REGISTERED COMPANY NUMBER: 06727055 (England and Wales) REGISTERED CHARITY NUMBER.. 1130010 1610 LIMITED A COMPANY LIMITED BY GUARANTEE REPORT OF THE TRUSTEES AND AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Mccabe Ford Williams Statutory Auditors and Chartered Accountants Building 1063 Cornforth Drive Kent Science Park Siltingbourne Kent ME9 8PX
1610 LIMITED CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Page Reference and Administrative Details Chairman's Report Report of the Trustees 3 to 12 Report of the Independent Auditors 13 to 16 Statement of Financial Activities 17 Statement of Flnancial Position 18 Statement of Cash Flows 19 Notes to the Statement of Cash Flows 20 Notes to the Financial Statements 21 to 39
1610 LIMITED REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 MARCH 2025 TRUSTEES R Cardwell (resigned 30.10.251 P J Harvey (resigned 30.10.25) J S Kelly (resigned 30.10.251 A P Rustad (appointed 1.8.241 B J Hayward (resigned 31.7.24} M Winlow (resigned 31,7,24) D Talbut (appointed 30.10.25) COMPANY SECRETARY D Talbul REGISTERED OFFICE Trinity Sports & Leisure Chilton Street Bridgwater Somerset TA6 3JA REGISTERED COMPANY NUMBER 06727055 (England and Wales) REGISTERED CHARITY NUMBER 1130010 INDEPENDENT AUDITORS Mccabe Ford Williams Statutory Auditors and Chartered Accountants Building 1063 Cornforth Drive Kent Science Parf( Sittingboume Kent ME9 8PX SOLICITORS Winckworth sheOod Arbor 255 Blackfriats Road London SE19AX CHIEF EXECUTIVE OFFICER R Hayes Page 1
1610 LIMITED CHAIRMAN'S REPORT FOR THE YEAR ENDED 31 MARCH 2025 Welcome to the 1610 Ltd 2024125 Trustee report. The 202412025 year has seen some major Changes to the governance and structure of 1610 Limiled. Thè Trustees appointed a preferred bidder during the 2024125 year following extensive work with consultants Strategic Leisure. The preferred bidder appointed was Wealden Leisure Limiled. In August 2024, 1610 Limited became a wholly owned subsidiary of Wealden Leisure Limited. This provided 1610 with wider support and stability. The business continued the Irend from recent years and grew organically in key revenue lines. 1610 sites continued to experience organic growth in fitness memberships. In recent years swim memberships have grown organically but the trust found that this growth slowed in 2024125 but remains an important revenue line for 1610 business. The management team has remained consistenl Ihroughout 2024125, which has contributed to improved business continuity, This evolution of the trust has come about to achieve the following aims and objectives.. Protect the1610 Limited legacy Maintain the 1610 brand and standards To protect the1610 workforce To ensure continuity of community output The restructure of the company has seen changes lo board members and developing lines of reporting and supervision within the organisation. While the current Senior Leadership team and senior managers have remained in place Ihe scope for additional support from professionals and experts has become far more extensive. Page 2
1610 LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025 The trustees who are also directors of Ihe charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2025. The Irustees have adopted the provisions of Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing Iheir accounls in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019). OBJECTIVES AND ACTIVITIES Objectives and aims 1610 Trust purposes are defined in the objects set out in the company's Memorandum of Association and can be summarised as follows: The advancement and support of education, cultural seNices, and other related provision through direct management of facilities or related aclivity programmes. The delivery and management of leisure, recreation, and sports facilities particularly with a focus on provision for 'hard to reach, groups and key target groups that have barriers to participation. The promotion and delivery of health and wellbeing programmes with an emphasis on sport and physical activily. The advancement of physical education and sport. Other charitable proposals that have public benefit which are consistent with the core objectives of the trust. 1610 Trust seeks lo deliver high quality setv1$ to Somerset and wider Southwesl communities. The core aims of our work is to develop 1610 facilities and programmes lo improve health, sporting I leisure abilities and participation., contribute to raising the quality of life for the general community and supporting schools in their development of young people. Throughout this work, Trustees recognise that Ihere is a need to ensure thal the Trust observes Charity Commission guidance on public benefit to ensure alignmenl with activities and the core Trust aims and objectives. This model often provides isolated or small rural communilies with access to local sports, health, and learning facilities I programmes where there would be insufficient volumes of people to make dedicated leisure centres viable. Through this network of cenlres, 1610 delivers a diverse programme, often being asked to target hard to reach groups, those that are financially or socially excluded, isolated communities or lo work in areas with significant deprivation issues, 1610 works with groups and individuals creating many examples of life changing experiences. They are often achieved Ihrough using leisure I sport I health and filness as a catalyst for altering the direction of a person's life or by providing new opportunilies for a whole community. Public benefit The Trustees confirm that they complied with the duties in section 1715) of the Charities Act 201110 have due regard to the Charity Commission's general guidance on public benefit. Charity Commission general guidance on public benefit was used when reviewing objectives and when planning future activities. In particular the Trustees considered how planned activilies will contribute lo the strategic aims they set. STRATEGIC REPORT Achievements and performance Charltable activities In 2024125 the Trust operated 3 leisure centres on behalf of local Councils in the Southwest UK. These facilities provide community access to sporting I leisure I fitness seNices ensuring local rural facilities are available to everyone and the promotion of a fit and healthy lifestyle. Complementing the leisure contracts is one 1610 leased facility that operate fitness, health, and wellbeing programmes, Page 3
1610 LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025 STRATEGIC REPORT Achievements and performance Managing delivery of our aims Senior Managers and the Trustees review the Trust aims, objectives and delivery on an annual basis against the yearly business plan that includes conlractual targets and the annual budgets. Each department of the Trust produces annual work stream plans lo enable successful programme delivery and overall development of the Trust business. Through the UK Growth Ac¢eleralor Programme, 1610 fully embedded the Vision Orbil (VO) strategic business tool lo review and develop the organisations performance. The annual VO, Vilal Few and Single Page Plan form Ihe basis of business planning within the company. Staff members at every level of the organisation Lfse this tool lo align activities. During the 2024125 year the Trust managed a series of public sector service contracts in Southwest England: A ten-year contract wilh Futures for Somerset, to operate two dual use leisure facilities as part of the PFI Building Schools for Ihe Future initiative in Biidgwater, Somerset. In 2020 the Futures for Somerset leisure contract was extended for a further five years to end in September 2025. A len-year contract with Dorset Council lo operate the 8.5m Dorchester Leisure Cenlre in Dorchester. Dorset Council exlended this contract beyond October 2022 to April 2024. A further contracl variation was agreed during the 2023124 year to extend this contract to April 2026. The status of each contract is set out in the key activities section below. Each contract has a comprehensive perfomiance framework thal is monitored quarterly l annually by the Senior Leadership Team and the various Council contract commissioning bodies. What sets 1610 apart from other fitnesslleisure providers is the changing role of the Trust - it is much more than just management of leisure centres. Since 2012 the Trust has actively pursued a wider community role, by increasing the choice of activities - from healthy living iniliatives, adult learning programmes to Workfor development and training for the leisure industry, Health and wellbeing are however the platfomi and common denominator to the activilies, and the reason 1610 has an enormous impact on people's lives. Key KPIS for the Trust are.. Number of people attending our siles. Meeting fitness standards. Number of customer complaints, linked to customer satisfaction. Health & Wellbeing attendances. Number of effeclive communily and club partnerships. Numbers of Children enrolled on Swim Programmes. Number of Trusl fitness members. Page 4
