Registered number: 09021431 Charity number.. 1158606 TRUSTEES, REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 •ADJSSQD6* 3111212024 COMPANIES HOUSE A12 #240 1 --THE,CHELTENHAM,T.RUST.,>.tr,-*'. CONTENTS Page Reference and Administrative Details of the Charity, Its Truste•s and Advlsers Chairman's Statement Truste•s' Report TfUStees' Responslbllltles Statement Independent Audltor8' Report on the Flnanclal Statements Consolidated Statem•nt of Flnanclal Actlvltle8 5-10 12-15 16 Consolidated Balance Sheet 17-18 Charlty Balance Shegt Consolldated Statement of Cash Flows 19-20 21 Notes to the Financial Statements 22-43 REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2024 Trustees Michael Napier, Chair (appointed 25 March 2024) Clive Rawlings, Interim Chair11 Jan 2024 - 24 March 2024) Louis Eperjesi, Chair (resigned 31 December 2023) Cllr Glenn Andrews Benjamin Averis Cllr Barbara Clark Lisa Bond lappoinled 18 July 2024) Jessica 8rewsler Cllr Barbara Clark Julia Goldsworthy (appointed 18 July 2024) Cllr Steve Harvey (resigned 18 July 2024> Julie Jordan Dr Jane Martin (appointed 18 July 2024) Sian Morgan (resigned 22 March 2024) Elizabeth Narey Sunila Nelson Gary Hasley-Nejrup Kate Peden Gemma Taylor Daniel Wilson Company reglstered number 09021431 Charlty reglstered number 1158606 Registered office Cheltenham Town Hall Imperial Square Cheltenham Gloucestershlre GL50 1QA Chlef executlve offlcer Laurie Bell (during the year ended 31 March 2024) James Baker (acting CEO from November 2024) Independent auditors Randall & Payne LLP Statutory Auditors & Chartered Accountants Chargrove House Shurdington Road Chellenham Gloucestershire GL514GA Page 1 REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY. ITS TRUSTEES AND ADVISERS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Bankers Lloyds Bank PLC 130 High Street Cheltenham Gloucestershire GLSO 1EW Sollcitors Willans LLP 28 Imperial Square Cheltenham Gloucestershire GL50 1 RH Page 2 I.CHELTENHAM'.TRUST," CHAIRMAN'S STATEMENT FOR THE YEAR ENDED 31 MARCH 2024 The chairman presents his report for the year. As the newly appointed chair of The Cheltenham Trust, l am pleased to present this annual report and account for the year ending 31st March 2024. The Cheltenham Trust is an independent charity and the lead provider of culture and heritage, entertainment, sport and leisure in Cheltenham. Through the five iconic venues that it manages; Pittville Pump Room, The Wilson Art Gallery and Museum, Cheltenham Town Hall, Leisure at Cheltenham and the Prince of Wales stadium, the trust contributes actively to the local and visitor economy, and to the provision of comrnunity and social activities that promote and improve health and wellbeing. As the trust continued to rebuild and recover from the lrnpact of the Covid19 pandemic, this report reflects a further challenging and difficult year as a result of the conts'nuing economic pressures exacetbated further by unplanned venue clovourc for urgcnt vtructural ropairs workJ at Pittville Pump Room and Leisure at Cli¥ll¥iiliaiii Ihat were be￿nd the control of the charity. Urgent repairs to the dome and ceiling in the main ballroom at Pittville Pump Room necessitated the closure of the venue for six months from October 2023 lo March 2024. Bookings and events were rescheduled or relocated, where feasible. lo avoid cancellations but the closure halted the popular monthly creative artisan market, and the heritage trall visitor attraction, and had a significant impact on hlres and forward bookings particularly weddings. In January 2024, the presen￿ of RAAC (reinforced autoclaved aerated concrete) was discovered in Leisure al Cheltenham requlrlng immediate action to prevent potential collapse. The affected areas of the building were closed in phases to enable the urgent structural repairs. Despite the unforeseen disruption, Leisure at Chelteriham maintained healthy visitor numbers with 534.953 visitors in 2023124. It is testarnent to the resillence and tenacty of the trust, and its ability to flex and adapt in the face of adversity, that the trust continued to provide many of its planned events and serVI￿S despite two leading venues being closed, or partially closed. in this financial year. The irnpact of the unplanned structural repairs at both venues brought uncertainty and undermined customer confidence. affecting bookings and hires and, consequently income. The trust is now focused on rebuilding its business and customer base. The Garden Bar In Imperial Gardens continued to establish itself as a leading seasonal bar destination in the town tsntre with customer numbers increasing to over 50,000. The Wilson Art Gallery and Museum the town's leading cultural venue achleved 99,476 visitors in 202312024. A key element of The Wilson's mission is to build an interest in culture and the arts and to raise awareness of the positive impact Ihat participation in cullural activities has on improving mental health and wellbeing. The Wilson conlinues to provide activities and experiences targeting new younger visitors. During 202312024 the museum engaged with 26:9?5 school pupilo via work-hop*• and the mu3eum's schools, takeaway sen4i(£. As the guardian of much of the town's heritage The Cheltenham Trust has a major role in sustaining these important. historic venues. The business model of the organisation blends culture, community and commercial to trivo for fintsncial tainability and by succesJfully accessing external funding it c(11-Itiiiue lu iiivtsst iii ilie heritage. buildings and deliver its programme of inclusive, diverse free events and activities for visitors and the local community to access and enjoy. Balancing culture, community and commercial in the face of not only a continuing econornic downtum. but also ,thc clow*uro and partial clo uro of two of IL vcnue4 for uncxpected structural repairs has Pijsed a signifiL(iiil challenge. Hard times demand hard decisions, and the trust was swift to take decisions focused on reducing costs and attaining grovAh in incorne and footfall. Working with the limitations posed by the closures at Pittville Pump Room and Leisure at Cheltenham, the trust focused on core business,. reducing costs. identity.ng Page 3 CHAIRMAN'S STATEMENT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 opportunities for mutually beneficial partnership working. improving efficiencies, securing external funding of c£700k, and maximising income generating opportunities to substantially close a year-end projected deficit and strengthen the financial resilience and future sustainability of the charity. The trust's indusive, free to access cultural programme is a core element of its charitable objectives helping to