**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 2021** ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2021 TRUSTEES’ REPORT** The Trustees present their report and the unaudited financial statements of the charity for the year ended 31 August 2021. ## **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, local resident) Diane Fallon Tait (Vice-Chair, local resident) Niamh Cunningham (Treasurer, local resident) Michael McDonald - Resigned 15 March 2021 Taymar Pitman (local resident) Hannah Mackay-Christie (local resident) Helen Dix (local resident) - Appointed 15 March 2021 Joanna Elson (local resident) - Appointed 15 March 2021 ## **Observers/Co-Opted Board Members** Cllr Ann Schofield (Appointed by Elswick Ward Councillors) - Resigned 20 June 2021 Cllr Nicu Ion (Appointed by Elswick Ward Councillors) - Appointed 20 June 2021 Louise Douglas (Centre West representative) - Appointed 15 March 2021 Sally McMahon (Newcastle College representative) - Appointed 15 March 2021 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 2021 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 2020, 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. Trustees are all volunteers and are responsible for management oversight. During the lengthy Covid-19 lockdowns they met weekly to plan critical contingencies, manage uncertain financial and operating circumstances, and organise fundraising and grant applications. In addition to our Trustee volunteers, we have been grateful for the contribution of those who freely provided time and expertise assisting us with all aspects of our operation, from the technical to the strategic. A group of local people (‘the friends of Elswick Pool’) has helped in so many practical ways in supporting community events and activities, to helping us keep the centre and grounds in a well-maintained condition during the lockdowns. We estimate Trustees contributed a minimum of 1,500 hours during the year, with a further 600 hours contributed by others. We have been grateful too for the financial contributions supporters have given. 3 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2021 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 £181,111 (2020: £44,938). £7,038 of these reserves were represented by Fixed Assets (2021: £666), leaving £174,073 available as Unrestricted Free Reserves (2020: £44,272). Whilst the free reserves currently exceed our target level, this is primarily due to our success in attracting grants, in particular the National and Community Leisure Recovery Funds, and our successful claim under our business interruption insurance. The Trustees are aware that we have underlying operational losses, although these are reducing. Trustees are also aware of substantial challenges ahead, especially in relation to energy costs, and the squeeze on local peoples income. The Trustees aim, through our budgeting processes, to reduce operational losses to zero and to establish the optimum level of Reserves within three years. The Board is also very focused on producing our own energy, which will free up our reliance on key fossil fuel providers and cut costs. The investment needed for this however is beyond our reach at the moment, which means we are continuing to face the pressures of spiraling energy costs. We are not sitting still on the smaller things though and continue to invest our available resources on energy saving measures where we can see a cost benefit. ## **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. 4 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2021 TRUSTEES’ REPORT** ## **OBJECTIVES AND ACTIVITIES (CONTINUED)** ## **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. ## **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 Community Pool & Leisure Centre opened to the public, under local control, on 6 September 2019, having spent four years boarded up after Newcastle City Council could find nobody to take on the ‘uneconomic’ facility during a bidding exercise for the city’s leisure assets. Some 4,000 local residents and pool-users mounted a vigorous campaign to ‘Save Elswick Pool’ noting the impacts its permanent closure 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 centre if a viable business case could be made. Local residents accepted the challenge and set up a charity to enable this to happen. The journey since then has been a turbulent one financially, as Covid-19 restrictions on our operations took hold. However, we have endeavoured to ensure we put the needs of local residents first in our thinking. As part of a post-Pandemic response, we have targeted groups in need (children, older people) with a view to putting on activity matched to their needs in the next financial year. The charity has maintained strong community support for its efforts and has maintained effective communication with the local community and supporters throughout. 