Everybody Health & Leisure Trustees, Report and Financial Statements Year Ended 31st March 2024 Company Registratlon No: 08685939 ChaTity Registratlon No: l 156084 Page l 0148 Everybody Hea￿h & Leisure (Registered Compony Number 086859391 Trustees. Report & Financial Slotements for the Year Ended 31 JI Morch 2024 Chief Executive's Report Trustees, Annual and Strategic Report Independent Auditors Report 14 statement of Financial Activities 19 Balance Sheet 20 Cashflow Statement 21 Notes to Financial Statements 23 Poge 2 0148 Evorybody Heollh & Lfjisure IRegislered Company Number 086859391 Trustees, Report & Financial Slatemenls lor the Yeor Ended 315t Morch 2024 Dear everyone, Our l Qth year as a registered charily has once again been an incredibly busy one for our team but I believe the most rewarding one yet given the scale and breadlh of achievements in collaboration wth our key partners. We have surpa55ed all key performance indictors compared to our reestablished base of 2022- 23 Iwhich is the first full year since the pandemic withoul ony covid related restrictions). it is fantastic that we've seen the natural demand for our services continue to grow and reach new record levels of usoge across our Cheshire East estote. This is a positive sign that more ond more people are recognising the importance of Iheir own health and ensuring Ihey utilise their leisure time in many different active ways. This can of course bring challenges for programming ond ensuring equality of opportunity for all users in our pools and wider facilities - trying constantly lo create new flexible multi-purpose spaces for all to use. However, it is our job to identify and encourage all people to take part in sport or whalever activity may be best suited lo them that helps them to improve their physical andlor mental health. We've sought to remove any barriers to parlicipation by working with Cheshire East Council to design targeted policies and inteNentions based on local health data and we have now commitled plans to do even more in the future. Our reach and ability to provide more was considerably enhanced with the opening of the new Congleton Leisure Centre on 28th June 2023, after years of planning and development. This fantastic facility has been energised by its new team and thousands of local visitors exceeding all largets for its first year by Christmas! I'm delighted Ihal our dedicated Everybody Healthy Team have helped over three thousand people to Start on their journey towards a healthier and more active lifestyle, and/or visit one of our facilities or services for the first time this posl year. A150, Ihat our Sport for Everybody initiatives have helped many young people have their fiist go at different sports and a150 reached people of all ages to reconnect to a sport they once played - and can now play once agoin 2023-24 hos seen our highesl ever financial turnover as on organisation. which reflects the increased operational performance and oulput of all our hardworking leams. As a charity we've continued to reinvest income back into our local communilies in line with our charitable objectives. Investments this year have seen considerable improvements in oursites at Wilmslow & Poynton, along with a number ol 'pockel' investments in oll sites. At the same lime this year we have ensured an improved reserves position, including several one-off income receipts, which we will use to enoble o medium term sustoinoble financial plan. enabling us to support even more people in the future. Highlights of the past year include reaching over 25,000 active fifness members using our facilities and over 10,500 learn to swim participants attending our swimming pools each week. We were proud to receive a number of accolades and exlernal awards this pasl year,. Poge 3 of 48 Everybody Health & Leisure IRegislered Compony Number 086859391 Tru51ee5' Report & Financial Slatemenls lor the Yeor Ended 3151 March 2024 including retaining our Investors in People status and multiple QUEST accreditations across the different facilities. We were also a finalist for the UKAclive Leadership Award nationally and locally for Employer of the Year at the South Cheshire Chambers Award and shorllisted for customer excellence ot both North & Soufh Cheshire Chamber Awards. Concluding *he year with winning the Oulstanding Learning & Development Organisotion ot the East Cheshire Business Awards. Despite all the great posilives of lhe past year, there were some challenges. We supported the strategic Leisure Review undertaken by Cheshire East Council throughout 2023. Given Ihe challenging financial landscape for the Council land landlord lo many of our sites) thi5 was difficult but it wos incredible to witness the passion and locol response to the importance of all community leisure assets and services. This review has hopefully enabled us to set a new long- term plan wth the Council to continue to invesl in lowns across the borough with a new £3.5m capilal investment plan and Ihe long-term commitment to our charity enabling us to help meet many of the revenue savings required in Ihe years to come through invest-tO-5ave and long term delivery lo do more. Our portnership with Cheshire East Council has strenglhened over the past 12-months and I'm grateful for their continued commitmenl lo invest in local residenls, health & leisure provision, especially at a challenging financial time for local government. We will continue lo work hard to ensure maximum social and financial value for residents and all local communitie5 in the borough. Our loyol customers have continued to enable our chority to prosper, and it was lovely to read the feedback in the annual Cuslomer Survey where we scored 8.47110 for overall customer satisfaction. Of course. there is always more to do and improve upon and this survey has helped to inform our 2024-25 plans to continuously improve whal we do. Looking ahead, we welcome all new ideas. contributions, and opportunities to partner with like-minded people & organisations in the fulure - to do os much os we can lo support the local public health agenda and ensure the very best leisure experience for all people. I look fO￿ard lo working with you and for you in the future to build upon Ihese successes. Thomas Barton Chief Executive Page4 0148 Everybody Heollh & Leisure IRegi5tered Company Number 086859391 Trusle&s' Report & Financial Slalemenls for Ihe Year Ended 3151 March 2024 Everybody Health & Leisure is a company limited by guarantee and a registered charity governed by its memorandum and articles of association. Company No. 08685939 Charity No.. 1156084 Trustees The trustees presently serving are: Chair of the Board: Andrew Kolker Finance & Risk Sub Committee: Customer5 & Communities Sub Committee: Philip Bland Zoe Davidson (resigned Dec 20231 Christopher Gee Richard Middlebrook Kimiyo Rickett Harry Korkou Rod Thomson (appointed April 20241 Alex Taylor Peo le Performance & Plannin Committee.. Martin Hardy Colin Chaytors Suzie Akers Smith (resigned May 20231 Lata Anderson (appointed July 20231 Sub Auditors Doins Audit Limited, Suite 2, Albion House. 2 Etruria Office Village, Etruria, Stoke on Trent. STI 5RQ Bankers Borclays Bonk. 38 Market street. Crewe, CWI 2ET Company Secretary Oakwood Corporate Services Prlncipal Officers Thomas Barton Kerry Sheo Chief Executive Director of Health & Communities. Deputy Chief Executive Reglstered Office: 3rd Floor, l Ashley Road, Altrincham. WAI 4 2DT Prlnclpal Offlce: Brooklands, Holmes Chopel Community Centre, Station Road, Holmes Chapel. CW4 8AA Poge 5 0148 Everybody Heolth & Leisure IRegislered Company Number 086859391 Trvstees, Report & Financiol Statements for the Yeor Ended 31sI Morch 2024 Everybody Health & Leisure is governed by a Board of up to eleven Trustees. These trustee5 are appointed by the current Board who take into account a skills matrix and ensure a range of skills and representation from all communities. This is achieved in one of three ways: Any individual, based in or operating in Cheshire East is eligible for nomination to the board of trustees. Trustees try to ensure ongoing appropriate ski115 and gender balance, where any gaps are noted, they seek to appoint appropriate skills through an applicafion process. Occasionally the trustees may co-opt individuals with relevant skills to strengthen the Board. All these appointments are then ratified by Trustees at the Annual Retirement Meeting. The day-to-day management and running of the charity has been delegated to the Chief Executive and other appointed managers. The executive management team comprises: Tom Barton Chief Executive Kerry Shea Deputy CEO. Director of Health & Communities The executive leadership teom comprises: Dawn Aston Head of CRM (resigned June 20241 Dom Crlsp Head of Operations Katle Harrop Head of People & OD Dave Newport Head of Finance Kris Sankey Head of Business Development Poge 6 0148 Everybody Heol*h & Leisure (Registered Compony N'umber 08￿939} Truslee5' Report & Finonciol Slolements lor the Yeor Endecl 31Jt Morch 2024 Governing Document Everybody Health and Leisure is a company limited by guarontee and a registered charity governed by its memorandum and articles of association, incorporated in England and Wales. Trustee Induclion and Trointng All Iruslees receive an induclion into Everybody Heallh ond Leisure and receive the appropriote papework. During the year the paperwork has been renewed lo assist both new and eslablished trustees. In addition. we have embarked on a programme of development including the arrangement of CPD workshops and away days lor trustees. These sessions focus on governance i55ues for trustees including finance, structure and strotegic planning. The Trustees follow wherever applicable the Charity Commission best proctise and follow a full internal governance process based upon all elements of the Charity Commission Governance Code. Board and Sub Committees Each Trustee holds a place on one of three sub-committees. People. Performance & Planning. Finance & Risk and Customers & Communities. These sub committees take a detailed look at certain areas of the business each quarter and then take reports iegarding these