deliver positive social impact. Despite the challenges. events continued with 19 new free live music and dance events at the Garden Bar in 202312024 helping lo drive an increase in customer and visitor numbers. and 11 new free events at the Heritage Café at the pump room. The trust continued to host a number of very popular community events marking historic and calendar evenls. The trust hosted Cheltenham's celebration and marking of the coronation of King Charles111 and Queen Camilla with a Iwo4ay party at the pump room and Pittville Park. as well as its second Retro Arnerican Festival. The Cheltenh8rn Festival race week events and Christmas lights switch on are now well established as key occasions in the Cheltenharn events calendar. The charity pursued an agile and enlrepreneurial approach lo mitigate the negative Impact of the economic downtum and it will continue to drive efficiencies, operate effectively. secure further extemal funding. and seize opportunities to generate additional income. I would like to extend my thanks to my predecessor Louis Eperjesi who was chair of the Irust for Ihe past 5 years, and to all the staff. truslees and volunteers for their unwavering dedication and commitment, and to all our *takoholdorJ and partncrJ, and valucd OUatomcrJ for their ongoing support. Mike Napier, Chair Date: 3011212024 Page 4 TRUSTEES. REPORT FOR THE YEAR ENDED 31 MARCH 2024 The Trustees are pleased to present their annual directors. report together with the consolidated financial .tatcmonl•￿ of tho charity and IL ￿ub￿ridiary for the year cnding 31 Morch qo 4 which are also prepared to meet tho rcquircmcntv for a dlrcct0￿￿, report and accounts for Companies Act purposes. The financial statements comply with the Charities Act 2011, Ihe Companies Acl 2006, the Mernorandum and Articles of Association, and Accounting and Reporting by Charities: Slaternent 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). The Cheltenham Trust. a company limited by guarantee (No. 09021431), was incorporated on 1 May 2014 and obiainod charitablo statU4V on 18 Scptembcr •014. It 13 governed by its Memorandum and Articles of AssoLiation. The Cheltenham Trust commenced operations on 1 October 2014 and currently manages on behalf of Cheltenham Borough Council, The Wilson Art Gallery and Museum. Leisure at Cheltenham and Ihe Prince of Wales stadium, Cheltenham Town Hall and Pittville Purnp Room. Cheltenham Leisure and Culture Ltd is a trading subsidiary of The Cheltenham Trusl. The Trust's charitable oblectives are set out below, Any financial surplus achieved by the Trust Is re invested in the charitable aims and objeclives. a, Policlgs and obJectlv•s Objectives and vision The Trust has been established for the following charitable purposes.. for thc advancomont and oUPPOrt of oducation, culturc.,orts and hcritage including the provision of libraiies, museums. galleries, leaming and information cenlres. archives, activities, events, programmes and olher related services. for the provision of facilities for recreation or other leisur8 time occupation in the interest of social welfare such facilities being provided to the publlc at large wlth special facilities being provided for various needs and dernographics. for the promotion of good health and wellbeing through community and public participab'on in healthy recreatlon and aciivitles. other such charitable purposes that are beneficial to the public and consistent with the objects as the Director Trustees shall determine. Vlslon As an indcpcndcnt charitablo tru4>t and thc Icad provider of culturo and leisure in Cheltenham our vision to blend culture. community and commercial activities and services to actively contribule to the Ioc81 and vlsltor economy and to improvo tho hoalth and wcllbeing of thc local community. As a registered not for profit charity. the Trust manages Cheltenham's most iconic and contemporary venues - The newly rcfurbiohed Wil on Art Callery and Muocum; thc Grade I listed Pitfville Pump Rooi)) ai)d F.lerilag¢ Cafe; the Grade11 listed Cheltenham Town Hall. Garden Bar and Skillicorne Garden. and the popular Leisure at Cheltenham and Prince of Wales stadium. The Trusl SUPPOrts the local and visitor economy, community. cultural and social offer providing arts, culture and .heritage,-entertainrnent,. sport'and.leisure.- Through-its outreach work'and'community events the Irust enables"-_ access and inclusivity to a diverse range of cultural and leisure services, events and activilies. The main activities at each of the Trust's five sites are: The Wilson Art Gallery & Museum. The Wilson hosts a rich programme of exhibitions and events that are supported by its new and vibrant arts café. 'The Wilson is available to hire as an 8ltemative. contemporary venue for events and meetings with a differen￿. ' Outdoor roof terrace is a,uniquo Gotting for horting ovents. Tho vcnuo regularly hosts launch parties, dinners, Page 5 TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 WCII ara a divcwTJC rango of community cvcntv activiticp work.:hops and talk.. The Wilson re-opened to the public in July 2022 following majof refurbishment to create a new community arts and cxhibition gallcry. articl studio. hopting nino art1￿+ rLp in rcrTrJidcnce and a popular and Immew￿lvC café. Pittville Pump Room The magnificent Grade I Pitfville Pump Room is the jewel of Cheltenharn's regency architecture. Its location in the beautiful Pittville Park has made this award winning, landmark building one of GIOu￿stershIre'S most impressive venues for weddings, dinners, exhibitions, dances, corporate events and conferencing and community events and activities. It also hosts the extremely popular outdoor Heritsge Café. Cheltenham Town Hall The elegant Edwardian Grade11 listed Town Hall is a popular venue for entertainment attracting local residents and visitors. It has a year-round programme of live entertainment. attracting more than 90,000 visilors each year to enjoy comcdy and cclcbrity ￿peake￿￿. MU￿￿10, conccrtr danco and theatrc. It al￿￿0 availablo for hirc for a wide range of events and activities. festivals, meetings and weddings. The Garden Bar Orangery and Skillicorne Garden, adjacent to the Town Hall. offer a cafe bar and a secret walled garden for an altematlve al fresco event. Leisure at Cheltenham and the Prince of Wales stadium Leisure at Cheltenham provides slate of the art leisure facilities with four pools, a fitness suile and more than 75 fitness classes each week. The Prin￿ of Wales stadium regularly hosts sports and track events including a local running club, rugby club and an annual family sports day. The recently re-furbished sports bar is available to hire for evenls, parties and