‘Club Fit’ operated daily from October 2021 with 1971 visits. 

The Charity continued to work in partnership with Derbyshire County Council to deliver the Live Life Better Exercise by Referral Programme. Sessions accommodate a wide range of activities for customers living with long term health issues. 1,227 visits were made throughout the year. 

Palms Health and Fitness Suite hosted approximately 44,477 individual member visits contributing significantly to the objectives of the Charity. Casual visits to Palms totalled 468, the sunshower attracted 270 visits and the soundwave therapy chair was booked 91 times throughout the year. 

The Fitness Studios continued to host workout classes when able to do so, these totalled 7,390 visits throughout the year. 

13 



## **– Community Leisure Amber Valley Borough Council (Sports Development)** 

During 2021/22 the Charity continued to assist Amber Valley Borough Council (AVBC) in meeting community targets for Sports Development. However, this was affected by the Pandemic and the restrictions in which the Charity operated under. The general requirements of the Sports Development programme continued to focus on the following areas, and were received well throughout the year: 

- Inactive adults with a disability 

- Inactive children with a disability 

- Inactive older people 

- Inactive families identified as obese, or at risk of becoming obese 

- Those previously engaged in sport but now inactive but wishing to “return” to physical activity 

## **Financial Review** 

The principal funding sources of the Company are the users of the facilities in general e.g., main hall activities, clubs, fitness suite memberships and casual use, the swimming pool and associated recreational, club and teaching activities and the external 3G FTP football facility. Amber Valley Borough Council pays a grant for community leisure, Belper School pays to use a range of facilities and Derbyshire County Council pays for area school swimming sessions. The combined use of these facilities supports the objectives of the charity as it assists in the education and improved health of the local community. 

Net expenditure for the year was £295,000 against a budgeted projection of £245,000 of net expenditure. The major reason for the difference between the budgeted performance and the actual performance was that actual income received was higher than budgeted income by £56,000 but actual costs incurred were higher than budgeted costs by £106,000. This resulted in a net increase in deficit of £50,000. A further explanation detailing the key variances is given below. 

During the year the pension deficit has decreased by £429,000 to £177,000, which is a significant reduction in the liability. However, this follows the increase of £255,000 in the liability that occurred during the previous financial year. The company continues to pay the recommended amounts in order to reduce the deficit over a reasonable timescale. Consequently the deficit is only having a limited impact on the financial position of the company. 

14 



## **Key Areas of Income and Expenditure** 

The group had income of £1,001,000 during the year and the cost of running the leisure centre was £1,296,000. 

The following are more detailed observations on income and expenditure: 

- Employee related costs showed an adverse variance to budget of £95,009. A significant amount of this relates to the payment of holiday entitlement to leavers which had accrued during the pandemic. Also the actuarial “current service cost” was £26,000 higher than expected payments. 

- Building and maintenance costs showed an adverse variance to budget of £33,777. 

- Supplies and services costs showed a favourable variance to budget of £32,676. 

- Support services costs showed a favourable variance to budget of £2,407. 

- Income from the fitness suite showed a favourable variance to budget of £33,033. 

- Income from the pool showed a favourable variance to budget of £8,633. 

- The income from football related activities showed an adverse variance to budget of £1,449. 

- Financial support (grants and fees) from Belper School, Amber Valley Borough Council and Derbyshire County Council showed a favourable variance to budget of £3,715 and totalled £228,163. The company also received £18,870 from the coronavirus job retention scheme during the year and other coronavirus support grants totalling £28,000. 

- The company also received £2,133 from Belper Town Council as a grant to enable repairs to be made to the pool hoist. 

## **Principal risks and uncertainties** 

The Leisure Centre opened for the first time since the Covid 19 Pandemic on 12[th] April 2021 operating under strict Government and industry body guidelines/limitations which were gradually lifted throughout the year; this affected the 2021/22 performance of the charity. 

The ability of the charity to continue operations at the levels reported is largely due to the Charity’s cash reserves, the re-building of Palms Membership income, continued financial support from Amber Valley Borough Council, and Belper School and Sixth Form Centre and various leisure/business support grants. 

2022/23 will equally provide a variety of challenges as we continue to grow our customer base to pre-pandemic levels. Further challenges relating to unprecedented cost of utilities, inflation rates, leading to a cost-of-living crisis will add to an increased expenditure budget. 

In addition to expenditure risks, future income may be at risk due to members and users feeling the impact of financial pressures. The management will have to continue to define available time and activities to maximise income and keep costs under control where possible. 

The charity could face unforeseen expenditure if it becomes necessary to carry out unexpected repairs to the buildings or the swimming pool.  Not only could such repairs prove to be very expensive, but they could also involve closure of some of the facilities whilst the work is carried out.  To manage such risks, the company reviews the ongoing maintenance of the buildings and the pool on a regular basis. 

15 



## **Belper Sports Centre Services Limited** 

The trading subsidiary of the Charity continued to support the charitable objectives of the group by providing a social environment within the centre. 

## **Business Review and Reserves Policy** 

Reserves amount to £5.111m before deducting the pension reserve. This is £145,000 less than the net book value of the land and buildings and the 3G Football Turf Pitch owned by the company. Consequently, these reserves could only be realised by selling the assets from which the company operates. £144,000 of the reserves are restricted and can only be used for developing football activities and use of the 3G Football Turf Pitch. Unrestricted reserves are therefore £4.967m. 

As a result of the pandemic the cash reserves held at the end of the year are less than planned under the reserves policy of the charity. It is planned to rectify this situation over the next few years by way of tight cost control, lobbying supporting partners, and making use of any available grant funding options. 

