## **SOUTHWICK** 

## **COMMUNITY ASSOCIATION** 

## **REPORT OF THE TRUSTEES** 

## AND 

## **FINANCIAL STATEMENTS** 

## FOR THE 

**YEAR ENDED 31 MARCH 2025** 



## **SOUTHWICK COMMUNITY ASSOCIATION** 

## **REPORT AND STATEMENTS** 

## **FOR THE YEAR ENDED 31 MARCH 2025** 

|**CONTENTS**||
|---|---|
||**_Page_**|
|**General Information**|**_3_**|
|**Trustees’ Report**|**_4 - 7_**|
|**Independent Examiner’s Report**|**_8_**|
|**Statement of Financial Activities**|**_9_**|
|**Balance Sheet**|**_10_**|
|**Notes to the Financial Statements**|**_11 - 14_**|



**- 2 -** 



## **SOUTHWICK COMMUNITY ASSOCIATION** 

**REPORT & ACCOUNTS for the year ended 31 March 2025** 

## **General Information** 

_(current at date of this report)_ 

**Trustees** Malcolm Gough _(Chairman)_ David Comber _(Vice-Chairman) *_ Tony Brownings _(Hon Secretary)_ Bob Ryder _(Hon Treasurer) **_ Simon Armes Robina Bayne Maureen Cripps Yvonne Fair John Garland Martin Oakley Raymond Richards Philip Simons Richard Woolgar 

_**  and acting President *   and acting Vice-President_ 

## **Registered Charity No.** 

305370 

## **Address** 

Southwick Community Centre 24 Southwick Street Southwick West Sussex  BN42 4TE 

**Independent Examiner** Malcolm Wood FCA 

## **Bankers** 

Barclays Bank plc, Leicester LE87 2BB 

**- 3 -** 



## **SOUTHWICK COMMUNITY ASSOCIATION** 

_The Association is an unincorporated association, founded under a constitution originally adopted in January 1945 (and most recently amended in June 2012). We are a registered charity (registration number 305370)._ 

The Association’s constitution reflects the requirements of modern charity legislation and recommended good practice for community associations. 

**REPORT OF THE TRUSTEES for the year ended 31 March 2025** 

_Responsibility for the overall control of the Association’s affairs resides in the Board of Trustees, elected each year by the membership at the AGM._ 

## **The Board of Trustees serving in 2024-25** 

|Malcolm Gough|_(Chairman)_|
|---|---|
|David Comber|_(Vice-Chairman)_|
|Tony Brownings|_(Hon Secretary)_|
|Bob Ryder|_(Hon Treasurer)_|
|Simon Armes||
|Maureen Cripps||
|Yvonne Fair||
|John Garland||
|Martin Oakley||
|Raymond Richards||
|Philip Simons||
|Richard Woolgar||



The Trustees herewith present their report, together with the financial statements of the Association, for the financial year beginning on 1 April 2024 and ending on 31 March 2025. 

**- 4 -** 



## **Charitable purposes & public benefit** 

_The Association works with public authorities, and with charities and other organisations, and with individual volunteers, to advance education and to provide facilities for social welfare, recreation and leisure-time occupation, for the benefit of the people of Southwick and the neighbouring communities._ 

In fulfilment of its charitable objectives, the Association runs a large community centre in Southwick, West Sussex. The Centre and its facilities are an important focus for the local community, with a wide range of events, activities and participating organisations. 

The Association seeks to maintain a continuous programme of renewing, developing and improving the Centre’s facilities and services, for the benefit of local people. 

The Trustees pay careful regard to the Charity Commission’s guidance on public benefit. We apply it in our general overview of the Association’s affairs and have continued to do so in our decision-making during the year. 

## **A summary of the year** 

This year, as we approached the 80[th] anniversary of the Association, it was encouraging to see definite advances in two very important ‘structural’ matters the Trustees have been prioritising - both intended to safeguard and strengthen the Association’s future viability. 

- First, in the autumn we achieved the longstanding aim of launching our own charitable trading subsidiary, Southwick Community Services Ltd. This enables an expansion in the provision of food and drink catering at the Community Centre - for example, in catering for wedding receptions and similar events - with the financial benefit coming back directly to the Association, as the parent charity. The potential increase in the charity’s income is all the more important because the costs of operating the Centre (particularly staffing costs and energy costs) have come under increasing pressure in recent years - and because the pressure is a worrying trend that shows no signs of easing. 