corporate meetings. Management Agréement The Trust operates independently, occupying buildings owned by Cheltenham Borough Council. A Management Agreement has been established between Cheltenham Borough Council and The Cheltenham Trust to deliver orvicor for tho community aligned to the agreed fee, b. Actlvlti•s durlng the year Plttvllle Pump Room The Heritage Café conlinued to operate successfully from the temporary orangery structure for the full year. The Trusl, community led events in Pittville Park was further expanded in the year with celebrations lo honour HM The King's Coronation and the second Relro Americana festival. The Trust's Christmas celebrations for the cornmunity was hosted outside the venue (due to remedial repair works on the plaster inside the pump room) including the popular annual Christmas lights switch on event at the pump roorn with choirs and carol singers, a visit by Father Christmas, live music and the Christmas artisan markct hO￿tod invwlido tho marquo. howcaping local makers, Gf8atives and producer The pump room and Heritage Cafe also hosted a full programme for Cheltenham Race Week including pre-race brcakfarl and racing tip￿ and portiraco a bar with livo muo*iC and cntert3inmcnt. Chellenhain Town Hall Co-productions, hires and events at the town hall continued with a diverse programme of spoken word, music. festivals, dance, comedy and events. The Garden Bar orangery structure hosted live music at the weekends, including a Beach Party a free community two day event over the Augucl bank holiday and conb'nued lo be a popular destination in the heart of the town centre throughout the summer months. Le1￿•Ure at Cheltenham and the Prlnce of Wales stadlum . User numbers grew in the year with an average of 2.500 people using the facilities each day. Concession cards were re-instated following the pandemic to provide access to sport and leisure facilities, supporting health and wellbeing, to those in need across the community. Page 6 TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 The Wilson Art Gallery and fvluseum A programme of exhibitions, activities and talks were provided induding the Artists in Residence and Makers space and couiiyuiI uui charitable. cultural and community activities. and inviting donations by those using and er7joying our facilities within the local community. in order that we can continue to invest in and develop in our facilities and programmes. Access to our services Tho Trust romain4• committod to oqual acCC￿￿ to our 3orvice3 for everyone. The Tru>t slrives lu IJ¥ &lJi uyei I ernployer; welcoming =taff and volunteers from all backgrounds. The Trust aims to reflecl Ihe divèibily of11)e population in both our user group and our staffing and Trustee mix. Dlsclosure of Informallon to audllors Each of Ihe persons who are Trustees at the time when this Tnjstees, Report is approved has confimied that., 1) so far as that Twstee is aware, there is no relevant audit informalion of which the charitable group's auditors are unaware, and 2) that Tnjstee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audil infomation 8nd to estsblish that the charitsble group's auditors are aw8re of that Information. Audttors A resolution to appoint Randall & Payne LLP as auditor of the company was approved at a rneetlng of Trustees on 21st June 2019 and is renewed annually. Approved by order of the members of the board of Trustees and slgned on their behalf by: Mike Napier, Chair (Chair of Trustees) Date.. 3011212024 P.age 10 T.HE;,CHEL.T,ÉNHAM'.,TRUST, .., STATEMENT OF TRUSTEES, RESPONSIBILITIES FOR THE YEAR ENDED 31 MARCH 2024 Tha Trustees (who are also tho dircctofo of thc Gharity for the purposes of company law) are responsibl¥ fui preparing the Trustees, Report and Ihe financial statements in accordance with applicable law and United Kingdorn Accounting Standards (Unlted Kingdom Generally A￿epted Accounting Practice). Cornpany law requires the Trustees to prepare financial statements for each financial ypar. Under company law, the Trustees must not approve the financial statemenls unless they are satisfied that they give a tfue and fair view of the stste of afftsiw￿ of the Group ond thc Charity and of their incoming resources and ap￿illi<4￿.U1l uf resources, including their income and expenditure. for Ihal period. In Preparing these financial ststemenls. the Trustees are required to: select suitable accounting policies and then apply them consistently: observe Ihe methods and principles of the Charilies SORP (FRS 102); make judgements and accounting estimates that are reasonable and prudent; state whether applicable UK Accounting Slandards (FRS 102) have been followed, subject to any malerial 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 Group will continue in business. The Trustees are responslble for keeping adequate accounting records that are sufficient to show and explain the Group and thc Charity tranthactlon￿ and di•c1038 wlth reasonable accuracy at any time Il'li* fiiiaricial pthslliuii of the Group and the Charity and enable them to ensure that the financAal ststements comply with the Companies Acl 2006. They are also responsible for safeguarding the assets of the Group and the Charity and hence for taking roa￿• noblo *tcps for the provcntion and detection of fraud and othey ilT&Ju1aiil￿1s. Approved by order of the members of the board of Trustee*￿ and cignod on its behalf by. PAlke Napler (Chair of Trustees) Date: 3011212024 Page11 IT-HE"CHEL,T;ENHAM.TRUST INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF THE CHELTENHAM TRUST Oplnlon We have audited tho financial •tntcm¢ntJ of Thc Choltenham Trust {the 'parent charitable coinpanY) and Its subsidiaries (the 'group') for Ihe year ended 31 March 2024 whl¢h comprise the Consolidated Statement of Financial Aciivltio= tho Con￿lIda10d Balanco ￿￿he81. Ihe Charlty Dalance oheet, Il"ity Cunsolidaled sI￿lI31T1enI of Cash Flows and the relaled notes. including a summary of significant accounting policies. The financial reporting framework Ihat has been applied in their preparation is applicable law and United Kingdom Accounting Standards, induding Finandal Reporting Standard 102 The financial Reportsng Standard appIl￿ble ii) tlie UK and Ropublic of Ircland, (Unitcd Kingdom Generally Accepied Accounting Practic&). In our opinion the financlal statements: gtve a true and fair view of the slate of the Group's and of the parent charitable companls affalrs as at 31 March 2024 and of the Group's incoming resources and application of resources. including its In￿rne and expenditure for the year then ended. have been property prepared in accordance with Unlted Kingdom Generally Accepted Accountlng Practice: and have been