## **Future plans and objectives** 

In the long term the trustees (directors) of the Charity plan to continue to develop and maintain the facilities available for the educational and community purpose for which it was established. 

In the short term the Charity is endeavouring to minimise costs and maximise income striving to regain pre-pandemic levels of income whilst managing increasing costs of operating. 

No further significant facility capital additions are considered likely to be undertaken in the medium-term future. However, the Charity will look to continue to maintain the current facilities and improve customer service options to maintain/develop current income bases. The trustees do not see the Company deviating from the main charitable objectives as established in 1998. 

## **Grant Making Policy** 

The Charity continued to operate a Sports Development Policy, which enabled a reduction in the fees and charges of Clubs/Organisations using the facilities with a large percentage of junior users. 

## **Fund raising** 

All group income is generated from the provision of sporting and similar facilities or from the bar and catering facilities operated by the trading subsidiary company. The group does not seek charitable donations from the general public or engage any third party to do so. 

16 



**Statement as to Disclosure of Information to Auditors** 

The directors of the company who held office at the date of approval of this annual report confirm that: 

- So far as they are aware, there is no relevant audit information, information needed by the company’s auditors in connection with preparing their report, of which the company’s auditors are unaware, and 

- They have taken all the steps that they ought to have taken as directors in order to make themselves aware of any relevant audit information and to establish that the company’s auditors are aware of that information. 

This report was approved by the Board on 12 October 2022 and signed on its behalf by: 

Signed:  …………………………………………………… 

A Evans        Director and Trustee 

17 



## **Belper Leisure Centre Limited and subsidiary company** 

## **Consolidated Statement of Financial Activities for the year ended 31 March 2022 Incorporating an Income and Expenditure Account** 

|**Notes**<br>**Income and endowments from:**<br>Charitable activities<br>2<br>Other trading activities<br>3<br>**Total income**<br>**Expenditure on:**<br>Raising funds<br>4<br>Charitable activities<br>5<br>**Total expenditure**<br>**Net Expenditure**<br>**Other Recognised Gains and Losses**<br>Actuarial gains/(losses) on defined<br>benefit pension scheme<br>15<br>**Net Movement in Funds**<br>**Reconciliation of funds:**<br>Total funds brought forward at 1 April 2021<br>**Total funds carried forward at 31 March**<br>**2022**<br>13|**Unrestricted  Restricted**<br>Unrestricted  Restricted<br>**Funds**<br>**Funds**<br>**Total**<br>Funds<br>Funds<br>Total<br>**2022**<br>**2022**<br>**2022**<br>2021<br>2021<br>2021<br> <br>**£’000**<br>**£’000**<br>**£'000**<br>£’000<br>£’000<br>£'000<br> <br> <br> <br> <br>**980**<br>**-**<br>**980**<br>820<br>-<br>820<br> <br> <br> <br> <br>**21**<br>**-**<br>**21**<br>2<br>-<br>2|
|---|---|
||<br>**1,001 **<br>**-**<br>**1,001 **<br>822<br>-<br>822|
||**22**<br>**-**<br>**22**<br>8<br>-<br>8<br>**1,254**<br>**20**<br>**1,274**<br>1,121<br>20<br>1,141|
||**1,276**<br>**20**<br>**1,296**<br>1,129<br>20<br>1,149|
||**(275)**<br>**(20)**<br>**(295)**<br>(307)<br>(20)<br>(327)<br>**467**<br>**-**<br>**467**<br>(341)<br>-<br>(341)|
||**192**<br>**(20)**<br>**172**<br>(648)<br>(20)<br>(668)<br>**4,598**<br>**164**<br>**4,762**<br>5,246<br>184<br>5,430|
||**4,790**<br>**144**<br>**4,934**<br>4,598<br>164<br>4,762|



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

18 



## **Belper Leisure Centre Limited and subsidiary company** 

## **Consolidated Balance Sheet as at 31 March 2022** 

|**Notes**<br>**Fixed Assets**<br>Tangible Assets<br>8<br>**Current Assets**<br>Stocks<br>9<br>Debtors<br>10<br>Cash at Bank and in Hand<br>Creditors: Amounts Falling Due within One Year<br>11<br>**Net Current (Liabilities)/Assets**<br>**Total Assets Less Current Liabilities**<br>**Creditors: Amounts Falling Due After More Than One Year**<br>12<br>**Net Assets excluding Pension Liability**<br>**Provision for Liabilities**<br>Defined Benefit Pension Scheme Liability<br>15<br>**Net Assets including Pension Liability**<br>**Funds**<br>Unrestricted Income Funds<br>13<br>Revaluation Reserve<br>13<br>Unrestricted Income Funds excluding Pension Liability<br>Pension Reserve<br>13<br>Restricted Income Funds<br>13<br>Total Charity Funds<br>Approved on 12 October 2022 and signed on behalf of the<br>Trustees|**2022**<br>**£'000**<br>**5,291**<br>**5,291 **<br>**3**<br>**56**<br>**101 **<br>**160**<br>**(164) **<br>**(4) **<br>**5,287**<br>**(176)**<br>**5,111**<br>**(177)**<br>**4,934**<br>**1,077**<br>**3,890**<br> <br>**4,967**<br>**(177)**<br>**144**<br>**4,934**|2021<br>£'000<br>5,419|
|---|---|---|
|||5,419|
|||2<br>82<br>143|
|||227<br>(110)|
|||117|
|||5,536<br>(168)|
|||5,368<br>(606)|
|||4,762|
|||1,216<br>3,988|
|||5,204<br>(606)<br>164|
|||4,762|
||||



