KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) Limited by guarantee Company Registered Number 2737172 Charity Commission Reference Number 1013838 ANNUAL REPORT AND ACCOUNTS Year ended 31 August 2024 CONTENTS Page Significant Information Report of the Directors 2to6 Auditor's Report 7t09 Consolidated Statement of Financial Activities 10 Consolidated Balance Sheet Consolidated Statement of Cash Flows 12 Notes to the Financial Statements 13to20 Detailed Trading Account 21
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) SIGNIFICANT INFORMATION for the year ended 31 August 2024 The company is established as a company limited by guarantee and is registered as a charity with the Charity Commission. The affairs of the company are governed by its Memorandum and Articles of Association. Company Registered Number 2737172 Charity Commission Reference Number 1013838 DIRECTORS Mrs N S Garforth Cllr A C Pinnock Mrs H P Davies Mr A J Harris Mr B Jones Mr M McKirgan MrJMNunn Cllr B Addy Chair PRINCIPAL Mr N Dolling Appointed 1 September 2023 REGISTERED OFFICE 9 Beast Market Huddersfield HD1 1QF ADVISERS Bankers Barclays Bank PLC 17 Market Place Huddersfield HD12AB Auditors G L Barker & Co 47- 49 Austhorpe Road Leeds LS15 8BA Financial Adviser Simpson Wood (Financial Services) Limited Bank Chambers Market Street Huddersfield HD12EW Solicitors Schofield Sweeney Centura 76 Wellington Street Leeds LS1 2AY
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) Company Registered Number 2737172 REPORT OF THE BOARD OF DIRECTORS for the year ended 31 August 2024 The Board presents the report and financial statements of Kirklees Music School for the year ended 31 August 2024. The statements appear in the format required by the Charities SORP (FRS 102) and the Charities Act 2011. The report and statements also comply with the Companies Act 2006. The company has no share capital and is a registered charity. The guarantee of each member is limited to £1. The members are the directors of the company. structure, Governance and Management The governing document is the Memorandum and Articles of Association. It was last amended in 2024. Kirklees Music School owns all the share capital of Musica Kirklees Limited. Kirklees Council can nominate two of the directors. Other nominations are made by the existing Board of Directors. On appointment a director is given an information pack that includes the Memorandum and Articles of Association and the latest audited accounts. Training needs are assessed and met. The Board of Directors is responsible for the overall strategy of the company. The Principal is responsible for the day to day management. Kirklees Music School is committed to ensuring that we pay our staff fairly and in a way which ensures we attract and retain the right skills to have the greatest impact in delivering our charitable objectives. The appropriateness of the Principal's and other employees, remuneration is reviewed annually, including reference to comparisons with similar organisations ensuring Kirklees Music School remains sensitive to the broader issues e.g. pay and employment conditions elsewhere. Objectives and Activities Kirklees Music School is a music education charity and its principal activities are peripatetic music tuition and ensemble provision at music centres. Kirklees Music School aims to promote and support the highest quality music education for all. The company exists for the advancement of public education in all aspects of music in the Borough of Kirklees. Kirklees Music School aims to provide a safe and encouraging environment where young people are nurtured and their achievements celebrated. Kirklees Music School was appointed the lead organisation for the Kirklees Music Education Hub by Arts Council England, for the year ending 31 August 2024. Music Education Hub funding is spent in accordance with Arts Council England guidelines and supports the following priorities from 'The Importance of Music: A National Plan for Music Education., Core roles Ensure that every child aged 5 to 18 has the opportunity to learn a musical instrument (other than voice) through whole class ensemble teaching. Provide opportunities to play in ensembles and to perform from an early stage. Ensure that clear progression routes are available and affordable to all young people. Develop a singing strategy to ensure that every pupil sings regularly and that choirs and other vocal ensembles are available in the area. b) d)
