The TRUSTEES present their annual report and financial statements for the year ended 31 May 2025.
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 CHARITY's governing document, the Charities Act 2011, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" 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)".
The objectives of the charity are to 'provide community participation in healthy recreaction by providing for and playing particular sports and exercise opportunities.
The trustees are aware of their responsibilities in ensuring that the charity delivers identifiable benefits to the public in accordance with the established objectives. We have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing our aims and objectives and in planning our future activities.
The TRUSTEES have paid due regard to guidance issued by the Charity Commission in deciding what activities the CHARITY should undertake.
It is the policy of the CHARITY that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The TRUSTEES consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the CHARITY’s current activities while consideration is given to ways in which additional funds may be raised.
Reserves are held to enable the charity to make grants to various organisations in its locality. At present the reserves held are minimal.
The general fund is in deficit due to management and administration costs incurred. The trustees are confident that income will be generated by the general fund in the near future which will repay the loan from the restricted funds.
During the year the charity generated income of £2,450 (2024 £3,541) and incurred charitable activity costs of £2,813 (2024 £3,900).
Unrestricted Income Fund:-
£
Net Movement in funds (363)
Balance b/f (13,542)
Balance c/f (13,905)
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The CHARITY is a company limited by guarantee and was incorporated on 6 May 2003. It is governed by a memorandum and articles of association. In the even of the company being wound up members are required to contribute an amount not exceeding £1.
The TRUSTEES who served during the year and up to the date of signature of the financial statements were:
MR J JONES
MR P D JONES
MR D R JONES
[Details of method of recruitment and appointment of trustees.]
None of the TRUSTEES has any beneficial interest in the company. Trustees are appointed following election by members at general meetings. Under the Memorandum & Articles of Association, the charity can have up to a maximum of 15 trustees.
The TRUSTEES report was approved by the Board of TRUSTEES.
In relation to the financial statements which comprise the statement of financial activities, the balance sheet and the related notes:
The TRUSTEES approve these financial statements and confirm that they are responsible for them, including selecting the appropriate accounting policies, applying them consistently and making, on a reasonable and prudent basis, the judgments underlying them. They have been prepared on the going concern basis on the grounds that the CHARITY will continue in operation.
The TRUSTEES confirm that they have made available to , all the CHARITY's accounting records and provided all the information necessary for the compilation of the financial statements.
The TRUSTEES confirm that to the best of their knowledge and belief, the accounting records reflect all transactions of the CHARITY for the year ended 31 May 2025.
In order to assist you to fulfil your duties under the Charities Act 2011, we have prepared for your approval the financial statements of BRITON FERRY TOWN SPORTS ASSOCIATION for the year ended 31 May 2025, which comprise the statement of financial activities and the related notes from the charity’s accounting records and from information and explanations you have given us.
As a practising member firm of the Institute of Chartered Accountants in England and Wales, we are subject to its ethical and other professional requirements which are detailed at https://www.icaew.com/regulation.
This report is made to the charity's TRUSTEES, as a body, in accordance with the terms of our engagement letter dated 1 February 2025. Our work has been undertaken solely to prepare for your approval the financial statements of BRITON FERRY TOWN SPORTS ASSOCIATION and state those matters that we have agreed to state to the charity's TRUSTEES, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than BRITON FERRY TOWN SPORTS ASSOCIATION and the charity's TRUSTEES as a body, for our work or for this report.
It is your duty to ensure that BRITON FERRY TOWN SPORTS ASSOCIATION has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and deficit of BRITON FERRY TOWN SPORTS ASSOCIATION. You consider that BRITON FERRY TOWN SPORTS ASSOCIATION is exempt from the statutory audit requirement for the year, and is not required to obtain an independent examiner's report.
We have not been instructed to carry out an audit or a review of the financial statements of BRITON FERRY TOWN SPORTS ASSOCIATION. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
BRITON FERRY TOWN SPORTS ASSOCIATION is a private company limited by guarantee incorporated in England and Wales. The registered office is The Club House, Ynysmaerdy Road, Briton Ferry, Neath, SA11 2TL.
The financial statements have been prepared in accordance with the CHARITY's governing document, the Charities Act 2011, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" 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)". The CHARITY is a Public Benefit Entity as defined by FRS 102.
The charity 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 CHARITY. 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 CHARITY 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.
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.
Cash donations are recognised on receipt. Other donations are recognised once the CHARITY 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.
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 are allocated on the portion of the asset’s use.
Governance costs are those incurred in connection with administration of the charity and compliance with constitutional and statutory requirements.
Grants payable are included in the SOFA when the trustees have agreed to commit the expenditure.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
Property under consctruction
previously the company has undertaken work to construct a building to house changing facilities for various sporting clubs in Briton Ferry. No further work was undertaken in the year to 31 May 2024, however, the property works will be completed when funds are available. The construction expenditure incurred at 31 May 2020 has been capitalised as a fixed asset.
At each reporting end date, the CHARITY reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
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, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
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 CHARITY’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 CHARITY is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
The average monthly number of employees during the year was:
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
The above cost represents the costs incurred to 31 May 2024 on the construction of changing room facilities in Briton Ferry. The construction was completed on 31 May 2015. Two of the four dressing rooms will be competed when funds are available.
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.
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.
The operating leases represent leases to third parties. The lease rentals are fixed for the next 15 years. There are no options in place for either party to extend the lease terms.
At the reporting end date the charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
Within one year 300
Between two and five years 1200
Over five years 2903
4703
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During the year cost contributions were received from Briton Ferry RFC and Briton Ferry Town CC amounting to £3,421 (2023 £1,520)
They are considered to be related parties by virtue of common control.