2021-06-30-accounts

Chelsea FC Foundation

Annual Report and Consolidated Financial Statements Company number 06858117 Charity number 1129723 For the year ended 30 June 2021

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Contents

Trustees’ report	3
Trustees' responsibilities statement	7
Independent auditor’s report to the members of Chelsea FC Foundation	8
Consolidated Statement of Financial Activities (incorporating Income & Expenditure Account)	12
Consolidated Balance Sheet	13
Charity Balance Sheet	14
Consolidated Cash Flow Statement	15
Consolidated Analysis of Net Debt	15
Charity Cash Flow Statement	16
Charity Analysis of Net Debt	16
Notes	17-30

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Trustees’ report

The trustees are pleased to present their trustees’ annual report together with the consolidated financial statements of Chelsea FC Foundation (the Charity) for the year ended 30 June 2021 which are also prepared to meet the requirements for a directors’ report and accounts for Companies Act purposes.

The consolidated financial statements have been prepared in accordance with the accounting policies set out on pages 17 to 20 of the attached consolidated financial statements and comply with the Charity’s Memorandum and Articles of Association, applicable laws and the Statement of Recommended Practice: Accounting and Reporting by Charities (the SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and Companies Act 2006, effective from accounting periods commencing 1 January 2019 or later.

Structure, Governance and Management

Governing Document

Chelsea FC Foundation is a company limited by guarantee, governed by its Memorandum and Articles of Association dated 25 March 2009 and amended on 25 January 2011 and 16 August 2018. It is registered as a charity with the Charity Commission (registered number 1129723).

Appointment of Trustees

As set out in the Articles of Association, Trustees are invited to join the Board. Chelsea Football Club Limited (‘the Club’) can appoint up to four Trustees.

On appointment, trustees complete a register of interests and new trustees will undertake an induction programme that includes familiarisation with the purposes and operation of the Charity, its strategies and its objectives. There is a training programme for trustees and trustees are encouraged to attend appropriate external training events to assist them in the undertaking of their role.

Organisation

The board of Trustees, which shall include no less than three members, administers the Charity. The board meets at least twice a year. A Head of Foundation is appointed by the Trustees to manage the day-to-day operations of the Charity. To facilitate effective operations, the Head of Foundation has delegated authority, within terms of delegation approved by the Trustees, for operational matters including finance, employment, education and sport related activity.

Subsidiary companies

The Charity has one trading subsidiary, Chelsea FC Foundation Trading Company Limited (TCL) and one charitable subsidiary, The Chelsea Players’ Trust (CPT).

Any profit generated by the activities of the trading subsidiary is donated to the Charity.

Related Parties

The Trustees consider that Chelsea FC plc and its subsidiaries Chelsea Football Club Ltd and Chelsea FC Merchandising Ltd are related parties of the Charity.

Muckle LLP is also considered to be a related party as Mr J Devine, one of the trustees of Chelsea FC Foundation, is currently a partner at Muckle LLP.

Risk Management

The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. Trustees have assessed the major risks to which the Charity is exposed, with particular attention focused on non-financial risks arising from working with young people. A key element in the management of financial risk is the setting of a regular review through the management team.

3

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Trustees’ Report (continued)

Chairman’s Statement

At the Foundation we believe that football can inspire, educate and motivate. The game has a unique ability to bring people together in a way that few other sports or organisations can.

Through the Foundation we are proud of our work delivering programmes using sport to create stronger safer communities and empowering individuals through education, sport and inclusion. As well as celebrating success on the pitch we are very proud of work we do away from it - creating a club and communities that are welcoming and open to all.

The last year has been challenging for the Foundation, as it has for many other charities and community organisations. Throughout the Covid crisis the Foundation demonstrated itself to be one of the most innovative club community organisations, creating a range of online activities, coaching programmes and lessons to engage participants, offering them support in what were unprecedented times.

As we came out of the first lockdown the Foundation again demonstrated its innovation and flexibility by creating a range of socially distanced coaching initiatives and small-sided drills. Our education programmes were supported by the players who joined virtual classrooms to greet the participants.

Permanent staff were supported by maintaining salaries without relying on the Government furlough scheme and casual colleagues were supported through discretionary pay based on monthly averages. This was reintroduced as the second lockdown was announced, offering all colleagues some security and support.

Naturally there was a negative impact on many of the Foundation’s programmes. Where possible, courses went to virtual delivery, utilising technology and social media platforms however, many of our football development and school sessions were impacted by the lockdown measures. Funding from the Premier League Charitable Fund remained unchanged for the period despite restrictions on face-to-face delivery.

We saw the development of our award-winning Say No To Antisemitism programme, supported by the club owner Roman Abramovich. The Foundation developed programmes in conjunction with the RAF Museum to support the Hidden Heroes project highlighting the Jewish service people who fought during the War. We were delighted to welcome fans to the Imperial War Museum following Mr Abramovich’s support for the new Holocaust Galleries.

We were also delighted to join forces with the Anti-Defamation League (ADL) to bring together children in London and America to learn about equality and celebrate the diversity using examples from in and around Chelsea. The lessons are based on how teams of people from different cultures and different backgrounds work together and how these lessons can be applied to their own classrooms and their communities.

In turn, the Say No to Antisemitism programme has inspired us to dedicate more resources towards our wider equality work and our Say No To Hate initiative is now taking the lessons learnt and applying them across a range of discrimination issues. Through the programme we hope to change the culture of football, celebrate our own multicultural history, and provide new opportunities for under-represented communities.

The Board of the club and the Trustees of the Foundation wholeheartedly believe we have an obligation to use our privileged standing to make a real and long-lasting difference.

We want to use our unique position to be a positive force in society and to demonstrate to our wider communities that football is more than just a sport. Through the Foundation we believe we are affecting positive and long-lasting change in communities at home and throughout the world.

