Charity registration number 1031590 Company registration number 2880224 (England and Wales) BROMLEYYOUTH MUSIC TRUST (LIMITED BY GUARANTEE) ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 BROMLEY YOUTH MUSIC TRUST LEGAL AND ADMINISTRATIVE INFORMATION Trust8•S L Blomstrand S Polydi¥OU MBE S M Oldfield Amoss L Richards J Walters Charlty number 1031590 Company number 2880224 Reglstered offlce Southborough Lane 8romley Kent BR2 8AA Auditor Baxter & Co Lynwood House Crofton Road Orpington Kent BR6 8QE Bankers Natwest Bank PLC 143 High Street Bromley Kent BR11YZ Metro Bank One Southampton Row London WC1B5HA Handelsbanken Northside House 69 Tweedy Road Bromley Kent England BR13WA Solicltors Wellers Tension House Tweedy Road Bromley Kenl BR13NF BROMLEY YOUTH MUSIC TRUST CONTENTS Page Trustees. report Statement of Trustees, reswnsibilitie5 Independent au¢Jitor's report 9-10 Statement of financial activ¢ties Batance sheet 13 Statement of ¢ash fl¢>ws 14 Note5 to the finanaal statements 15-27 BROMLEYYOUTH MUSIC TRUST TRUSTEES. REPORT (INCLUDING DIRECTORS, REPORT) FOR THE YEAR ENDED 31 MARCH 2023 The Trustees, who are also directors of Bromley Youth Muslc Trust I'BYMf) lor the purposes oflha Conyanies Act 2006, present their annual report and financial slalements for the year ended 31 March 2023. The financial statemen15 have been prepared in accOrdaTh￿ with the accounting poliaes sel out in note 1 to the rinan(ial sla¢errEnls and compty with the the Companies Act 2006 and 'Accounting and Reporting by Charili8s.' Statement of Recomrnended Practice applicable to charities preparing their accounts in accordance ￿th ihe Financial Reporting Standard applicable in the UK and Republi¢ of Irgland IFRS 1021. (effective 1 January 20191. About BYIAT Establish¢d In 1993, BYMT is 8n independent muslc service. krK)wn nationally for provlding a high quality instrumental and vocal music education lo children and young people in the London Borough of Brornley and urrounding areas. Our Music Cenlres cater for all ages and experience, including adults. We provlde a range of ensembles and groups, including oichestras, bands. choirs, musiral theatre, chamber music. keyboard dasses and 5es$ions fof infants. We also provide holiday courses, wort(shops and maslerdasses as well as aftnual concert tours for our t￿$t advanced musirians. The Trustees have paid due regard to guidance issued by Ihe Charity Commi5sh)n in dwding what activities BYMT should undertake. OUR VISION AND STRATEGIC AIMS BYMT vision statement: All thildren. young people and the wider community benefft from the enriching and transformative power olmusic. Our31rategi¢ alms.. Support Bromley schools In providirtg outstsndlng muslc educatlon - ALL Bromley chlldren re￿1ve an outstanding musi¢ education al school. D8V81op musl¢al progre$$ion path￿y$ - Children and young people call access a br08d range of outstanding musical pathways which meet their needs and intérests. Ensure that everyone is included - Chrfd￿n and young ￿trp1&.8 muslc Is HEARD= Holisli Placing emphasis on persollal. soclal and musical outcomes. Equitable Those facing Ihe biggest barrfers receive Ihe most support. Authentic Developed with and infomied by the people we do It for. Representalivo Partiapants and colleagues ￿fleCt our diverse So￿ety. DNerse AJI musical 9enres, styles. practKes are Wdlued equalty. Nurture life-long enjoyment of muslc . All members of the Community can engage in ￿l$land(Th9 muslcal experfences. Oevelop wder community awareness of BYMT . Everyonè In the wlder community knows that BYMT extsts, what we can offer them or their famifies, and how to access our offer. OUR ACHIEVEMENTS We are proud that BYMT was able to ￿llY resunE its comprehensive and high-quality mvsic edutration programme for children, young people and adults. folkjwng the pandemic. As Trusteès of BYMT. it Is a privilegè to wlness Ihe Im￿n$9 talent of the Children and young people of Brornley. BROMLEY YOUTH MUSIC TRUST TRUSTEES, REPORT (INCLUDING