prepared in accxjrdance with the requirements of the Charities Acl 2011. Basls for oplnlon We conducted our audit in accordance with International Standards on Auditing {UK) (ISAS (UK)) and applicable law. Our responsibilities under those standards are fvrther dfjscrib￿ in the Auditors, responsibilities for the audit of tha financial •tatemonis tr￿0¢110n of our report. We are independent of the Group In accordance willi Ilie ethical requlrern8nts that aro rolevant to our oudit of thc financial 3taternents in the United Kii)gdoi¥i. iiiLluding the Financial Reportin9 Council's Elhical Standard. and we have fulfilled our other ethical responslbilities in accordanco with thoso roquiromcnL. Wc bcliove that the audit evidenc& we l)awe ublaiii•Jd i¥ ¥utriLient (608, 188) 17 17 (1,018.814) (608.188) Totsl funds 1826.439) (471.057) The Charity's net movement in funds for the year was £(355,382) (2023 - £776, 395). The Charity was entitled to exemption from audit under section 477 of the Companies Act 2006. The mernbers have not required the entity to oblain an audit for the year In question in accordance with section 476 of the Companies Act 2006. %' i.lowever. an audit IJ rcquirod in accordance with section 151 of the Charilles Act 2011. Page 19 - RE_G.ISTERED.:.NUMBÈR:-'0902-1'4310.- CHARITY BALANCE SHEET (CONTINUED) AS AT 31 MARCH 2024 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 stalements have been prepared in accordance with the provisions applicable to entities subject to the small companies regirne. The financial slalements were approved and authorised for issue by the Trustees and signed on thelr behalf by: Mike Napier (Chalr of Trustees) Date.. 3011212024 The notes on pages 22 to 43 form part of these financial statements. Page 20 THE::'GHELTENHAM,.T..RUS,T.. CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2024 2024 2023 Cash flows from operating activlties Net cash used in operating activities 50,015 (112.987) Cash flows frorn investing activities Purchase of tangible fixed assets 185,093) (182,892) Net cash used in investing actlvities (85,093) 1182,892) Cash flows from financing activities Net cash provlded by flnanclng actlvltlos Change in cash and cash équivalents in the year Cash and cash equivalenls at the beginning of the year (35,078) 2,249,850 1295,879 2,545, 729 Cash and cash equlvalents at the end of the year 2,214,772 2, 249.850 The notes on pages 22 to 43 form part of these financial statements Page 21 T.HE:"'CHÉLT,ENHAMkT.RUST,.:,. :"::. NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 General information The Cheltenham Trust. a company limited by guarantee (No. 09021431), was Incorporated on 1 May 2014 and oblained charitable status on 18 September 2014. It is governed by its Memorandurn and Artides of Association. The members of the company are the Trustees named on page 1. In the event of the cornpany being wound up. the liability in respect of the guarantee Is Ilmited to £1 per member of the company. The Cheltenham Trust commenced op8rations on 1 October 2014 and currently operates 'The Wilson, Art Gallery and Museum, 'Leisure At, Recreational Facilities at Pittville including the Prince of Wales Stadium, plus the Cheltenham Town Hall and Pittville Pump Room entertainment venues on behalf of Cheltenham Borough Council. Accountlng pollclos 2.1 8asls of preparation of financial statements The financial statements have been Prepared in accordance with the Charities SORP (FRS 102) Accounts'ng and Reporting by Charities: Statement of Recommended Practs'ce applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) {effeclive 1 January 2019), the Financial Reporting Standard applicable in Ihe UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The Cheltenham Trust meets Ihe definition of a public benefit entity under FRS 102. Assets and liabililies are initially recognised at historical cost or transaction value unless Oiher*Nise staled in the relevant accounting policy. The Consolidated Statement of Financlal Acts'vities (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.A¢t 2006 and has not presented its own Statement of Financial Activits'es in these financial slatemenls. Page 22 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Accountlng policles (continued) 2.2 Going Concem Since the March 2024 financial year end, the Trust has seen significant disruption to its operations which are due to have an impact on the results for the 2024125 financial year. The disruption to the traditional business model and activities indudes a major closure at the teaching pool and splash pad at Leisure at Cheltenham. which was closed for operations for more than a month following the identification of RAAC (reinforced autoclaved aeraled concrete) at the sile. This unexpected closure has meant that the Trust has had to navigate interruption to its business and make additional investment in temporary changing facilities, which will likely lead to a significant deficit being realised in the financial year ending 31 March 2025. Additionally. adverse weather and planned closures at Pittville Pump Room are forecast to further impact the Trust's ability to generate income. In response to these challenging operating conditions, the Trust has continued to adapt to make the best use of its venues and specific working groups have been established alongside the Key Management Team to ensure that the Trust can Con￿'nUe to operate and meet its liabililies as they fall due. Further, the Trust is workin9 closely with its key partner. Cheltenham Borough Council (CBC), throughout the disrupkn'on to ensure that th8 Utilisation of facilities can be maximised during any essential works. As part of the going concern assessment made, the Trustees have confirmed that CBC will continue to assist in supporting Ihe Trust where practicable. The Trustees have reviewed the detailed budgets and forecasts prepared, which show that there is sufficient cash and reserves available within the Trust lo be able to operate as a going concern for at least a period of 12 months from the date of approval of the financial stalements. The Trustees are focussed on developing the Trust's strategy and reducing its reliance on exlemal service providers to enable continued financial resilience and to build 8 robust organisation which can achieve lis vision through its ambitious programme. However, the Trustees recognise that any recovery profile of the Twst Is likely to be longer than initially anticipated in light of the significant dlsruption which has impacted th8 Trust in 2024 and continued uncertainty regarding the timing and the finanaal impact that any further closures to operations May have. Accordingly, the Trustees consider that Ihere is currently a material uncertainty present regarding the Trust's ability to continue as a golng concern. 