2023-07-31-accounts

2022 2023

TRUSTEES’ ANNUAL REPORT AND ACCOUNTS For year ended 31 July 2023

Central Young Men’s Christian Association Company Number: 00119249 Registered Charity Number: 213121

Contents

Strategic Report
People and Planet
The Financial Period in Review	3
Trustees’ Annual Report
Governance, Structure and Management
Statement of Trustees’ responsibilities
Independent auditor’s report to the members
of Central Young Men’s Christian Association
Consolidated Statement of Financial Activities 2023
incorporating the Income and expenditure account
Consolidated Statement of Financial Activities 2022
incorporating the Income and expenditure account
Consolidated Balance Sheet
Parent Association Balance Sheet
Consolidated statement of cash �ows
Notes to the accounts
Reference and administration details

CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements Company Number: 00119249 Registered Charity Number: 213121

Stratogi Report

Foreword,

Andrew Beal, Chair

Welcome to the Central YMCA Annual Report for the year ended 31 July 2023.

When I wrote to you last year, we expected the external environment for the UK charity sector and Central YMCA to remain extremely challenging. Across our core activities in Education and Training, Health and Wellbeing, and

Awards we faced a combination of rising costs and rapidly shifting patterns of demand for our services. We were also acutely aware that the underlying needs of the communities we serve had never been greater.

We have used the past year to reposition ourselves for the future, seeking to maximise the effectiveness of the Charity’s resources and ensure that we can deliver the greatest possible impact. We completed the ￿rst year of a three-year business transformation programme designed to achieve ￿nancial sustainability and have continued to invest to drive growth and provide new ways of delivering services to the people, organisations and communities we work with.

Index

CEO, Ryan Palmer Holistic Overview of the CYMCA Our impact in 2022/23

Our Strategy

Key activities undertaken in 2022-23 have included Creating Impact & the SDGs

Looking to the future Next Generation Learning

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As part of our programme of change, we restructured our Executive Team and appointed a new CEO from within the organisation as well as bringing in new skills and experience from outside. We have also implemented new digital products and services, expanded partnerships, and reviewed all our systems and processes to drive ef￿ciency and greater effectiveness. This has been done while continuing to deliver and expand our impact, as the following pages will show.

As expected, in the year under review, the Charity remained in de￿cit and drew further on reserves to deliver our vital impact and accomplish the planned turnaround. The Board of Trustees anticipate that the achievement of the objectives set out in the three-year programme should deliver a more resilient and sustainable ￿nancial model for the Charity. Further

redeployment of the Charity’s resources is under review to support our impact and ￿nancial goals.

I would like to thank my fellow Trustees, co-opted Committee members, and our incredible team of staff, volunteers, partners and donors who together work so hard to support communities across the UK. Over the coming year, we look forward to continuing to advance the education, health, and wellbeing of our communities, creating improved access to life changing opportunities, and enabling everyone to achieve their potential, live a ful￿lled life, and contribute positively to society.

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Introduction from our Chief Executive

Ryan Palmer

Navigating Change, Creating Impact

After taking on the position of CEO of Central YMCA within 2022-23, I am proud to re𿿿ect on the transformative strides the Charity has made in advancing the education, health, and wellbeing of the communities we work with across the country. This past year has been marked by signi￿cant achievements, building on our legacy of delivering quality training and education to over 20,000 funded learners over the last decade alongside our impactful Health and Wellbeing provision.

Our strategy is rooted in a purpose that has stood the test of time since 1844. During 2022-23, as with many organisations in the not-for-pro￿t sector, the complexities and challenges highlighted by the COVID-19 pandemic and subsequent cost of living crisis, have required us to undertake a thorough review of our ways of working, operational ef￿ciencies and the services we offer to our communities. This has required us to be more adaptable and innovative and in 2022-2023 the Board of Trustees approved a robust three-year business transformation programme to increase ￿nancial

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sustainability, create organisational resilience, and ensure we have the structures and resources in place to ful￿l our charitable objectives. The activities undertaken within this period, including a revised Executive Team structure, investment in digital technology, business process reviews, and expanded partnerships, have built a foundation for growth and supported the expansion of the Charity’s reach and impact.

We continue to align our work with the United Nations' Sustainable Development Goals (SDGs), viewing these as a powerful framework to amplify our purpose and work with like-minded organisations towards a common purpose. Partnerships and collaboration are integral to this, and we have expanded our theory of

change and social impact framework to further align with these goals.

Looking ahead, as we enter the second critical year of our transformation programme, we recognise the evolving nature of opportunities and challenges. As CEO, I am committed to 𿿿exibility and the need to adapt the Charity’s business model to manage external pressures and ensure the Charity’s resources are used in a way that maximises charitable impact. Following completion of our transformation programme, our next strategic cycle will be extended to ￿ve years, acknowledging that some of our ambitions will take longer to deliver. We will also engage with a broader group of stakeholders as part of this process in order to

ensure that our communities and internal staff are given the opportunity to contribute to this. Our future strategy will take into account our ambitions against the SDGs and we will continue to track our impact against these. Core to this will be the opportunities presented by technology and digitisation, including exploring the opportunities and risks presented by arti￿cial intelligence and the use of technology in our education and training provision.

Our commitment remains unwavering to drive social impact, support delivery against the SDGs, and meet the changing needs of our communities. We embark on the next phase with determination, knowing that the actions undertaken this year will lay the foundations for a resilient and impactful future for Central YMCA.

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Holistic Overview of CYMCA

Education & Training We build careers through nationwide apprenticeships and education programmes in 20+ centres across England.

What we do

Central YMCA is a national charity that advances the education, health and wellbeing of our learners, customers, members and wider communities. Building on our legacy of care established at our inception back in 1844 we have been breaking down barriers and creating improved access to life-changing opportunities for almost 180 years.

YMCA￿t We work to produce outstanding ￿tness instructors who go the extra mile and inspire people to improve their health and ￿tness.

YMCA Club & YMCA KX We help people get active and stay well in Central London’s largest community gym and a unique Yoga and Pilates studio.

YMCA Awards We design health, ￿tness and wellbeing quali￿cations that support employability and career progression

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Our impact in 2022-23

The last decade alone has seen us deliver training and education to over 20,000 funded learners and welcomed tens of thousands of members and customers into our Health and Wellbeing sites in London in drive to improve physical activity across the capital. We are incredibly proud of this year’s highlights:

*older adults, asylum, concession & GP referral.

8,916 Quali￿cations awarded through YMCA Awards.

940

Older Adults supported through Health & Wellbeing services.

1,511 Quali￿cations awarded to learners within the charity from funded learning.

2,522 Total new learners across the charity.

6,680 Total Members in YMCA Club throughout the year.

2,253 YMCA Club Community members throughout the year.*

1,118 Learners engaged in funded training.

3,860 Exercise classes hosted across Health & Wellbeing.

193

Members living with HIV are supported on our Positive Health programme.

39,349 Class participants at YMCA Club and KX.

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Creating Impact & the SDGs

Creating positive impact and social value has been at the heart of what we do, and why we do it, since our inaugural year in 1844, and is just as important now as it ever was.

With the impact of the COVID-19 pandemic still being felt across society, the signi￿cant rises in costs of living and the ongoing realities of marginalisation and discrimination against the perceived alternate groups of society, we are at a critical juncture in time if we are to create a better future.

It is in this context and perspective, that we have elected, alongside many other UK organisations, to align our impact agenda to the United Nations' Sustainable Development Goals (SDGs). As such our impact reporting is to be viewed through this lens, with a strong focus on delivering against those goals wherein we make the most difference, speci￿cally, ‘Good Health & Wellbeing’, ‘Quality Education’ and ‘Decent Work & Economic Growth’. We believe that collaboration and shared vision will be key to achieving the SDGs and effecting meaningful change towards a sustainable future.

To see our full Impact Report visit our website ymca.co.uk

Further information on the SDGs and current UK performance, can be found here: Measuring Up 2.0

Index

We believe that collaboration and shared vision will be key to achieving the sustainable development goals and effecting meaningful change towards a sustainable future."

Good health and wellbeing

Quality Education

Decent work & economic growth

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Our Strategy

Central YMCA has a purpose of advancing the education, health and wellbeing of our communities, with a mission to create improved access to lifechanging opportunities and a vision of enabling everyone to achieve their potential, live a ful￿lled life and contribute positively to society.

We work at a local, national and international level, offering services to a diverse range of customers, learners, apprentices, members and partners. Based on our founding principles, our work has a particular focus on holistic wellbeing, providing services to support the health, education and development of our communities. We take a place-based approach, delivering services and partnerships based on local needs.

The issues we face today both as a charity, and in wider society, are complex and interconnected, and this was particularly highlighted by the COVID-19 pandemic. In response to these pressures, we continue to adapt and evolve our offer, developing 𿿿exible and creative solutions. Our ambition has always been to help

those we work with, whether through our education or health and wellbeing programmes, to develop new skills and behaviours, empowering our communities to achieve their goals and build lifelong relationships to support sustained health, and professional and personal growth.

In 2022-23 we entered the second year of the Charity’s three-year strategy. However, after a signi￿cant period of review, we have now implemented a new three-year business transformation programme to ensure the Charity can continue to deliver its charitable objectives and social impact whilst navigating a challenging ￿nancial operating environment.

The following critical outcomes set out in the Charity’s 2021-2024 strategy continue to be delivered:

To ensure ￿nancial viability and long-term sustainability To expand our reach and impact To ensure our services, programmes and products meet the needs of all sections of our communities To strengthen our foundation and advance the depth and breadth of our own capabilities To transform services and programmes through technology To collaborate with other charities, local and national government, and the private sector to deliver shared goals.

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Signi￿cant work has been undertaken Key activities undertaken in

to review the Charity’s ￿nancial 2022-23 have included: sustainability, create organisational

resilience and ensure that the Implementing a revised

Charity’s resources are used in the Executive Team structure,

best possible way to deliver its public bringing additional skills and

bene￿t. Our Business Transformation experience to drive business Programme is due to conclude 31[st] growth and increased impact

July 2025, upon which a new ￿vein our education and training

year strategy will be launched. provision

• Implementing a revised Executive Team structure, bringing additional skills and experience to drive business growth and increased impact in our education and training provision Undertaking a full review of how technology and digitisation can expand and enhance our offer with the development of transformational products and services

We continue to align our work with the United Nations' Sustainable Development Goals (SDGs), with a deep belief that these can serve as a broader and more impactful framework to deliver our purpose, vision and mission. The SDGs are a universal call to action to end poverty, protect the planet, and ensure that all people enjoy peace and prosperity by 2030. Partnerships and collaboration are core to this, and we choose our partners based on our common drive to achieve these goals and deliver broader social value.

Through careful and robust analysis of the Charity’s income streams and operating model, we are on a journey to increasing resilience as an organisation. We are now better placed to drive change and make further improvements to our products and services in order to continue meeting the needs of our customers and wider communities.

• Expanding partnerships across the charity to increase our reach and impact Undertaking system and process reviews to increase e񯿿ciencies.

In 2022-23 we began to expand our theory of change and social impact framework to demonstrate how the charity delivers its public bene￿t, aligned to our commitment to the SDGs.

Looking forward, we will continue to develop this work, designing new metrics to demonstrate our impact against the SDGs and continue to robustly and creatively communicate how this approach is bene￿ting the communities that we serve.

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Looking to the future

As we enter the ￿nal year of our three-year strategy, we will continue to deliver the ambitions of our business transformation programme, whilst also developing our longer-term strategy to support continued growth, innovative products and services and drive social value within our communities.

months. We are cognisant of the continued volatility and uncertainty that continues to impact our sectors and any future strategy will therefore retain a degree of 𿿿exibility, allowing the organisation to adapt to new opportunities and challenges, however with a core driver of delivering greater social impact and supporting our ambitions against the SDGs.

There is recognition that the opportunities and challenges facing the Charity and our communities are complex and long-term and will require more time to address. We are therefore extending our next strategic cycle to ￿ve years and will be working with a wider group of stakeholders to build our next strategic plan over the next 12

One area we know will be core to the Charity’s future delivery model is exploring how current and future technologies can be used to deliver our products and services in new ways to enable greater reach and to meet the changing needs and learning styles of our customers.

