**Company Registration Number CE010758** **Registered Charity Number 1174227** ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO** (A CHARITABLE INCORPORATED ORGANISATION) **REPORT AND ACCOUNTS For the year to 31 August 2020** **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2020 TRUSTEES’ REPORT** The Trustees present their report and the unaudited financial statements of the charity for the year ended 31 August 2020. ## **REFERENCE AND ADMINISTRATIVE DETAILS** **Registered charity name** Elswick Community Pool and Leisure Centre CIO **Charity registration number** 1174227 **Company registration number** CE010758 **Registered office** Elswick Community Leisure Centre, Elswick Park, Beech Grove Road, Newcastle Upon Tyne, NE4 6RS ## **Trustees** The Trustees of Elswick Community Pool and Leisure Centre CIO during the year and to the date of signing of this report are as follows: Gerard Hunwick (Chair) Diane Tait (Vice-Chair) Niamh Cunningham (Treasurer) Appointed 13 March 2020 Michael McDonald Taymar Pitman Hannah Mackay-Christie Cllr Ann Schofield (Appointed by Elswick Ward Councillors) Marc McPake Resigned 13 March 2020 Zakea Ahmed Resigned 13 March 2020 Michael Cole (Treasurer) Resigned 13 March 2020 Jessica Hall (Secretary) Resigned 13 March 2020 Bankers Co-operative Bank plc, P.O. Box 101, 1 Balloon Street, Manchester, M60 4EP Independent Examiner Mr P O’Hara FCA, 4 Stoneyhurst Road West, Gosforth, Newcastle Upon Tyne NE3 1PG ## **STRUCTURE, GOVERNANCE AND MANAGEMENT** ## **Governing Documents** The Charity is a Charitable Incorporated Organisation, a charity registered under a body corporate under part 11 of the Charities Act 2011, registered with the Charity Commission and Companies House on 11 August 2017. 2 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2020 TRUSTEES’ REPORT** ## **STRUCTURE, GOVERNANCE AND MANAGEMENT (CONTINUED)** ## **Governing Documents (Cont.)** Eligibility for membership of the charity and membership of the Board of Trustees is governed by the Constitution. There are no restrictions in the governing document on the operation of the charity other than those imposed by general charity law. Elswick Community Pool & Leisure Centre CIO (ECP) was set up by Newcastle West End residents. The Board aims to have a majority of its Trustees from the local community, to ensure the voice of local people is paramount in its decisions. Anyone living in Elswick, Arthur’s Hill, Monument, Wingrove and Benwell & Scotswood wards is eligible for election as a community trustee. ## **Governance** The charity currently has 7 Trustees and 4 co-opted Board Members. ## **Appointment and Induction of Trustees** Trustees are appointed at the Annual General Meeting and can be co-opted during the year by the board of Trustees. Elswick Ward City Councillors are entitled to one seat, the member to be decided by the Councillors. Potential new Trustees are asked to complete an application form listing the skills and knowledge they can offer the charity. Newly appointed Trustees are provided with a copy of the constitution and offered induction into the history and operation of the charity. ## **Key Management Personnel** Phil Jameson was appointed as full-time Senior Manager, Elswick Community Leisure Centre in August 2019, and has delegated responsibility for running the pool and leisure centre. ## **Grant-making** The charity does not currently engage in grant-making activity. ## **Volunteers** We rely heavily on local volunteer input to manage the charity. All Trustees are volunteers and are responsible for management oversight. Between 1 March and 31 August 2020, Trustees met weekly to plan Covid-19 contingencies, manage rapidly-changing financial and operating circumstances, organise fundraising and secure the longer-term future of a commitment that had just six months trading before Covid-19 restrictions came into force. In addition to our Trustee volunteers, we have had a solid base of people who have provided pro bono services on all aspects of our operation and a further group of local people who have helped with everything from meeting and greeting, painting and decorating, maintaining our grounds, clearing rubbish and distributing flyers. We estimate that Trustees contributed a minimum of 1,400 hours during the year, with a further 400 hours contributed by others. 