4

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Trustees’ Report (continued)

Financial Review

The results for the year ended 30 June 2021 show net outgoing resources of £681,378 (2020: net outcoming resources of £462,171 ) . Total incoming resources were £5,692,200 (2020: £8,104,869) and total resources expended were £6,373,578 (2020: £8,567,040). The fall in incoming resources has been caused by the disruption to the Charity’s activities due to the COVID-19 pandemic, in particular revenue generated from the football development programmes.

Donated Services

The Charity receives financial support from Chelsea FC plc and its subsidiaries to the extent that support functions are provided free of any charge.

Investment procedures and policy

At the present time, the Chelsea FC Foundation have interest bearing cash deposits available in order to meet ongoing liquidity requirements. The Trustees have powers to invest the funds as they see fit, as set out in the Memorandum and Articles of Association.

Reserves Policy

In the year ended 30 June 2018 the Trustees approved a change to the Reserves Policy. The previous policy was to build enough reserves to meet six months running costs of Chelsea FC Foundation plus charity wind up costs; estimated at £2-£2.5 million. The current Policy looks instead at the Foundation’s commitments, resulting in a required reserves level of £0.8-£1.2 million.

Trustees consider free reserves to be the unrestricted reserves of the charity, which have a surplus at the year-end of £965,707 (2020: £1,516,469) . The Trustees approved the investment of a portion of the 30 June 2018 surplus into future programmes, which is allocated to a designated fund. The balance of this fund at 30 June 2021 was £Nil (2020: £304,265) . Any further excess in unrestricted reserves will be held as a capital fund, to be used to develop new facilities. Please see note 15.

The financial statements have been prepared on the going concern basis which the trustees believe to be appropriate. See Note 1 for further details.

Provision of information to auditor

In accordance with company law, as the Charity Trustees, we certify that:

• So far as each Trustee is aware, there is no relevant audit information of which the Charity’s auditor is unaware; and

• As the Trustees of the Charity we have each taken all the steps that we ought to have taken in order to make ourselves aware of any relevant audit information and to establish that the Charity’s auditor is aware of that information

5

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Trustees’ Report (continued)

Reference and Administration Details

Trustees

BM Buck JR Devine EC Hayes OBE P Powar P Ramos Sir HM Robertson KCMG

Secretary

Muckle Secretary Limited

Head of Foundation

S Taylor

Registered office

Stamford Bridge Fulham Road London, SW6 1HS

Banker

Barclays Pall Mall Corporate Banking Centre 50 Pall Mall London, SW1A 1QA

Solicitor

Muckle LLP 32 Gallowgate Newcastle Upon Tyne, NE1 4BF

Auditor

KPMG LLP Chartered Accountants and Registered Auditors 15 Canada Square London, E14 5GL

Company/Charity number:

Company number: 06858117 Charity Number: 1129723

6

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Trustees’ Report (continued)

Statement of responsibilities of the Trustees of Chelsea FC Foundation in respect of the Trustees’ annual report and the consolidated financial statements

The trustees are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and regulations.

Company law requires the trustees to prepare financial statements for each financial year. Under that law they have are required to prepare the group and parent company financial statements in accordance with UK Accounting Standards and applicable law (UK Generally Accepted Accounting Practice), including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland .

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 group and charitable company and of the group’s excess of expenditure over income for that period. In preparing each of the group and charitable company financial statements, the trustees are required to:

• select suitable accounting policies and then apply them consistently;

• make judgements and estimates that are reasonable and prudent;

• state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

• assess the group’s and the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern; and

• use the going concern basis of accounting unless they either intend to liquidate the group or the charitable company or to cease operations, or have no realistic alternative but to do so.

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that its financial statements comply with the Companies Act 2006. They are responsible for such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error, and have general responsibility for taking such steps as are reasonably open to them to safeguard the assets of the group and to prevent and detect 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 UK governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

17/01/22

Approved by the Board of Trustees and signed on behalf of the Board on ____.

BM Buck Trustee

Stamford Bridge Fulham Road London SW6 1HS

7

Independent auditor’s report to the members of Charity FC Foundation

Opinion

We have audited the financial statements of Chelsea FC Foundation (“the charitable company”) for the year ended 30 June 2021 which comprise the Consolidated Statement of Financial Activities (incorporating Income & Expenditure Account), Consolidated Balance Sheet, Charity Balance Sheet, Consolidated Cash Flow Statement, Charity Cash Flow Statement and related notes, including the accounting policies in note 1.

In our opinion the financial statements:

• give a true and fair view of the state of the group’s and of the charitable company’s affairs as at 30 June 2021 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 UK accounting standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland ; and

• have been 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 are described below. We have fulfilled our ethical responsibilities under, and are independent of the group in accordance with, UK ethical requirements including the FRC Ethical Standard. We believe that the audit evidence we have obtained is a sufficient and appropriate basis for our opinion.

Going concern

The trustees have prepared the financial statements on the going concern basis as they do not intend to liquidate the group or the charitable company or to cease their operations, and as they have concluded that the group and the charitable company’s financial position means that this is realistic. They have also concluded that there are no material uncertainties that could have cast significant doubt over their ability to continue as a going concern for at least a year from the date of approval of the financial statements (“the going concern period”).

In our evaluation of the trustees’ conclusions, we considered the inherent risks to the group’s business model and analysed how those risks might affect the group and charitable company’s financial resources or ability to continue operations over the going concern period.

Our conclusions based on this work:

• we consider that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate;

• we have not identified, and concur with the trustees’ assessment that there is not, a material uncertainty related to events or conditions that, individually or collectively, may cast significant doubt on the group or the charitable company's ability to continue as a going concern for the going concern period.

However, as we cannot predict all future events or conditions and as subsequent events may result in outcomes that are inconsistent with judgements that were reasonable at the time they were made, the above conclusions are not a guarantee that the group or the charitable company will continue in operation.

