**Registered number: 08623233 Charity number: 1155522**
## **The Sports Trust**
**(A company limited by guarantee)**
**Trustees' Report and Financial Statements**
**For the Year Ended 31 August 2023**
## **The Sports Trust**
## **(A company limited by guarantee)**
## **Contents**
||Page|
|---|---|
|Reference and administrative details of the Charity, its Trustees and advisers|1|
|Trustees' report|2 - 12|
|Independent auditors' report on the financial statements|13 - 15|
|Consolidated statement of financial activities|16|
|Consolidated balance sheet|17|
|Charity balance sheet|18|
|Consolidated statement of cash flows|19|
|Notes to the financial statements|20 - 37|
## **The Sports Trust**
## **(A company limited by guarantee)**
**Reference and Administrative Details of the Charity, its Trustees and Advisers For the Year Ended 31 August 2023**
|**Trustees**|Z. Camp|
|---|---|
||P.S. Carney|
||D. Collins|
||S.L. Downey|
||L.M. Eede|
||M. Greenwood|
||S. Hughes|
||J.L. Jordan (resigned 19 July 2023)|
||T.J. Minter OBE DL (resigned 19 July 2023)|
|**Company registered number**
08623233
**Charity registered number**
1155522
**Registered office**
Three Hills Sports Park
Cheriton Road
Folkestone
Kent
CT19 5JU
**Chief executive officer**
D. Hulme
**Independent auditors**
UHY Hacker Young
Chartered Accoutants
Statutory auditor
Thames House
Roman Square
Sittingbourne
Kent
ME10 4BJ||
Page 1
**The Sports Trust (A company limited by guarantee)**
**Trustees’ Report For the Year Ended 31 August 2023**
The Trustees have pleasure in presenting their report and the audited consolidated financial statements of The Sports Trust and its trading subsidiary, The Sports Trust Trading Limited, (“the Group”) for the year ended 31 August 2023.
The annual report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Charities SORP (FRS 102).
## **About The Sports Trust**
The Sports Trust ("TST" / the “Charity") is a not–for–profit charity based in South-East Kent that promotes participation and excellence in sport by creating strong links between schools, clubs and community organisations. The charity dismantles barriers to sports participation. Our work with diverse communities creates accessible and engaging opportunities – promoting our firm belief that sport and physical activity are essential components of a healthy and united society.
TST is committed to creating inclusive and inspiring environments for people to love sport and physical activity, whatever their motivations may be. TST aims to inspire people to find a sport where they feel they belong.
TST works in partnership with around 50 local schools, over 60 sports clubs and multiple stakeholders including Kent County Council and Folkestone and Hythe District Council along with national governing bodies. The Roger De Haan Charitable Trust ("RDHCT") provided funding to act as a catalyst for the co-operation between schools and sports clubs. Participating schools commit to provide a full and regular programme of organised sport to their pupils and to regularly enter school teams in local inter-school matches.
## **OBJECTIVES AND ACTIVITIES**
## **Mission**
Our vision is to make sport and physical activity possible for everyone in our community. Our mission is to work in partnership with schools, clubs and community groups to provide the best sporting opportunities for everyone in the community, from beginners to elite athletes.
## **Principal objectives**
The object of the Charity as set out in its Articles of Association is the promotion of community participation in healthy recreation for the benefit of the inhabitants of the district of Folkestone and Hythe by assisting in the provision of facilities and other services that will enable them to participate in amateur sport and physical activity.
2
## **The Sports Trust (A company limited by guarantee)**
## **Trustees’ Report (continued) For the Year Ended 31 August 2023**
The objectives are as follows:
- To significantly improve the number of local people, both adults and children, that regularly participate in sport;
- To encourage "not for profit" sports clubs to develop sports facilities that meet the needs of the local community;
- To encourage local schools and "not for profit" sports clubs to support their talented sportsmen and women;
- Tocreate a partnership between the district’s "not for profit"sports clubs andlocal primary and secondary schools in order that they share coaching, training, facilities and other resources;
- To have all primary and secondary schools in the district committed to offering a full and regular programme of organised sport and committing school sports teams to compete in local inter-school matches;
- To encourage the district’s "not for profit" sports clubs to better meet the needs of the local community and, as a result, increase club membership;
- To develop, over time, a model for the development of sport in the district that will appeal to the various agencies/bodies that fund sport.
- To develop and operate excellent sporting facilities.
The organisation seeks to do this by:
- Engaging primary and secondary schools by providing access to qualified coaches and mentors and by promoting competition and other activities.
- Encouraging more individuals to take up sport and recreation and become actively involved in clubs;
- Partnering with community groups to promote greater understanding of the value of recreational sport.
- Supporting elite athletes and utilising their skills to inspire others to achieve sporting excellence.
- Providing excellent sporting facilities for schools, sports clubs and the community to access high level sporting provision.
By promoting sport in the broader community, The Sports Trust aims to make a significant impact on the health and well-being of people who live in the district. The Trust also aims to establish the Folkestone & Hythe district as a centre of sporting excellence, as measured by numbers of individuals representing their district, county or country in their chosen sport(s) or by the success of teams competing at regional or national level.
The key themes that run throughout our work are:
## **Schools**
|_Excellence_|We promote excellence in sport and physical activity within our schools and we believe|
|---|---|
||every child should be able to access high-quality sports provisions throughout their|
||education.|
|_Belonging_|We believe sport creates a sense of belonging at school. We actively promote the impact|
||sport has on the wider school community.|
|_Inclusive_|Sport should be accessible to every child, no matter their ability.|
|_Discovering_|School is a great time for children to try something new, learn new skills and develop a|
|_Passion_|lifelong love for sport.|
|_Whole School_|We will work together with schools to improve sporting provision and the wider|
|_Improvement_|objectives of the school, such as behaviour, attendance and academic attainment.|
3
## **The Sports Trust (A company limited by guarantee)**
## **Trustees’ Report (continued) For the Year Ended 31 August 2023**
The Sports Trust worked closely with the schools for over a decade to maximise the sporting education of local children.
## **Communities**
_Physical, Emotional_ We encourage individuals to acknowledge their physical, emotional and mental state and _and Mental_ use sport as a tool to open up conversations around a holistic approach to health. _Wellbeing_
_Be Your Best You_ We realise it is not always easy to be the best you can be. The Sports Trust encourages everyone to believe it is possible to be your best you. _People Helping_ We believe working together and helping each other creates happier, healthier lives. We _People_ take loneliness and isolation seriously and through our work over the next five years, we are aiming to reduce the number of people affected by this especially following the impact of Covid.
_Invest and Grow_ We encourage individuals to invest in themselves and the wider area. Through the investment of money, time and energy, people and places will grow. _Proud of My_ We are proud to be cemented in the area. We want everyone to share our pride and create _Postcode_ a sense of community spirit and belief. We know our area is changing; if we embrace change together, it will make for a better place to be.
## **Partner Clubs**
_Clubs for all_ We believe that every sports club should be an inclusive, safe and welcoming environment for people from all backgrounds. _Excellence_ We are proud of the number of high calibre clubs we have within our district, in terms of coaches, facilities, athletes and volunteers. We are confident that our clubs help us to promote and develop excellence.
_Clubs supporting_ Working together makes clubs more resilient to change and makes them stronger for _clubs_ future generations. _Invest and Grow_ We encourage clubs to invest in themselves and the wider area. Through funding, time and energy, clubs will grow
## **Public benefit**
The Trustees have considered the impact of the public benefit requirement including the guidance issued by the Charity Commission. The charity aims to actively advance and increase the opportunity for healthy recreation, employment, volunteering and training for the inhabitants of the Folkestone and Hythe and wider South east area.