Signed………………………………… A Evans - Director and Trustee 

Companies House Registered Number 06848040 

19 



## **Belper Leisure Centre Limited** 

## **Company Balance Sheet as at 31 March 2022** 

|**Notes**<br>**Fixed Assets**<br>Tangible Assets<br>8<br>**Current Assets**<br>Stocks<br>9<br>Debtors<br>10<br>Cash at Bank and in Hand<br>Creditors: Amounts Falling Due within One Year<br>11<br>**Net Current (Liabilities)/Assets**<br>**Total Assets Less Current Liabilities**<br>**Creditors: Amounts Falling Due After More Than One Year**<br>12<br>**Net Assets excluding Pension Liability**<br>**Provision for Liabilities and Charges**<br>Defined Benefit Pension Scheme Liability<br>15<br>**Net Assets including Pension Liability**<br>**Funds**<br>Unrestricted Income Funds<br>Revaluation Reserve<br>Unrestricted Income Funds excluding Pension Liability<br>Pension Reserve<br>Restricted Income Funds<br>Total Charity Funds<br>Approved on 12 October 2022 and signed on behalf of the<br>Trustees|**2022**<br>**£'000**<br>**5,291**<br>**5,291 **<br>**-**<br>**66**<br>**92 **<br>**158**<br>**(159) **<br>**(1) **<br>**5,290**<br>**(176)**<br>**5,114**<br> <br>**(177)**<br>**4,937**<br>**1,080**<br>**3,890**<br>**4,970**<br>**(177)**<br>**144**<br>**4,937 **|2021<br>£'000<br>5,419|
|---|---|---|
|||5,419|
|||1<br>105<br>123|
|||229<br>(106)|
|||123|
|||5,542<br>(168)|
|||5,374<br>(606)|
|||4,768|
|||1,222<br>3,988|
|||5,210<br>(606)<br>164|
|||4,768|
||||



Signed……………………………………………….. A Evans - Director and Trustee 

Companies House Registered Number 06848040 

20 



## **Belper Leisure Centre Limited and subsidiary company** 

## **Consolidated Statement of Cash Flows for the year ended 31 March 2022** 

|**2022**<br>**£’000**<br>**Cash flows from operating activities:**<br>Net cash provided by operating activities<br>(63)<br>**______**<br>**Cash flows from financing activities:**<br>Repayments of borrowing<br>(9)<br>Cash inflows from new borrowing<br>30<br>**______**<br>Net cash used in financing activities<br>21<br>**______**<br>Change in cash and cash equivalents in the year<br>(42)<br>Cash and cash equivalents at the<br>beginning of the year<br>143<br> <br>**______**<br>Cash and cash equivalents at the<br>end of the year<br>101<br>**______**<br>**Reconciliation of net income/(expenditure) to net cash flow from**<br>**operating activities**<br>**2022**<br>**£’000**<br>Net expenditure for the year (as per the statement<br>of financial activities)<br>(295)<br>Adjustments for:<br>Depreciation charges<br>128<br>(Increase)/Decrease in stocks<br>(1)<br>Decrease/(Increase) in debtors<br>26<br>Increase in creditors<br>41<br>Increase in pension liability<br>excluding actuarial changes<br>38<br>**______**<br>**Net cash provided by operating activities**<br>(63)<br>**______**<br>**Analysis of cash and cash equivalents**<br>**2022**<br>**£’000**<br>Cash at bank<br>101<br>**______**<br>Total cash and cash equivalents<br>101<br>**______**|2021<br>£’000<br>(247)<br>______<br>(7)<br>-<br>______<br>(7)<br>______<br>(254)<br>397<br>______<br>143<br>______<br>2021<br>£’000<br>(327)<br>128<br>5<br>(73)<br>10<br>10<br>______<br>(247)<br>______<br>2021<br>£’000<br>143<br>______<br>143<br>______|
|---|---|



21 



## **Belper Leisure Centre Limited and subsidiary company** 

## **Notes to the Accounts for the year ended 31 March 2022** 

## **1 Accounting Policies** 

## **General Principles** 

The accounts have been prepared in accordance with Financial Reporting Standard 102, the Charities Statement of Recommended Practice (FRS 102) and the Companies Act 2006. The accounts are prepared under the historical cost convention as modified for the revaluation of certain fixed assets. The charity is a public benefit entity. The accounts have been prepared on a going concern basis and there are no material uncertainties about the charity’s ability to continue. The accounts have been prepared in sterling, which is the functional currency of the entity. Amounts have been rounded to the nearest £1,000. 

## **Consolidated Accounts** 

The results of Belper Sports Centre Services Limited, a wholly owned subsidiary, have been consolidated on a line by line basis in the Statement of Financial Activities and Consolidated Balance Sheet. No income and expenditure account of the charity has been presented as permitted by the Companies Act 2006. 

## **Company Status** 

Belper Leisure Centre Limited is limited by guarantee and a registered charity registered in England. Its registered office is at John O’Gaunts Way, Kilbourne Road, Belper, Derbyshire DE56 0DA. The guarantors are Derbyshire County Council and the Governing Body of Belper School.  The liability in respect of the guarantee, as set out in the memorandum, is limited to £1 per member of the company.  The charity has availed itself of Paragraph 3 (3) of Schedule 4 of the Companies Act and adapted the Companies Act formats to reflect the special nature of the company's activities. 

Belper Sports Centre Services Limited has a share capital of two shares of £1 each which are under the control of Belper Leisure Centre Limited under its memorandum and articles of association. These are recorded at their cost of £2 in the parent company’s accounting records. 