areas to the lull Board meeting. which take5 place every three monlhs. Slotemenl ol Trustees Roles & Responsibilities The trustee5 (who are also directors of Everybody Health and Leisure for the purposes of company lawl are responsible for preparing Ihe Trustees, Report and the financial stotements in accordance with applicable low and regulations. Company law requires the Irustees to prepare financial stotements for each financial year. Under thal law the trustees have elected to prepare the financial statements in accordance with Uniled Kingdom Generally Accepted Accounting Practice (Uniled Kingdom Accounting Standards and applicable lawl. Under company law, the Irustee5 must not approve the financial statemenls unless they are salisfied that they give a true and fair view of the slate of affairs of the charitable company and of Ihe incoming resource5 and application of resources. including the income and expendilure, of the charitable company for the yeor. In preparing these financial statements, the trustees are required to- Select suitable accounting policies and fhen apply them con5i5tently. Observe the methods and principles in the Charities SORP. Moke judgements and accounting estimates that are reasonable and prudent. Prepare the financial statements on the going concern basis unless it is inappropriate to presume thal the charitable company will continue in operation. Page 7 0148 Everybody Health & Leisur& (R￿lsI￿r8d Company Number 086859391 Trustees, Report & Finonciol Slolements lor the Year Ended 31st March 2024 The trustees ore responsible for keeping adequate accounting records Ihal are sufficient to show and exploin the choritable company's transactions and disclose with reasonoble accuracy. at any lime. the financial position of Ihe charitable company and to enoble them to ensure that the financial 5tatemen15 comply wilh the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps tor the prevention and detection of fraud and other irregularities. In so far as the trustees are aware.. There is no relevant audit information of which the charitable company's auditor is unaware., ond The trustees have faken all sleps that they ought lo have token to make Ihemselves aware of any relevant audit information and to establish that the audilor is aware of that information. Public Benelil The Trustees of Everybody Health & Leisure have complied with their duty to have due regard to the guidance on Public Benefil published by the Charity Commission in exercising their powers and duties. All activities have been underlaken to further Everybody Health & Leisure's purpose lo ensure Ihe promolion and preservalion ol good health. including but not limited to through community parlicipalion in healthy recrealion. Aclivities are nol arranged to provide any tinancial return lo members. Reserves Policy Slalement Reserves are the resources thal a charity has, or can make available to spend, for all of the charity'5 purpose5. The SORP explains the term "reserves" it describes them as that part of a charily's funds Ihat are freely available. The Charity Commission guidance, CC19. explains that designated funds should be considered when reviewing Ihe charily's reserves, although these are not part of Ihe general reserves. Funds need to be properly designated for a defined purpose, which should be explained in Ihe noles to the accounts. The Trust's reserve policy is to aim to hold enough free reserves using a risk-based approach to ensure thot the Trust is able lo continue all operations and services for a shorl period should a significant part of our income not be realised. Our current unrestricled reserves at the end of March 2024 have increased from £304,300 to £737,820. wilh our unrestricted designated reserves position increasing Irom £644.705 to £1.057.313 and restricted funds reducing from £19,451 to £nil. While the operation of the defined benefit pension scheme doe5 create a financial risk for the organisation, any deficit or surplus in the scheme con be managed over the medium lerm and so has no immediate impact on our cashflow requiremenls. Any Exit Contributions paid by the Contractor (Everybodyl will be funded by Cheshire East Council through the Management Fee. where an Exit Contribution is paid and there is no future Annual Payment due, the Aulhority shall make an appropriate additional paymenl to Everybody. Any risks associated with changes in the level of pension scheme assets and liabilities are therefore disregarded for reserves policy purposes. Net Assets have increased by £826,677 fo £1,795.133 mainly due to "Cosh at bank and in hond increasing by £1,011,484 to £3,422.449. This is primarily due fo the receipt of capitol items Poge 8 0148 everybody HeoFth & Leisure (Registered Company Number 086859391 TfVStees' Report & Finonciol Stolements lor the Yeoi Ended 3151 March 2024 relating lo ongoing capital projects and an insurance cloim relating to CQVID related sile closures. Risk Management The Trustees are fully oware, and toke very seriously their responsibility for idenlitying. assessing and managing the risks of Everybody Health & Leisure. Risks are identified by the Executive Managemenl Team and reported via the Risk Regisler to the Trustees. There are several principal iisks and uncertainties. The level of the management fee paid to Everybody Health & Leisure by Cheshire East Council. This fee is negotiated every year and ongoing efficiencies are expected ITsystem failure- the ￿ syslems are large and complex with manual interfoces between systems, we have Set up a designated fund in order to reduce Ihe risks in this orea. The Risk Register is considered on a quarterly basis by the Finance and Risk Sub Commiltee, the likelihood of the risk occurring. the impact of such a risk and any mitigating action requiredltaken is considered as well as taking proximity and imminence into accounl. Risks are then RAG IRed, Amber, Greenl rated. Red/High Risks are reported to the full board. The subcommiltee take a fully detailed review of every risk on the register on an annual basis. Principal Risks Current Controls & Miligating Action5 Future Actlon Plan Increosing pressure from related legislation. budgetary payroll Continue to monitor price point for services. optimise internol efficiency and other opportunities. Conlinual efficiency review addition to utilisation of lechnology to mitigate impact of risks. to Council Changes commissioned Se￿iCe5 resulting in loss of service, repulational and financial impact. Fixing the management fee to reflecl contractual commissioned services means any changes will require extensive public consultation. Reputalional consequences will be managed through Everybody's communication plans with Cheshire East Council leading on its policy changes and any external advice required as a result of any changes will be sought on a timely basis. Speed of change within Ihe field of digitisation within the sector leaves the Trust vulnerable escalaling costs and lack abilit to deliver in future Digitisation strategy being formulated to evaluate whot the future looks like with view fo implementing changes over Ihe comin ears Task force crealed to implement and refresh digitisation plons. Increased competition across our Cheshire Eosf focilities resulling in 105s of memberships & associated financial impact. Continue monitor pricing, improve overall offer to customers and quality of service. Proactive markeling for key sites. continual impiovement of offer and pricing monitoring. Page * 0148 Everybody Heollh & Leisure (Registered Company Number 086859391 Trustees, Report & Financiol Stalemen15 lor the Yeor Ended 31*. Morch 2024 Investment Powers. Polity and Performonce The policy of Everybody Health & Leisure has been to invest surplus funds in the growth of the business. We aim to cary sufficient cash in the banks, current or higher interesf deposit accounts to fund its predicted working capilal requiremenl. Surplus funds will be deposited in our Business Reserve bank account or in a high interest fixed term bond. This meets the objective of a higher relurn than average deposit accounts, without risking the funds, while maintaining maximum flexibility lo fund new projects. The trustees are mindful to monitor the rate of return on cash deposits to ensure cash reserves are not eroded. Results for the Year Everybody Health & Leisure's finances have returned to a surplus position, with an increase in held reserve5 of £826,677 to £1.795.133. By the end of March 2024. we have again increased our fitne55 membership levels over 25,000 and Learn to Swim Scheme is bigger than ever with over 10,000 children actively leorning lo swim at ony given lime. Our overall income figure is £25,696,311. This includes £5.896.793 in respecl of Donations for Ihe use of the leisure centres which remain under the ownership of Cheshire Easl Borough Council and Holmes Chapel Parish Council. In addition. £3.186.569 was received relating to Grants and Conlracts. of which £2,077,016 refers lo income received from Cheshire East Borough Council. In addilion, £214,150 was received to deSiver 'Bikeabilily cycle fraining, to 7.092 children and £127,560 was ieceived from Health parlners to deliver a variety of programmes targeted at improving Ihe lives of those wilh long term health condilions. Income of £15,421,595 was received during the year from customers to our centres and through delivering our controct5. £1.059.369 troding income was received from our social areas ond our investment income in yearwas £131.985. Outgoing resources totalled £24,794,634 for the year, leaving us with a Net Income of £901.677 for 2023124. Thi5 Expendituie includes o nolional pension service surplus of £75,000, when this is removed. we are left with a Net operating surplu5 of £826,677. The lotal Unrestricled Funds as at the end of 2023-24 are £737.820 excluding our designated funds, which equale to £1,057,313 las detailed in Note 161. Going Concern Overall Membership income has steadily increased during the year with the re-opening of Congleton Leisure Centre adding c.3,000 members ond continues to rise steadily. Our Learn to Swim Scheme remains successful and is larger