4
**The Sports Trust (A company limited by guarantee)**
**Trustees’ Report (continued) For the Year Ended 31 August 2023**
## **Volunteering**
It is our aim to use volunteering as a vehicle for personal and community development. Over the last decade, hundreds of volunteers have been given the opportunity to gain new skills, experiences and social networks and grow as an individuals .This will have a direct and positive impact on the local community by providing opportunities for thousands of people to be active every day and continues
## **ACHIEVEMENTS AND PERFORMANCE**
In the Trustees' Report accompanying the financial statements for the year ended 31 August 2023, we reported that the Charity intended to continue to work towards the aims and objectives outlined in our 5 year framework. The key aims, outcomes and themes being as follows:
## **In schools**
_Strategic Aim_ We aim to ensure every primary school child has access to a broad range of experiences, activities and sporting opportunities within the school day.
Every school will continue to partner with The Sports Trust and increase their engagement with our school's sports packages, resulting in every child accessing more physical activity and competitive sport every day.
_Progress_ Number of schools offered provision from The Sports Trust increased from 37 primary schools to 50 schools including 39 primary schools, 6 secondary schools, 1 all-through Special School, 3 Alternative Provision settings and 1 sixth form college. We accepted one additional primary school and one additional alternative provision to our district from Ashford (defined by School Games boundaries which were amended slightly).
All primary schools, 5 out of 6 secondary schools, 1 Special School, 3 Alternative Provision settings and 1 sixth form college committed to some kind of package or committed spend with The Sports Trust.
## _Strategic Aim_
We aim to ensure every primary school teacher has access to high quality resources and mentoring opportunities.
Through our primary school sports packages, every primary school teacher will be able to access quality resources and mentoring from our qualified team and CPD packages have been made available online through the pandemic.
_Progress_ Number of schools offered provision from The Sports Trust increased from 37 primary schools to 50 schools including 39 primary schools, 6 secondary schools, 1 all-through Special School, 3 Alternative Provision settings and 1 sixth form college. We accepted one additional primary school and one additional alternative provision to our district from Ashford (defined by School Games boundaries which were amended slightly).
A series of CPD has been provided to the partner schools including district wide workshops and one to one support in the schools. This continues to be an increasingly popular part of the schools programme.
5
**The Sports Trust (A company limited by guarantee)**
## **Trustees’ Report (continued) For the Year Ended 31 August 2023**
_Strategic Aim_ We aim to promote and deliver competitions and work towards excellence in all schools.
In partnership with local clubs and schools, The Sports Trust will deliver consistently high-quality competitions, identify talent and signpost onto appropriate community groups and clubs for progression.
_Progress_ The competition calendar maintained its high number and variety of sports with capacity for all primary schools and our all through Special School and saw a record number of competitions this year.
_Strategic Aim_
We aim to establish strong links between schools, clubs and community groups.
We will provide all schools, clubs and community groups with the tools to forge strong relationships and provide ongoing opportunities for people of all ages, at any level.
_Progress_ TST linked with several partner clubs and organisations continue to deliver competitions and continue to work with key partners Folkestone Junior Athletics, Folkestone Optimist Hockey Club and Saints Basketball who work closely delivering our package, and then several other clubs and coaches offer specific projects to the schools in partnership with us.
_Strategic Aim_ We aim to use sport to positively impact whole school improvement in areas such as behaviour, attendance and academic attainment.
We will develop strategic plans with every school so that physical education and sport can demonstrate a clear role in contributing to the overall improvements in their school. The PE leaders meetings have a focus on this to ensure the sports activities are safe, inclusive, enjoyable and help make meaningful impacts on the pupils.
_Progress_ Working in partnership with our district’s School Games Organiser, we have promoted the new 5 outcomes of the national School Games programme.
These see sport and physical activity support schools to achieve wider school priorities such as transition between key stages, character development (including leadership opportunities) and interventions to support targeted groups of children and young people who are likely to be less active such as those from low socioeconomic background, minority ethnic groups, girls and those with SEND. The School Games also promotes the benefits of sport and physical activity related to schools’ attendance and attainment statistics. We also continued to encourage schools to purchase sessions with our coaches and facilities as rewards for school achievements.
_Key statistics:_
- 37 out of 37 primary schools engaged with The Sports Trust through the TST PE and School, Sport Package.
- 5 out of 6 secondary schools engaged with The Sports Trust through the TST PE and School, Sport Package, mainly for activities at F51.
- Approximately 4,100 primary school places at 50 events and competitions were taken up by participants from 37 different primary schools. Approximately 300 leader spaces were taken up by secondary school students at the primary school events.
6
**The Sports Trust (A company limited by guarantee)**
## **Trustees’ Report (continued) For the Year Ended 31 August 2023**
Through working in partnership with the School Games we now have access to 20 sport wheelchairs which are held in a purpose-built container at Three Hills Sports Park for use in broadening the inclusive sports we can offer. This offer continues to grow and remains a key area for growth for TST.
## **In Communities**
_Strategic Aim_ We aim to support children and adults with mental health conditions to be more physically and socially active.
We will remove the barriers that people living with mental health conditions face in accessing physical activity and work with partners to create more opportunities to get active. We will engage with partner organisations to help improve their physical, emotional and mental wellbeing.
## _Progress_
We continue to engage actively with partners, for example South Kent Mind to help remove barriers to those living with a mental health condition and provide access to sport and sporting facilities. Alongside these sessions participants also accessed our social activities, which take place regularly. Our social activities enabled all participants to become more socially active and also develop new friendships.
_Strategic Aim_
We aim to use sport as a tool to reduce loneliness and isolation in our community.
We have seen first-hand how sport can give people a purpose and bring communities together. We will put social inclusion at the heart of all of our programmes. We will ensure sporting provision is accessible and affordable during the school holidays, with lunches available for children who qualify for free school meals. We will provide financial support to people who want to progress onto club and community sport, in the form of kit, equipment, membership and expenses.
_Strategic Aim_ We aim to ensure that low-income families can access high quality sporting opportunities _._
_Progress_ Hundreds of young people were able to access the sports holiday camps with food provided for six weeks through key holidays. This has expanded and sees over 220 young people per day, and is always over subscribed (at all three facilities) outlining the need for this programme.
As a result of our success in the Summer, TST was asked by the Holiday Activities and Food Programme (“HAF”) to present to other Kent wide providers as an example of how to successfully work alongside schools to reach and recruit large number of young people onto HAF provision.
We are also aiming to increase delivery of HAF at other and now offer a holiday camp at the Marsh Academy.
_Key statistics:_
- 5,300 free lunches have been served at our Fit and Fed Holiday Camps;
7
## **The Sports Trust (A company limited by guarantee)**
## **Trustees’ Report (continued) For the Year Ended 31 August 2023**
## **Folkestone Sea Sports**
_Strategic Aim_ We aim to increase physical activity opportunities by better utilising our Sea Sports Centre and the coastline.
We will provide over 10,000 sea sports experiences for our community which will create a thriving sea sports culture along our coastline.
We will create affordable sea sports offers enticing all members of the community to come and try something new.
_Progress_ 1,245 sea sports experiences were provided through public hires and group bookings.
## **The Urban Sports Park (USP) ‘F51’**
The Sports Trust has been very fortunate to receive funding from the Roger De Haan Charitable Trust to enable the building of a first of its kind multi-storey skate park, with a climbing facility, boxing gym, office space and café in Folkestone. The F51 operational activities are channelled through the charity’s trading subsidiary, The Sports Trust Trading Limited.
F51 Skatepark opened in March 2022 and is home to the world’s first suspended concrete bowls with three stacked floors dedicated to all types of skateboarding and BMXing. It has the tallest climbing venue in the South east. F51 Skatepark also hosts The Folkestone Amateur Boxing Club which helps to instil discipline and respect in individuals which they can then carry through the rest of their lives.