Further exploration will be undertaken into the opportunities and risks that arti￿cial intelligence brings to our education and training provision and how this can increase internal productivity, allowing our people to spend more time providing personal support to our customers, learners and partners in ways that add value to their experience with us.

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Next Generation Learning

As with many businesses during the COVID-19 pandemic, Central YMCA had to quickly adapt its delivery model during this period, and this was supported by the technology the Charity had in place. The pandemic has resulted in permanent changes in many areas of society and has led to rapid innovation and behavioural change. Learnings from this have contributed to the Charity’s evolving digitisation strategy, taking into consideration the change in our customer behaviours and their interactions with our products and services.

Within YMCA Awards, one output of this discovery work was the realisation that we could use technology to better support learner engagement – particularly with the technical content within our

quali￿cations – and to develop the communication skills newly quali￿ed ￿tness instructors may lack. Education in the health and ￿tness sector is in need of, and ready for, change.

To meet these challenges and to create a lasting and more sustainable approach to training we’re introducing a new range of next generation exercise and ￿tness quali￿cations. Everyone has a different learning style that works for them. The traditional assessment methods can act as barriers to some learners and block them from performing to the best of their ability. We want to allow 𿿿exibility that re𿿿ects the neurodiversity of our learners and the sector they wish to work in.

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Our goal is to empower learners, build strong links between knowledge and skills, and prepare learners for the real world.

We'll continue to offer assessment methods like practical observations, multiple choice, multiple response, and short answer. But we’ll also be introducing additional options:

Flexibility around timing and supervision of assessments Open book knowledge tests Video assessments, journaling, and technology supported peer assessment Realistic case studies Independent research opportunities Assessments that re𿿿ect speci￿c job skills.

These will allow each learner to get creative and customise their learning experience to get the most out of their course. The added 𿿿exibility will also allow them to complete assessments that better re𿿿ect what they’ll do on the job versus in a classroom.

We have partnered with Suada – an established technology company – whose platform has been used to deliver remote training and assessment for companies including the British Standards Institute (BSI).

Working together, over the course of this year, we have developed a new model for learning and assessment that empowers learners to study in their preferred way. This includes providing content in video, audio and written format whilst also providing kinaesthetic activities to consolidate knowledge and skills. We anticipate wide-scale public release early in 2024.

The digitisation of our next generation quali￿cations – including our Exercise and Fitness suite – has been supported by funding from U￿ VocTech Trust.

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People Plan

Our people

Index

• Susan Burnett, GCSE Tutor 44 Years of Service

In 2022-23 we worked with 173 permanent employees, 11 trustees, 101 self-employed practitioners, 38 casual workers, and approximately 60 volunteers.

We are incredibly proud of the way our staff and volunteers have worked together to navigate a challenging operating environment in 2022-23. Our people are at the heart of everything we do and are integral to the support provided to our communities.

The loyalty of our workforce and their willingness to go the extra mile sustained the Charity during the COVID-19 pandemic and we continue to bene￿t from this unerring commitment to deliver the Charity’s goals. It is through our people’s dedication and creative thinking that we continue to develop solutions to today’s challenges.

Our Commitment to our wellbeing

Our Commitment to our values

Our Commitment to learning and development

Our Commitment to keeping our people safe

Our commitment to Equality, diversity and inclusion

Work force representation and pay gap analysis

Looking forward

Bridge of Hope Careers

• Our Planet, Commitments to Environmental Sustainability

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Susan Burnett, GCSE Tutor celebrates 44 Years of Service.

In 2022-23 GCSE Tutor Susan Burnett reached a remarkable 44-year milestone of dedicated service at Central YMCA.

Over the course of four decades, Sue has traversed the Northwest working with young people from a range of diverse backgrounds. Her dedication and genuine passion for empowering these young minds have left an indelible mark on their lives.

Sue’s passion for helping young people discover their true selves is palpable in every interaction she has had over the years. Her dedication goes beyond the con￿nes of a job; it re𿿿ects her genuine love for making a difference in the lives of those she encounters.

Sue has been a beacon of light, guiding our young learners through their challenges, and inspiring them to embrace their strengths and passions. Her tireless efforts have not only enabled our learners to develop and grow but have also provided them with the tools and knowledge needed to lead ful￿lling, meaningful lives.

Sue’s unwavering commitment and profound impact on the lives of countless young people are truly remarkable, and it is an honour to acknowledge her signi￿cant contributions.

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In 2022-23 our people strategy focussed on the following key areas:

Employee wellbeing Embedding our values Ensuring that learning and development is a core component of our employee experience Keeping our people safe and ensuring that equality, diversity and inclusion is core to everything we do.

Our Commitment to wellbeing

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Wellbeing is core to Central YMCA’s purpose and values. There is no denying that broader societal and sector related challenges have put huge pressures on our workforce and therefore the focus in 2022-23 was to ensure that our people are equipped and supported to manage these pressures.

During this period, we expanded the support services provided by our employee assistance programme, however with a ￿rm belief that prevention is better than cure. We have therefore also provided a wellbeing programme to support healthy working practices.

Employee engagement activities including Executive Team roadshows, staff forums, and employee voice surveys, have all had a focus on wellbeing and work-life balance to help us understand current challenges and provide additional support where required.

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Following the launch of our Mental Health Forum in 2021, we trained nine mental health champions to support employees and promote a workplace culture where staff are free to discuss mental health issues openly and feel supported by their colleagues when they do so. As part of the Forum, we have undertaken the following activities:

1. Signed the Mental Health at Work Commitment.

2. Expanded our Employee Assistance Programme (EAP) offering to include free counselling sessions available to all employees and their immediate family, 24/7 managerial emotional support for line managers, and the Active Care service for employees who are off sick due to poor mental health.

2. Introduced a Wellbeing Manifesto which is displayed at all sites.

1. Held mental health stigma bursting workshops for employees and managers.

5. Introduced wellbeing conversations

as part of our induction, regular 1:1 check-ins, and performance review conversations.

Looking forward, in 2023-24 we will be training 15 new Mental Health Champions and will continue to promote wellbeing and good mental health, sharing information and raising awareness via our staff training and communication channels. We will also be collecting ideas and feedback through our Mental Health Forum and via online staff surveys to contribute to a charity-wide wellbeing strategy.

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Our Commitment to our values

As a result of this period of re𿿿ection, we developed a new value ‘empower’ to emphasise the work we do internally and with our external stakeholders to support the achievement of personal goals. We have also introduced new Values Champions, individuals across the Charity who will play a crucial role in transforming our organisational culture and ensuring that our values become a living, breathing part of everything we do.

In 2021 the Charity developed a new set of values to underpin the work that we do. In 2022-23, as part of our broader business transformation programme, we re𿿿ected on these values to ensure that they continued to drive the Charity forward and encourage the behaviours needed to support our internal people and our external communities.

Looking forward, our Values Champions will agree key areas of priority each year, aligned to wider staff feedback as part of our employee voice surveys. They will also be supported by a learning and development plan to help them undertake this important role.

What our Learners say:

Equity - Everyone on the course seems to get lots of chances to learn the best way they can"

Central YMCA's values are built into every programme we deliver. During 2022-23 we asked our learners how they felt these values were demonstrated in their experience with us.

Brave - has helped me understand it's okay to take risks and be brave about it cause even though you might fail you still tried which is a brave thing to do"

I am encouraged to complete some of my work in creative ways because I like art"

We nurture people to succeed - my tutor has been a very good tutor and has explained everything clearly to me which will allow me to excel within my course"

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Our Commitment to learning and development

Learning and development is integral to everything we do, and we continue to develop organisational skills and capabilities to help our people deliver our charitable purpose. In addition to providing core learning and development activities to support the Charity’s work, we respond to skills gaps at organisational, operational and team levels and have worked to address these through training, coaching and mentorship.

Speci￿c attention has been given to the continued professional development (CPD) of our education and training staff so that they can continue to provide high quality teaching, learning, and assessment.

Looking forward, in 2023-24 we will have greater focus on creating strategically aligned learning and development programmes that positively impact talent attraction, staff retention and productivity, alongside expanding mentoring and coaching opportunities across the charity.

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Our commitment to keeping our people safe

We take our responsibilities for safeguarding extremely seriously and believe that everyone has the right to protection from harm, abuse, and exploitation. We are dedicated to protecting those participating on our programmes and ensuring our people have the skills to identify and raise concerns.

Looking forward, we will be taking a more joined up approach to safeguarding, health and safety and equality, diversity and inclusion, recognising the interdependencies in these areas, particularly around accessibility and additional support needs. We will also be providing additional support to staff dealing with mental health concerns via our Mental Health Champions and additional CPD sessions provided to teaching staff, such as sessions on online safety, gaming and gambling risks, harm and awareness.

In 2022-23 we saw a reduction in reports to our Safeguarding Team against the prior year (53, against 61 in 2021-22). Although a smaller number of safeguarding cases were reported in 2022-23, the reported safeguarding cases cover all areas of the Charity, demonstrating our commitment to safeguarding each of our service users.

As with prior years, mental health continues to be the highest reported concern. In light of this, we have provided additional training and support to learners around mental health and encourage tutors to have conversations around mental wellbeing in line with our Learner Mental Health Manifesto.

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Our commitment to equality, diversity and inclusion

At Central YMCA we are committed to equality, diversity and inclusion (ED&I) in everything we do. We believe creating an organisation where everyone feels valued is not only the right thing to do, but also helps drive success and create impact. In recognition of this commitment, we are driven by our core value of Equity, breaking down barriers to ensure everyone can thrive.

We are committed to creating environments in which our people and communities are treated fairly and with respect. This includes our staff, volunteers, trustees, members, learners, apprentices and other members of the public we engage with. We are committed to a culture that recognises, celebrates and values the differences between individuals. We ￿rmly believe that a diverse and inclusive workforce is integral to meeting the needs of our diverse communities and creating inclusive spaces. These commitments also closely align with our wider ambitions to contribute to the United Nations’ SDGs, particularly Gender Equality and Reduced Inequalities.

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We continue to embed equality, diversity and inclusion into all our programmes and services, ensuring accessibility and equal access.

Education

Training

Health

Wellbeing

Offer opportunities to all, to learn and develop.

Support those with additional needs and signi￿cant barriers.

Extend a provision of commercial and charitable activities.

Develop skills leading to and generating employment.

Provide vibrant, safe spaces that offer wide ranging inclusive programmes and services.

Adapt to the changing landscape of our community and individual needs.

Deliver expert support, recovery and resilience for those living with longterm health conditions and post- COVID challenges.

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We develop annual equality, diversity and inclusion (ED&I) priorities, with our approach focussed on three key areas. These three areas are underpinned by a robust governance framework, where equality, diversity and inclusion are prioritised by the Board and its committees, both in terms of composition and ways of working, but also in relation to strategic oversight.

#2

#3

#1

Our workforce

Our service users, customers and wider communities

Our strategic planning

Ensuring we attract and retain a diverse talent pool and provide an environment where everyone feels included, is treated equitably, and can thrive during their time with the organisation.

Ensuring that diverse views are represented in strategy development and the development of new strategic projects and initiatives. This includes making sure project teams are diverse to avoid ‘group think’ and other biases.

Understanding how we can better serve our diverse external stakeholders, which communities we are not currently reaching, and how our products and services can evolve to address changing societal need.

We continue to support our internal working practices through our staff ED&I Forum, with a particular focus on disability, our LGBTQIA+ community, gender and race, ethnicity, and cultural heritage. This forum oversees progress in the application of our ED&I policy and annual priorities and provides a safe space for discussion on matters important to our workforce.

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In 2022-23 we undertook the following initiatives:

Continued to deliver our Undertook workforce Trustee Apprenticeship representation and pay gap Scheme to support analysis against disability, pathways into governance gender, race, ethnicity and Post answer and greater board diversity cultural heritage and sexual in the sector. This resulted orientation in one of our Trustee Provided a learner Apprentices being enrichment programme appointed to the Central with a focus on ED&I, to YMCA Board help our learners discuss Co-opted an Equality, important topics such Diversity and Inclusion understanding stress, Interactive poll not supported specialist to the Charity’s anxiety and depression, Resources Committee to Black Lives Matter, View online version provide support and LGBTQ+, sexual consent, challenge on our British Values, organisational approach Radicalisation & Extremism, Developed bespoke online safety and money programmes to meet management. speci￿c community needs, such as the Girls Move programme

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Workforce representation and pay gap analysis

At Central YMCA we are an equal opportunities employer and value diversity, believing it takes all types of individuals to make a creative and innovative organisation. We look to attract, recruit, develop and retain talented people from all backgrounds at every level of the organisation, to draw on different perspectives and experiences that add value to the way we operate.

