2022-12-31-accounts

Charity number: 250118

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

CONSOLIDATED

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

CONTENTS

	Page
Reference and Administrative Details of the Charity, its Trustees and Advisers	1
Trustees' Report	2 - 14
Independent Auditors' Report on the Financial Statements	15 - 18
Consolidated Statement of Financial Activities	19
Consolidated Balance Sheet	20 - 21
Charity Balance Sheet	22
Consolidated Statement of Cash Flows	23
Notes to the Financial Statements	24 - 48

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER 2022

Trustees	D Losse, Chairman
	C Halsey
	P Mallinckrodt (resigned 1 March 2023)
	N Daur
	M Tinsley
	A Fox
	P Stokes
	C Daur
Charity registered number 250118 Principal office 35 Craven Terrace London W2 3EL Independent auditors Haslers Chartered Accountants Old Station Road Loughton Essex IG10 4PL Bankers National Westminster Bank plc 26 Edgeware Road London W2 2ZW

Page 1

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

TRUSTEES' REPORT FOR THE YEAR ENDED 31 DECEMBER 2022

The Trustees present their annual report together with the audited financial statements of the Charity for the year 1 January 2022 to 31 December 2022.

Chairman’s Statement

The Charity depends for its income principally on two sources, the surplus profits of the Lancaster Hall Hotel and the rentals from its investment properties. The flow of earnings from the Hotel naturally ceased during the pandemic and the charity was left to cope with meeting the substantial standing costs associated with the undertaking until normal trading could be resumed. In this, the grant from the St Paul’s German Reformed Church Trust, as outlined in our report last year, had provided an invaluable lifeline. Coupled with the support available from our own internal reserve we were able to mark time through 2021 until trading in the hotel started to pick up in the autumn of that year.

The emergence of the Omicron variant of Covid 19 late in 2021 slowed the recovery in trading significantly and continuing uncertainty led us to adopt a very cautious approach to our budgets for the year under review and to keep looking for efficiencies and cost savings wherever possible.

The external review of our management accounting systems, which was commissioned in late 2021, has made the production of timely and detailed management information easier and has aided decision-making. The rising cost of meeting our energy needs and the pressure to move towards net zero also convinced us of the need to commission an Energy Audit from consultants with experience of the hotel sector. This project got under way in the autumn and is on-going but is guiding our understanding of the possibilities open to us for the future and the capital costs involved. We aim to develop a programme of regular investment over the coming years, as circumstances allow, to achieve energy efficiency, and to finance a variety of measures to ensure that the Hotel remains able to fulfil the vital and integral role it has always played in the delivery of the charity’s objectives.

The impact of climate change on our summer temperatures has convinced us of the urgent need to air-condition the Hotel bedrooms and we have begun investigating how this might best be done as part of our overall energy strategy.

Our income predictions for 2022 were based on a very slow start to trading in the Hotel in the 1st Quarter and for the full year’s result to be little more than breakeven. In the event Hotel revenues comfortably exceeded budget in that initial period but thereafter recovered in a quite extraordinary way, reflecting the huge pent-up demand from the pandemic years. This resulted in occupancy returning to pre-pandemic levels and for the rates per room to increase as the year progressed to achieve all-time records at their peak.

The rental income on our investment properties had held up well during the pandemic and we have continued our efforts to develop the private letting opportunities within this holding and maximize our returns. It is our aspiration to finance the regular charitable work of the Association as far as possible from this income source and thus to insulate it from the trading vicissitudes of the Hotel. This would allow the surplus revenues from the Hotel to be used by the Association to rebuild and increase its reserves, to finance special charitable projects or to make grants to other charities who deliver services within our mission that we are unable to undertake ourselves.

After two very difficult years, it is extremely satisfying to report that on a consolidated basis the Association was able for the year ending 31st December 2022 to register an impressive surplus of income over expenditure of £350,262 before the deduction of tax and a loss on investments (compared with £27,869 in 2021). At the year end the Association’s net assets totalled £5,401,000 (£5,126,588 in 2021).

This result is a great tribute to Rebecca Tinsley and her management team who assumed the helm at a very uncertain time but who have steered the ship into calmer waters with skill, professionalism and much hard work. We are very grateful to them for their efforts.

Looking Ahead

If we are to meet our charitable objectives it is becoming clear that we shall need to invest substantially in the

Page 2

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

fabric and facilities of our buildings over the next few years in order to maintain the momentum of income generation that has re-emerged this year. Much of our focus post-pandemic has been concentrated on these commercial imperatives but we have begun simultaneously to restore an active level of charitable work, with some interesting new ventures, as the subsequent Trustees Report explains.

The surplus achieved this year in the Hotel and the promising outlook for 2023 allows us to contemplate the challenges of the future with confidence. With the benefit of our remaining reserves and with liquidity restored we should be able to resolve the pension fund issues which have prevented us from implementing our long delayed corporate restructuring. We should also be able to start unwinding the emergency funding put in place by the Association to support the Hotel through the pandemic. The wisdom of this support has been fully rewarded by the Hotel’s rapid return to profitability and opens out the prospect of the Hotel again being able to contribute substantially to our funding as well as providing important other charitable benefits in its own right in furtherance of the Association’s mission.

Objectives and activities

a. Policies and objectives

In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.

Prior to the pandemic, the German YMCA gave material and financial support to a number of related national and international charities with objects similar to its own. Some grants are seen as a continuing commitment in pursuance of the German YMCAs own objects. As the Covid-19 pandemic continued, and financial losses were made in 2021, no grants were made other than the Affiliation Fee to YMCA England & Wales.

Whilst 2022 saw a return to profitability, it was decided that it would be prudent to repair our own finances before resuming the giving of grants. The Affiliation Fee to YMCA England & Wales was again the only grant made.

Emphasis is given to education and recreation, and also Christian teaching, which is normally provided in regular bi monthly publications and through lectures and celebrations at special events in the Christian calendar. We recognise the importance of the churches in their role as providers of spiritual guidance and we are glad to have resumed our support to them.

b. Strategies for achieving objectives

The charity shares its freehold property, 31 to 38 Craven Terrace, London W2, with its trading company, Lancaster Hall Hotel Limited. The charity has arranged this use of the property so that the trading company may contribute financially to the charity, and so that it may also provide affordable accommodation to groups of young people on educational visits from within the UK or from abroad, as detailed in the review of activities.

In the light of the significant changes brought about by the pandemic, including the negative impact on the finances of the charity, a detailed review of all aspects of the operation was undertaken.

A plan was made to expand the offering of providing ‘affordable accommodation’ to providing free accommodation to certain youth groups with underprivileged backgrounds, or with learning difficulties, allowing them to come to have an experience in London which otherwise would have been impossible. In 2022, we supported and accommodated a Norwegian school for arts, an arts school for autistic children, the Sea Cadets, a group of disabled young people connected the Bournemouth YMCA, and more besides. In total we provided £10,000 of free accommodation in 2022.