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) REPORT OF THE BOARD OF DIRECTORS for the year ended 31 August 2024 Extension roles Offer training to music teachers. Provide an instrument loan service, with discounts or free provision for those on low incomes. Provide access to large scale andlor high quality music experiences for pupils, working with professional musicians andlor venues. b) Kirklees Music School measures its success according to its fulfilment of the core and extension roles. Financial Review The year has been spent continuing to recover from the impact of COVID-19 and building pupil numbers and activities up to their previous levels. Core Arts Council funding was reduced by £8,000 during the year. After making appropriate enquiries, the Board considers that the company has adequate resources to continue in operational existence for the foreseeable future. For this reason, it continues to adopt the going concern basis in preparing the financial statements. The result for the year and the Balance Sheet at 31 August 2024 represent a satisfactory outcome in difficult circumstances. Achtevements and Performance Kirklees Music School was able to organise an increased number of concerts and events compared with the previous year. Ensemble music making, both at Music Centres and for the Kirklees Music School ntral groups, has always been a strength and ensuring that this remains the case is very important to us. Concerts continue to be a main focus for the players at Music Centres along with active involvement in their local communities. It is hoped participation at Music Centres can be revived shortly to the levels we have traditionally provided. Our recital teams and individual teacher demonstrations provide initial access to live music-making for thousands of children in Kirklees and are extremely well received by teachers and children in schools. We work closely with all schools in Kirklees and request feedback on all areas of delivery such as teaching and live music performances. NeOrk meetings for Secondary Schools are organised as well as Primary Hub Updates for Primary and First Schools. The Hub Advisory Forum for appropriate Headteachers, Heads of music and other music providers gives us further feedback for music in Kirklees. A strategic partnership, the West Yorkshire Music Hub, also exists belween the music services in Kirklees, Bradford, Calderdale, Wakefield and Leeds. At a local level our partnerships with schools, colleges, parents and other bodies have demonstrated the power of effective partnerships.
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) REPORT OF THE BOARD OF DIRECTORS for the year ended 31 August 2024 Kirklees Music School has an established network of six music centres which are strategically placed across the locality and which provide a range of activities from traditional string ensembles and wind bands through African drumming to rock and soul bands. The Company works closely with amateur choirs, bands and orchestras in the area, often embarking on joint ventures and sharing the stage with them at concerts and events. Players involved in First AcsS at schools are encouraged to attend one of the beginner ensembles at their local music centre. Performance is seen as a vital part of making music and children are encouraged to perform on instruments and vocally in order to celebrate the achievements they have made. The central ensembles provide challenge for young people who wish to pursue their musical interests to a higher level. There is a steady stream of young people who go on to study music at Higher Education, both university and conservatoire. Young people are encouraged to consider provision offered by centres for advanced training such as Yorkshire Young Musicians in Leeds and Chetham's in Manchester. Kirklees has many success stories in these areas and has also enabled many students to gain coveted places at conservatoires across the country. Kirklees has an excellent reputation for singing and over rent years there has been a positive drive to create partnerships to ensure that the excellence and diversity of our current provision continues to flourish. Our First Access programmes include an emphasis on singing in order to broaden the musical ski1Ss of young people. Principal risks and uncertainties The Directors have considered the risks facing the Company and believe the main risk is ensuring there is continuing funding from the Arts Council, at an appropriate level. The Directors regard the health and safety of children as being of paramount importance and ensure staff are vetted by the Disclosure and Barring Servi. Future developments Repairing the damage caused by Covid-19 has been a big challenge. Maintaining and developing our customer base is very important. Our plans for the coming year are designed to allow the Company to build on the recent growth and to continue to function sucSsfUllY both as a deliverer of high quality music education and as a company mindful of its responsibilities to its employees. its clients and its future. Our fundraising initiatives will continue to support bursaries for children with challenging financial circumstances. This will be marketed under the title of 'the Gift of Music., We expect to develop our role as a major partner in the West Yorkshire Music Hub. Public Benefit ststement Kirklees Music School benefits the public by operating music centres and providing music education to the young people of Kirklees. Discounts are made available to pupils in financial hardship.