5 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2021** **TRUSTEES’ REPORT** ## **OBJECTIVES AND ACTIVITIES (Cont.)** ## **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. ## **ACHIEVEMENTS AND PERFORMANCE** ## **Achievements in the Year** In what we always expected would be a difficult financial year (having just taken community control of a previously failing leisure centre the year before) we were confronted by the impact of Covid-19. Most of the year was spent under lockdown or under restrictions. As a new community business, we had to grow up very quickly to adapt. To emerge post-Covid as a viable financial entity, staff (who relied on us for an income) had to be paid; bills had to be paid and the building and its mechanics also needed maintaining. We also needed to retain our customer base. All of our business planning however had been founded on the assumption of being open to the public, which left us financially exposed. To plug the income gap, the board worked tirelessly, pursuing every possible funding source we might be entitled to. It was a proud moment when we were able to open again in the summer of 2021, unlike many swimming pools, which were not so fortunate. It has always been part of the board’s driving belief that the Leisure Centre exists primarily for the good health of the local community. Part of that involves keeping our prices as low as possible to allow the greatest participation by those on low incomes who often suffer the worst health. A conscious decision was therefore made by the board to re-open with pre-Covid prices, to support people back into activity and human interaction at a time many were feeling reluctant to leave their homes. During the shutdowns, we took care to provide our almost 6,000 online followers with information and videos encouraging people to look after their mental and physical health. This also helped keep our customers informed about us, in readiness for when we could operate again. 6 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2021 TRUSTEES’ REPORT** ## **ACHIEVEMENTS AND PERFORMANCE (CONTINUED)** ## **Achievements in the Year (Cont.)** Schools have been a top priority for us, as we believe all children should have access to a pool and be able to learn to swim. A decision to close pools at nearby West Denton put pressure on our capacity to provide for the increased demand on our facility whilst still allowing us to provide public swim sessions in the day. We have tried to absorb what we can, but have unfortunately not been able to accommodate every school we would like. One great success during the year was our summer holiday programme for 8-16 year olds, part of a city-wide offer under the umbrella of Newcastle’s Best Summer Ever initiative. The staff team, led by centre manager Phil Jameson, met regularly during the lockdowns (through video conferencing) and were fully prepared to hit the ground running on re-opening. It is a great credit to the team that by the end of August the timetable could be extended and even welcome additional swim clubs from neighbouring Gateshead. Throughout the lockdowns it has been invaluable having the support of Community Leisure UK (a national network of independently-run community leisure venues) to share information and experiences and discuss options. We have continued to benefit from Power To Change funding and support; without them we could not have got to where we are. Our customers though are our most valuable asset and we have been pleased to see early signs that they have really been wanting to get back in the pool, try the gym or take part in group exercise. ## **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 has not only provided matched financial support but sound management advice too. We have also had support from Elswick Ward Fund. We have pursued every Government grant available for Covid-19 and are looking to diversify our funding appeals in the next financial year to include funders which can help us meet the unmet needs of our local residents. We have received grant support from The North of Tyne Combined Authority, Sport England, Street Games UK and the National Leisure Recovery Fund (through Newcastle City Council). We thank you all for your support. ## **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. 