Page 3

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

Objectives and activities (continued)

c. Activities undertaken to achieve objectives

Regular fixtures, such as the German Classes, Peter’s Music and the Toddlers’ Group resumed in 2022. Plans to develop new programmes are underway and will be explored in 2023.

d. Our Work with volunteers

The Association’s Volunteer Placement Service dates back to 2010 and was originally intended to place volunteers from Germany in the United Kingdom and vice versa. It quickly expanded internationally with volunteers from Austria, France, Hungary, Germany, Great Britain and Spain being directed into projects in a huge variety of countries including Germany, Portugal, Slovakia, Russia, Croatia, Greece and Turkey. Our VPS Coordinator also supported other organisations, in particular other YMCAs, in placing volunteers and obtaining grants.

In 2019 a major special project was initiated by the Association in partnership with Bournemouth and Sutton Coldfield YMCAs which secured a total grant of Euros 1,000,000 from the European Union, payable over three years, for a series of different volunteering initiatives ranging from supporting schools, housing and community projects, disability projects, housing schemes and food banks, to providing support for the host YMCA direct. As the lead Association we took responsibility for holding the grant funds in trust pending draw down by the participating Associations on completion of the respective projects. The whole operation was monitored for the EU by Ecorys /the British National Agency. Grants for the three project cycles of Euros 202,718, Euros 412,906 and Euros 362,351were received.

In total 46 volunteers were placed in the first year, 150 were planned for the second and up to 300 in the third year. The pandemic naturally had a significant impact on these plans, as did the new Brexit legislation requiring visas for volunteers to stay in the UK. Sutton Coldfield withdrew from the project in 2020 and the funds were reallocated to the German YMCA and Bournemouth YMCA. An extension for the year two and three plans was sought and granted by the National Agency up to the 31st January 2023.

The completed projects are both short (some as little as two weeks) and long-term (up to one year). Some are for individual young volunteers whilst others involve groups and areas covered include youth work, work with children, community work with all age groups and the support of young disadvantaged adults. With the end in sight for this valuable, far-reaching and exciting initiative sponsored by Ecorys we have been seeking ways of maintaining our work with volunteers in the very different circumstances which now prevail.

We intend to partner with ASRP (Action Reconciliation Service for Peace), who are a well-established organisation who place volunteers mainly from Germany (but also from Poland). This arrangement should allow us to maintain a steady stream of volunteers going forward.

The Action Reconciliation Service for Peace (German: Aktion Sühnezeichen Friedensdienste, or ASF) was founded in 1958 by the synod of the Evangelical Church in Germany, driven by the efforts of Lothar Kreyssig. It was prompted by the acknowledgement of guilt that Germans needed to face at the end of World War II and the Nazi era.

ARSP is known especially through its international volunteer programmes and the organisation of work camps in western and eastern Europe. Every year, ARSP sends approximately 180 volunteers to countries that suffered under the German occupation during World War II: Belgium, France, the United Kingdom, Greece, Netherlands, Russia, Poland, Czech Republic, Belarus, and Ukraine. They also work in Israel and the United States because many Holocaust survivors fled or immigrated to these countries.

Page 4

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

Objectives and activities (continued)

e. Music

.The Schubertiade music programme was suspended during the pandemic of 2020 and much of 2021, resuming in 2022 in its new, temporary venue of our local church, St James’s Paddington. This turned out to be a most welcome and convenient arrangement to all parties, and whilst we intend to move the majority of the concerts back to Lancaster Hall Hotel in 2023, we will continue to hold some of them at St James’s.

f. The Assoication and its outreach

For the better fulfilment of its objects the Association aspires to be inclusive and has an "open house" policy. Our diverse programme of educational or leisure time activities for people of all ages is open to everybody, regardless of gender, ethnic origin, ability or faith.

The Association has, for a number of years, been building ever closer links with the local community but we are acutely aware of our history as the German YMCA in London, founded to meet the needs of the German speaking community. This is and remains our identity and culture but it does not preclude us also becoming a “local” YMCA for the Bayswater and Paddington area, a YMCA serving the needs of its community and one where all feel welcome and able to take part in the programmes on offer.

As a further part of this process we are building on our already good relationships with the Paddington C of E Church, St James’s, and the two local primary schools. We perceive there to be a real opportunity to develop an exciting cooperation, with all the organisations working on projects within our local community.

Many of the young people with whom we come into contact are foreigners who do not remain long enough in England to consider YMCA membership. Our members' are therefore mainly older, permanent residents, around 300 in number, but they are not representative of the considerable actual outreach of the Association itself. Financially too, the income from members' fees is small, reflecting the social background of the people served. The young still in training and the elderly both belong to the lower income groups in our society.

During the difficult times related to the pandemic, when our programme was much reduced, our chaplain, whilst working part-time for the association, also worked part-time as Pastoral Assistant for the German Churches London West, which comprises 4 churches: Knightsbridge, Reading, Oxford and Petersham, and by doing so, strengthening our ties with them.

The German Welfare Council, which operates the German Advice Centre from the Association’s premises, has been supported by regular annual grants since 2013. We have made this office space available free of rent, rates, electricity etc. and a member of the Association’s staff supports the work directly during busy periods and/or to provide holiday cover. The grant, which had totalled £10,000 in 2019 was suspended in 2020 but the provision of office space was maintained.

Page 5

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

Objectives and activities (continued)

g. The direct contribution made by Lancaster Hall Hotel to our charitable work

The sharing of premises at 31-38 Craven Terrace, in Bayswater in London, between the German YMCA and the Lancaster Hall Hotel has the benefit of ensuring the upkeep of several function rooms for both commercial use and a variety of charitable activity within the local community at little or no cost to the user. In addition the Hotel accommodation and services are available for the Association to use in furtherance of its charitable activities.

Surplus revenues are donated to the Charity and are an important source of its funding. In the ten pre-pandemic years ending 31.12.2019 the Association received donations totalling almost £2,000,000 from the Hotel and in that same time the Hotel had also financed some £1,400,000 for the cost of repairs, maintenance and refurbishment

In the light of the foregoing the Trustees agreed to sustain the Hotel through the pandemic, making a grant of £220,000 in 2020 and providing further loans in 2021 to enable the Hotel to meet total trading losses of some £450,000 over the two-year period and ensuring it remained a going concern.

In consequence of the improvement in trading during 2022, the Hotel has made a donation of £90,000 to the Association.

The Charity’s subsidiary provided free accommodation in support of the charitable work of the Association to the value of £9,756. In addition to this initiative the Hotel also provided 50 free sessions in its Conference Room to the charity Dance4Water, who teach salsa classes and donate 100% of their takings to Water Aid. This booking concession, at £200 per session, equates to a value of £10,000 for the year.

Page 6

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

Achievements and performance

a. Key performance indiactors

The successful achievement and development of our charitable activities, rests on three important financial pillars:

Our dividend income:

In normal times the donation of surplus profits by the Lancaster Hall Hotel would provide the bulk of the Association’s funding. The pandemic totally disrupted this source of income and no donations were received out of the 2020 and 2021 trading of the Hotel, which was severely adverse. With the return to profitability in 2022 it is the Hotel’s intention to resume donations.

