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2021-12-31-accounts

Cheltenham Bridge Club

Cheltenham Bridge Club CIO

Registered Charity 118825

Trustees Annual Report and Accounts For the year ending 31 December 2021

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Contents

Report of the Trustees ............................................................................................................................ 3 Governing Document .......................................................................................................................... 3 Objectives and Activities ..................................................................................................................... 3 Governance and Management ........................................................................................................... 3 Trustees ............................................................................................................................................... 4 Achievements and Performance ......................................................................................................... 5 Bridge .................................................................................................................................................. 5 Membership ........................................................................................................................................ 5 Premises .............................................................................................................................................. 5 Financial Review .................................................................................................................................. 6 Declaration .............................................................................................................................................. 7 Independent Examiner’s Report to the Trustees of Cheltenham Bridge Club CIO ................................. 8 Statement of Financial Activities ............................................................................................................ 9 Balance Sheet ........................................................................................................................................ 10 Cash Flow Statement ............................................................................................................................ 11 Statement of Accounting Policies ......................................................................................................... 12 Notes to the Financial Statements ........................................................................................................ 14

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Report of the Trustees

Governing Document

Cheltenham Bridge Club is a charitable incorporated organisation (CIO) which operates under a Constitution registered with the Charity Commission on 31 March 2020 and modified on 12 May 2021. This Constitution closely follows guidance from the Charity Commission and the English Bridge Union. The registration number for the charity is 1188825. It is constituted under the law of England & Wales and operates in that jurisdiction.

The Constitution provides that the trustees of the Club shall manage the affairs of the Club and may for that purpose exercise the powers of the Club in accordance with its Constitution. The Constitution provides that there shall be a minimum of five trustees and a maximum of seven.

Pursuant to Clause 25 of this Constitution, the CIO has instituted Rules, approved by the members, for running the operation. Under these Rules, day-to-day operational details are delegated to a Management Committee, who are responsible for implementing decisions ratified by the trustees.

Objectives and Activities

Cheltenham Bridge Club (the Club) owns and maintains premises for the purposes of providing bridge playing opportunities for its beneficiaries, and for the teaching of bridge.

The objectives of the Club, as set out in the Constitution, are:

Governance and Management

The operational activities of the CIO started on 1 May 2021 when it acquired the undertaking and all the assets and liabilities of Cheltenham Bridge Club, an unincorporated association, as a result of a vote of the members of the unincorporated association on 28 April 2021 to transfer the undertaking, assets and liabilities to the CIO.

Membership of the Club is open to anyone who is interested in furthering its purposes and accepts the responsibilities of membership set out in the Rules.

The trustees, officers and Management Committee are elected by the members of the Club at the Annual General Meeting of the Club. The officers of the Club are the Chairperson, Secretary and Treasurer. The officers are members of the Management Committee and the Chairperson and Treasurer are trustees of the Club by virtue of their respective offices. In addition, there are up to five independent trustees who are not members of the Management Committee.

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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The elected charity trustees shall hold office for a term of three years and may stand for re-election a further two times. Vacancies arising among the elected charity trustees may be filled by election by the members of the Club at the Annual General Meeting. During the year, additional or replacement trustees may be appointed by the members of the Club or of the other trustees of the Club. The maximum number of trustees is seven.

In planning the Club’s activities, the trustees kept in mind the Charity Commission’s guidance on public benefit.

The Club is affiliated to the English Bridge Union (registered company number 358588) and, by virtue of this affiliation, members of the Club are also members of the Gloucestershire Bridge Association.

Trustees

The officers and trustees of the Club at 31 December 2021 were:

• Mary Ellen Barlow Chairperson of the Club, and ex officio trustee.
Became a trustee on 21 July 2021
• Edward Sefton Pigott Treasurer, and ex officio trustee.
Became a trustee on 28 April 2021
• Alan Wilfred Wearmouth Chairperson of Trustees.
Became a trustee on 28 April 2021
• Helen Janet Bryant Secretary of Trustees.
Became a trustee on 28 April 2021
• Nigel Foster Burton Became a trustee on 28 April 2021

During the year ending 31 December 2021 the following individuals were trustees of the Club as set out below:

• Hugh Douglas Wilkinson 1 January 2021 – 19 July 2021
• Steve Betteley 1 January 2021 – 28 April 2021
• Judith Catherine Sanis 1 January 2021 – 28 April 2021
• John Adrian Skjonnemand 1 January 2021 – 28 April 2021
• Peter William Swales 1 January 2021 – 28 April 2021
• Rosalind Moira Kaye 28 April 2021 – 23 September 2021
• Caroline Mary Hartley 28 April 2021 – 20 December 2021

All trustees were briefed on the role of trustees of Cheltenham Bridge Club, given copies of the governing documents of the Club, and referred to the guidance on the Charity Commission website relating to becoming a trustee and to the guidance on public benefit.