We prioritise these areas in the ￿rst instance, identifying any improvements that need to be made and agreeing where positive action needs to be taken.

The data represents our workforce as of May 2023. Comparison data is taken from the latest publicly available data sets.

To ensure we are doing this, we monitor the composition of our workforce regarding information such as gender identity and gender reassignment, race, sexual orientation, and disability. We also monitor and report on pay gaps for these four areas.

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Looking forward, in 2023-24 we will undertake the following initiatives:

• Measure how our internal people currently feel about Equality Diversity and Inclusion at Central YMCA via the employee voice programme, in order to measure year on year progress and demonstrate impact in this area Aligned to workforce representation and pay gap analysis, develop targeted initiatives and development programmes to support improvements Undertake a full review of the current employee journey, from attraction to exit, identifying strengths, weaknesses, opportunities and threats, to help us prioritise areas for improvement

• Review customer and learner data against external data sets to identify gaps, areas for improvement and where speci￿c intervention is required Continue to implement safe space discussions and learning and development sessions for staff, Trustees and learners Encourage best practice in our partners and suppliers, through our supplier code of conduct and development of joint programmes to drive change.

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Spotlight: Bridge of Hope Careers

One of the many partnerships we proudly established this year was with Bridge of Hope Careers. With aligned values and focus on breaking down barriers, speci￿cally within entry to employment, in 2023-24 we will be hosting Inclusive Hiring Masterclasses for our internal team, as well as our external stakeholders and partners.

The classes will not only raise awareness of the barriers in the marketplace and amongst us, but also provide tools and resources to address the issues at hand within hiring systems.

As Bridge of Hope Careers connects potential candidates from very diverse backgrounds with companies, they are well positioned to help us blaze the trail for our partners who are looking to hire a more diverse and inclusive workforce.

We recognise that equality, diversity and inclusion is a continuous journey, and we need to work with other organisations to share their expertise and lived experience in this area. We are already building partnerships to support our internal learning and development, and product development programmes, and welcome expressions of interest from individuals and other organisations who share our ambitions to reduce inequalities and drive positive change in this area.To ￿nd out more contact [e-mail].

Learn more about our partnership and upcoming masterclass with Bridge of Hope Careers.

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Our Planet

Our Commitments to Environmental Sustainability

In alignment with the United Nations’ SDGs, we are committed to proactively managing our direct and indirect environmental impact. We recognise our responsibility to reduce our carbon and environmental footprints and play our part in the UNbacked global Race To Zero.

Following the development of our Environmental Sustainability Policy in 2021, our focus has been to drive awareness of everyone’s role in creating a more environmentally sustainable community, building a more sustainable culture across our national sites and improving our environmental impact.

With increasing demands on our people, work in this area has been slower than we would have liked, however, we will be developing new priorities in 2023-24 to drive this work forward.

Looking forward, we intend to measure our current emissions and build a supporting action plan to help us take concrete action and assess our impact across multiple measures. We will also encourage similar practice in our suppliers and partners, through our supplier code of conduct and partnership agreements.

We will also be looking to work with partners to provide additional expertise and help us understand the best way to use our limited resources to develop meaningful change in this area.

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The financial Period in Review

THE FINANCIAL PERIOD IN REVIEW

12 months to 31 July 2023

In 2022-23 Central YMCA completed the first year of a three-year plan designed to achieve financial stability and explore new innovative ways of delivering services to the people, organisations and communities we work with. However, the Charity continued to feel the financial impact from the slow return to normal levels of activity following the COVID-19 shutdown, coupled with the continuation of slow economic growth and the cost-of-living crisis. The Charity did see a slight improved footfall in central London, but not near the pre-pandemic numbers. This resulted in an increase in membership activity at the YMCA Club and KX facilities, but not as high as expected. However, a continued reduction in the number of young persons classified as ‘Not in Education, Employment or Training’ (NEETs) in the year also contributed to lower demand for the Charity’s study programme courses. The positive news is that in 2023-24 the Charity expects a complete turnaround of its education provision as part of the second year of the turnaround plan. The Charity’s income result for the year totalled £9.0m (2022: £9.5m).

Under the leadership of a new internally appointed CEO, during 2022-23 the Charity’s Executive Team was restructured to drive growth and achieve the three-year turnaround plan. Operating costs therefore include one off costs of restructuring to secure reductions in central services overheads whilst driving forward initiatives to grow margin and improve financial sustainability. Overall expenditure for the year including the one-off restructuring equalled £13.4m (2022: £12.8m), removing the one-off costs the expenditure reduces to £12.8m (2022: £12.7m).

The adverse trading conditions driven by the challenges in the Charity’s education delivery coupled with one off restructuring costs resulted in a net expenditure (before gains and losses on investments and revaluations) result for the year of £4.4m (2022: £3.3m). The Charity’s investment portfolio continued to see the recovery from the devaluation as a result of the pandemic, with the portfolio value increasing in value. The net gain on investments incurred in the year totalled £0.1m (2022: £0.5m loss). As a result, the Charity’s overall net deficit for the year was £4.6m (2022: £3.8m).

Although membership numbers at YMCA Club and YMCA KX began to return, the slower return to pre-pandemic working arrangements and the lower footfall in Central London impacted membership, class and ancillary income. However, the operating deficit has improved compared to the previous year to £0.9m (2022: £1.0m). Commercial trading income of £0.4m, predominantly derived from venue and room hire, merchandise sales and café operations, was higher than the prior year (2022: £0.3m) as activity begins to increase.

The Charity’s 2023 ESFA study programme funding entitlement saw a reduction due to the lower number of 16-to-24-year-olds classified as NEETs (Not in Employment, Education or Training) in the UK, which had a negative impact on demand for the Charity’s study programme courses. Central YMCA’s apprenticeship recruitment performance was also affected by the reduction in learners and the conclusion of Government programmes designed to address youth unemployment through apprenticeship schemes, particularly the Kickstart scheme. Total income for Central YMCA’s training activities reduced to £4.3m for the year (2022: £5.2m).

YMCAfit courses were impacted by lower market demand as a result of the cost-of-living crisis. Consequently, the course income recognised in the year fell to £1.4m (2022: £1.8m). However, effective utilisation of resources partially mitigated the adverse income performance and a small surplus has been maintained by YMCAfit in the year of £0.1m (2022: £0.5m surplus).

YMCA Awards’ customer base encountered the same market conditions as experienced by YMCAfit, consequently year on year registration and certification income generated by YMCA Awards was lower than the prior year.

The newly appointed Executive Team have continued to review the Charity’s cost base and management structure to support the organisation’s ability to deliver the turnaround plan. The restructuring exercises undertaken in 2022 resulted in redundancy costs and other exceptional items of expenditure of £0.5m (2022: £0.1m).

The Charity’s net movement in funds for 2023 was also impacted by the full year interest costs attributable to the Charity Bank loan which was drawn down in June 2021. The interest costs for the year totalled £0.2m (2022: £0.1m).

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The Charity did not undertake any large-scale capital expenditure investment projects during the year. The project to replace the YMCAfit Customer Relationship Management (CRM) was completed in 2022-2023. Within 2023-24 final system improvements are expected to achieve efficiencies, strengthen sales performance and improve reporting processes.

The net current assets position of £0.9m reflected in the Consolidated Balance Sheet consists primarily of the current asset held for sale of £3.5m representing the Charity’s interest in the office space at 111 Great Russell Street, London WC1, £1.0m shortterm borrowing arrangement with Rothschild which is secured against the investment portfolio and is renewed on a three-month rolling term. Working capital continues to be closely managed to support liquidity and to ensure that planned withdrawals from the investment portfolio are in line with budgeted requirements. The Charity’s interest in the property at 112 Great Russell Street, London WC1 was last revalued in April 2021. The valuation was commissioned as part of the Charity Bank loan application process. The Charity believes that the assumptions used to prepare the April 2021 valuation remain valid as at 31 July 2023.

The greatest risk to the Charity continues to be the erosion of reserves. The net decrease in funds for the Group in 2023 of £4.0m (2022: net decrease of £3.6m) has impacted the reserves position. At year-end, the Group holds total reserves of £15.7m (2022: £20.2m), inclusive of an investment portfolio of £5.7m (2022: £8.9m). Consequently, the Group remains in a strong position to continue to support the restructuring, repositioning and the necessary investment to ensure a stronger and sustainable future for the Charity.

Share of the deficit contribution from each of the charitable operations

Operation	2023 £’000 2022 £’000
Wellbeing
YMCA Club	(657) (837)
YMCA KX	(218) (176)
Education
YMCA Education and Skills	(260) 541
YMCAfit	32 481
YMCA Awards (Qualifications)	(192) (257)
Deficit contribution from charitable operations	(1,295) (248)
Central support costs	(2,832) (2,822)
Overall deficit from charitable operations	(4,127) (3,070)
Net investment income and surplus on commercial trading	331 (20)
Net expenditure for the period before restructuring costs and voluntary donations and gains and losses on investments and revaluations	(3,796) (3,090)
Voluntary income	130 9
Exceptional income	37 7
Restructuring costs	(537) (72)
Loan interest	(229) (115)
Net expenditure for the period before gains and losses on investments and revaluations	(4,396) (3,261)
Net (losses) / gains on investments	122 (501)
Net expenditure	(4,274) (3,762)
Losses on revaluation of fixed assets	(302) -
Net movement in funds	(4,576) (3,762)

Fixed assets

The principal changes in the fixed assets of the group were additions of £0.8m (2022: £0.8m), out of which £0.5m related to investment in new CRM software. Additionally, £0.2m (2022: £0.2m) of new intangible intellectual property assets (IP) were created to support the launch of new products within Awards.

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A valuation of the Great Russell Street property interest was undertaken by Montagu Evans in April 2021 accordance with the definitions set out in the Valuation Professional Standards (January 2020) of the RICS (the Red Book). The Charity believes that the assumptions used to prepare the April 2021 valuation remain valid as at 31 July 2023.

Employment policies

The Charity is committed to equality and diversity and promotes the need for inclusion as identified in the Equality Act 2010.

The Trustees recognise the importance of staff engagement and the benefit this has on business performance, employee satisfaction, and the impact good engagement has on individual’s motivation and wellbeing.

Staff engagement is supported through:

• Communications: regular communications in the form of staff forums, executive team roadshows and email updates.

• Employee voice: seeking out staff views and ensuring feedback is listened to and acted upon.

• Empowering people: trusting staff to work autonomously, providing further support and guidance as and when needed.

The Charity is assisted in its work by the invaluable support of approximately 60 volunteers who give their time to run activities to develop individuals and communities. The contribution of volunteers is essential to maintain the range of community programmes on offer and deliver against our charitable aims.

The Charity believes that employees should be rewarded fairly according to their sustained contributions. Compensation and benefit adjustments are supported by external benchmarking and considered by a job evaluation panel. The Board of Trustees govern the compensation and benefits received by key management and leadership staff.

Grants received – the Group and the Association

Central YMCA has received a number of grants to further its work during the financial period. The grants are summarised as follows:

	£'000	Used for
Wellbeing grants received
Islington PCT	6	HIV/AIDs support
Camden PCT	6	HIV/AIDs support
The Two R's Charitable Trust	1	Club Activity
Total Group and Association	13

Dependence on donations

Central YMCA is not dependent on donations to support our services or facilities. The Charity did not receive any legacy donations during the year (2022: nil).

The Charity received £130k (2022: £9k) of donation income during the year. We would like to thank the individuals and organisations who have chosen to support the Charity and the services we provide.

Central YMCA works in a way that is compliant with the Code of Fundraising Practice and covers the requirements charities must follow as set out in the Charities Act 2011.

Fundraised income supports both new and existing projects to help our beneficiaries, with fundraising efforts involving encouraging donations from members of our community, local and national grant-giving organisations, and through legacy giving.