- Secondly, there is our aim of reconstituting the Association as a Charitable Incorporated Organisation (CIO) - enabling a wider and more open form of membership and governance, while modernising the powers and the practical administration of the charity. Although this project made progress during the year, it was regrettably not enough progress to meet our stated ambition - to attain CIO status in the course of the calendar year 2025.  But we do now expect to make a formal application to the Charity Commission early in 2026. This is a much-needed reform and it remains a crucial issue for securing the Association’s future. 

Projects to upgrade parts of the Centre’s buildings (in particular in the Café wing and the north wing) have not progressed quite as quickly as hoped, but they have been firmly programmed by our landlord, Adur District Council - and it’s likely that work will start in Spring 2026. 

A big source of encouragement this year has been further progress in the community-led activities organised or hosted by the Association. As well as a rolling programme of social and cultural events, entertainments and courses, we have initiated practical support in running basic cookery classes and operating a ‘community fridge’, offering food donated by local businesses. In fact, this year has seen a number of collaborations with businesses, both in terms of financial sponsorship and practical ‘hands-on’ help, for example with painting, decorating and materials for the Centre. And the effort and energy put into fundraising 

**- 5 -** 



activities this year has yielded excellent results. These are all positive signs of a charity, nearly 80 years old, that remains eager to keep working hard for the community of today. 

## **A brief financial summary**[*] 

_All of the Association’s assets and liabilities relate to delivery of its charitable aims and objectives. Our direct expenses in providing charitable services are the personnel and other costs involved in running the Community Centre and making the facilities available for community activities. The management and administration expenses are mainly personnel costs._ 

_We determine the levels of staff pay in accordance with a policy most recently codified in 2015._ 

**Our** _**Operating  Fund,**_ **for the day-to-day running of the Community Centre** , ended with a deficit of £8,000 for the year. The biggest factor here was an unexpected drop in income from the hire of facilities - our chief source of operating income - compared with the previous year. 

**Our** _**Development Fund**_ **, designated for improvement and development** of the Centre’s facilities, equipment and community activities, had a good year - with a surplus of £19,000. The biggest fundraising element was the annual Beer Festival, with a surplus of £12,000. But there were also significant contributions from other community events and from donations. 

**Our** _**capital expenditure**_ this year (£13,600) was much lower than the long-term average, but it was used very effectively across a range of minor works to replace or improve areas of flooring, heating, lighting and security. 

**Overall** , in terms of net current assets, the Association was in a similar financial position at the end of the financial year, compared with the previous year - showing a small increase (2%) in cash terms. 

## **The Association’s funds and its policy on reserves** 

_The financial statements (p.9-15 below) set out the assets and liabilities of our funds._ 

- The **Operating Fund** is concerned with the day-to-day running of the Community Centre. We aim to maintain an **operating reserve** at a level to ensure adequate resources to cope with unexpected pressures and short-term deficits. This reserve is being kept at around 50% of a normal year’s operating expenditure. 

- The **Development Fund** is sustained by fundraising from community and social events; by donations; by grant awards; and by reserves set aside for development and renewal purposes. 

These are resources **designated** for renovation and improvement to the Community Centre; and for development of the facilities, equipment and services provided to the community. 

- **NB** .  These figures (and those in financial statements on pages 9-14 below) reflect the organisational change that took place from 1 October 2024, at which point all further income and expenditure for catering activity became the responsibility of our charitable trading subsidiary, Southwick Community Services Ltd. 

**- 6 -** 



- The **Establishment Fund** comprises the “book value” of improvements we have carried out to the fabric of our leasehold buildings (i.e. the Community Centre itself). 

Much of this book value was created from the deployment of capital grants received in the 1990s, to carry out major works of development and improvement. 

## **Statement of the Trustees’ responsibilities** 

Under the law applicable to charities in England and Wales, the Trustees must prepare financial statements for each financial year, giving a true and fair view of the Association’s financial activities during the year and of its financial position at the end of the year. In preparing these financial statements, giving a true and fair view, the Trustees are expected to follow best practice and to: 

- select suitable accounting policies, and apply them consistently; 

- make judgements and estimates that are reasonable and prudent; 

- state whether applicable accounting standards and statements of recommended practice have been followed (subject to any departures disclosed and explained in the financial statements); 

- - prepare the financial statements on a “going-concern” basis (unless circumstances mean that assumption is no longer appropriate). 

The Trustees are also responsible for keeping proper accounting records that disclose with reasonable accuracy the financial position of the Association, and that enable them both to ascertain the financial position of the Association and to ensure the financial statements comply with the Charities Act 2011. 

The Trustees are responsible for safeguarding the assets of the charity - and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. 