Our Investment Portfolio:

Part of our Reserves are invested in a multi asset fund designed for Charities. In 2021 a total of £66,340 was drawn down from the portfolio to ensure continued liquidity. The value of the portfolio was £696,578 at the end of the current year, 2022.

We remain satisfied that the fund is an appropriate investment vehicle for our reserves, providing stable returns whilst safeguarding the real value of our assets.

Our Property Portfolio:

Our property holdings comprise not only the premises of our Association and the Lancaster Hall Hotel in Craven Terrace but also four adjacent Victorian houses in Craven Road. These serve to preserve and grow a further part of our reserves and provide us with useful rental income. This amounted to £216,589 in the year under review (2021: £181,286).

b. Investment policy and performance

The equity investments of the charity are managed by Cazenove Capital Management, whose objective is to maximise total return with due regard for risk.

Apart from limited cash reserves held on a Business Reserve Account, the reserves are invested via Cazenove Capital Management through their Charity Multi Asset Fund. The Charity Multi Asset Fund is a common investment fund designed for charities seeking to maintain the real value of their capital over the medium to long term whilst generating a sustainable and reliable distribution level (from income and capital). The portfolio aims to deliver returns similar to equity markets but with a lower level of volatility and is well diversified across asset classes and incorporates exposure to alternative asset classes such as hedge funds, private equity and commodities. The majority of the portfolio is invested in readily tradeable assets, but there is also likely to be a modest exposure to illiquid assets at any point in time.

The value of these investments was £743,585 at the 1st January 2022. The valuation of the portfolio at the 31st December 2022 was £696,579.

Page 7

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

Achievements and performance (continued)

c. Property portfolio

The Association owns the freehold of properties 31 to 38 Craven Terrace, (the Lancaster Hall Hotel and 5 Victorian terraced houses) and 39 to 45 Craven Road, (4 Victorian terraced houses). All properties are free of charges.

In March 2020 a valuation of the investment properties in Craven Road was undertaken by Sloan Property Services. The value of these properties was revised to £3,650,000 and this is reflected in the balance sheet, after making an adjustment to take account of the partial occupation of the premises by members of staff.

d. Grant making policies

The charity, as part of its budgeting procedure, draws up an annual “Proposed Financial Aid Schedule”. As a result of Brexit and other uncertainties being faced by the trading company in 2019 the amount dispensed by way of grants had already been trimmed back by some 20%, In early 2020 the aid budget was further reduced by over 10% to £57,975. However, once the implications of the pandemic became clear it was agreed that all grants not already made would be cancelled and the applicants informed. In total grants of £13,959 were made in 2020. This includes £7,732 for the affiliation fee due to YMCA England and Wales. In 2021 and 2022 the only grant made was the Affiliation Fee.

The Grant Application Guidelines are reviewed and updated from time to time. The last review was in 2018 and the Trustees will of necessity revisit the policy post Covid. It is their wish to resume grant making activity as soon as circumstances permit.

Financial review

a. Going concern

After making appropriate enquiries, and particularly considering the significant upturn in the Hotel’s trading performance in 2022, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements.

b. Reserves policy

In previous year it has been the policy of the Association to maintain its liquid funds at a level to be able to support future projects and maintain its property portfolio. The wisdom of holding these reserves has enabled the Association not only to survive the pandemic but to begin resuming its charitable activity whilst also, through its financial support, nursing its trading subsidiary, the Lancaster Hall Hotel, back to health.

The reserves of the Group total £5,392,817 (2021: £5,283,072), including £1,690,243 of liquid assets. Whilst the far-reaching impact of the pandemic has underlined the importance of the Association’s reserves, it has also served to emphasise the need for liquidity. The Trustees will thus not only seek over time to increase the absolute level of the reserves against future contingencies but also to ensure that appropriate levels of liquidity are maintained.

The charity does not rely on any grants from Governments or other sources although certain of our volunteer projects are supported to a modest degree by grants from the British Council and, since 2019, a grant from Ecorys where €1,000,000 has been allocated over a period of 3 years. This grant was made to the German YMCA, Bournemouth YMCA and YMCA Sutton Coldfield.

Page 8

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

c. Principal funding

The Association has three principal sources of funding:

Income from investment properties Income from its investment portfolio with Cazenove Donations from its trading subsidiary the Lancaster Hall Hotel

Structure, governance and management

Structure, governance and management

a. Constitution

As part of our project mentioned last year to put in place an incorporated structure that eliminates the exposure of our Trustees to unlimited liability, we have with our lawyers been revising the Constitution of the German YMCA to reflect modern practice and to update our objects to align them better with our charitable aspirations. The revised Constitution finally received the assent of the Charity Commission in February 2020 .Adoption of the new Constitution and the restructuring of the Charity which would have followed it were frustrated by the onset of the pandemic and the failure to resolve issues with the Trustee of the YMCA Pension Trustee. Resolution of the Pension Trust issue is an absolute prerequisite to the implementation of any corporate restructuring. Some progress has been made in this regard and the Trustees believe that as the Association’s finances continue to improve significantly it should be possible before long to implement all the desired changes.

In summary the future objects will be:

• to advance the Christian Faith by encouraging people on the path to a Christian way of life and promoting

• Christian values

• to advance religious faith by general support for churches, in particular the German churches in the UK

• and our local churches in Bayswater.

• to provide facilities for social welfare, for cultural activity, recreation and leisure, for young and old, and

• especially those in deprived circumstances.

• the prevention and relief of poverty

• to provide educational opportunities, especially for young people

• to promote racial harmony, especially between Germany and the United Kingdom

Page 9

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

Structure, governance and management (continued)

b. Methods of appointment or election of Trustees

The management of the charity is the responsibility of the Trustees who form the Board of Management and are elected and co-opted under the terms of the Model Constitution YMCA adopted 21 November 1977, amended 8 June 1993 and last amended 24 June 2003. Trustees are elected at the Annual General Meeting of the charity for a term of three years.

Holding Trustees of the charity, apart from the National Council of YMCAs, are Members of the Board of Management. These are the continuing trustees appointed in accordance with the Declaration of Trust of 12 May 1969 and Deeds of Appointment dated 9 March 2011 and 15 February 2015:

C Daur D Losse Chairman M. Tinsley

The National Council of YMCAs (Incorporated)

Mr U Maynard - CEO until 31st October 2022

Mrs R Tinsley – CEO from 1st November 2022 and is the Managing Director of Lancaster Hall Hotel Limited.

c. Policies adopted for the induction and training of Trustees

Newly appointed trustees are provided with copies of the charity’s constitution, the previous year’s “Trustees Report and Financial Statements” and the previous three year’s “Annual Review”. There is an oral induction dealing with the philosophy, history and objectives of the charity.

Newly appointed trustees are inducted into their responsibilities and duties under Charity Commission regulations on the basis of Charity Commission publications.