8

Independent auditor’s report to the members of Charity FC Foundation (continued)

Fraud and breaches of laws and regulations – ability to detect

Identifying and responding to risks of material misstatement due to fraud

To identify risks of material misstatement due to fraud (“fraud risks”) we assessed events or conditions that could indicate an incentive or pressure to commit fraud or provide an opportunity to commit fraud. Our risk assessment procedures included:

• Enquiring of Trustees and inspection of policy documentation as to the Group’s high-level policies and procedures to prevent and detect fraud, as well as whether they have knowledge of any actual, suspected or alleged fraud.

• Reading Trustee Board minutes.

• Using analytical procedures to identify any unusual or unexpected relationships.

We communicated identified fraud risks throughout the audit team and remained alert to any indications of fraud throughout the audit.

As required by auditing standards, we perform procedures to address the risk of management override of controls and the risk of fraudulent revenue recognition, in particular:

• the risk that Group management may be in a position to make inappropriate accounting entries;

• the risk that restricted revenue is recognised as unrestricted revenue; and

• the risk that revenue is overstated through recording revenues in the wrong period.

We did not identify any additional fraud risks.

We performed procedures including:

• Identifying journal entries to test based on risk criteria and comparing the identified entries to supporting documentation. These included those posted to unusual account combinations, duplicated journals, material post year-end journals and those which reallocated restricted revenue to an unrestricted code;

• Reconciling income disclosed to cash received;

• Assessing whether transactions either side of the balance sheet date are recognised in the correct period;

• Assessing the reasonableness of income codes’ classification as restricted or unrestricted;

• Agreeing a sample of restricted and unrestricted income items to underlying evidence to confirm correct classification.

Identifying and responding to risks of material misstatement related to compliance with laws and regulations

We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial and sector experience and through discussion with the Trustees and other management (as required by auditing standards). We discussed with the Trustees and other management the policies and procedures regarding compliance with laws and regulations.

We communicated identified laws and regulations throughout our team and remained alert to any indications of noncompliance throughout the audit.

The potential effect of these laws and regulations on the financial statements varies considerably.

9

Independent auditor’s report to the members of Charity FC Foundation (continued)

Firstly, the Group is subject to laws and regulations that directly affect the financial statements including financial reporting legislation (including related companies’ legislation and the Charities SORP) and taxation legislation and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.

Secondly, the Group is subject to many other laws and regulations where the consequences of non-compliance could have a material effect on amounts or disclosures in the financial statements, for instance through the imposition of fines or litigation. We identified the following areas as those most likely to have such an effect: health and safety, data protection laws, anti-bribery, employment law, and certain aspects of company and charity legislation, recognising the nature of the Group’s activities and its legal form. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Trustees and other management and inspection of regulatory and legal correspondence, if any. Therefore, if a breach of operational regulations is not disclosed to us or evident from relevant correspondence, an audit will not detect that breach.

Context of the ability of the audit to detect fraud or breaches of law or regulation

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it.

In addition, as with any audit, there remained a higher risk of non-detection of fraud, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. Our audit procedures are designed to detect material misstatement. We are not responsible for preventing non-compliance or fraud and cannot be expected to detect non-compliance with all laws and regulations.

Other information

The trustees are responsible for the other information, which comprises the Trustees' Annual Report . Our opinion on the financial statements does not cover the other information and, accordingly, we do not express an audit opinion or, except as explicitly stated below, any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether, based on our financial statements audit work, the information therein is materially misstated or inconsistent with the financial statements or our audit knowledge. Based solely on that work:

• we have not identified material misstatements in the other information;

• in our opinion the information given in the Trustees' Annual Report, which constitutes the trustees’ report for the financial year, is consistent with the financial statements; and

• in our opinion that report has been prepared in accordance with the Companies Act 2006.

Matters on which we are required to report by exception

Under the Companies Act 2006 we are required to report to you if, in our opinion:

• the charitable company has not kept adequate accounting records or returns adequate for our audit have not been received from branches not visited by us; or

• the charitable company financial statements are not in agreement with the accounting records and returns; or

• certain disclosures of trustees’ remuneration specified by law are not made; or

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

We have nothing to report in these respects.

10

Independent auditor’s report to the members of Charity FC Foundation (continued)

Trustees’ responsibilities

As explained more fully in their statement set out on page 7, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view; such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error; assessing the group’s and the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern; and using the going concern basis of accounting unless they either intend to liquidate the group or the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities

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 our opinion in an auditor’s report. Reasonable assurance is a high level of assurance, but does not 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 aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the financial statements.

A fuller description of our responsibilities is provided on the FRC’s website at www.frc.org.uk/auditorsresponsibilities.

The purpose of our audit work and to whom we owe our responsibilities

This report is made solely to the charitable company’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 its members, as a body, for our audit work, for this report, or for the opinions we have formed.

Paul Barron (Senior Statutory Auditor)

for and on behalf of KPMG LLP, Statutory Auditor

Chartered Accountants

15 Canada Square, London, E14 5GL Date: 18th January 2022

11

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Consolidated Statement of Financial Activities (incorporating Income & Expenditure Account)