1610 LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025 STRATEGIC REPORT Financlal review Flnanclal position Full financial details are in the audited accounts. The headline financial information for 2024125.. The company turnover increased from £3,227,370 in 2023124 to £3,337,176 in 202412025. Generally, income trended ahead of expected projections for the year, with overall income almost 20/0 ahead of projections. Key income successes included sports pitch usage and pool block bookings usage The twst also performed well in fitness membership income - an important outcome as it accounts for a large percentage of overall lurnover. The trust continues to encounter higher property costs due to the ageing condition of one of the key contracts in place. Expenditure controls have remained stringent throughout the year. The Trust began repaymenls on the COVID Bounce Back Loan in Dec 2021, the balance remaining as of March 2025 is £17,354 While the Irust's performance has improved in perfomance in many ways, increases in our cost base has resulted in the trust ending the year in a £210,264 deficit. Staff Costs increased as a result of minimum wage and pay award impacts. Utilities costs were higher than the previous year due to tariff increases. Depreciation charges increased due to forthcoming contract expiry dates. Despite posting a deficit posilion cash in the bank as risen from £476,905 to £574,011 as of March 2025. Investment pollcy and objectlves The rnajority of funds that the Trust generates on an annual basis is commilted lo annual operations. It is unlikely, in the short or medium term, that there will be significant funds generated for long term investment. The Board is keen to make provision for the developmenl and growth of the reserve fund. However, it is important that the Trust uses its cash to develop business and support the agreed charilable outcomes, Cash in hand is held in a special interest-bearing account with Natwest. The bank offers a basic treasury service to maximise the investment of these funds whilst covering day to day operational business needs. Reserves pollcy The Trustees recognise the requirement lo establish a reseNes policy,. in setting the reserves policy the Trustees have considered the need lo manage resources for the benefit of the charity's aims and objeclives and to maintain financial stability, considering the risks and potential impact in the current economic environment. The Trust Board review the reserve policy annually and has a policy of holding a minimum ReseNe of £200,000, As income covers operational costs the need to maintain reserves is based on any unforeseen call on funds, and for future capital and operational expenditure. This has been determined based on the Trust Risk Register,. identifying the fiscal impact of these risks being realised, and future of the Trust. ReseNes at the year end were £421,95412024 £635,216), of this restricled funds were £1,302 {2024 '. £1,302). Unrestricted funds were £420,652 {2024'. £633,914), This level of reseNes is acceptable as it meels the minimum reseeS policy and allows the Trust to set aside resources to meet the requirements of the National Living Wage and for future investment projects. The Reserves Policy is annually reviewed. Page 5
1610 LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025 STRATEGIC REPORT Financial revlew Going concern After the balance sheet date il has been agreed that the trade and assets of the charity will be transferred to its parent Wealden Leisure Limited. This transfer will be achieved once Charily Commission approval has been sought. Once the transfer has happened it is the boards intention to dissolve the charilable company. Accordingly the financial statements are prepared on a basis other than going concern. It is anticipated that the trade will continue uninterrupted as it transfers to the parent, and accordingly there are no adjustments made to the carrying value of assets and liabilities as at 31 March 2025. Page 6
1610 LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025 STRATEGIC REPORT Prlnclpal risks and uncertalnties A full review of the Business Risk Register takes place throughout the year,. this is reviewed on a regular basis and the Board is Presented with a Business Risk Improvement Plan at each Board meeting, togelher with any additional risks thal are identified. The risk assessment covers all areas of Ihe business including operational, financial, compliance, external and governance risks, particularly in the light of any new projects undertaken and changes to the political climate and local economies. The currenl principal risks and uncertainties faced by the Trust are,. Impact of the increase in energy cost linked lo global events and trends. Recruitment and retention of staff. Furlher extension of exisling1610 public sector contracts. Reliance on low margin activities. Major Planl failure at sites where 1610 has full repairing liabilities. Growth of online leisure providers l Home fitness market I new outdoor leisure provision. Loss of key management (TrusteelCEOISLTI. Failure of Duty of Care (Health & Safely and safeguarding). The remaining short timespan on the two remaining Council leisure seNices contracts. Financial viability of a much smaller Trust operation particularly linked to inflation costs. Systems and processes have been put in place to manage and mitigate the risks1610 face. For health and safety and safeguarding, both in-house and extemal consultants are used to assess operational perfomiance, highlight risk management issues and actions needed and provide on-going training. All staff undergo formal training and regular updates and courses to ensure Ihey understand their responsibilities regarding safeguarding. Recruitment processes are robust ensuring everyone follows due process, and all staff are Disclosure and Barring SeNice (DBSI cleared before they can commence employmenl wilh the Trust. The Trust uses QUEST, a national accredited quality assurance sports framework, to externally assess all aspects of operational performance - highlighting excellence and areas for improvements. These external processes support periodic reviews at Board level prompling adjustment to operations as risks change or new challenges arise. Mentor Natwest is available, on demand, for extemal HR support and advice. Robust and rigorous financial processes are in place to ensure performance is regularly reviewed on a daily I weekly and monthly level and corrective action taken quickly. Whilst significant reliance is placed on the CEO and SLT'S skills., each has a dedicaled team supporting them and no individual works in isolation, ensuring adequate cover can be put in place immediately, lemporary cover Gould also be provided by recruiting external professionals, together wilh support from the Trustees. At a more strategic level, legal and financial risks are identified and mitigated through our work with professional advisers and auditors. 1610 continually strives to improve their margins by developing their own branded products and reviewing work practices to ensure the Trust operates as efficiently as possible. 1610 remains flexible in its approach to ensure it can adapt to changes in legislation and contractual requests. Pool plant failure will always remain a risk Ihat is difficult for 1610 to mitigate against, however we collaborate closely with our contractual partners to ensure the plant is maintained appropriately where it is our direct contractual responsibility to do so. Risk management is a standing item on Ihe monthly Senior Leadership Team agenda and quarterly Board agenda. Page 7
1610 LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025 STRATEGIC REPORT Financial and risk management objectives and policies The Trustees are responsible for monitoring financial risk. Appropriate policies have been developed and implemented to identify, evaluate, and manage Ihe key risks. a) Price risk - The charity is exposed to price risk as a result of its operations. Due to the economic climate and new leisure budget operator competition the charity must sell and provide services at competitive price to maintain membership levels. b) Credit risk - Due to the charity's activities, credit is very rarely given. Any credit extended lo customers is subject lo appropriate review and monitoring. cl Liquidity risk - Trustees are regularly updated on cash flow and financial risk. Support has been requested by the Trust from financial advisors and commercial lendets to help manage the Trust business. d) Cash flow risk - the CEO l Finance Team have provided the Board with quarterly updates on cashflow through the year. In addition to updates when significant changes have occurred. Cashflow can be tracked daily via the Xero finance system. This data is available to all Trustees and Senior staff daily. e) Economic risk - The charity's perfomiance is directly impacted by the economic environment. To manage this risk, the charity strives to deliver competilively priced products and services. The charity is actively concentrating on improving efficiency and reducing costs. fj Credit Rating the Trust is aware that it is essential to maintain a strong, posilive financial profile, The Trust credil rating is reviewed periodically to monitor the health of the Trust finances. Page 8