7 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2021 TRUSTEES’ REPORT** ## **PLANS FOR FUTURE YEARS** A year ago, we said in our Annual Report that our key priority would be to survive the impacts of Covid-19 and develop a new business model to sustain us over the next two to three years. A year later, the key priority remains the same. Whilst our reserves have grown substantially in the last year, this was due to our success in attracting grants and a successful claim for business interruption insurance. Our underlying operating position remains of concern. We anticipate that our most financially challenging year will be the one ahead. With a lot of grant support now withdrawn and demands on charitable funds increasing, there will be less financial help available. Faced with rising operating costs and overheads, together with the ongoing impact of Covid-19, the trustees will have some tough decisions to make if we are to secure the pool’s financial future for the longer-term. We have seen a dramatic rise in memberships, we have a new corporate membership scheme operating in the coming year and it is likely that our prices will have to rise, whilst ensuring they remain affordable to our local community. The Board has also determined that future investment must be channeled to either increase revenue or reduce our outgoings. The Board is determined to bring our operating income in line with our expenditure and has a proven track record in achieving its objectives for community benefit. We are developing a volunteer programme led by an existing staff member, primarily for local people and planned to be available in 2022. It will allow people to contribute practically to the upkeep of the centre and its activities, but also, if wanted, allow them a means of taking solid steps into work or getting links to other opportunities. This work is part of a community engagement strategy, designed to develop local people to take leadership roles in the management of the centre and take an active part in deciding how it is run and used. We are also working towards having a governing board that more accurately reflects the population it serves. Work has started on developing the pool as a regional centre of excellence for lifeguard training and places on the first session sold quickly. There is a current shortage of skilled pool workers, so this offers people a route into the leisure industry. A priority for us remains strengthening our human resources capacity. We employ more than 25 staff directly and more indirectly. We also have our Trustees who all also need to be able to take advantage of learning opportunities and training. This can be time-consuming, so we are exploring ways to automate much of the routine but necessary things that have to happen. Work on developing the western side of the centre has already started with major repairs to the glass roofing. It is intended to turn that side of the building into a meeting area with café and seating, plus display and activity space for other community organisations to use. Original plans for this were put on hold this year, but will progress over the year ahead. We are exploring different ways to finance some of the more costly activities so people of all means and abilities can access what we have to offer. We are actively exploring ways we can partner with local organisations to provide bespoke sessions to meet different need. The Board remains committed to helping the city meet its 2030 ‘carbon net zero’ target and is developing a green strategy for how it will be able to achieve this. A major focus in the next year will be on developing an energy audit and establishing plans to reduce our carbon footprint. 