than ever. Costs are still being tightly controlled. The Trustees and the Executive Management Team feel very confident about the tulure and have lull confidence in our Going Concern status. Note 1.02 further details the Accounting Policy used whilst preparing this set of Accounts in respect of being a Going Concern. Page 100148 Everybody Health & Leisure IRegislered Compony k4urllber 086859391 Trusteès, Report & Finoncial Stolgments for the Yeor Ended 315t Morch 2024 Funding Souices Everybody Health & Leisure's principal funding sources for 2023-24 was income relating to charitable activities. our customers provided £15.421,595 of our income in the year. Our operaling contract wilh Cheshire East Council: this contract refers to the operating of 15 leisure centres across the Cheshire East area until 2029. During 202>24 this value was included within the lotal amount received of £1.593,000 including support service costs. Everybody Health & Leisure's Annuol Report and linancial statements for the year ended 31 March 2024 have been prepored by the trustees in accordance with the Charities Act 2011 . The trustees have adopted the provisions of the Statement of Recommended Practice ISORPI "Accounting and reporting by Charities" effective l st Jonuory 2019, in preparing the annual report and financial statements of the charity. Key Managemenl Personnel An external company carries oul individuol job evaluations on each of the Key Management roles, Ihis evaluation includes benchmarking against comparable p051tions and similar organisations. These results are considered by the People, Performance & Planning Sub Committee and a level of remuneration is recommended to Ihe full Trustee board for their approvol. Fundraising Aclivities The charity had no fundraising activities requiring disclosure under S162A of the Charities (Protection and Social Investment) Act 2016 Related Parties, Partnership Working and Network The Charity SUPPOrts many sports Clubs. Community Groups and Voluntary Organisations with advice around funding, volunteer management and best practice guidance. Everybody Heallh & Leisure's svpporl of grassroot clubs benefits the wider community by opening up opportunities for people to occes5 Sport and recreation activities. Cheshire East Council are a significant partner and contributes to the delivery of sporting facilities in Cheshire East by providing funding to Everybody Health & Leisure in the form of a Management Fee. This funding also supports Ihe sports development work by enobling children and adults lo take part in sporting events ouf in the community. Everybody Health & Leisure also holds a 23-year lease on o focilily at Holmes Chapel which is owned by Holmes Chapel Parish Council. and o l O-year lease on Alderley Park facility which is owned by Alderley Park Limited. fhis is in addition to the facilities which are operated from and are owned by Cheshire East Borough Council. Everybody Health & Leisure participate in several key and stralegic partnerships representing Ihe interests of our customers, and the wider Sport and Recreation arena. At a national level, Everybody Health & Leisure is a member of Community Leisure UK and UKActive. Pogell 0148 Everybody Heolth & Leisure (Registered Compony Number 086859391 Tru5tee5' Report & Finonciol Stolements lor the Yeor Ended 315t March 2024 Slrotegic report The highlights of Ihe company over the course of the yeor are referenced in Ihe Chief Executive's Report. In addition. the future developmenls for Everybody Health & Leisure are also referred to in the Chief Executive's Report and the Trustees Annual and Strategic Report. Everybody Health & Leisure has made no political donations or incurred any such expenditure during the financial year. The Risk Management statement is shown on page 9 of the Trustees Annual and Strotegic Reporl. No hedge accounting is used by the company. People choose their provider on a number of different factors. price being one bul also quality of offering. ronge of classes. location. customer Service and breadth of facility le.g., squash, swimming pools etc.). Cashflows are monitored weekly and since many of our customers pay in advance, liquidity risk is easily controlled. Employee expenditure 15 Ihe largest porlion of cost for Everybody as we operate in o service industry arena, as such our employees are very important to the growth and development of our business. We have implemenled a pay review to ensure we pay ot least National Living Wage and continue to ensure we competilive within the sector. At Everybody, we encourage new applicalions from disabled persons into both paid employmenl and volunteer roles. we have a robust equal opporlunities policy, and all managers within Everybody are trained in following and embedding this policy not only for new employees bul a150 for currenl employees that may become disabled during their current Service with us. We have a budget for equipment adaptations and additional froining that may be required forstaff that become disabled to allow them lo continue in their currenl role. Should continuing in their current role no longer be viable then solid alternative internal positions will be 50ught, followng consultation with the individual involved and looking at each person's individual circumstances. At Everybody. one of our slralegic aims 15 to Develop our people lo be the best" and we strive to achieve that with all employees regardless of disobility. We provide employees with information on matters of concern to them as employees. in a number of woys. Firstly. on an individual ba515. 011 employees altend monthly team meetings with their line manager. have a bi-annual Performance Developmenl Review where they are encouraged to make suggeslions lor their development Ifor example request further training or mentoring etcl, and regular 1-2-1 '$ with line managers. Secondly as a whole organisation we have a monthly staff newsletter Ihat is provided to every employee and all employees are encouraged to suggest content, we also hold six-monthly staff presentations to which all employees are invited and involves presentotions by the Chief Executive and Senior Management Teams followed by an open Question and Answer session to which oll staff ore encouraged lo contribute. Poge 12 0148 Everybody Health & Leisure (Regislered Compony Nutnber 086859391 Tru5tee5' Report & Financial Slalements lor the Year Ended 31sI Morch 2024 To encourage the involvement of employees in the compony's performance we have implemented a Sharing in Success Scheme, this enables employees to all receive a payment should the company make a surplus. In September 2024 Everybody Health and Leisure were awarded the Cheshire East Integrated Lifestyle Service Contract (commonly known as One You Cheshire East). The contract, commissioned by Cheshire Eost Council. will see us take full operational responsibility of the "One You Cheshire East" seryice. including the website, branding and programme delivery. We will deliver the followng programme slreams:_ Physical Activily schemes to inactive people Weight Management classes (for adults and children). Falls Prevention classes. Smoking Cessation services. The contracl value is almost £1.4 million o year, and will run for 3 years. with another optional 3 years extension. The contract involves TUPE of currenl staff team 110 FTEI. plus recruitment of 8 more. One You Cheshire East gives us an opportunity lo do even more work with Cheshire East Public Heallh team and continue lo make a real difference to people living in our communities. The Direclors at this time can confirm: al so far as the Directors are aware. thefe is no relevant audit intormation ot which the company's Auditor is unaware. and bl they have taken all the sleps Ihat they ought to have taken as a Director in order to make themselves aware of any relevant audit information and lo establish that the company's Auditor is awore of Ihal informalion. This report, which incorporales Ihe Slrategic Report, was approved by Ihe Trustees on 3rd December 2024. and signed on their behalf by Andrew Kolker. Andrew Kolkei - Chair, Dale: 3id Dece r 2024 Page 130148 Everybody Health & Leisure (Regislered Compafjy Plumber 086859391 Trvslees, Report & Financiol Slolemenls lor the Yeor Ended 3111 March 2024 Opinion We have audited the financial statements of Everybody Health & Leisure for the year ended 31 March 2024 which comprise the Statement Financial Activities, the Balance Sheet, the Statement of Cash Flows and notes to the financial statements, including a summary of signfficant 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 ofthe charitable Company's affairs as at 31 March 2024 and of 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 International Standards on Audtting (UK) (ISAS (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities forthe audit ofthe financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard. and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relating to going concern In auditing the financial statements, we have concluded that the trustees, use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or Colledively. may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are aulhorised for issue. Our responsibilities and the responsibilities of the Trustees with respect to going concem are described in the relevant sections of this report. Pag8 140148 Everybody Health & Leisure |Regislered Company Number 086859391 Trustees, Report & Finonciol Stolemenls lor the Year Ended 31 sl March 2024 Other information The other information comprises the information included in the annual report, other than the financial statements and our auditor's report Ihereon. Our opinion on the financial statements does not cover the other information and 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 Othe￿ISe 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 Report of the Trustees for the financial year for which the financial statements are prepared is con51Stent with the financial statements- and • the Report of the Trustees has been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In the light of the knowledge and understanding