## **Fixed Assets** 

The freehold property shown in the balance sheet was valued at 31 March 2011 in accordance with the Statements of Asset Valuation Practice and Guidance Notes published by the Royal Institution of Chartered Surveyors. On the transition to the FRS102 accounting standard at 1 April 2014 the directors decided to treat this valuation as the “deemed cost” of the buildings for future accounting purposes, as permitted by FRS102. This deemed cost of the leisure centre building is being depreciated on a straight line basis over the estimated life of the building. Impairment reviews are carried out on an annual basis. 

Plant and equipment is stated at cost less accumulated depreciation. 

Capital expenditure over £10,000 is capitalised. Amounts below this are treated as revenue expenditure. 

## **Financial instruments** 

The group 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. 

## **Government grants** 

All government grants received relate to revenue and are recognised in income in the period in which it becomes receivable. 

22 



## **Belper Leisure Centre Limited and subsidiary company** 

## **Notes to the Accounts for the year ended 31 March 2022 (continued)** 

## **1 Accounting Policies (continued)** 

## **Depreciation** 

Depreciation is provided on fixed assets at rates calculated to write off their cost or valuation, less their estimated residual value, over their expected useful lives on the following bases: 

|Freehold land|No depreciation is charged|
|---|---|
|Freehold buildings|2% straightline|
|Pitch complex|10% straight line|
|Plant and equipment|10%-20% straight line|



## **Stocks** 

Stocks are stated at the lower of cost and net realisable value on a first-in first-out basis. 

## **Superannuation** 

Staff previously employed by AVBC, who were transferred to the Trust upon its formation and then to the Company under the Transfer of Undertakings (Protection of Employment) Regulations 1981, retained their existing pension rights and service under the Derbyshire County Council (DCC) Pension Fund. The Company makes contributions in respect of the staff that are contracted out of the SERPS scheme and into the DCC funded scheme. 

## **Income Recognition** 

Income receivable under user agreements is recognised when it is due. Fees and charges for the use of the leisure centre are recognised net of VAT on the earlier of the date an invoice is issued or payment is received. Membership fees received for the use of the fitness suite are recognised over the period for which the membership relates. 

All sums received for the provision of sporting and leisure facilities are treated as charitable income. Amounts received by the charity’s trading subsidiary are treated as other trading income. 

## **Analysis of Expenditure** 

The resources expended by the Company have been analysed based upon the nature of the activities undertaken. 

The expenditure on raising funds are staff costs, goods for resale and premises related expenditure incurred by the trading company. 

All other expenditure by the Company is in respect of charitable activities as they relate to the provision of sporting and leisure facilities. 

Pension costs represent the current service cost as determined by the scheme actuary in accordance with FRS 102. 

Irrecoverable VAT on revenue expenditure is treated as an expense in the period to which it relates. Irrecoverable VAT on capital expenditure is capitalised. 

## **Creditors and provisions** 

Creditors and provisions are recognised where the company 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. 

23 



## **Belper Leisure Centre Limited and subsidiary company** 

## **Notes to the Accounts for the year ended 31 March 2022 (continued)** 

## **2 Incoming resources from charitable activities** 

|**Incoming resources from charitable activities**|||
|---|---|---|
||**2022**<br>**£’000**|2021<br>£’000|
|Swimming pool<br>Health & Fitness Suite<br>Other indoor and outdoor facilities<br>Non-specific income from AVBC<br>Non-specific income from members<br>Furloughpayments, COVID-19 grants and other funding|**193**<br>**337**<br>**172**<br>**80**<br>**148**<br>**50**|50<br>91<br>54<br>80<br>137<br>408|
|**Total **|**980**|820|



The income receivable from the members is towards activities in furtherance of the objects of the charity. 

As at 31 March 2022, user agreements were in place between the Company and Belper School, the Company and Derbyshire County Council, and the Company and Amber Valley Borough Council. The level of usage and timing of payments is covered in the agreements. 

The level of members’ support was as follows: 

||**2022**<br>**£’000**|2021<br>£’000|
|---|---|---|
|Belper School<br>Derbyshire County Council|**139**<br>**9**|137<br>-|
|**Total **|**148**|137|



## **3 Other trading activities** 

||**2022**<br>**£’000**|2021<br>£’000|
|---|---|---|
|Barand caféincome oftrading subsidiary|**21**|2|
|**Total **|**21**|2|



## **4 Resources expended – Raising funds** 

||**2022**<br>**£’000**|2021<br>£’000|
|---|---|---|
|Bar and café cost of sales<br>Bar and café staffing costs<br>Bar and café premises costs<br>Barand café othercosts|**11**<br>**2**<br>**-**<br>**9**|5<br>-<br>-<br>3|
|**Total **|**22**|8|



24 



## **Belper Leisure Centre Limited and subsidiary company** 

## **Notes to the Accounts for the year ended 31 March 2022 (continued)** 

## **5 Resources expended – Charitable activities** 

||**Direct**<br>**Charitable**<br>**Expenditure**<br>**£’000**|**Support**<br>**costs**<br>**£’000**|<br>**Total**<br>**2022**<br>**£’000**|Total<br>2021<br>£’000|
|---|---|---|---|---|
|Staffing Costs<br>Premises Related Costs<br>Other Running Expenses<br>Depreciation – Owned Assets<br>Interest Payable<br>Governance costs<br>Net Interest on Pension Scheme<br>Liabilities|**631**<br>**228**<br>**150**<br>**128**<br>**6**<br>**-**<br>**12**|**80**<br>**-**<br>**-**<br>**-**<br>**-**<br>**39**<br>**-**|**711**<br>**228**<br>**150**<br>**128**<br>**6**<br>**39**<br>**12**|654<br>201<br>112<br>128<br>6<br>34<br>6|
|**Total **|**1,155**|**119**|**1,274**|1,141|