3 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2020 TRUSTEES’ REPORT** ## **STRUCTURE, GOVERNANCE AND MANAGEMENT (CONTINUED)** ## **Reserves Policy** The Trustees have reviewed the charity's need for reserves in line with the guidance issued by the Charity Commission. The Trustees aim to hold a level of free Unrestricted Reserves equivalent to three months’ operating costs, which provides sufficient financial resources to meet the legal and contractual obligations and liabilities which would crystalise if the charity were unable to continue operating. Their current estimate of the amount required for this purpose is approximately £120,000. The targeted level of reserves to be retained for the above purposes is therefore considered to be £120,000. The charity’s total Unrestricted Reserves shown in the Balance Sheet as at 31 August 2021 are £44,938 (2020: £61,541). £666 of these reserves were represented by Fixed Assets (2020: £Nil), leaving £44,272 available as Unrestricted Free Reserves (2020: £61,541). The Trustees aim, through their budgeting processes, to reach the optimum level of Reserves within three years. The Trustees will review the charity’s optimum level of reserves as the nation emerges from the pandemic crisis. ## **OBJECTIVES AND ACTIVITIES** ## **Charitable Purpose** 1) To promote community participation in healthy recreation in Elswick and the surrounding area, by the provision of facilities to enable people to participate in swimming and other sports and activities which are capable of improving physical health and fitness. 2) To promote, for the benefit of the inhabitants of Elswick and the surrounding area, the provision of facilities or other leisure time occupation of individuals who have need of such facilities by reason of their youth, age, infirmity or disablement, financial hardship or social and economic circumstances or for the public at large in the interests of social welfare and with the object of improving their health and wellbeing. ## **Principal Activities** We provide swimming facilities and classes, exercise and other sports and activities capable of improving physical health, fitness and wellbeing. We actively promote our services to local people and encourage take-up from the leastadvantaged by having the lowest comparable prices in the city and targeted introductory offers and have a 5,000+ social media following, predominantly made up of local residents. We actively target those with limited physical and cognitive ability by providing additional facilities to encourage participation and target local schools’ involvement as a means of encouraging young people to be active as a lifestyle choice. 4 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2020 TRUSTEES’ REPORT** ## **OBJECTIVES AND ACTIVITIES (Cont.)** ## **Public Benefit** In our decisions as a Board and in the drawing up of this summary of our main activities, we have had due regard to our public benefit obligations under the Charities Act and the Charities (Accounts and Reports) Regulations 2008. We have also had full regard to the Charity Commission’s public benefit guidance outlines in guides PB1, PB2 and PB3. ## **Impact and Value** Elswick Pool shut its doors on 31 October 2015, despite strong local opposition. Protestors noted the impacts this would have on the health and social opportunities of the local community, in a particularly economically deprived area with very poor health and employment prospects. Newcastle City Council pledged to work with the community to re-open the pool, if a viable business case could be made. The charity was set up to enable this to happen. During the last year (as in the previous two), the Board was focused on securing a legal agreement to lease the facility from Newcastle City Council and manage it under community control through the charity. In February 2020, discussions led to assurances that this would happen in time for a re-opening in September 2020. The City Council undertook to repair and restore the building to its condition at closure, remedy any pool leaks and ensure it was fully operational and under guarantee, prior to re-opening. The charity agreed it would manage the centre’s operations and be responsible for all future outgoings at the site. It agreed it would find its own finance to make improvements to the venue. A 99 year lease agreement was negotiated between the parties, set to come into effect 6 September 2019. The charity has maintained strong community support for its efforts and has maintained effective