of the charTtable company and its environment obtained in the course of the audit. we have not identified material misstatements in the Report of the Trustees. We have nothing to report in respecl of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: • adequate accounting records have not been kept by the charitable company, or returns adequate for our audit have not been received from branches not visited by us- or the charitable company financial statements are not in agreement with the accounting records and returns- or • certain disclosures of directors, remuneration specified by law are not made., or we have not received all the information and explanations we require for our audit. Poge 15 0148 Everybody Heolth & Leisure (Registered Company Number 08&859391 Trustees, Report & Finonciol Slotemenls for the Yeor Ended 3151 Morch 2024 Responsibilities of the board As explained more fully in the Statement of the Trustee's responsibilities, as set out on page 7, the Trustees (who are also the directors of the charitable company for the purpose 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 board determine is necessaryto enablethe preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements. the board is responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going Concern basis of accounting unless the board either intends to liquidate the charitable company or to cease operations. or have no realistic alternative but to do so. Auditor's responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstalement, whether due to fraud or error, and to issue an audrtor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAS IUKI will a￿ayS 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 responsibil-rties, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud is detailed below.. 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- the senior statutory auditor ensured that the engagement team collectively had the appropriat8 competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations.. we identified the laws and regulations applicable tothe charitable company through discussions with directors and other management, and from our ¢ommer¢ial knowledge and 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 operations of the chartable company, including the financial reporting legislation, Charities Act 2011, taxation legislation, anti-bribery, employment, and environmental and health and safety legislation., we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal corresponden¢e', and identified laws and regulations were communicated within the audil team regularly and the team remained alert to instances of non-compliance throughout the audit. Poge lé 0148 Everybody Heolth & L&isure !R?gislered Company Number 086859391 Trustees, Report & Finonciol Slolemenls for the Yeor Ended 3151 Morch 2024 We assessed the susceptibility of the charitable 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,. 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 whelherjudgements and assumptions made in determining the aGcounling estimates set out in Note 1 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 limiled to.. agreeing financial statement disclosures to underlying supporting documentation., reading the minutes of meetings of those charged with governance., enquiring of management as to actual and potential litigation and claims., and reviewing correspondence with HMRC, relevant regulators and the company's legal advisors.. 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 In¢￿aseS the more that compliance with a law Of regulation is removed from the events and Iransactions 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 ralher 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'5 website at.. www.frc.org.ukJauditorsresponsibilities. This description forms part of our auditor's report. Po9e 17of48 Everybody Health & LeisLJre IRegislered Company Number 086859391 Trusl&es' Report & Financial Slatements lor Ihe Year Ended 31 sl Morch 2024 Use of our report This report is made solely to the charity's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audil work has been undertaken so thatwe might state to the charity's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report. or for the opinions we have formed. Simon Hawkins {Senior statulory auditor) for and on behalf of Dains Audit Limited Statutory Auditor Chartered Accountants Suite 2 Albion House 2 Etruria Office Village Forge Lane Stoke on Trent ST15RQ 3rd December 2024 Poge180148 Everybody Health & Leisure IRegislered Compony Number 086859391 Trusle85' Report & Financial Stolements lor the Year Ended 31 sl March 2024 statement of Financial Activities period ended 31 March 2024 Unreslrlcted Restricted Funds Funds Notes 2023-24 2022-23 Income: Donations and Legacies Choritable Activities other Trading Activities Investment Income Grants & Contracts Tolal Income endilure on Charitable Activltles other Trading Activitie5 Charilable Activities 5,896,793 15.421.595 1.059.369 131,985 3.186.569 25.696,31 T 5,896,793 15.421 .595 1,059,369 131,985 3,186,569 25,696,311 4,217,570 12.334,437 803,396 42,587 3,469,108 20.867.098 1.102.643 23.672.540 1,102,643 23,691,991 876,019 20.319.286 19.451 Total Expendllure 24.775.183 19.451 24,794,634 21,195.305 Net Income/ {Expendlture) 921,128 119.4511 901.677 1328,2071 Tronsfer5 Be￿een Funds other Recognlsed Gains1(Losse$) Actuarial ILossesl/Gains on Defined Benefit Pension Schemes 175.0001 175,0001 13.477.000 Net Movement Total Funds Brought Forward Total Funds Carrfed FoThYard 846,128 {19.451) 826,677 13.148,793 949,005 19,451 968,456 112.180.337} 1,795,133 1,795,133 968,456 Page 190148 Ev&rybody Heolth & Leisure |Regislered Company Yumber 086859391 Tiustees. Report & Financial Slolemenls for the Yeor Ended 3151 March 2024 Balance Sheet as at 31 March 2024 Note 31 Mar 24 31 Mar 23 Flxed Assets: Intangible Fixed Assets Tangible Fixed Assets 12 2,122,116 1,615.523 Total Fixed A55et5 2,122,116 1.615.523 Current Assets: stocks 112.435 145,337 Debtors 13 1,129.364 3,422,449 535,012 2,410,965 Cash ol bonk and in hand Total Current Assets 4,664,248 3,091,314 Liabililies: Creditor5: amounts due within one-year 14.222.741) 13.206.862} Net Cuffent Assets/(Liabililies) 441.507 (115.548) Total Assets Less Current Liabilities 2,563,623 {768.4901 1,499.975 1531,5191 Creditors: amounts falling due after one-year 15 Nel Assets excludlng penslon Llablllty Defined Benefit Pension Scheme Liobility Total Net Assets oi Llabllttles 1,795,133 968.456 1.795.133 968.456 Funds of the Charlty: Unrestricted Funds 737.820 304,3QO Unrestricled Designated Funds Restricted Funds 1,057.313 644,705 19.451 Pension Reserve Total Funds 1,795.133 968.456 These Financial Statements were approved and authorised for issue by the Board on 3rd December 2024 and signed on their behalf by Andrew Kolker. Andrew Kolker - Chair Pogo 20 0148 Everybody Heollh & Leisure !Registeied Compony Number 086859391 Trustees, Report & Finonciol Stotemenls for the Yeor Ended 31 st March 2024 Cash flow Statement as at 31 March 2024 01 April 2023 - 31 March 2024 01 Aprll 2022 - 31 March 2023 Table Cash Flows from operaling aclivilles Net cash loutflowl/inflow from operafing activilies 1 ,452,139 1,191,822 Cash Flows from Investlng actlvllies Capital Expenditure Interest Income 1502,2401 131,985 1191.8711 42,587 Cash Flows from flnancing activltles Loan Received Loan Repayment Increase/(Decrease) In cash In perlod (70,4001 1166,4001 1.011.484 876.138 Cash & Cash equivalents at the beginning of the rèporting period Cash & Cash eqvlvalents at the end of the reportlng peilod 2,410,965 1.534.827 3,422,449 2,410,965 Page 210148 Everybody Health & Leisure IRegi51ered Company f4umber 086859391 Tru5tee5' Report & Financiol Stotements for the Year Ended 31 st March 2024 Table I 31 March 2024 31 March 202 Net movement In funds for the reportlng perfod (as per the statemenl of flnanclal activilies) Adjustments for: Pension Service Cost Depreciation charges Interest Income Ilncreasel/decrease in stocks {Increasel/decrease in debtors Increase/ldecreasel in creditors Net cash provlded by (used In) operatlng activttles 901,677 1328.2071 175,0001 354,418 1131,9851 32,902 1594,3521 964.479 799,000 402,948 142,587) 179,4261 159,4721 499,566 1.452.139 1.191.822 Table 2 Cash in hand Total cash & cash eqvlvalents 3,422,449 3,422,449 2,410,965 2,410.965 statement of Net Debt Asotoi April 2023 Cash Flows Asat31 March 202 Cash Cash equivalent5 Overdraft facility repayable on demand 2,410,965 1,011.484 3.422.449 Loans falling due wthin one year Loans falling due after more than one year Finance lease obligation5 Total 170.4001 170,4001 1176,0001 70.400 1546,809) 1331,5231 1.617,756 750.361 1105,6001 1878.1931 2,368,256 Poge 22 0148 Everybody Health & Leisure IRegislered Company Number 086859391 Trustees, Report & Finonciol Slotements lor the Y&or Ended 31st Morch 2024 NOTES TO THE FINANCIAL STATEMENTS Accovntlng Policies 1.01 Basis of Preparation The Accoun15 cover the 12-month period ended 3151 March 2024: the previous year comparotives refer to the period l sl April 2022- 31$1 March 2023. The financial stafemenls are prepared under Companies Acl 2006, ond in accordance with Ihe Financial Reporting standard 102 IFRS 1021 and follow the recommendations in 'Accounling and Reporting by Charities.. Slatemenl of Recommended Proctice, ISORP 20191. The Trusl is o Public Benefit Entity registered as a charily in England and Wales and a company limited by guaronlee. It was incorporated on I I September 2013 Icompany number: 086859391 and registered as a charity on l O March 2014 Icharity number: 11560841. The address of the registered office is 3rd Floor. l Ashley Road. Allrincham, WAI 4 2DT. 1.02 Going Concern The Trustees have considered Ihe financial position of the Trusl. the levels of free reserves and the 2024-25 budget; consequenlly the Trustees believe that the charity is well-placed to manage its business risks Successfully. Historically. Ihere hos been a pension liabilily which exceeds Ihe net ossets of the Trusl. this should not be interpreted as creating a stale of insolvency. The liobility does not result in an immediate cash commitmenl and the liabilily is nol expected to crystalli5e in the foreseeable fulure. Cheshire Easl Council provide a guarantee. in relalion to all eligible employees, in respect of the Trust's pension obligation5. In 2023-24. it should be noted Ihal a pension surplus has been generated. All valualions are bosed upon reviews by external actuaries engaged Ihrough the Local Government Pension Scheme. Sn the event of the company winding up the Trustees may resolve that any nel assets of the Charity after oll its debts and liabilities have been paid, be applied, or transferred either directly for the objects of the Charity, or to any institution which is or are regarded as charitable for purposes similar lo the objects of the Charity or for use for particular purposes thal fall within Ihe objects of the Chority. In no circumstances shall the net assets of the Charity be paid to or distributed among Ihe members of the Charity under thi5 Arlicle 41. The Trustees have a reasonable expeclation that the Chority hos adequate resources to conlinue in operationol existence for the foreseeable fufure. Thus, they continue to adopt the going concern ba515 Ot preparation in the financial statements. 