8 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) YEAR ENDED 31 AUGUST 2021** **TRUSTEES’ REPORT** ## **PLANS FOR FUTURE YEARS (CONTINUED)** Utilities are an enormous expense for the centre and it makes sense for us to look at solar (limited) heat pump sources, which will make us largely self-sufficient in the longer-term. We have therefore worked with students and lecturers from Newcastle University to look critically at some of the options open to us. We look forward to having a strategy developed in the coming year and to exploring funding opportunities to achieve our aims. We will continue to strive for excellence in all we do over the year ahead and continue to welcome working in partnership with others to achieve mutual goals. ## **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 2022** 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 2021** 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 2021 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 2022 10 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR TO 31 AUGUST 2021** |**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**
**13**|**Unrestricted**
**Funds**
**Restricted**
**Funds**
**Total**
**2021**
**Total**
**2020**
**£**
**£**
**£**
**£**
1,094
-
1,094
6,806
484,635
15,753
500,388
344,729
52,532
-
52,532
37,468| |---|---| ||**538,261**
**15,753**
**554,014**
**389,003**
402,088
81,738
483,826
368,360| ||**402,088**
**81,738**
**483,826**
**368,360**| ||**136,173**
**(65,985)**
**70,188**
**20,643**
44,938
142,387
187,325
166,682| ||**£181,111**
**£76,402**
**£257,513**
**£187,325**| 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 2021**_ |**Notes**
**Fixed Assets**
Tangible Fixed Assets
8
**Current Assets**
Stocks
9
Debtors
10
Cash At Bank & In Hand
**Creditors – Amounts Falling Due Within 1 Year**
11
Net Current Assets/(Liabilities)
**Creditors – Amounts Falling Due After 1 Year**
**Total Net Assets**
12
**Represented by:**
Unrestricted Reserves
13
Restricted Reserves
13|**2021**
**2020**
**£**
**£**
78,119
78,417
2,889
2,060
38,518
61,644
285,568
198,800| |---|---| ||326,975
262,504
(147,581)
(103,596)| ||179,394
158,908
-
(50,000)| ||**£257,513**
**£187,325**| ||181,111
44,938
76,402
142,387| ||**£257,513**
**£187,325**| 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 2022 and signed on their behalf:** ## **Gerard Hunwick Chair** ## **15 March 2022** 12 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** ## **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 2021** ## **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 2021** ## **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**
**2021**
**2020**
**£**
**£**
**£**
**£**
888
-
888
5,786
206
-
206
1,020| |---|---| ||**£1,094**
**£-**
**£1,094**
**£6,806**| The 2020 total of £6,806 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 2021** ## **4. Income from Charitable Activities** |**Income from Charitable Activities**|| |---|---| |**Grant Income**
Arthur’s Hill Ward
Centre West
Coronavirus Job Retention Scheme
Elswick Ward
Gigabyte voucher scheme
Masonic Charitable Foundation
Monument Ward
Newcastle City Council
North of Tyne Community Centre
Fund
Power to Change
Power to Change - Covid 19
Sport England
Sport England - Recovery Fund
Streetgames UK
Voluntary Sector Resilience Fund
**Earned Income**
Club Hire
Lessons & Coaching
Memberships
School Swimming & Lane Hire
Stock & Vending Sales
Summer Programme
Wet Activities
Other Earned Income|**Unrestricted**
**Funds**
**Restricted**
**Funds**
**2021**
**2020**
**£**
**£**
**£**
**£**
-
-
-
200
-
-
-
6,878
66,207
-
66,207
58,665
-
-
-
3,537
-
-
-
2,500
-
-
-
4,000
-
-
-
200
84,639
-
84,639
5,000
-
3,500
3,500
-
-
-
-
39,085
-
-
-
50,000
-
8,553
8,553
-
50,000
1,200
51,200
10,000
-
2,500
2,500
-
-
-
-
16,000| ||**200,846**
**15,753**
**216,599**
**196,065**
41,364
-
41,364
-
65,575
-
65,575
22,755
46,772
-
46,772
16,278
29,370
-
29,370
50,295
18,600
-
18,600
10,835
10,400
-
10,400
-
65,282
-
65,282
40,025
6,426
-
6,426
8,476| ||**283,789**
**-**
**283,789**
**148,664**| ||**£484,635**
**£15,753**
**£500,388**
**£344,729**| Of the 2020 total of £344,769, £168,479 relates to Unrestricted Funds and £176,250 to Restricted Funds. ## **5. Other Income** |Business Interruption Insurance|**Unrestricted**
**Funds**
**Restricted**
**Funds**
**2021**
**2020**
**£**
**£**
**£**
**£**
52,532
-
52,532
37,468| |---|---| ||**£52,532**
**£-**
**£52,532**
**£37,468**| The 2020 total of £37,468 relates wholly to Unrestricted Funds. 16 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** |**6.**|**Expenditure on Charitable Activities**||||| |---|---|---|---|---|---| |||**Unrestricted**|**Restricted**|**2021**|**2020**| |||**Funds**|**Funds**||| |||**£**|**£**|**£**|**£**| ||**Charitable Activities**||||| ||Advertising & Marketing|218|158|376|5,882| ||Coaches & Teachers|8,613|-|8,613|9,382| ||Direct Pool Costs|4,656|1,172|5,828|9,130| ||Shop Stock Purchases|7,204|-|7,204|3,524| ||Utility Costs|43,726|47,422|91,148|94,898| ||Vending Costs|5,373|1,040|6,413|3,222| ||**Support Costs**||||| ||Depreciation|250|21,018|21,268|15,603| ||Office Costs|27,838|8,788|36,626|21,469| ||Premises Repairs & Maintenance|42,929|-|42,929|11,326| ||Salaries & On Costs|258,910|-|258,910|183,420| ||Staff Training & Uniforms|2,246|2,140|4,386|5,297| ||**Governance Costs**||||| ||Accountancy Fees|540|-|540|540| ||Legal Fees|(415)|-|(415)|4,667| ||Trustee Travel & Meeting Costs|-|-|-|-| |||**£402,088**|**£81,738**|**£483,826**|**£368,360**| Of the 2020 total of £368,360, £229,356 relates to Unrestricted Funds and £139,004 to Restricted Funds. **7. Staff Costs & Directors’ Remuneration** |Gross Salary Costs
Social Security Costs
