The trustees present their annual report and financial statements for the year ended 30 April 2024.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the trust's articles, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and "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).
Our vision is to be the most innovative and impactful football community trust linked to a professional football club, recognised as a key player in sport and community development locally and a strong example of best practice in sport for change.
Our mission is to improve the lives of people in Dundee and the surrounding areas, and we achieve this by delivering a range of activities across our key pillars:
Sport for All
Lifelong Learning
Healthy Lifestyles
Our Charity has managed to achieve some notable successes in 2023/2024 against a backdrop of society-wide challenge, felt by our organisation and those we seek to support alike. We continue to work hard to raise the vital funds to continue important work in the local community and continually balance meeting the needs of the community with the resources available to us. During the year under review, we took some difficult decisions to streamline our operations, while minimising the impact on the ambitious programme of community support activities we deliver during the year. In saying goodbye to Paul Wilson at the end of the prior financial year, we lost significant experience, and we manoeuvred an expected period of transition during the year. This had a tangible impact on our community football programme in particular, however through shrewd management of our resources we have managed to consolidate our financial position. We were pleased to welcome Paul Wilson back to the Charity in the position of General Manager in February 2024 and are already seeing growth in revenue generation which we expect to fully crystalise in 2024/2025 and beyond.
After significant front-loaded expense to improve our facilities at New Beechwood Park, particularly through enhancements to security, general repairs and the required water connection project; we are pleased to be in a position where the cost base is now stable and well-established. Despite a slight drop in pitch hire income in the year under review, post-year events indicate that our plan for growth is bearing fruit, and we anticipate a post-year agreement which will generate a significant sum to ensure the operational sustainability of the venue. We thereafter turn our attention to raising the funds required for a major capital development at the site, with dialogue with funders is already underway.
We expect to complete and launch our new Strategic Plan during the course of 2024/2025. This plan will reflect a fresh look at the needs of local people, taking into account our areas of strength in meeting these.
Our work with our main partner, Dundee United Football Club, continued to grow from strength to strength during the course of the year and we are grateful for the support from the Club, which included extensive marketing and communications support, assistance with office space and a place for some of our most important projects to call home in Tannadice Park. We were pleased to receive a kind and generous donation of £30,000 from an anonymous donor to support a new partnership project with Dundee United Football Club and ArabTrust ‘Everyone United’, which provided over 1, 700 tickets to Dundee United FC matches during the 2023/2024 season. We worked in partnership with over 20 local organisations to find those who would benefit most from these tickets, and the feedback was terrific from this project as was the feedback for our long-running distribution of hospitality and mascot package spaces to members of the local community. In 2023/2024 we distributed over 150 hospitality and mascot packages thanks to the support of Dundee United FC and an anonymous and long-standing donor. We anticipate that this will continue into season 2024/2025 and await confirmation of funds for this.
The Community Trust received fantastic support from a wide variety of grant giving organisations through the course of the year to support our current initiatives and introduce important new areas of work, we’re extremely grateful to all of the organisations and individuals who continue to support us.
We continue to enjoy a strong relationship with The Scottish Professional Football League Trust and successfully piloted a new youth club for people with a range of disabilities during the year thanks to funding from their ‘Innovation Fund’. We were also pleased to continue our annual ‘Festive Friends’ project, supporting around 300 local people with a Christmas Meal and gifts, which saw First Minister Humza Yousaf attend our Christmas Eve event, generating significant profile for the charity and shining a light on this critical support for the local community.
The successful employability project ‘Kick Off Your Career’ also returned during the course of the year and delivered fantastic benefit to the young people involved, with the majority moving onto positive destinations.
Football Fans in Training and the innovative ‘changing room’ project also supported physical and mental health improvements among many local adults. Our work with the SPFL Trust has supported 100’s of local people, living with many complex challenges, during the course of the year and we look forward to continuing this partnership in the years to come.
The Rank Foundation continued their support of the Charity through a ‘Cost of Living Grant’ as well as making a contribution to year 2 employment costs as part of the ‘Rank Aspire Programme Placement’ project, allowing the Community Trust to sustain the employment of this young person.
We broke significant ground in the year through our long-running partnership with The Scottish Football Association by being one of the successful applicants to the ‘Extra Time’ project, funded by The Scottish Government. This project comes with investment of in excess of £100, 000 over multiple years, and will see the Community Trust strengthen our partnership with Kingspark School to provide activities after-school and during the school holidays for children and families with additional support and complex healthcare needs.