communication with the local community and supporters throughout. ## **Risk Management** The Trustees regularly review the major governance, operational and financial risks which the charity faces as part of its annual business planning process and confirm that systems have been established to mitigate these risks. The charity has a risk management strategy in place which comprises: - an annual review of the strategic risks the charity may face via the business plan - the establishment of systems and procedures to mitigate those risks identified - the implementation of procedures designed to minimise any potential impact on the charity should those risks materialise. The Trustees are satisfied that appropriate financial systems and controls and employment policies and practices are in place. They consider the key risk facing the charity at this time to be the financial risk arising from the need to generate sufficient revenue to keep the pool and leisure centre open. 5 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2020** **TRUSTEES’ REPORT** ## **OBJECTIVES AND ACTIVITIES (Cont.)** ## **Risk Management (Cont.)** We are confident of being able to make it through the financial year 2020-21, but, if Covid-19 social distancing restrictions continue, it would mean in the longer-term that it would be uneconomic for us to continue with the customer offer we currently have. Due to the continued closure of leisure centres in Gateshead and in Newcastle’s West End, we have faced increasing demand from schools, which has limited the amount of public swimming time we are able to offer. Social distancing requirements further limit the income we are able to generate. ## **ACHIEVEMENTS AND PERFORMANCE** ## **Achievements in the Year** Despite strong local opposition and a 4,000-signature petition to Newcastle City Council, ‘Elswick Pool’ was closed to the public in October 2015, after efforts to find a leisure operator to take it on failed. The Council called for a community group to look at taking on management of the pool and in 2017 local residents from Friends of Elswick Pool set up a charity to do just that. In February 2019 the Council announced it was minded to offer us a 99-year lease on the building. It was the start of an enormous effort to get everything in place for the start of the school year. Little did we know however that when we re-opened the doors on Monday 9 September 2019, we would be closing them again just months later, as Covid-19 made its insidious presence felt. Throughout this unsettled time, the charity (with enthusiastic support from the local community) has shown extraordinary resilience and adaptability, which should place it in good stead to weather future storms. During this period, we made swimming and exercise available to thousands of local residents, schools and clubs. We have also provided targeted swim sessions and fitness classes. We have recruited a first-class staff team, which places highest priority on safety, cleanliness and professional customer service, and have established and developed numerous systems, training, policies and procedures to ensure the centre is operated to the highest standards – all a far cry from the days when the charity was just starting, trying to ‘save our pool’. We now employ 25 staff and manage numerous contracts. After the first Covid-19 lockdown in March 2020 and subsequent restrictions were put in place, both Board and staff worked tirelessly to ensure the long-term future of the centre. It is a great credit to all, that the charity was able to absorb disruption, execute a financial rescue plan and employ new working practices which (unlike many other facilities) allowed us to open again when restrictions were relaxed. 6 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2020 TRUSTEES’ REPORT** ## **ACHIEVEMENTS AND PERFORMANCE (CONTINUED)** ## **Achievements in the Year (Cont.)