Policies for trustee recruitment, training and induction are under review.

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Achievements and Performance

The charity continued to review and to consider how to advance its objects during the national lockdowns and took steps to maintain the promotion, playing, teaching and learning of Bridge online during lockdown conditions, for the benefit of beneficiaries of the charity. It introduced appropriate conditions under which face to face bridge could continue in safety and in line with Government regulations and guidance. It increased attempts to engage with beneficiaries who were particularly affected by isolation and offered opportunities to wider society to participate without the same financial commitment as was expected previously.

Shortly after the Club began its operational activities, it has put in place a Financial Controls and Procedures Manual in order to minimise financial risks. The Trustees have adopted a Reserves Policy to provide for the retention of a contingency fund in respect of the Club’s premises.

Bridge

During this period the charity’s volunteers maintained a revised programme of bridge playing and teaching including online activities to address issues raised by the pandemic.

When the charity acquired the undertaking of Cheltenham Bridge Club on 1 May 2021, the club premises were closed due to the national lockdown, but the Club was running a successful programme online for members and guests. The Club’s premises reopened for face to face bridge in July 2021, after a risk management review and subject to cleaning and ventilation measures carried out by the charity’s volunteers. The number of face to face sessions was gradually increased and the safety precautions were kept under review in order to minimise any risk to members.

During the period from 1 May 2021 to 31 December 2021 the Club hosted a total of 3,103 tables of bridge in its sessions on-line and face to face, including a heat of a national charity event which raised £581 for Children in Need, and an on-line Congress.

Bridge tuition resumed in October 2021 with two classes for beginners (attended by 31 student members in total) and one class for refreshers (21 student members). In addition the Club hosted a tuition course “Learn Bridge in a weekend” attended by 12 students.

Membership

The Club had 514 members in the year 2021. This represents a fall of around 4% compared with the position prior to the pandemic. Early indications are that membership has increased in 2022 though not yet to pre-pandemic levels

Premises

The Club owns freehold premises at 4 Tivoli Road, Cheltenham GL50 2TG. The Club’s principal office is at this address. Legal title is now registered in the name of the CIO.

The Trustees consider it is appropriate to provide for the retention of a significant reserve of funds in view of the age and condition of the Club premises.

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Financial Review

The assets, liabilities and ongoing business of Cheltenham Bridge Club were transferred from Cheltenham Bridge Club Unincorporated Association to Cheltenham Bridge Club Charitable Incorporated Organisation (the CIO) on 1 May 2021. Up until this date the CIO was dormant. The net assets transferred had a book value of £257,907, with most of this value being the book value of the club’s premises.

The financial statements reflect the eight months of trading from 1 May 2021 until 31 December 2021 and they also reflect the transfer of the business of Cheltenham Bridge Club into the CIO. This means that the comparative figures all show nil balances, owing to the CIO being dormant, whilst the Statement of Financial Activities include only eight months of income and expenditure.

The CIO continued to run its online programme so that our membership could continue to play bridge during the lockdown. This contributed substantially to the trading performance and this online programme has been maintained throughout the year. Once the national Covid-19 lockdown ended the CIO reopened its premises and welcomed members back into the club to play face to face. The training programme, which was online only during the spring 2021 moved back into the clubhouse in the autumn 2021 and this enabled a cohort of new learners to begin their bridge journey with us.

The CIO received a donation from Gloucestershire County Bridge Association (GCBA) to help with the cost of reopening the club to face-face bridge. GCBA also refunded their pay to play subscriptions levy raised via the English Bridge Union whilst the clubhouse was closed during the national lockdown. Donations were also received from a number of members. We are grateful for these donations.

During the year the CIO introduced members’ player accounts. These accounts allow players to have table money automatically deducted from their accounts on each occasion they play at the club or when they play online on Real Bridge. Members top up their accounts by transferring funds to the CIO’s bank account as required. This means that payment no longer needs to be collected daily. The member accounts allow sessions to be pre-booked if required, to help manage capacity for the most popular sessions. The balances on the player accounts are now shown in the balance sheet as a current liability. Any payments for table money for visitors or for sessions unsuitable for processing via the player accounts are now made using Zettle, a contactless payment platform or through bank transfers to the CIO’s bank account.