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) REPORT OF THE BOARD OF DIRECTORS for the year ended 31 August 2024 The Directors have referred to the information contained in the Charity Commission's guidance on public benefit when reviewing the Charity's aims and objectives and in planning future activities. The Directors are satisfied that Kirklees Music School provides a public benefit in accordance with the Charity Commission's guidance. Dlrectors. responsibility for the Financial Statements Company law requires the directors to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and group and of the income and expenditure of the charity and group for that period. In preparing those financial statements, the directors are required to: select suitable accounting policies and apply them consistently; observe the methods and principles in the Charities SORP" follow applicable accounting standards and Statements of Recommended Practi without any material departures" make judgements and estimates that are reasonable and prudent. prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue to operate. The Directors are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and group and to enable them to ensure that the financial statements comply with the Companies Act 2006 and the charity's governing document. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The directors are responsible for the maintenance and integrity of the corporate and financial information included on the charity's website. Statement of disclosure of information to auditors The directors of the company who held office at the date of approval of this Annual Report each confirm that.. so far as they are aware, there is no relevant audit information (information needed by the company's auditors in connection with preparing their report) of which the company's auditors are unaware. and they have taken all the steps that they ought to have taken as directors in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information. Reserves Policy At the Balance Sheet date total reserves amounted to £1,057,987. Unrestricted funds amounted to £1,054,316 and Restricted Funds (Gift of Music) amounted to £3,671. In the opinion of the Board of Directors reserves amounting to at least six months running costs are required. Reserves of at least £1,000,000 are therefore needed. The Reserves Policy continues to be reviewed on a regular basis.
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) REPORT OF THE BOARD OF DIRECTORS for the year ended 31 August 2024 Tangible Fixed Assets The movements in the CoMpanS tangible fixed assets are set out in note 11. Principal funding sources The main source of funding in a normal year is from parents of children receiving music lessons or attending one of the Kirklees Music School music centres. In these financial statements that represented 450/0 of total income. Services provided directly to schools represented 15 % of total income. A service level agreement with the Arts Council provided 37 % of total income. Investment Policy Kirklees Music School has a number of short and medium term challenges. During the year the policy was to invest funds in a managed low risk fund. Small Company Exemption Advantage has been taken of the exemption for smaller incorporated charities conferred by the Charities SORP (FRS 102) to prepare this report in accordance with the special provisions of the Companies Act 2006 relating to small companies. ON BEHALF OF THE BOARD OF DIRECTORS LV- /Lb l. N. S. Garforth Director Date
KIRKLEES MUSIC SCHOOL {Operating as MUSICA KIRKLEES) INDEPENDENT AUDITOR'S REPORT To the members of Kirklees Music School for the year ended 31 August 2024 Opinion We have audited the financial statements of Kirklees Music School (the 'charitable company,) for the year ended 31 August 2024 which comprise the Group Statement of Financial Activities, the Group and Parent Charitable Company Balance Sheets, the Consolidated Statement of Cash Flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland, (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements: give a true and fair view of the state of the group's and company's affairs as at 31 August 2024, and of the group's and the parent company's incoming resources and application of resources, including its income and expenditure, for the year then ended. have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice., have been prepared in accordance with the Companies Act 2006 and the Charities Act 2011. Basls for opinion We conducted our audit in accordance with International Standards on Auditing (UK) (ISAS (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relating to going concern We have nothing to report in respect of the following matters in relation to which the ISAS (UK) require us to report to you where.. the Trustees, use of the going concern basis of accounting in the preparation of the financial statements is not appropriate" or the Trustees have not disclosed in the financial statements any identified materia5 uncertainties that may cast significant doubt about the charitable company's ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue. Other information The Trustees are responsible for the other information. The other information comprises the information included in the Annual report, other than the financial statements and our Auditor's report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent othemise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) INDEPENDENT AUDITOR'S REPORT To the members of Kirklees Music School for the year ended 31 August 2024 In connection with our audit of the financial statements, our responsibility is to read the other information and in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Opinion on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit.. the information given in the Trustees, Report for the financial year for which the financial statements are prepared is consistent with the financial statements. the Trustees, Report has been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In the light of our knowledge and understanding and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misststements in the Trustees, Report. We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion; adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us", or the financial statements are not in agreement with the accounting records and returns, or certain disclosures of Trustees, remuneration specified by law are not made or we have not received all the information and explanations we require for our audit, or. the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies, exemptions in preparing the Trustees, Report and from the requirement to prepare a Strategic Report. Responsibilities of trustees As explained more fully in the Trustees, responsibilities statement the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees detemine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) INDEPENDENT AUDITOR'S REPORT To the members of Kirklees Music School for the year ended 31 August 2024 Auditor's responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free frorn material misstatement, whether due lo fraud or error, and to issue an Auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guaranlee that an audit conducted in accordance with ISAS (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at-. www.frc.org.uklauditorsresponsibilities. This description forms part of our Auditor's report. Use of our report This report is made solely to the Kirklees Music School members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and the Charities Act 2011. Our audit work has been undertaken so that we might state to the companls members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assiime responsibility to anyone other than Kirklees Music School and it's members as a body, for our audit work, for this report, or for the opinions we have formed. ¢97 Date 2a2 Martin Kna Senior Statutory Auditor For and on behalf of G L Barker & Co LLP Chartered Certified Accountants and Statutory Auditor 47 - 49 Austhorpe Road Leeds LS15 8BA G L Barker & Co LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006.