1610 LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025 STRATEGIC REPORT Future plans Historically, the Trust prepares annual business plans and financial forecasts for the delivery of commissioned seNices and developmental work. In recent years Ihe business plans have been simplified. This approach will largely remain the same. The 2025126 Trust Plan set out: 1. As a minimum success measure 1610 to achieve a surplus budget position by March 2026 2, To position 1610 as an environmentally conscious business and ensuring truly sustainable approaches are taken 3. Drive staff retention of colleagues who exhibit the1610 DNA, values and team firsl approach. 4. Assess 1610's social value impact as a charity and identify key metrics that is reported to 1610 stakeholders to highlight the impact of ils charitable work. 5. Review all front of house systems. 6. Implement new Irust timeline planning tool to organise strategic and top end operational planning approaches. 7. Increase the Wellness membership base by a further15 % by March 2026 8. To rollout 1610 marketing strategy tailored to each facility lo help deliver its financial outcomes as set out in the budgets. 9. To improve the quality of service and offer at every1610 centre by setting out quality assurance metrics. Financial viability remains paramount for the Tnisl. This will involve a continuation of building back, growing and sustaining the usual 1610 business income streams, In addition to building back the business levels the trust will have to carefully navigate rapidly approaching contracl horizons and work collaboratively with key partners and stakeholders to secure a future legacy for1610 Limited. The trust will continue to work in collaboration with its new parenl company Wealden Leisure Limited in 202512026 to ensure that the charitable objectives are met. Subsequent to the balance sheet date the Board has agreed that the trade and assets of the Gharitable company will be transferred to the parent once Charity Commission authorisation has been granted. The future plans for the leisure centres will be aligned with Ihe parent company's strategic and charitable plans for the future. The plans for both organisations are already very much aligned towards improving lives through leisure and working with local authority partners to increase the number of local residents using the facilities and help them to be more active, more often. STRUCTURE, GOVERNANCE AND MANAGEMENT Governlng document 1610 Limited is a charitable company limiled by guarantee, incorporated on17 October 2008, and registered as a charity on 5 June 2009. The company was established under a Memorandum of Association which establishes the objects and powers of the charitable company and is governed under its Articles of Association. In the event of the company being wound up members are required to contribute an amount not exceeding £1. Principal Activities In 2024125 the Trust operated 3 leisure centres on behalf of local Councils in the Southwest UK. These facilities provide community access to sporting I leisure I fitness seNices ensuring local rural facilities are available to everyone and the promotion of a fit and healthy lifestyle. Complementing the leisure contracts is one 1610 leased facility Ihat operates fitness, health, and wellbeing programmes. Page 9
1610 LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025 STRUCTURE, GOVERNANCE AND MANAGEMENT Recruitment and appointment of new trustees Directors of the company are also charity Trustees for the purposes of charity law. They are elected to seNe for 3 years retiring on the third anniversary of Iheir appointment, after which they may be re*lected for a further 3 years. They musl retire at the end of that period and may not be re-elected until the expiry of 1 year from Iheir retirement unless the Trustees consider that it would be in Ihe best interests of the Charity for a particular Trustee or Trustees to continue lo serve beyond that period and that Trustee or those Trustees are reappointed in accordan with the company's articles of association. Potential new Trustees are identified through networking and recommendation. it is important to us that Trustees understand our ethos from the outset and are passionate about what we do. In 2024-25 one new Irustee was appointed to the board, as part of the changes in structure lo the organisation and as part of Wealden Leisure Limited acquisition of 1610 as a wholly owned subsidiary. The board currenlly consists of 4 trustees, Organlsatlonal structure 1610 is strategically managed by a Trust Board comprising of Trustee Direclors. The Board traditionally meet four times per annum. Due to the strategic direction adopted by the board in 2024125 the board met more regularly. For part of the 24125 year the Board was serVid by a part time Company Secretary, along with specialist advisers to 1610 e.g. Accountanls l Legal I Consultants attend Board meetings to advise Truslees as required, Due lo changes in structure in August 2024, further support was obtained via the new parent company for1610, Wealden Leisure Limited. The Board delegates responsibility for daily operations to the Chief Executive and General management team and later in the year to its newly chosen parent company, Wealden Leisure Limited. This leam has responsibility for the delivery of contractual outcomes, seNice specifications and lo agree on Key Performance Indicators. Further pathways of delegation are in place from the CEO I general management team through to the wider management Team to operate the Trust business units across multiple venues in the Southwest. Operational standards are defined through nationally recognised quality leisure management systemslframeworks that comprehensively document activities and processes for staff at all levels. Induction and training of new trustees New Trustees are invited to meel the Senior Leadership Team and Board members and are given a short induction at Trinily Sport and Leisure Centre HQ to advise them on the operations, activities, and key personnel wilhin the Trust. These sessions are led by the Chief Executive and other key senior staff and include.. A welcome pack.. in¢luding materials relaled to the Trust operations and governance (including the financial accounts), legal slatus and guidance from the Charity Commission on the responsibilities, obligations, and liabilities of becoming a Trustee. Trustees are offered the Chan to shadow a Trust Board meeting. New Trustees are given an opportunily to visit one of the main Trust leisure operations to familiarise themselves with the core work and to meet Trust staff. New Trustees are also encouraged lo conta¢t the Chair of the Trust, a fellow Trustee, or the Company Secretary to gain a further insight into the day- to- day business and ethos of the organisalion. Trustees are regulatly updated on training opportunities at Board sessions including key functions around safeguarding and health and safety. All Trustees are given an induction as part of the Trust health and safety policy. Core training on healthlsafety and safeguarding is delivered to the Board on an annual basis or as and when significant changes lo policy or UK Law dictate the need for a refresh. Page 10
1610 LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025 STRUCTURE, GOVERNANCE AND MANAGEMENT Key management remuneration Remuneration for all job roles is evaluated according to the role and level of responsibility., and this applies to members of SLT (Senior Leadership Team), and the CEO. CEO remuneration is separatèly reviewed, set by the Trustees and agreed annually by the Board. SLT and the CEO have clear objectives both in their area and at a strategic level., this is incorporated into the Trust's Vision Orbit Business Plan. These objectives are reviewed on a regular basis both at SLT level and at regular "job chats,. which are the equivalent to appraisals. The CEO reports lo the Board on the objectives together with perfomance of those objectives. The impact of Living wage remains a major annual financial pressure for the Trust, Maintaining pay differentials is a difficult balancing act given the need to compete within an increasingly price aggressive sector 1610 has faced significant pressure in pay due lo the changes in the employment market and workers moving across sectors for higher paid employment. Given the current financial position of1610 there is little opportunily lo increase pay beyond statutory awards. Employee Informatlon 1610 is dependent on the skill and enthusiasm of its employees to achieve its business and Gharitable objectives. The Trustees are therefore committed to effective employee communication and equal opportunities. The selection, training development and promotion policies ensure equal opportunities for all employees regardless of gender, marital status, race, age, or disability. Internal Communications are designed to ensure that employees are well informed about the aclivilies of the charity and slaff attitudes are researched so that the Senior Leadership Team can respond positively to the ideas and needs of employees. The Trust continued lo 'buy-in' external support for HR matters through Mentor HR seNices until 1610 was acquired by Wealden Leisure Limited, from this point onwards, 1610 has reduced Ihe use of this seNice and instead draws down on the experience and expertise from the parent company's in-house experts. Recruitment and retention of staff continues to apply pressure to 1610 due to broader challenges within the employment market. This is made more difficult by key national themes being attributed specifically to the leisure industry where it is typically recognised there are national workforce shortages. Staffing levels have lluctuated throughout the year but remain lean with the total number of staff circa160 subject to fluctuations. STATEMENT OF TRUSTEES, RESPONSIBILITIES The truslees (who are also the directors of1610 Limited for the purposes of company lawl are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Page11