With the Fundraising department being newly established, we have reviewed all newly created fundraising materials to ensure compliance with Code of Fundraising Practice and have registered with the Fundraising Preference System to ensure adherence to the General Data Protection Regulation (GDPR). We have no third-party fundraising bodies or organisations working on our behalf. In 2023-24 a new fundraising team will be established to support an increase in individual giving and fundraising activities and therefore we will be registering with the Fundraising Regulator and will continue to apply the fundraising Code of Practice to the Charity’s fundraising activities.

We follow up on all feedback we receive from members of the public to ensure compliance with the Fundraising Regulations and regularly record, report and evaluate our work.

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Trustees’ Risk Statement

At Central YMCA we are committed to protecting our learners, members, staff and volunteers as well as the resources, partners and supporters of the Charity. This is demonstrated through a robust risk management framework in which the principal risks of the Charity are regularly monitored, and new controls put in place where required.

Risk management

The Board of Trustees have overarching responsibility for risk management and ensure that the Charity’s risk profile is considered when undertaking key decisions. This includes an assessment of risks to the strategy and the delivery of charitable objectives.

The Board of Trustees ensures that the Charity has appropriate systems of controls, financial and otherwise, to provide reasonable assurance that:

• the Charity is operating efficiently and effectively

• its assets are safeguarded against unauthorised use or disposition

• proper records are maintained and financial information used within the Charity or for publication is reliable

• the Charity complies with relevant laws and regulations.

The Board is supported through its sub-committees which each have oversight of the risk landscape and assurance arrangements in their respective areas. This includes a Risk and Audit Committee which drives continuous improvements to the Charity’s risk management processes. The Board is also supported by Trustee Leads who provide support and challenge on specific risk areas outside of formal board and committee meetings.

The Board and its committees are supported by management responsibilities for risk, compliance, audit, safeguarding, legal, governance, data protection and health and safety.

The Board receives regular reports on:

• safeguarding of children, young people and adults at risk

• financial management and performance

• non-financial performance, including learner achievement and progression

• internal controls, risk management, regulatory reporting and compliance

• health and safety

• data protection and information security

• equality, diversity and Inclusion.

The Charity has a risk management and internal control framework which comprises:

• policies, procedures and tools to support the identification, assessment, treatment and control of risks

• monitoring of systems and procedures to mitigate those risks identified

• internal and external audit cycle to monitor effectiveness of controls

• procedures designed to minimise any potential impact on the Charity should those risks materialise, including business continuity and crisis management plans

• quarterly reviews of principal risks by the risk and audit committee and full board

• annual assessment of emerging and principal risks

• annual review of the effectiveness of the risk management and internal control framework.

Principal risks and uncertainties

Changes to the macro-economic environment, particularly as a result of the cost of living crisis has continued to have a significant impact on the Charity, our partners and the individuals we support. The Charity’s principal risks include:

• safeguarding children, young people and adults at risk

• ensuring adequate financial resources and staffing to deliver the strategy and meet our charitable objectives

• pressures on our income and continued eroding of reserves to support operational losses

• ensuring relevance of our programmes and services and the need to develop new digital products to meet changing customer demands

• internal or external incidents affecting premises and services (including health and safety incidents)

• cyber-security or data breach resulting in the loss of sensitive data

• non-compliance with key regulation, legislation and funding requirements.

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The Charity is also exposed to risk through its financial instruments where these instruments are primarily investments. The Board seeks to minimise the Charity’s exposure to these risks through balanced investment portfolios managed by reputable investment managers and through the use of banks with good credit ratings.

Trade debt is comprised in the main from small balances due from individuals, businesses or government, the remaining debt is deemed a low exposure to credit risk as a significant proportion relates to deferred income.

In response to financial challenges, the Charity has embarked on a three-year Business Turnaround Programme. This has included:

• Improvements to business analytics to inform decision making

• Business process reviews to drive efficiencies and the introduction of new systems

• External analysis of our budgeting and forecasting methods, developing a broader range of scenarios, longer-range cashflow forecasts and stress testing

• Structural reviews and additional training and support to meet current opportunities and challenges

• The development of new products and services to adapt to changing customer demand, with a focus on digital delivery

• Additional initiatives to support employee engagement and wellbeing, with a particular focus on mental health

• A robust internal and external audit cycle to ensure compliance with key regulatory and funding requirements

• Prudent management of our reserves with more effective cost control and alignment of delivery with our funding

• A full review of our internal policies and processes to ensure they are robust and address the current risks to the organisation.

Investment powers

Under the Articles the Charity has the power to invest in any way the Board of Trustees wish. Rothschild manages an investment portfolio on behalf of the Trustees and has been asked to invest to provide income to subsidise the activities of the Charity and also to build up reserves to provide capital funding for improvements to the facilities and other projects. Rothschild was set the target of achieving a total return of 2% per annum above inflation (CPI) over the long term (before taking account of cash distributions to Central YMCA).

The portfolio as at 31 July 2023 was showing a 2% return for the year (2022: -4%). This positive performance against the target return was predominantly due to the slow reversals of the negative impact of the global economic contractions encountered in 2022.

The Charity has not set any environmental, social and governance (ESG) restrictions on the investments other than avoiding anything carrying a government health warning, such as tobacco products. The Charity meets regularly with Rothschild to discuss the investment strategy and is reassured that Rothschild’s overarching commitment to ESG investment is in line with the ethos of the Charity. Details of investments are set out in note 11 of the accounts.

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Reserves policy

The Board of Trustees has established the level of free reserves (that is, those funds that are freely available) that the Charity ought to have. Reserves are needed to bridge the gap between carrying out activities and receiving the funds for those activities. The Board continues to maintain a policy that free reserves should cover six months’ operating expenditure. This equates to £6.7m (2022: £6.2m).

As at 31[st] July 2023 the Group’s reserves are as follows:

Reserve	Current reserves 2023	Further information
Funds represented by property,	£13,136k	The funds invested in tangible fixed assets are not freely available to the
plant and equipment		Group and therefore are excluded from free reserves.
Restricted endowment reserves	£1,056k	These are funds arising from a legacy which are restricted as to their future
		use and therefore are not freely available.
Designated reserve – Basil Scott	£264k	The fund is designated to provide educational grants in the name of the
fund		late Mr Scott. This fund will be integral to a new programme of charitable
		bursaries to be launched and centred around breaking down barriers.
Free reserves	£1,212k	The six month’s operating funds target is around £6.7m and the free
		reserves are currently at 18% of the target.
Total Group reserves	£15,668k

The Charity’s free reserves position has been adversely impacted by economic impact of the COVID-19 pandemic, the cost of living crisis and slower economic growth. Consequently, the free reserves balance as at 31 July 2023 is 18% of the six month’s operating costs target (2022: 12%). The Charity’s forecasts aim to establish a break-even business model to reduce the Charity’s reliance on its reserves to support its operations. A new risk-based policy will be developed in 2023-24.

Auditor

Buzzacott LLP were re-appointed as the Charity’s auditors in 2023.

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TRUSTEES’ ANNUAL REPORT

Public Benefit Statement

Trustees confirm that they have complied with their duty, in section 4 of the Charities Act 2011, to have due regard to the Charity Commission’s general guidance on public benefit.

Trustees have had due regard to the Charity Commission’s public benefit guidance when exercising any powers or duties to which the guidance is relevant.

Objectives and activities

The Charity’s purpose is to advance the education, health and wellbeing of our communities. This aligns to our founding objects; to provide for the spiritual, physical, intellectual and social welfare of people of all ages. Our purpose and founding objects form the bedrock of our mission to create improved access to life-changing opportunities and our vision of enabling everyone to achieve their potential, live a fulfilled life and contribute positively to society.

Trustees ensure that this purpose is carried out for public benefit through a commitment to work with all people who need our support. Working with local and national government, the public and private sectors to help individuals and organisations to grow and bring lasting benefits, through inclusive health, wellbeing, education and training programmes.

The principal activities for the year were to provide:

• A broad range of relevant training programmes, in the form of vocational and work-based learning and continuous professional development courses, delivered through Central YMCA’s Education and Training operations, including YMCAfit, with identified fitness and exercise facilities at YMCA Club and YMCA KX.

• A wide range of nationally recognised vocational qualifications developed and managed by YMCA Awards from Level 1 to Level 4 for those undertaking suitable courses run by third parties in the UK, Europe and the rest of the world.

• Community focused health and wellbeing programmes designed to encourage people of all ages to improve their health, particularly targeting young people and groups with specific needs, such as those living with HIV/AIDS. We devised innovative programmes specifically to boost their physical and mental well-being with prices reduced or waived where appropriate.

39 CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements.

GOVERNANCE, STRUCTURE AND MANAGEMENT

Governing document

Central YMCA is a company limited by guarantee governed by its Articles of Association dated 1911 and last updated in November 2018. It is registered as a charity with the Charity Commission. There are currently 16 Full Members (17 in 2022). Reference and administration details can be found on the final page of this report.

Charitable objects

The charitable objects of the Charity, as set out in its Articles, are to promote and assist the advancement of the spiritual, social, intellectual and physical condition of principally young men and women (but without any specific restriction as to age) and aims to:

• (i) Provide a welcome to Members and beneficiaries for themselves, in a meeting place which is theirs to share, where friendship can be made and counsel sought.

• (ii) Develop activities which stimulate and challenge its Members and beneficiaries in an environment that enables them to take responsibility and find a sense of achievement.

• (iii) Involve all Members in care and work for others.

• (iv) Create opportunities for exchanging views, so that its Members can improve their understanding of the world, of themselves and of one another.

• (v) Relieve or assist in the relief of persons of all ages who are in conditions of need, hardship or distress by reason of their social, physical or economic circumstances.

Appointment of Trustees

Trustees are elected by Full Members at the annual general meeting. The Board may appoint additional Trustees during the year, but any Trustee so appointed must be elected at the following annual general meeting. The Charity must have a minimum of three Trustees at any time and the Nominations Committee supports the recruitment of Trustees.

When deciding how to recruit Trustees, the Board thinks about how best to attract a diverse pool of candidates and tries to achieve a strong balance of skills and diversity. The Board also makes a positive effort to remove, reduce or prevent obstacles to people being Trustees by reviewing the timings of meetings, offering reimbursement for reasonable expenses and considering how it recruits new talent across a diverse community.

The Board launched a Trustee Apprenticeship programme in 2021-22 and one participant on this programme was subsequently appointed in 2022-23 as a full Trustee on the Board. Apprentice Trustees gain governance experience, attend Board meetings and receive additional support through a dedicated board mentor but do not hold the legal responsibilities of a Trustee. At the end of the programme we support participants to achieve their first Board role, which could include a role on the Charity’s Board of Trustees if there is a suitable vacancy.

The Board also co-opts individuals to its subcommittees to provide specialist skills and experience to support the work of the committees. Current co-optees include individuals with expertise in education, awarding organisations, equality, diversity and inclusion and finance.

Annual board reviews

The Board of Trustees regularly reviews board performance and progress against the implementation of the principles of the Charity Governance Code. It also reviews its structure, size, composition, skills and experience to ensure any imbalances and gaps inform Trustee recruitment. The Board has set maximum terms of service in line with the recommendations of the Charity Governance Code and any Trustees appointed for longer are subject to a rigorous review and business case for retention whilst ensuring there is periodical progressive refreshing of the Board.

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Trustees’ induction and training

All Trustees undertake induction and on-going training to ensure they have the current knowledge and are aware of developments in corporate and charity governance. They meet key members of staff and are briefed about the activities within each business unit. In addition to formal meetings, there are days at which Trustees and staff meet to hold discussions regarding the future strategy and direction of the organisation and where other matters can be discussed on a more informal basis. Trustees also undertake training in relation to their responsibilities for safeguarding and equality, diversity and inclusion, along with any other training identified as part of board reviews and training needs analysis.

Board structure

The Board of Trustees administers the Association. The Board meet at least quarterly to allow all Trustees to have a comprehensive and up-to-date view of financial and operational performance and to ensure all Trustees are able to consider important risk and compliance matters such as regulatory compliance and the Charity’s safeguarding, Prevent and health and safety obligations in sufficient depth.

The Board has in place the following committees:

Risk and Audit Committee:

• Meets at least quarterly and otherwise as required.

• Reviews the adequacy and effectiveness of risk management and internal controls, including the Charity’s internal audit programme.

