REGISTERED NUMBER: |
Unaudited Financial Statements |
for the Year Ended 31 March 2024 |
for |
Liberty Leisure Limited |
REGISTERED NUMBER: |
Unaudited Financial Statements |
for the Year Ended 31 March 2024 |
for |
Liberty Leisure Limited |
Liberty Leisure Limited (Registered number: 10119472) |
Contents of the Financial Statements |
for the Year Ended 31 March 2024 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 4 |
Liberty Leisure Limited |
Company Information |
for the Year Ended 31 March 2024 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
ACCOUNTANTS: |
Cliffe Hill House |
22-26 Nottingham Road |
Stapleford |
Nottingham |
NG9 8AA |
Liberty Leisure Limited (Registered number: 10119472) |
Balance Sheet |
31 March 2024 |
31.3.24 | 31.3.23 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 4 |
Tangible assets | 5 |
CURRENT ASSETS |
Stocks |
Debtors | 6 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 7 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
PROVISIONS FOR LIABILITIES | ( |
) | ( |
) |
PENSION LIABILITY | 9 | ( |
) |
NET ASSETS |
RESERVES |
Pensions reserve | 8 | ( |
) |
Income and expenditure account | 8 |
The directors acknowledge their responsibilities for: |
(a) | ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and |
(b) | preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company. |
Liberty Leisure Limited (Registered number: 10119472) |
Balance Sheet - continued |
31 March 2024 |
In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered. |
The financial statements were approved by the Board of Directors and authorised for issue on |
Liberty Leisure Limited (Registered number: 10119472) |
Notes to the Financial Statements |
for the Year Ended 31 March 2024 |
1. | STATUTORY INFORMATION |
Liberty Leisure Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
From 1 October 2016, the company has taken over responsibility for the defined benefit pension scheme in respect of the employees transferred over from Broxtowe Borough Council. The Councils actuaries Barnett Waddingham have valued the pension scheme to be £NIL as at 31 March 2024. |
Liberty Leisure Limited is owned by Broxtowe Borough Council who are committed to continuing to support the provision of leisure opportunities for the residents of the Borough. |
The Directors of Liberty Leisure Limited have reviewed the current and future operations for the company and consider it to be a going concern. |
Broxtowe Borough Council is fully committed to ensure the success of Liberty Leisure Limited. Broxtowe Borough Council have a strategic interest in the continued development of Liberty Leisure Limited and are prepared to provide the necessary support to facilitate operations. |
We are confident in Liberty Leisure Limited ability to generate sufficient cash flow to meet its ongoing operational needs. However Broxtowe Borough Council are prepared to step in and provide assistance if unforeseen circumstances arise. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Plant and machinery etc | - |
Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Liberty Leisure Limited (Registered number: 10119472) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
2. | ACCOUNTING POLICIES - continued |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to surplus or deficit on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
Retirement benefits to employees of the company are provided by the Local Government Pension Scheme ("LGPS") which is a defined benefit scheme. |