Ongoing trustee development takes place at each meeting of the Board of Management.

d. Pay policy for senior staff

Senior staff are paid with reference to pay scales developed by YMCA England and pay increases are implemented as suggested annually by YMCA England. The YMCA England pay scales and the associated increases are themselves based on those used by local government. There is a Remuneration sub committee consisting of three trustees which reviews the salaries from time to time and makes adjustments as these become necessary to ensure a fair rate of remuneration.

Page 10

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

Structure, governance and management (continued)

e. Organisational structure and decision making

The members of the Board of Management are responsible for the day to day running of the charity and its trading subsidiary, Lancaster Hall Hotel Limited. The Board of Management reports annually to the Annual General Meeting of the charity.

The day-to-day management of Lancaster Hall Hotel Limited is the responsibility of its Directors, appointed by the Board of Management. For the current year these were:

D Losse U Maynard R Tinsley – Managing Director and Company Secretary M Quigley

Page 11

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

Structure, governance and management (continued)

f. Risk management

The Trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the charity and its trading subsidiary, and are satisfied that systems are in place to mitigate our exposure to the major risks.

Finances:

The Association and trading company control procedure:

There is a strict budgetary and monitoring regime in place which ensures that income and expenditure is reviewed monthly and any necessary action initiated. The accounts are reviewed regularly by the Board of Management and all Board decisions are based on up-to-date financial information.

Investments:

For short term investments a Business Reserve Accounts is used. Long term investments with Cazenove Capital Management Limited are divided between equities, fixed interest and cash pool accounts. Investment reports are received quarterly as are cash pool accounts and are submitted to the Board of Management periodically for review.

Properties / Liabilities:

All plant is professionally maintained by outside contractors and relevant insurance cover is in place.

In house security (the charity's offices):

Apart from the mandatory fire alarm systems a camera/recording surveillance system is in place, the reception desk is manned 24 hours a day and regular night patrols are effected.

Staff security:

Exposed staff have to follow an established code of practice to minimise risk.

Health and Safety Risk Assessment:

A comprehensive risk assessment, covering all operational activities of the charity and hotel has been carried out and is regularly reviewed. All staff are given a risk assessment relevant to their department during induction.

Staff induction:

All staff receive a comprehensive induction into all aspects of the charity or hotel’s operation, with special emphasis on health and safety issues and fire training.

The Association and trading company are GDPR compliant.

Page 12

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

Structure, governance and management (continued)

g. Retirement of Mr Uwe Maynard

The end of 2022 saw the formal retirement of our long-serving Chief Executive, Uwe Maynard. In preparation for this he had already a year earlier stepped down as Managing Director of the Lancaster Hall Hotel in favour of Rebecca Tinsley but had remained on the Hotel Board as a non -executive Director and will happily continue in this role post-retirement. We are delighted that in this way we shall still be able to call on his knowledge and experience in the future.

In November 2022 he relinquished his remaining role of Chief Executive Officer of the German YMCA but agreed to remain in service until the end of the year to assist Rebecca Tinsley, his successor., with the transition

. Uwe Maynard’s service with the Association spans a period of 46 years between 1976 and 2022.He joined as a trainee hotel manager but then left in 1982 to become the manager of a hotel in Newquay, returning in the early nineties to become Administrator of the Council for German Church Work. He joined the Board of the GYMCA in 1992 and was appointed Hotel Manager and Assistant General Secretary to Bernd Hildebrand in the GYMCA in 1993 He succeeded Bernd Hildebrand at the helm of the Association on his retirement in 2003. Elsewhere in this report we record the huge contribution the Hotel has made to the welfare of the Association, and we are indebted to Uwe Maynard for having led both Hotel and Association with great skill, modesty and humanity over so many years. The Board honoured his achievements and paid tribute to his dedicated service at a dinner in the Hotel in January 2023.

Plans for future periods

a. Future developments

After extended discussions with the Charity Commission and with the strong support of our lawyers, assent was finally given on the 18th December 2019 for the registration of the German Christian Association (London) CIO., Charity No1187036, with identical objects to those of the German YMCA. The new CIO will ultimately hold some of the Association’s assets in trust and will act as its Corporate Trustee, bringing to an end the era of unlimited liability for our individual trustees.

As mentioned previously in this report the adoption of our revised constitution and the corporate restructuring this would have brought about have been frustrated first by the pandemic and then subsequently by a failure, despite our best efforts, to reach the necessary agreements with the Pension Trustee of the YMCA Pension Fund, which is a pre-requisite to any corporate changes.

The Trustees are determined to bring this long drawn-out negotiation to a satisfactory conclusion and believe the significant improvement in the Association’s finances widens the options for doing so. The Trustees are preparing to take radical action to achieve the essential strategic changes as soon as possible as we believe the circumstances are gradually becoming more propitious for a resolution.

Page 13

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

Statement of Trustees' responsibilities

The Trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England & Wales 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 Group and the Charity and of their incoming resources and application of resources, including their income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles of the Charities SORP (FRS 102);

• make judgements and accounting estimates that are reasonable and prudent;

• state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;

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

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the Group and the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of information to auditors

Each of the persons who are Trustees at the time when this Trustees' Report is approved has confirmed that:

• so far as that Trustee is aware, there is no relevant audit information of which the charitable group's auditors are unaware, and

• that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audit information and to establish that the charitable group's auditors are aware of that information.

Auditors

The auditors, Haslers, have indicated their willingness to continue in office. The designated Trustees will propose a motion reappointing the auditors at a meeting of the Trustees.

Approved by order of the members of the board of Trustees on 15 January 2024 and signed on their behalf by:

M Tinsley

(Trustee)

Page 14

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

Opinion

We have audited the financial statements of German Young Men's Christian Association in London (the 'parent charity') and its subsidiaries (the 'group') for the year ended 31 December 2022 which comprise the Consolidated Statement of Financial Activities, the Consolidated Balance Sheet, the Charity Balance Sheet, the Consolidated Statement of Cash Flows and the related notes, including a summary of significant accounting policies. 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).

The financial statements have been prepared in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.

This has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

In our opinion the financial statements:

• give a true and fair view of the state of the Group's and of the parent charity's affairs as at 31 December 2022 and of the Group's incoming resources and application of resources, including its 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 Charities Act 2011.

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 Auditors' 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 United Kingdom, including the Financial Reporting Council'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's or the parent charity'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.

Page 15

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON (CONTINUED)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The Trustees are responsible for the other information contained within the Annual Report. 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. 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 course of 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 this gives rise to a material misstatement in the financial statements themselves. 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.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

• the information given in the Trustees' Report is inconsistent in any material respect with the financial statements; or

• the parent Charity has not kept sufficient accounting records; or

• the parent Charity financial statements are not in agreement with the accounting records and returns; 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 are responsible for the preparation of the financial statements which 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 parent charity'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 parent charity or to cease operations, or have no realistic alternative but to do so.