2.3 Income All income is recognised On￿ the Charity has entiilement to the income. it is probable that the income will be received and Ihe arnount of income receivable can be measured reliably. Grants are induded in the Consolidated Slatement of Financial Aclivtties on a receivable basis. The balan￿ 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. Page 23 THE:CHELT,ENHA'M:_T..RUST¥.': NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Accounting policies (continued) 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 Ihat a transfer of economic benefits will be required in settlement and the arnount 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, includin9 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 attribuiable to a single activity are apportioned between those acb'vib'es 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 charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs. All expenditure is inclusive of irrecoverable VAT. 2.5 TangSble fixed assets and depreclatlon Tangible fixed assets costing £500 or more are capitalised and recognised when future economic benefils are probable and the cost or value of the assel can be measured reliably. Tangible fixed assets are inilially recognised at cosl. After recognition, under the cost model, tangible fixed assets are measured at C05t less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset inlo ils inlended working condition should be Included in the measurement of cost. Depreciation is charged so as to allocale the cost of tangible fixed assets 18SS thelr residual value over their eskn'mated useful lives. using the straight-line method. Depreciation is provided on the following bases: Fixtures and fittings Office equipment 200/0 Straight line 33 % straight line 2.6 Investments Flxed 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 Sheel 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 'Gainsl(Losses) on investments. in the Consolidated Statement of Financial Activities. Investments in subsidiaries are valued at cost less provision for impairment. 2.7 Stocks Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed 8nd variable overheads. Page 24 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Accounting policies (contlnued) 2.8 Debtors Trade and other debtors are recognised at Ihe settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid nel of any trade discounts due. 2.9 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 openlng of the deposit or simllar account. 2.10 Liabilities and provlslons 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 arnount 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 servlces it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of Ihe time value of money is material, tha 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. 2.11 Flnancial 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 whith are subsequently measured at arnorli5ed cost using the effective interest melhod. 2.12 Pensions 2.13 Fund accounting General funds are unrestricted funds which are available for use at th8 discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designaled for other purposes. Restricted funds are funds which are lo be used in accordance with specific restrictions irnposed 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. Page 25 C_HEL,TENHAMi..T,RU,ST:, . NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Crit5cal accounting estimates and areas of judgement Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectalions of future events that are believed to be reasonable under the circumstances. Critical accounting estimates and assumptions: The Charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will. by definition. seldom equal the related actual results. The estirnates and assumptions that have a significant risk of causing a material adjustment to the carrjfjng amounts of assets and liabilities within the next financial year are discussed below. Income from charitable activities Restricted Unrestricted funds funds 2024 2024 Tolal funds 2024 Total fvnds 2023 Public engagements Commercial and customer sep4ices Content and programming Corporate 1,759,937 1,295,791 1,796,509 706,541 1.759,937 1,295,791 2,267,475 706,541 1,524,436. 1, 122,386 2,090,070 812,227 470,966 470,966 5,558,778 6,029,744 5,549,119 Total 2023 336.538 5,212,581 5,549,119 Included within Corporate Income is £611,281 (2023: £711,281) in respect of managemenl fees receivable from Cheltenham Borough Council. Further details regarding all transactions made with Chellenham Borough Council are included in Note 27. Page 26 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Income from other trading activities Income from non charltable tradlng actlv5t5•8 Unrestricted funds 2024 Total funds 2024 Tolal funds 2023 Income - Cheltenham Leisure & Culture Limited 2.213,134 2.213,134 2, 579.293 Total 2023 2. 579,293 2,579.293 Analysis of expenditure on charitable aclivities Summary by fund typo Restrlcted Unrestrlcted funds funds 2024 2024 Total 2024 Total 2023 FRS102 pension adjustment Public engagements Commercial and customer seniices Content and programming Corporate FRS 102 Pension (11,000> 481.930 2,199,818 1.839,395 1,445.639 59.000 (11,000) 562,819 2,199,818 2,176,851 1,445,639 58,999 128,000 532,478 2,509,910 2,048.122 1.418.214 80.889 337,456 418.345 6.014.782 6,433,126 6, 636. 724 Tot812023 502.239 6, 134,485 6. 636, 724 Page 27 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Analysls of expenditure on charitsble activities (Continued) Summary by expendlture type Staff costs Other costs 2024 2024 Total 2024 Total 2023 FRS102 pension adjustment Public engagements Commercial and customer services Content and programming Corporate 48,000 383,654 1.367.493 307.786 643.967 159,000) 179.165 832,325 1,869.065 801,671 111.000) 562,819 2,199.818 2,176.851 1,445,639 128,000 532,4T8 2,509,910 2, 048, 122 1,418,214 2.750,900 3,623,226 6,374.126 6, 636. 724 Tot812023 2.812,620 3, 824, 104 6, 636, 724 Analysls of expendlture by actlvltlos Activltles undertaken directly 2024 Support costs 2024 Total funds 2024 Total funds 2023 FRS102 pension adjustment Publlc engagements Cornmercial and customer services Content and programming Corporate costs (11.000) 562.819 2,199,818 2,176.850 (11.000) 562,819 2.199.818 2,176.850 1.445.639 128,000 532,478 2.509,910 2,048, 122 1.418.215 1.445,639 4.928.487 1,445,639 6,374,126 6, 636, 724 Total 2023 5,217,072 1,419,653 6,636. 