** Despite the difficult operating year, prior to the first Covid-19 restrictions, we were able to establish that our financial forecasting had been largely on target, with us being close to breakeven point by February 2020, demonstrating the potential longer-term viability of the leisure centre as a going concern. This was vindication of the hard work put into business planning by volunteers over four years. We have been particularly pleased we have been able to reach our target low-income households in the West End, through a policy of keeping our prices the lowest in the city. Alongside general open sessions for the gym and pool, we have been able to offer a comprehensive programme of swimming tuition, aquafit sessions, women-only sessions and men-only sessions, which have attracted people from all backgrounds. Although most customers walk to the centre, we have a car park with spaces reserved for those with limited physical mobility, enabling them to take full advantage of the facility which won an architectural award for its attention to detail in catering for those with different abilities. We have been really heartened to have the solid support of local schools, with 12 now using the centre as their preferred provider, and more pledged to follow. They have been enthusiastic in support of our policy of dedicated children-only sessions, a policy itself developed after close consultation with schools in finding out what mattered to them. We welcome customer feedback and have several ways of encouraging this, online, in person at the centre, through comments to staff or directly to the board. We are proud to report that comments are overwhelmingly positive and praise the high standards of cleanliness, customer service and staff professionalism. ## **Fundraising** Our principal funder has been Power To Change, without whose patience, understanding and support it would have been nigh on impossible to re-open Elswick Pool in the first instance. Our other key funder has been Centre West, a Newcastle regeneration initiative which also provided management advice. Prior to March 2020 and for a brief period from 17 August 2020, we received income from centre users. Between these dates our primary sources of funding were through the Government furlough scheme and other State Aid. We received additional income from donations and charitable grants, including funds from Sport England, The North of Tyne Voluntary Sector Recovery Fund, Newcastle City Council Local Authority Discretionary Grant, Newcastle City Council ward grants (Elswick Ward, Monument Ward and Arthurs Hill ward) and the Masonic Charitable Foundation. We also ran a successful Crowdfunder Covid 19 appeal, raising £5,383 including £2,500 from the North East Partnership. We thank them all for their support. Our fundraising activities were realigned from March 2020 to prioritise plugging the income gap caused by closure, social distancing restrictions and additional running costs associated with creating a ‘Covid-secure’ environment. 7 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2020 TRUSTEES’ REPORT** ## **ACHIEVEMENTS AND PERFORMANCE (CONTINUED)** ## **Financial Review** Despite the impact of Covid-19, the charity has been successful in shoring up its finances, allowing us to have full confidence in our ability to cope with reduced income and extra costs associated with social distancing and Covid measures to the end of the next financial year. The Government furlough scheme has contributed significantly to this confidence, especially when we were ineligible for some of the larger sums of Government help on offer. ## **PLANS FOR FUTURE YEARS** Our key priority is to survive the impacts of Covid-19 and develop a new business model that will sustain us over the next two to three years. Our initial model was based on using periods of high demand and financial return to ‘subsidise’ uneconomic sessions, which benefited those on low incomes. We were proud to be able offer the most affordable prices in the city. However, the reality now facing us is that this is financially unsustainable in the longer term, as things stand. Social distancing rules mean we can lose up to 70% of our income for some activities, particularly those that reach some of the most vulnerable. We will be forced in the next year therefore to look at increasing prices. Due to decreased capacity to offer open-access public sessions for people of all abilities, we may have to consider a more targeted approach to reaching all communities, especially those recently shown to be most in need of facilities like ours. The charity will focus on making the leisure centre more of a social hub, by bringing the parkfacing western side of the building into use. This will allow development of a café and seating plus display and activity space for other community organisations to use. In a series of ‘away days’, the Board has looked at strengthening aspects of its operations including internal governance, local Trustee recruitment, local employment and work experience opportunities. We are actively looking to reduce our energy costs and meet the City Council’s ‘carbon net zero’ 2030 target. We are looking to ‘benchmark’ our carbon emissions in the next year, so we can provably evidence our contribution. 