Page 16

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON (CONTINUED)

Auditors' responsibilities for the audit of the financial statements

We have been appointed as auditor under section 151 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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 Auditors' 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 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:

Based on our understanding of the legal and regulatory frameworks that are applicable to the entity we have considered those that have a direct and indirect material impact on the financial statements and operations of the company. These include but are not limited to the Charities Act 2011, GDPR, and Employment and Health & Safety legislation.

We obtained an understanding of how the company are complying with those legal and regulatory frameworks by making inquiries to the management. We corroborated our inquiries through our review of documentation generated and assessing the extent of compliance with the relevant laws and regulations.

We discussed among the audit engagement team regarding the opportunities and incentives, including management override of controls, that may exist within the organisation for fraud and how and where fraud might occur in the financial statements.

As a result of performing the above, we identified the greatest potential for material misstatements due to fraud are in the following areas, and our specific procedures performed to address these are described below:

The risk of management override of controls is the area where the financial statements were most susceptible to material misstatement due to fraud.

Procedures performed to address these were as follows:

• Identifying and assessing the design effectiveness of controls management has in place to prevent and detect fraud, including known or suspected instances of non-compliance with laws and regulations, and fraud,

• Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process,

• Challenging assumptions and judgements made by management in its significant accounting estimates,

• Identifying and testing journal entries, in particular any unusual journal entries posted around the year-end and journal entries posted by infrequent system users,

• Ensuring that restricted and unrestricted reserves have been allocated correctly,

Page 17

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON (CONTINUED)

• Reviewing board minutes for any discussion of events or evidence which will have an impact on the financial statements.

• Reviewing forecasts and budgets to determine if the entity can be deemed a going concern.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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 Auditors' Report.

Use of our report

This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an Auditors' 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 charity and its trustees, as a body, for our audit work, for this report, or for the opinions we have formed.

Haslers

Chartered Accountants Statutory Auditor

Old Station Road

Loughton

Essex

IG10 4PL

15 January 2024

Haslers are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.

Page 18

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2022

Note Income from: Donations and legacies 3 Other trading activities 4 Investments 5 Other income 6 Total income Expenditure on: Raising funds Charitable activities Total expenditure Net (expenditure)/income before net (losses)/gains on investments Net (losses)/gains on investments Net (expenditure)/income before taxation Taxation Net movement in funds before other recognised gains Other recognised gains: Gains on revaluation of fixed assets Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward	Restricted funds 2022 £ 28,029 - - - 28,029 - 50,552 50,552 (22,523) - (22,523) - (22,523) - (22,523) 237,220 (22,523) 214,697	Unrestricted funds 2022 £ 16,045 2,370,475 245,952 5,553 2,638,025 1,236,135 1,029,101 2,265,236 372,789 (72,840) 299,949 (11,197) 288,752 - 288,752 4,889,367 288,752 5,178,119	Total funds 2022 £ 44,074 2,370,475 245,952 5,553 2,666,054 1,236,135 1,079,653 2,315,788 350,266 (72,840) 277,426 (11,197) 266,229 - 266,229 5,126,589 266,229 5,392,816	Total funds 2021 £ 298,301 667,492 207,893 212,381
				1,386,067
				741,663 616,534
				1,358,197
				27,870 41,835
				69,705 5
				69,710 576,460
				646,170
				4,480,419 646,170
				5,126,589

The Consolidated Statement of Financial Activities includes all gains and losses recognised in the year.

The notes on pages 24 to 48 form part of these financial statements.

Page 19

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

CONSOLIDATED BALANCE SHEET AS AT 31 DECEMBER 2022

Note Fixed assets Tangible assets 10 Investments 12 Investment property 11 Current assets Stocks 13 Debtors 14 Cash at bank and in hand Creditors: amounts falling due within one year 15 Net current assets Total assets less current liabilities Creditors: amounts falling due after more than one year 16 Provisions for liabilities Net assets excluding pension asset Total net assets	10,042 189,497 993,664 1,193,203 (449,795)	2022 £ 651,254 696,579 3,485,000 4,832,833 743,408 5,576,241 (172,833) (10,591) 5,392,817 5,392,817	13,986 53,807 668,875 736,668 (307,842)	2021 £ 664,048 743,585 3,485,000 4,892,633 428,826 5,321,459 (183,850) (11,022) 5,126,587 5,126,587

Page 20

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

CONSOLIDATED BALANCE SHEET (CONTINUED) AS AT 31 DECEMBER 2022

Note Charity funds Restricted funds 18 Unrestricted funds Unrestricted funds excluding pension asset 18 Pension reserve 18 Total unrestricted funds 18 Total funds	5,376,440 (198,320)	2022 £ 214,697 5,178,120 5,392,817	5,100,521 (211,154)	2021 £ 237,220 4,889,367
				5,126,587

The financial statements were approved and authorised for issue by the Trustees on 15 January 2024 and signed on their behalf by:

M Tinsley Trustee

The notes on pages 24 to 48 form part of these financial statements.

Page 21

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

CHARITY BALANCE SHEET AS AT 31 DECEMBER 2022

Note Fixed assets Tangible assets 10 Investments 12 Investment property 11 Current assets Debtors 14 Cash at bank and in hand Creditors: amounts falling due within one year 15 Net current assets Total assets less current liabilities Creditors: amounts falling due after more than one year 16 Net assets excluding pension asset Total net assets Charity funds Restricted funds 18 Unrestricted funds 18 Total funds	416,299 369,503 785,802 (45,428)	2022 £ 447,258 697,579 3,485,000 4,629,837 740,374 5,370,211 (172,833) 5,197,378 5,197,378 214,697 4,982,681 5,197,378	222,731 613,701 836,432 (46,353)	2021 £ 447,258 744,585 3,485,000 4,676,843 790,079 5,466,922 (183,850) 5,283,072 5,283,072 237,220 5,045,852 5,283,072

The financial statements were approved and authorised for issue by the Trustees on 15 January 2024 and signed on their behalf by:

M Tinsley

(Trustee)

The notes on pages 24 to 48 form part of these financial statements.

Page 22

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2022

Cash flows from operating activities Net cash used in operating activities Cash flows from investing activities Dividends, interests and rents from investments Net cash provided by/(used in) investing activities Cash flows from financing activities Net cash provided by financing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year The notes on pages 24 to 48 form part of these financial statements	2022 £ 251,949 72,840 72,840 - 324,789 668,875 993,664	2021 £ (16,907) (41,835) (41,835) - (58,742) 727,617 668,875

Page 23

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

1. General information

German Young Men's Christian Association in London is a charitable organisation, registered in England and Wales, with a charity number of 250118. The registered address is 34 Craven Terrace, Lancaster Gate, London, W2 3EL.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - 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) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

German Young Men's Christian Association in London meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The financial statements are presented in pound sterling which is the functional currency of the company and rounded to the nearest £.

The Consolidated Statement of Financial Activities (SOFA) and Consolidated Balance Sheet consolidate the financial statements of the Charity and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis.