F51 skatepark runs a vast number of sessions for the whole community including weekly climb socials for LGBTQIA+ and women’s only and non-binary skate nights.
The Sports Trust (TST) Trading currently have 636 children signed up to the Shred Club since opening which enables access to the skate park for £1 per month.
The Shred Club is an initiative created for schools who have partnered with TST. Children who are homeeducated can also access the Shred Club.
TST has seen a wide range of new friendship groups develop in these sessions as well as seeing some incredible progression in some of the younger children and now run weekly kids clubs which are proving very popular across all sports.
TST’s involvement with Skate GB will continue to grow. As skateboarding made its debut appearance at the 2020 Summer Olympics in 2021 the door is truly open for them now to develop. TST has hosted a number of skate events and is home to GB’s number one male skater.
8
## **The Sports Trust (A company limited by guarantee)**
## **Trustees’ Report (continued) For the Year Ended 31 August 2023**
## **FINANCIAL REVIEW**
## **Financial position**
The Group generated a deficit for the year of £309,962 (2022: surplus of £736,853) and held cash balances of £9,734 (2022: £60,407).
The trustees would like to place on record appreciation of the Roger De Haan Charitable Trust who has over the years contributed considerable money towards the skate park. This was the first year that the Trust did not receive a general grant from the Roger De Haan Charitable Trust towards operating costs (2022: £38,500) as part of The Sports Trust moving towards financial independence. The Sports Trust did receive a grant towards salary costs in the year of £50,000 (2022: £nil) for which it is grateful.
The trustees of the charity would also like to place on record appreciation of its supporters who provided the necessary funding for special projects and to enable the trust to operate. Included within the total grants received of £498,886 (2022: £1,297,685) were the following:
- A contribution of £135,949 from The Education People for the delivery of holiday camps for disadvantaged children
- Grants of £10,338 from Kent County Council towards their Fit and Fed project which is aimed to encourage positive, social and physical activities for 1-19 year olds by running summary and half-term programmes.
- A number of grants from Folkestone & Hythe District Council totalling £54,008 for a range of projects, including the Fit and Fed project.
The completion of the build of the Skatepark is the main reason for the decrease in fund income during the year as £1,054,576 was received in the previous year in respect of the build, with only £201,250 being required in the year to 31 August 2023.
Contributing to the deficit for the year is depreciation of £284,657 as the F51 building started to be depreciated now it has been brought into use. As this is a non-cash transaction, once depreciation is excluded, the operating deficit for the year is £25,305.
## **Reserves policy**
The policy of the trustees is to maintain a level of reserves that will be adequate to provide a stable base for the continuing operation of the charity, whilst ensuring that excessive funds are not accumulated. Trustees agreed the target to aim for should be £25,000 growing to £50,000 in time. In common with many other small charities, The Sports Trust is dependent on continuing donations from its supporters to enable it to continue its operations.
Total Group funds as of 31 August 2023 amounted to £10,299,580 (2022: £10,609,542). All funds of the Group at the Balance Sheet date comprised unrestricted funds, with all restricted monies received in the year having been fully spent. Of the Group position, the parent charity’s unrestricted reserves represented £10,415,069 and the subsidiary’s unrestricted reserves being in deficit by £115,849. This is an improved position on the previous year now that the F51 building has been operational for a full 12 months. Deficits on trading activities at F51 were expected initially, whilst the company found its feet and customer base, and the charity and the directors of the subsidiary are working hard to develop plans to ensure that the Skate Park is profitable from 2023/24.
Since the Charity’s unrestricted reserves are tied up in the value of fixed assets, at 31 August 2023 neither the Parent Charity itself or the overall Group had any free reserves.
9
## **The Sports Trust (A company limited by guarantee)**
## **Trustees’ Report (continued) For the Year Ended 31 August 2023**
## **Going concern**
The trustees assess whether the use of going concern is appropriate i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the Charity to continue as a going concern. The trustees make this assessment in respect of a period of at least one year from the date of authorisation for issue of the financial statements.
The Charity has continued to receive income in the form of a number of grants alongside the income from schools, holiday camps and generous partners. We have also received an additional donation from local charitable events which all help to cover operational costs.
Whilst acknowledging the uncertainties that remain, the trustees are confident that the impact in the coming year will remain low and the trustees have concluded there is no material uncertainties about the Charity's ability to continue as a going concern and that it remains appropriate to continue to adopt the going concern basis of accounting in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies.
## **Principal risks and uncertainties**
|**Loss** **of** **key** **staff**
Loss of key staff would affect key
areas of work delivery and other
staff members may not have the
same skill set|Good working relationships between the team and weekly meetings to
ensure any issues discussed. Key areas of work template to be produced
and reviewed to ensure we have the ability and knowledge to cover key
areas of work with loss of an employees.
Senior leaders are asked to provide succession plans to ensure the charity
is not too impacted by the loss of key staff.|
|---|---|
|**Loss** **of** **school** **income**
Primary schools lose their
funding and stop buying into the
Charity’s services.|We continue to strengthen the relationships with all schools so that we
are in the best position to continue working with them if there is any
change in the funding landscape. A number of Trustees are experienced
in this area and are able to help the charity plan accordingly.
We continue to look at other areas to diversify (including facility
operations).|
## **PLANS FOR FUTURE PERIODS**
At the start of September 2023 the Charity received income from schools for sports packages for the period through to August 2024. As part of this, we aim to engage all local sports and community facilities in our longterm mission and strategy so that everyone has the freedom of choice to access consistently high quality facilities and activities within them and this coming year will see the launch of our multi-million pound skate park and climbing centre. We will also expand the sea sports offer and work closely with a number of other facilities to ensure that access to all sports is inclusive, affordable and fun!
10
**The Sports Trust (A company limited by guarantee)**
**Trustees’ Report (continued) For the Year Ended 31 August 2023**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Constitution**
The Charity is controlled by its governing document, the Memorandum and Articles of Association dated 24 July 2013 as amended by special resolution registered with Companies House dated 20 December 2013, and constitutes a company limited by guarantee, as defined by the Companies Act 2006. The charity changed its name from The Shepway Sports Trust to The Sports Trust by special resolution dated 21 January 2022.
## **Recruitment and appointment of new trustees**
Trustees are appointed by the recommendation of the existing trustees. New trustees, when appointed will be provided with an information pack including the latest accounts and Memorandum and Articles of Association and will be afforded the opportunity to undertake visits to the premises of The Sports Trust.
Although no specific training programme exists, most trustees continue to have considerable exposure to educational and charitable matters either through their principal occupation and/or involvement in other charitable institutions.
## **Risk management**
The trustees have examined the major risks which the charity faces and have put in place systems, policies, procedures and controls in order to manage and mitigate these risks. Appropriate insurances are in place. The Charity is organised with directors and members of the management committee meeting regularly to manage its affairs. There are three members of permanent staff who, together with the volunteers, apprentices and fixed term project staff, manage the charity. Where appropriate, the trustees will act only after taking appropriate professional advice.
## **Members' liability**
Each member of the charitable company undertakes to contribute to the assets of the Charity in the event of it being wound up while he/she is a member, or within one year after he/she ceases to be a member, such amount as may be required, not exceeding £1, for the debts and liabilities contracted before he/she ceases to become a member.
## **Setting pay and remuneration of key management personnel**
All pay and remuneration of key management is presented against the business case by the Chief Executive to the board for approval. This takes into account monthly staffing reviews, success against prescribed outcomes and is benchmarked against similar salaries.
## **Related parties**
Related party questionnaires are sent to all Trustees, Directors and senior leaders to complete to ensure there is a full log of any related parties.
Transactions undertaken with related parties during the year are disclosed, where required, within the notes to the accounts.