## **6 Net Expenditure for the year** 

||**2022**<br>**£’000**|2021<br>£’000|
|---|---|---|
|This is stated after charging/(crediting):<br>Depreciation<br>Auditors remuneration (excluding VAT):<br>Audit<br>Otherservices|**128**<br>**9**<br>**-**|128<br>9<br>-|



## **7 Staff Costs** 

||**2022**<br>**£’000**|2021<br>£’000|
|---|---|---|
|Salaries<br>Employer’s National Insurance Contributions<br>Employer’s Pension Contributions (see note 15)<br>Other costs|594<br>28<br>87<br>4|559<br>23<br>69<br>3|
|**Total **|713|654|



The average number of employees during the year was 67. Calculated on a full-time equivalent basis, the average number of employees was 27.80. 

||**2022**<br>**Average**<br>**Number **|**2022**<br>**Full**<br>**Time**<br>**Equivalent**|2021<br>Average<br>Number|2021<br>Full<br>Time<br>Equivalent|
|---|---|---|---|---|
|Management<br>Leisure<br>Bar and Café<br>Health Suite<br>Other|**3**<br>**38**<br>**2**<br>**7**<br>**17**|**2.81**<br>**11.16**<br>**0.39**<br>**5.16**<br>**8.28**|3<br>36<br>6<br>7<br>17|2.60<br>11.16<br>1.44<br>5.21<br>7.98|
|**Total **|**67 **|**27.80**|69|28.39|



Total key management compensation paid during the year amounted to £90,599 (2021 - £94,948). 

There were no employees who received total employee benefits in excess of £60,000 (2021 – nil). 

The Directors received no remuneration and were not reimbursed for any of their expenses in the year. 

25 



## **Belper Leisure Centre Limited and subsidiary company** 

## **Notes to the Accounts for the year ended 31 March 2022 (continued)** 

## **8 Tangible Fixed Assets** 

|**Parent Company**<br>**and Group**|**Freehold**<br>**Land**<br>**£’000**|**Leisure**<br>**Centre**<br>**Complex**<br>**£’000**|**Artificial**<br>**Grass**<br>**Pitch**<br>**Complex**<br>**£’000**|**Plant**<br>**and**<br>**Equipment**<br>**£’000**|**Total**<br>**£’000**|
|---|---|---|---|---|---|
|**Cost or valuation**<br>At 1 April 2021<br>Additions<br>Disposals<br>**At 31 March 2022**<br>**Depreciation**<br>At 1 April 2021<br>Charge for year<br>**At 31 March 2022**<br>**Net book value**<br>**At 31 March 2022**<br>At 31 March 2021|1,350<br>-<br>-|4,875<br>-<br>-|442<br>-<br>-|149<br>-<br>-|6,816<br>-<br>-|
||**1,350**|**4,875**|**442**|**149**|**6,816**|
||-<br>-|1,173<br>98|120<br>20|104<br>10|1,397<br>128|
||**-**|**1,271**|**140**|**114**|<br>**1,525**|
||**1,350**|**3,604 **|**302 **|**35**|**5,291 **|
||1,350|3,702|322|45|5,419|



A revaluation of the entire premises was undertaken during the year ended 31 March 2011. The valuation was undertaken by Chartex Limited, independent external valuers, in accordance with the Royal Institution of Chartered Surveyors Appraisal and Valuation Manual and Financial Reporting Standard 15 (FRS 15). The centre is considered to be a “specialised property”, therefore the valuation was carried out on a “depreciated replacement cost” basis. 

In 2016 the company decided to treat the 2011 valuation as the “deemed cost” of the Leisure Centre complex for that year and future years. This is permitted by Financial Reporting Standard 102 in the year that the company first adopts the standard. The freehold land and Leisure Centre complex would be shown at £nil in the accounts if shown at original cost. This is because these assets were given to the company by the predecessor trust. 

The centre also holds other items of equipment that belong to other groups or bodies (including Belper School) for their own use, which are not included in this valuation, and are also excluded from the Company’s accounts. 

The freehold land and leisure centre complex shown above with a carrying amount at 31 March 2022 of £4,954,000 are pledged as security for the loans from Handelsbanken Bank shown in notes 11 and 12. 

26 



## **Belper Leisure Centre Limited and subsidiary company** 

## **Notes to the Accounts for the year ended 31 March 2022 (continued)** 

## **9 Stocks** 

||**Group**<br>**2022**<br>**£’000**|**Company**<br>**2022**<br> **£’000**|Group<br>2021<br>£’000|Company<br>2021<br> £’000|
|---|---|---|---|---|
|Sporting equipment<br>Bar stock<br>Café and vending machine stock|**-**<br>**1**<br>**2**|**-**<br>**-**<br>**-**|1<br>1<br>-|1<br>-<br>-|
|**Total **|**3**|**-**|2|1|



## **10 Debtors** 

||**Group**<br>**2022**<br>**£’000**|**Company**<br>**2022**<br> **£’000**|Group<br>2021<br>£’000|Company<br>2021<br>£’000|
|---|---|---|---|---|
|Due from the Trading Company<br>Trade debtors<br>Due from HM Revenue &<br>Customs<br>Prepayments|**-**<br>**56**<br>**-**<br>**-**|**10**<br>**56**<br>**-**<br>**-**|-<br>75<br>3<br>4|24<br>75<br>2<br>4|
|**Total **|**56**|**66**|82|105|