Signed on behalf of the Trustees:         [ _**Malcolm Gough**_ ]      and       [ _**Robert Ryder**_ ] Dated:    19 January 2026 

**- 7 -** 



## **INDEPENDENT EXAMINER’S REPORT** 

## _**to the Trustees of**_ **SOUTHWICK COMMUNITY ASSOCIATION** 

I report on the accounts of the charity for the year ended 31 March 2025, which are set out on pages 9 to 14 below. 

## **Respective responsibilities of trustees and independent examiner** 

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

## It is my responsibility to: 

- examine the accounts (under section 145 of the 2011 Act); 

- to follow the procedures laid down in the General Directions given by the Charity Commissioners (under section 145(5)(b) of the 2011 Act); 

- to state whether particular matters have come to my attention. 

## **Basis of independent examiner’s report** 

My examination was carried out in accordance with the General Directions given by the Charity Commissioners.  An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with these records.  It also includes consideration of any unusual items or disclosures in the accounts, and the seeking of explanations from you as trustees concerning any such matters.  The procedures undertaken do not provide all the evidence that would be required in an audit and, consequently, I do not express an audit opinion on the view given by the accounts. 

## **Independent examiner’s statement** 

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

- which gives me reasonable cause to believe that, in any material respect, the requirements: 

- to keep accounting records in accordance with section 130 of the 2011 Act;  and 

- to prepare accounts which accord with the accounting records and to comply with the requirements of the 2011 Act; 

- have not been met;  or 

- to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached. 

## [ _**Malcolm Wood**_ F.C.A. ] 

Fellow of the Institute of Chartered Accountants in England and Wales 

Dated:    19 January 2026 

**- 8 -** 



## **SOUTHWICK COMMUNITY ASSOCIATION** 

## **STATEMENT OF FINANCIAL ACTIVITIES** 

**FOR THE YEAR ENDED 31 MARCH 2025** 

||||**Unrestricted**|**Restricted**|**TOTAL**|**Total**|
|---|---|---|---|---|---|---|
||||**Funds**|**Funds**|**FUNDS**|**Funds**|
||||||**2025**|**2024**|
||||_£_|_£_|_£_|_£_|
|**INCOME AND EXPENDITURE**|**_Notes *_**|**_Notes *_**|||||
||||||||
|**INCOMING RESOURCES**|||||||
|**Charitable activities**|||||||
|Operation of the community centre|||**260,389**||**260,389**|333,365|
|**Other activities to generate funds**|||||||
|Community events & fundraising|||**47,309**||**47,309**|46,056|
|Donations, gifts and legacies|||**15,578**||**15,578**|2,784|
|Grants|||**5,850**||**5,850**|1,000|
|Interest from deposit accounts|||**3,671**||**3,671**|3,297|
|**TOTAL  incoming resources**|||**332,797**|**0**|**332,797**|386,502|
|**EXPENDED RESOURCES**|||||||
|**1. Cost of generating funds**|||||||
|Community events & fundraising|||**29,563**|**0**|**29,563**|26,568|
|_NET  incoming resources_<br>_available for charitable application_|||_303,234_|_0_|_303,234_|_359,934_|
|**2. Charitable expenditure**||_2_|||||
|Operating community facilities & services||_3_|**215,359**|**29,480**|**244,839**|270,284|
|Management and administration||_4_|**76,949**||**76,949**|73,582|
|**TOTAL  resources expended**|||**321,871**|**29,480**|**351,351**|370,434|
||||||||
|**Movement in Funds**||_9_|**10,926**|**(29,480)**|**(18,554)**|**16,068**|
|**Fund Transfers**|||**(7,906)**|**7,906**|**0**|0|
|**Net movement in Funds**|||**3,019.9**|**(21,574)**|**(18,554)**|16,068|
|[ _B/Fwd_ ] **FUND BALANCES at 31 March 2024**|||**537,336**|**699,613**|**1,236,949**|1,220,881|
|**FUND BALANCESAT 31 March 2025**|||**540,356**|**678,039**|**1,218,395**|1,236,949|