The LGPS is a funded scheme and the assets are held separately from those of the company in separate trustee administered funds. Pension scheme assets are measured at fair value and liabilities are measured on an actuarial basis using the projected unit credit method and discounted at a rate equivalent to the current rate of return on a high quality corporate bond of equivalent term and currency to the liabilities. The actuarial valuations are obtained at least triennially and are updated at each Balance Sheet date. The amounts charged to the Income Statement are the current service costs and the costs of scheme introductions, benefit changes, settlements and curtailments. They are included as part of staff costs as incurred. Net interest on the net defined benefit liability/asset is also recognised in the Income Statement and comprises the interest cost on the defined benefit obligation and interest income on the scheme assets, calculated by multiplying the fair value of the scheme assets at the beginning of the period by the rate used to discount the benefit obligations. The difference between the interest income on the scheme assets and the return on the scheme assets is recognised in the Income Statement. Actuarial gains and losses are recognised immediately in the Income Statement. |
The actuary has produced the pension disclosures based upon IAS19. The resulting pension scheme liability has been transferred to a separate Pension reserve in order ring fence the liability. |
3. | EMPLOYEES AND DIRECTORS |
The average number of employees during the year was |
Liberty Leisure Limited (Registered number: 10119472) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
4. | INTANGIBLE FIXED ASSETS |
Other |
intangible |
assets |
£ |
COST |
At 1 April 2023 |
and 31 March 2024 |
AMORTISATION |
At 1 April 2023 |
Charge for year |
At 31 March 2024 |
NET BOOK VALUE |
At 31 March 2024 |
At 31 March 2023 |
5. | TANGIBLE FIXED ASSETS |
Plant and |
machinery |
etc |
£ |
COST |
At 1 April 2023 |
and 31 March 2024 |
DEPRECIATION |
At 1 April 2023 |
Charge for year |
At 31 March 2024 |
NET BOOK VALUE |
At 31 March 2024 |
At 31 March 2023 |
6. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.3.24 | 31.3.23 |
£ | £ |
Trade debtors |
Other debtors |
Prepayments |
Liberty Leisure Limited (Registered number: 10119472) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
7. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.3.24 | 31.3.23 |
£ | £ |
Trade creditors |
VAT | 70,014 | 31,467 |
Accruals and deferred income |
8. | RESERVES |
Income |
and |
expenditure | Pensions |
account | reserve | Totals |
£ | £ | £ |
At 1 April 2023 | ( |
) | 440,889 |
Surplus for the year | - |
Transfer to pension reserve | (548,000 | ) | 46,000 | (502,000 | ) |
At 31 March 2024 | 442,033 |
The actuary has produced the pension disclosures based upon IAS19. The resulting pension scheme liability has been transferred to a separate Pension reserve in order ring fence the liability. |
Liberty Leisure Limited (Registered number: 10119472) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
9. | EMPLOYEE BENEFIT OBLIGATIONS |
The amounts recognised in the balance sheet are as follows: |
Defined benefit pension plans |
31.3.24 | 31.3.23 |
£ | £ |
Present value of funded obligations | (7,815,000 | ) | (7,492,000 | ) |
Fair value of plan assets | 8,586,000 | 7,446,000 |
771,0000 | 771,000 |
Asset ceiling impact | (771,000 | ) | (771,000 | ) |
Surplus/(Deficit) | Nil | (46,000 | ) |
Net asset/(liability) | Nil | (46,000 | ) |
The amounts recognised in surplus or deficit are as follows: |
Defined benefit pension plans |
31.3.24 | 31.3.23 |
£ | £ |
Current service cost | 282,000 | 890,000 |
Net interest from net defined benefit asset/liability | (8,000 | ) | 167,000 |
Past service cost | - | - |
Administration expenses | 4,000 | 3,000 |
278,000 | 1,060,000 |
Actual return on plan assets | 369,000 | (145,000 | ) |
Changes in the present value of the defined benefit obligation are as follows: |
Defined benefit pension plans |
31.3.24 | 31.3.23 |
£ | £ |
Opening defined benefit obligation | 7,492,000 | 13,566,000 |
Current service costs | 282,000 | 890,000 |
Contribution by scheme participants | 103,000 | 107,000 |
Interest costs | 361,000 | 345,000 |
Benefits paid | (57,000 | ) | (220,000 | ) |
Remeasurements: |
Actuarial (gains)/losses from changes in |
demographic assumptions | (90,000 | ) | (682,000 | ) |
Actuarial (gains)/losses from changes in |
financial assumptions | (316,000 | ) | (8,172,000 | ) |
Oblig other remeasurement | 40,000 | 1,658,000 |