The catering operation has been outsourced to an external caterer. As a result the CIO does not have any staff or employees. The catering costs relate mainly to the costs incurred in applying for an alcohol licence.

The CIO decided to resume its annual holiday in January 2022. Deposits received in advance of the holiday are shown as current liabilities in the Holiday Holding account and amounted to £20,500 at 31 December 2021.

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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During the eight months of trading, the CIO made a surplus of income over expenditure of £13,638. This surplus would not have been made without the success of the online programme. The cost of operating the premises was broadly matched by income from members subscriptions combined with the net income from face-face bridge and the training programme.

The cash at bank increased from the £89,764 transferred from the Unincorporated Association to £131,762, an increase of nearly £42,000. A number of factors contributed to this increase in cash resources, including the holiday deposits received in advance, the introduction of members accounts and the monies held on behalf of members, the payment of training received in advance of the winter 2022 programme, as well as the strong trading performance.

The CIO was also able to repay £11,000 of members loans during the year leaving a total of £43,000 of loans outstanding as at 31 December 2021. These loans are due for repayment in September 2022. Funds have already been set aside to ensure these loans will be repaid when they fall due.

The CIO has set a budget for 2022 and anticipates it will make a small trading surplus. The CIO is forecast to continue to have sufficient financial resources for its operations to continue and for it to pay its liabilities as they fall due. The cash resources held are consistent with the CIO’s financial reserves policy. This requires the CIO to retain sufficient reserves to meet liabilities as they fall due, to establish a sinking fund for the club premises to ensure that unexpected repairs can be made in a timely manner and to establish a financial cushion so that in the event of an unexpected downturn in trading the CIO will be able to “weather the storm”.

Declaration

The Trustees declare that they approve the report and accounts for the period ending 31st December 2021 on 16 March 2022.

Signed

Alan Wearmouth , Chairman on behalf of the Trustees

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Independent Examiner’s Report to the Trustees of Cheltenham Bridge Club CIO

I report on the accounts of Cheltenham Bridge Club Charitable Incorporated Organisation for the year ended 31 December 2021, which are set out on pages 9 to 19.

Respective responsibilities of trustees and examiner

The charity’s trustees are responsible for the preparation of the accounts. The charity’s trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.

It is my responsibility to:

• to follow the procedures laid down in the general Directions given by the commission under section 145(5)(b) of the 2011 Act

Basis of independent examiner’s report

My examination was carried out in accordance with the general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a ‘true and fair view’ and the report is limited to those matters set out in the next statement.

Independent examiner’s statement

In connection with my examination, no matter has come to my attention:

(1) which gives me reasonable cause to believe that in any material respect the requirements:

• to prepare accounts which accord with the accounting records and comply with the accounting requirements of the 2011 Act have not been met or

(2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached

Ashok Kwatra

24 Bournside Road, Cheltenham, GL51 3AH

16 March 2022

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Statement of Financial Activities

Cheltenham Bridge Club Charitable Incorporated Organisation

For the year ending 31 December 2021

Income
Income and endowments from:
Donations and legacies
Note 1
Charitable activities
Note
2,17
Other trading activities
Note 3
Investments
Note 4
Total
Expenditure
Expenditure on:
Charitable activities
Note
5,17
Support costs for charitable activities
Note 6
Other
Note 7
Total
Net income/(expenditure)
Extraordinary items
Transfers between funds
Other recognised gains/(losses):
Other gains/(losses)
Note 8
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward		 All
unrestricted
and restricted
funds
Prior year
funds
£
£
1,761
0
48,411
0
581
0
750
0
51,503
0
18,379
0
18,905
0
581
0
37,865
0
13,638
0
266,963
£280,601
£0
0
0
£280,601
£0

Note: The income and expenditure figures relate to 8 months ending 31 December 2021 following the transfer of the ongoing business of Cheltenham Bridge Club to the CIO. The net assets transferred is shown under Other gains/(losses).