1610 LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2025 STATEMENT OF TRUSTEES. RESPONSIBILITIES. contlnued Company law requires the trustees to prepare financial statements for each financial year. Under Ihat law, the trustees have elected to prepare the financial slatemenls in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the truslees must not approve the financial statemenls unless they are satisfied that they give a twe and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charilable company for that period. In preparing those financial statements, the truslees are required to select suitable aoUntIng policies and then apply them consistenlly,. observe the methods and principles in the Charities SORP,, make judgements and estimates that are reasonable and prudent,, prepare the financial statements on the going concem basis unless it is inappropriate to presume that Ihe charitable company wlll continue in business. The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial slatements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the trustees are aware.. there is no relevant audit infomiation of which the charitable company's auditors are unaware; and the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that infomiation. Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on 6 NL'Ucfi1442025 and signed on the board's behalf by.. IIL L,IL A P Rustad - Trustee Page 12
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF 1610 LIMITED Opinion We have audited the financial statements of1610 Limited (the 'charilable company'l for the year ended 31 March 2025 which comprise the Statement of Financial Aclivities, the Statement of Financial Position, the Statement of Cash Flows and notes to the financial statemenls, 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 (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statemenls.. give a true and fair view of the state of the charilable company's affairs as at 31 March 2025 and of ils incoming resoUrS and applicalion 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; and have been prepared in accordance with the requirements of the Companies Act 2006, Basis for opinion We conducted our audit in accordance with Internalional Standards on Auditing (UK) (ISAS IUKII and applicable law. Our responsibililies under those standards afe further described in the Auditors, responsibilities for the audit of the financial slatements section of our report. We are independent of the charitable company in accordance with the elhical requirements that are relevant to our audit of Ihe financial statements in the UK, including the FRC'S Ethical Standard, and the provisions available for small entities, in the circumstances sel out in note 26 to the financial statements, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have oblained is sufficient and appropriate to provide a basis for our opinion. Concluslons relatlng to going concern Emphasis of matter- financial statements prepared on a basis other than going concem We draw altenlion to note 28 of the financial statements which explains that after the balance sheet date it has been agreed that the trade and assets of the charitable company will be transferred to the parent, 11 is the intention post transfer lo dissolve the charitable company. Accordingly the financial statements have been prepared on a basis other than going concern as described in the going concern accounling policy, Our opinion is not modified in respect of this matter. Other information The Irustees are responsible for the other infomialion. The other infomiation comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon. Our opinion on the financial stalemenls does nol cover the other information and, except to the extent otherwise explicitly slated in our reporl, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other infomiation is materially inconsistenl with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to detemiine whelher this gives rise to a material misstatement in the financial statemenls themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required lo report that fact. We have nothing to report in this regard. Oplnlons 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 Report of the Trustees for the financial year for which the financial statemenls are prepared is consistent with the financial statements., and the Report of the Trustees has been prepared in accordance with applicable legal requirements. Page13
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF 1610 LIMITED Matters on which we are required to report by exception In the light of the knowledge and understanding of the charitable company and ils environment obtained in Ihe course of the audit, we have not identified material misstatements in the Report of the Trustees. We have nothing lo report in respect of the following mallers where Ihe Companies Act 2006 requires us lo report to you if, in our opinion.. adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us., or the financial statements are not in agreemenl 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., or the trustees were not entitled lo lake advantage of the small companies exemption from the requirement to prepare a Strategic Report or in preparing the Report of Ihe Trustees. Responsibllltles of trustees As explained more fully in the Stalement of Trustees, Responsibilities, 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, and for such internal control as the trustees determine is necessary lo enable the preparation of financial statements that are free from material misstalement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing Ihe charitable company's ability to continue as a going concem, disclosing, as applicable, matters relaled to going concern and using the going concem basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternalive but to do so. Page 14
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF 1610 LIMITED Our responsibilities for the audlt of the flnancial statements Our objeclives are to obtain reasonable assurance about whether the financial slatements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditorfs 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 Ihe aggregale, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. 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 detecling irregularities, including fraud is detailed below.. Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and noncompliance with laws and regulalions, was as follows: the engagement partner ensured that the engagement team collectively had Ihe appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations. we identified the laws and regulations applicable to the company through discussions with directors and our experience of the sector- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operalions of the company, including, but not limited to, the Companies Act 2006, the Charity Statement of Recommended Practice, and UK tax legislation., we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management; and identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. We assessed the Su$pIlb1llty of Ihe company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by.. making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud,. considering the internal conlrols in place to mitigate risks of fraud and non-compliance with laws and regulalions. To address the risk of fraud through management bias and override of controls, we: performed analytical procedures to identify any unusual or unexpected relationships., lested journal entries to identify unusual transactions., reviewed managemenl contracts where contract variations had arisen., assessed whether judgements and assumptions made in determining the accounting eslimates set out in note 1 were indicative of potential bias., and investigated the rationale behind significant or unusual Iransaclions. In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to.. agreeing financial statement disclosures lo underfying supporting documentation. reading the minutes of meetings of those charged with governance. enquiring of management as to actual and potential litigation and clairns. and reviewing correspondence with HMRC and the relevanl regulator where applicable. Page 15
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF 1610 LIMITED There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transaclions, the less likely it is that we would become aware of non-complian. Auditing standards also limil the audit procedures required to identify non-compliance with laws and regulalions to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealmenl or collusion. A further description of our responsibilities for the audit of the financial statements is located on Ihe Financial Reporting Council's website at www.frc.org.uklauditorsresponsibililies. This descriplion forms part of our Report of Ihe Independent Auditors. Use of our report This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part16 of the Companies Act 2006. Our audit work has been undertaken so that we might stale lo the charitable company's members those Matte we are required lo state to them in an auditors, report and for no other purpose. To the fullest exlent permitted by law, we do not accept or assume responsibility to anyone other than the charilable company and the charitable company's members as a body, for our audit work, forthis report, or for the opinions we have fomed. Clai Rayner FCA DChA (Senior Statutory Auditor) for and on behalf of Mccabe Ford Williams Stalutory Audilors and Chartered Accountants Building 1063 Cornforth Drive Kent Science Park Sittingboume Kent ME9 8PX Date.. 61,1! layj...................... Page16
1610 LIMITED STATEMENT OF FINANCIAL ACTIVITIES INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2025 31.3.25 Total funds 31.3.24 Total funds Unrestricted funds Restricted fund Notes INCOME AND ENDOWMENTS FROM Donations and legacies 15,231 15,231 14,835 Charitable activities Charitable activities 3,171,393 3,171,393 3,061,146 Other trading activities Investment income 142,534 8,018 142,534 8,018 145,641 5,748 Total 3,337,176 3,337,176 3,227,370 EXPENDITURE ON Raising funds 74,701 74,701 76,427 Charitable activities Charitable activities 3,475,737 3,475,737 3,149,078 Total 3,550,438 3,550,438 3,225,505 NET INCOMEI{EXPENDITURE> Other recognised gainsl(losses) Actuarial gainsl(losses} on defined benefit schemes (213,262) (213,262} 1,865 18,000) Net movement In funds (213,262) 1213,2621 (16,135) RECONCILIATION OF FUNDS Total funds broughl forward 633,914 1,302 635,216 651,351 TOTAL FUNDS CARRIED FORWARD 420,652 1,302 421,954 635,216 The noies fom part of these financial statements Page 17