• Leads the process for the appointment, re-appointment and removal of the Charity’s external auditors and oversees the Charity’s relationship with the external auditors.

• Reviews the integrity of the Group’s financial statements, including its annual report, prior to their submission to the Board of Trustees.

Resources Committee

• Meets at least quarterly.

• Supports oversight of all matters relating to people, premises, finance and IT.

• Monitors development of the budget and ongoing financial performance.

• Supports oversight of the Charity’s investment policy and associated strategy to deliver the Charity’s investment objectives.

Nominations Committee

• Meets as required.

• Responsible for identifying and nominating candidates to the Board of Trustees to fill board vacancies as and when they arise and support regular refreshing of the Board.

Awards Committee

• Meets at least quarterly.

• Supports oversight of operational strategies, performance, reach and impact of the Charity’s awarding organisation.

• Makes recommendations to the Board of Trustees in relation to YMCA Awards’ compliance with the Conditions of Recognition as part of its annual submissions to the awarding regulators.

Health and Wellbeing Committee

• Meets at least quarterly.

• Supports oversight of operational strategies, performance, reach and impact of the Charity’s health and wellbeing provision.

Education and Training Committee

• Meets at least quarterly.

• Monitors the performance and achievement of learners across all of our education and training provisions.

• Oversees systems of pastoral care, with particular focus on our system of support for learners with Additional Learning Needs and other vulnerable groups.

• Supports the Board of Trustees with regular monitoring of quality improvement plans and the annual development of the self-assessment report against Ofsted’s Education Inspection Framework.

• Receives feedback from learners, apprentices and employers on their experience with the Charity.

• Monitors safeguarding concerns and the systems and support in place to address these.

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The Chief Executive is appointed by the Trustees to lead and manage the day-to-day operations of the Charity, supported by the Executive Team. To facilitate effective operations, the Chief Executive has delegated authority, within the terms of delegation approved by the Trustees, for finance, employment, business development and operational activity.

Group Structure

----- Start of picture text -----
Central YMCA
Charity number: 213121
Company number: 119249
Central YMCA Trading Limited
Company number: 3667206
----- End of picture text -----

Central YMCA Trading Ltd markets items derived from the activities of the Association and undertakes other non-primary purpose trading activities. The profits of this subsidiary are paid by Gift Aid to the Charity.

Central YMCA, as the founding YMCA, was also active within the national and global YMCA Movement during the year.

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STATEMENT OF TRUSTEES’ RESPONSIBILITIES

The Board of Trustees are responsible for preparing the Trustees’ Report (incorporating the Group Strategic Report) and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and the group and of the income and expenditure of the Charity and the group for that period. In preparing these financial statements, the Trustees are required to:

• select suitable accounting policies and apply them consistently;

• observe the methods and principles in Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102);

• make judgments and estimates that are reasonable and prudent;

• state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in business.

The Board are responsible for keeping adequate accounting records that are sufficient to show and explain the Charity’s transactions and disclose with reasonable accuracy at any time the financial position of the Charity and the group and enable them to ensure that the financial statements comply with the requirements of the Companies Act 2006. They are also responsible for safeguarding the assets of the Charity and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of information to auditor

So far as each Trustee is aware, there is no relevant audit information of which the Charity’s auditor is unaware. The Board have taken all the steps they ought to have taken as Trustees to make themselves aware of any relevant audit information and to establish that the Charity’s auditor is aware of that information.

This confirmation is given and should be interpreted in accordance with the provisions of s418 of the Companies Act 2006.

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the Charity’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

On behalf of the Board

S Varma Chair of Risk and Audit Committee

A Beal Chairman N da Silva Company Secretary

Date approved: 25 January 2024 Registered Office: 112 Great Russell Street London WC1B 3NQ

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CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements.

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION

Opinion

We have audited the financial statements of Central Young Men’s Christian Association (the ‘parent charitable parent company’) and its subsidiaries (collectively the ‘group’) for the year ended 31 July 2023 which the comprise the group statement of financial activities, the group and charitable parent company balance sheets and the group statement of cash flows, the principal accounting policies and the notes to the financial statements. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

• give a true and fair view of the state of the group’s and of the charitable parent company’s affairs as at 31 July 2023 and of the group’s income and expenditure for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Companies Act 2006

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group and charitable parent company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

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Other information

The trustees are responsible for the other information. The other information comprises the information included in the annual report and financial statements, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

• the information given in the trustees’ report, which is also the directors’ report for the purposes of company law and includes the strategic report, for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the trustees’ report, which is also the directors’ report for the purposes of company law and includes the strategic report, has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the charitable parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

• adequate accounting records have not been kept by the charitable parent company, or returns adequate for our audit have not been received from branches not visited by us; or

• the charitable parent company financial statements are not in agreement with the accounting records and returns; or

• certain disclosures of trustees’ remuneration specified by law are not made; or

• we have not received all the information and explanations we require for our audit.

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the group’s and the charitable parent company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the charitable parent company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material

45 CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements.

misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

How the audit was considered capable of detecting irregularities including fraud

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and noncompliance with laws and regulations, was as follows:

• The engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; and

• We focused on specific laws and regulations which we considered may have a direct material effect on the accounts or the activities of the group and parent charitable company. These included but were not limited to the Charities Act 2011, the Companies Act 2006, Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable to the United Kingdom and Republic of Ireland (FRS 102), and laws and regulations pertaining to health and safety, employment, safeguarding, and data protection.

• We assessed the susceptibility of the group and parent charitable company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

• Making enquiries of representatives from the trustees and directors as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and

• Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

• Performed analytical procedures to identify any unusual or unexpected relationships;

• Carried out substantive testing of expenditure including the authorisation thereof;

• Performed testing of journals;

• Assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

• Investigated the rationale behind significant or unusual transactions if any were identified.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

• Agreeing accounts disclosures to underlying supporting documentation;

• Reading the minutes of meetings of trustees; and

• Enquiring as to actual and potential litigation and claims.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

46 CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

16 February 2024

Edward Finch (Senior Statutory Auditor) For and on behalf of Buzzacott LLP, Statutory Auditor 130 Wood Street London EC2V 6DL

47 CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements.

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES 2023 INCORPORATING THE INCOME AND EXPENDITURE ACCOUNT

for the year ended 31 July 2023

Note	Unrestricted Restricted Endowment Total
	Funds Funds Funds 2023
	£’000 £’000 £’000 £’000
Income from: Donations and legacies Charitable activities Other trading activities Investments Exceptional item Total income 5 Expenditure on: Raising funds Charitable activities: - Charitable operations - Restructuring & one-off costs 19 - Interest costs Total expenditure on charitable activities Total expenditure 6 Net gains on investments 11 Net expenditure Other recognised gains/losses: Losses on revaluation of fixed assets 10 Net movement in funds Reconciliation of funds Fund balances brought forward Fund balances carried forward 16 17 & 18	33 97 - 130 8,302 13 - 8,315 445 - - 445 44 - - 44 36 - - 36
	8,860 110 - 8,970 211 - - 211 12,279 110 - 12,389 537 - - 537 229 - - 229
	13,045 110 - 13,155
	13,256 110 - 13,366 122 - - 122
	(4,274) - - (4,274) (302) - - (302)
	(4,576) - - (4,576)
	19,188 - 1,056 20,244
	14,612 - 1,056 15,668

Notes 5 and 6 to the accounts show full analysis of comparative income and expenditure by the charitable activities. All items not shown in notes 5 and 6, being net gains and losses on investments and the gain on revaluation of fixed assets, are unrestricted for both financial periods.

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CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES 2022 INCORPORATING THE INCOME AND EXPENDITURE ACCOUNT

for the year ended 31 July 2022

Note	Unrestricted Restricted Endowment Total
	Funds Funds Funds 2022
	£’000 £’000 £’000 £’000
Income from: Donations and legacies Charitable activities Other trading activities Investments Exceptional item Total income 5 Expenditure on: Raising funds Charitable activities: - Charitable operations - Restructuring & one-off costs 19 - Interest costs Total expenditure on charitable activities Total expenditure 6 Net gains on investments 11 Net expenditure Other recognised gains/losses: Losses on revaluation of fixed assets 10 Net movement in funds Reconciliation of funds Fund balances brought forward Fund balances carried forward 16 17 & 18	9 - - 9 9,070 47 - 9,117 274 - - 274 95 - - 95 7 - - 7
	9,455 47 - 9,502 202 - - 202 12,327 47 - 12,374 72 - - 72 115 - - 115
	12,514 47 - 12,561
	12,716 47 - 12,763 (456) - (45) (501)
	(3,717) - (45) (3,762) - - - -
	(3,717) - (45) (3,762)
	22,905 - 1,101 24,006
	19,188 - 1,056 20,244

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CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements.

CONSOLIDATED BALANCE SHEET

Company number: 119249

as at 31 July 2023

	Total	Total
	2023	2022
Note	£’000	£’000
Fixed assets: Intangible – IT Software 10 Plant, property and equipment 10 Investments 11a Total fixed assets Current assets: Asset held for sale 10 Inventories 12 Debtors 13 Cash at bank and in hand Total current assets Liabilities: Creditors: Amounts falling due within one year 14 Net current assets Total assets less current liabilities Provisions for liabilities 14 Bank loan 15 Total net assets The funds of the charity: Endowment funds 18 Restricted income funds 18 Total restricted funds Unrestricted fund – general 16 Unrestricted fund – designated reserves 17 Revaluation reserves 16 Total unrestricted funds Total charity funds	768 12,368 5,666 18,802 3,474 2 623 203 4,302 (3,449) 853 19,655 (1) (3,986) 15,668 1,056 - 1,056 (3,690) 264 18,038 14,612 15,668	469 17,005 8,916
		26,390
		- 2 941 906
		1,849
		(3,963)
		(2,114)
		24,276 (39) (3,993)
		20,244
		1,056 -
		1,056
		585 264 18,339
		19,188 20,244

These financial statements were approved and authorised for issue by the Board of Trustees on 25 January 2024 and were signed on its behalf by:

A Beal Chair

S Varma Chair of Risk and Audit Committee

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CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements

PARENT ASSOCIATION BALANCE SHEET

Company number: 119249

as at 31 July 2023

	Total	Total
	2023	2022
Note	£’000	£’000
Fixed assets: Intangible – IT Software 10 Plant, property and equipment 10 Investments 11a Investment in subsidiary Total fixed assets Current assets: Asset Held for Sale 10 Debtor 13 Cash at bank and in hand Total current assets Liabilities: Creditors: Amounts falling due within one year 14 Net current assets Total assets less current liabilities Provisions for liabilities 14 Bank loan 15 Total net assets The funds of the charity: Endowment funds 18 Restricted income funds 18 Total restricted funds Unrestricted fund – general 16 Unrestricted fund – designated reserves 17 Revaluation reserves 16 Total unrestricted funds Total charity funds	768 12,368 5,666 - 18,802 3,474 625 203 4,302 (3,844) 458 19,260 (1) (3,986) 15,273 1,056 - 1,056 (4,084) 264 18,037 14,218 15,273	469 17,005 8,916 -
		26,390
		- 932 897
		1,829
		(4,191)
		(2,362)
		24,028 (39) (3,993)
		19,996
		1,056 -
		1,056
		337 264 18,339
		18,940 19,996

The Association’s net movement in funds for the financial period was a deficit of £4,576k (2022: a deficit of £3,762k).

These financial statements were approved and authorised for issue by the Board of Trustees on 25 January 2024 and were signed on its behalf by:

A Beal S Varma Chair Chair of Risk and Audit Committee

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CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements.

CONSOLIDATED STATEMENT OF CASH FLOWS

for the year ended 31 July 2023

	Total	Total
	2023	2022
Note	£’000	£’000
Cash flows from operating activities: Net cash used in operating activities 20 Cash flows from investing activities: Dividends, interest and rents from investments Purchase of property, plant and equipment Purchase of IT Software and Product Development Proceeds from sale of investments Purchase of investments Net cash provided by investing activities Cash flows from financing activities: Proceeds from new loan Net cash inflow from financing activities Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the beginning of the reporting period Cash and cash equivalents at the end of the reporting period	(4,038) 44 (21) (746) 6,356 (2,295) 3,338 - - (701) 906 205	(2,084)
		95 (347) (469) 5,681 (4,304)
		656
		-
		-
		(1,429) 2,335 906

52 CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements

Tutor and learner At Doncaster YMCA Training

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CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings
Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements.
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NOTES TO THE ACCOUNTS

1 General Information

The Central Young Men’s Christian Association and its subsidiaries (together “the Group”) operate a number of charitable activities throughout the UK. The Group uses a number of brand names for its services, including YMCA Awards, YMCA Club, YMCAfit and YMCA KX.