## **11 Creditors: Amounts falling due within one year** 

||**Group**<br>**2022**<br>**£’000**|**Company**<br>**2022**<br>**£’000**|Group<br>2021<br>£’000|Company<br>2021<br>£’000|
|---|---|---|---|---|
|Due to Belper School<br>Trade creditors<br>Accruals and deferred income<br>Due to HM Revenue & Customs<br>Handelsbanken Bank loans (see<br>note 12)<br>Other creditors|**13**<br>**23**<br>**91**<br>**10**<br>**22**<br>**5**|**13**<br>**20**<br>**89**<br>**10**<br>**22**<br>**5**|35<br>30<br>36<br>-<br>9<br>-|35<br>30<br>32<br>-<br>9<br>-|
|**Total **|**164 **|**159**|110|106|



27 



## **Belper Leisure Centre Limited and subsidiary company** 

## **Notes to the Accounts for the year ended 31 March 2022 (continued)** 

## **12 Creditors: Amounts falling due after more than one year** 

|**Parent Company and Group**|**2022**<br>**£’000**|2021<br>£’000|
|---|---|---|
|Handelsbanken Bank loans (secured)|**176**|168|
|**Total **|**176**|168|



The loans are for a term of 3 years and £30,000 of this is repayable over three years. Repayments for the rest of the loans are being made on the basis of a 15 year repayment period commencing in July 2021. Interest is being charged at a variable rate. The loan agreement is secured by a legal charge held over the freehold property known as Belper Leisure Centre. The total loan outstanding at 31 March 2022 represented 4% of the value of the property on which it is charged. The Football Foundation also have a charge over the property in respect of the funding provided for the 3G Football Turf Pitch. 

## **13 Reserves** 

|**Reserves**||||||
|---|---|---|---|---|---|
|**Group**|**Restricted**<br>**Income**<br>**Funds**<br>**£’000**|**Pension**<br>**Reserve**<br>**£’000**|**Revaluation**<br>**Reserve**<br>**£’000**|<br>**Unrestricted**<br>**Income**<br>**Funds**<br>**£’000**|**Total**<br>**Reserves**<br>**£’000**|
|Balances at 1 April 2021<br>Operating deficit for the year<br>Transfer<br>Pension charge less<br>payments made<br>Actuarial gain|164<br>(20)<br>-<br>-<br>-|(606)<br>-<br>-<br>(38)<br>467|3,988<br>-<br>(98)<br>-<br>-|1,216<br>(275)<br>98<br>38<br>-|4,762<br>(295)<br>-<br>-<br>467|
|**Balance at 31 March 2022**|**144**|**(177)**|**3,890**|**1,077**|**4,934 **|



The restricted income funds represent grant support for the 3G Artificial Grass pitch less accumulated depreciation of that pitch. These funds are to be used for the development of football in the local area. 

The transfer of £98,000 from the revaluation reserve to unrestricted income funds reflects the depreciation charged against the revalued leisure centre in the year. 

## **14 Historical Cost Incoming and Outgoing Resources** 

|**Group**|**2022**<br>**£’000**|2021<br>£’000|
|---|---|---|
|Net outgoing resources<br>Difference between a historical cost depreciation charge<br>and the actualdepreciationcharge onthefixed assets|**(295)**<br>**98**|(327)<br>98|
|**Total **|**(197)**|(229)|



28 



## **Belper Leisure Centre Limited and subsidiary company** 

## **Notes to the Accounts for the year ended 31 March 2022 (continued)** 

## **15 Defined benefit pension scheme** 

Staff previously employed by AVBC, who were transferred to the Trust upon its formation and now to the Company under the Transfer of Undertakings (Protection of Employment) Regulations 1981, retained their existing pension rights and service under the Derbyshire County Council (DCC) administered pension fund. The Company makes contributions in respect of staff contracted out of the SERPS scheme and into the DCC funded scheme. 

The assets of the scheme are held separately from those of the Company in the separately administered scheme for DCC. The last actuarial valuation of the fund was at 31 March 2019. The scheme actuary has rolled forward the value of the company’s liabilities to 31 March 2022 allowing for the different financial assumptions required under FRS102 at 31 March 2022. 

The amounts recognised in the balance sheet are as follows: 

|**Parent Company and Group**|**2022**<br>**£’000**|2021<br>£’000|
|---|---|---|
|Present value of funded obligations<br>Fair value of scheme assets<br>**Recognised liability for defined benefit obligations**|**(3,734)**<br>**3,557 **|(3,995)<br>3,389|
||**(177)**|(606)|



The amounts recognised in the statement of financial activities are as follows: 

|**Parent Company and Group**|**2022**<br>**£’000**|2021<br>£’000|
|---|---|---|
|Current service cost<br>Interest cost<br>Expected return on assets|**87**<br>**79**<br>**(67)**|69<br>70<br>(64)|
|**Total charge to SOFA**|**99**|75|



Movement in pension deficit during the financial year. 

Changes in fair value of defined benefit pension assets are as follows: 

|**Parent Company and Group**|**2022**<br>**£’000**|2021<br>£’000|
|---|---|---|
|Opening fair value of defined benefit pension assets<br>Interest income on plan assets<br>Return on assets excluding interest income<br>Plan participants’ contributions<br>Employer contributions<br>Benefits paid|**3,389**<br>**67**<br>**185**<br>**11**<br>**61**<br>**(156)**|2,781<br>64<br>520<br>13<br>65<br>(54)|
|**Closing fair value of defined benefit pension assets**|**3,557**|3,389|



The total return on the fund in market value terms for the year ended 31 March 2022 was 7.5% (2021 – 20.9%). 

