Annual Report and
Financial Statements
for the Year Ended 30 September 2022
for
Firhill Community Trust
Registered Charity Number: SC020952
Firhill Community Trust
Contents of the Financial Statements for the Year Ended 30 September 2022
| Page | |
|---|---|
| Report of the Trustees | 1 |
| Report of the Independent Examiner | 4 |
| Statement of Financial Activities | 5 |
| Balance Sheet | 6 |
| Notes to the Financial Statements | 7 |
| Trading and Profit and Loss Account | 12 |
Firhill Community Trust
Trustees Report for the Year Ended 30 September 2022
The Trustees present their report and financial statements for the Year Ended 30 September 2022. The trustees have adopted the provisions of 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).
REFERENCE AND ADMINISTRATIVE DETAILS
Registered Charity number: SC020952
Registered office:
Trustees
STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document
The organisation is a charitable trust set up and registered as a charity on 4 December 1992. It is governed by the conditions set out in its trust deed.
Appointment of Trustees
The Trust shall have no more than seven Trustees. Partick Thistle Football Club have the power to nominate and appoint one Trustee, Glasgow City Council have the power to nominate and appoint two Trustees.
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Firhill Community Trust
Trustees Report for the Year Ended 30 September 2022
OBJECTIVES & ACTIVITIES
The objectives of the Trust are to assist in providing the community with sporting and health facilities with the intention of improving the health and community spirit of the area it serves, in line with the OSCR guidance on public benefit.
To this end the Trust operates a multi sports facility.
ACHIEVEMENTS AND PERFORMANCE
Usage of the Trust’s facilities returned close to pre-pandemic levels during the year, and the Trustees are optimistic that a full return to pre pandemic levels can be achieved during the year ahead. The sports hall and the main pitch continue to be well utilised, while usage of five a side facilities has continued to struggle in line with recent trends. The Trustees are continuing to explore all options in this regard to maximise usage of the facility.
FINANCIAL REVIEW
During the year under review the Trust has been managing the Return to full operating hours following on from the covid pandemic. Income levels have dropped in the year however comparatives are difficult due to the unique nature of the preceding two years. The Trust made a loss of £20,911 in the year under review, driven by lower income and also substantially increased costs, in particular the increase in energy costs. The Trustees and Director continue to explore all options for funding and seek long term, regular funding in order to be able to continue to provide a vital service to the local community and maintain the facility to an acceptable standard. Preserving the long term future of the facility will most likely require external funding as the costs of maintaining the facility continue to be prohibitive, as well as the substantial cost of renewing existing facilities.
RESERVES POLICY
The Trust’s reserves are held to fund the working capital commitments of the Trust. Previously the Trust had maintained separate designated funds for the renewal of facilities however it is considered that these are best allocated to general funds to support the ongoing work of the Trust.
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Firhill Community Trust
Trustees Report for the Year Ended 30 September 2022
STATEMENT OF TRUSTEES RESPONSIBILITIES
The trustees are responsible for preparing the Trustees’ Annual 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 Scotland requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the trustees are required to:
-
select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP 2015 (FRS 102);
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make judgements and estimates that are reasonable and prudent;
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state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the provisions of the charity’s constitution. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
TRUSTEES
Trustees who served during the period and up to the date of this report are set out on page 2.
This report has been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities (2016).
Approved by the Trustees on 8[th ] September 2023 and signed on their behalf by:
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Firhill Community Trust
Independent Examiner’s Report to the Trustees of Firhill Community Trust for the Year Ended 30 September 2022
I report on the accounts of the Charity for the Year Ended 30 September 2022 which are set out on pages one to eleven.
Respective responsibilities of trustees and examiner
The charity’s trustees are responsible for the preparation of the accounts in accordance with the terms of the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended). The charity trustees consider that the audit requirement of Regulation 10(1) (a) to (c) of the Accounts Regulations does not apply. It is my responsibility to examine the accounts as required under section 44 (1) (c) of the Act and to state whether particular matters have come to my attention.