1610 LIMITED REGISTERED NUMBER; 06727055 STATEMENT OF FINANCIAL POSITION 31 MARCH 2025 31.3.25 Total funds 31.3.24 Total funds Unrestricted funds Restricted fund Notes FIXED ASSETS Tangible assets Investments 13 14 270,858 270,858 509,460 270,859 270,859 509,461 CURRENT ASSETS Stocks Debtors Cash at bank 15 16 12,053 109,284 572,709 12,053 109,284 574,011 10,940 135,150 476,905 1,302 694,046 1,302 695,348 622,995 CREDITORS Amounts falling due within one year 17 (537,231 } (537,2311 (482,883) NET CURRENT ASSETS 156815 158,117 140,112 TOTAL ASSETS LESS CURRENT LIABILITIES 427,674 1,302 428,976 649,573 CREDITORS Amounts falling due after more than one year 18 (7,022) (7,022) (17,357) PENSION ASSET 23 3,000 NET ASSETS 420,652 1,302 421,954 635,216 FUNDS Unrestricted funds Restricted funds 22 420,652 1,302 633,914 1,302 TOTAL FUNDS 421,954 635,216 The financial statements were approved by the Board of Trustees and authorised for issue on 6N(SQiiiei12025 and were signed on its behalf by: A P Rustad - Trustee The notes fomi part of these financial statements Page18
1610 LIMITED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2025 31.3.25 31.3.24 Notes Cash flows from operating activities Cash generated from operations Interest paid 142,259 41,255 Net cash provided by operating activities 141,556 41,255 Cash flows from Investlng actlvltles Purchase of langible fixed assets Interest received (14,350) 8,018 110,5441 5,748 Net cash used in investing activities Cash flows from financing activitles Loan repayments in year Hire purchase new borrowingl(repaymentsl (10,081 } 28,037 (10,6481 20,544 Net cash (used inllprovided by financing activities 38,118) 9,896 Change In cash and cash equivalents In the reporting perlod Cash and cash equivalents at the beginning of the reporting period 97,106 46,355 476,905 430,550 Cash and cash equivalents at the end of the reporting perlod 574,011 476,905 The notes form part of these financial statements Page19
1610 LIMITED NOTES TO THE STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2025 RECONCILIATION OF NET {EXPENDITURE)IINCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES 31.3.25 31.3.24 Net {expenditure)lincome forlhe reporting period {as per the Statement of Financial Activities) Adjustments for: Depreciation charges Interest received Inlerest paid Impaiment of fixed assets Interest paid Increase in stocks Decreasel(increase) in debtors Increaselldecrease} in credito[5 (213,262) 1,865 255,954 18,018) 703 152,588 (5,748) 154,190) 3,418 (3,6511 (40,4271 12,6001 (1,113) 25,866 82,129 Net cash provided by operations 142,259 41,255 ANALYSIS OF CHANGES IN NET FUNDS At1.4.24 Cash flow At 31.3,25 Net cash Cash at bank 476,905 97,106 574,011 476,905 97,106 574,011 Debt Finance leases Debls falling due within 1 year Debts falling due after 1 year 132,659) (10,078) 17,357) 28,037 (254) 10,335 (4,622) 110,332) 7,0221 60,0941 38,118 21,9761 Total 416,811 135,224 552,035 The notes form part of these financial statements Page 20
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 ACCOUNTING POLICIES Basls of preparlng the financlal statements The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charilies SORP IFRS 102) 'Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounls in accordance with the Financial Reporting Standard applicable in Ihe UK and Republic of Ireland IFRS 1021 leffeclive 1 January 20191,, Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland, and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value. General Information 1610 Limited carries out its objects as noted in Ihe Trustees, annual report. The charitable company is a company limited by guarantee and is incorporated and domiciled in England. The address of Ihe principal and registered office is Trinity Sports and Leisure, Chilton Street Bridgwater, Somerset, TA6 3JA. The charitable company also operates from a number of addresses being Ihe leisure centres that it operates. Presentation currency The presentation currency is £ sterling. Going Concern The Trustees have considered the going concern requirement and are of the opinion that, following a decision after the year end to Iransfer all trade and assets to the parenl, the accounts should be prepared on a basis other than going concern, It is anticipated that Ihe activities will continue uninterrupted as they transfer to the parent, according there are no adjuslments to be made to the carrying values of assets and liabilities as al 31 March 2025, Summary of slgnificant accounting policles The principal accounting policies adopted, the critical accounling estimates, judgements and key sources of eslimation UnrtaintY in the preparation of the financial statements are sel out below. These policies have been applied consistently unless otherwise stated. Critical accounting judgements and key sources of estimation uncertainty The preparation of the financial statements in confomiity with FRS 102 requires management to make judgements, estimates and assumptions that affect the application of policies and reported amounls of assets and liabilities, income and expenses, Estimates and judgements are continually evaluated and are based on historical experience and other factors. including expectations of future evenls that are believed to be reasonable under the circumstances. The company makes estimates and assumptions concerning the future. The resulting accounting estimales will, by definition, seldom equal the related actual results. The estimates or assumptions that have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the next financial year are set out below. (al The company has an obligation lo pay pensions benefils to certain employees. The cost of these benefits are the present value of the obligation depend on a number of faclors., including.. Life expectancy, salary increases, asset valuations and the discount rate on corporate bonds. Management estimate these faclors in determining the net pension obligation in the balance sheet. The assumptions reflect historical experience and current trends. See note 23 for the disclosures relating to the defined benefit pension scheme. Page 21 continued...
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2025 ACCOUNTING POLICIES. continued Critical accounting judgements and key sources of estlmatlon uncertainty Ib) Revenue from gym memberships is recognised over the period of the membership on a straight-line basis, reflecting the period over which the services are provided lo the customer. Deferred income represenls membership fees received in advance of the period to which they relale. The eslimation uncertainly arises in determining the portion of membership income that relales to future periods at the reporting date. Management's key assumption is that the benefits of membership are consumed evenly over the membership period, and therefore revenue is recognised on a time-apportioned basis. {cl Expenditure is recognised on an accruals basis to reflect goods and seNices received before the year-end that have not yet been invoiced or to rellect goods and services that have not yet been delivered at Ihe year end but have been invoiced . The estimation of accrued or prepaid expenditure is based on one or more of the following.. Purchase orders raised for goods or SeiceS received but not yet invoiced at the reporting date. Invoices received after the reporting date Ihat relate to Ihe reporting period. Invoices received during the reporting period that relate to a future reporting period. Apportionment of costs where services or contracts span the financial year-end, calculated on a pro-rata basis by referen to the service period covered. Judgemenl is required to detemine the completeness of accrued I prepaid liabilities and the appropriate level of accrual I prepayment for each category of expenditure. Income All income is recognised in Ihe Statement of Financial Activities once the charity has entillement to the funds, it is probable that the income will be received and the monetary value of the income can be measured with sufficient reliability and is not deferred. Income from govemment and other grants, whether 'capital' granls or 'revenue' grants, is recognised when the charily has enlitlement to the funds, any performance ¢onditions attached to the grants have been met, il is probable that the income will be received and the amount can be measured reliably. Where the crileria for recognilion are met in advance of grants actually being received then the income is recognised within the statement of financial activities and amount due included within accrued income in debtors. Where income is received in advance, il is included within deferred income in creditors until the income recognition criteria are met. Expendlture Liabilities are recognised as expenditure as soon as there is a legal or Constructive obligation committing the charity to that expenditure. All expenditure is accounted for on an accruals basis and has been classified under the headings thal aggregate all costs related to the category. Expenditure includes any VAT which cannot be fully recovered and is reported as part of support costs. Raising funds comprises all costs associated with raising addilional funds for Charity through vending and other sales. Page 22 continued...