1.03 Incomlng Resources Income is credited to the Statement of Financial Activilies in the period in which il is receivoble. The income and expenditure account is presented in the form considered most appropriate to the current activities of the charity. Poge 23 of 48 Everybody Health & Leisure (Registered Compony Number 086859391 Trvslees, Report & Finonciol Slotements lor the Year Ended 3151 Morch 2024 Donations and Legacies include an amount equal to notional rentul expenditure for the use of Cheshire Easl Council facilities. in oddition to one building owned by Holmes Chapel Parish Council. Grants. including grants for the purchose of fixed assets. are recognised in full in the Statement of Financial Activities in the year in which they are receivable. Included within the Grants and Contracts figure on Ihe face of the accounts is the management fee paid to Everybody by Cheshire East Council. Charitable Activities Income is where most of our income sits.. this includes memberships, class bookings, heallh programme5, and Swimming lessons. Trading income refers to income generated at oll sites currently using Ihe 'Tasle For Life" branding. This primarily consists of catering. bar. and vending income. Income from investmenls is included in the year in which it is receivable. In addition to the income disclosed in Ihe financial statements Everybody Health & Leisure also receives help and supporl in Ihe form of voluntary assistance. This help and support is nol included in the finoncial stalemen15. This voluntary assistance is very much appreciated. 1.04 Fund Accounting Unreslricted funds ore donations and olher incoming resources receivable or generated for the objects of the charity without turther specified purpose and are available as general funds. Designated tunds are unrestricted funds earmarked by the trustees for particular purposes. Reslricted funds are fo be used for specific purpose5 as Icid down by the donor. Expendilure that meets these criteria is charged lo the lund togelher with a foir allocotion of management and supporl costs. 1.05 Stock Accountlng stocks are valued al the lower of cost and net realisable volue. after making due ollowance for obsolete ilems. 1.06 Resources Expended Resources expended are recognised in the year in which they are incurred. Direct charitable expenditure is identified as cost incurred directly as a result of running the operations and projects directly aligned with our charitable aims. Trading activity COSts are those incurred in connection with trading activities of the Trust. Resources expended are allocated to the activity where the cost relates to the activity. However. monagement, administration and finance staff costs are apportioned based on time spent on each activity. Page 24 0148 Everyt)ody Heolth & Leisure (Regislered Comporny Number 086859391 Trvslee5' Report & Finonciol Slalemenls lor the Yeor Encled 31 sl Morch 2024 1.07 Intangible Assets and Depreciation Intangible 50flware and associated costs greater than £12,000 are amortised at a rate colculoled lo write off the lower of cost or fair market value over ils expected useful life. Depreciation is provided os follows: Asset Lifes Role Software 3 Years 33.3f. 1.08 Tangible Fixed Assets and Depreclation Fixed ossets. either individually or a5 0 colleclion of 5irnilar items, purchased over the value of £12.000 (exclusive of V ATI are capitolised with all a5sels valued at historic cost. Depreciation is provided al rates calculated lo write off the cosl les5 residual value of each asset over 115 expected useful life, as follows: Asset Lifes Rate Buildings Buildings Refurbishment Gym/Studio Equipment General Equipment Computers/lT 24 years or the life of a property lease if less 5 years 5 years 5 years 5 years 4.2% 20.0T. 20.0f. 20.0T. 20.0T. A55els Under Construclion ore not depreciated until the asset is ready for use. 1.09 Leaslng Rentals payable under operating leoses are charged against income on a straight-line basis over the lease lerm. As5els held under finance leases. which are leases where substantially all the risks and rewords of ownership of the asset have passed to the charity, are capilalised in the balance sheet. and are depreciated over their useful lives. The capital elements of future obligations under leases are included as liabililies in the balance sheet. The interest element ol the renlal obligation is charged to the profit and loss account over the period of the lease and represents a conslont proportion of the balance of capital repayments outstanding. l.1 O Deferied Income Amounts held as deferred income refer lo funds received in the reporting period bul specificaSly held for use in the following financiol year due lo funds being restricted for use in a future period. Poge 25 0148 Everybo¢Jy Heollh & Leisur& IRegislered ￿0m￿OnY Number 086859391 Trvstees, Report & Finonciol Slalement5 lor the Year Ended 31 st Morch 2024 l.I l Financial Instruments The company only enters bosic financial inslruments transactions that result in the recognition of financial osset5 and liabi5ities like trade ond other accounts receivable and payable. loans from banks and other third parties. loans to related parties and investments in non-puttable ordinary shares. Debt inslruments (other Ihon those wholly repayable or receivable within one yearl. including loans and other accounts receivable and payable, are initially measured al present value of Ihe future cash flows and subsequently at amortised cost using the effective inlere5t method. Debt inslruments that are payable or receivable within one yeor, typically trade payables or receivables, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideralion. expected to be paid or received. However, if the arrangements of a short-term inslrument constilule a financing Iransaction, like the paymenl of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rale or in case of an out-right short-lerm loan not at market rote. the financial asset or liability is measuied, initially. at the present value of the future cash flow discounled at a market rate of interest for a similar debt instrumenl and subsequently at amortised cost. Financial assets that are measured at cost and amortised cost are assessed al Ihe end of each reporting period for objective evidence of impairmenl. If objective evidence of impairmenl is tound. an impairment loss is recognised in the Slatement of Financial Activily. For financiol assets measured al amorlised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discourited al Ihe asset's original effective interest rate. If a financial assel has a variable interest rale. the di5covnt rafe for measuring any impairment Ioss is the current effective interest rate determined under the controcl. For financial assets measured at cost less impairmenl. Ihe impairment Ios5 15 measured as the difference between an osset's carrying amount and best estimale. which approximates Ihe amount that the company would receive for the asset if il were lo be sold at the balonce sheet dale. Financial assets and liobilities are offset. and the nel amount reported in the Balance Sheet when there is an enforceable right to set off the recognised amounts and there is an inlenlion to settle on a nel basis or to realise the asset and settle the liabilily simultaneou51y. 1.12 Creditors Short term credilors are measured at the transaction price. Other linancial liobililies. including bank loans. are measured iniliolly at fair value, net of transaclion costs, and are measured subsequently at amortised cost using the effective interest melhod. Poge 26 0148 Everybody Health & Leisure (Registered Company Number 086859391 Tru5tees' Report & Finoncial Slalements foi the Year Ended 3151 Morch 2024 1.13 Judgements in Applying Accounling Policies and Key Sources of Estimation Uncertainty The company makes estimates and assumptions concerning the future. The resulting accounting eslimates will, by definition, seldom equal the related aclual results. The estimates and assumptions that have a significant risk of causing a malerial adjustment to the carrying amounts ol assets ond liabilities within the next financial year are addressed below. lil Useful economic lives of tangible assets The annual depreciation charge for tangible assets is sensitive to changes in the eslimoled useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancemenl. future investments, economic utilisation, and the physical condition of the assels. See Nole 12 for the conying amount of the property, plant. and equipment. and note 1.08 for Ihe useful economic lives for each class of assets. lill Impairment of debtors The company makes an eslimate of Ihe recoverable valve of trade and other deblors. When assessing impairment of trade and other debtors. management considers factors including the currenl credit rating of the debtor, the ageing profile of debtors and historical experience. See note 13 for the net carrying amount of the debtors and associated impairment provision. liiil Actuarial Assumplions Everybody Health & Leisure has obligations to pay pension benefits to certain employees who are members of a Local Government Pension Scheme. The cosl of these benefits and the present value of Ihe obligation depend on several factors including life expectancy, solary increase5 and the discount rale on corporate bonds. Management estimates these factors in delermining the net pension obligation in the Statement of Financial Position. The assumptions reflecl historical experience and current Irend5. 