_*   The notes form part of these financial statements_ 

**Page 9** 



## **SOUTHWICK COMMUNITY ASSOCIATION** 

|**BALANCE SHEET**|AS AT 31 MARCH 2025|||||
|---|---|---|---|---|---|
||||**31 March**||31 March|
||||**2025**||2024|
|||_Notes *_|_£_||_£_|
|**TANGIBLE FIXED ASSETS**||_5_|**757,841**||784,788|
|**CURRENT ASSETS**||||||
|Debtors||_6_|**72,686**||54,657|
|Stocks|||**1,576**||5,416|
|Short-term deposits|||**241,690**||238,019|
|Cash at bank and in|hand||**165,694**||179,890|
||||**481,646**||477,982|
|_LESS_**CREDITORS:**|Amounts falling due|_7_|**-21,092**||-25,821|
||within one year|||||
|**NET CURRENT ASSETS**|||**460,554**||452,161|
|||||||
|**TOTAL ASSETS LESS**|**CURRENT LIABILITIES**||**1,218,395**||1,236,949|
|_LESS_**CREDITORS:**|Amounts falling due|||||
||after more than one year|_8_|**--**||--|
|**TOTAL NET ASSETS**|||**1,218,395**||1,236,949|
|**FUNDS**||||||
|Unrestricted||_9_|**540,356**||537,336|
|Restricted||_9_|**678,039**||699,613|
|**TOTAL FUNDS**|||**1,218,395**||1,236,949|



_*  The notes form part of these financial statements_ 

Approved by the board of Trustees and signed on its behalf by 

- [ _**Malcolm Gough**_ ]  and  [ _**Robert Ryder**_ ] 

**Page 10** 



## **SOUTHWICK COMMUNITY ASSOCIATION** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025** 

## **1 Accounting Policies** 

## **Accounting Convention** 

The accounts are prepared under the historical cost convention and in accordance with with the Charities Act 2011, the current Statement of Recommended Practice ("Accounting and Reporting by Charities" FRS 102) and with applicable accounting standards. 

## **Accumulated Funds** 

The accumulated funds comprise the following: 

- (a) **Operating Fund** 

This fund is for the general management and operation of the Community Centre, and the day-to-day activities of the Association. 

- (b) **Development Fund** 

This fund is _**designated**_ for income raised (and resources spent) to improve the Community Centre's facilities and equipment, and to develop its future sustainability and place in the community. 

- (c) **Establishment Fund** 

This _**restricted**_ fund embodies the value of improvements carried out to the Community Centre's buildings (which are held on leasehold) and to the Centre's integral fixtures & fittings. 

## **Fixed Assets** 

Fixed assets are recorded at cost or, in the case of fixed assets that have been donated to the Association, at valuation at the time of acquisition, less depreciation. 

## **Depreciation** 

Improvements to the Community Centre's buildings, when they come into use, are amortised over the remaining period of the lease. 

Other fixed assets are depreciated on a straight line basis over their useful lives, estimated to be: 

Theatre equipment 10 to 20 years Other equipment & fittings 5 to 15 years Electronic equipment 3 to 7 years 

## **Stocks** 

Stocks are valued at cost.  They comprise consumable items which are used in the day-to-day operation of the Community Centre. 

## **Income from operation of the Community Centre, grants & fundraising** 

These comprise amounts receivable during the year. 

## **Donations, gifts & legacies** 

These comprise amounts received during the year. 

## **Investment income** 

Investment income comprises interest income receivable on short-term deposits. 

## **Resources expended** 

Resources expended are accounted for on an accruals basis. 

**Page 11** 



## **SOUTHWICK COMMUNITY ASSOCIATION** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025** 

## **2 Charitable Expenditure** 

|**Charitable Expenditure**|||
|---|---|---|
|Charitable expenditure includes:|**2025**|**2024**|
|Wages and salaries|**176,488**|177,634|
|Depreciation|**11,101**|10,424|
|No employee earned £30,000 or more per annum.|||



No trustee received any remuneration, payments or benefits from the charity, other than refunds of expenses legitimately incurred on behalf of the charity. 

The average number of employees (full-time equivalent, analysed by function) was: 

|Community services<br>Management and administration<br>Fundraising and publicity|**2025**<br>**_3.8_**<br>**_2.7_**<br>_--_<br>**_6.5_**|**2024**|
|---|---|---|
|||_4.3_<br>_2.0_<br>_--_|
|||_6.3_|



## **3 Resources Expended** 

|Front-line operation<br>of the Community Centre<br>Management<br>and administration|**Personnel**<br>**Costs**<br>109,268<br>67,220<br>£176,488|**Depreciation**<br>**Costs**<br>11,101<br>£11,101|**Other**<br>**Costs**<br>94,990<br>9,729<br>£104,719|**Total**<br>**2025**<br>**215,359**<br>**76,949**<br>**£292,308**|**Total**|
|---|---|---|---|---|---|
||||||**2024**|
||||||241,133<br>73,582|
||||||£314,715|