8 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2020** **TRUSTEES’ REPORT** ## **RESPONSIBILITIES OF THE TRUSTEES** The Trustees are responsible for managing the business of the charity and may exercise all the powers of the charity unless restricted by the Charities Act or the constitution of the charity. The Trustees are responsible for the preparation of the financial statements for each financial year which show a true and fair view of the state of affairs of the charity as at the balance sheet date and of its incoming resources and application of resources, including income and expenditure, for the financial year. In preparation of the financial statements the Trustees should follow best practice and: 1. Select suitable accounting policies and apply them. 2. Make judgements and exercises that are reasonable and prudent. 3. Prepare the financial statements on a going concern basis unless it is inappropriate to assume that the charity will continue on that basis. The Trustees are responsible for maintaining proper accounting records, which disclose with reasonable accuracy at any time the financial position of the charity. The Trustees are also responsible for safeguarding the assets of the charity and hence taking reasonable steps for the prevention and detection of fraud and other irregularities. Signed by order of the Trustees **Gerard Hunwick Chair** ## **15 March 2021** 9 ## **INDEPENDENT EXAMINER’S REPORT TO THE MEMBERS ON THE UNAUDITED ACCOUNTS OF ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO FOR THE YEAR ENDED 31 AUGUST 2020** I hereby report to the Trustees/Members of Elswick Community Pool and Leisure Centre CIO (Charity Registration Number 1174227) on the accounts for the year ended 31 August 2020 set out on pages 11 to 20. ## **Responsibilities and basis of report** As the charity’s Trustees you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’). An independent examination does not involve gathering all the evidence that would be required in an audit and consequently does not cover all the matters that an auditor considers in giving their opinion on the accounts. The planning and conduct of an audit goes beyond the limited assurance that an independent examination can provide. Consequently I express no opinion as to whether the accounts present a ‘true and fair’ view and my report is limited to those specific matters set out in the independent examiner’s statement. Having satisfied myself that the accounts of the charity are not required to be audited under charity law and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act. ## **Independent Examiner’s Statement** Since the charity’s gross income exceeded £250,000, your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales, which is one of the listed bodies. I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe: 1. accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or 2. the accounts do not accord with those records; or 3. the accounts do not comply with the accounting requirements of section 130 of the 2011 Act other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination; or 4. the accounts have not been prepared in accordance with the methods or principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial reporting Standard applicable in the UK and Republic of Ireland (FRS102)). I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. ## **Pete O’Hara, FCA, Chartered Accountant Fellow of the Institute of Chartered Accountants in England & Wales** > [4 Stoneyhurst Road West, Gosforth, Newcastle upon Tyne NE3 1PG ] 15 March 2021 10 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR TO 31 AUGUST 2020** |**Note**
**Income**
Income from Donations & Legacies
3
Income from Charitable Activities
4
Other Income
5
**Total Income**
**Expenditure**
Expenditure on Charitable Activities
6
**Total Expenditure**
**Net Income/(Expenditure)**
Balance brought forward
**Balance carried forward at 31**
**August**
**14**|**Unrestricted**
**Funds**
**Restricted**
**Funds**
**Total**
**2020**
**Total**
**2019**
**£**
**£**
**£**
**£**
6,806
-
6,806
1,131
168,479
176,250
344,729
168,366
37,468
-
37,468