The Central Young Men’s Christian Association (“the Association”) is a registered charity and a company limited by guarantee. It is registered in England, its registered office is 112 Great Russell Street, London, WC1B 3NQ and its registered number is 119249. Full Members are a group of 16 (2022: 17) individuals who have affirmed their commitment to the Association’s charitable aims and are the equivalent of the shareholders of a commercial company. They are elected by the Board of Trustees. The Full Members of the Association are each liable to contribute 37 pence towards the liabilities of the Association in the event of liquidation but cannot receive any distribution of any kind as a result of their membership.

2 Statement of Compliance

The group and individual financial statements of the Central Young Men’s Christian Association have been prepared in compliance with United Kingdom Accounting Standards, including Financial Reporting Standard 102, ‘‘The Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland’’ (‘‘FRS 102’’), the Companies Act 2006, and the “Statement of Recommended Practice” (SORP FRS 102) applicable to charities preparing their accounts in accordance with FRS102. The Group financial statements are also prepared in accordance with the Charities Act 2011.

The Group is a public benefit entity group and the Association is a public benefit entity, as defined by FRS102.

3 Accounting Policies

below.

The accounting policies have been applied consistently for each year presented.

(a) Basis of preparation

as modified by the recognition of long leasehold properties and certain financial assets measured at fair value.

exercise its judgement in the process of applying the Group and Company accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements, are disclosed in note 4.

The Association has taken advantage of the exemption in section 408 of the Companies Act from disclosing its individual income and expenditure account.

(b) Going concern

The Group meets its day-to-day working capital requirements through cash generated by charitable and trading operations, from returns from investments and from planned withdrawals from the investment portfolio.

The Trustees have a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future, being a period of at least twelve months after the date on which the report and financial statements are signed and believes there to be no material uncertainty in this regard. For this reason, the Group continues to adopt the going concern basis in the preparation of the financial statements.

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(c) Exemptions for qualifying entities under FRS 102

FRS 102 allows a qualifying entity certain disclosure exemptions. The Association has taken advantage of the following exemptions:

• (i) flows, included in these financial statements, includes the Association’s cash flows;

• (ii) from disclosing the Association’s key management personnel compensation.

(d) Basis of consolidation

undertakings made up to 31 July 2023.

Consolidated financial statements are required to be prepared and the Company has taken advantage of the exemption under section 408 of the Companies Act 2006 from publishing its individual income and expenditure account, statement of other comprehensive income and related notes.

(e) Foreign currency

The Group and Association’s functional and presentation currency is the pound sterling.

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions. At each period end, foreign currency monetary items are translated using the closing rate. All exchange differences are dealt with in the statement of financial activities.

(f) Revenue recognition

Income from charitable activities represent the amounts derived (excluding value added tax) from the provision of goods and services to third-party customers during the financial period. The Group recognises revenue according to the following principles:

• Gym membership income is recognised at the start of service provision with the exception of annual gym membership income which is recognised over the duration of the membership period.

• YMCAfit training course income is recognised upon the commencement of the course. These courses are short in duration and the terms and conditions stipulate refunds will not be provided once the course has commenced.

• ESFA contract funding income is recognised over the duration of the learning, with the below stipulations:

• Whilst apprenticeship framework funding provides for an additional lump sum on achievement, this is only recognised at the student’s completion date.

• ESFA 16-19 Study Programme and Traineeship funding is recognised as income over the duration of each learner’s programme without a lump sum at the end.

• Income from the sale of goods is recognised when the goods are delivered.

• School programme income and venue hire income for periods exceeding one month are recognised over the duration of the contract period.

• Non-exchange transactions (grants, donations, bequests) are recognised in the Statement of Financial Activities when conditions for their receipt have been complied with, receipt is probable and the amount known. Any income from performance related grants is carried forward as part of deferred income to the extent that the related services have not been performed. Grants which fund charitable activities are classified as income from charitable activities.

• Investment income comprises interest receivable on short-term deposits as well as amounts received on investments and is recognised in the period in which the Group is entitled to the income.

• All other income, which has not been detailed above, is recognised when the entitlement to the income is confirmed, receipt is probable and the value can be measured reliably.

55 CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements.

(g) Restructuring costs

a significant impact on the Group’s financial results as ‘restructuring costs’. These are disclosed separately to provide further understanding of the financial performance of the Group.

(h) Employee benefits

plans.

the Group, are recognised as an expense in the period in which the service is received.

a separate entity with no further payment obligations. The contributions are recognised as an expense when they are due. Amounts not paid are shown in accruals in the balance sheet. The assets of the plans are held separately from the Group in independently administered funds.

(i) Taxation

As a registered charity, the Association is able to claim certain reliefs from corporation tax on its income. Where these reliefs apply, no taxation is provided. All irrecoverable VAT is treated as part of the cost of the item to which it relates.

(j) Property, plant and equipment

Property, plant and equipment is stated at cost or, in the case of long leasehold property, fair value. Cost includes the original purchase price and costs directly attributable to bringing the asset to its working condition for its intended use. No land value is attributed to long leases as other parties have rights over the site on which the buildings are constructed.

Depreciation is calculated, using the straight-line method, to allocate the depreciable amount to the assets’ residual values over their estimated useful lives, as follows:

Fixtures, fittings and computer equipment	- 5% to 33%
Long leasehold buildings	- 40 years
Refurbishment works to the long leasehold buildings	- 10 years
Short leasehold buildings	- 20 years

Running repairs and minor renewals of buildings and plant are written off as incurred.

Individual long leasehold properties are held at their estimated fair value. Updated valuations are obtained when either there is evidence that the previous valuations do not reflect the current values of the relevant properties or every three years. The surplus or deficit above depreciated historic cost is transferred to the revaluation reserve, except that a deficit which is in excess of any previously recognised surplus over depreciated cost relating to the same property, or the reversal of such a deficit, is charged (or credited) to the Statement of Financial Activities. A deficit which represents a clear consumption of economic benefits is charged to the Statement of Financial Activities regardless of any such previous surplus.

Where there are indications that the residual value or useful life of an asset has changed, the residual value, useful life or depreciation rate are amended retrospectively to reflect the new circumstances. The assets are reviewed for impairment if these factors indicate that the carrying amount may be impaired. Impairment losses are recognised in the Statement of Financial Activities.

If an impairment loss is subsequently reversed, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but only to the extent that the revised carrying amount does not exceed the carrying amount that would have been determined (net of depreciation) had no impairment loss being recognised in prior periods. A reversal of an impairment loss is recognised in the Statement Financial Activities.

Assets are de-recognised on disposal or when no future economic benefits are expected. On disposal, the difference between the net disposal proceeds and the carrying amount is recognised in Statement of Financial Activities.

56 CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements

(k) Intangible assets

Identifiable intangible assets are recognised when the Association controls the asset, it is probable that future economic benefits attributed to the asset will flow to the Association and the cost of the asset can be reliably measured.

Computer software purchased from third parties is capitalised on the basis of the costs incurred to acquire and bring into use the specific software.

New qualifications developed by the new product development (NPD) team based on a business case and expectation that these products will generate surplus income for a number of future periods are capitalised as intellectual property (IP) in the year of development and amortised over a standard period of expected income generation from the year of product launch.

Amortisation is charged to the income statement on a straight-line basis over the estimated useful lives from the date the software is available for use. The estimated useful lives of computer software is 3 to 5 years. New IP products are estimated to have an expected income generating period of 3 years before significant reviews and rewrites are necessary.

(l) Investments

Investments in subsidiaries are stated at cost less accumulated impairment losses. Other investments, which comprise listed investments held by the Group’s investment managers, are stated at their fair value, being the closing market value of the investments as at the period end. Changes in the value of the investments and gains and losses on disposals are recognised in the Statement of Financial Activities. Any accumulated investment gains are recognised as a revaluation reserve.

(m) Leased assets

Group and Association long leasehold property is held under a lease with an original life of 999 years which is classified as a finance lease. However, as a nominal rent is payable under the lease, no liability is recognised in respect of the lease.

leases are charged to the Statement of Financial Activities on a straight-line basis over the period of the lease.

(n) Inventories

Inventories are stated at the lower of cost and estimated selling price less costs to sell. Inventories are recognised as an expense in the period in which the related income is recognised.

(o) Cash and cash equivalents

Cash and cash equivalents includes cash in hand, deposits held at call with banks and the investment managers, and other shortterm highly liquid investments with a maturity of 3 months or less.

Currently all cash and cash equivalents for the Group and Association are in the form of cash at bank with no time limit or penalties applicable for the withdrawal of funds.

(p) Provisions

Provisions are recognised when the Group has a present legal or constructive obligation as a result of past events, it is probable that an outflow of resources will be required to settle the obligation, and the amount of the obligation can be estimated reliably.

considering the class of obligations as a whole. A provision is recognised even if the likelihood of an outflow with respect to any one item included in the same class of obligations might be small.

Provisions for leased property dilapidations relate to the estimate cost of making good the dilapidations as at the balance sheet date, where the Group has such an obligation as a result of the tenancy agreements or property law. The provision is estimated based on current rectification costs.

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CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements.

(q) Financial instruments

The Group has chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments.

transaction price. Investments are subsequently measured at fair value, concessionary loans are not subsequently re-measured and other financial instruments are subsequently measured at amortised cost.

recognised at transaction price and subsequently at amortised cost. Long-term loans are recognised at the present value of future cash flows stated discounted at the market rate of interest.

Financial assets are derecognised when the contractual rights to the associated cash flows are settled or expire or when the risks and rewards of ownership are transferred to a third party. Financial liabilities are derecognised when the liability is discharged, cancelled or expires.

(r) Apportionment of expenses

Charitable expenses are allocated directly against the operation to which they relate and represent the cost of running the programme.

Governance costs include audit, company secretarial and strategic management costs. Support costs, which include Governance costs, have been allocated using a range of calculation and allocation methods most appropriate to the type of expenditure in question.

Expense Type	Apportionment method
HR costs, staff related expenditure and insurance costs	Staff numbers
Marketing, Finance, Facilities, IT and central staff costs	Turnover by operations
NPD and Business Development costs	Direct by project/expense incurred

(s) Funds

Funds held by the Association are either:

• unrestricted general funds – these are funds which can be used in accordance with the charitable objects at the discretion of the Trustees

• designated funds – these are funds set aside by the Trustees out of unrestricted general funds for specific future purposes or projects

• restricted funds – these are funds that can only be used for particular restricted purposes within the objects of the Association. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

• endowment fund – these are funds are gifts of endowments where the Trustees have the power to utilise in line with the objects of the Association.

Further explanation of the nature and purposes of each fund is included in notes 17 and 18.

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CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements

4 Critical accounting judgements and estimation uncertainty

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

(a) Critical judgements in applying the Group’s accounting policies

In the opinion of the Trustees, other than the assessment of whether the adoption of the going concern assumption in the preparation of the financial statements as discussed within the accounting policies above, there are no judgements made in applying the accounting policies which have had a material impact on the financial statements and which do not involve the use of estimates.

(b) Key accounting estimates and assumptions

equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below.

(i) Provisions for property dilapidations

The current provision is based on surveys which were carried out in 2015 and 2016 by external advisors. For each surveyed property, the potential required works were identified based on the lease agreements, considering the term of the lease remaining together with the current estimated cost of that work. The provisions for likely dilapidations on property were estimated based on an estimate of dilapidation cost per square foot advised.

Full provision was made for the estimated dilapidation cost. On a £ per square foot basis, these costs are also in line with actual settlements made to landlords for closed centres so a revaluation was not deemed necessary in the current period of report. The liabilities for dilapidations are disclosed in note 14.

The uncertainty in this estimate lies in the assumptions of the extent of the work required to bring the facilities back to an agreed acceptable state.