**4 Management and Administration** 

|Audit fees<br>Salaries and office costs|**2025**<br>**76,549**<br>**400**<br>**£76,949**|**2024**|
|---|---|---|
|||73,182<br>400|
|||£73,582|



**Page 12** 



## **SOUTHWICK COMMUNITY ASSOCIATION** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025** 

## **5 Tangible Fixed Assets** 

|**Leasehold**<br>**improvements***<br>**_£_**<br>**COST**<br>As at 1 April 2024<br>1,244,650<br>**_ADDITIONS_**<br>**_7,906_**<br>**As at 31 March 2025**<br>**1,252,556**<br>**ACCUMULATED  DEPRECIATION**<br>As at 1 April 2024<br>545,037<br>**_CHARGE FOR YEAR_**<br>**_29,480_**<br>**As at 31 March 2025**<br>**574,517**<br>**NET BOOK VALUE**<br>As at 1 April 2024<br>699,613<br>**As at 31 March 2025**<br>**678,039**|**Theatre**<br>**equipment****<br>**_£_**<br>138,801<br>**_1,260_**<br>**140,061**<br>105,610<br>**_3,552_**<br>**109,162**<br>33,191<br>**30,899**|**Other**<br>**fittings and**<br>**equipment****<br>**_£_**<br>126,820<br>**_4,469_**<br>**131,290**<br>74,837<br>**_7,549_**<br>**82,386**<br>51,983<br>**48,904**|**Total**<br>**_£_**<br>1,510,271<br>**_13,635_**|
|---|---|---|---|
||||**1,523,906**|
||||725,484<br>**_40,581_**|
||||**766,065**|
||||784,787|
||||**757,841**|



All of the tangible fixed assets of the Association are used in the furtherance of its objects. 

***** The value of leasehold improvement assets is included in the Establishment Fund (Restricted). 

****** The value of all other tangible fixed assets is included in the Development Fund (Unrestricted). 

|**6**<br>**Debtors**<br>Trade debtors<br>Charitable trading subsidary<br>Prepayments|**2025**<br>27,715<br>13,951<br>31,019<br>**£72,686**|**2024**|
|---|---|---|
|||50,869<br>0<br>3,788|
|||**£54,657**|



**Page 13** 



## **SOUTHWICK COMMUNITY ASSOCIATION** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025** 

## **7 Creditors   (amounts falling due within one year)** 

|Trade creditors<br>Accruals<br>Other creditors<br>Loans|**2025**<br>1,801<br>11,132<br>8,159<br>0<br>£21,092|**2024**|
|---|---|---|
|||6,959<br>13,281<br>5,581<br>0|
|||£25,821|



**8 Creditors   (amounts falling due after more than one year)** 

||**2025**|**2024**|
|---|---|---|
|Within two to five years|£0|£0|



## **9 Restricted & Unrestricted Funds** 

|**Restricted& Unrestricte**|**d Funds**|||||
|---|---|---|---|---|---|
|**UNRESTRICTED  funds**<br>**Operating Fund**<br>**Development Fund**<br>**RESTRICTED  funds**<br>**Establishment Fund**|**Balance at**<br>**1 April2024**<br>146,901<br>390,435<br>537,336<br>699,613<br>£1,236,949|**_Movement in resour_**||**_ces_**<br>**_Fund_**<br>**_transfers_**<br>0<br>-7,906<br>-7,906<br>7,906<br>0|**Balance at**<br>**31 March2025**<br>**138,643**<br>**401,713**|
|||**_Incoming_**<br>270,389<br>62,408<br>332,797<br>0<br>£332,797|**_Outgoing_**<br>-278,647<br>-43,224<br>-321,871<br>-29,480<br>-£351,351|||
||||||**540,357**<br>**678,039**|
||||||**£1,218,395**|



The **UNRESTRICTED** funds represent: 

- in the **Operating Fund** 

the general everyday income and expenditure involved in the operation of the Community Centre. 

- in the **Development Fund** 

the resources designated to improve the Community Centre's facilities and equipment; and to develop the Centre's future sustainability and place in the community. 

The **RESTRICTED** funds of the Association represent: 

## •  in the **Establishment Fund** 

the book value of improvements carried out to the Community Centre's buildings, and to its integral fixtures and fittings. 

The Association carried out a major building project (1996-98) with the help of specific grants from public bodies and donations from other contributors. To a considerable extent the Establishment Fund still comprises the value of the fixed assets created by that project. But other significant improvements to the Centre's buildings, fixtures and fittings have been carried out since - and all of those leasehold assets are also incorporated in the Establishment Fund. 

**Page 14**