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2025 ACCOUNTING POLICIES- contlnued Expenditure Charitable activities comprise all costs direclly incurred in undertaking activities to fulfil the Charity's objects, together with any support costs allocated in accordance with the support cost accounting policy as described below. Other expenditure represents those items not falling into any other heading. Support costs include administration and head office costs nol directly attributable lo particular charitable activities are apportioned to charitable activities as detailed in nole 8 to the financial statements. Tangible fixed assets Tangible fixed assets costing over £500 are initially recorded at cosl. Depreciation is provided at the following annual rates in Order to write off the cost less estimated residual value of each asset over its eslimated useful Leasehold Improvements Sports equipment: straight-line over the remaining lease term straighl-line over10 years or over the remaining lease term. straight-line over10 years or over the remaining lease term. Cardio equipment Resistance equipment All olher fixtures and equipment Computer software straight-line over10 years. straight-line over10 years. Stocks Slocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. Fund accounting The unrestricted general fund represents the accumulation of the Charity's income and expenditure that has not been earmarked for a specific projects and is not considered by the Trustees to be for a restricted purpose. To the extent that the fund is represented by readily realisable assets it provides a means of financing the day-lo-day operations. Designated funds represent amounts set aside by the Trustees for a particular purpose. Restricted funds represent the funds reiVed by the Charity for particular purposes as directed by the donors. Pension costs and other post.retirement benefits Page 23 continued...
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS . continued FOR THE YEAR ENDED 31 MARCH 2025 ACCOUNTING POLICIES. continued Pension costs and other post.retirement benefits Deflned contrlbution pension plan The company operales a defined conlribution plan for ils employees. A defined contribution plan is a pension plan under which the company pays fixed contributions to a separate enlity. Once the contribulions have been paid the company has no further payment obligations. The contributions are recognised as an expense when they are due. Amounts not paid are shown in accwals in the balance sheet. The assets of the plan are held separately from the company in independently administered funds. Defined benefit pension plan The company operates a defined benefit plan for certain employees. A defined benefit plan defines the pension benefit that the employee will receive on retiremenl, usually dependenl upon several factors including age, length of service and remuneration. A defined benefit plan is a pension plan that is not a defined contribution plan. The assevliability recognised in the balance sheer in respect of the defined benefit plan is Ihe shortfalllexcess of the present value of Ihe defined benefit obligation at Ihe end of the reporting date less the fair value of the plan assets at the reporting dale. The defined benefit obligation is calculated using Ihe projected unit credit method. annually the company engages independent acluaries to calculate the obligation . The present value is determined by discounting the estimated future payments using market yields on high quality corporate bonds that are denominated in sterling and thal have temis approximating Ihe estimated period of future payments (discount rate). The fair value of plan assets is measured in accordance with FRS102 fair value hierarchy and in accordance with the company's policy for similarly held assets. This includes the use of appropriate valuation techniques. Actuarial gains and losses arising from experience adjustments and changes in actuarial assumptions are charged or credited to the statement of financial activities. These amounts together with the return on plan assets, less amounts included in net interest, are disclosed as "Remeasurement of net defined benefit liability,. The cost of the defined benefit plan, recognised in the profit or loss as employee cosls, except where included un Ihe cost of an asset, comprises.. i) The increase in pension benefit liability arising from employee seNi¢e during the period.. and ill The cost of plan introductions, benefit changes, curtailments and settlements. The net interest cost is calculated by applying Ihe discount rate to the nel balance of the defined benefit obligation and the fair value of plan assets, The cost is recognised in the statement of financial activities as a finance expense. Investments in Subsidlary Undertaklngs Investments in subsidiary undertakings are measured at cost and reviewed annually for impairment. On the basis that the subsidiary is not material to the group, consolidated accounts have not been prepared. Cash and cash equlvalents Cash and cash equivalents include cash in hand, deposits and olher short tem highly liquid investments that are readily convertible to known amounts of cash with insignificant risk of change in value. Provisions Page 24 conlinued...
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS . continued FOR THE YEAR ENDED 31 MARCH 2025 ACCOUNTING POLICIES. continued Provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. Flnancial instruments Basic financial assets, including trade and other debtors, cash and bank balances and investments in term deposits are initially recognised al transaction price.such assets are subsequenlly carried at amortised cost. At the end of each reporting period financial assets measured at amortised cost are assessed for objective eviden of impairmenl, Any impairment losses are recognised in profit or loss. Basic financial liabilities, including trade and other creditors, are initially recognised at transaclion pri. Trade and other creditors are measured at amortised cost using the effective interest method. Debt instrumènts are subsequently carried at amortised cost, using the effective interest method. Hire purchase and leasing commitments Assets obtsined under hire purchasing contracts or finance leases are capitalised on the balano sheet. Those held under hire purchase contracts are depreciated over Iheir estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. The interest element of these obligations is charged to the profit and loss account over the relevant period. The capital element of the future payments is treated as a liability. Rentals paid under operating leases are charged lo the profit and loss account on a straight line basis over the period of the lease. DONATIONS AND LEGACIES 31.3.25 31.3,24 Donations 15,231 14,835 OTHER TRADING ACTIVITIES 31.3.25 31.3.24 Vending & bar sales. 142,534 145,641 Page 25 continued...
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS. continued FOR THE YEAR ENDED 31 MARCH 2025 INVESTMENT INCOME 31.3.25 31.3.24 Deposit account interest 8,018 5,748 INCOME FROM CHARITABLE ACTIVITIES 31.3.25 31.3.24 Activily Charitable activilies Charitable activities Charitable activities Charitable activities Leisure centre income Managemenl fee income Membership income Other income 1,556,105 355,817 1,249,445 10,026 1,505,109 344,350 1,198,712 12,975 3,171,393 3,061,146 RAISING FUNDS Other trading activities 31.3.25 31.3.24 Opening stock Purchases Closing stock 10,940 74,702 10,941) 7,289 80,079 10,9411 74,701 76,427 CHARITABLE ACTIVITIES COSTS Support costs (see note 8) Direct Costs Totals Charitable activilies 2,739,168 736,569 3,475,737 Page 26 continued,,.
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS . continued FOR THE YEAR ENDED 31 MARCH 2025 SUPPORT COSTS Governance costs Management Finance Other 3 Totals Charitable activities 656,546 2,474 3,000 74,549 736,569 NET INCOMEI{EXPENDITURE) Net incomel{expenditurel is staled after chargingllcrediting).. 31.3,25 31.3.24 Auditors, remuneration Taxation advisory setvices Auditors remuneration for accountancy seNices Depreciation - owned assets Depreciation - assets on hire purchase conlracts and finance leases 20,004 4,158 14,550 28,605 6,925 121,547 31,041 224,916 28,036 10. TRUSTEES, REMUNERATION AND BENEFITS There were no trustees, remuneration or other benefits for the year ended 31 March 2025 nor for the year ended 31 March 2024. Trustees, expenses During the year ended 31 March 2025, one Trustee was reimbursed expenses of £270 (2024.'£Nil} for travel and stationery expenses, 11. STAFF COSTS 31,3,25 31.3.24 Wages and salaries Social security cosls Other pension costs 1,643,487 95,635 39,073 1,519,098 85,035 38,107 1,778,195 1,642,240 The average monthly number of employees during the year was as follows.. 31.3.25 68 73 18 31.3.24 66 66 19 BSF Contract Dorset Contract Aclivities Head Office Admin Support 167 158 No employees received emoluments in eXsS of £60,000. Page 27 continued...