-| |---|---| ||**212,753**
**176,250**
**389,003**
**169,497**
229,356
139,004
368,360
3,342| ||**229,356**
**139,004**
**368,360**
**3,342**| ||**(16,603)**
**37,246**
**20,643**
**166,155**
61,541
105,141
166,682
527| ||**£44,938**
**£142,387**
**£187,325**
**£166,682**| The notes on pages 13 to 20 form part of the financial statements. All of the activities of the company are classed as continuing. The Statement of Financial Activities includes all gains and losses in the year and therefore a statement of total recognised gains and losses has not been prepared. 11 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION)** _**STATEMENT OF FINANCIAL POSITION/BALANCE SHEET AS AT 31 AUGUST 2020**_ |||**2020**|**2019**| |---|---|---|---| ||**Notes**|**£**|**£**| |**Fixed Assets**|||| |Tangible Fixed Assets|8|78,417|25,627| |**Current Assets**|||| |Stocks|9|2,060|-| |Debtors|10|61,644|107,188| |Cash At Bank & In Hand||198,800|40,028| |||262,504|147,216| |**Creditors – Amounts Falling Due Within 1 Year**|11|(103,596)|(6,161)| |Net Current Assets/(Liabilities)||158,908|141,055| |**Creditors – Amounts Falling Due After 1 Year**||(50,000)|-| |**Total Net Assets**|13|**£187,325**|**£166,682**| |**Represented by:**|||| |Unrestricted Reserves|14|44,938|61,541| |Restricted Reserves|14|142,387|105,141| |||**£187,325**|**£166,682**| The notes on pages 13 to 20 form part of the financial statements. ## **These financial statements were approved by the Board of Trustees on 15 March 2021 and signed on their behalf:** om **Gerard Hunwick Chair 15 March 2021** 12 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **1. Accounting Policies** ## **Basis of Accounting** These financial statements have been prepared in accordance with applicable United Kingdom accounting standards, including Financial Reporting Standard 102 – 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' ('FRS 102'), and with the Companies Act 2006 and the Statement of Recommended Practice (Charities SORP FRS 102) "Accounting and Reporting by Charities" and the Charities Act 2011. The financial statements have been prepared on the historical cost basis, modified to include certain financial instruments at fair value. Advantage has been taken of the provisions in the SORP for Charities applying FRS 102 Update Bulletin 1 not to prepare a statement of cashflows. The financial statements are prepared in sterling, which is the functional currency of the charity. ## **Taxation Status** Elswick Community Pool and Leisure Centre CIO is a Charity registered under the 1960 Charities Act and is accorded exemption from liability to taxation on its income under S505 Income and Corporation Taxes Act 1988. ## **Going Concern** There are no material uncertainties about the charity's ability to continue. ## **Income** All income is included in the statement of financial activities when the charity is entitled to the income, any performance related conditions attached have been met or are fully within the control of the charity, the income is considered probable and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income: - Donations and legacy income is received by way of donations, legacies, grants and gifts and is included in full in the Statement of Financial Activities when receivable. Where legacies have been notified to the charity but the criteria for income recognition have not been met, the legacy is treated as a contingent asset and disclosed if material. - Grants, where entitlement is not conditional on the delivery of a specific performance by the charity, are recognised when the charity becomes unconditionally entitled to the grant. - Investment income is included when receivable. - Income from charitable trading activity is accounted for when earned. - Other income is accounted for when receivable. 13 **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **1. Accounting Policies (Continued)** ## **Expenditure** Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is reported as part of the expenditure to which it relates: - Costs of raising funds comprise the costs associated with attracting donations, grants and legacies and the costs of trading for fundraising purposes. - Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them. - Other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities. ## **Financial Instruments** A financial asset or a financial liability is recognised only when the charity becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs. Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted. Debt instruments are subsequently measured at amortised cost where there is a material adjustment. ## **Operating Leases** The charity classifies the lease of certain types of equipment as operating leases as the title to the equipment remains with the lessor. Rental charges are charged against income on a straight-line basis over the year of the lease. ## **Tangible Fixed Assets and Depreciation** Depreciation is provided on any fixed assets at rates calculated to write off the assets over their remaining useful lives as follows: - Leasehold Property Improvements – 10% per annum straight line - • IT & Office Equipment - 33% per annum straight line - • Pool Equipment - 33% per annum straight line ## **Impairment of Fixed Assets** A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. 14 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **1. Accounting Policies (Continued)** ## **Fund Accounting** Unrestricted funds are available for use at the discretion of the trustees in furtherance of the purposes of the charity. Designated funds are unrestricted funds earmarked by the trustees for specific purposes. Restricted funds are subjected to restrictions on their expenditure imposed by the donor. ## **Judgements and Key Sources of Estimation Uncertainty** The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. There are no significant judgements or estimation uncertainty included within the financial statements. ## **2. Legal Status** The charity is a Charitable Incorporated Organisation and has no share capital. ## **3. Income from Donations & Legacies** |Donations - General
Gift Aid|**Unrestricted**
**Funds**
**Restricted**
**Funds**
**2020**
**2019**
**£**
**£**
**£**
**£**
5,786
-
5,786
1,131
1,020
-
1,020
-| |---|---| ||**£6,806**
**£-**
**£6,806**
**£1,131**| The 2019 total of £1,131 relates wholly to Unrestricted Funds. 15 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2020** **4. Income from Charitable Activities** |**Income from Charitable Activities**|| |---|---| |**Grant Income**
Arthur’s Hill Ward
Aviva
Centre West
Coronavirus Job Retention Scheme
Elswick Ward
Gigabyte voucher scheme
Masonic Charitable Foundation
Monument Ward
Monument Ward - Soft play area
Newcastle City Council –
Discretionary Grant
Power to Change
Power to Change - Covid 19
Riverside Community
Sport England - Covid 19
Voluntary Sector Resilience Fund
**Earned Income**
Lessons & Coaching
Memberships
School Swimming & Lane Hire
Stock & Vending Sales
Wet Activities
Other Earned Income|**Unrestricted**
**Funds**
**Restricted**
**Funds**
**2020**
**2019**
**£**
**£**
**£**
**£**
200
-
200
-
-
-
-
200
6,878
-
6,878
60,000
-
58,665
58,665
-
3,537
-
3,537
-
-
2,500
2,500
-
4,000
-
4,000
-
200
-
200
-
-
-
-
778
5,000
-
5,000
-
-
39,085
39,085
107,188
-
50,000
50,000
-
-
-
-
200
-
10,000
10,000
-
-
16,000
16,000
-| ||**19,815**
**176,250**
**196,065**
**168,366**
22,755
-
22,755
-
16,278
-
16,278
-
50,295
-
50,295
-
10,835
-
10,835
-
40,025
-
40,025
-
8,476
-
8,476
-| ||**148,664**
**-**
**148,664**
**-**| ||**£168,479**
**£176,250**
**£344,729**
**£168,366**| Of the 2019 total of £168,366, £60,400 relates to Unrestricted Funds and £107,966 to Restricted Funds. ## **5. Other Income** |**Other Income**|| |---|---| |Business Interruption Insurance|**Unrestricted**
**Funds**
**Restricted**
**Funds**
**2020**
**2019**
**£**
**£**
**£**
**£**
37,468
-
37,468
-| ||**£37,468**
**£-**
**£37,468**
**£-**| 16 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2020** |**6.**|**Expenditure on Charitable Activities**||||| |---|---|---|---|---|---| |||**Unrestricted**|**Restricted**|**2020**|**2019**| |||**Funds**|**Funds**||| |||**£**|**£**|**£**|**£**| ||**Charitable Activities**||||| ||Advertising & Marketing|1,577|4,305|5,882|1,159| ||Coaches & Teachers|9,307|75|9,382|-| ||Direct Pool Costs|3,302|5,828|9,130|-| ||Shop Stock Purchases|3,524|-|3,524|-| ||Utility Costs|80,703|14,195|94,898|-| ||Vending Costs|2,962|260|3,222|-| ||**Support Costs**||||| ||Depreciation|-|15,603|15,603|-| ||Office Costs|5,005|16,464|21,469|23| ||Premises Costs|4,931|6,395|11,326|70| ||Salaries & On Costs|116,735|66,685|183,420|1,096| ||Staff Training & Uniforms|770|4,527|5,297|-| ||**Governance Costs**||||| ||Accountancy Fees|540|-|540|-| ||Legal Fees|-|4,667|4,667|900| ||Trustee Travel & Meeting Costs|-|-|-|94| |||**£229,356**|**£139,004**|**£368,360**|**£3,342**| Of the 2019 total of £3,342, £517 relates to Unrestricted Funds and £2,825 to Restricted Funds. ## **7. Staff Costs & Directors’ Remuneration** |Gross Salary Costs
Social Security Costs