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Balance Sheet

Cheltenham Bridge Club Charitable Incorporated Organisation

As at 31 December 2021

Fixed Assets
Investments
Note 12
Tangible Fixed Assets
Note 13
Total Fixed Assets
Current Assets
Debtors
Note 14
Cash at Bank and in Hand
Total Current Assets
Current Liabilities
Creditors falling due within one year
Note 15
Net Current Assets
Total Assets less Current Liabilities
Total net assets
The funds of the CIO
Unrestricted Funds
Note 16
Total funds of the CIO		 All unrestricted
and restricted
funds
Total
2021
2020
£
£
500
0
237,051
0
237,551
0
3,490
0
131,787
0
135,277
0
92,227
0
43,050
0
280,601
0
£280,601
£0
280,601
0
£280,601
£0

The financial statements set out on pages 9 to 19 were approved by the Trustees on 16 March 2022 and were signed on its behalf by:

Alan Wearmouth, Chairman on behalf of the Trustees

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Cash Flow Statement

Cheltenham Bridge Club Charitable Incorporated Organisation

For the year ending 31 December 2021

Cash flows from operating activities
Net surplus from operating activities
Add back depreciation
Cash surplus from operating activities
(Increase)/decrease in debtors
(Decrease)/increase in creditors
(Decrease)/increase in VAT payment due to HMR&C
Cash flows from financing activities
Transfer of cash at bank from Unincorporated Association
Repayment of members loans
Net change in cash
Cash and cash equivalents at 1 January
Cash and cash equivalents at 31 December		 2021
2020
£
£
13,638
0
4,945
0
18,583
0
4,166
0
30,130
0
1,139
0
52,998
0
89,764
0
-11,000
0
£131,762
£0
0
0
£131,762
£0

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Statement of Accounting Policies

The principal accounting policies have been applied consistently in dealing with items which are considered material in relation to the CIO’s Financial Statements.

Basis of preparation

The Financial Statements have been prepared in accordance with the Statement of Recommended Practice ‘Accounting and Reporting by Charities’ (update bulletin 1 applying FRS 102) and the Charities Act 2011. They have been prepared on the historical cost convention.

Going concern

The trustees of the charity believe that the charity has adequate resources to continue in operational existence at for at least 12 months from the date the report and accounts are approved and continues to use the going concern basis of accounting in preparing the annual Financial Statements.

Fund accounting

Unrestricted funds are the charity’s general funds that are available for use at the trustees’ discretion in furtherance of any of the charity’s objectives. Within the unrestricted funds is a designated fund that relates to the legacy received by Cheltenham Bridge Club from the late Derek Rue. These funds have been set aside for training purposes. There was no movement in this designated fund during the year.

Incoming resources

All income is recognised once the CIO has entitlement to the funds, it is probable that the income will be received and the amount of income can be measured reliably. Holiday deposits are held in a holding account and recognised as income once the holiday has taken place. Payments into player accounts are recognised as income when the player has taken part in a chargeable session. Income from Bridge Base Online is recognised on an accruals basis.

Expenditure

Expenditure is recognised when a liability is incurred, when there is a legal or constructive obligation committing the charity to the expenditure and the obligation can be measured reliably.

Tangible fixed assets and depreciation

The CIO owns the freehold property at 4 Tivoli Road, Cheltenham, Gloucestershire, GL50 2TG. The property is an operational asset and is stated at a historic carrying value. In the opinion of the Trustees, the open market value of the premises at 4 Tivoli Road is considered to be in excess of £1.3million.

Other tangible fixed assets, comprising plant (principally the lift) office and bridge furniture and playing equipment (see Note 13), are stated at cost less accumulated depreciation. The CIO capitalises assets with a cost of £500 or more (or forming part of a collective asset) and an expected useful life of at least three years.

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Depreciation for assets other than the freehold property is charged on a straight line basis at the following rates:

Plant and machinery 10 years
Fixtures and fittings 10 years
Bridge and other equipment 5 years

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Notes to the Financial Statements

Year ended 31 December 2021

Note 1 Donations and Legacies
Gloucestershire County Bridge Association
Donations from members
Donations from mentoring programme
Total
Note 2 Charitable Activities
Table Money
Virtual Club (online bridge)
Teaching income
Members subscriptions and joining fees
Rental Income
Other income
Total
Note 3 Other trading activities
Third-party fund-raising event
Note 4 Investment Income
Return from Cheltenham Conference joint venture		 2021
2020
£
£
1,296
0
385
0
80
0
£1,761
£0
2021
2020
£
£
5,428
0
28,638
0
6,751
0
7,291
0
180
0
124
0
£48,411
£0
2021
2020
£
£
£581
£0
2021
2020
£
£
£750
£0

