b'CHP financial statements 2020/2021Notes to the financial statements Amounts previously recognised in other comprehensiveCredit risk25Financial commitments income and accumulated in equity are reclassified toThe liabilities to funders are secured by a legal charge over profit or loss in the periods when the hedged itemproperty assets owned by the Group with a value moreGroupCompanyis recognised in profit or loss, in the same line of thethan total borrowings. The carrying value of the funding income statement as the recognised hedged item. Hedgeliabilities represents the maximum value exposed to 2020/2021 2020/2021accounting is discontinued when the Group revokes thecredit risk.Capital expenditure2019/20202019/2020hedging relationship, the hedging instrument expires or000 000 000 000is sold, terminated, or exercised, or no longer qualifies forLiquidity risk hedge accounting. Any gain or loss recognised in otherExpected cash flows from the financial assets, in particularContracted but not provided 55,03670,22356,32172,036 comprehensive income at that time is accumulated incash resources, are used in assessing and managing theAuthorised but not contracted 68,84456,90864,10557,299 equity and is recognised when the forecast transactionrisk of not being able to meet our obligations when they is ultimately recognised in profit or loss. When a forecastare due.123,880127,131120,426129,335 transaction is no longer expected to occur, the gain or loss accumulated in equity is recognised immediately in profitInterest rate risk or loss.At 31 March, 92 percent of our debt was fixed or hedged.The above commitments will be financed through a combination of sales receipts, cash, and the undrawn loan facilities Financial risk managementThere is no intention to repay any term debt other thanprovided by Barclays Bank and Lloyds Bank Group.Our operations expose us to a variety of financial risks. Wein accordance with the terms of each agreement. The have in place a risk management programme that seeks togroup has 37.2m of variable debt funding which could be limit the adverse effects on our financial performance byexposed to rises in LIBOR rates. If LIBOR were to increase monitoring levels of debt finance and related finance costs.by 0.5 percent, then the impact would be additional The key risks are as follows.interest costs of 186k to the statement of comprehensive income. The Group is subject to interest rate risk on investment income on short term deposits, cash balances, and swaps.24Non-equity share capital We are a Community Benefit Society limited by guaranteeThe certificates provide members with the right to vote and have issued no share capital. At 31 March 2021at general meetings but does not provide any rights to the Company had 73 certificated members dividends. In the event of a winding up the members are (31 March 2020: 71).liable to subscribe for 1 each to satisfy their guarantee to the company. 84 85'