11
## **The Sports Trust (A company limited by guarantee)**
## **Trustees’ Report (continued) For the Year Ended 31 August 2023**
## **STATEMENT OF TRUSTEES’ RESPONSIBILITIES**
The Trustees (who are also directors for the purpose of company law) are responsible for preparing the Trustees’ 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 the Trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and the results of the charitable company for that period.
In preparing these financial statements, the Trustees are required to:
- select suitable accounting policies and then apply them consistently; observe the methods and principles in the Charities SORP (FRS 102);
- make judgments and accounting 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;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
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 the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislations in other jurisdictions.
## **Disclosure of information to auditors**
Insofar as the Trustees are aware:
- there is no relevant audit information of which the charitable company’s auditor is 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 auditor is aware of that information.
## **AUDITORS**
UHY Hacker Young have indicated their willingness to continue in office as auditors, and a resolution for their re-appointment will be proposed at the Annual General Meeting.
The Trustees declare that they have approved the Trustees’ Annual Report above. Signed on behalf of the Trustees:
## **Paul Carney**
Trustee Date:
12
**(A company limited by guarantee)**
## **The Sports Trust**
## **Independent Auditors' Report to the Members of The Sports Trust**
## **Opinion**
We have audited the financial statements of The Sports Trust (the 'parent charitable company') and its subsidiaries (the 'group') for the year ended 31 August 2023 which comprise the Consolidated statement of financial activities, the Consolidated balance sheet, the Charity balance sheet, the Consolidated statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
- give a true and fair view of the state of the Group's and of the parent charitable company's affairs as at 31 August 2023 and of the Group's incoming resources and application of resources, including its income and expenditure for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Companies Act 2006 and the Charities Act 2011.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's or the parent charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.
## **Other information**
The other information comprises the information included in the Annual report other than the financial statements and our Auditors' report thereon. The Trustees are responsible for the other information contained within the Annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
## **Opinion on other matters prescribed by the Companies Act 2006**
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Trustees' Report for the financial year for which the financial statements are prepared is consistent with the financial statements.
- the Trustees' Report has been prepared in accordance with applicable legal requirements.
Page 13
## **The Sports Trust**
## **(A company limited by guarantee)**
## **Independent Auditors' Report to the Members of The Sports Trust (continued)**
## **Matters on which we are required to report by exception**
In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' Report.
We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion:
- the parent charitable company has not kept adequate and sufficient accounting records, or returns adequate for our audit have not been received from branches not visited by us; or
- the parent 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; or
- the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the Trustees' Report and from the requirement to prepare a Strategic Report.
## **Responsibilities of trustees**
As explained more fully in the Trustees' responsibilities statement, 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 to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the Trustees are responsible for assessing the Group's and the parent 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 the Trustees either intend to liquidate the Group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.
## **Auditors' responsibilities for the audit of the financial statements**
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
## _How the audit was considered capable of detecting irregularities, including frau_ d
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non compliance with laws and regulations, was as follows:
- we identified the laws and regulations applicable to the charity through discussions with management, and from our commercial knowledge and experience in the sector;
- we focused on specific laws and regulations which we considered may have a direct material effect on the accounts or the operations of the charity, including the Companies Act 2006 and the Charities Act 2011;
- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting correspondence; and
- identified laws and regulations were communicated within the audit team and the team remained alert to instances of non compliance throughout the audit.
Page 14
## **The Sports Trust**
## **(A company limited by guarantee)**
## **Independent Auditors' Report to the Members of The Sports Trust (continued)**
We assessed the susceptibility of the charity's accounts 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; and
- considering the internal controls in place to mitigate risks of fraud and non compliance with laws and regulations.
To address the risk of fraud through management bias and override of controls, we:
- performed analytical procedures to identify any unusual or unexpected relationships;
- tested journal entries to identify unusual transactions;
- assessed whether judgements and assumptions made in determining the accounting estimates set out in the accounting policies were indicative of potential bias; and
- investigated the rationale behind significant or unusual transactions.
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 to underlying supporting documentation;
- reading minutes of meetings of those charged with governance; and
- enquiring of management as to actual and potential litigation and claims.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.
## **Use of our report**
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, and to the charitable company's trustees, as a body, Part 4 of the Charities (Accounts and Reports) Regulations 2008. 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 Auditors' 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.
## **Tracey Moore BFP ACA (Senior statutory auditor)**
for and on behalf of
## **UHY Hacker Young**
Chartered Accoutants Statutory auditor Thames House Roman Square Sittingbourne Kent ME10 4BJ
28 June 2024
Page 15
**(A company limited by guarantee)**
## **The Sports Trust**
**Consolidated Statement of financial activities (incorporating income and expenditure account) For the Year Ended 31 August 2023**
|**Note**
**Income from:**
Donations and legacies
3
Charitable activities
4
Other trading activities
5
Investments
6
**Total income**
**Expenditure on:**
Raising funds
Charitable activities
7
**Total expenditure**
**Net (expenditure)/income**
Transfers between funds
18
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
Net movement in funds
**Total funds carried forward**
18|**Restricted funds**
**2023**
**£**
319,947
-
25,000
-
344,947
-
504,052
504,052
(159,105)
(10,506,999)
(10,666,104)
10,666,104
(10,666,104)
-|**Unrestricted**
**funds**
**2023**
**£**
178,939
180,677
371,260
261
731,137
367,416
514,578
881,994
(150,857)
10,506,999
10,356,142
(56,562)
10,356,142
10,299,580|**Total**
**funds**
**2023**
**£**
498,886
180,677
396,260
261
1,076,084
367,416
1,018,630
1,386,046
(309,962)
-
(309,962)
10,609,542
(309,962)
10,299,580|_As restated_
_Total_
_funds_
_2022_
_£_
_1,303,773_
_225,959_
_123,804_
_-_|
|---|---|---|---|---|
|||||_1,653,536_|
|||||_227,973_
_688,710_|
|||||_916,683_|
|||||_736,853_
_-_|
|||||_736,853_|
|||||_9,872,689_
_736,853_|
|||||_10,609,542_|
The Consolidated Statement of Financial Activities includes all gains and losses recognised in the year.
The notes on pages 20 to 37 form part of these financial statements.
Page 16
**(A company limited by guarantee) Registered number: 08623233**
## **The Sports Trust**
**Consolidated Balance Sheet As at 31 August 2023**
|**Note**
**Fixed assets**
Tangible assets
12
**Current assets**
Debtors
14
Cash at bank and in hand
Creditors: amounts falling due within one year
15
**Net current liabilities / assets**
**Total assets less current liabilities**
Creditors: amounts falling due after more than one
year
16
**Total net assets**
**Charity funds**
Restricted funds
18
Unrestricted funds
18
**Total funds**|56,313
9,734
66,047
(174,809)|**2023**
**£**
14,408,342
_207,621_
_60,407_
_268,028_
_(256,945)_
(108,762)
14,299,580
(4,000,000)
10,299,580
-
10,299,580
10,299,580|_As restated_
_2022_
_£_
_14,598,459_
_11,083_
_14,609,542_
_(4,000,000)_|
|---|---|---|---|
||||_10,609,542_|
||||_10,666,104_
_(56,562)_|
||||_10,609,542_|
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
## **P.S. Carney**
Date: 28 June 2024
The notes on pages 20 to 37 form part of these financial statements.