DIRECTORS, REPORT) {CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 Suppgrting Bromley Schools In provldlng outstandlng musl¢al education: BYMT engaged with 95% of Bromley schools. prowdifig a range of prowsion Induding instrumental and vocal tuition. whole dasslschool singing projecls. and primary curriculum delivery. Our inslrurnental specialist teachers WOrt(ed in 34 schoo13 promding who18 cjass instrumental tuition for Key stage 1 and Key Stage 2 children. More than 5,CH)O students re￿Ved Ind￿Idual Instrumental or singing te5stsns. Dèv•loping muslcal progresslon pathways: Durlng 2022r23, BYMT ensembles rnadè great muslcal ￿0g￿s$ following Ihe cha118ng8s of online kaming, as a Tesull of the pandemic. Mofy than 850 students participaltsd in 8YMT ensèmbjes. BYMT introduced new groups such as our'RoLmdaboLrt Scheme., which provldes a pradcal Introduclon lo instrumental music making. 265 students participated ift 8YMT holiday courses. leaming keyboard, ukulele. percusslon, strfngg and songwriting as well as taking part in wnd, string and piano ensembles. BYMT repeated its Easter and Summer Sounds holiday courses in 2022, followlng the success of the previous year. The course is an exclting inlrodudion lo instrumental learnlng and singing as part of a choir. More than 100 children engaged in this exciting initiative. many of whom continued Ihelr instrumental learniag at school from September 2022. More than 60 students partiCiP8led in OUT annua5 summer musical Ihealie course, wn by a West End director, prolesslonal slnging coach and West End choreographer. Many of these students werè subsequently involved in lerm-lime produdions of Eff and Seussical. One of the performance hlghlights of 2022123 was the return of Iho BromIey Schools. Prom at Fairfièld Halls. The event was held over three nights and featured chil{J￿n and young peopJÈ from more Ihan 40 Bromley schools, perfom)ing In choirs. bands, orchestras and musicxl theatre. Bromley Youth Chamber Orchestra and Bromley Youth cOn￿rt Band participated in 2 sttcessfijl residential tour to Wells Cathedral City. Following a hiatus due to the pandernic, the Fina15 of Ihe Advanced Instrumental CompelitK)n - BYMT Rotary Trotman, BYMT Rolary Adva[s￿d Singing Competition and the BYMT Young Singer ol the Year & Minting Cup were held in-person again, dernonslr81ing the outstanding musrAI accomplishments of so many children and young peop19 in Brornley. Many of our Year 13 leavers went on to study music al universitieslmuslc colleges. Ensuring that everyone15 Ineluded.. We warst everyone in the wider community of Bromley to be able lo eng8ge ond participate wlh BYMT regardless of thelr needs, Income, personal drcumslance5, age and where they live. An irnportanl part of achieving thi3 aim is our Young MusicEans' Bursary I'YMB'I. During 2022123, we sUPPOrted 316 students and familles with a YMB. induding freé or dlscounted lesson fee5, and discounted music group and instrument hire fees. 70% 01 these students were in re￿ipl ol pupil premium and 22% had an annual household income of less than £25,000. In September 2022. we launth8d an Opan Orchestra, an inclusive ensemble that works wlh kn groups of young adults with special needs who live in Bromley. This ensemble made their debut performance In tho Spring Term 2022. The trust has planstg expand this exc￿Ing programme in 2023124 to KS2 children. Our Speclal EdueAlional Need51'SEN") consultant prowded lailored support and training for schools and BYMT staff. In addition. our SEN Consultant supported students wth additional needs to access BYMT programme5. BROMLEYYOUTH MUSIC TRUST TRUSTEES, REPORT (INCLUDING DIRECTORS. REPORT) {CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 Nurturlng lifv.long enjoyment of musle: 300 adutts regularly participated in music groups. BYMT delivered and parinered with a range ol adult ensent)les, including Adult Choir, Bromley Adult Musicians Orchestra, Adull Ukulele. Piano Adult Beginners, Sing Bromleyl and XBY Concert Band. In July 2022, XBY lex-Bromley Youth) Concert Band achieved a gold medal in the Wodd Music Contest In Kerkrade, Netherlands. For the fir51 tirne. XBY participated in the top division ol the conlesl. competing against professional musicians. X8Y was the only UK band lo perf¢Ym in this division. 