724 Auditors, remuneration The auditors. remuneration amounts to an audit fee of £9,250 (2023 - £9,000), and fees payable to the Charitys auditor in respect of all other services of £4,175 (2023 - £4,025). Page 28 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Staff costs Group 2024 Group 2023 Charity 2024 Charity 2023 Wages and salaries Social security costs Contribution to defined contribution pension schemes 3.157,161 239.144 2,402,409 243, 145 2,455,443 193,549 2,402.409 197,977 117,958 212,234 101,908 212,234 3.514,263 2. 857, 788 2,750,900 2,812,620 Redundancy payments totalling £6,285 (2023: £Nil) were made during the year ended 31 March 2024, All amounts were recognised within expenditure during the year with no amounts outstanding at the year end. The average number of persons employed by the Charity during the year was as follows: Group 2024 No. Group 2023 No. Charlty 2024 No. Charily 2023 No. Average monthly headcounl 208 204 208 204 The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was: Group 2024 No. Gmup 2023 No. In the band £80,001- £90,000 10. Trusto0s' r•muneration and èxpons•s During Ihe year. no Trustees received any remuneration or other benefits (2023 - £NIL). During the year ended 31 March 2024, no Trustee expenses have been incurred (2023 - £NIL). Page 29 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 11.. Tangible fixed assets Group Fixtures and fittings Office equipment Total Cost or valuation Al 1 April 2023 Additions 45,470 15,865 426,456 69.228 471,926 85.093 At 31 March 2024 61,335 495,684 557,019 DepreGiation At 1 April 2023 Charge for the year 16,727 9,532 232,068 85,977 248,795 95,509 At 31 March 2024 26,259 318,045 344,304 Net book value At 31 March 2024 35,076 177,639 212.715 At 31 March 2023 28, 743 194.388 223,131 Charlty Office equipment ' Cost or valuation At 1 April 2023 Addllions 426,456 69,228 At 31 March 2024 195:,.984 Depreciation Al 1 April 2023 Charge for the year .232.068 At 31 March 2624 3t8,.045 .' Page ao. ,-T,HEsCHEL,TENHAM;' NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 11. Tanglble flxed assèts (continued) Charity (¢ontlnued) Offl¢e equlpment Net book valuo At 31 March 2024 177,639 At 31 March 2023 194,388 12. Fixad ass6t Investments Invesiments In subsidiary companies Charlty Cost or valuation At 1 April 2023 At 31 March 2024 Prlnclpal subsldlarles The following was a subsidiary undertaking of the Charity.. Name Company umber Registered office or principal Principal activSty place of business Chellenham Leisure & Culture Limited 09133998 Cheltenham Town Hall. Imperial Leisure & culture Square. activities on behalf Cheltenharn,Gloucestershire, ofthe muncil GL50 1QA Page 31 4LW."._ NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 12. Fixed asset investments (contlnued) Class of shares Holding Ordinary 100. The fin8nclal results of the subsidlary for the year were: Name Income Exponditure ProfiU(L05s) for the year Cheltenham Leisure & Culture Limited 2,213,134 (1,726,065) 487,069 13. Stocks Group 2024 Group 2023 Finished goods and goods for ￿Sale 57,462 109,467 14. Debtors Group 2024 Group 2023 Charity 2024 Charity 2023 Due wlthin one yèar Trade debtors Arnounts owed by group undertakings Other debtors Prepayments and accrued income 266.052 12,984 976.348 58,029 233,938 124,792 12,984 946,161 58,030 67,660 6.489 81,175 124,126 81,176 1.313.413 321.602 1,141.967 272,962 Page 32 - .T.HE.'CHELTENHAM..TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 15. Creditors: Amounts falling due within one year Group 2024 Group 2023 Charity 2024 Charity 2023 Trade creditors 773,395 425,050 728,211 875,209 510 1,520 609,082 426,449 691,073 Amounts owed to group undertakings Other taxation and social security Other creditors Accruals and deferred income 1,052,701 2,089 847,709 154.528 8.460 1.325,230 7,890 1,056, 171 2,675,894 1.913.267 2,214,532 2,181,583 Group 2024 Group 2023 Charity 2024 Charity 2023 Deferred income at 1 April 2023 Resources deferred during the year Amounts released from previous periods 893,160 837.701 1893,160) 994, 945 893, 160 (994,945) 725,126 599,693 (725,126) 843, T34 725, 126 (843, 734) 837,701 893, 160 599,693 725, 126 Deferred income comprises advance ticket sales relating to various performances at the Town Hall in 2024-25 and for advance memberships at the recreation centre and for venue hires. 16. Flnanclal instruments Group 2024 Group 2023 Charlty 2024 Charity 2023 Financlal assets Financial assets measured at fair value through income and expenditure 2,214.772 2,249,850 68.486 1.243, 175 Financial assets measured at fair value through income and expenditure comprise cash at bank and in hand. Page 33 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 17. ststement of funds Statement of funds - current year Balance at 31 March 2024 Balance at 1 Aprll 2023 Transfers inlout Gainsl (Losses) Income Expenditure Unrestrlcted funds General Funds - all funds Share capital Pension reserve 853,651 7,830,912 (7,751,847) (2,623) 930,093 11,000 (11.000) 853,652 7,830,912 (7.740.847) (2,623) (11,000) 930,094 Restricted funds Archaeology Memory Café Arts award Community Takeover Exhibition Charles Irving Trust Pittville Pump Room Heritage Cafe Project Summerfield Trust The Wilson Gall8ry Refurbishment Project CBC social grant Friends of the Wilson Frozen Continent 4,497 1,000 2,000 7.830 {1.993) (540) 10,334 460 2,000 6,050 100 14.855) 1,295 21,023 (17.539) 3,484 63,420 63,420 11.136 67,498 (45,312) 33.322 28,005 351,675 3,670 1301.620) (5,989) 78,060 2,319 16.000 (16.304) 304 24.193 124.193) 137,131 470,966 (418.345) 2,623 192,375 Page 34 *+;THE,'CfrIEL.T,ENHAM NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 17. Statement of funds (continued) Statement of funds - prior yèar Balance at 31 March 2023 Balance at l April 2022 Gain (Lo&ses) Income Expenditure Unrestrlcted funds General funds Share capital Pension reserve 1.054,680 7,791,874 (7,992.903) 853,651 (1, 736,000) (128,000) 1,864,000 (681.319) 7. 