for the year ended 30 June 2021

					Unrestricted	Restricted	Total
		Unrestricted	Restricted	Total	funds	funds	2020
		funds	funds	2021	(as restated*)	(as restated*)	(as restated*)
	Notes	£	£	£	£	£	£
Incoming resources
Incoming resources from
generated funds:
Voluntary income	2	584,602	955,288	1,539,890	712,255	1,335,983	2,048,238
Activities for generating funds	3	177,805	-	177,805	196,483	-	196,483
Incoming resources from
charitable activities	4	3,005,522	968,983	3,974,505	3,896,454	1,963,694	5,860,148
Total incoming resources		3,767,929	1,924,271	5,692,200	4,805,192	3,299,677	8,104,869
Resources expended
Cost of generating funds:
Fundraising trading: cost of		(156)	-	(156)	(156)	-	(156)
goods sold and other costs
Charitable activities		(4,280,753)	(2,054,887)	(6,335,640)	(6,056,519)	(2,474,685)	(8,531,204)
Governance costs		(37,782)	-	(37,782)	(35,680)	-	(35,680)
Total resources expended	5	(4,318,691)	(2,054,887)	(6,373,578)	(6,092,355)	(2,474,685)	(8,567,040)
Net incoming resources
before other recognised gains,
losses, transfers		(550,762)	(130,616)	(681,378)	(1,287,163)	824,992	(462,171)
Net income for the year/Net
movement in funds		(550,762)	(130,616)	(681,378)	(1,287,163)	824,992	(462,171)
Fund balances b/fwd at 1 July	15
2020		1,516,469	1,224,977	2,741,446	2,803,632	399,985	3,203,617
Fund balances c/fwd at 30	13, 16	965,707	1,094,361	2,060,068	1,516,469	1,224,977	2,741,446
June 2021

The Charity has no recognised gains or losses other than the net movement of funds for the year (2020: £Nil).

The Charity has taken advantage of the exemption afforded by section 408 of the Companies Act 2006 and a separate Statement of Financial Activities and Income and Expenditure Account for the charity has not been presented.

The notes on pages 17 to 30 form part of these financial statements.

• See Note 15 for details of the restatement

12

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Consolidated Balance Sheet

as at 30 June 2021

Notes Fixed assets Intangible fixed assets 8 Tangible fixed assets 9 Current assets Debtors 10 Cash at bank and in hand Creditors: amounts falling due within one year 11 Net current assets Total assets less current liabilities Net assets Charitable funds Unrestricted funds 15,16 Restricted funds 15,16 13,15,16	(As restated) 2021 2020 £ £ 8,100 - 50,148 62,185 58,248 62,185 1,465,649 2,296,691 1,805,141 3,704,117 3,270,790 6,000,808 (1,268,970) (3,321,547) 2,001,820 2,679,261 2,060,068 2,741,446 2,060,068 2,741,446 965,707 1,516,469 1,094,361 1,224,977 2,060,068* 2,741,446

These financial statements were approved by the Board of Trustees on _______. 17/01/22

Signed on behalf of the Board of Trustees

BM Buck Trustee

Company registration number 06858117

Charity registration number 1129723

The notes on pages 17 to 30 form part of these financial statements.

• See Note 15 for details of the restatement

13

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Charity Balance Sheet

as at 30 June 2021

Notes Fixed assets Intangible fixed assets 8 Tangible fixed assets 9 Investments 17 Current assets Debtors 10 Cash at bank and in hand Creditors: amounts falling due within one year 11 Net current assets Total assets less current liabilities Net assets Charitable funds Unrestricted funds 16 Restricted funds 16 13	(As restated) 2021 2020 £ £ 8,100 - 50,148 62,185 1 1 58,249 62,186 1,594,851 2,401,804 1,387,801 3,322,395 2,982,652 5,724,199 (1,280,440) (3,329,267) 1,702,212 2,394,932 1,760,461 2,457,118 1,760,461 2,457,118 666,100 1,232,141 1,094,361 1,224,977 1,760,461* 2,457,118

These financial statements were approved by the Board of Trustees on _____. 17/01/22

Signed on behalf of the Board of Trustees

BM Buck Trustee

Company registration number 06858117

Charity registration number 1129723

The notes on pages 17 to 30 form part of these financial statements.

• See Note 15 for details of the restatement

14

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Consolidated Cash Flow Statement for the year ended 30 June2021 Notes Net cash (used in)/generated from operating activities Cash flows from investing activities Purchase of intangible assets 8 Purchase of tangible fixed assets 9 Net cash used in investing activities Net (decrease)/increase in cash and cash equivalents Cash and cash equivalents at the beginning of year Cash and cash equivalents at the end of year Reconciliation of net movement in funds to net cash flows from Net movement in funds 13 Adjustments for: Depreciation of tangible fixed assets 9 Amortisation of intangible fixed assets 8 Movements in working capital: Decrease/(increase) in debtors 10 (Decrease)/increase in creditors 11 Net cash (used in)/generated from operating activities	2021 £ £ (1,883,584) (8,100) (7,292) (15,392) (1,898,976) 3,704,117 1,805,141 operating activities (681,378) 19,329 - 831,042 (2,052,577) (1,883,584)	2020 £ - (2,739)		£ 310,233 (2,739) 307,494 3,396,623 3,704,117 (462,171) 25,971 2,389 (745,783) 1,489,827
				310,233

Consolidated Analysis of Net Debt

for the year ended 30 June 2021

Cash at bank and in hand	At 1 July 2020 £ 3,704,117 3,704,117	Cash flows £ (1,898,976) (1,898,976)	At 30 June 2021 £ 1,805,141
			1,805,141

15

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Charity Cash Flow Statement for the year ended 30 June2021 Notes Net cash (used in)/generated from operating activities Cash flows from investing activities Purchase of intangible assets 8 Purchase of tangible fixed assets 9 Net cash used in investing activities Net (decrease)/increase in cash and cash equivalents Cash and cash equivalents at the beginning of year Cash and cash equivalents at the end of year Reconciliation of net movement in funds to net cash flows from Net movement in funds 13 Adjustments for: Depreciation of tangible fixed assets 9 Amortisation of intangible fixed assets 8 Movements in working capital: Decrease/(increase) in debtors 10 (Decrease)/increase in creditors 11 Net cash (used in)/generated from operating activities Charity Analysis of Net Debt for the year ended 30 June2021 Cash at bank and in hand	2021 £ £ (1,919,202) - (15,392) (15,392) (1,934,594) 3,322,395 1,387,801 operating activities (696,657) 19,329 - 806,953 (2,048,827) (1,919,202) At 1 July 2019 £ 3,322,395 3,322,395	2020 £ - (2,739) Cash flows £ (1,934,594) (1,934,594)		£ 273,240 (2,739) 270,501 3,051,894 3,322,395 (475,043) 25,971 2,389 (769,401) 1,489,324
				273,240
				At 30 June 2020 £ 1,387,801
				1,387,801

16

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Notes

1 Accounting policies

Charity information

Chelsea FC Foundation is a private company limited by guarantee (Companies House No. 06858117) and a registered charity (Registered Charity No. 1129723). It is incorporated and domiciled in England and Wales. The registered office is Stamford Bridge, Fulham Road, London, SW6 1HS, UK. The principal activities of the Group and Charity are mentioned in the Trustees’ Report.