Employer’s Pension Contributions –
Defined Contribution Scheme|**2021**
**2020**
**£**
**£**
246,574
176,821
8,856
3,828
3,480
2,771| |---|---| ||**£258,910**
**£183,420**| The charity employed 28 members of staff in the year (2020: 28) No remuneration was paid to or waived by Trustees/Directors in the year (2020: £Nil) and £Nil (2020: £Nil) was reimbursed to Trustees 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 2021** ## **8. Tangible Fixed Assets** |**Cost**
At 1 September 2020
Additions
At 31 August 2021
**Depreciation**
At 1 September 2020
Charge for year
At 31 August 2021
**Net Book Value**
At 31 August 2021
At 1 September 2020
**9.**
**Stocks**
Raw Materials
Goods for resale
**10.**
**Debtors**
Trade Debtors
Prepayments
Accrued Income
All sums are due within 1 year.|**Leasehold**
**Improvements**
**IT/Office**
**Equipment**
**£**
**£**
50,506
39,616
10,511
2,816|**Pool/Sports**
**Equipment**
**Total**
**£**
**£**
3,898
94,020
7,643
20,970| |---|---|---| ||61,017
42,432
3,124
11,746
5,466
13,928|11,541
114,990
733
15,603
1,874
21,268| ||8,590
25,674
**£52,427**
**£16,758**|2,607
36,871
**£8,934**
**£78,119**| ||£47,382
£27,870|£3,165
£78,417| |||**2021**
**2020**
**£**
**£**
2,383
1,548
506
512
**£2,889**
**£2,060**
**2021**
**2020**
**£**
**£**
1,845
3,310
11,982
9,673
24,691
48,661
**£38,518**
**£61,644**| 18 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** ## **11. 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|**2021**
**2020**
**£**
**£**
43,025
16,240
4,427
1,824
803
462
99,326
85,070| ||**£147,581**
**£103,596**| ## **12. Analysis of Net Assets between Funds** |Fixed Assets
Stocks
Debtors
Cash at Bank and In Hand
Creditors – Due Within 1 Year
Creditors – Due After 1 Year|**Unrestricted**
**Funds**
**Restricted**
**Funds**
**2021**
**2020**
**£**
**£**
**£**
**£**
7,038
71,081
78,119
78,417
2,889
-
2,889
2,060
37,225
1,293
38,518
61,644
281,540
4,028
285,568
198,800
(147,581)
-
(147,581)
(103,596)
-
-
-
(50,000)| |---|---| ||**£181,111**
**£76,402**
**£257,513**
**£187,325**| 19 ## **ELSWICK COMMUNITY POOL AND LEISURE CENTRE CIO (A CHARITABLE INCORPORATED ORGANISATION) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2021** ## **13. Analysis of Charitable Funds** |**Unrestricted Funds**
**Restricted Funds**
Gigabyte Voucher Scheme
Monument Ward
North of Tyne Community Centre Fund
Power To Change
Power To Change – COVID-19
Sport England
Sport England
Streetgames
Voluntary Sector Resilience Fund
**Total Restricted Funds**
**Name of Restricted Fund**|**At 1 Sept**
**2020**
**Income in**
**Year**
**Resources**
**Expended**
**in Year**
**At 31**
**August**
**2021**
**£**
**£**
**£**
**£**
**44,938**
**538,261**
**(402,088)**
**181,111**
1,736
-
(833)
903
778
-
-
778
-
3,500
(3,500)
-
93,336
-
(26,463)
66,873
38,537
-
(37,844)
693
-
8,553
(3,248)
5,305
-
1,200
(600)
600
-
2,500
(1,250)
1,250
8,000
-
(8,000)
-| |---|---| ||**142,387**
**15,753**
**(81,738)**
**76,402**| ||**£187,325**
**£554,014**
**£(483,826) £257,513**
**Description, Nature & Purpose of the Fund**| Gigabyte Voucher Scheme Towards the cost of implementing a voucher scheme Monument Ward Towards the cost of a soft play area North of Tyne Community Centre Fund Towards the cost of business resilience Power To Change Towards the costs of running and equipping the pool and leisure centre Power To Change – COVID-19 Towards COVID-related costs Sport England Towards the cost of Return To Play Sport England Towards the cost of recovery of the facility Streetgames Towards the cost of activating disadvantaged young people Voluntary Sector Resilience Fund Towards the cost of business resilience ## **14. Related Party Transactions** No payments (2020: £94) were made to Trustees in relation to expenses incurred in attending meetings ## **15. Financial Commitments** No material future financial commitments have been made in the financial year. 20