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES for the year ended 31 August 2024 (INCORPORATING THE CONSOLIDATED INCOME AND EXPENDITURE ACCOUNT) Notes Unrestricted Restricted Funds Funds Total 2024 Total 2023 Income and endowments from: Donations Investments Charitable activities Other incoming resources 190 9,700 1,895,189 92,913 1,557 1,747 4,447 9,700 5,923 1,895,189 1,780,079 92,913 64,240 Total incoming resources 1 997 992 1557 1999 548 1 854 689 Expenditure on: Raising funds Charitable activities 2,017,692 2,033 2,019,725 1,961,865 Total expenditure 2,017,692 2,033 2,019,725 1,961.865 12 Net unrealised gain - investments 45,094 45,094 Net incomel (expenditure) (19,701) (476) (20,177) (107,176) Net movement in funds 25,393 (476) 24,917 (107,176) Reconciliation of funds Total funds brought forward 1,028,673 4,147 1,032,820 1,139,996 17 Total funds carried forward 1054 066 3 671 1057 737 1032 820 Under the provisions of Section 408 of the Companies Act, a separate statement of financial activities for the company alone is not required. All of the activities undertaken by the charity were continuing activities and no new activities were acquired during the year. There are no recognised gains or losses other than those in the Statement of Financial Activities. Therefore, no Statement of Recognised Gains or Losses has been prepared. The notes on pages 13 to 20 form an integral part of these accounts
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) Company Registered Number 2737172 CONSOLIDATED BALANCE SHEET at 31 August 2024 Group 2024 Group Company Company 2023 2024 2023 Notes Fixed assets Tangible assets Investments 16,422 765,094 38,790 16,422 765,214 33,237 120 12 Total Fixed Assets 781516 781636 Current assets 13 16 Debtors Cash at bank and in hand 25,356 286 653 312,009 28,246 1018417 1,046,663 25,356 28,246 286 653 1018 417 312,009 1,046,663 14 Creditors: amounts falling due within one year (35,788) (47,080) (35,908) (47,200) Net current assets 276 221 999 583 276 101 999 463 Net assets 1057 737 1032 820 1057 737 1 032 820 FUNDS Unrestricted Restricted 1,054,066 1,028,673 1,054,066 1,028,673 17 1057 737 1032 820 1 057 737 1 032 820 Approved by the directors and trustees on their behalf by signed on N.S. Garforth Director The notes on pages 13 to 20 form an integral part of these accounts
KIRKLEES MUSIC SCHOOL {Operating as MUSICA KIRKLEES) CONSOLIDATED STATEMENT OF CASH FLOWS for the year ended 31 August 2024 Unrestricted Restricted Funds 2024 Funds 2024 Total 2024 Total 2023 Notes Net cash provided by operating activities 15 476 123 267 Cash flows from investing activities: Interest from investments Purchase of fixed assets Transfer to investment fund 9,700 (3,200) (720,000) 9,700 5,923 (3,200) (24,484) (720,000) Net cash provided by investing activities (713,500) (713,500) (18,561) Net cash provided by financing activities Change in cash in the year 731288 476 731764 141829 Cash at 1.9.23 1,015.060 3,357 1,018,417 1,160,246 16 Cash at 31.8.24 283 772 286653 1018417 12
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024 ACCOUNTING POLICIES Basis of Accounting The statement of accounts has been prepared under the historical cost convention in accordance with the provisions of the Companies Act 2006, the Charities Statement of Recommended Practice (FRS 102) and applicable accounting standards. Where necessary the headings laid down in the Companies Act have been adapted to meet the special activities of the company. The company qualifies as a small company under the Companies Act 2006. The Group accounts are the consolidated accounts of Kirklees Music School and Musica Kirklees Limited. Fund Accounting General funds are unrestricted funds which are available for use at the discretion of the Directors in furtherance of the general objectives of the company and which have not been designated for other purposes. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for a particular purpose. Taxation As a registered charity, the company benefits from rates relief and is generally exempt from income tax and capital gains tax, but not from VAT. Irrecoverable VAT is included in the cost of those items to which it relates. Investments Realised and unrealised gains and losses are taken to the Statement of Financial Activities. Incoming Resources All income is accounted for as soon as the Company has entitlement to the income and there is certainty of receipt and the amount is quantifiable. Resources expended All expenditure is accounted for on an accruals basis. Where costs cannot be directly attributed they have been allocated to activities on a basis consistent with the use of the reSoUrs. Direct costs, including directly attributable salaries, are allocated on an actual basis to the key strategic areas of activity. Overheads and other salaries are allocated between expense headings on the basis of time spent. Governance costs are those incurred in connection with the management of the Company's assets, organisational administration and compliance with constitutional and statutory requirements. Presentstion currency The presentation currency of the financial statements is the Pound Sterling (£). 13
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024 Fixed Assets Assets with a cost in excess of £1,500 intended to be of ongoing use to the Company in carrying out its activities are capitalised as fixed assets. All fixed assets are included at cost. Depreciation of tangible fixed assets is provided at the following annual rates in order to write off each asset over its estimated useful life. Musical instruments 50 % Straight line Fixtures, fittings and equipment 250/0 Straight line Computer equipment 33,1 % straight line Leases Rentals paid under operating leases are charged against income as incurred. Pension contributions The company contributes to a defined contribution personal pension scheme for non-teaching staff in addition to the defined benefit Teachers Pension Scheme for teachers. Kirklees Music School's contributions to the scheme are affected by a surplus or deficit in the scheme, however, it is unable to identify its share of the underlying assets and liabilities in the scheme on a reasonable or consistent basis and has thus availed itself of the exemption permitted by paragraph 9 of Financial Reporting Standard 102 to treat the scheme as a defined contribution scheme. The assets of the schemes are held separately from those of the company in independently administered funds. The amounts charged against income represent the contributions payable to the schemes in respect of the accounting period. OPERATING LOSS OF THE COMPANY 2024 2023 The operating loss is stated after charging: Depreciation on tangible fixed assets Auditorfs remuneration 20,015 8,400 30,037 9.300 During the year the auditors also received £474 (2023 - £462) in respect of non audit services. EMPLOYEE INFORMATION 2024 2023 The average number of full time equivalent employees during the year was. Directors Support staff - music centres Support staff - office Teachers 30 47 27 45 14
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024 2024 2023 EMPLOYEE INFORMATION - Continued The average total number of staff (including part time staffj was.. Directors Support staff - music centres Support staff - office Teachers 55 78 60 84 Stsff costs for all the above were: 2024 2023 Salaries and wages Social security costs Defined benefit pension Defined contribution pension scheme 1,318,935 1,273,120 90,303 90,252 261,551 232,342 1729 179 1651255 No employee received a salary greater than £60,000. The Principal received total employee benefits of £71,685 (2023 - £75.580), consisting of a gross salary of £57,000 and employer pension contributions of £14,685. None of the directors received any emoluments or expenses in respect of their services to the company during the year. DEFINED BENEFIT PENSION The Teachers, Pension Scheme (TPS or scheme) is a statutory, unfunded, defined benefit occupational scheme, governed by the Teachers, Pensions Regulations 2010 (as amended) and the Teachers, Pension Scheme Regulations 2014 (as amended). These regulations apply to teachers in schools and other educational establishments. including academies, in England and Wales that are maintained by local authorities. In addition, teachers in many independent and voluntary-aided schools, and teachers and lecturers in some establishments of higher and further education may be eligible for membership. Membership is automatic for full-time teachers and lecturers and from 1 January 2007 automatic too for teachers and lecturers in part-time employment following appointment or change of contract. Teachers and lecturers are able to opt out of the TPS. The Teachers, Pension Budgeting and Valuation Account Although members may be employed by various bodies, their retirement and other pension benefits are set out in regulations made under the Superannuation Act 1972 and Public SeNice Pensions Act 2013 and are paid by public funds provided by Parliament. The TPS is an unfunded scheme and members contribute on a 'pay as you go, basis - contributions from members, along with those made by employers, are credited to the Exchequer under arrangements governed by the above Acts. The Teachers, Pensions Regulations 2010 require an annual account, the Teachers, Pension Budgeting and Valuation Account, to be kept of receipts and expenditure (including the cost of pension increases). From 1 April 2001, the Account has been credited with a real rate of return, which is equivalent to assuming that the balance in the Account is invested in notional investments that produce that real rate of return. 15