The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the Group’s financial statements.

Basis of preparation

These accounts have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”), the Statement of Recommended Practice: Accounting and Reporting by Charities (the SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and Companies Act 2006, effective from accounting periods commencing 1 January 2019 or later. The Chelsea FC Foundation is a Public Benefit Entity as defined by FRS 102.

The accounts are prepared in sterling, which is the functional currency of the Group. Monetary amounts in these financial statements are rounded to the nearest £.

The accounts have been prepared under the historical cost convention.

Going concern

The financial statements have been prepared on a going concern basis which the trustees consider to be appropriate for the following reasons.

In the previous year, the COVID-19 Pandemic caused the suspension of many of the Charity’s activities. During the course of the current year, many of these activities have resumed, albeit subject to some restrictions, particularly in relation to international travel which has limited the ability to run overseas soccer schools. This has limited the ability of the Charity to generate revenues at the level the trustees would previously have expected.

The trustees have prepared cash flow forecasts for a period of 12 months from the date of approval of these financial statements which indicate that the Charity will have sufficient funds to meet its liabilities as they fall due for that period. In light of the ongoing COVID-19 Pandemic, the Charity is currently forecasting some continued local restrictions in the 2021/22 financial year with normal trading returning in Spring 2022.

The trustees are therefore confident that the Charity will have sufficient funds to continue to meet its liabilities as they fall due for at least 12 months from the date of approval of the financial statements and therefore have prepared the financial statements on a going concern basis.

17

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Notes ( continued )

Accounting policies (continued)

Consolidation

These consolidated financial statements consolidate the results of the Charity and its wholly owned subsidiary undertakings, Chelsea FC Foundation Trading Company Ltd and The Chelsea Players’ Trust on a line-by-line basis.

These accounts are made up to 30 June 2021 and are based on the accounts of the subsidiary undertakings which are coterminous with those of the Charity.

A separate Statement of Financial Activities and Income and Expenditure Account for the charity has not been presented because the Charity has taken advantage of the exemption afforded by section 408 of the Companies Act 2006. The results for the Charity Chelsea FC Foundation are a deficit of £696,657 for the year ended 30 June 2021 ( 2020: deficit of £475,043 ). Gross incoming resources for the year ended 30 June 2021 of £5,638,451 (2020: £8,036,833) were recognised.

Donated services

The Charity does not include donated services and facilities in the Statement of Financial Activities as the Charity is unable to reasonably quantify or measure the value of these services. Donated services and financial support are received from Chelsea FC plc and its subsidiaries to the extent that premises and support functions are provided free of any charges.

Incoming Resources

All incoming resources are included in the statement of financial activities when the Charity is entitled to the income and the amount can be quantified with reasonable accuracy, net of any applicable sales discounts and VAT. The following specific policies are applied to particular categories of income:

• Incoming resources from charitable activities are included when earned, these resources relate to football programmes conducted by Chelsea FC Foundation for which individuals pay to attend.

• Incoming resources from grants, where related to performance and specific deliverables, are accounted for as the Charity earns the right to consideration by its performance.

• Incoming resources from donations and other voluntary sources are credited to the State of Financial Activities when receivable. Where such incoming resources are received in advance the income is deferred until the Charity becomes entitled to the resources.

Resources expended

Resources expended have been charged to the statement of financial activities on an accruals basis. 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.

Support costs relating to a single activity are allocated directly to that activity. Where support costs relate to several activities they have been apportioned on a basis consistent with the average consumption of resources within the Foundation.

Governance costs represent the costs associated with the governance arrangements of the Group as opposed to those costs associated with fundraising or charitable activity.

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

Unrestricted funds

Unrestricted funds are funds which can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds

Restricted funds are funds raised or donated for a specific purpose. All other funds are classified as unrestricted.

18

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Notes ( continued )

Accounting policies (continued)

Depreciation and tangible fixed assets

Capital purchases in excess of £500 are capitalised as tangible fixed assets.

Tangible fixed assets are stated at cost, net of depreciation and any provision for impairment. Depreciation on tangible fixed assets is calculated on a straight line basis and aims to write down their costs to their estimated residual value over their expected useful lives as follows:

Fixtures & Fittings - 3 years Leasehold improvements – 10 years

Amortisation and intangible fixed assets

Intangible fixed assets are stated at cost, net of amortisation and any provision for impairment. Intangible fixed assets are amortised at rates calculated to write off the assets on a straight basis over their estimated useful economic lives, not to exceed twenty years. Impairment of intangible assets is only reviewed where circumstances indicate that the carrying value of an asset may not be fully recoverable.

Software licenses – through the term of the license

Basic Financial Assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Impairment of Financial Assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of Financial Assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the Group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

19

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Notes ( continued )

Accounting policies (continued)

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Group after deducting all of its liabilities.

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors hare obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Pension costs

The Charity contributes to defined contribution benefit schemes on behalf of employees. The amount charged in the statement of financial activities is the amount payable in the year. Differences between contributions payable in the year and contributions actually paid are shown as either accruals or prepayments in the balance sheet.