Page 17
**(A company limited by guarantee) Registered number: 08623233**
## **The Sports Trust**
**Charity Balance Sheet As at 31 August 2023**
|**Note**
**Fixed assets**
Tangible assets
12
Investments
13
**Current assets**
Debtors
14
Cash at bank and in hand
Creditors: amounts falling due within one year
15
**Net current assets**
**Total assets less current liabilities**
Creditors: amounts falling due after more than one
year
16
**Total net assets**
**Charity funds**
Restricted funds
18
Unrestricted funds
18
**Total funds**|127,640
9,734
137,374
(118,725)|**2023**
**£**
14,408,342
50
14,408,392
_321,408_
_60,407_
_381,815_
_(251,449)_
18,649
14,427,041
(4,000,000)
10,427,041
-
10,427,041
10,427,041|_As restated_
_2022_
_£_
_14,598,459_
_50_
_14,598,509_
_130,366_
_14,728,875_
_(4,000,000)_|
|---|---|---|---|
||||_10,728,875_|
||||_10,666,104_
_62,771_|
||||_10,728,875_|
The Charity's net movement in funds for the year was _£_ (301,834) _(2022 - £841,022)_ .
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
## **P.S. Carney**
Date: 28 June 2024
The notes on pages 20 to 37 form part of these financial statements.
Page 18
## **The Sports Trust**
## **(A company limited by guarantee)**
**Consolidated Statement of Cash Flows For the Year Ended 31 August 2023**
|**Note**
**Cash flows from operating activities**
Net cash used in operating activities
21
**Cash flows from investing activities**
Purchase of tangible fixed assets
**Net cash used in investing activities**
**Change in cash and cash equivalents in the year**
Cash and cash equivalents at the beginning of the year
**Cash and cash equivalents at the end of the year**
22|**2023**
**£**
46,356
(97,029)
(97,029)
(50,673)
60,407
9,734|_2022_
_£_
_953,025_|
|---|---|---|
|||_(995,389)_
(995,389)|
|||(42,364)
_102,771_|
|||_60,407_|
The notes on pages 20 to 37 form part of these financial statements
Page 19
**The Sports Trust (A company limited by guarantee)**
**Notes to the Financial Statements For the Year Ended 31 August 2023**
## **1. General information**
The Sports Trust is a charitable company registered in England and Wales, its company registered number is 08623233 and its charity registered number 1155522.
The Charity is a company limited by guarantee. The members of the company are the Trustees named on page 1. In the event of the Charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the Charity.
## **2. Accounting policies**
## **2.1 Basis of preparation of financial statements**
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (January 2022) and the Companies Act 2006.
The Sports Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
The principal accounting policies adopted, judgements and key estimations of uncertainty in the preparation of the financial statements are as follows:
The Consolidated statement of financial activities (SOFA) and Consolidated balance sheet consolidate the financial statements of the Charity and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis.
The Charity has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of financial activities in these financial statements.
## **2.2 Going concern**
The Trustees assess whether the use of going concern is appropriate i.e, whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the Group to continue as a going concern. They make this assessment in respect of a period of at least one year from the date of authorisation for issue of the financial statements.
In making their assessment, the Trustees have considered relevant information, including the annual budget, forecast future cash flows and the impact of subsequent events.
The results for the Group for the year encompass a full year of trading for the Charity’s flagship one-of-a-kind venue, the F51 skate park, which made a significant loss. This loss was anticipated due to the relative infancy of the venue and the cost-of-living crisis along with the worldwide increase in energy costs. The Trustees anticipate that the results for the coming year will show a great improvement with all revenue streams being departmentalised and managed efficiently with a view to breaking even in 2023/24.
The Charity itself continues to review it’s projects and constantly reviews whether it is meeting it’s objectives and some projects have fallen away this year as a result. The Charity’s core school provision continues to provide a good return and the engagement from local schools continues to grow. Due to the ongoing cost of living crisis and political landscape the Trustees recognise that 2023/24 will likely be another challenging year.
Taking all the above into consideration, the Trustees have a reasonable expectation that the Group will, at all times, have adequate resources to continue in operational existence for the foreseeable future. Therefore, the Trustees have concluded that there is no material uncertainty and that it remains appropriate to continue to adopt the going concern basis of accounting in preparing the financial statements.
Page 20
**(A company limited by guarantee)**
## **The Sports Trust**
**Notes to the Financial Statements For the Year Ended 31 August 2023**
## **2. Accounting policies (continued)**
## **2.3 Income**
All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Grants are included in the Consolidated statement of financial activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.
## **2.4 Expenditure**
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.
Expenditure on raising funds includes all expenditure incurred by the Group to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.
Support costs are those costs incurred directly in support of expenditure on the objects of the Charity and include project management carried out at Headquarters. Governance costs are those incurred in connection with administration of the Charity and compliance with constitutional and statutory requirements.
Charitable activities and Governance costs are costs incurred on the Charity's operations, including support costs and costs relating to the governance of the Charity apportioned to charitable activities.
## **2.5 Government grants**
Government grants relating to the tangible fixed assets are treated as deferred income and released to the Consolidated statement of financial activities over the expected useful lives of the assets concerned. Other grants are credited to the Consolidated statement of financial activities as the related expenditure is incurred.
## **2.6 Interest receivable**
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Group; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.
## **2.7 Taxation**
The Sports Trust is a registered charity and is therefore potentially exempt from taxation on its income and gains as the charity falls within the definition of a charitable trust as defined in Part 1, Schedule 6 of the Finance Act 2010. No tax charge has arisen during the year.
Page 21
**(A company limited by guarantee)**
## **The Sports Trust**
**Notes to the Financial Statements For the Year Ended 31 August 2023**
## **2. Accounting policies (continued)**
## **2.8 Tangible fixed assets and depreciation**
Tangible fixed assets costing £500 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.
Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives.
Depreciation is provided on the following bases:
|Long-term leasehold property|- 2% on cost|
|---|---|
|Plant and machinery|- 25% on cost|
|Motor vehicles|- 25% on cost|
|Fixtures and fittings|- 20% on cost|
|Computer equipment|- 20% on cost|
## **2.9 Investments**
Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Consolidated statement of financial activities.
Investments in subsidiaries are valued at cost less provision for impairment.
## **2.10 Debtors**
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **2.11 Cash at bank and in hand**
Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
## **2.12 Liabilities and provisions**
Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Consolidated statement of financial activities as a finance cost.
Page 22
**The Sports Trust**
**(A company limited by guarantee)**
**Notes to the Financial Statements For the Year Ended 31 August 2023**
## **2. Accounting policies (continued)**
## **2.13 Financial instruments**
The Group only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
## **2.14 Pensions**
The Group operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Group to the fund in respect of the year.
## **2.15 Fund accounting**
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Group for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Investment income, gains and losses are allocated to the appropriate fund.