2.2 Income

All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Grants are included in the Consolidated Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance Sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.

Page 24

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

2. Accounting policies (continued)

2.3 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Expenditure on raising funds includes all expenditure incurred by the Group to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.

All expenditure is inclusive of irrecoverable VAT.

2.4 Government grants

Government grants relating to tangible fixed assets are treated as deferred income and released to the Consolidated Statement of Financial Activities over the expected useful lives of the assets concerned. Other grants are credited to the Consolidated Statement of Financial Activities as the related expenditure is incurred.

2.5 Taxation

The Charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

2.6 Tangible fixed assets and depreciation

Tangible fixed assets costing £250 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Page 25

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

2. Accounting policies (continued)

2.6 Tangible fixed assets and depreciation (continued)

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives.

Depreciation is provided on the following bases:

• Freehold property 0% straight line - Fixtures and fittings 15% straight line - Computer equipment 25% straight line

2.7 Investments

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance Sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Consolidated Statement of Financial Activities.

Investments in subsidiaries are valued at cost less provision for impairment.

2.8 Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks.

2.9 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

2.10 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

2.11 Liabilities

Liabilities and provisions are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Consolidated Statement of Financial Activities as a finance cost.

Page 26

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

2. Accounting policies (continued)

2.12 Deferred taxation

Full provision is made for deferred tax assets and liabilities arising from all timing differences between the recognition of gains and losses in the financial statements and recognition in the tax computation.

A net deferred tax asset is recognised only if it can be regarded as more likely than not that there will be suitable taxable surpluses from which the future reversal of the underlying timing differences can be deducted.

Deferred tax assets and liabilities are calculated at the tax rates expected to be effective at the time the timing differences are expected to reverse.

2.13 Financial instruments

The Group only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

2.14 Pensions

German Young Men's Christian Association In London participated in a multi-employer defined benefit pension plan for employees of YMCAs in England, Scotland and Wales, which was closed to new members and and accruals on 30 April 2007. Due to insufficient information, the plan's actuary has advised that it is not possible to seperately identify the assets and liabilities relating to German Young Men's Christian Association In London.

As described in note 24 German Young Men's Christian Association In London has a contractual obligation to make pension deficit payments of £28,305 pa over the period to April 2027, accordingly this is shown as a liability in notes 14 and 15 to these accounts. In addition, German Young Men's Christian Association In London is required to contribute £12,834 pa to the operating expenses of the Pension Plan and these costs are charged to the Statement of Financial Activities as made.

2.15 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Group for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Investment income, gains and losses are allocated to the appropriate fund.

Page 27

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

3. Income from donations and legacies

Donations Grants Government grants Total 2021	Restricted funds 2022 Unrestricted funds 2022 £ £ - 16,045 28,029 - - - 28,029 16,045 235,264 63,037	Total funds 2022 £ 16,045 28,029 - 44,074 298,301	Total funds 2021 £ 7,971 235,264 55,066
			298,301

4. Income from other trading activities Income from fundraising events

Unrestricted funds 2022 £ Income from Lancaster Hall Hotel Limited 2,370,475 Income from Bring and Buy - 2,370,475 Total 2021 667,492	Total funds 2022 £ 2,370,475 - 2,370,475 667,492	Total funds 2021 £ 667,312 180
		667,492

Page 28

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

5. Investment income

Unrestricted funds 2022 £ Rental income 216,589 Dividends and tax credits 27,365 Interest on deposits 1,998 245,952 Total 2021 207,893	Total funds 2022 £ 216,589 27,365 1,998 245,952 207,893	Total funds 2021 £ 181,286 26,569 38
		207,893

Total 2021

6. Other incoming resources

Government grants Membership fees received Total 2021	Unrestricted funds 2022 £ - 5,553 5,553 212,381	Total funds 2022 £ - 5,553 5,553 212,381	Total funds 2021 £ 205,360 7,021
			212,381

Page 29

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

7. Analysis of expenditure

German YMCA Work and Youth Work National Agency Grant Schubertiade Concert Support costs Total 2021	Activities undertaken directly 2022 £ 141,972 50,552 1,694 - 194,218 151,443	Support costs 2022 £ 94,652 - - 790,783 885,435 465,090	Total funds 2022 £ 236,624 50,552 1,694 790,783 1,079,653 616,533	Total funds 2021 £ 121,985 29,447 14 465,087
				616,534

Analysis of direct costs

Staff costs Travel and coach hire Youth office costs Postage and stationery Conference fees Telephone and communication Sundry Expenses Donations Schubertiade concert costs Cost of placement Xmas market costs Total 2022 Total 2021	German YMCA Work and Youth Work 2022 £ 125,735 270 818 1,374 475 100 2,851 9,990 - - 358 141,971 121,985	National Agency Grant 2022 £ - 5,092 2,751 - - - - - - 42,709 - 50,552 -	Schubertiade Concert 2022 £ - - - - - - - - 1,696 - - 1,696 29,447	Total funds 2022 £ 125,735 5,362 3,569 1,374 475 100 2,851 9,990 1,696 42,709 358 194,219 151,443	Total funds 2021 £ 115,701 3,199 1,898 1,833 - 93 2,565 757 14 25,383 -
					151,443

Page 30

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

7. Analysis of expenditure (continued)

Analysis of support costs

Agency staff Postage and stationary Depreciation on fixtures and fittings Telephone communication Sundry expenses Auditors fees Legal and professional Pension expense Insurance Property expenses Bank charges Salaries Accountancy fees Water rates Advertising Light and heat Computer costs Subscriptions Property maintenance	German YMCA Work and Youth Work 2022 £ 94,652 - - - - - - - - - - - - - - - - - - 94,652	Support costs 2022 £ - 6,987 12,795 17,504 3,327 28,350 47,397 (12,834) 60,057 108,811 75,569 69,069 115 27,507 410 150,601 22,538 58,269 114,310 790,782	Total funds 2022 £ 94,652 6,987 12,795 17,504 3,327 28,350 47,397 (12,834) 60,057 108,811 75,569 69,069 115 27,507 410 150,601 22,538 58,269 114,310 885,434	Total funds 2021 £ - 2,221 14,303 16,107 962 22,050 69,364 (11,051) 57,137 23,377 15,833 73,851 3,335 7,575 170 63,261 14,688 22,293 69,614 465,090

Page 31

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

8. Auditors' remuneration

	2022	2021
	£	£
Fees payable to the Charity's auditor for the audit of the Charity's annual
accounts	28,350	22,050
Fees payable to the Charity's auditor in respect of:
Taxation compliance services	1,650	1,500

9. Staff costs

Wages and salaries Contribution to defined contribution pension schemes	Group 2022 £ 830,318 32,019 862,337	Group 2021 £ 688,630 20,205 708,835	Charity 2022 £ 105,982 19,752 125,734	Charity 2021 £ 105,661 10,040
				115,701

The average number of persons employed by the Charity during the year was as follows:

Charity staff Hotel staff	Group 2022 No. 5 34 39	Group 2021 No. 5 30 35	Charity 2022 No. 5 - 5	Charity 2021 No. 5 -
				5

No employee received remuneration amounting to more than £60,000 in either year.