We entered into a new partnership with Stobswell Forum SCIO to employ a new staff member to focus resource and effort in the Stobswell West part of the City, contributing to an area of priority in the Dundee City Council City Plan. This test of change pilot is embryonic, but we are enthusiastic that this will make a real difference to those who live in this part of the City.
We successfully completed our ‘multiply pilot’ with Dundee City Council, using the lens of Dundee United Football Club to support adults with a learning disability to improve their numeracy skills. Dundee City Council also provided grant funding to continue the ‘Summer Play’ project, allowing DUCT to offer ‘Para Sports Club Camps’ once again in the summer of 2023. Without this support, we would not be able to sustain this important activity; of which there is nothing like it in the local area.
Our long-standing and well-respected ‘CLD United’ partnership with Dundee City Council Youth Work Team continues to provide peer-led diversionary football opportunities for 100s of young people each week. It also, possibly more importantly, continues to employ dozens of local young people to deliver this work, building their CV and work experience in the process. We’ve seen some terrific progress among these young people over the years and remain very proud of their achievements.
Northwood Charitable Trust also continued their fantastic support of our multi-award-winning para-sports club, and we successfully received an additional grant from ‘Better Breaks, funded by Scottish Government. We also received support for our Dundee United Dynamos team from Bruce Wake Foundation and support from the Scottish Football Partnership Trust. This combination of support has allowed us to sustain this important area of work and continue to provide opportunities for hundreds of children, young people and adults with a variety of disabilities to take part in sport each week.
We formed a new partnership with Parkinson’s UK and received seed funding to start a new Parkinson’s friendly walking football and boccia sessions, which we are really grateful for.
Dundee Volunteer and Voluntary Action provided grant support for our ‘Football Therapy’ group, contributing to transport costs and some staff support time to sustain the group. The benefit of this, felt among the dozens of adults who play each week, is significant.
In addition to the significant programme of work made possible by generous grant funding organisations and donors, we continue to work diligently to grow our unrestricted reserves through expansion of our community sport and fundraising activities. We are aware that this will take time and have stringent monitoring processes in place for tracking performance against this important plan.
In conclusion, I would wish to thank our Chief Executive Jamie Kirk and all the Community Trust’s staff who have helped us deliver our extensive range of services in the local community. I would also with to thank our Board of Trustees who give freely of their time and experience to ensure the strategic development of the Community Trust and the maintenance of sound corporate governance.
The financial results of the company are set out in the financial statements. Unrestricted funds held at 30 April 2024 amounted to £13,202 (2023 - £21,712). Restricted funds held at 30 April 2024 amounted to £197,815 (2023 - £134,424).
Reserves policy
The reserves policy of the company is to hold around 3 months of the annual budgeted unrestricted expenditure. These reserves are needed in the event of unexpected costs or reduced income. As the charity grows this level will be reviewed and increased. Unrestricted spend for 3 months amounts to £73,548 (2023 - £93,844) . the charity does not meet this at the moment but the Trustees are focussed on increasing this balance in the foreseeable future.
Risk Factors
The trustees have assessed the major risks to which the trust is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
Dundee United Community Trust is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association which was updated 30 June 2016.
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
Method of appointment
Trustees are recruited and appointed in accordance with the provisions set out in the charity's Articles of Association.
Organisational structure
The Trustees of the charity are deemed to be the key managers and decision makers and are supported by CEO Jamie Kirk. Trustees are responsible for setting pay and remuneration rates of key management personnel. No trustees received any remuneration for their role.
Policies and procedures for trustee induction and training
There are currently no official procedures in place for the induction of new trustees, however new trustees will be made aware of the aims and objectives of the charity and other relevant information prior to appointment.
Dundee United Community Trust was able to continue to operate and deliver services within our communities, through the Covid pandemic, due to the dedication and hard work of Jamie Kirk and our staff, and by the financial support we received from our many donors. While the Trust has faced and addresses many operational difficulties during the pandemic, we have managed to continue to grow and introduce adapted and new services to our community. We are extremely grateful to Jamie and all our staff and volunteers for their work during the year, and they are the main reason that our Community Trust is as successful as it is.