1.14 Pensions The Trusl participales in the Local Governmenl Pension Scheme ILGPSI, wilh Cheshire West and Chester Council operating as the Administering Authority. The LGPS 15 a defined benefit scheme. The schemes assets are held separalely Irom Ihe assels of the Trust and are administered by trustees and managed professionally. Pension scheme assets are measured on an actuorial basis using the projected unit method and discounted ot a rate equivalenl to the current rate of return on a high-quality corporate bond of equivalent term and currency to the liabililies. The actuarial valuations are obtained annuolly and updoted al each Balance Sheet dale. A liability Is recognised in the Balance Sheet in respect of the scheme which represents the present value of the defined benefit obligation al the balance sheet dale less the fair value of the scheme assets. A full valuation of the liabilily is calculated by an independent actuary every three years using the projected units method. The present value of the defined benefit obligation is determined by discounting the estimated fulure cash outflows using interest rates Poge 27 0148 Everybody Health & Leisure IRegislered Compony Number 086859391 Trustees, Report & Finoncial Stotements lor the Year End&¢J 31 $1 Morch 2024 of high-qualily corporale bonds that ore denominaled in the currency in which the benefits 11 be paid and that have the terms to maturily approximating to the terms of the related pension liability. Actuarial gains and losses are recognised in the Statement of Financial Activities in the year that they arise. Where change5 to the Scheme have resulted in pasl service costs. these are recognised immediately in the Statement of Financial Aclivities. Liabilities for Ihe pension scheme are held by Cheshire East Council Ithe 'Authority l. and are covered in Ihe Operoting Contract (section 19.0} which slales thol 'To ensure that the Administering Authority does not require the Contractor to put in place any indemnify or bond in respect of the Eligible Employees. the Authority will provide the Administering Authority wilh a guarantee in a form acceptable to the Adminislering Authority and the Conlraclor in respect of the Conlractor's obligations to the Administering Aulhorily in respect of Eligible Employees" Everybody Health & Leisure is reporting an operaling surplus prior to the pension service costs 01 £901,677. The service cosls and pension movements that we are required to show in our accounts under FRS 102 rules include changes in actuarial assumption5 and other adjustments Ihat do not impoct on the operational ca5hflow of the charily. During the contracl negotiations It was agreed with Cheshire Easl Council. that they would indemnify the pension liability for all Everybody Health & Leisure, current and new staff, for a5 long as the scheme remain5 open. On 26 October 2018, the High Court handed down a judgment involving the Lloyds Banking Group's defined benefit pension schemes. The judgmenl concluded the schemes should be amended to equalise pension benefits for men and women in relation to guaranteed minimum pension benefits. The issues determined by Ihe judgment arise in relation to many other defined benefit pension schemes. The Truslees are aware that the issue affect the charity and will be making decision5 as to Ihe next steps in due course. The Trustees have not yet estimated the overall value of individual adjustments to the Scheme as a whole. A follow up ruling on 20 November 2020 confirmed that members who have historically taken a transfer value now have to be included in GMP equalisalion assessments and top up payment5 made where necessary. The actuary has not made any additional allowance for this follow up ruling. Page 28 0148 Everybody Heollh & Leisure IRegislered Compony Number 086859391 Trusl88s' Report & Finoncial 5tat&menls for the Yeor Ended 31 sl March 2024 2. Donalions 01 April 2023 - 31 March 2024 01 Apri 31 March 2023 Miscellaneous Use of Buildings Owned by Cheshire East BC Use of Buildings Owned by Holmes Chapel Parish Council Total Income 140 4,161,430 5,834,793 62.000 56.000 5,896.793 4.217,570 During 2023-24, in oddition to minimal property revaluations, the full value of Congleton Leisure Centre was introduced as it became operational in June 2023. The property yield increased from 7.00% to 7.50Y.. This rate was obtained from the Same independent source as in 2022-23. 3. Charitable Activities (Income) 01 Aptii 2023- 01 April 2022- 31 March 2024 31 March 2023 Operational Facililies Health & Communities 15,389,289 12,317,838 32,306 16,599 Total Income 15,421.595 12,334.437 4. Other Trading Activilies (Income) 31 March 2024 31 hAarch 2023 Bar & Catering Income 1,059.369 803.396 Total Income 1,059,369 803,396 The increased income between 2022-23 to 2023-24 is primarily due to the reopening of Congleton Leisure Centre in June 2023. Everybody's catering function is provided under the brand name Taste For Life". A loss of £43.274 is reported when compared against the expenditure recorded in Note 6. Pug& 29 0148 Everybody Heolth & Leisure (Registered Compony Number 086859391 Truslee5' ReF)Ort & Financial 5totemenls lor the Yeor Ended 31,. Morch 2024 5. Grants and Contracts ri 31 March 2024 pri 31 March 2023 CEC Management & Operational Fees CEC Support Services CEC Project Funding Bikeability Health 1.492,500 1,663.500 100,500 100,500 484,016 956,587 214,150 247,021 127,560 152,785 Active Travel 65.978 Madeley Centre Management Fee Cumberland Arena Funding Restricted Funds 55.000 80,000 23.619 Greenspaces Project Resilience Irs Leisure 12,000 75,000 other Sources 680.843 124,118 Total Income 3,186,569 3,469.108 other Sources include a gross income receipt of £511.280 in respect of an insurance claim setflement. 6. Other Tradlng Actlvltles (Expenditure) 31 fy(qrch 2014 Sl March 2Q2 staff Costs 608,020 513,626 Bar & Catering Purchase Total Expendllure 494,623 362,393 1.102,643 876,019 Page 30 0148 Ev&rybody Health & Leisure (Registered Company Number 086859391 Trustees, Report & Finonciol Slotemenls lor the Yeor Ended 3151 Morch 2024 7. Charitable Actlvltles (Costs) Including Actuarial Pension r4llanal cllllle$ Heollh & 01 April 2023 01Ap 1202 Communilie$ 31 March 2024 31 March 20 Salary. Nl & Pensions Indirect Employee Costs Pension Service Costs 9,339.147 583,164 9,922,311 8.683.903 75.118 72,370 147.488 137,196 160.5611 11.3941 161,9551 6,357,156 678,790 Property Costs Transport- other Supplies & Services Financing Costs Supporl & Marketing Costs Governance Cosfs Reallocated 6.357,156 4.699.130 1,683 256 1,939 4.191 1.695,422 400,643 2,096,065 1.941.239 696.532 2.998 699,530 564,047 4,255,662 244.635 4,500.297 3,579,192 26,960 2.200 29,160 31.598 Total OIAprll 2023 -31 March 2024 22.387.119 1,304,872 23.691.991 Total OIAprll 2022 -31 March 2023 19,170.133 1.149,153 20.319,286 8. Support and Governance ovwnance Costs Setvice5 31 March 2024 31 March 202 Salary. Nl & Pensions Indirect Employee Costs Pension Service Costs 2,385,693 2.385,693 1.787.785 327,153 327.153 243,079 113.0451 113,0451 308.785 120.210 Property Costs Transport- Other Supplies & Services Finoncing Costs 308,785 241,917 8,962 8.962 13,604 1,454,663 29.160 1,483.823 1,148.858 28,086 28.086 55.337 Total 4,500,297 29.160 4.529,457 3,610.790 Governance costs primarily include external audit fees, specialist tax advice and Company Secretary fee5. Poge 31 of48 Everybody Health & Lei5ur& IRegislered Cornpony NE)mber 086859391 Truslee5' Report & Finoncial Slolemenls lor the Year Ended 31 it Morch 2024 9. Analysis of Staff Costs, Auditor Costs & Trustee Remuneration and Expenses Apfil 20223- 01 April 2022 3.1 March 2024 31 March 20 he aggregate payroll costs were: Salaries Social Security Costs Pension Costs Total 11,529,808 697,487 846.044 13,073.339 9,496.814 593.600 784.044 10.874.458 Within the above costs. there were no redundancy payments. These c05t5 are included within the SOFA heading of charitable activities. Costs in 2022-23 were £4.01 l . Ex-gratia payments totalling £1 1.466 were paid during 2023-24, £nil in 2022-23. Included within the costs identified above which refer to 814 member5 of staff, the following table detai15 the number of staff whose total employee benefits (excluding employer pension coslsl exceeded £60.000. lal Emp.loypÈ 60,000- 69.999 70.000- 79,999 80,000- 89.999 90.000- 99,999 I00,000- 109,999 Total The total salary ond pension costs paid lo all key management tolalled £246,458 [£236,928 in 2022-23). Governance costs include Annual Auditor Fees totalling £24,292 for the Statutory Audit 1£23.406 in 2022-23} and £3,187 for specialist VAT & tax advisory services (£7,152 in 2022-231. The Charity Trustees receive no remuneration for their seNices. No expense5 have been reimbursed by the charity to the Trustees during Ihe year. (nil also in 2022-231. Page 32 0148 Everybody Heolth & Leisure (Registered Compony Number 086859391 Truslees. Report & Finonciol Slotements Iof the Yeor Ended 31sl bAorch 2024 10. staff Numbers The average number of staff employed Idisclosed on a headcount basis) during this financial year is detailed below. Casual staff are included within this table. Leisure Facilities and Leisure Development Taste for Life and Health Support Services and Academy Total 699 60 55 814 Leisure Facilities (Jnd Leisure Development Taste for Life and Health Support Services and Academy Total 599 52 82 733 I l. Intangible Fixed Assets Cost Balance as of 01 April 2023 Additions 89.575 89.575 As at 31 March 2024 89,575 89,575 Amortisation As at 01 April 2023 In year charges As at 31 March 2024 89.575 89.575 89.575 