Total remuneration paid to key management personnel was £148,366 (2021: £121,912).

Page 32

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

10. Tangible fixed assets

Group

Cost or valuation At 1 January 2022 At 31 December 2022 Depreciation At 1 January 2022 Charge for the year At 31 December 2022 Net book value At 31 December 2022 At 31 December 2021	Freehold property £ 659,673 659,673 52,600 4,248 56,848 602,825 607,073	Fixtures and fittings £ 392,225 392,225 335,250 8,546 343,796 48,429 56,975	Computer equipment £ 34,612 34,612 34,612 - 34,612 - -	Total £ 1,086,510
				1,086,510
				422,462 12,794
				435,256
				651,254
				664,048

Page 33

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

10. Tangible fixed assets (continued)

Charity

Cost or valuation At 1 January 2022 At 31 December 2022 Depreciation At 1 January 2022 At 31 December 2022 Net book value At 31 December 2022 At 31 December 2021	Freehold property £ 447,258 447,258 - - 447,258 447,258	Fixtures and fittings £ 24,146 24,146 24,146 24,146 - -	Total £ 471,404
			471,404
			24,146
			24,146
			447,258
			447,258

Page 34

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

11. Investment property Group Valuation At 1 January 2022 At 31 December 2022 Charity Valuation At 1 January 2022 At 31 December 2022	Freehold investment property £ 3,485,000
	3,485,000
	Freehold investment property £ 3,485,000
	3,485,000

The investment property shown above includes the aspects of certain properties that are let out to 3rd parties and therefore not shown as fixed assets. These properties of 32, 39, 41, 43 and 45 Craven Road have been valued by Sloan Property Services, and their fair value amounts to £4,950,000. However because some of these properties are held as staff accomodation and used within the group their fair value is not reflected in the accounts, instead their signficantly lower cost value is shown within the tangible fixed asset note.

During the year an element of one of the properties has a change of use and changed from staff accomodation to being let and the trustees feel this will continue. As a result there has been a transfer of class between tangible fixed assets and investment property and a subsequent fair value uplift as a result.

Page 35

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

12. Fixed asset investments

Group Cost or valuation At 1 January 2022 Revaluations Transfers between classes At 31 December 2022 Net book value At 31 December 2022 At 31 December 2021 Charity Cost or valuation At 1 January 2022 Revaluations Transfers between classes At 31 December 2022 Net book value At 31 December 2022 At 31 December 2021	Investments in subsidiary companies £ 1,000 - - 1,000 1,000 1,000	Listed investments £ 743,585 25,835 (72,841) 696,579 696,579 743,585	Listed investments £ 743,585 25,835 (72,841) 696,579 696,579 743,585 Total £ 744,585 25,835 (72,841) 697,579 697,579 744,585

Page 36

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

12. Fixed asset investments (continued)

Principal subsidiaries

The following was a subsidiary undertaking of the Charity:

	Name	Registered office or principal	Registered office or principal	Registered office or principal	Holding Included in	Holding Included in	Holding Included in
		place of business				consolidation
	Lancaster Hall Hotel Limited	England and Wales				100% Yes
	The financial results of the subsidiary for the year were:
	Name	Income	Expenditure		Profit/(Loss)		Net assets
		£		£		/ Surplus/	£
						(Deficit) for
						the year
						£
	Lancaster Hall Hotel Limited	2,370,475		2,019,548		350,927	194,070
13.	Stocks
						Group	Group
						2022	2021
						£	£
	Finished goods and goods for resale					10,042	13,986
14.	Debtors
		Group		Group		Charity	Charity
			2022	2021		2022	2021
			£		£	£	£
	Due within one year
	Trade debtors	41,613		9,530		-	-
	Other debtors	105,291		10,406		399,839	219,116
	Prepayments and accrued income	42,593		33,871		16,460	3,615
		189,497		53,807		416,299	222,731

Page 37

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

15. Creditors: Amounts falling due within one year

Pension contractual liability Trade creditors Corporation tax Other taxation and social security Other creditors Accruals and deferred income	Group 2022 £ 27,293 171,793 13,001 143,702 6,721 87,285 449,795	Group 2021 £ 27,304 172,707 - 41,324 4,478 62,029 307,842	Charity 2022 £ 27,293 1,571 - 4,656 3,720 8,188 45,428	Charity 2021 £ 27,304 4,726 - 353 4,133 9,837
				46,353

16. Creditors: Amounts falling due after more than one year

Pension contractual liability Other creditors	Group 2022 £ 83,275 89,558 172,833	Group 2021 £ 105,672 78,178 183,850	Charity 2022 £ 83,275 89,558 172,833	Charity 2021 £ 105,672 78,178
				183,850

Page 38

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

17. Deferred taxation

Group At the beginning of the year Utilised in the year	2022 £ 12,395 (1,804) 10,591

The deferred tax liability is made up as follows: Accelerated capital allowances	Group 2022 £ (10,591) (10,591)	Group 2021 £ (11,022) (11,022)

Page 39

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

18. Statement of funds

Statement of funds - current year

Unrestricted funds Designated funds Designated Funds - all funds Schubertiade Concert General funds General Funds Lancaster Hall Hotel Limied Revaluation reserve Pension reserve Total Unrestricted funds	Balance at 1 January 2022 £ - 1,651 1,651 1,972,899 (155,489) 3,281,460 (211,154) 4,887,716 4,889,367	Income £ - 196 196 253,442 2,371,554 - 12,834 2,637,830 2,638,026	Expenditure £ - (1,696) (1,696) (254,135) (2,009,405) - - (2,263,540) (2,265,236)	Taxation £ - - - - (11,197) - - (11,197) (11,197)	Gains/ (Losses) £ - - - (72,840) - - - (72,840) (72,840)	Balance at 31 December 2022 £ - 151 151 1,899,366 195,463 3,281,460 (198,320) 5,177,969 5,178,120

Page 40

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

18. Statement of funds (continued)

Restricted funds

Restricted funds
Music Societies Account British Council Grant National Agency Grant Total of funds	92 25,129 211,999 237,220 5,126,587	- 28,029 - 28,029 2,666,055	- - (50,552) (50,552) (2,315,788)	- - - - (11,197)	- - - - (72,840)	92 53,158 161,447
						214,697
						5,392,817

Unrestricted general - Represents funds for the general use of the Charity towards its charitable objectives on which there is no designation or restriction.

Schubertiade Concert - Its purpose is to cover the costs of the artists and catering at these concerts which are attended by member of the public.

Music Societies Account - Its purpose is to fund and facilitate events by various musical societies in Greater London. British Council Grant - Its purpose is to provide training and education opportunities for students outside of the UK.

British Council Grant - Its purpose is to provide training and education opportunities for students outside of the UK.

National Agency Grant - Its purpose is to provide Youth Opportunities.