The trustees' report was approved by the Board of Trustees.
The trustees, who are also the directors of Dundee United Community Trust for the purpose of company law, 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).
Company Law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the trust, and of the income and expenditure for that year.
In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the trust will continue in operation.
The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the trust 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 Companies Act 2006. They are also responsible for safeguarding the assets of the trust and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
I report on the financial statements of the trust for the year ended 30 April 2024, which are set out on pages 7 to 25.
The trust’s trustees, who are also the directors of Dundee United Community Trust for the purposes of company law, are responsible for the preparation of the financial statements in accordance with the terms of the Charities and Trustee Investments (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006(as amended). The trustees consider that the audit requirement of Regulation 10(1)(a) to (c) of the 2006 Accounts Regulations does not apply. It is my responsibility to examine the financial statements as required under section 44(1)(c) of the Act and to state whether particular matters have come to my attention.
My examination is carried out in accordance with Regulation 11 of the 2006 Accounts Regulations. An examination includes a review of the accounting records kept by the charity and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements, 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 financial statements.
In connection with my examination, no matter has come to my attention:
to keep accounting records in accordance with section 44(1) (a) of the 2005 Act and Regulation 4 of the 2006 Accounts Regulations; and
to prepare financial statements which accord with the accounting records and comply with Regulation 8 of the 2006 Accounts Regulations;
to which, in my opinion, attention should be drawn in order to enable a proper understanding of the financial statements to be reached.
Investments
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 10 to 25 form part of these financial statements.
Investments
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 10 to 25 form part of these financial statements.
Dundee United Community Trust is a private company limited by guarantee incorporated in Scotland. The registered office is c/o Dundee United Football Club, Tannadice Park, Tannadice Street, Dundee, DD3 7JW.
The financial statements have been prepared in accordance with the trust's articles, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended), FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "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 trust is a Public Benefit Entity as defined by FRS 102.
The trust has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling, which is the functional currency of the trust. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
At the time of approving the financial statements, the trustees have a reasonable expectation that the trust has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Designated funds are unrestricted funds which have been set aside by the Trustees for a specific purpose.
Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Transfers are made from unrestricted funds to restricted funds to compensate fully all restricted funds which would otherwise be in deficit at the accounting date.
Cash donations are recognised on receipt. Other donations are recognised once the trust has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.
Grants are included in the 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.
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 charitable activities is incurred on directly undertaking the activities which further the Company's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
The cost of any tangible assets below £1,000 are expensed in the Statement of Financial Activities in year in which the costs are incurred.
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less.
The trust has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the trust's balance sheet when the trust becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the trust’s contractual obligations expire or are discharged or cancelled.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the trust is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
In the application of the trust’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
Wages are allocated across projects both on a direct basis and a percentage basis. Where salaries are funded, the allocation of wages is direct. For employees involved in several projects, the CEO allocates salaries on a percentage basis.
Donated services and facilities are recognised in both income and expense, at the equivalent value the Charity would expect to pay on an open market. Estimates are assessed for reasonability and compared with open market rates.
There are some costs incurred which are not directly related to the charitable project but are deemed general support costs for the running of the organisation. The Charity have deemed that a percentage of the CEO's salary should be considered a support cost. This application is consistent with prior years.
Designated funds are unrestricted funds which have been set aside by the trustees for an essential spend or future purpose. The trustees have estimated future outgoings for one specific purpose; the value of which has been derived from underlying source documents where available and calculated appropriately based on information held at the year end.
Grants
Total Funds
Total Funds
Youth & Community Development
Investments
Investment income
Fees, charges and commission
Projects and events
Advertising, literature & brochures
Referee costs
Kits, equipment & physio
Venue hire
Travelling
Office costs and telephone
Insurance
Utilities
Training costs
Repairs & cleaning
Sundries
Independent Examination costs comprises of £6,300 for the current year independent exam and £2,340 under accrual for the previous year.
None of the trustees (or any persons connected with them) received any remuneration or expenses from the trust during the year.
The average monthly number of employees during the year was:
No employee received remuneration amounting to more than £60,000 in either year.
The remuneration of key management personnel is as follows.
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
The trust operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the trust in an independently administered fund.
The charge to profit or loss in respect of defined contribution schemes was £3,371 (2023 - £5,500).