## **3. Income from donations and legacies**
|**Donations and grants**
The Roger De Haan Charitable Trust - Skatepark
The Roger De Haan Charitable Trust - General Grant
The Roger De Haan Charitable Trust - Salary Grant
Kent County Council
Folkestone & Hythe District Council
Youth Sports Trust
The Cleary Foundation
The Education People
Street Games
The Football Association
Other grants
General donations|**Restricted**
**funds**
**2023**
**Unrestricted**
**funds**
**2023**
**Total**
**funds**
**2023**
_Total_
_funds_
_2022_
**£**
**£**
**£**
_£_
201,250
-
201,250
_1,054,576_
-
-
-
_38,500_
50,000
-
50,000
_-_
10,218
120
10,338
_54,757_
42,008
12,000
54,008
_27,000_
1,070
-
1,070
_2,400_
-
-
-
_2,500_
-
135,949
135,949
_95,770_
4,000
-
4,000
_5,000_
6,400
-
6,400
_6,000_
-
12,334
12,334
_-_
5,000
18,537
23,537
_11,182_
319,946
178,940
498,886
_1,297,685_|
|---|---|
Page 23
## **The Sports Trust**
## **(A company limited by guarantee)**
**Notes to the Financial Statements For the Year Ended 31 August 2023**
## **3. Income from donations and legacies (continued)**
|Government grants
_Analysis of 2022 by fund_|**Restricted**
**funds**
**2023**
**£**
-
319,947
_1,134,088_|**Unrestricted**
**funds**
**2023**
**£**
-
178,939
_169,685_|**Total**
**funds**
**2023**
**£**
-
498,886
_1,303,773_|_Total_
_funds_
_2022_
_£_
_6,088_|
|---|---|---|---|---|
|||||_1,303,773_|
||||||
## **4. Income from charitable activities**
|Promoting Sports in the Shepway District
Income from charitable activities - Delivering and Co-
ordinating Sports within Schools and Clubs
_Analysis of 2022 by fund_|**Restricted**
**funds**
**2023**
**£**
-
-
-
_60,107_|**Unrestricted**
**funds**
**2023**
**£**
18,290
162,387
180,677
_165,852_|**Total**
**funds**
**2023**
**£**
18,290
162,387
180,677
_225,959_|_Total_
_funds_
_2022_
_£_
_42,779_
_183,180_|
|---|---|---|---|---|
|||||_225,959_|
||||||
## **5. Income from other trading activities**
## **Income from fundraising events**
||**Restricted**|**Total**|_Total_|
|---|---|---|---|
||**funds**|**funds**|_funds_|
||**2023**|**2023**|_2022_|
||**£**|**£**|_£_|
|Sponsorship income|25,000|25,000|_-_|
Page 24
## **The Sports Trust**
## **(A company limited by guarantee)**
**Notes to the Financial Statements For the Year Ended 31 August 2023**
|**5.**|**Income from other trading activities (continued)**|
|---|---|
||**Income from non charitable trading activities**|
|Subsidiary trading income
_Analysis of 2022 by fund_
**6.**
**Investment income**
Interest
**7.**
**Analysis of expenditure on charitable activities**
**Summary by fund type**|**Unrestricted**
**funds**
**2023**
**£**
371,260
_123,804_
**Unrestricted**
**funds**
**2023**
**£**
261|**Total**
**funds**
**2023**
**£**
371,260
_123,804_
**Total**
**funds**
**2023**
**£**
261|_Total_
_funds_
_2022_
_£_
_123,804_|
|---|---|---|---|
||||_Total_
_funds_
_2022_
_£_
_-_|
|||||
|Promoting Sports in the Shepway District
Delivering and Co-ordinating Sports within Schools and
Clubs
Leadership and Coaching within Sports and Activities
_Analysis of 2022 by fund - restated_|**Restricted**
**funds**
**2023**
**£**
480,193
18,629
5,230
504,052
_206,579_|**Unrestricted**
**funds**
**2023**
**£**
417,680
70,452
26,446
514,578
_482,131_|**Total**
**2023**
**£**
897,873
89,081
31,676
1,018,630
_688,710_|_Total_
_2022_
_£_
_522,311_
_160,056_
_6,343_|
|---|---|---|---|---|
|||||_688,710_|
||||||
Page 25
## **The Sports Trust**
## **(A company limited by guarantee)**
**Notes to the Financial Statements For the Year Ended 31 August 2023**
## **8. Analysis of expenditure by activities**
|**Activities**
**undertaken**
**directly**
**2023**
**Support costs**
**2023**
**£**
**£**
Promoting Sports in the Shepway District
559,656
338,217
Delivering and Co-ordinating Sports within Schools and
Clubs
89,081
-
Leadership and Coaching within Sports and Activities
31,676
-
680,413
338,217
_Analysis of 2022 by type_
_643,453_
_45,257_
**Analysis of support costs**
**Promoting**
**Sports in the**
**Shepway**
**District**
**2023**
**£**
Depreciation
284,657
Subscriptions
704
Consultancy costs
28,482
Governance costs
21,885
Profit on disposal of fixed assets
2,489
338,217
_Total 2022_
_45,257_
**Auditors' remuneration**
Fees payable to the Charity's auditor for the audit of the Charity's and subsidiary Company's
annual accounts|**Total**
**funds**
**2023**
**£**
897,873
89,081
31,676
1,018,630
_688,710_
**Total**
**funds**
**2023**
**£**
284,657
704
28,482
21,885
2,489
338,217
_45,257_
**2023**
**£**
13,000|_Total_
_funds_
_2022_
_£_
_522,311_
_160,056_
_6,343_
_688,710_|
|---|---|---|
|||_Total_
_funds_
_2022_
_£_
_16,781_
_206_
_19,118_
_9,788_
_(636)_
_45,257_|
|||_2022_
_£_
_6,350_|
**9. Auditors' remuneration**
Page 26
## **The Sports Trust**
## **(A company limited by guarantee)**
**Notes to the Financial Statements For the Year Ended 31 August 2023**
## **10. Staff costs**
|Wages and salaries
Social security costs
Contribution to defined contribution pension schemes|**Group**
**2023**
**£**
507,802
66,321
8,854
582,977|_Group_
_2022_
_£_
_456,511_
_39,111_
_8,784_
_504,406_|**Charity**
**2023**
**£**
358,015
50,312
6,095
414,422|_Charity_
_2022_
_£_
_330,009_
_27,640_
_6,072_|
|---|---|---|---|---|
||||||
|||||_363,721_|
The average number of persons employed by the Charity during the year was as follows:
||**Group**|_Group_|**Charity**|_Charity_|
|---|---|---|---|---|
||**2023**|_2022_|**2023**|_2022_|
||**No.**|_No._|**No.**|_No._|
|Average employees|27|_20_|12|_14_|
No employee received remuneration amounting to more than £60,000 in either year.
The trustees consider the key management personnel of the Charity to be the Trustees, the Chief Executive, Deputy Chief Executive, Chief Operating Officer, Head of Finance, Marketing Manager, F51 Manager and Youth and Schools Partnership Project Manager. The total employee benefits (including employer's national insurance and pension contributions) to key management personnel amounted to £240,249 (2022: £188,440). The increase is due to a full years worth of salaries being included for part of the key management team compared to only a few months in the prior year.
## **11. Trustees' remuneration and expenses**
During the year, no Trustees received any remuneration or other benefits _(2022 - £14,603)_ .
During the year ended 31 August 2023, no Trustee expenses have been incurred _(2022 - £3,905)_ .