Pension Reserve - Its purpose is to disclose separately the pension liability.

Revaluation Reserve - Its purpose is to disclosure seperately the revaluation on the freehold investment property.

Page 41

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

18. Statement of funds (continued) Statement of funds - prior year Unrestricted funds Designated funds Schubertiade Concert General funds General Funds Lancaster Hall Hotel Limied Revaluation reserve Pension reserve Total Unrestricted funds	Balance at 1 January 2021 £ 1,665 - 1,665 1,894,545 72,365 2,705,000 (224,560) 4,447,350 4,449,015	Income £ - - - 264,717 872,681 - 13,406 1,150,804 1,150,804	Expenditure £ (14) - (14) (228,198) (1,100,540) - - (1,328,738) (1,328,752)	Taxation £ - - - - 5 - - 5 5	Gains/ (Losses) £ - - - 41,835 - 576,460 - 618,295 618,295	Balance at 31 December 2021 £ 1,651 - 1,651 1,972,899 (155,489) 3,281,460 (211,154) 4,887,716 4,889,367

Page 42

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

18. Statement of funds (continued)

Restricted funds

Music Societies Account British Council Grant National Agency Grant Total of funds	92 6,804 24,507 31,403 4,480,418	- 18,325 216,939 235,264 1,386,068	- - (29,447) (29,447) (1,358,199)	- - - - 5	- - - - 618,295	92 25,129 211,999
						237,220
						5,126,587

Page 43

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

19. Summary of funds

Summary of funds - current year

Designated funds General funds Restricted funds Summary of funds - prior year Designated funds General funds Restricted funds	Balance at 1 January 2022 £ 1,651 4,887,716 237,220 5,126,587 Balance at 1 January 2021 £ 1,665 4,447,350 31,403 4,480,418	Income £ 196 2,637,830 28,029 2,666,055 Income £ - 1,150,804 235,264 1,386,068	Expenditure £ (1,696) (2,263,540) (50,552) (2,315,788) Expenditure £ (14) (1,328,738) (29,447) (1,358,199)	Taxation £ - (11,197) - (11,197) Taxation £ - 5 - 5	Gains/ (Losses) £ - (72,840) - (72,840) Gains/ (Losses) £ - 618,295 - 618,295	Balance at 31 December 2022 £ 151 5,177,969 214,697
						5,392,817
						Balance at 31 December 2021 £ 1,651 4,887,716 237,220
						5,126,587

Page 44

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

20. Analysis of net assets between funds

Analysis of net assets between funds - current year

Tangible fixed assets Fixed asset investments Investment property Current assets Creditors due within one year Creditors due in more than one year Provisions for liabilities and charges Total Analysis of net assets between funds - prior year Tangible fixed assets Fixed asset investments Investment property Current assets Creditors due within one year Creditors due in more than one year Provisions for liabilities and charges Total	Restricted funds 2022 Unrestricted funds 2022 £ £ - 651,254 - 696,579 - 3,485,000 836,433 356,770 (621,736) 171,941 - (172,833) - (10,591) 214,697 5,178,120 Restricted funds 2021 Unrestricted funds 2021 £ £ - 664,048 - 743,585 - 3,485,000 537,245 199,422 (300,025) (7,817) - (183,850) - (11,022) 237,220 4,889,366	Total funds 2022 £ 651,254 696,579 3,485,000 1,193,203 (449,795) (172,833) (10,591) 5,392,817 Total funds 2021 £ 664,048 743,585 3,485,000 736,667 (307,842) (183,850) (11,022) 5,126,586

Page 45

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

21. Reconciliation of net movement in funds to net cash flow from operating activities

Net income for the year (as per Statement of Financial Activities) Adjustments for: Depreciation charges Gains/(losses) on investments Decrease/(increase) in stocks Decrease/(increase) in debtors Increase in creditors Net cash provided by operating activities 22. Analysis of cash and cash equivalents Cash in hand Total cash and cash equivalents 23. Analysis of changes in net debt At 1 January 2022 £ Cash at bank and in hand 668,875 Debt due within 1 year (27,304) Debt due after 1 year (105,672) 535,899	Group 2022 £ 266,229 12,794 (72,840) 3,944 (135,682) 117,931 192,376 Group 2022 £ 993,664 993,664 Cash flows £ 324,789 11 22,397 347,197	Group 2021 £ 69,710 14,302 (41,835) (4,552) (170,910) 143,032 9,747 Group 2021 £ 668,875 668,875 At 31 December 2022 £ 993,664 (27,293) (83,275) 883,096

Page 46

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

24. Pension commitments

German Young Men's Christian Association In London participated in a contributory pension plan providing defined benefits based on final pensionable pay for employees of YMCAs in England, Scotland and Wales. The assets of the YMCA Pension Plan are held separately from those of German Young Men's Christian Association In London and at the year end these were invested in the Mercer Dynamic De-risking Solution, 40% matching portfolio and 60% in the growth portfolio and Schroder (property units only).

The most recent completed three year valuation was as at 1 May 2017. The assumptions used which have the most significant effect on the results of the valuation are those relating to the assumed rates of return on assets held before and after retirement of 3.75% and 2.25% respectively, the increase in pensions in payment of 3.35% (for RPI capped at 5% p.a.), and the average life expectancy from normal retirement age (of 65) for a current male pensioner of 22.2 years, female 24.1 years, and 24.0 years for a male pensioner, female 26.0 years, retiring in 20 years time. The result of the valuation showed that the actuarial value of the assets was £141.2m. This represented 81% of the benefits that had accrued to members.

The Pension Plan was closed to new members and future service accrual with effect from 30 April 2007. With the removal of the salary linkage for benefits all employed deferred members became deferred members as from 1 May 2011.

The valuation prepared as at 1 May 2017 showed that the YMCA Pension Plan had a deficit of £33.6 million. German Young Men's Christian Association In London has been advised that it will need to make monthly contributions of £2,212 from 1 May 2022. This amount is based on the current actuarial assumptions (as outlined above) and may vary in the future as a result of actual performance of the Pension Plan. The current recovery period is 5 years commencing 1st May 2022.

In addition, German Young Men's Christian Association In London may have over time liabilities in the event of the non-payment by other participating YMCAs of their share of the YMCA Pension Plan’s deficit. It is not possible currently to quantify the potential amount that German Young Men's Christian Association In London may be called upon to pay in the future.

25. Operating lease commitments

At 31 December 2022 the Group and the Charity had commitments to make future minimum lease payments under non-cancellable operating leases as follows:

Not later than 1 year Later than 1 year and not later than 5 years	Group 2022 £ 5,352 8,772 14,124	Group 2021 £ 5,890 14,124
		20,014

Page 47

GERMAN YOUNG MEN'S CHRISTIAN ASSOCIATION IN LONDON

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

26. Related party transactions

During the year transactions with the following related parties occured:

Lancaster Hall Hotel Limited - Subsidiary.

At the year end, £297,304 (2021: £208,718) was due from Lancaster Hall Hotel Limited.

Page 48