Taxation

Chelsea FC Foundation is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a Charity for UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

Judgements and key sources of estimation uncertainty

In the application of the Charity’s accounting policies, the trustee’s are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

There are no estimates and assumptions which have a significant risk of causing a material adjustment to the carrying value of assets and liabilities within the financial statements.

Statutory Accounts

The statutory accounts will be filed with the Registrar of Companies.

2 Voluntary Income

Unrestricted funds Restricted funds Total 2021 Unrestricted funds £ £ £ £ Gift, donations and legacies 584,602 955,288 1,539,890 712,255 Grants received from Charitable foundations - - - - 584,602 955,288 1,539,890 712,255	Restricted funds Total 2020 £ £ 1,335,983 2,048,238 - - 1,335,983 2,048,238

The antisemitism project received income of £490,000 (2020: £1,335,983) which is included within gift, donations and legacies.

20

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Notes (continued)

3 Activities for generating funds

	Unrestricted	Restricted	Total	Unrestricted	Restricted	Total
	funds	funds	2021	funds	funds	2020
	£	£	£	£	£	£
Raffles and lottery	177,805	-	177,805	128,447	-	128,447
Fundraising events	-	-	-	68,036	-	68,036
	177,805	-	177,805	196,483	-	196,483

4 Incoming resources from charitable activities

	Unrestricted	Restricted	Total	Unrestricted	Restricted	Total
	funds	funds	2021	funds	funds	2020
	£	£	£	£	£	£
Sale of services as part of the	2,880,665	22,916	2,903,581	3,889,434	23,960	3,913,394
direct charitable activities
Grants received for the provision	124,857	946,067	1,070,924	7,020	1,939,734	1,946,754
of services
	3,005,522	968,983	3,974,505	3,896,454	1,963,694	5,860,148

5 Resources expended

Unrestricted Funds £ Analysis of total resources expended Staff costs 2,895,930 Support costs (i) 263,832 Other direct costs (ii) 1,158,929 4,318,691 (i) Analysis of support costs Telephone, postage, stationery and printing Other support costs Consultancy and professional costs Depreciation and amortisation Audit fees Tax and other non-audit fees		Restricted Funds Total 2021 Unrestricted Funds (as restated) Restricted Funds (as restated) £ £ £ £ 616,293 3,512,223 3,080,510 641,634 685,584 949,416 836,651 1,684,547 753,010 1,911,939 2,175,194 148,504 2,054,887 6,373,578 6,092,355 2,474,685 Trading costs Governance Costs Charitable Activities Total 2021 £ £ £ £ - - 19,527 19,527 156 - 518,801 518,957 - - 353,821 353,821 - - 19,329 19,329 - 25,000 - 25,000 - 12,782 - 12,782 156 37,782 911,478 949,416	Total 2020 £ 3,722,144 2,521,198 2,323,698 8,567,040

21

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Notes (continued)

5 Resources expended ( continued)

Trading costs Governance Costs £ £ (i) Analysis of support costs Telephone, postage, stationery and printing - - Other support costs 156 - Consultancy and professional costs - - Depreciation and amortisation - - Audit fees - 21,500 Tax and other non-audit fees - 14,180 156 35,680 The net movement in funds is shown after charging the following costs: (ii) Analysis of other direct costs Coaching programme costs Other costs Transport costs Coach Education costs Fees payable to Charity’s auditor for the audit of the Charity’s annual accounts Fees payable to Charity’s auditor in respect of taxation and other services Amortisation of intangible assets Depreciation of tangible assets Operating lease charges	Charitable Activities £ 41,655 1,004,360 1,410,987 28,360 - - 2,485,362	Total 2020 £ 41,655 1,004,516 1,410,987 28,360 21,500 14,180 2,521,198 2021 £ 1,193,843 680,433 27,799 9,864 1,911,939 2021 £ 25,000 12,782 - 19,329 120,000		2020 £ 2,185,957 113,686 17,862 6,193 2,323,698 2020 £ 21,500 14,180 2,389 25,971 120,000

The net movement in funds is shown after charging the following costs:

22

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Notes (continued)

6 Staff numbers and costs

Employee costs during the year amounted to: Wages and salaries Social security costs Other pension costs Average monthly number of persons employed by the Charity during the period excluding directors/trustees:	2021 £ 3,060,768 304,246 147,209 3,512,223 No. 96	2020 £ 3,223,771 358,047 140,326 3,722,144 No. 104

Key management compensation

Key management compensation includes the members of senior management. The compensation paid or payable to key management for employee services is shown below:

Salaries and other short-term benefits	2021 £ 451,823 451,823	2020 £ 388,822 388,822

The number of employees who earned £60,000 per annum or more (including taxable benefits but excluding employer pension contributions) during the year were as follows:

	2021	2020
	No.	No.
£60,001 - £70,000	4	3
£80,001 - £90,001	1	1
£110,001 - £120,000	1	1
£130,001 - £140,000	-	-

No retirement benefits are accruing for the six (2020: five) higher paid employees detailed above. Total contributions to the defined contribution scheme amounted to £147,209 (2020: £140,326) . None of the trustees received any remuneration in respect of their services as directors/trustees of the Charity, neither did any of the trustees receive any reimbursement of expenses in this respect.

23

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Notes (continued)

7 Taxation

Chelsea FC Foundation is a registered charity and is entitled to certain tax exemptions on income and profit from investments, as well as any surpluses on any trading activities carried on in furtherance of the Charity’s primary objectives, if these profits and surpluses are applied solely for charitable purposes. The subsidiary makes a Gift Aid payment to the charity if they produce a taxable profit in the financial period.