89,575 Net Book Value As af 01 April 2023 As at 31 March 2024 The volue of amortised Intangible Assets is included within the expenditure heading of the SOFA named 'Charitable Activities Poge 33 of48 Everybody Heollh & Leisure (Registered Compony Number 086859391 Trustees, Report & Finonciol Slolements lor the Yeor Ended 31sl Morch 2024 12. Tangible Fixed Assets Prolesslonal under ConstiuctlDn Gym Equipment General ,Equipmenl Equipment Total Bolonce os of 01 Apr 2023 Balance os of 01 Apr 2023 (Finance Lease) 728,143 107,177 947.409 114,562 621.569 2.518,860 1.072,947 1.072,947 Additions 11.722 375,537 114,981 502,240 Tronsters- AUC to Gym Eqp 1107,177} 107,177 Addition5 (Finance Leases) 650.042 650.042 As at 31 March 2024 728.143 11.722 3,153,112 114.562 736,550 4.744.089 De reciation: Balance a5 ofol Apr 2023 Balance a5 ofol Apr 2023 (Finance Lease) 322.107 488,188 103,695 455,556 1.369.546 606.736 606,737 Charge forthe Year Charge forthe Year (Finance Leases) 32,967 213.394 5,089 102,970 354,420 291.270 291,270 As at 31 March 2024 355.074 1.599,588 108.785 558.526 2,621.973 Net As ol QI April 2023 406,036 107.177 925,432 10.866 166,012 1.615,523 As at 31 March 2024 373.069 11,722 1,553,524 5,777 178,024 2.122.116 Net Book value of gym equipment financed via a finance lease as at 31 March 2024 is £824.9831202&24 £466,210). Page 34 0148 Evgrybody Heollh & Leisure (Regislered Compony Nvmber 086859391 Trvslees, Report & Financial Slalemenls for the Year Ended 31 It Morch 2024 13. Debtors 31 Marckn 2024 31 March 20 Trade Debtors 329,600 327,591 Prepayments and Accrued Income As at 31 March 2024 799,764 207.421 1,129,364 535,012 £11,754 of Bad Debt has been written off through the Statement of Financial Activity. 14. Creditors: Amounts Falling Due Wlthin One Year 31 Murc.h 2024 31 March 2023 Trade Creditors 923,956 450,525 Accruals and Deferred Income 2,597,833 2,083,868 Taxation and Social Security Loans 297.196 318.691 70.400 70,400 Finance Leases 215,303 191 151 other Creditors 118,053 92,227 Tolal 4,222,741 3.206,862 Analysis of Deferred Income Movement Deft￿ed Incoine Btought FoTrvard 2023 DEferiol Released Forwar 2024 De*eNal - Annual Memberships Facility Bookings Learn To Swim Scheme - Memberships Income received in March 661.275 1,339,212 1,683,237 1,005,300 25,766 22,489 19,009 22.286 11.713 2,767 8,946 103,704 27,085 130.789 Various Contracts 2,433.030 2,436,461 3,431 Joint Use 26,042 64,323 65.625 27.344 - Third Party payment Total 8.060 8.060 836.560 3,869.881 4,231,417 1,198,096 Poge 35 0148 Everybody HeaSlh & Leisure IRegistered Compony Number 086859391 Tru51ee5' Report & Financnl Slotements lor the Year Ended 3111 March 2024 15. Credltors: Amounts Falllng Due After One Year Principal Loon Repayments Repayable Between I to 5 Years Principal Loan Repayments Repayable After 5 Years Principal Finance Lease Repayable Belween I to 5 Years 105,600 176,000 662.890 355.519 Total 768,490 531,519 One loan remains outstanding at year end. The loan has an interest rate of 4% above the Bank of England's variable Base Rate and is classed as an Unsecured Loan. Poge 36 0148 Everybody Heollh & Leisure IRegistered Company Number 086859391 Truslees. Report & Financial 5tot8menls for the Year Ended 314t March 2024 16. Analysis of Charltable Fund5 lo￿01 2023 In Resource5 Goins / (Losses) Tran￿er$ In / (Out) orr Forward 2024 Resource5 Unreslrl¢ted 304.300 25,621.311 {24.775.183) (412.608) 737,820 Penslon Reserve 75.000 (75,000) Restrlcted Funds Young Persons Exerc￿Se Referrol Maccle5ffeld LC Pool Hoist Connected Communitie5 Total Reslrlcted Funds 14.339 114,3391 2.500 12,5001 2.612 12.6121 19.451 (19.451) Deslgnated Funds - staff Membership Scheme Capilol Conlributions Received 103.052 157.6731 45,379 17,317 117,3171 - Management Training Copitol Contributions Received 39.424 39,424 152.000 1152.0001 - Congleton LC Mobilisalion Digital Transformation strategic Leisure Review - Cumbertand Arena 130.000 1130.0001 62.000 38.000 100.000 30.000 20.000 50.000 32.412 11,6021 30.810 Cyber I ICT Security 50,000 50,000 -CRY 24.000 19.0001 15.000 Social Action Partnership 4.500 4.500 - One Off Use of Re5etves 460,000 460,000 Wilmslow LC Equipment 212,200 212.200 Organisational Change 50.000 50,000 Total Deslgnated Funds 644.705 412,608 1.057.313 Total Funds 968.456 25.696,311 {24.794,634) (75,000) 1.795.133 Poge 37 0148 Everybody Heollh & Leigure IRegistered Company Number 086859391 Trustees, Report & Financial Stotements lor the Year Ended 315t Morch 2024 und Brought FoTward 2022 Incoming Resources Outgoing Resources Gain$ I (Losses) Tionsfers In l (Out) Carfied Forward 2023 Unre5tricled 334,554 20,843.479 (20,392.137) (799,000) (481.596) 304.300 Penslon ReseTve {12.678.000) 13.477.000 Restrl¢ted Funds - Wilmslow Town Council - Young Persons Exercise Referral Mocclesfield LC Pool Hoist - Connected Communities Total Reslrfcled Funds 3.780 13.7801 14,339 14,339 2.500 2,500 2.612 3.000 13881 23.619 (4.168) 19.451 Deslgnaled Funds - staff Membership Scheme Capitol Contributions Received - Monagemenl Training Capitol Contributions Received - Congleton LC Mobilisalion Digital Transformalion Strategic Leisure Review - Cumberlond Arena 105,349 12,2971 103.052 18,336 11.0191 17,317 39,424 39,424 152.000 152,000 130.000 130,000 62.000 62,000 30.000 30,000 32.412 32,412 Cyber I ICT Security -CRY Sociol Action Portnership Total Deslgnated Funds Tolal Funds 50.000 50,000 24,000 24,000 4.500 4,500 163.109 (12,180.337) 20,867.098 {21.195.305) 481,596 644,705 13,477,000 968.456 Poge 38 0148 Everybody Heollh & Leisure IRegistered Compony Number 086859391 Trustees, Report & Finonciol 5totemenls lor the Yeor Ended 31 st March 2024 nres Fvnds olysls ol Net As$els belween Funds Funds Funds Total Pund$ 2024 Tangible Fixed A5sels Currenl Assets Creditors: amounts falling due within one year Creditors- amounts falling due after one year 2,122,116 2.122.116 3.606,935 1,057,313 4,664,248 14.222,7411 (4,222,741) 1768,4901 737,820 (768,490) 1.795.133 Total 1.057.313 olysts of Net Assets belween Fund5 Unresfricted Fund5 Reslricted Funds Deslgnated Funds Tolal Fund5 2023 Tangbi le Fixed Assets Cvrrent A55ets Creditors- amounls folling due within one yeor Creditors.. amounls falling due after one yeor 1,615.523 1,615.523 2,427,158 19,451 644,705 3,091.314 13,206,862) 13,206,862) 1531,5191 304.300 1531.5191 968.456 Total 19.451 644.705 Restrlcled Funds Young Persons Exercise Referral This referial scheme targeted young people aged 12-18 years in Crewe and Surrounding areas with long term health conditions to engage them in a 12-week programme lo encourage and facilitale exercise. Macclesfleld LC Pool Holst A conlribution of £2.500 was received towards the cost of a new pool hoist ol Macclesfield Leisure Cenlre which ha5 now been utilised. Connected Communities In respect of the Holmes Chopel Community Centre, funding of £l.000 was previously received to be spent on publicly accessible digital equipment and £2,000 was to be spent as appropriate to enhonce a community environment. These funds have now been fully utili5ed. Page 39 0148 Everybody Health & Leisure (Registered Company Number 086859391 Truste85' Report & Financiol Slolemen15 lor the Yeor Ended 31 st March 2024 Deslgnoted Funds staff Membership Scheme Income is set aside from the stoff membership scheme which is to be used for stoff activities. development, and benefits during forthcoming years. Capltal Contrlbullon Received A sum of £24,450 was accounted for as income in 2015-16 which was designaled to be tronsferred into the Generol fund in future years to offset annual deprecialion charges made against the revenue account. Trustees hove ogreed to release this into Unresfricled Funds with effect from 31 sl March 2024. Management Training A sum of £39,424 had been designated during 2021-22 lowards future management development Costs. No costs were incurred during 2023-24. Capltol Contribulion Received A sum of £152,000 was accounted for as income in 2022-23 which was designated to be Iransferred into the General fund in luture years to offset new charges incurred in respect of Congleton Leisure Centre and Wilmslow Leisure Centre redevelopments. This has been utilised wilhin 2023-24. Congleton Leisure Cenlre Mobilisalion A sum of £130,000 was accounted for as income in 2022-23 which was designated to offset costs incurred prior lo the reopening of Congleton Leisure Centre, which at 31-Mar-2023, had no confirmed dale of opening but was expected within the first quarter of 2022-23. Following the successful opening of Congleton Leisure Centre in June 2023. this has now been fully utilised. Dlgltal Transformalion An amount of £62.000 had originally been identified as being ollocated for assisting Everybody to further transform its digital plalforms. During 202>24. this value has been increased by £38,000. Slrateglc Leisuie Review An amounl of £30,000 hod been allocated to assist with future costs to be incurred for a Slrategic Leisure Review of Everybody'5 operations. During 2023-24, this value has been increased by £20,000. Cumberland Aiena An originol amount of £80,000 was recognised as income during 2022-23 to finance initial costs to be incurred for o project at the Cumberland Arena. in association wilh Crewe Town Investment Plan. The unspent amount of £30,810 is expected to be fully spent within 2024-25. Poge 40 0148 Everybody Heolth & Leisure (Registered Company Number 086859391 Tru51ees' Report & Finonciol Stolemenls lor the Yeoi Ended 31 st March 2024 Cyber / ICT Securlty An amount of £50.000 had been allocaled fo enhance the existing contro15 against cyber- altacks and all aspecls of ICT security. No cosls were incurred during 2023-24. CRY An amount of £24,000 had been idenlified within Ihe 2022-23 accounts to furlher continue a relatior15hip which was started during the year. This omounl will allow further Everybody staff oged between 18 and 35 lo be assessed by Cardiac Risk in the Young to increase awareness, screening and research and supporting affected families. This has been partially utilised within 2023-24. Social Action Partnership An amount of £4.500 was received during 2022-23 and had been designated for continued use into