(ii) Fair value of long leasehold properties

Long leasehold properties are valued at Fair Value based on professional advice and shown in note 10. The property valuation is based on the capitalisation of expected income yield and driven by market conditions which are inherently uncertain.

(iii) Provision for irrecoverable debts

The nature of the Group and Charity’s trade debtors is that they comprise a large volume of low value balances, together with a small number of higher value items. Provision is made in respect of any individual, higher value debts which are assessed as being irrecoverable. In addition, an estimate is made for the value of the other debts which may become irrecoverable and an appropriate provision made. The estimate is based on the age profile of the debts, their aggregate value within each age profile, historic recovery rates and post year end recoveries, with full provision being made in respect of older debts.

The carrying value of the debtors and the aggregate provision are given in note 13.

59 CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements.

5 Analysis of income

Analysis of income 2023

	Unrestricted Restricted Endowment Total
	Funds Funds Funds 2023
	£’000 £’000 £’000 £’000
Charitable activities: Wellbeing YMCA Club One KX Education YMCAfit training courses YMCA Training YMCA Awards Other projects Voluntary income – donations Other trading activities: Commercial trading income Exceptional income Total income before investment income Investment income Total Analysis of income 2022	1,855 13 - 1,868 67 - - 67 1,418 - - 1,418 4,281 - - 4,281 668 - - 668 13 - - 13
	8,302 13 - 8,315 33 97 - 130 445 - - 445 36 - - 36
	8,817 110 - 8,927 44 - - 44
	8,860 110 - 8,970
	Unrestricted Restricted Endowment Total Funds Funds Funds 2022 £’000 £’000 £’000 £’000 1,638 12 - 1,650 107 - - 107 1,590 - - 1,590 5,169 35 - 5,204 519 - - 519 47 - - 47 9,070 47 - 9,117 9 - - 9 274 - - 274 7 - - 7 9,360 47 - 9,407 95 - - 95 9,455 47 - 9,502
Charitable activities: Wellbeing YMCA Club One KX Education YMCAfit training courses YMCA Training YMCA Awards Other projects Voluntary income – donations Other trading activities: Commercial trading income Exceptional income Total income before investment income Investment income Total

All income from charitable activities has been generated in the United Kingdom apart from an amount of nil (2022: £12k) which was earned from nil (2022: 5) other countries.

Of the above total income £29k (2022: £18k) was derived from the sale of goods, £44k (2022: £95k) from investment income, £13k (2022: £47k) from grants and the balance of £8,884k (2022: £9,529k) was derived from the provision of services.

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6 Analysis of expenditure

Analysis of expenditure 2023

	Unrestricted Restricted Apportioned
	Direct Direct Support Total
	Costs Costs Costs 2023
Note	£’000 £’000 £’000 £’000
Charitable activities: Wellbeing YMCA Club One KX Education YMCAfit training courses YMCA Training YMCA Awards Restructuring costs 19 Loan interest Raising funds: Commercial trading Total expenditure before investment costs Investment costs Total	2,512 13 615 3,140 285 - 28 313 1,678 - 471 2,148 4,249 - 1,353 5,603 860 - 325 1,185 537 - - 537 229 - - 229
	10,350 13 2,792 13,155 58 - 36 94
	10,408 13 2,828 13,249 113 - 4 117
	10,521 13 2,832 13,366

Analysis of total expenditure 2022

	Unrestricted Restricted Apportioned
	Direct Direct Support Total
	Costs Costs Costs 2022
Note	£’000 £’000 £’000 £’000
Charitable activities: Wellbeing YMCA Club One KX Education YMCAfit training courses YMCA Training YMCA Awards Restructuring costs 19 Loan interest Raising funds: Commercial trading Total expenditure before investment costs Investment costs Total	2,475 12 543 3,030 283 - 34 317 1,297 - 473 1,770 4,676 35 1,526 6,237 776 - 244 1,020 72 - - 72 115 - - 115
	9,694 47 2,820 12,561 53 - 23 76
	9,747 47 2,843 12,637 118 - 8 126
	9,865 47 2,851 12,763

All allocated support costs have been charged against unrestricted funds.

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6 Analysis of expenditure (continued)

Support costs are made up as follows:

	2023 2022
	£’000 £’000
IT costs Property costs Finance department costs HR costs Communication and marketing costs Management costs Maintenance department costs Insurance Development/fundraising Governance Costs	887 898 239 326 329 315 286 316 349 237 226 332 - 20 113 97 237 164 166 146
	2,832 2,851

The basis of apportionment is set out in the accounting policies.

Governance costs are made up as follows:

	2023 2022
	£’000 £’000
Auditor’s remuneration (excluding irrecoverable VAT) Irrecoverable VAT on auditors’ remuneration Company secretarial costs Share of management time on strategic matters	44 37 9 7 46 41 67 61
	166 146

7 Net expenditure for the financial period

	2023	2022
Net income/(expenditure) for the financial	£’000	£’000
period is stated after charging/(crediting):
Bad debt expenses	-	144
Operating lease payments:
- Property rentals	231	232
Services provided by the group auditor (including
irrecoverable VAT):
- Audit services	-	-
- Tax compliance	-	-
Depreciation – owned assets	1,288	1,087

62 CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements

8 Remuneration of Trustees

The Trustees did not receive any emoluments during the period (2022: £nil) for services as Trustees of the Association or for any other services to the Group. A total of £340 (2022: £259) was reimbursed to two (2022: two) Trustee(s) during the period in respect of travel costs. Trustee indemnity insurance was purchased during the period at a cost of £7,184 (2022: £7,491).

9 Staff numbers and costs

The average number of persons employed by the group during the financial period, analysed by category:

	2023 2022
Operations Management and administration	165 135 49 54
	214 189

In addition to the above staff, circa 60 unpaid volunteers assist in the provision of Club services to those in need. In accordance with the provisions of the Charities SORP, the value of time expended by volunteers has not been recognised in these accounts.

The aggregate payroll costs of these persons were as follows:

	2023 2022
	£’000 £’000
Wages and salaries Redundancy costs Social security costs Other pension costs	5,001 4,758 60 50 472 442 189 180
	5,722 5,430

The total redundancy payments for 2023 of £60k (2022: £50k) were funded from accumulated reserves.

The emoluments of the employees earning over £60,000 over the financial period fell into the following bands:

Total value paid in the financial period:	Number of Employees	Number of Employees
Band	2023		2022
£60,001 – £70,000	3		-
£70,001 – £80,000	-		-
£80,001 – £90,000	2		2
£90,001 – £100,000	-		1
£100,001 – £110,000	-		-
£110,001 – £120,000	1		-
£120,001 – £130,000	-		1

Pension costs for these higher paid employees, for the year amounted to £20,697 (2022: £22,520).

Key management compensation

Key management personnel comprise members of the Executive Team The compensation paid or payable to key management for employee services for the year was £363,351 (2022: £221,520). This includes salary, employer pension contributions, employer’s National Insurance and other employee benefits.

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10 Property, plant and equipment, and intangible assets

For the group and association 2023:

	Intangible Assets Property, Plant and Equipment Grand Total
	IT Products Long L/H Short L/H Fixtures &
	Software Development Total Property Property Fittings Total Total
	£'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000
Cost or Valuation: At 31 July 2022 Additions Transfer to current assets Disposals Revaluations At 31 July 2023 Depreciation: At 31 July 2022 Charge for the period Disposals Revaluations At 31 July 2023 Net book value: At 31 July 2023 At 31 July 2022	700 941 1,641 16,950 1,725 4,291 22,966 24,607 519 227 746 - - 21 21 767 - - - (3,474) - - (3,474) (3,474) - - - - - - - - - - - (1,600) - - (1,600) (1,600)
	1,219 1,168 2,387 11,876 1,725 4,312 17,913 20,300
	388 783 1,171 649 1,465 3,849 5,963 7,134 267 181 448 609 89 142 840 1,288 - - - - - - - - - - - (1,258) - - (1,258) (1,258)
	655 964 1,619 - 1,554 3,991 5,545 7,164
	564 204 768 11,876 171 321 12,368 13,136
	310 158 468 16,301 260 444 17,005 17,473

Depreciation on the long leasehold property at Great Russell Street, London WC1 is charged over 40 years from the date of valuation to reflect the remaining estimated useful life of the facility.

64 CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements

10 Property, plant and equipment, and intangible assets (continued)

For the group and association 2022:

	Intangible Assets Property, Plant and Equipment Grand Total
	IT Products Long L/H Short L/H Fixtures &
	Software Development Total Property Property Fittings Total Total
	£'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000
Cost or Valuation: At 31 July 2021 Additions Disposals Revaluations At 31 July 2022 Depreciation: At 31 July 2021 Charge for the period Disposals Revaluations At 31 July 2022 Net book value: At 31 July 2022 At 31 July 2021	381 789 1,170 16,950 1,725 3,946 22,621 23,791 317 152 469 - - 347 347 816 - - - - - - - - - - - - - - - -
	698 941 1,639 16,950 1,725 4,293 22,968 24,607
	371 634 1,005 - 1,376 3,666 5,042 6,047 17 149 166 649 89 183 921 1,087 - - - - - - - - - - - - - - - -
	388 783 1,171 649 1,465 3,849 5,963 7,134
	310 158 468 16,301 260 444 17,005 17,473
	10 155 165 16,950 349 280 17,579 17,744

Long leasehold properties at Fair Value:

	2023 2022
	£'000 £'000
Great Russell Street buildings At period end open market value Aggregate depreciation thereon Net book value Historical cost of revalued assets Aggregate depreciation based on historical cost Historical cost net book value	15,350 16,950 - (649)
	15,350 16,301 5,763 5,763 (5,236) (5,380)
	383 527

The Charity’s interest in the property at 112 Great Russell Street, London WC1 was revalued as at 31 July 2021. The valuation was produced by Montagu Evans LLP, an independent external firm of chartered surveyors in accordance with the Valuation Standards (January 2020) published by the Royal Institute of Chartered Surveyors on the basis of fair value as defined by FRS102.

Current Asset Held For Sale:

	2023 2022
	£'000 £'000
111 Great Russell Street building Balance Brought Forward Transfer from Fixed Asset Balance Carried forward	- - 3,474 -
	3,474 -

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11 Fixed Asset Investments – Group and Association

11a) External investments (Group and Association)

	2023 2022
	£’000 £’000
Opening fair value Purchases at cost Sale proceeds Gain/loss on investments in year Closing fair value	8,916 10,794 2,295 4,304 (6,355) (5,681) 812 (501)
	5,666 8,916

The investments were allocated as follows:

	At Cost Market Value	At Cost Market Value
	2023 2023	2022 2022
	£’000 £’000	£’000 £’000
Fixed Income Equities Hedge Funds Other Funds Investments Liquid Funds Total	1,530 1,549 1,832 2,688 664 802 15 6 4,041 5,045 575 621 4,616 5,666	3,261 3,373 2,969 4,249 1,019 1,302 (8) (8)
		7,241 8,916 246 26
		7,487 8,942

Liquid funds are included within cash at bank and in hand in the balance sheet. The investments are valued based on quoted prices. The investments are valued based on quoted prices. The above investments represent the totality of the financial assets measured at fair value.

12 Inventory

	Group		Association
	31 July	31 July	31 July	31 July
	2023	2022	2023	2022
	£’000	£’000	£’000	£’000
Items for resale	2	2	-	-

13 Debtors

	Group	Association
	31 July 31 July	31 July 31 July
	2023 2022	2023 2022
	£’000 £’000	£’000 £’000
Amounts due within one year Trade debtors Other debtors Prepayments and accrued income	295 464 205 116 121 361 623 941	297 456 206 115 123 361
		626 932

The Group and Association trade debtors are stated after provisions for bad and doubtful debts of £180k (2022: £116k).

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14 Creditors: amounts falling due within one year

	Group 31 July 31 July 2023 2022 £’000 £’000 454 734 - - 491 248 125 703 784 772 99 99 468 398 1,028 1,009 3,449 3,721	Association
		31 July 31 July
		2023 2022
		£’000 £’000
Trade creditors Amounts owed to subsidiary undertakings Income tax, social security and VAT Accruals Other creditors Provisions Deferred income Short term borrowings		446 734 418 232 491 248 119 700 775 771 99 99 468 398 1,028 1,009
		3,844 4,191

Provisions relate to dilapidations costs that are expected to materialise in the next 12 months in relation to centres occupied by the Group under short lease arrangements. The amounts will be dependent on individual property arrangements with landlords.