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2025 11. STAFF COSTS- continued Some employees are members of a defined benefit pension scheme, details of which are provided in note 23. Key management personnel remuneration is disclosed in nole 25. 12. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES Unrestricted funds Restricted fund Total funds INCOME AND ENDOWMENTS FROM Donations and legacies 14,835 14,835 Charitable activities Charitable activities 3,061,146 3,061,146 Other trading activities Investment income 145,641 5,748 145,641 5,748 Total 3,227,370 3,227,370 EXPENDITURE ON Raising funds 76,427 76,427 Charitable actlvities Charitable activilies 3,149,078 3,149,078 Total 3,225,505 3,225,505 NET INCOME Other recognlsed gainsl{lossesl Actuarial gainsl(losses) on defined benefit schemes 1,865 1,865 18,000) 18,000) Net movement in funds (16,135) 116,135) RECONCILIATION OF FUNDS Total funds brought forward 650,049 1,302 651,351 TOTAL FUNDS CARRIED FORWARD 633,914 1,302 635,216 Page 28 conlinued...
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS . continued FOR THE YEAR ENDED 31 MARCH 2025 13. TANGIBLE FIXED ASSETS Improvements to property Fixtures and fittings Computer equipment Totals COST Al1 April 2024 Additions 922,128 1,272,484 14,350 126,793 2,321,405 14,350 At 31 March 2025 922,128 1,286,834 126,793 2,335,755 DEPRECIATION At1 April 2024 Charge for year 682,386 86,596 1,074,863 153,222 54,696 13,134 1,811,945 252,952 Al 31 March 2025 768,982 1,228,085 67,830 2,064,897 NET BOOK VALUE At 31 March 2025 153,146 58,749 58,963 270,858 At 31 March 2024 239,742 197,621 72,097 509,460 Included within fixed assets are assels with a net book value of £4,622 (2024.. £32,658) relating to assets held under finance lease agreements. The depreciation charged in the period in respect of assels held under finance lease agreements amounted to £28,03612024'. £31,041). During the year on renewal of finance leases, the net realisable value of the relating assets was reviewed. In the prior year assets were upwardly remeasured by £54,190 to the remaining lease value. Fixed assels, included in the above, which are held under finance leases are as follows.. Fixtures and filtings COST At 1 April 2024 and 31 March 2025 201,983 DEPRECIATION At1 April 2024 Charge for year 169,325 28,036 At 31 March 2025 197,361 NET BOOK VALUE At 31 March 2025 4,622 At 31 March 2024 32,658 Page 29 continued,,.
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS . continued FOR THE YEAR ENDED 31 MARCH 2025 14. FIXED ASSET INVESTMENTS Shares in group undertakings MARKET VALUE At1 April 2024 and 31 March 2025 NET BOOK VALUE At 31 March 2025 At 31 March 2024 There were no investment assets outside the UK. The company's investments at Ihe balan sheet date in the share capilal of companies include the following.. Incedo Limited Registered Offi.. Trinity Sports Centre, Chilton Street, Bridgwater, Somerset, United Kingdom, TA6 3JA Nature of business: Operation of sports facilities Class of share.. Ordinary holding 100 31.3.25 30.6.24 Aggregate capital and reserves ProfiU{lossl for Ihe year (2,040) 1,232) 2,040 15. STOCKS 31.3.25 31.3.24 Stocks 12,053 10,940 16. DEBTORS.. AMOUNTS FALLING DUE WITHIN ONE YEAR 31.3.25 31.3.24 Trade debtors Amounts owed by group undertakings Other debtors Prepayments and accrued income 22,531 1,202 24,006 61,545 60,202 1,202 24,926 48,820 109,284 135,150 Page 30 continued.
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS . continued FOR THE YEAR ENDED 31 MARCH 2025 17. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 31.3.25 31.3.24 Other loans (see note 191 Finance leases (see note 20) Trade creditors Social security and other taxes Other creditors Accruals and deferred income 10,332 4,622 101,601 39,725 5,745 375,206 10,078 32,659 118,819 33,757 5,021 282,549 537,231 482,883 Included within accruals and deferred income is deferred income of £93,493 (2024,, £64,748). Deferred income is in respect of membership fees that have been paid for in advice of the seNice delivery. 31.3.25 31.3.24 Deferred income brought Foard Released in the year Provided in the year 64,748 (64,748) 93,493 58,677 158,6771 64,748 Deferred income carried fOard 93,493 64,748 18. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR 31.3,25 31.3.24 Other loans (see note19) 7,022 17,357 19. LOANS An analysis of Ihe maturity of loans is given below: 31.3.25 31.3.24 Amounts falling due within one year on demand.. Other loans 10,332 10,078 Amounts falling between one and two years.. Other loans -1-2 years 7,022 10,332 Amounts falling due between and five years.. Other loans - 2-5 years 7,025 Page 31 continued...
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS . continued FOR THE YEAR ENDED 31 MARCH 2025 20. LEASING AGREEMENTS Minimum lease payments fall due as follows.. Finance leases 31.3.25 31.3.24 Net obligations repayable.. Within one year 4,622 32,659 Non-cancellable operating leases 31.3.25 31.3.24 Within one year 2,028 719 21. SECURED DEBTS The following secured debts are included within creditors.. 31.3.25 31,3,24 Other loans Finance leases 17,354 4,622 27,435 32,659 21,976 60,094 The finance leases are secured on the related leased assets. The bank loans are secured by a fixed charge over all plant and machinery and goodwill, owned now or in the future and a Iloating charge over all other property assets and rights of the company. The loan was drawn down in November 2020 under the provisions of Ihe Coronavirus Business Interruption Loan Scheme {CBILSI. The loan carries interest at the rate of 2.5Q/o and will be fully repaid by November 2026. Page 32 continued...
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2025 22. MOVEMENT IN FUNDS Nel movement in funds At 31.3,25 At1.4.24 Unrestricted funds Unreslricled funds Trinity sinking fund Pension reserve 606,908 24,006 3,000 {210,262} 396,646 24,006 3,000) 633,914 (213,262} 420,652 Restricted funds GAP funding 1,302 1,302 TOTAL FUNDS 635,216 213,262) 421,954 Net movement in funds, included in the above are as follows: Incoming resources Resources expended Movemenl in funds Unrestricted funds Unrèstricted funds Pension reseNe 3,337,176 (3,547,438} 3,000) (210,262) 3,000 3,337,176 3,550,438 213,262 TOTAL FUNDS 3,337,176 3,550,438) 213,262} Comparatives for movement in funds Net movement in funds Al 31.3,24 Al 1.4.23 Unrestricted funds Unreslricled funds Trinity sinking fund Pension reserve 605,043 24,006 21,000 1,865 606,908 24,006 3,000 18,0001 650,049 {16,135) 633,914 Restricted funds GAP funding 1,302 1,302 TOTAL FUNDS 651,351 16,135) 635,216 Page 33 continued...
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS . continued FOR THE YEAR ENDED 31 MARCH 2025 22. MOVEMENT IN FUNDS- continued Comparative nel movement in funds, included in the above are as follows.. Incoming resources Resources expended Gains and losses Movement in funds Unrestricted funds Unrestricted funds Pension reseNe 3,227,370 (3,225,505) 1,865 18,000) 18,000) 3,227,370 3,225,505 18,000 16,135 TOTAL FUNDS 18,000) 16,135) A current year12 months and prior year12 months combined position is as follows.. Net movement in funds At 31.3.25 Al 1,4,23 Unrestricted funds Unrestricted funds Trinity sinking fund Pension reseNe 605,043 24,006 21,000 (208,397) 396,646 24,006 21,000) 650,049 (229,3971 420,652 Restricted funds GAP funding 1,302 1,302 TOTAL FUNDS 651,351 229,397) 421,954 A current year12 months and prior year12 months combined net movement in funds, included in the above are as follows.. Incoming resources Resources expended Gains and losses Movement in funds Unrestricted funds Unrestricted funds Pension reseNe 6,564,546 (6,772,943) 3,000) {208,397} 21,000) 18,000) 6,564,546 6,775,943 18,000 229,397) TOTAL FUNDS 229,397) Page 34 continued...