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024 Valuation of the Teachers, Pension Scheme The Government Actuary, using normal actuarial principles, conducts a formal actuarial review of the TPS in accordance with the Public Service Pensions (Valuations and Employer Cost Cap) Directions 2014 published by HM Treasury every 4 years. The aim of the review is to ensure costs are recognised and managed appropriately and the review specifies the level of future contributions. Actuarial scheme valuations are dependent on assumptions about the value of future costs, design of benefits and many other factors. The latest actuarial valuation of the TPS was carried out on 31 March 2020. The valuation report was published by the Department for Education on 27 October 2023, with the SCAPE rate set by HMT, applying a notional investment return based on 1.70/0 above the rate of CPI. The key elements of the valuation outcome are'_ Employer contribution rates set at 28.689/0 of pensionable pay (including a 0.08 /0 administration levy). This is an increase of 5 % in employer contributions and the cost control result is such that no change in member benefits is needed. Total scheme liabilities (pensions currently in payment and the estimated cost of future benefits) for service to the effective date of £262,000 million and notional assets (estimated future contributions together with the notional investments held at the valuation date) of £222,000 million. giving a notional past service deficit of £39,800 million. A copy of the latest valuation report can be found on the Teachers, Pension Scheme website. The result of this valuation will be implemented from 1 April 2024. The next valuation result is due to be implemented from 1 April 2028. The employer's pension costs paid to the TPS in the period amounted to £261,551 (2023.. £232,342) Under the definitions set out in Financial Reporting Standard (FRS 102) Retirement Benefits, the TPS is a multi employer pension scheme. Kirklees Music School is unable to identify its share of the underlying assets and liabilities of the scheme. Accordingly, Kirklees Music School has taken advantage of the exemption in FRS102 and has accounted for its contributions to the scheme as if it were a defined contribution scheme. Kirklees Music School has set out above the information available on the scheme and the implications for the company in terms of the anticipated contribution rates. DONATIONS Unrestricted Restricted Funds 2024 Funds 2024 Total 2024 Total 2023 Donations 190 INCOME FROM INVESTMENTS Unrestricted Restricted Funds 2024 Funds 2024 Total 2024 Total 2023 Interest receivable 16
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024 INCOME FROM CHARITABLE ACTIVITIES 2024 2023 Arts Council Other income Music education - parents Music education - music centres Music education - schools 641,100 643,641 29,784 11,381 780,739 701,845 116,358 101,834 327 209 321 378 1895 189 1 780079 OTHER INCOMING RESOURCES 2024 2023 Pension grant CHARITABLE ACTIVITIES EXPENDITURE Unrestricted Restricted Funds 2024 Funds 2024 Total 2024 Total 2023 Grant funding Governance costs Music centres rent Sheet music Projects Instrument repairs Motor and travel Wages School liaison Rent, rates and water Heat and light Property repairs Cleaning Telephone Photocopier Computer costs Printing and stationery Postage Bank charges Payroll charges Legal Insurance Training costs Marketing Sundries Depreciation Bad debts 21,451 9,367 36,960 1,365 4,477 21,843 27,180 1,729,179 3,843 34,551 7,841 1,970 1,809 3,042 3,888 22.145 6,511 674 6,259 10,539 5,688 26,171 3,763 424 2,457 20,015 4,280 2,033 23,484 22,244 9,367 10,426 36,960 30,447 1,365 348 4,477 8,437 21,843 20,737 27,180 29,493 1,729,179 1,651,255 3,843 13,241 34,551 34,536 7,841 9,415 1,970 1,583 1,809 995 3,042 3,567 3,888 3,799 22,145 28,602 6.511 6,269 674 1,762 6,259 5,778 10,539 8,806 5,688 3,888 26,171 24,266 3,763 4,251 424 900 2,457 1,531 20,015 30,037 4,280 5,252 Total expenditure 2017692 2 033 2019 725 1961865 17