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Note 5 Expenditure on charitable activities
Virtual Club Platform Costs
Pay to Play subscriptions to English Bridge Union
Training fees
Virtual Club Directing
Catering Costs
Prizes and entry fees
Costs of special events
Other training costs
Total
Note 6 Support costs for charitable activities
Premises Costs
note 9
Club and office costs
note 10
Depreciation
Finance Costs
Total
Note 7 Other Costs
Donations to third party charity from fund raising event
Note 8 Other gains and losses
Transfer of net assets from Cheltenham Bridge Club
unincorporated association		 2021
2020
£
£
7,859
0
5,093
0
2,585
0
1,428
0
712
0
299
0
298
0
106
0
£18,379
£0
2021
2020
£
£
12,054
0
1,343
0
4,074
0
1,434
0
£18,905
£0
2021
2020
£
£
£581
£0
2021
2020
£
£
£257,907
£0

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Note 9 Premises Costs
Building Repairs and Maintenance
Cleaning
Insurance
Water Rates
Utilities (gas and electricity)
Total
Note 10 Club and office costs
Bookkeeping and Accountancy Fees
Equipment Repairs and Maintenance
IT Costs
Telephone and Internet
Management
Printing and Stationery
Sundry Expenses (including Donations)
Total		 2021
2020
£
£
4,614
0
3,879
0
1,691
0
446
0
1,423
0
£12,054
£0
2021
2020
£
£
216
0
211
0
167
0
400
0
225
0
93
0
32
0
£1,343
£0

Note 11 Trustee remuneration, staff costs and contribution made by volunteers

During the period under review

The teaching programme was delivered by self-employed tutors, the cost of which is shown as “training fees” in note 5 above.

The work of the management committee, and day to day directing of bridge sessions (with the exception of one weekly online session) was performed by volunteer members of the CIO. Without the contribution made by volunteers, it is likely that the CIO would have had an excess of expenditure over income.

Note 12 Investments

The investments represent the joint venture with Gloucestershire County Bridge Association to run the Cheltenham Bridge Congress. This is stated at cost.

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Note 13 Fixed Assets

Fixed assets

Cost
Balance b/f
at
1.1.21
Transfer from CBC
Unincorporated Association
on 1 May 2021
Additions
Disposals
Balance c/f
at
31.12.21
Depreciation
Balance b/f
at
1.1.21
Transfer from CBC
Unincorporated Association
On 1 May 2021
Charge for the period
(8 months)
On disposals
Balance c/f
at
31.12.21
NBV
at
31.12.21
NBV
at
1.1.21		 Building
Plant
(lift)
Furniture
&
Other
Bridge
Total
Fittings
Equipment Equipment
£
£
£
£
£
£
0
0
0
0
0
0
217,236
25,066
26,158
4,608
15,172 288,240
0
0
0
0
0
0
0
0
0
0
0
0
217,236
25,066
26,158
4,608
15,172 288,240
0
0
0
0
0
0
0
10,862
18,461
3,408
14,384
47,115
0
1,671
1,659
413
331
4,074
0
0
0
0
0
0
0
12,533
20,120
3,821
14,715
51,189
217,236
12,533
6,037
787
458 237,051
0
0
0
0
0
0

The building represents the club premises which is an operational asset and is carried at historical cost. In the opinion of the trustees, the open market value of the club premises is in excess of £1.3 million.

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Note 14 Debtors
Accrued Income
Prepayments
Total
Note 15 Current Liabilities
Members' Loans
Accounts Payable
Holidays Holding Account
Members' Deposits
Accruals
2021 Subscriptions/Training in Advance/Deposits
VAT
Total
Note 16 The funds of the CIO
Brought Forward
Transfer from Cheltenham Bridge Club
Unincorporated Association
Excess of income over expenditure
Carried Forward		 2021
2020
£
£
2,746
0
744
0
£3,490
£0
2021
2020
£
£
43,000
0
1,438
0
20,320
0
6,197
0
6,068
0
11,966
0
3,239
0
£92,227
£0
2021
2020
£
£
0
0
266,963
0
13,638
0
£280,601
£0

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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Note 17 Analysis of Charitable Income and Expenditure by activity

and Expenditure by activity
Trading activity
Virtual Club (online bridge)
Joining Fees and Subscriptions
Table Money (face-face bridge)
Training
Rental Income
Other Income
Special Events
Catering
Total		 2021
2021
2021
2020
Income Expenditure
Net Income
£
£
£
£
28,638
13,665
14,973
0
7,291
7,291
0

5,040
1,014
4,026
0
6,751
2,691
4,060
0
180
180
0
124
124
0
388
298
91
0
712
-712
0
£48,411
£18,379
£30,032
£0

Annual Report to the Charities Commission 1.1.21 - 31.12.21

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