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS. continued FOR THE YEAR ENDED 31 MARCH 2025 23. EMPLOYEE BENEFIT OBLIGATIONS West Dorset District Council Scheme During the year ended 31 March 2013, 1610 Limited agreed a contract to provide leisure services for Wesl Dorset District Council, Part of this contract included the transfer of employees and their associated pension benefil obligations, As part of the transfer agreement the defined pension obligations in respect of transferred employees became the responsibility of1610 Limited from 1 October 2012. These pension scheme obligations at the balance sheet date showed a surplus of £Nil (2024.. surplus of £3,000). Within the year under review, as part of the merger negotiations it was agreed that any asset or liability held in Ihe pension scheme would become the responsibility of West Dorset Districl Council after the final member of Ihe scheme left. The employer contributions expected to be paid to WDCC scheme during the period ending 31 March 2026 are Nil {2025.' £4,000). The assets of this defined benefit scheme were held separalely from those of the company and comprised segregated funds of the Dorset County Council Pension Fund in respect of pension benefits provided by the Local Government Pension Scheme (LGPS) to employees of 1610 Limited. The LGPS is a defined benefit statutory scheme administered in accordance with Local Govemment Pension Scheme Regulations 2014. It is contracted out of Ihe Slate Second Pension and currently provides benefits based on career average revalued salary and length of seNice on retirement. The scheme is now closed lo new members. The amounts recognised in the Statement of Financial Position are as follows.. Defined benefit pension plans 31.3.25 31,3,24 Present value of funded obligations Fair value of plan assels (696,0001 797,000 101,000 Present value of unfunded obligations Asset ceiling 98,000) Surplus 3,000 Net asset 3,000 Page 35 continued.,.
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS . continued FOR THE YEAR ENDED 31 MARCH 2025 23. EMPLOYEE BENEFIT OBLIGATIONS . continued The amounts recognised in the Slatement of Financial Activities are as follows.. Defined benefit pension plans 31.3.25 31.3.24 Current seNice cost Net interest from net defined benefit asseuliabilily Past seNice cost Admin costs 5,000 (1,000) 1,000 5,000 Actual retum on plan assets 34,000 Changes in the present value of the defined benefit obligation are as follows.. Defined benefit pension plans 31.3.25 31.3.24 Opening defined benefi't obligation Current service cost Contributions by scheme participants Interesl cost Benefils paid Transfer to local authority Oblig other remeasurement 696,000 695,000 5,000 1,000 33,000 {7,0001 1696,000) 31,000 696,000 Page 36 continued.,.
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS- contlnued FOR THE YEAR ENDED 31 MARCH 2025 23. EMPLOYEE BENEFIT OBLIGATIONS . continued Changes in Ihe fair value of scheme assets are as follows: Delined benefit pension plans 31.3.25 31.3.24 Opening fair value of scheme assets Contributions by employer Contributions by scheme participants Assels no descr Expected retum Benefits paid Transfer lo local authorily Return on plan assels {excluding interest income) 797,000 716,000 3,000 1,000 11,000) 34,000 (7,0001 (797,000} 51,000 797,000 The amounts recognised in other recognised gains and losses are as follows.. Defined benefit pension plans 31.3.25 31.3.24 Oblig other remeasurement Return on plan assets (excluding interest income} 31,000 51,000 82,000 The major categories of scheme assels as amounts of total scheme assets are as follows.. Defined benefit pension plans 31.3.25 31.3.24 Equities Olher bonds Diversified Growth Fund Infrastructure Multi asset credit Property Cash 499,000 52,000 53,000 59,000 55,000 62,000 17,000 797,000 Page 37 continued...
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS . contlnued FOR THE YEAR ENDED 31 MARCH 2025 23. EMPLOYEE BENEFIT OBLIGATIONS. contlnued Principal actuarial assumptions at the Stalement of Financial Position date (expressed as weighted averages).. 31.3.25 31.3.24 Discount rate Future salary increases Future pension increases Consumer Price Index price increase Mortallty Assumptions regarding future mortality experience are set based on actuarial advice in accordance with published statislics and experience. The post retirement mortality tables adopted are the S3PA tables with a multiplier of 90% for males and 1000/0 for females. These base tables ae then projected using the CMI 2020 Model, with an allowance for future longevity improvement of1.25% per annum, smoothing parameter of 7.5%, an initial addition parameter of 0.5 % and a 2020 weighing of 250/0. The 2020 weighl parameter reflects the exceptional mortality due to the coronavirus pandemic. The effect on assumed life expectancies is demonslrated in the lable below. The average life expeclancy in years for a member from the age of 65 are.. 2025 (years) 2024 (years) 21.8 23.9 23.1 Retiring today.. Males Females Males Females Reliring in 20 years.. Demographiclstatistical assumptions: A set of demographic assumptions that are consistent with those used for the most recent fund valuation as at March 2024 were adopted. 24. CONTINGENT LIABILITIES The Charity had guaranteed its payment obligations under a contract for the management of leisure facilities by arranging performance bonds for £115,744 and £90,528 which expired in January 2025 and £29,000 and £100,000 which expired in October 2024. Page 38 continued,.
1610 LIMITED NOTES TO THE FINANCIAL STATEMENTS . continued FOR THE YEAR ENDED 31 MARCH 2025 25. RELATED PARTY DISCLOSURES During the year the company paid for goods and seNices on behalf of Incedo Limited, a wholly owned subsidiary to the value of £nil12024'. £1,219). A balan of £1,202 (2024.. £1,202) was owing from Incedo Limited at the balance sheèt date. The key management of the charity comprises the Chief Execulive Officer. The total employee benefils of the key management personnel were for the year £60,432 (2024.. £55,976}. 26. FRC ETHICAL STANDARD . PROVISIONS AVAILABLE FOR SMALL ENTITIES In common with many other businesses of our size and nature we use our audilors to prepare and submit returns to the tax authorities and assist with the preparation of the financial statements. 27. ULTIMATE CONTROLLING PARTY On l August 2024 Wealden Leisure Limited, a Co-operative and Community Benefit Sociely, registration number IP29336R became the sole member of the charitable company. All decisions are taken by the Board of Direclors who are Trustees of Ihe charitable company. Wealden Leisure Limited has representation on the Board of Direclors. The objects of Wealden Leisure Limited are closely aligned to those of the charitable company, Consolidated accounts can be obtained from The Paddock, 1 6 Carriers Way, East Hoathly, East Sussex, 8N8 6AG. Wealden Leisure Limited has charitable tax stalus with HMRC reference XR74015. 28. COMPANY LIMITED BY GUARANTEE The company is limited by guarantee and has no authorised or issued share capital, In Ihe event of the company being wound up members are required lo contribute an amount not exceeding £1. 29. SUBSEQUENT EVENTS Subsequent to Ihe balance sheet date the Board has agreed Ihal the trade and assets of the charitable company will be transferred to the parent once Charity Commission authorisation has been granled. Page 39