There is currently a short-term borrowing arrangement of £1.0m (2022: £1.0m) with Rothschild which is secured by the investment portfolio and attracts interest at a rate equivalent to LIBOR + 2.10%.

Deferred income analysis for Group and Association

	31 July 31 July	31 July 31 July
	2022 Change 2023	2021 Change 2022
	£’000 £’000 £’000	£’000 £’000 £’000
YMCAfit training courses Health and fitness membership fees YMCA Training courses Programme funding Prepaid Income Other	248 87 336 (10) (8) (18) 56 - 56 29 (10) 19 75 - 75 398 70 468	422 (175) 248 13 (23) (10) 56 - 56 37 (8) 29 - 75 75
		528 (131) 398

	31 July 31 July
	2023 2022
	£’000 £’000
Deferred income brought forward Utilised in year Arising in year Deferred income carried forward	398 528 (398) (528) 468 398
	468 398

The above income arises from the provision of services and has been deferred as the related services had not been provided as at the period end.

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14 Creditors: amounts falling due within one year (continued)

Provisions for leased property dilapidations for the Group and Association

	31 July 31 July
	2023 2022
	£’000 £’000
Expected to be utilised: - within one year Provision brought forward Utilised in year Arising in year Provision carried forward - after more than one year Provision brought forward Utilised in year Arising in year Provision carried forward Total provision carried forward	99 94 - - - 5
	99 99
	39 44 (39) (5) - -
	- 39
	(99) 138

The provision for leased property dilapidations relates to the estimated liability inherent in the YMCA Training centres. The provisions are expected to crystallise when the properties are vacated; the cost of the dilapidations will be dependent on the outcome of negotiations with the landlord as to the extent of the required work and construction costs at the time the lease comes to an end.

15 Bank loan – Group and the Association

	2023 2022
’	£'000 £'000
Loan debt is repayable: - within 12 months - within 1 to 2 years - within 2 to 5 years - after 5 years	67 7 71 84 253 287 3,595 3,622
	3,986 4,000

The bank loan is secured by a fixed and floating charge over the Charity’s freehold and leasehold interests in the property at 112 Great Russell Street, London WC1. The loan is repayable over a 25-year term with the first two years suspended (interest only repayment period). The loan is subject to a fixed interest rate of 2.41% above the Bank of England base rate.

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16 Analysis of total funds

Analysis of total funds – Group 2023

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Revaluation
General Property Investment Total Designated Endowment Total
£’000 £’000 £’000 £’000 £’000 £’000 £’000
----- End of picture text -----

	Revaluation General Property Investment Total Designated Endowment Total £’000 £’000 £’000 £’000 £’000 £’000 £’000
At 31 July 2022 Net income / expenditure Other comprehensive income Total comprehensive income Transfer between funds - revaluation of investments - depreciation of revalued amount - designation of funds At 31 July 2023	585 16,492 1,847 18,339 264 1,056 20,244
	(4,275) - - - - - (4,275) - (302) - (302) - - (302)
	(4,275) (302) - (302) - - (4,577)
	- - - - - - - - - - - - - - - - - - - - -
	(3,690) 16,190 1,847 18,038 264 1,056 15,668

Analysis of total funds – Group 2022

----- Start of picture text -----
Revaluation
General Property Investment Total Designated Endowment Total
£’000 £’000 £’000 £’000 £’000 £’000 £’000
----- End of picture text -----

	Revaluation General Property Investment Total Designated Endowment Total £’000 £’000 £’000 £’000 £’000 £’000 £’000
At 31 July 2021 Net income / expenditure Other comprehensive income Total comprehensive income Transfer between funds - revaluation of investments - depreciation of revalued amount - designation of funds At 31 July 2022	4,347 16,492 1,802 18,294 264 1,101 24,006
	(3,717) - - - - (45) (3,762) - - - - - - -
	(3,717) - - - - (45) (3,762)
	(45) - 45 45 - - - - - - - - - - - - - - - - -
	585 16,492 1,847 18,339 264 1,056 20,244

As at 31 July 2023 the general fund and the total of all funds held by the Charity totalled (£4,084k) and £15,274k, respectively (2022: £337k and £19,996k).

Analysis of Group net assets between funds at 31 July 2023

	Designated & Endowment Total
	General Revaluation Funds Funds
	£’000 £’000 £’000 £’000
Charitable fixed assets Investments Current assets Current liabilities Long term liabilities	157 16,454 - 16,611 2,762 1,847 1,056 5,665 828 - - 828 (3,449) - - (3,449) (3,987) - - (3,987)
	(3,690) 18,301 1,056 15,668

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16 Analysis of total funds - continued

Analysis of Group net assets between funds at 31 July 2022

	Designated & Endowment Total
	General Revaluation Funds Funds
	£’000 £’000 £’000 £’000
Charitable fixed assets Investments Current assets Current liabilities Long term liabilities	718 16,756 - 17,474 6,013 1,847 1,056 8,916 1,795 - - 1,849 (3,721) - - (3,963) (4,032) - - (4,032)
	585 18,603 1,056 20,244

17 Designated funds – the Group and the Association

The funds of the Association include the following designated funds which have been set aside from unrestricted funds by the Trustees for specific purposes.

	Balance at Set aside / Balance at Set aside / Balance at
	31 July 2021 (utilised) 2022 31 July 2022 (utilised) 2023 31 July 2023
	£’000 £’000 £’000 £’000 £’000
Basil Scott fund Total	264 - 264 - 264
	264 - 264 - 264

The Basil Scott fund is designate to provide income to fund educational grants in the name of the late Mr Scott.

18 Restricted funds – the Group and the Association

Analysis of restricted funds – Group and the Association 2023

	Balance at Balance at
	31 July 2022 Income Expenditure Revaluation 31 July 2023
	£’000 £’000 £’000 £’000 £’000
Income funds Health and fitness activities Training courses Capital funds Endowment Fund	- 13 (13) - - - - - - -
	- 13 (13) - -
	1,056 - - - 1,056
	1,056 - - - 1,056

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18 Restricted funds – the Group and the Association - continued

Analysis of restricted funds – Group and the Association 2022

	Balance at Balance at
	31 July 2021 Income Expenditure Revaluation 31 July 2022
	£’000 £’000 £’000 £’000 £’000
Income funds Health and fitness activities Training courses Capital funds Endowment Fund	- 12 (12) - - - 35 (35) - -
	- 47 (47) - -
	1,101 - - (45) 1,056
	1,101 - - (45) 1,056

Health and Fitness activities represent the balance of grants received to support users of the Club, in particular for those with long term health conditions. The training courses fund represent income received towards projects to assist ‘hard to reach’ populations to obtain qualifications. The endowment fund is a legacy from the estate of the late Dr Charles Clark, income from which, will be used to assist young people suffering personal problems to achieve specified goals which will contribute to their life chances and personal fulfilment.

19 Restructuring costs

Items which relate restructuring are as follows:

During 2023 the Association incurred £537k (2022: £72k) arising from an organisation wide restructuring exercise.

20 Reconciliation of net expenditure to net cash provided by operating activities

	2023 2022
	£’000 £’000
Net expenditure Investment income Investment revaluation Depreciation charges Decrease in debtors Decrease in creditors Decrease in provisions Surplus on investments sold Net cash used by operating activities	(4,274) (3,762) (44) (95) 44 2,124 1,288 1,087 318 253 (521) (63) (38) (5) (812) (1,623)
	(4,040) (2,084)

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21 Changes in net debt – group

Analysis of changes in net debt – Group 2023

	Balance at Other non-cash Balance at
	31 July 2022 Cash Flows changes 31 July 2023
	£’000 £’000 £’000 £’000
Bank borrowings due within 1 year Bank borrowings due over 1 year Cash Net debt	(1,009) (19) - (1,028) (3,993) 7 - (3,986) 906 (703) - 203
	(4,096) (715) - (4,811)

Analysis of changes in net debt – Group 2022

	Balance at Other non-cash Balance at
	31 July 2021 Cash Flows changes 31 July 2022
	£’000 £’000 £’000 £’000
Bank borrowings due within 1 year Bank borrowings due over 1 year Cash Net debt	(1,002) - (7) (1,009) (4,000) - 7 (3,993) 2,335 (1,429) - 906
	(2,667) (1,429) - (4,096)

22 Capital commitments – the Group and the Association

As at 31 July 2023 there was a capital commitment for a balance yet to be invoiced relating to the project to replace the Customer Relationship Management (CRM) system used by the YMCAfit team. The balance related specifically to the implementation phase of the project and totalled £417k (2022: £344k). It is anticipated that final improvements to the system will be completed by 31 July 2024.

23 Operating lease commitments - the Group and the Association

The following represent the leasing commitments:

	Land and	Land and
	Buildings Other	Buildings Other
	31 July 31 July	31 July 31 July
	2023 2023	2022 2022
	£’000 £’000	£’000 £’000
Commitments falling due: - within 12 months - within 1 to 2 years - within 2 to 5 years - after 5 years	78 3 33 - - - - - 111 3	226 3 77 - - - - -
		303 3

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24 Related party transactions

Owing to the diverse nature of the Charity’s operations and the number of activities that work in partnership with other charities and public-sector bodies, transactions may take place with organisations where Members of the Board have an interest. Any transactions involving such charities or organisations are conducted at arm’s length and in accordance with the Charity’s financial regulations and normal procurement procedures.

The only related party transactions that took place during the financial period were as follows:

As per note 14, as at 31 July 2023 £418k (2022: £261k) was owed by the Charity to Central YMCA Trading Limited, a wholly owned subsidiary of the Charity. Central YMCA Trading Limited provides and markets items derived from the activities of the Charity and undertakes other non-primary purpose trading activities. The profits of this subsidiary are paid by Gift Aid to the Charity subsequent to the year-end.

Central YMCA, as the founding YMCA, was also part of the YMCA Movement in England in the period.

25 Post balance sheet events

Sale of the Charity’s office space at 111 Great Russell Street was pursued in 2022-23 and is expected to complete within 202324 at a proceed of about £3,500k.

73 CENTRAL YOUNG MEN’S CHRISTIAN ASSOCIATION and subsidiary undertakings Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements.

REFERENCE AND ADMINISTRATION DETAILS

Charity number 213121
Company number 119249
Registered office 112 Great Russell Street, London WC1B 3NQ
Trading Names and Associated Websites Central YMCA YMCA Awards YMCAfit YMCA Club YMCA KX	www.ymca.co.uk www.ymcaawards.co.uk www.ymcafit.org.uk
Auditor Buzzacott LLP 130 Wood Street London EC2V 6DL
Bankers The Co-operative Bank Delf House, Southway Skelmersdale WN8 6NY Royal Bank of Scotland 62/63 Threadneedle Street London EC2R 8LA Barclays 1 Churchill Place London, E14 5HP
Solicitors BDB Pitmans LLP One Bartholomew Close London EC1A 7BL
Property advisors Montagu Evans LLP 5 Bolton Street London W1J 8BA
Investment managers Rothschild Private Management Limited New Court, St Swithin’s Lane London EC4N 8AL
Directors and Trustees The directors of the charitable company (the Association) are its Trustees for the purposes of charity law. Throughout this report they are referred to as Trustees.
Trustees serving during the financial period and since the year-end Andrew Beal Amandip Bahia Melissa Bryant Glenn Dunn Ian Govendir Anne-Marie Laing Timothy Lissimore Susan Ross Morton Yusuf Nurbhai Cheryl Turner Stephen Varma Adam Whale Peter Wright Chair Resigned 13 July 2023 Appointed 25 January 2023 Resigned 25 January 2023 Appointed 30 October 2023
Senior employees Chief Executive and Company Secretary Chief Executive Company Secretary Arvinda Gohil – resigned 25 January 2023 Ryan Palmer – appointed 03 May 2023 Naomi da Silva – appointed 25 January 2023

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Trustees’ Annual Report (incorporating the Group Strategic Report) and consolidated financial statements
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112 Great Russell Street London WC1B 3NQ ymca.co.uk [e-mail] 020 3994 9544

Central Young Men’s Christian Association Company Number: 00119249 Registered Charity Number: 213121