Page 27
## **The Sports Trust**
## **(A company limited by guarantee)**
**Notes to the Financial Statements For the Year Ended 31 August 2023**
## **12. Tangible fixed assets**
## **Group and Charity**
|**Cost**
At 1 September 2022
Additions
Disposals
At 31 August 2023
**Depreciation**
At 1 September 2022
Charge for the year
On disposals
At 31 August 2023
**Net book value**
At 31 August 2023
_At 31 August 2022_|**Long-term**
**leasehold**
**property**
**£**
14,514,950
38,507
-
14,553,457
-
262,879
-
262,879
14,290,578
_14,514,950_|**Plant and**
**machinery**
**£**
10,360
2,916
-
13,276
5,323
1,892
-
7,215
6,061
_5,037_|**Motor**
**vehicles**
**£**
35,000
-
-
35,000
35,000
-
-
35,000
-
_-_|**Fixtures and**
**fittings**
**£**
61,627
51,462
-
113,089
9,451
12,193
-
21,644
91,445
_52,176_|**Computer**
**equipment**
**£**
41,631
4,144
(3,734)
42,041
15,335
7,693
(1,245)
21,783
20,258
_26,296_|**Total**
**£**
14,663,568
97,029
(3,734)|
|---|---|---|---|---|---|---|
|||||||14,756,863|
|||||||65,109
284,657
(1,245)|
|||||||348,521|
|||||||14,408,342|
|||||||_14,598,459_|
Page 28
**(A company limited by guarantee)**
## **The Sports Trust**
**Notes to the Financial Statements For the Year Ended 31 August 2023**
## **13. Fixed asset investments**
|**Charity**
**Cost**
At 1 September 2022
At 31 August 2023|**Investments in**
**subsidiary**
**companies**
**£**
50|
|---|---|
||50|
## **Principal subsidiaries**
The following was a subsidiary undertaking of the Charity:
|**Name**
The Sports Trust Trading Limited
The financial results of the subsidiary for the year were:
**Name**
The Sports Trust Trading Limited
**14.**
**Debtors**
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income|**Group**
**2023**
**£**
17,549
-
33,646
5,118
56,313|**Company**
**number**
10351649
**Profit/(Loss)**
**for the year**
**£**
(8,128)
_Group_
**Charity**
_2022_
**2023**
_£_
**£**
_30,407_
17,549
_-_
73,780
_135,959_
33,646
_41,255_
2,665
_207,621_
127,640|**Holding**
100%
**Net liabilities**
**£**
(127,411)
_Charity_
_2022_
_£_
_30,407_
_113,829_
_135,917_
_41,255_|
|---|---|---|---|
|||||
||||_321,408_|
Page 29
## **The Sports Trust**
## **(A company limited by guarantee)**
## **Notes to the Financial Statements For the Year Ended 31 August 2023**
## **15. Creditors: Amounts falling due within one year**
|Other loans
Trade creditors
Other taxation and social security
Other creditors
Accruals|**Group**
**2023**
**£**
26,110
61,165
47,856
2,122
37,556
174,809|_Group_
_2022_
_£_
_63,706_
_155,984_
_19,040_
_7,730_
_10,485_
_256,945_|**Charity**
**2023**
**£**
26,110
47,922
18,740
2,172
23,781
118,725|_Charity_
_2022_
_£_
_63,706_
_155,733_
_19,040_
_7,780_
_5,190_|
|---|---|---|---|---|
|||||_251,449_|
## **16. Creditors: Amounts falling due after more than one year**
||**Group**|_Group_|**Charity**|_Charity_|
|---|---|---|---|---|
||**2023**|_2022_|**2023**|_2022_|
||**£**|_£_|**£**|_£_|
|Other loans|4,000,000|_4,000,000_|4,000,000|_4,000,000_|
The aggregate amount of liabilities payable or repayable wholly or in part more than five years after the reporting date is:
||**Group**|_Group_|**Charity**|_Charity_|
|---|---|---|---|---|
||**2023**|_2022_|**2023**|_2022_|
||**£**|_£_|**£**|_£_|
|Payable or repayable by instalments|4,000,000|_4,000,000_|4,000,000|_4,000,000_|
## **17. Prior year adjustments**
Management have assessed grant income during the year with reference to the paperwork received by the grant provider and have concluded that the Holidays, Activities and Food Programme grant represents unrestricted income as it is in line with the Charity's core activities. They have reallocated it accordingly to the unrestricted fund. In the prior year this had been incorrectly classified as restricted funds. There is no impact on total opening funds as a result of this reclassification.
Page 30
## **The Sports Trust**
## **(A company limited by guarantee)**
**Notes to the Financial Statements For the Year Ended 31 August 2023**
## **18. Statement of funds**
## **Statement of funds - current year**
|**Unrestricted funds**
General Fund
The Sports Trust Trading Limited
**Restricted funds**
Street Games Doorstep Programme
Leadership Academies
RDHCT Salary Grant
Urban Skate Park, Folkestone
Reconnect Leisure grant
Mental Health Projects
Tallships project
The Barclays Girls Football
Partnership
Active Pride
Skate Three Hills
Low Income Families Donation
Young Carers & Young People
Donation
Hire Equipment
Little Athletes
Sports Academies
**Total of funds**|**Restated**
**balance at 1**
**September**
**2022**
**£**
62,771
(119,333)
(56,562)
13,814
9,912
-
10,568,628
-
18,870
24,734
2,845
5,552
600
-
-
-
2,520
18,629
10,666,104
10,609,542|**Income**
**£**
359,877
371,260
731,137
4,000
-
50,000
201,250
1,800
-
42,008
7,470
-
-
2,500
2,500
25,000
8,419
-
344,947
1,076,084|**Expenditure**
**£**
(514,578)
(367,416)
(881,994)
(17,814)
(9,912)
(50,000)
(262,879)
(1,800)
(18,870)
(66,742)
(10,315)
(5,552)
(600)
(2,500)
(2,500)
(25,000)
(10,939)
(18,629)
(504,052)
(1,386,046)|**Transfers**
**in/out**
**£**
10,506,999
-
10,506,999
-
-
-
(10,506,999)
-
-
-
-
-
-
-
-
-
-
-
(10,506,999)
-|**Balance at 31**
**August 2023**
**£**
10,415,069
(115,489)
10,299,580|
|---|---|---|---|---|---|
||||||-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-|
||||||10,299,580|
Page 31
**(A company limited by guarantee)**
## **The Sports Trust**
## **Notes to the Financial Statements For the Year Ended 31 August 2023**
## **18. Statement of funds (continued)**
The restricted funds of the Charity were represented by the following:
## **Street Games Doorstep Programme**
The Charity receives funding from Street Games in order to deliver a Pulse youth club and other community and youth based sports sessions.
## **Leadership Academies**
The Charity received a grant from The Big Lottery to co-ordinate a number of Leadership Academies in secondary schools.
## **RDHCT Salary Grant**
The Sports Trust received a grant from The Roger De Haan Charitable Trust as a contribution to salary for the newly in post CEO.
## **Urban Skate Park, Folkestone**
Fund for the Urban Sports Park are spent on designing and building a brand new, state of the art urban sports facility in Folkestone, Kent. The facility offers skateboarding, climbing, boxing, BMX and other activities.
## **Reconnect Leisure Grant**
Grant has been received from KCC to support programmes that encouraged young people to return to sport and leisure after the pandemic. This supported our young people programmes in a multitude of sports.
## **Mental Health Projects**
Restricted funds to deliver a project which provides people living with a mental health condition with the opportunity to be physically and socially active in a safe and welcoming environment on a regular basis.
## **Tallships Project**
A project we were commissioned to deliver by Folkestone and Hythe District Council which enabled selected local young people to embark on a cultural and sporting exchange trip with young people from Boulogne in France resulting in a sailing trip on the English Channel.
## **The Barclays Girls Football Partnership**
Grant received to contribute towards staff salary and equipment expenses. The project was developed to encourage female participation in football.
## **Active Pride**
Grant received to help create a safe and inclusive environment for the LGBTQIA+ community to participate in sport on a regular basis.
## **Skate Three Hills**
Grant received to create a satellite club at Three Hills Sports Park to increase participation in skateboarding.
## **Low Income Families Donation**
The Charity received a donation in the year from Start Inspiring Ltd (a supporter of the Trust) to support low income families and the holiday camp provision.
## **Young Carers and Young People Donation**
The Charity received a donation in the year from the Rotary Club to support Young Carers and Young People and unlock sporting programmes for them at F51.
## **Hire Equipment**
The Hire Equipment fund has been set up following a sponsorship agreement with Leverests Barristers & Solicitors (supporters of the Trust) who contribute towards sporting equipment to enable all our sports programmes.
## **Little Athletes**
Grant received to deliver sport, physical activity, social interaction and support for families with children aged 0 to 5 to provide post-natal support and advice.
Page 32
**(A company limited by guarantee)**
## **The Sports Trust**
**Notes to the Financial Statements For the Year Ended 31 August 2023**
## **18. Statement of funds (continued)**
## **Sports Academies**
Part funding from grants received to fund a fortnight of free sport and physical activity sessions for children and teenagers, families and young people with disabilities, with the aim of reigniting young people's confidence and passion for playing sport.
## **Transfers between funds**
Transfers from restricted funds to general unrestricted funds in the year totalled £10,506,999, being the movement of the Urban Skate Park to the unrestricted fund as now that F51 is built and in use, there are no restrictions on the use of the building. The donations received for the construction of F51 were restricted for use on the project.