791,874 (8, 120.903) 1,864,000 853,652 Balance at 31 March 2023 Balan￿ at l Apnl 2022 Gains/ (Losses) Income Expenditure Restrlcted funds Archaeology Memory Café Arts award GEM - Go the Extra Mile Navigator Developer Community Takeover Exhibition Cheltenham Borough Council - Accreditation & Social Grants Friends of the Wilson Project Charfes Irving Trust Pittville Pump Room Heritage Cafe Project Summerfield Trust The Wilson Gallery Refvrbishment Project 4,319 1,000 2.000 2,870 (2,692) 4.497 1.000 2,000 23,277 (23,277) 6,050 6,050 21,655 (21.655) (6.000) (446,620) 6.000 217.643 250.000 21,023 63,420 2.400 63,420 11.136 8, 736 30,000 (1.995) 28,005 302,832 336.538 (502.239) 137,131 Page 35 T.HE.CHELiT:ENHAM..T,RUST ".. NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 17. Statement of funds (continued) Details of the Restricted Funds are as follows.. Archaeology- Contributions from local archaeo5ogy groups towards shelving and storage for finds. Memory Café - A monthly meet for people with demenb'a to visit The Wilson and engage with objects that may trigger memories. Arts Award- Funding to support an arts award programme. Community Takeover Exhibition community artists exhibit their work. Funding from The Community Resilience Fund to support Cheltenham Borough Council - Accreditation & Soclal Grants, Researching and documenting of The Wilson's Collection supporting Accreditation: Funding a programme of local music performances in Cheltenham parks. Friends of The Wilson - Friends of the Wilson funding supporting specific projects at The Wilson. Charles lrying Trust - A bequest supporting a new community art and exhibition gallery at The Wilson, where local artists and groups will have an opportunity to display their work, and network as a crealive community. The Wilson Refurblshm•nt Project - Funding supporting a new community art and exhibition gallery at The Wilson. where local artists and groups will have an opportunity to display Ihelr work, and ne￿Ork as a creative community, Pittville Pump Room Herltage Café Pmject- Funding to support Heritage café development project. The Summerfield Trust - Community exhibition project where young people in Cheltenham designed and made new costumes from clothes destined for landfill. Hidden Trails - A projecl encouraging cornmunity exploration of Cheltenham through guided maps and clues. The Frozen Continent- funding to support an exhibition project enabling visitors to explore first-hand the experience of the famous joumey to the Antarctic on which Edward Wilson died. Page 36 THE.,CHELTENHAM,'.TRuST-- NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 18. Summary of funds (continuedl Summary of funds - current year Balance at 31 March 2024 Balance at 1 April 2023 Transfers inloul Gainsl (Losses) Income ExpendSture General funds Restricted funds 853,652 137,131 7,830,912 {7,740,847) 470,966 (418.345) {2,623) 2.623 (11,000) 930,094 192,375 990.783 8,301,878 (8,159,192) (11,000) 1,122,469 Summary of funds - prlor year Balance at 31 March 2023 Balance al l Apnl 2022 Gains/ (Losses) Income Expenditu General funds Restricted funds (681,319) 7, 791,874 (8, 120,903) 302,832 336.538 (502,239) 1,864,000 853,652 137,131 (378.487) 8, 128,412 (8,623, t42) 1,864, 000 990, 783 19. Analysis of net assets ￿tween funds Analysis of net assets between funds - current period Reslricted Unrestrlcted funds funds 2024 2024 Total funds 2024 Tangible fixed assets Fixed asset investments Currenl assets Creditors due within one year 212,715 212,715 192,375 3.393.272 3,585,647 (2,675,894) (2,675.894) Total 192.375 930.094 1.122,469 Page 37 CHELT:ENHANi.'T.RUST,. NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 19. Analysls of net assets between funds {contlnued) Analysis of net assets between funds - prlor perlod Restricted Unrestricted funds funds 2023 2023 Total fvnds 2023 Tangible fixed assets Fixed asset investments Cu￿ent assets Creditors due within one year 223, 130 223. 130 137, 131 2, 543.823 2,680.954 (1,913,305) (1,913,305) Total 137,131 853, 651 990, 782 20. Reconciliatlon of net movement In funds to net cash flow from operating activitles Group 2024 Group 2023 Net incomelexpenditure for the period (as per Staternent of Financial Activilies) 142,686 (494. 730) Adjustments for: Depreciation charges Decreasel(increase> in stocks Decreasel{increase) in debtors Increase in creditors Other cash flow adjustments {FRS 102 Pension) 95,509 52,005 (991.811) 762,627 111.0011 74,508 (31.260) 36,591 173,903 128,001 Net cash provlded byl{used Inl operating activities 50,015 (112,987) 21. Analysls of cash and cash equlvalents Group 2024 Group 2023 Cash in hand 2,214.772 2.249.850 Total cash and cash equlvalents 2,214,772 2,249.850 Page 38 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 22. Analysis of changes in net debt At 1 Aprll 2023 Cash flows At 31 March 2024 Cash at bank and in hand 2.249.850 (35,078) 2,214,772 2,249.850 (35,078) 2,214,772 23. Penslon commltments The Group operates a defined benefit pension scheme. On 1 October 2014 the charitable company became a scheduled member into the Local Government Superannuation Scheme. At that date the liability relating to employees transferred under TUPE became the liability of the charitable company. Under the transfer arrangements between Chellenham Borough Council and the Trust, the net liability on the pension scheme remains a liability for the Trust but the Council is guarantor for any liability for the Local Government Pension Scherne in the name of the Trust. This is a funded defined benefit scheme. This is a closed scheme for new employees unlèss the Transfer of Undertakings (Protection of Ernployment) Regulations 2006 apply. The contribution rates are Ihose recommended by the fund's actuary, Hymans Robertson, and were set on the basis of: the relationship between the assessed value of assets and the accrued value of liabilities of pensionable seprfice to 31 March 2019. the level of contirbution needed to meet the cost of the year by year accrued benefits in future. the change in terms pf Contracting our 9f SERPS. The actuarial valuation was based on economic and statistical assumptions, the rnain ones being: the rate of accumulalion of income and capital on new inveslmenls over the long term and the increase from time to time of income from existing investrnents. fulure rises in pensionable pay due to inflation etc. and pension increases. withdrawals from membership due to mortality. ill health and ordinary retirement. progression of pensionable pay due to promotion. The latest formal valualion of the fund for the purpose of setting employefs aclual contributions was as at 31 March 2019 with the next formal valuation due currently. The market value figures below are based on assumptions required by FRS 102 standards. The assumptions thal have the most significant effect on the results of the FRS102 valuation are detailed below. Mortality follows the standard tables known as PFA92 and PMA92 with improvements in line with the Medium Cohort. The life expectancy used is based upon mortality assumptions. Assuming retirement at age 65. the life expectancies in years used in the valuation are as follows: Page 39 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 23. Pension Commitments (continued Principal actuarial assumptions at the Balan￿ Sheet date (expressed as vRighted averages): At 31 March At 31 March 2024 2023 Discount rate Future salary increases Future pension increases 4.85 3.25 2.75 4.75 3.45 2.95 At 31 March At 31 March 2024 2023 Years Y88rs Mortality rates (in years) - for