7,815,000 | 7,492,000 |
Liberty Leisure Limited (Registered number: 10119472) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
Changes in the fair value of scheme assets are as follows: |
Defined benefit pension plans |
31.3.24 | 31.3.23 |
£ | £ |
Opening fair value of scheme assets | 7,446,000 | 6,857,000 |
Contributions by employer | 447,000 | 391,000 |
Contribution by scheme participants | 103,000 | 107,000 |
Expected return | 369,000 | 178,000 |
Actuarial gains/(losses) | - | 459,000 |
Benefits paid | (57,000 | ) | (220,000 | ) |
Administration expenses | (4,000 | ) | (3,000 | ) |
Return on plan assets (excluding interest | 282,000 | (323,000 | ) |
income) |
8,586,000 | 7,446,000 |
The amounts recognised in the other comprehensive income are as follows: |
Defined benefit pension plans |
31.3.24 | 31.3.23 |
£ | £ |
Actuarial (gains)/losses from changes in |
demographic assumptions | 90,000 | 682,000 |
Actuarial (gains)/losses from changes in |
financial assumptions | 316,000 | 8,172,000 |
Oblig other remeasurement | (40,000 | ) | (1,658,000 | ) |
Return on plan assets (excluding interest |
income) | 282,000 | (323,000 | ) |
Actuarial gains/(losses) | - | 459,000 |
Asset ceiling impact | (771,000 | ) | - |
(123,000 | ) | 7,332,000 |
The major categories of the scheme assets as a percentage of total scheme assets are as follows: |
Defined benefit pension plans |
31.3.24 | 31.3.23 |
£ | £ |
Equities - UK | 17% | 17% |
Equities - Overseas | 43% | 41% |
Fixed interest govt securities | 2% | 2% |
Bonds - Uk | 1% | 1% |
Bonds - Overseas | 5% | 5% |
Credit | 3% | 3% |
Property | 11% | 12% |
Private equity | 3% | 4% |
Infrastructure | 8% | 8% |
Inflation linked | 5% | 5% |
Cash/temporary investments | 2% | 2% |
100% | 100% |
Principal actuarial assumptions at the balance sheet date (expressed as weighted averages): |
31.3.24 | 31.3.23 |
£ | £ |
Discount rate | 4.95% | 4.80% |
Future salary increases | 3.90% | 3.90% |
Future pension increases | 2.90% | 2.90% |
Liberty Leisure Limited (Registered number: 10119472) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
Life expectancy from age 65 (years) |
31.03.2024 | 31.03.2023 |
Retiring today Males | 20.4% | 20.7% |
Females | 23.3% | 23.5% |
Retiring in 20 years Males | 21.7% | 22.0% |
Females | 24.7% | 25.0% |
10. | RELATED PARTY DISCLOSURES |
Broxtowe Borough Council act as guarantors for Liberty Leisure Limited. |
During the period Broxtowe Borough Council re-charged administration costs of £230,330 (2023 - £240,586) to Liberty Leisure Limited. |
During the period Liberty Leisure Limited charged Broxtowe Borough Council £519,000 (2023 - £700,000) for management charges. |
At 31 March 2024 Broxtowe Borough Council owed Liberty Leisure Limited £125,330 (2023 - £9,744). |
At 31 March 2024 Liberty Leisure Limited owed Broxtowe Borough Council £128,394 (2023 - £3,896) which is included in trade creditors, other creditors and accruals. |
All transactions were completed on normal commercial terms and all outstanding balances are repayable on demand. |
On 1 October 2016, the company's employees were transferred over from Broxtowe Borough Council under TUPE. As part of that transfer, the company also took on responsibility for the defined benefit pension scheme, which at 1 October 2016 was valued by the actuaries at a deficit of £4,621,000. |
The actuary has produced the pension disclosures based upon IAS19. The resulting pension scheme liability of £NIL at 31 March 2024 has been transferred to a separate Pension reserve in order ring fence the liability. |
As part of the transfer Broxtowe Borough Council have guaranteed that should the company cease to trade the pension scheme deficit would revert back to itself. |
The company operates its trading activity from facilities owned by Broxtowe Borough Council. No charge for the use of these facilities has been made. |
11. | ULTIMATE CONTROLLING PARTY |
Liberty Leisure Limited is a private company, limited by guarantee, and is ultimately controlled by Broxtowe Borough Council. |