future years. This was received from the Cheshire East Social Aclion Parlner5hip to enable seclor represenlalion at Care Community meetings across the region. One Off Use of ReseNes An amounl of £460,000 has been designated during 2023-24 as part of the Management Fee discussions with CEC for the 2024-25 budget. Wllmslow Lelsure Centre Equlpment - minus depreclation lo date An amount of £212,200 ha5 been designated during 2023-24. being an original amounl of £250.000 being invesled in equipment al Wilmslow. less depreciation to date. Organisational Change An amount of £50.000 has been designated during 202>24 to ossist with further organisational changes during 2024-25. Page 410148 Everybody Heollh & Leisure IRegistered Company Number 086859391 Trustees, Report & Financiol Stolemer)Is lor the Yeor Ended 31 st Morch 2024 17. Related Party Transactions Everybody Health & Leisure has a close working relationship wth Cheshire Easl Council ICECI, who nominate two of the eleven trustees of the charity. These nominated trustees have equal voling rights with the olher Irustees. In addition, a close working relalionship has also been eslablished with Holmes Chapel Parish Council IHCPCI with Everybody Health & Leisure investing in and operating the Holmes Chapel Community Centre on behalf of the Parish Council. The following is a summary of Iransaclions with these entities: 31 March 2024 31 March 20 Donations & Legacies -CEC - HCPC -CEC 5,834,793 62,000 2,077,016 19,647 5.948.157 62,000 5,000 4,161.430 56.000 2,720.587 Grants and Contracts Loan Interest Repaid Charifable Expenditure -CEC -CEC - HCPC 4.274,794 56.000 834 Everybody Foundation The above donations relate to an amount calculated for use of the Borough and Parish Council owned facilities at a nil rental, a corresponding equal amount is shown os Charilable expenditure. The 'Grants and Contracts" income refers to amounts received from Cheshire East Council for the delivery of various services within the facilities owned by Cheshire East Council. This includes income relating to the purchase of back office and IT support provided by the Council on behalf of Everybody Heolth ond Leisure (which is repaid as expenditure identified as Charitable Activities). In addition, the following transactions occurred during 2023-24 with organisations which are identified as being Related Parties to Trustees or Senior Managers of the Company: Alsager Multi Academy Trust: £22.577 income - facility hire. £1 0,545 expenditure on facility hire Hermitage Primary School.. £560 income - facility hire Everybody Foundation: £5,000 expenditure - match funding Cheshire County Football Association: £242 income- facility hire Poge 42 0148 Everybody Heollh & Leisure (Regislered Company Number 086859391 Trustees, Report & Financial Slolemen15 lor the Year Ended 31,, March 2024 The Everybody Foundation offers granls and assistance for the benefit of particularly the public in areas where Everybody Health & Leisure operates. The aim is to promote, preserve and advance good health and wellbeing including but not limited to participation in physical activity and healthy recreation. The Foundation is treated as a Related Party as three of the trustees are also Everybody Health & Leisure Trustees. In addition, the fourth trustee is the chief executive of Everybody Health & Leisure. Cheshire East Council have indemnified Everybody Health & Leisure's pension liability (refer to note l .141. As at 31 st March 2024. the Local Government Pension Fund has a surplus balance of £4,106,000. The projected amount to be charged to the Operating Profit for the period to 31 March 2025 is based upon a projected payroll of £2.777.000. Amounts due lo: Cheshire East Council- Various Cheshire East Council- Loan Principal Cheshire East Council- Interest Within One Year 426.862 35,139 176.000 208.000 13.845 19,394 Amounts due from: Cheshire East Council Holmes Chapel Parish Council 122,923 50.424 334 Poge 43 0148 Everybody Health & Leisure IRegistered Company Number 086859391 Truslee5' Report & Financiol Statements lor the Year Ernded 31 st Morch 2024 18. Deflned Benefit Pension Scheme - The charity continues to operote a defined benefit scheme which is now closed to new employees. The scheme is part of the Local Government Pension Setvice ILGPSI, and "Everybody has its own assets held within the wider fund. An actuarial revaluation is carried out every three years. The fund is administered by independent trustees who are responsible for ensuring it is funded to meet current and future obligations, the agreed contribution rates for future years are 21 .6% for employers and between 5.51. and l 0.5%. depending on pay for employees. Pension Commilments Rate of increase in salaries 3.45% 3.65% Rate of increase in pensions payment Discount rate 2.75% 2.951. 4.85% 4.75Y. Commutallon of Penslons lo Lump Sums Pre April 2008 service Post April 2008 service Assumptions are made to allow future improvements to mortality rates. Mortallty assumptions Life expectancy at 65 Retiring today Male 50% 50% 751. 75% 21.6 years 21.8 years 24.4 years 24.6 years Female Retiring in the future Male Female 21.6 years 21.8 years 25.4 years 25.6 years Page 44 0148 Everybody Health & Leisure IRegi51ered Company Number 086859391 Truslees, Report & Finonciol Statement5 for the Year Ended 315t Morch 2024 The fair value of the scheme assets and the expected rate of return. the present value of the scheme liabilities and the resulting surplus / Ideficitl, as recognised in the SOFA are: Equities Bonds 12.678,500 11,233,440 9,128,520 8.191,050 Property Cash 3,042,840 3.276.420 507,140 702,090 Total Market Value of Assets 25,357.000 23,403,000 The actual return on Scheme Assets was £1,609,080. In 2022-23 that value was £2,009,347. Amounts Recognlsed In Ihe Statement of Flnancial Aclivttles Employer Contribulion Past Service Cost Current SeNice Cost Expected Return on Pension Scheme Assets Interest on Pension Liabilities Total 1642,0001 150,000 528,000 11,121,000) 1,01 0,000 (75.000) 1826.0001 1,271,000 1697,0001 1,051,000 799,000 Actual Relum on Scheme Assets Movements In the Present Value ot the Deflned Benellt Obllgatlon were as follows: Opening Defined Benefit Obligation Contributions by Employees Actuarial Losses I IGainsl Benefits Paid Interest Cost CurTent Service Cost Past Service Cost Closing Delined Benefll Obllgation 1,558.000 (2,287.000) 21.043,000 37,693.000 179,000 178,000 11,234.0001 118,821,000) 1425,0001 1329,0001 1,010.000 1,051,000 528,000 1.271.000 150,000 21,251,000 21.043,000 Poge 45 0148 Everybody Heollh & Leisure (Registered Company Number 086859391 Truslee5' Report & Financiol slalemen15 for the Yeor Ended 3131 fvlarch 2024 Movements In The Fair Value of Everybody's Share of Scheme Assels: Opening Fair Value of Scheme Assets Interest Income Actuarial Gains and (Losses) Contributions by Employer Contributions by Employee Benefits Paid 23.403,000 25,015,000 1,121,000 697.000 437,000 12.984.000) 642.000 826,000 179,000 178,000 1425,0001 1329,0001 Total Limitation of movement recognised under FRSI 02 25.357.000 23,403,000 14,106,000) 12,360,000) Closing Deflned Benefft Assets Recognlsed 21,251.000 21.043,000 The pension scheme has a surplus; this is reviewed through a re-evaluation of employer's contribution at each Iriannual review. This yeor's opening Surplus has increased in year from £2.4m to surplus of £4.Im. However, to satisfy pension accounting rules under FRS102 in relation to recognition of scheme asset, the movement has been limited in order not to recognise an asset, thus the balance recognised at 31 March 2024 is £nil. The scheme was fully funded at transfer. valued on an 'ongoing' basis, and is valued in different ways by the actuary for different purposes: The 'ongoing' basi5 of valuation is used by the actuary to set the funding strategy of the scheme and the contribulion rates for the scheme and uses a discount rate that reflecls the asset mix that the fund invests, with a degree of prudence, (return on government bonds + Outperformance l.6f.l. FRS102 reporting requirement gives a more prescribed calculation of the discount rate stating. it must be 'determined by reference lo market yields at the end of the reporting period on high quality corporate bonds., The contribution for the year ended 31 March 2025 is expected to be £600.000. Cheshire East Council have indemnified Everybody Health & Leisure's pension liability should one occur (refer to note 1.141. The fund is currently valued with a surplus of £4.1 m 05 Ot 31 March 2024, but as per above, the balance recognised at the balance sheet date is £nil. Poge 46 0148 Everybody Heollh & Leisure IRegislered Compony Number 086859391 Trustees, Report & Finonciol Slalement5 for Ihe Year Ended 3151 Morch 2024 19. Operating Leases nnual Tolal Year Second to Flfth Over Five Years Years Inclusive 01 Apr 2023- 31 Mar 2024 01 Apr 2022- 31 Mar 2023 5,762 5,762 9,604 15,366 Operating lease payments recognised as an expense lotalled £6,890 {£18,801 in 2022-231. 20. Finance Leases nnual Total Within the First Year Second to Fifth Over Five Years Years Inclusive 01 Apr 2022- 31 Mar 2023 Gross Lease Payments Due Less Interest Charge Net Lease Charges Due 216,406 125,2561 191,150 390,452 134.9331 355.519 01 Apr 2023- 31 Mar 2024 Gr05s Lease Payments Due Less Interest Charge Net Lease Charges Due 270,407 155,1041 215,303 737,489 174,5991 662,890 Page 47 0148 Everyt)ody Health & Leisure IRegislered Compony Number 086859391 Trv51ees' Report & Finoncial Stotemenls lor the Year Ended 31 st March 2024 21. Financlal Inslruments 2024 Flnanclal Assets that are Debt Instruments Measured at Amortlsed Cost: Trade debtors Accrued Income Total 387.661 741,702 401,289 133,723 1.129,363 535,012 Flnanclal Llabllltles Measured at Amortlsed Cosl: Trade creditors Loans Finonce Leases Accruals other creditors Total 1923,9561 1176,000) 1878,1931 11,399,736) 1118,0531 (3,495,938) 1450,525} 1246,4001 1546,6701 {1.247,3081 (92,2271 (2,583.130) Cash and Term Deposits Total 3.422.449 2.410,965 Poge 48 0148 Everybody Heolth & Leisure (Registered Compony Number 086859391 Trustees, Report & Financial Slalemer)Is lor the Yeor Ended 3151 Morch 2024