Basis of independent examiner’s statement
My examination was carried out in accordance with the Regulation 11 of the Charities Accounts (Scotland) Regulations 2006 (as amended). An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeks explanations from the 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 the course of my examination, no matter has come to my attention other than as disclosed below;
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(a) which gives me reasonable cause to believe that in any material respect the requirements:
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to keep accounting records in accordance with Section 44(1) (a) of the 2005 Act and Regulation 4 of the 2006 Accounts Regulations
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to prepare accounts which accord with the accounting records and comply with Regulation 8 of the 2006 Accounts Regulations have not been met, or
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(b) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
The matter that has come to my attention is that no depreciation has been charged on leasehold property and corresponding grant income is held as deferred. This is a deviation from accounting standards, however the Trustees have disclosed the reasons for these deviations as required by the Statement of Recommended Practice.
Date: 8[th ] September 2023
The notes form part of these financial statements
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Firhill Community Trust
Statement of Financial Activities for the Year Ended 30 September 2022
| Notes | 30.9.22 | 30.9.21 | ||
|---|---|---|---|---|
| Unrestricted | Total | Total | ||
| Funds | Funds | Funds | ||
| £ | £ | £ | ||
| INCOMING RESOURCES | ||||
| Incoming Resources from Charitable | 195,775 | 195,775 | 215,082 | |
| Activities | 5 | |||
| Total incoming resources | 195,775 | 195,775 | 215,082 | |
| RESOURCES EXPENDED | ||||
| Charitable Activities | 6 | 216,686 | 216,686 | 227,243 |
| Governance Costs | 6 | 1,800 | 1,800 | 1,800 |
| Total resources expended | 218,486 | 218,486 | 229,043 | |
| Net Income/(Expenditure) for the Year | (20,911) | (20,911) | (13,961) | |
| Balances brought forward at 1 October | 160,168 | 160,168 | 174,129 | |
| 2021 | ||||
| BALANCES CARRIED FORWARD | 139,257 | 139,257 | 160,168 |
The notes form part of these financial statements
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Firhill Community Trust
Balance Sheet 30 September 2022
| 30.9.22 | 30.9.21 | ||||
|---|---|---|---|---|---|
| Notes | £ | £ | £ | £ | |
| FIXED ASSETS | |||||
| Tangible assets | 8 | 1,170,504 | 1,181,147 | ||
| CURRENT ASSETS | |||||
| Debtors | 9 | 10,935 | 13,459 | ||
| Cash at bank and in hand | 77,941 |
101,250 |
|||
| 114,709 | |||||
| CREDITORS | |||||
| Amounts falling due within one year | 10 | 11,350 |
21,360 |
||
| NET CURRENT ASSETS | 77,526 | 93,349 | |||
| TOTAL ASSETS LESS CURRENT | |||||
| LIABILITIES | 1,248,030 | 1,274,496 | |||
| CREDITORS | |||||
| Amounts falling due after more than one | |||||
| year | 11 | 1,108,773 | 1,114,328 | ||
| NET ASSETS | 139,257 | 160,168 | |||
| RESERVES | |||||
| Unrestricted Funds : Designated Funds | 12 | - | 143,653 | ||
| General Funds | 13 | 139,257 | 16,515 | ||
| Funds as at 30 September 2022 | 160,168 | 174,129 |
The financial statements were approved by the Board of Trustees on 8[th ] September 2023 and were signed on its behalf by:
The notes form part of these financial statements
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Firhill Community Trust
Notes to the Financial Statements for the Year Ended 30 September 2022
1. ACCOUNTING POLICIES
Basis of preparation
The financial statements have been prepared under the historical cost convention. The financial statements have been prepared in accordance with Financial Reporting Standard 102 (FRS 102), the Statement of Recommended Practice Accounting and Reporting by Charities (SORP 2019) and applicable UK Accounting Standards and the Charities Accounts (Scotland) Regulations 2006 (as amended). The Trust has taken advantage of the exemption exempting small charities from preparing statements of cash flow. The Trust is a public benefit entity as defined by FRS 102.