29 



## **Belper Leisure Centre Limited and subsidiary company** 

## **Notes to the Accounts for the year ended 31 March 2022 (continued)** 

## **15 Defined benefit pension scheme (continued)** 

Changes in fair value of defined benefit pension obligations are as follows: 

|**Parent Company and Group**<br>Opening defined benefit pension obligations<br>Current service cost<br>Interest cost<br>Plan participants’ contributions<br>Benefits paid<br>Changes in demographic assumptions<br>Changes in financial assumptions<br>Other experience gains|**2022**<br>**£’000**|2021<br>£’000|
|---|---|---|
||**3,995**<br>**87**<br>**79**<br>**11**<br>**(156)**<br>**(21)**<br>**(268)**<br>**7**|3,036<br>69<br>70<br>13<br>(54)<br>48<br>840<br>(27)|
|**Closing defined benefit pension obligations**|**3,734 **|3,995|



During the year ended 31 March 2022, pension costs have been paid to the DCC pension fund at a rate of 33.3% (2021 – 33.3%) of pensionable payroll plus a fixed contribution of £1,000 (2021 - £1,000) per annum. In the year ending 31 March 2023 the contribution will be 33.3% of pensionable payroll plus a fixed contribution of £1,000. The total amount payable in the year ending 31 March 2023 is expected to be £61,000. 

The fair values and split of each main class of assets held by the DCC fund as at 31 March are set out in the following table: - 

|**Pension Fund**|**31 March**<br>**2022**<br>**Fair Value**<br>**£’000**|**31 March**<br>**2022**<br>**Share of**<br>**total assets**|31 March<br>2021<br>Fair Value<br>£’000|31 March<br>2021<br>Share of<br>totalassets|
|---|---|---|---|---|
|Equities<br>Bonds<br>Property<br>Cash|**2,312**<br>**818**<br>**285**<br>**142**|**65.0%**<br>**23.0%**<br>**8.0%**<br>**4.0%**|2,135<br>780<br>271<br>203|63.0%<br>23.0%<br>8.0%<br>6.0%|
|**Total**|**3,557 **|**100.0%**|3,389|100.0%|



The main financial assumptions used in their calculations are: - 

|**Pension Fund**|**2022**|2021|
|---|---|---|
|Rate of increase in Pensions<br>Rate of increase in Salaries<br>DiscountRate|**3.20% p.a.**<br>**3.90% p.a.**<br>**2.70% p.a. **|2.85% p.a.<br>3.55% p.a.<br>2.00% p.a.|



30 



## **Belper Leisure Centre Limited and subsidiary company** 

## **Notes to the Accounts for the year ended 31 March 2022 (continued)** 

## **16. Subsidiary company** 

The Charity holds the two issued ordinary shares in its only subsidiary Belper Sports Centre Services Limited whose registered number at Companies House is 03538305. This represents 100% of the equity of the company. Its registered office is at John O’Gaunts Way, Kilbourne Road, Belper, Derbyshire DE56 0DA. The principal activity of Belper Sports Centre Services Limited is the operation of café and bar facilities at Belper Leisure Centre. 

The results of the trading company are summarised as follows: 

|||**2022**<br>**£’000**|2021<br>£’000|
|---|---|---|---|
|Turnover<br>Cost of sales<br>Gross profit/(loss)<br>Overhead expenses<br>Operating profit/(loss)<br>Amount gift aided to charity<br>Retained profit/(loss) for the year<br>Retained losses brought forward<br>Retained losses carried forward||**20.5**<br>**(10.8)**<br>**9.7**<br>**(7.2)**<br>**2.5**<br> **-**<br>**2.5**<br>**(6.3)**<br>**(3.8)**|1.8<br>(4.7)<br>(2.9)<br>(3.4)<br>(6.3)<br> -<br>(6.3)<br> -<br>(6.3)|
|Assets<br>Liabilities<br>Total net liabilities||**11.3**<br>**(15.1)**<br>**(3.8)**|27.6<br>(33.9)<br> (6.3)|



## **17. Related party transactions** 

During the year the group carried out the following transactions with its members: 

|**Member **|**Sales and**<br>**funding**<br>**received**<br>**2022**<br>**£’000**|**Purchases**<br>**2022**<br>**£’000**|Sales and<br>funding<br>received<br>2021<br>£’000|Purchases<br>2021<br>£’000|
|---|---|---|---|---|
|Belper School<br>Derbyshire County Council|**139**<br>**9**|**120**<br>-|137<br>-|101<br>-|



The purchases from Belper School represent the group’s share of the cost of gas, electricity and metered water charged to the whole site. At the year end £13,202 was owed to Belper School in respect of these charges (2021 - £34,697). 

No amount was owed to Derbyshire County Council at the year end (2021 - £nil). 

31 



## **Belper Leisure Centre Limited and subsidiary company** 

## **Notes to the Accounts for the year ended 31 March 2022 (continued)** 

## **18. Analysis of group net assets between funds** 

|**At 31 March 2022**|**Unrestricted**<br>**funds**<br>£’000|**Restricted**<br>**funds**<br>£’000|**Total**<br>**Funds**<br>£’000|
|---|---|---|---|
|Tangible fixed assets<br>Net current liabilities<br>Creditors falling due after more<br>than one year<br>Pension scheme liability|5,147<br>(4)<br>(176)<br>(177)|144<br>-<br>-<br>-|5,291<br>(4)<br>(176)<br>(177)|
|Net assets at the end ofthe year|**4,790**|**144**|**4,934 **|



|**At 31 March 2021**|**Unrestricted**<br>**funds**<br>£’000|**Restricted**<br>**funds**<br>£’000|**Total**<br>**Funds**<br>£’000|
|---|---|---|---|
|Tangible fixed assets<br>Net current assets<br>Creditors falling due after more<br>than one year<br>Pension scheme liability|5,255<br>117<br>(168)<br>(606)|164<br>-<br>-<br>-|5,419<br>117<br>(168)<br>(606)|
|Net assets at the end ofthe year|4,598|164|4,762|



## **19. Going concern and post balance sheet events** 

The Charity had to close the Leisure Centre for 244 days during the year ended 31[st] March 2021 as a result of the coronavirus pandemic. Since 12[th] April 2021 the Charity has been able to provide most of its usual facilities on a reduced basis in compliance with government/governing bodies’ guidance. As the Charity entered the lockdowns with significant cash reserves, and it has the support of its bankers, the directors believe that the Charity will be able to continue operating for at least 12 months from the date of this report. Consequently these accounts have been prepared on a going concern basis. 