Contributions totaling £646 (2023 - £1,138) were payable to the fund at the balance sheet date and are included in creditors.
The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.
Staff redundancy reserve
Designated for potential costs relating to staff redundancies.
Lochee Sports and Community Hub
Designated originally to cover capital commitment costs relating to the purchase of portacabins on the assignation of the lease at Lochee Sport & Community Hub however due to other security costs required this has been reassigned to cover the security costs in the year. The Portacabin costs have now been waived.
The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.
SFA Extra Time
The Scottish FA, as part of the Extra Time Fund provided by The Scottish Government for after school and holiday activity schools for targeted primary school age children from low income families.
Better Breaks
Funding received from Shared Care Scotland for Dundee United Para Sports.
Rank Foundation
Funding the salary and development of a Community Coach
Stobswell Forum
Funding from Stobswell Forum SCIO for staffing costs.
SPFL Trust
Funding for the Kick Off Your Career Programme.
Northwood Charitable Trust
Funding towards Dundee United Para Sports Club project.
DVVA MH Travel
Funding received from Dundee Volunteer & Voluntary Action for the Communities Mental Health and Wellbeing Fund for salary costs.
SPFL Winter Fund
Funding in response to the challenges facing people across the country this winter.
Bruce Wake (Powerchair Football)
Funding received towards providing Powerchair football.
SFA
Capital funding from the Grassroots and pitch fund to contribute to the redevelopment of Gussie Park.
Princes Trust
Funding toward the Get Started in Coaching Programme.
CLD DISC
Employing young people to deliver peer-led divisionary work in the community
Adapt and thrive
Post-covid recovery project funding
Mental Health Project
Funding for Football Therapy and Still Game projects
Children's Lottery
The provision of food and physical & diversionary activity for primary-aged children
DWP Kickstart
Government funding for work placements for young people if they are risk of long-term unemployment.
Employability
Funding for the Kick Off Your Career Programme.
Festive Friends
Funding towards the Festive Friends project.
Other grants
Includes funding and donations from Learning Disability Programme, Lochee Diversionary Programme, DVVA Winter Clothes and Blankets, Gannochy Trust, Robertson Trust, Cattanach Trust, Bank of Scotland, Jim McLean Statue & Memory Fund, Common Good Fun and donations from Dundee & Angus Foodbank.
At the reporting end date the trust had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
During the year the trust entered into the following transactions with related parties:
Name of related party: DUFC
Nature of relationship: 2 common directors (David Dorward & Colin Stewart)
Nature of transaction: During the year, DUCT entered into the following transactions with DUFC:
DUCT received £nil (2023 - £1,567) for funds raised at Euro night fundraiser.
DUCT paid £30,000 (2023 - £nil) to purchase tickets for distribution into the community.
DUCT paid £4,712 (2023 - £17,966) for kits and strips.
DUCT paid £1,167 (2023 - £nil) in relation to salaries.
DUCT paid £800 (2023 - £nil) for catering and event costs.
DUCT paid £55 (2023 - £nil) for fundraising materials.
DUCT paid £nil (2023 - £24,663) for venue hire.
DUCT paid £nil (2023 - £5,781) for salary contributions.
DUCT paid £nil (2023 - £138) for hire of minibus.
DUCT were recharged £ nil (2023 - £100) for printing and stationery.
DUCT received donations in the form of office space. The market value of such donations are recognised in the financial statements as follows:
Office space of £6,600 (2023 - £6,600 )
Last year, DUCT paid in lieu of a 25 year access agreement for use of the new upgraded pitch and facilities at Gussie Park, which commenced in May 2022. This amounted to £100,000 as an upfront rental payment. This payment will be spread over the term of the lease.
Name of related party: Rank Foundation
Nature of relationship: 1 common director (David Dorward)
Nature of transaction: During the year, DUCT received grant funding from the Rank Foundation of £22,625 (2023 - £34,950) to fund the salary costs of an internship.
Name of related party: Leisure & Culture Dundee
Nature of relationship: 1 common directors (David Dorward )
Nature of transaction: During the year, DUCT paid £3,446 for rent (2023 - £nil)
Name of related party: Stobswell Forum Scio
Nature of relationship: 1 common trustee (Colin Clement)
Nature of transaction: During the year, DUCT received £15,000 (2023 - £nil) grant for staffing costs.