Employer’s Pension Contributions –
Defined Contribution Scheme|**Unrestricted**
**Funds**
**Restricted**
**Funds**
**2020**
**2019**
**£**
**£**
**£**
**£**
110,136
66,685
176,821
1,023
3,828
-
3,828
42
2,771
-
2,771
31| |---|---| ||**£116,735**
**£66,685**
**£183,420**
**£1,096**| The charity employed 28 members of staff in the year (2019: 1) No remuneration was paid to or waived by Trustees/Directors in the year (2019: £Nil) and £Nil (2019: £94) was reimbursed to Trustees (2019: 1 Trustee) in respect of their attendance at meetings of the charity. 17 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **8. Tangible Fixed Assets** |**Cost**
At 1 September 2019
Additions
At 31 August 2020
**Depreciation**
At 1 September 2019
Charge for year
At 31 August 2020
**Net Book Value**
At 31 August 2020
At 1 September 2019|**Leasehold**
**Improvements**
**IT/Office**
**Equipment**
**Pool/Sports**
**Equipment**
**Total**
**£**
**£**
**£**
**£**
11,307
14,320
-
25,627
39,199
25,296
3,898
68,393| |---|---| ||50,506
39,616
3,898
94,020
-
-
-
-
3,124
11,746
733
15,603| ||3,124
11,746
733
15,603
**£47,382**
**£27,870**
**£3,165**
**£78,417**| ||£11,307
£14,320
£-
£25,627| No depreciation charge was applied for the period to 31 August 2019 as the Fixed Assets purchased were not brought into use until September 2019. ## **9. Stocks** |Raw Materials
Goods for resale
**10.**
**Debtors**
Trade Debtors
Prepayments
Accrued Grant Income|**2020**
**2019**
**£**
**£**
1,548
-
512
-| |---|---| ||**£2,060**
**£-**
**2020**
**2019**
**£**
**£**
3,310
-
9,673
-
48,661
107,188| ||**£61,644**
**£107,188**| All sums are due within 1 year. 18 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **11. Creditors – Amounts Falling Due Within 1 Year** |**Creditors – Amounts Falling Due Within 1 Year**|**Creditors – Amounts Falling Due Within 1 Year**|| |---|---|---| |Trade Creditors
Other Taxes & Social Security Costs
Other Creditors – Pension Contributions
Accruals
**Analysis of Net Assets between Funds**
**Unrestricted**
**Funds**
**Restricted**
**Funds**
**£**
**£**
Fixed Assets
666
77,751
Stocks
2,060
-
Debtors
52,980
8,664
Cash at Bank and In Hand
142,828
55,972
Creditors – Due Within 1 Year
(103,596)
-
Creditors – Due After 1 Year
(50,000)
-
**£44,938**
**£142,387**||**2020**
**2019**
**£**
**£**
16,240
5,066
1,824
-
462
-
85,070
1,095| |||**£103,596**
**£6,161**
**2020**
**2019**
**£**
**£**
78,417
25,627
2,060
61,644
107,188
198,800
40,028
(103,596)
(6,161)
(50,000)
-| ||**£44,938**
**£142,387**|**£187,325**
**£166,682**| ## **12. Analysis of Net Assets between Funds** 19 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2020** ## **13. Analysis of Charitable Funds** |**Analysis of Charitable Funds**||||| |---|---|---|---|---| ||**At 1 Sept**|**Income in**|**Resources**|**At 31**| ||**2019**|**Year**|**Expended**|**August**| ||||**in Year**|**2020**| ||**£**|**£**|**£**|**£**| |**Unrestricted Funds**|**61,541**|**212,753**|**(229,356)**|**44,938**| |**Restricted Funds**||||| |Power To Change|104,363|39,085|(50,112)|93,336| |Power To Change – COVID-19|-|50,000|(11,463)|38,537| |Sport England – COVID-19|-|10,000|(10,000)|-| |Gigabyte Voucher Scheme|-|2,500|(764)|1,736| |Voluntary Sector Resilience Fund|-|16,000|(8,000)|8,000| |Coronavirus Job Retention|-|58,665|(58,665)|-| |Scheme||||| |Monument Ward|778|-|-|778| |**Total Restricted Funds**|**105,141**|**176,250**|**(139,004)**|**142,387**| ||**£166,682**|**£389,003**|**£(368,360)**|**£187,325**| |**Name of Restricted Fund**|**Description,**|**Nature & Purpose of the**||**Fund**| |Power To Change|Towards the|costs of running and equipping the||| ||pool and leisure centre|||| |Power To Change – COVID-19 / Sport|Towards COVID-related costs|||| |England – COVID-19 / Voluntary Sector||||| |Resilience Fund||||| |Gigabyte Voucher Scheme|Towards the|cost of implementing a||voucher| ||scheme|||| |Coronavirus Job Retention Scheme|Towards the cost of furloughed staff|||| |Monument Ward|Towards the cost of a soft play area|||| ## **11. Related Party Transactions** No payments (2019: £94) were made to Trustees in relation to expenses incurred in attending meetings ## **12. Financial Commitments** No material future financial commitments have been made in the financial year. 20