Funding from Amber Valley Borough Council will be halved to £40,000 a year for the next three years from 1[st] April 2022 and this will require the Charity to re-evaluate its business planning in order to widen income streams and maintain the strong management of expenditure. Funding is now being received from Belper Town Council which has mitigated the reduced funding from Amber Valley Borough Council. The charity is in the process of applying for a grant from Belper Town Council for the 2023/24 year. 

## **20. Net debt reconciliation** 

|**Group**|**At 31 March**<br>**2021**<br>£’000|**Cashflows**<br>£’000|**Other non-**<br>**cash**<br>**changes**<br>£’000|**At 31 March**<br>**2022**<br>£’000|
|---|---|---|---|---|
|Bash at bank and in hand<br>Bank loan falling due within one<br>year<br>Secured bank loan (falling due in<br>less than 5 years)|143<br>9<br>168|(42)<br>(9)<br>30|-<br>22<br>(22)|101<br>22<br>(176)|



32 



## **Belper Leisure Centre Limited** 

## **Statement of Directors’/Trustees’ Responsibilities** 

The trustees (who are also directors of the company for the purposes of company law) are responsible for preparing the trustees’ annual report including the strategic report and 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. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and group and of the incoming resources and application of resources, including income and expenditure, of the group for that period. 

In preparing these financial statements, the trustees are required to: 

- select suitable accounting policies and apply them consistently; 

- make judgments and estimates that are reasonable and prudent; 

- state whether applicable accounting standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements; and 

- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. 

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

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## **Belper Leisure Centre Limited** 

## **Independent Auditors’ Report to the Members of Belper Leisure Centre Limited** 

## **Opinion** 

We have audited the financial statements of Belper Leisure Centre Limited (the ‘parent company’) and its subsidiary (the ‘group’) for the year ended 31 March 2022 which comprise the Group Statement of Financial Activities, the Group and Parent Company Balance Sheets, the Group Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). 

In our opinion, the financial statements: 

- give a true and fair view of the state of the group’s and of the parent charitable company’s affairs as at 31 March 2022 and of the group’s incoming resources and application of resources, including its income and expenditure, for the year then ended; 

- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; 

- have been properly prepared in accordance with the requirements of the Companies Act 2006. 

## **Basis for opinion** 

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. 

## **Conclusions relating to going concern** 

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group’s or the parent’s ability to continue as a going concern for a period of at least 12 months from when the financial statements are authorised for issue. 

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. 

## **Other information** 

The other information comprises the information included in the annual report, including the trustees report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information contained in the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. 

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. 

We have nothing to report in this regard. 

34 



## **Belper Leisure Centre Limited** 

## **Independent Auditors’ Report to the Members of Belper Leisure Centre Limited (continued)** 

## **Opinions on other matters prescribed by the Companies Act 2006** 

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

- the information given in the trustees report, which includes the directors’ report and the strategic report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and 

- the trustees’ report (incorporating the strategic report and the directors’ report) have been prepared in accordance with applicable legal requirements. 

## **Matters on which we are required to report by exception** 

In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ Annual Report including the strategic report. 

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: 

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

- the financial statements are not in agreement with the accounting records and returns; or 

- certain disclosures of directors’ remuneration specified by law are not made; or 

- we have not received all the information and explanations we require for our audit. 

## **Responsibilities of trustees** 

As explained more fully in the directors’/trustees’ responsibilities statement (set out on page 33), the trustees (who are also the directors of the company for company law purposes) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. 

In preparing the financial statements, the trustees are responsible for assessing the group’s and the parent company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so. 

## **Auditor’s responsibilities for the audit of the financial statements** 

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. 

35 



## Belper Leisure Centre Limited 

## **Independent Auditors’ Report to the Members of Belper Leisure Centre Limited (continued)** 

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: 

We considered the nature of the group’s areas of activity and its control environment, and reviewed the group’s documentation of their policies and procedures relating to fraud and compliance with laws and regulations. We also enquired of management and trustees about their own identification and assessment of the risks of irregularities. 

We obtained an understanding of the legal and regulatory framework that the group operates in, and identified the key laws and regulations that: 

- had a direct effect on the determination of material amounts and disclosures in the financial statements. These included the UK Charities Act, UK Companies Act, and tax legislation; and 

- do not have a direct effect on the financial statements but compliance with which may be fundamental to the group’s ability to operate or to avoid a material penalty. 

We discussed among the audit engagement team regarding the opportunities and incentives that may exist within the organisation for fraud and how and where fraud might occur in the financial statements 

To address the risk of fraud through management bias and override of controls, we; 

- performed analytical procedures to identify any unusual or unexpected relationships; 

- tested journal entries to identify unusual transactions; 

- assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias 

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities 

## **Use of our report** 

This report is made solely to the Charity’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed. 

M J Lucking Senior Statutory Auditor For and on behalf of C. J. Lucking & Co. Statutory Auditors and Chartered Accountants 

34 Cross Street Long Eaton Nottingham NG10 1HD 

12[th] October 2022 

36