a male aged 65 now al 65 for a male aged 45 now for a female aged 65 now at 65 for a female aged 45 now 20.6 21.9 24.1 25.3 20.7 22.1 24.3 25.5 The Group's share of the assets in the scheme was: At 31 March At 31 March 2024 2023 Equities Corporate bonds Propety Cash and other liquid assets 4.135,000 1,421,000 840,000 65.000 3,866,000 1.230,000 703,000 59,000 Total falr value of assets 6,461,000 5,858,000 The actual return on scheme assets was £730.000 (2023 - £(105.444)). The amounts recognised in the Consolidated Statement of Financial A¢lJ'vities are as follows: 2024 2023 Current seniice cost Interest income Interest cost Total amount recognised in the Consolidated Statement of Financial A¢tivitles 48,000 167,000 (277,000) (1 T2,000) 218,000 221,000 (11,000) 216,000 Page 40 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 23. Pension commitments (continued) Movements in the present value of the defined benefit obligation were as follows: 2024 2023 Opening defined benefit obligation Interest cost 5.858.000 7.974.000 218,000 221.000 16,000 24,000 391.000 (2,453,000) (70,000) (75,000) 48,000 167,000 Contrlbutions by scheme participants Actuarial lossesllgains) Benefits paid Current service cost Closlng d•fin•d b•n•flt obligatlon 6,461,000 5. 858,000 Movements in the fair value of the Group's share of scheme assets were as follovts: 2024 2023 Opening fair value of scheme assets Expected retum on assets Actuarial gainsl(losses) Contributions by ernployer Contrlbutions by scheme partlcipants Benefits paid 5,858,000 277,000 380.000 6,238,000 172,000 (589.000) 88,000 24,000 (75,000) 16,000 (70,000) Closing fair value of scheme assets 6,461,000 5,858,000 The actuarial valuation for the year ended 31 March 2024 showed a scheme surplus of £1,913.000 (2023.. surplus of £1,264,000). Sn determining whether a surplus on the scheme is recognisable on the balance sheet, the Trustees reviewed the requirements of Para 28, FRS 102 which states that the Charity 'shall only recognise a plan surplus as a defined benefit asset only to the extent that is is able to recover the surplus, either through reduced contributions in the future. or through refunds from the plan.. Under the transfer arrangements between Cheltenham Borough Council and the Trust, the net liability which has historically been recognised. remains a liability for the Trust, but the Council acts as guarantor for any liability arising for The Cheltenham Trust in being the sponsor employer for the Local Government Pension Scheme. Further, the contributions made by the Charitable Company into the scheme are included in the agreed annual recharge mechanism between the Trust and Ihe Borough Council. In reviewing the guidance available in FRS 102. the Trustees bore in mind the above circumstances and determined that in subslance, the Trust would have no entitlement lo any pension asset in the fvture and therefore it should not be accounted for in the year ended 31 March 2024. Accordingly. the pension asset has been restricted and a £nil balance has been presented on the balance sheet of the Trust. Page41 ..T..HE".CHELT.ENHAM:.T:RUS.T.;': NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 24. Members. liability Each member of the charitable company undertakes to contribute to the assets of the company in the event of it being wound up while helshe is a member, or within one year after helshe ceases to be a member. such amount as may be required, not exceeding £1 for the debts and liabilits'es conlracted before helshe ceases to be a member. 25. Related party transactions The Cheltenham Trust was set up to operate the leisure, entertainments and cultural facilities of Cheltenham Borough Council ICBC). Truslees Councillor B Clark and Councillor G Andrews are elected members of Cheltenham Council and are the CBC nominated Trustees. During the period the Trust received income amounting to £1.206.021 from Cheltenham Borough Council which included income relating to management fees received under a Management Agreement. venue hires and project funding (2023.. £1,104,073}. At Ihe period end Ihere was £12,000 oulstsnding {2023.. £9,859). The Trust receives administrative and other support services from various related bodies including Publica lan employment company jointly owned by Cotswold, West Oxfordshire, and Foresl of Dean District Councils and Cheltenharn Borough Council) that delivers finance, HR, and ICT services. These bodies associated with CBC provide services under service level agreements with expenditure during Ihe year as follows: 2024 2023 Chellenham Borough Council Forest of Dean Council Cotswold District Council 244,783 287,518 85,005 510,390 77,530 617,306 587,920 Of these amounts £nil (2023.. £77,530) was owing to Cotswold District Council at the year end and £12,000 (2023.. £119.770) was owing to Cheltenham Borough Council (excluding £95.091 loans made in respect of the splash pad) and £223,382 was owing to Forest of Dean Council. During the year. the Trust made sales of £1.197 for venue hires (2023: £500) to Cheltenham Borough Homes Ltd, a subsidiary cornpany of Cheltenham Borough Council. £nil was outstanding at year end {2023: £nil) , The Trust received goods and services from Cheltenham Borough Homes Ltd of £nil (2023: nil). During the year the charity received £122,000 from the Friends of the Wilson (2023.. £30.000) and held a balance of £0 at 31 March 2024 (2023- £28,005). Expenditure in relation to Friends of the Wilson amounted to £150.005 (2023: £nill for the year ended 31 March 2024. See note 13 in respect of The chellenha￿ TN'Ft's subsidiary undertaking. Cheltenham Leisure and Culture Ltd (CLC Ltd). Advantage is taken of Ihp FRS102 exemption from disdosure of certain intergroup transactions. Page 42 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 26. Post balance sheet events The areas of the Leisure Centre (including the swimming pools) that had been closed due to RAAC reopened in April 2024. However. shortly afterwards. RAAC was also idenlified in the wet changing rooms: As a result, these parts of the Leisure Centre were closed for three months, from May to July 2024, with. temporary changing rooms set up in the centre's car park. In addition to the cost of hiring the lemporary facilities, the closure impacted the Leisure Centre's income, resulting in a budget shortfall of approximately £300k in the first quarter of the year. While CBC provided support by covering the cost of repairing the changing rooms. the Trust has had to absorb the expenses for the temporary changing facilities and the assoaated loss of income. As a result, the Trust is currently forecasting a deficit for 2024- 25, which it plans to manage using its reseNes. Page 43