Going Concern
These accounts have been prepared on a going concern basis. The Trustees believe that with the funding currently in place, the Trust has sufficient resources in place to make the going concern basis of preparation appropriate.
Fund Accounting
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Unrestricted funds are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity.
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Designated funds are unrestricted funds earmarked by the Trustees for specific purposes as detailed.
-
Restricted funds are subject to restrictions on their expenditure imposed by the donor.
Tangible Fixed Assets
Fixed assets are included at cost. Depreciation has been charged at the following annual rates in order to write off each asset over its estimated useful life.
Equipment and Plant - 10% reducing balance Office Equipment 10% reducing balance Leasehold property No depreciation charged
Non-depreciation of leasehold property is a departure from the SORP. The Trustees consider that given the uncertain nature of the lease terms, presenting leasehold property at historic cost with a corresponding policy in respect of capital grant income provides a true and fair view, which would not be the case were the property to be depreciated.
Incoming Resources
Incoming resources are recognised on an accruals basis as the facilities are used. Revenue grants are recognised when the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
The notes form part of these financial statements
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Firhill Community Trust
Notes to the Financial Statements for the Year Ended 30 September 2022
Resources Expended
Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes VAT as the charity is not VAT registered, and is reported as part of the expenditure to which it relates.
Pensions
The Trust operates a defined contribution scheme. Contributions payable for the year are charged in the year to which they relate.
The notes form part of these financial statements
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Firhill Community Trust
Notes to the Financial Statements for the Year Ended 30 September 2022
2. OPERATING DEFICIT
None of the Trustees nor any persons connected with them have received any remuneration or reimbursement of expenses during the year.
Operating deficit is stated after charging:
| **ng deficit is stated after charging: ** | ||
|---|---|---|
| Depreciation – Owned Assets Independent Examiner’s Remuneration Non independent examination services |
2022 £ 10,643 1,800 1,500 13,943 |
2021 £ 12,519 1,800 1,500 |
| 15,819 |
3. STAFF COSTS AND NUMBERS
Staff costs were as follows:-
| Salaries & Wages Social Security Costs Pension Costs Average Number of Staff |
2022 £ 117,464 4,693 2,845 125,002 8 |
2021 £ 120,315 3,889 2,535 |
|---|---|---|
| 126,739 | ||
| 8 |
No employee receives remuneration in excess of £60,000 per annum. The total employee benefits of key management personnel of the Trust were £36,354 for the period (2021: £31,200)
4. TAXATION
The Trust is exempt from corporation tax on its charitable activities.
5. INCOMING RESOURCES FROM CHARITABLE ACTIVITIES
| Operating Income Vending Income Membership Fees Grant Income |
Unrestricted £ 195,775 - - - 195,775 |
2022 Total £ 195,775 - - - 195,775 |
2021 Total £ 95,806 - - 119,276 |
|||
|---|---|---|---|---|---|---|
| 215,082 |
Included within Grant Income for 2021 is £41,850 grant income from Glasgow City Council and £77,426 related to the Covid-19 Job Retention Scheme.