8 Intangible fixed assets

Group Cost At 1 July 2020 Additions Disposals At 30 June 2021 Amortisation At 1 July 2020 Provided in year Eliminated on disposal At 30 June 2021 Net book value At 30 June 2021 At 30 June 2020 Charity Cost At 1 July 2020 Additions Disposals At 30 June 2021 Amortisation At 1 July 2020 Provided in year Eliminated on disposal At 30 June 2021 Net book value At 30 June 2021 At 30 June 2020	Software licence £ 72,258 8,100 (72,258) 8,100 72,258 - (72,258) - 8,100 - Software licence £ 72,258 8,100 (72,258) 8,100 72,258 - (72,258) 72,258 8,100 -	Total £ 72,258 8,100 (72,258)
		8,100
		72,258 - (72,258)
		-
		8,100
		-
		Total £ 72,258 8,100 (72,258)
		8,100
		72,258 - (72,258)
		72,258
		8,100
		-

24

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Notes (continued)

9 Tangible fixed assets

Group Fixtures & Leasehold Fittings Improvements £ £ Cost At 1 July 2020 202,330 94,184 Additions 7,292 - Disposals (193,236) - At 30 June 2021 16,386 94,184 Depreciation At 1 July 2020 191,161 43,168 Provided in year 9,911 9,418 Eliminated on disposal (193,236) - At 30 June 2021 7,836 52,586 Net book value At 30 June 2021 8,550 41,598 At 30 June 2020 11,169 51,016 Charity Fixtures & Leasehold Fittings Improvements £ £ Cost At 1 July 2020 202,330 94,184 Additions 7,292 - Disposals (193,236) - At 30 June 2021 16,386 94,184 Depreciation At 1 July 2020 191,161 43,168 Provided in year 9,911 9,418 Eliminated on disposal (193,236) - At 30 June 2021 7,836 52,586 Net book value At 30 June 2021 8,550 41,598 At 30 June 2020 11,169 51,016	Total £ 296,514 7,292 (193,236)
	110,570
	234,329 19,329 (193,236)
	60,422
	50,148
	62,185
	Total £ 296,514 7,292 (193,236)
	110,570
	234,329 19,329 (193,236)
	60,422
	50,148
	62,185

25

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Notes (continued)

10 Debtors

Trade debtors Other debtors Prepayments and accrued income Amounts due from group companies	2021 Group 2021 Charity £ £ 680,789 680,789 89,916 89,916 694,944 694,944 - 129,202 1,465,649 1,594,851	2020 Group 2020 Charity £ £ 1,149,479 1,149,479 327,212 327,212 820,000 820,000 - 105,113 2,296,691 2,401,804

Trade Debtors includes amounts due from related parties totalling £54,995 (2020: £306,840) as set out in note 14.

11 Creditors: amounts falling due within one year

Trade creditors Amounts owed to group companies Accruals and deferred income Social security and other taxes	2021 Group 2021 Charity £ £ 50,305 50,305 - 12,220 1,125,075 1,125,075 93,590 92,840 1,268,970 1,280,440	2020 Group 2020 Charity £ £ 1,730,583 1,730,583 - 7,720 1,588,979 1,588,979 1,985 1,985 3,321,547 3,329,267

Accruals are recognised where grants have been awarded pre-year end and the monies are only paid post year end.

Deferred income from the sale of services is recognised where cash is received in advance of service delivery. These cash receipts are a maximum of nine months in advance of service delivery.

Creditors due within one year includes amounts owed to related parties totalling £1,315 (2020: £1,675,255) as set out in note 14.

12 Called up share capital

The Charity is limited by guarantee and has no share capital. The liability of the trustees as members is limited by guarantee to not more than £10.

13 Reconciliation of movements in fund balances

At 30 June 2019 Net movement of funds At 30 June 2020 Net movement of funds At 30 June 2021	Group £ 3,203,617 (462,171) 2,741,446 (681,378) 2,060,068	Charity £ 2,932,161 (475,043) 2,457,118 (696,657) 1,760,461

26

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Notes (continued)

14 Related party transactions

The Charity conducts business transactions on a normal commercial basis with, and receives a number of services from the following related Companies:

	Sales to	related	Purchases from	Purchases from	Balance	Balance	Balance	payable
	party		related party		receivable
	2021	2020	2021	2020	2021	2020	2021	2020
	£	£	£	£	£	£	£	£
Chelsea Football	135,550	348,725	13,969	106,003	49,570	303,475	931	-
Club Ltd
Muckle LLP	-	-	1,741	9,797	-	-	-	-
Chelsea FC	-	-	2,761	336,275	-	-	-	-
Merchandising
Chelsea FC plc	380,000	-	326,333	4,749,823	-	-	384	1,675,255
Chelsea Football	-	9,584	-	-	5,425	3,365	-	-
Club Women Ltd
Chelsea Car Parks	-	-	-	5,968	-	-	-	-
Ltd
Fare Network Ltd	-	-	-	80,000	-	-	-	-

Chelsea Football Club Limited, Chelsea FC plc, Chelsea FC Merchandising, Chelsea Woman’s Football Club Limited and Chelsea Car Parks Limited are related parties due to a number of trustees of Chelsea FC Foundation being directors of the Chelsea FC group companies.

Sales to Chelsea Football Club Limited include the recharge of coaching time conducted by Foundation staff on behalf of the Football Club.

Chelsea FC plc process all payroll on behalf of the Foundation and this is invoiced to the Foundation monthly as well as other services provided to the Foundation.

Amounts owed to Chelsea FC Merchandising relate to costs for one-off charges of merchandise items or stadium tours used as lottery/raffle prizes.

Muckle LLP is a related party as Mr J Devine, one of the trustees of Chelsea FC Foundation is currently a partner at Muckle LLP. The firm has been engaged in the year to provide legal advice to the Charity.

Fare Network Limited is a related party as Mr P Powar, one of the trustees of Chelsea FC Foundation is currently a director at Fare Network Limited who worked alongside the Charity with the ‘Say No To Antisemitism’ campaign.

