YMCA TRINITY GROUP NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 24. PENSION COSTS
The group operates a defined contribution scheme, the assets of which are held separately from those of the group. For executive team members contributions for employees were to Scottish Widows and were a minimum of 3% of salary and the employer contributions were 6%. YMCA also operates a pension scheme through Peoples Pension where the employer and employee contribute 8% combined, NEST where the employer contributes 3% and the employee contributes 5% and Prudential where the employer contributes 3% and the employee contributes 5%. The charge for the year to the income and expenditure account in relation to all schemes was £145,853 (2024: £142,572). YMCA Trinity Group also participated in a contributory pension plan providing defined benefits based on final pensionable pay for employees of YMCAs in England, Scotland and Wales. The assets of the YMCA Pension Plan are held separately from those of YMCA Trinity Group and at the year end these were invested in the Mercer Dynamic De- risking Solution, 65% matching portfolio and 35% in the growth portfolio and Schroder (property units only). The charge for the year to the statement of comprehensive income in relation to the plan expenses for this scheme is £18,130 (2024: -£153,573). The most recent completed three year valuation was as at 1 May 2023. The assumptions used which have the most significant effect on the results of the valuation are those relating to the assumed rates of return on assets of 4.56%, the increase in pensions in payment of 3.18% (for RPI capped at 5% p.a.), and the average life expectancy from normal retirement age (of 65) for a current male pensioner of 21.5 years, female 24.0 years, and 23.1 years for a male pensioner, female 25.7 years, retiring in 20 years’ time. The result of the valuation showed that the actuarial value of the assets was £103.1m, which represented 92% of the benefits that had accrued to members. The Pension Plan was closed to new members and future service accrual with effect from 30 April 2007. With the removal of the salary linkage for benefits all employed deferred members became deferred members as from 1 May 2011. The valuation prepared as at 1 May 2023 showed that the YMCA Pension Plan had a deficit of £9.1 million. YMCA Trinity Group has been advised that it will need to make annual contributions of £75,569.56 from 1 May 2025. This amount is based on the current actuarial assumptions (as outlined above) and may vary in the future as a result of actual performance of the Pension Plan. Agreed future deficit contributions have been discounted using a rate of 5.5% (2024: 5.5%). The current recovery period is 3 years commencing 1 May 2024.
Within one year
One to two years
Two to five
years After five years
TOTAL
£
£
£
£
£
As at 31 March 2025
57,305
54,153
4,264
-
115,722
As at 31 March 2024
57,305
54,447
55,985
-
167,737
In addition, the group may have over time liabilities in the event of the non-payment by other participating YMCAs of their share of the YMCA Pension Plan’s deficit. It is not possible currently to quantify the potential amount that the group may be called upon to pay in the future.
25. CAPITAL COMMITMENTS
At the year end the group had capital commitments amounting to £52,000 (2024: £3,583,137) in relation to the Youth Investment Fund capital project at The Cresset.
26. RELATED PARTIES
The Cresset is a wholly owned subsidiary of The YMCA. The cresset limited is a non-regulated company registered under the Companies Act 2006. Details in relation to transactions with and investment in the subsidiary are provided in note 14.
YMCA Trinity Group 22
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