The notes form part of these financial statements
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Firhill Community Trust
Notes to the Financial Statements for the Year Ended 30 September 2022
6. EXPENDITURE FOR THE YEAR ENDED 30 SEPTEMBER 2022
Unrestricted
| Rent Rates & Water Insurance Heat & Light Repairs & maintenance Security Cleaning Wages & Salaries Social Security Pension costs Telephone Hire of Equipment Postage and Stationery Sundry expenses Bank Charges Interest paid Accountancy Fees Independent Examination Depreciation Support costs Note 7 Loan Interest |
Direct Charitable Expenditure £ 50 5,853 15,608 26,461 10,073 1,657 5,122 92,016 3,170 2,430 3,085 5,154 132 3,290 227 244 1,500 - 10,643 27,386 1,085 214,886 |
Governance - - - - - - - - - - - - - - - - - 1,500 - - - 1,500 |
2022 Total 2021 Total £ £ 50 - 5,853 5,535 15,608 14,312 26,461 15,157 10,073 33,046 1,657 1,792 5,122 3,079 92,016 98,475 3,170 2,816 2,430 2,120 3,085 3,199 5,154 5,684 132 101 3,290 2,643 227 178 244 258 1,500 1,500 1,500 1,800 10,643 12,520 27,386 23,328 1,085 1,500 216,386 229,043 |
|---|---|---|---|
7. SUPPORT COSTS
| SUPPORT COSTS | ||||||
|---|---|---|---|---|---|---|
| Wages and salaries Social Security Pension costs |
Unrestricted £ 25,448 1,523 415 27,386 |
2022 Total £ 25,448 1,523 415 27,386 |
2021 Total £ 21,840 1,073 415 |
|||
| 23,328 |
The notes form part of these financial statements
Page 9
Firhill Community Trust
Notes to the Financial Statements for the Year Ended 30 September 2022
8. TANGIBLE FIXED ASSETS
| TANGIBLE FIXED ASSETS | |||
|---|---|---|---|
| COST At 1 October 2021 and 30 September 2022 DEPRECIATION At 1 October 2021 Charge for Year At 30 September 2022 NET BOOK VALUE At 30 September 2022 At 30 September 2021 |
Leasehold Property £ 1,110,200 - - - 1,110,200 1,110,200 |
Plant and machinery etc. £ 364,155 293,208 10,643 303,851 60,304 70,947 |
Totals £ 1,474,355 |
| 293,208 10,643 |
|||
| 303,851 | |||
| 1,170,504 | |||
| 1,181,147 |
There is an implied lease with Glasgow City Council, the terms of which are unclear. The Trustees have decided that no depreciation should be made on leasehold property. Were depreciation to have been charge the accumulated depreciation at 30.9.22 would be £651,599 and the net book value at 30.9.22 would be £458,601. There would be a corresponding release from deferred income per Note 11.
9. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| DEBTORS: AMOUNTS FALLING DUE WITHIN ONE | YEAR | |
|---|---|---|
| 2022 | 2021 | |
| £ | £ | |
| Trade debtors | 6,385 | 5,380 |
| Prepayments and accrued income | 4,550 | 8,079 |
| 10,935 | 13,459 |
10. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| Bank loans and overdrafts Taxation and social security Accruals and deferred income Other creditors |
2022 £ 5,556 (2,533) 8,220 107 11,350 |
2021 £ 5,093 5,784 10,376 107 |
|---|---|---|
| 21,360 |
The notes form part of these financial statements
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Firhill Community Trust
Notes to the Financial Statements for the Year Ended 30 September 2022
11. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
| 2022 | 2021 | |
|---|---|---|
| £ | £ | |
| Bank loans | 39,353 | 44,908 |
| Accrual for grants payable | 1,069,420 | 1,069,420 |
| 1,108,773 | 1,114,328 |
The deferred income creditor relates to capital grants received previously towards the cost of the buildings. This would ordinarily be recognised as income on a systematic basis over the life of the asset, however as the asset is not being depreciated (per note 8), the income has not yet been recognised. Were depreciation to have been charged on the leasehold property, the deferred income balance would be reduced by £636,510 to £432,910.
12. DESIGNATED FUNDS
The trustees have previously earmarked part of the unrestricted funds for future purposes, namely pitch replacement and other future contingencies.
| At 1 October 2021 Re-allocated to general funds in the period At 30 September 2022 |
Unrestricted Funds 30.9.22 £ 143,653 (143,653) |
|---|---|
| - |
There is an ongoing commitment to renew all surfaces, however given the continued operational difficulties the Trustees are of the view that all funds should be available to meet the medium term working capital commitments. The Trustees continue to explore all potential options with regard to obtaining additional external funding to support re-investment in the facilities.
13. GENERAL FUNDS
| GENERAL FUNDS | |
|---|---|
| At 1 October 2021 Re-allocated from Designated Funds in the period Surplus/(Deficit) for the period At 30 September 2022 |
Unrestricted Funds 30.9.22 £ 16,515 143,653 (20,911) |
| 139,257 |
14. RELATED PARTY TRANSACTIONS
There were no related party transactions during the year.
The notes form part of these financial statements
Page 11