27

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Notes (continued)

15 Reconciliation of movement of net funds

Group	Funds at start	Restatement	Funds at start	Incoming	Resources	Funds at end
	of year as	(see below)	of year	resources	expended	of year
	previously
	reported
	£			£	£	£
Unrestricted funds:
General funds	997,034	519,435	1,516,469	3,767,929	(4,318,691)	965,707
Restricted funds:
Foundation funds	1,744,412	(519,435)	1,224,977	1,924,271	(2,054,887)	1,094,361
	2,741,446	-	2,741,446	5,692,200	(6,373,578)	2,060,068

£Nil (2020: £304,265) of the unrestricted funds are designated.

Restatement

The Charity identified that during the year ended 30 June 2020, resources expended of £303,817 were allocated to unrestricted funds when the amounts in fact related to restricted funds. £215,618 of resources expended relating to years prior to the year ended 30 June 2020 were also identified that were allocated to unrestricted funds when the amounts in fact related to restricted funds. This resulted in a restatement between the unrestricted and restricted reserves as at 1 July 2019. The overall restatement results in a net transfer between the unrestricted and restricted funds of £519,435. The restatement has no impact on the net income or total funds of the Charity in the current or preceding year.

Statement of financial activities	2020 as	Restatement	2020
	previously		as restated
	reported
	£	£	£
Resources expended
Charitable activities. Unrestricted funds.	(6,360,336)	303,817	(6,056,519)
Charitable activities. Restricted funds.	(2,170,868)	(303,817)	(2,474,685)
Balance Sheet - Group	1 July 2019 as	Restatement	1 July 2019
	previously		as restated
	reported
	£	£	£
Charitable funds
Unrestricted funds	2,588,014	215,618	2,803,632
Restricted funds	615,603	(215,618)	399,985
Balance Sheet - Company	2020 as	Restatement	2020
	previously		as restated
	reported
	£	£	£
Charitable funds
Unrestricted funds	712,706	519,435	1,232,141
Restricted funds	1,744,412	(519,435)	1,224,977

28

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Notes (continued)

15 Reconciliation of movement in of net funds (continued)

Foundation funds:

The general fund represents the free funds of the charity of £965,707 (2020: £1,516,469).

A description of the restricted funds is given below:

These funds consist of grants and funding from various bodies including those for the following projects:

Kicks, Premier League BT Disability, PL Primary Stars, PL Works, PLPFA Employability, PLPFA Activate Senior Supporters, PLPFA Chelsea Champions School Hubs, PL Innovation, Capability Status, the Continuous Improvement Fund and the antisemitism project.

The Premier League Charitable Fund provided £564,500 (2020: £1,711,666) of funding in the year, part of which contributed to the funding for the projects above. In addition, a number of Premier League projects received funding from other third party sources.

The antisemitism project aims to highlight the ongoing issues around antisemitism within football and the wider community and received £490,000 (2020: £1,335,983).

Other projects within the Foundation funds are individually insignificant.

16 Analysis of net assets between funds

Analysis of net assets between	funds
	Unrestricted	Restricted		Total	Unrestricted	Restricted	Total
	funds	funds		funds 2021	funds	funds	funds 2020
					(as restated*)	(as restated*)
Group
	£	£		£	£	£	£
Fund balances are represented by:
Fixed assets	58,248	-		58,248	62,185	-	62,185
Current assets	2,176,429	1,094,361		3,270,790	4,775,831	1,224,977	6,000,808
Current liabilities	(1,268,970)		-	(1,268,970)	(3,321,547)	-	(3,321,547)
	965,707	1,094,361		2,060,068	1,516,469	1,224,977	2,741,446
	Unrestricted	Restricted		Total	Unrestricted	Restricted	Total
	funds	funds		funds 2021	funds	funds	funds 2020
					(as restated*)	(as restated*)
Charity
	£		£	£	£	£	£
Fund balances are represented by:
Fixed assets	58,249		-	58,249	62,186	-	62,186
Current assets	1,888,291	1,094,361		2,982,652	4,499,222	1,224,977	5,724,199
Current liabilities	(1,280,440)		-	(1,280,440)	(3,329,267)	-	(3,329,267)
	666,100	1,094,361		1,760,461	1,232,141	1,224,977	2,457,118

• See Note 15 for details of the restatement.

29

Chelsea FC Foundation Annual Report and Consolidated Financial Statements For the year ended 30 June 2021

Notes (continued)

17 Fixed asset investments

Fixed asset investments
Charity Ordinary £1 shares in Chelsea FC Foundation Trading Company Ltd 100% owned by Chelsea FC Foundation Stamford Bridge, Fulham Road, London, SW6 1HS	2021 £ 1 1	2020 £ 1
		1

The Charity owns 100% of the shares of its subsidiary company, Chelsea FC Foundation Trading Company Limited (TCL), which is incorporated in England and Wales with the same registered office as its parent, Company number 06924821. At the year end, TCL had net assets of £128,162 (2020: £124,571). For the year ended 30[th] June 2021 TCL had a turnover of £3,750 (2020: £Nil) and made a profit of £3,591 (2020: Loss of £656).

The Charity has one charitable subsidiary, The Chelsea Players’ Trust (CPT), which is incorporated in England and Wales with the same registered office as its parent, Charity number 1120214. At the year end, CPT had net assets of £171,443 (2020: £159,755). For the year ended 30[th] June 2021 CPT had a turnover of £50,000 (2020: £68,036) and made a profit of £11,688 (2020: £13,528).

Financial statements for both subsidiaries for the year ended 30[th] June 2021 are filed with the Registrar of Companies.

18 Contingent liabilities

The Charity has no contingent liabilities.

19 Events after the reporting date

There have been no significant events affecting the Charity since the year end.

30