## **The Sports Trust Trading Limited General fund**
The unrestricted funds as at 31 August 2023 shows a net deficit due to the Trading entity making a loss for the year. As the Trading entity is fundamental to the Charity providing its work within the community, the Charity is supporting the shortfall during the venture’s infancy whilst it becomes profitable.
**Statement of funds - prior year**
Page 33
## **The Sports Trust**
## **(A company limited by guarantee)**
## **Notes to the Financial Statements For the Year Ended 31 August 2023**
## **18. Statement of funds (continued)**
|**Unrestricted funds**
General Fund
The Sports Trust Trading Limited
**Restricted funds**
Street Games Doorstep Programme
Leadership Academies
RDHCT Salary Grant
Urban Skate Park, Folkestone
Mental Health Projects
Tallships project
The Barclays Girls Football
Partnership
Ashford Folkestone Secondary School
Games
Active Pride
Skate Three Hills
Skate Folkestone Academy
Little Athletes
Sports Academies
**Total of funds**|_Restated_
_balance at_
_1 September_
_2021_
_£_
_150,041_
_-_
_150,041_
_13,814_
_9,912_
_-_
_9,651,721_
_8,543_
_24,926_
_3,256_
_140_
_9,736_
_600_
_-_
_-_
_-_
_9,722,648_
_9,872,689_|_As restated_
_Income_
_£_
_335,537_
_123,804_
_459,341_
_-_
_-_
_37,092_
_1,076,029_
_17,104_
_-_
_6,400_
_-_
_5,000_
_-_
_-_
_7,977_
_44,593_
_1,194,195_
_1,653,536_|_As restated_
_Expenditure_
_£_
_(466,967)_
_(243,137)_
_(710,104)_
_-_
_-_
_(41,487)_
_(110,491)_
_(6,777)_
_(192)_
_(6,811)_
_-_
_(9,184)_
_-_
_(1,055)_
_(4,618)_
_(25,964)_
_(206,579)_
_(916,683)_|_Transfers in/out_
_£_
_44,160_
_-_
_44,160_
_-_
_-_
_4,395_
_(48,631)_
_-_
_-_
_-_
_(140)_
_-_
_-_
_1,055_
_(839)_
_-_
_(44,160)_
_-_|_Restated_
_balance at_
_31 August 2022_
_£_
_62,771_
_(119,333)_
_(56,562)_|
|---|---|---|---|---|---|
||||||_13,814_
_9,912_
_-_
_10,568,628_
_18,870_
_24,734_
_2,845_
_-_
_5,552_
_600_
_-_
_2,520_
_18,629_
_10,666,104_|
||||||_10,609,542_|
Page 34
## **The Sports Trust**
## **(A company limited by guarantee)**
**Notes to the Financial Statements For the Year Ended 31 August 2023**
## **19. Summary of funds**
## **Summary of funds - current year**
|General funds
Restricted funds
**Summary of funds - prior year**
General funds
Restricted funds|**Balance at 1**
**September**
**2022**
**£**
(56,562)
10,666,104
10,609,542
_Balance at_
_1 September_
_2021_
_£_
_150,041_
_9,722,648_
_9,872,689_|**Income**
**£**
731,137
344,947
1,076,084
_As restated_
_Income_
_£_
_459,341_
_1,194,195_
_1,653,536_|**Expenditure**
**£**
(881,994)
(504,052)
(1,386,046)
_As restated_
_Expenditure_
_£_
_(710,104)_
_(206,579)_
_(916,683)_|**Transfers**
**in/out**
**£**
10,506,999
(10,506,999)
-
_Transfers in/out_
_£_
_44,160_
_(44,160)_
_-_|**Balance at 31**
**August 2023**
**£**
10,299,580
-|
|---|---|---|---|---|---|
||||||10,299,580|
||||||_Balance at_
_31 August 2022_
_£_
_(56,562)_
_10,666,104_|
||||||_10,609,542_|
## **20. Analysis of net assets between funds**
## **Analysis of net assets between funds - current year**
|Tangible fixed assets
Current assets
Creditors due within one year
Creditors due in more than one year
**Total**|**Unrestricted**
**funds**
**2023**
**£**
14,408,342
66,047
(174,809)
(4,000,000)
10,299,580|**Total**
**funds**
**2023**
**£**
14,408,342
66,047
(174,809)
(4,000,000)|
|---|---|---|
|||10,299,580|
Page 35
**(A company limited by guarantee)**
## **The Sports Trust**
**Notes to the Financial Statements For the Year Ended 31 August 2023**
## **20. Analysis of net assets between funds (continued)**
**Analysis of net assets between funds - prior year**
|Tangible fixed assets
Current assets
Creditors due within one year
Creditors due in more than one year
**Total**|_Restricted funds_
_as restated_
_2022_
_£_
_14,586,301_
_232,871_
_(153,068)_
_(4,000,000)_
_10,666,104_|_Unrestricted_
_funds as_
_restated_
_2022_
_£_
_12,158_
_35,157_
_(103,877)_
_-_
_(56,562)_|_Total_
_funds_
_2022_
_£_
_14,598,459_
_268,028_
_(256,945)_
_(4,000,000)_|
|---|---|---|---|
||||_10,609,542_|
## **21. Reconciliation of net movement in funds to net cash flow from operating activities**
|Net income/expenditure for the year (as per Statement of Financial Activities)
**Adjustments for:**
Depreciation charges
Loss on the disposal of fixed assets
Decrease in debtors
Increase/(decrease) in creditors
Movement in loans
**Net cash provided by operating activities**|**Group**
**2023**
**£**
(309,962)
284,657
2,489
151,308
(44,540)
(37,596)
46,356|_Group_
_2022_
_£_
_736,853_|
|---|---|---|
|||_16,781_
_636_
_220,838_
_4,818_
_(26,901)_|
||||
|||_953,025_|
## **22. Analysis of cash and cash equivalents**
|Cash in hand
**Total cash and cash equivalents**|**Group**
**2023**
**£**
9,734
9,734|_Group_
_2022_
_£_
_60,407_|
|---|---|---|
||||
|||_60,407_|
Page 36
## **The Sports Trust**
## **(A company limited by guarantee)**
## **Notes to the Financial Statements For the Year Ended 31 August 2023**
## **23. Analysis of changes in net debt**
|Cash at bank and in hand
Debt due within 1 year
Debt due after 1 year|**At 1**
**September**
**2022**
**£**
60,407
(63,706)
(4,000,000)
(4,003,299)|**Cash flows**
**£**
(50,673)
37,596
-
(13,077)|**At 31 August**
**2023**
**£**
9,734
(26,110)
(4,000,000)|
|---|---|---|---|
||||(4,016,376)|
## **24. Related party transactions**
## **Income related party transactions**
The Roger De Haan Charitable Trust is related to The Sports Trust as Sophie Downey is the Stepdaughter of a trustee of The Roger De Haan Charitable Trust. During the year The Roger De Haan Charitable Trust made donations of £nil (2022: £38,500) towards the general funds of the charity. Donations of £201,250 (2022: £1,054,576) towards the construction of the F51 Urban Skate Park and £50,000 (2022: £nil) towards the CEO's salary have also been received from the Roger De Haan Charitable Trust.
In prior years, The Roger De Haan Charitable Trust loaned the charity money. The total amount outstanding at the balance sheet date was £4,026,110.
## **Expenditure related party transactions**
Rachel Haden, a member of the key management team, provides coaching services on a self employed basis and was paid £4,186 (2022: £nil). The total amount outstanding at the balance sheet date was £420 (2022: £nil).
## **25. Pension commitments**
The group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension cost charge represents contributions payable by the group to the fund and amounted to £2,121 (2022: £7,730) were payable to the fund at the balance sheet date and are included in creditors.
Page 37