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024 10 GOVERNANCE 2024 2023 Legal Audit Indemnity insurance 513 8,400 454 540 9,300 586 Indemnity insurance has been purchased to protect the charity, directors and officers from loss arising from the neglect or default of the directors or other officers. TANGIBLE FIXED ASSETS Musical Fixtures and Computers Instruments Fittings Total Cost Balance 1.9.23 Additions Disposals Balance 31.8.24 105,635 3,200 25,801 96,383 227,819 3,200 108,835 25,801 96,383 231,019 Depreciation Balance 1.9.23 Charge for the year Disposals Balance 31.8.24 104,796 1,239 24,251 1,550 65,535 17,226 194,582 20,015 106,035 25,801 82,761 214,597 Written down value at 31.8.23 839 1,550 30,848 33,237 Written down value at 31.8.24 2,800 13,622 16,422 12 INVESTMENTS Investment in subsidiary undertaking 2024 2023 Shares at cost 120 120 The subsidiary undertaking is Musica Kirklees Limited (company number 10289559). The company is currently dormant. Kirklees Music School owns all the issued share capital of the company. 120 Ordinary shares of £1 each are issued. The assets and liabilities of the subsidiary undertaking at 31 August 2024 were:_ Owed by parent undertaking representing Share capital 120 120 18
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024 Investment in managed fund 2024 2023 Additions at cost Unrealised investment gains Investment management costs Market value 720,000 57,503 (12,409) 13 DEBTORS Group 2024 Group Company Company 2023 2024 2023 Trade debtors Prepayments 12,125 10,511 12,125 10,511 28 246 28 246 14 CREDITORS Amounts falling due within one year: Group 2024 5,092 Group Company Company 2023 2024 2023 9,825 5,092 9,825 120 120 Trade creditors Owed to group undertaking Accruals 35 788 35 908 15 RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES Unrestricted Restricted Funds 2024 Funds 2024 Total 2024 Total 2023 Net income for the year (19,701) (476) (20,177) (107,176) Adjustments for.. Depreciation Investment income Decrease in debtors Decrease in creditors 20,015 (9,700) 2,890 (11,292) 20,015 30,037 (9,700) (5,923) 2,890 6,181 (11,292) (46,387) Net cash provided by operating activities (17,787) (476) (18,264) (123,267) 16 ANALYSIS OF CASH AND CASH EQUIVALENTS Total 2024 Total 2023 No notice deposits 286,654 1,018,417 19
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024 17 RESTRICTED FUND The Gift of Music Fund has been set aside by the Directors to provide bursaries to children with challenging financial circumstances. 2024 2023 Balance at 1 September 2023 Donations Expenditure Balance at 31 August 2024 4,147 1,557 2,033 3,357 3147 18 COMMITMENTS AND CONTINGENT LIABILITIES At the balance sheet date there were no commitments for capital expenditure other than as provided for in these accounts. At the balance sheet date there were no contingent liabilities. Annual commitments under non-cancellable operating leases are as follows.. 2024 Land and Buildin 2023 Land and Buildin Other Other Expiring in less than one year Expiring between one year and five years 18,500 2,880 18.500 2,880 20
KIRKLEES MUSIC SCHOOL (Operating as MUSICA KIRKLEES) DETAILED TRADING ACCOUNT FOR THE YEAR ENDED 31 AUGUST 2024 2024 2023 INCOME Arts Council Music education - parents Discounts granted Music education - music centres Discounts granted Music education - schools Other income Pension grant Interest receivable Donations 641,100 780,739 (17,174) 116,358 (4,277) 327,209 29,784 92,913 9,700 190 643,641 701,845 (16,665) 101,834 (3,222) 321,378 11,381 64,240 5,923 1,300 Total income 1,976,541 1,831,655 EXPENDITURE Music centres rent Sheet music Instrument repairs Projects Travel Wages School liaison Rent, rates and water Heat and light Propety repairs Cleaning Telephone Photocopier Computer costs Printing and stationery Postage Bank charges Payroll charges Legal Audit Insurance Training costs Marketing Sundries Depreciation Bad debts 36.960 1,365 21,843 4,477 27,180 1,729,179 3,843 34,551 7,841 1,970 1,809 3,042 3,888 22,145 6,511 674 6,259 10,539 6,201 8,400 26,625 3,763 424 2,457 20,015 4,280 30,447 348 20,737 8,437 29,493 1,651,255 13,241 34,536 9,415 1,583 995 3.567 3,799 28,602 6,269 1,762 5,778 8,806 4,428 9,300 24,852 4,251 900 1,531 30,037 5,252 Total expenditure 1,996,241 1,939,621 LOSS FOR THE YEAR 107 966 21