11 Is a testament lo the continuing success of the Trust and the outstanding dedication of the whole BYMT team. over many years, that XBY has been r¢cogrni$ed as one of the be51 symphonic wind bands on the wgAd stag01 Dav•loplng wld8r communlty awareness of BYMT BYMT opened its doors for a 'Try a Musical Instrument Day., In September 2022. Thls was a Chan￿ for families with children in school years 1-8 to vislt BYMT, try the inslrurnents. meet the teachers and make some noisel In January 2023, we held an open rehearsal week. This exciting introduction to BYMT groups enabkd new students lo experien¢e first-hand the high-quality mus(¢-making opportunities on offer at our cenlres. Our annual garden paty involved perfomiances by 19 BYMT groups and was attended by more than 1,200 family, friends and mernbers oflhe cornmunity. One of the many positive changes BYMT has made in recent years has been the implemenlalion of SpeedAdmin. a sofware package lailor-made for music servws. We are increasingly utilising the report functionality of SpeedAdmin to facilitate more targeted marketing rAmpaign5. We have been working hard to enhance our digital marketing strategy, including the developrnenl of a new and more dynamic BYMT website, which went live in ju￿ 2023. OUR PEOPLE BYMT has a hard-working, dedicated and experienced team of permanent staff, licensed le8ehers. Trustees and volunteers. Our 208 teachers 2nd 16 support team engage with families. schools, and partner organisalions to ensu￿ that children and young people have opportunities lo sing, play, ¢￿ale and perfomi music in a wide range of community settings and professional concert venues. BYMT provldes professlonal development opportunities vla staff training days, school network sessions and the introduction ol a Bromley Continuing Professional Development I"CPD'llnetsvork event for li￿nsed teachers, Head3 of Musia and Music C¢>ordin8tor5. BYMT Is lucky to have the support ol volunteers who engage in 8 variety of pro bono acti￿tIes, Suth as fundraising, stewarding concerts, Nnning the EK)x oiflcè. and pioviding r&f￿ShmentS al concerts and rehearsals. We are trnmensely grateful to our Patrons and Supporters who regularty give to BYMT. In addition, we are hurn0￿d by the gratitude and pjsits've messages that we contsnue to re￿1ve from BYMT alurnni. BROMLEYYOUTH MUSIC TRUST TRUSTEES. REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 Restructure The combined effect of the pandernic and lockdown restrictions, grant funding remaining ststic. and risrng c051$ has meant Ih?I, like rnany charilies, BYMT has faced ehallenges in reTrnt years. Looklng lo the future, we thought long and hard about how to &dapt and evolve. to ensure we continue to do everything we can lo support all the lantsstic chlldren, young people and the wider community who 8¢Less our services - whether through Indiwdual ￿$SOnS, membershrp of ensemble5 or work within schools. To beller 5UPPOrt our 51rategic aims and protect 8YMfs ltsng-ieTm sustainability. at the start of 2023 we undertook 8n oiganlsalional restructure. whith 8chieved payroll efficiencies of 10%. The leadership team and Tftjslees invested signific2nl lime and effort to Identify the right operating model for BYMT and minimise the impact on IndivKlual members of staff. However, we recognise that the ￿$t1￿ctUre has been challenging for our people and would like to pay tribute to the whole BYMT 18arn for théir hard work, coopèration and professionalism ltrwowhotAI the process. Under expert leader$hip of the CEOIHead of serv1￿. the ￿StrUctU￿ was completed In March 2023, without any reduction in the frontline delivery of services. Moreover, the diligent rnanagernent of the Tru5V5 finances seÈ5 BYMT enter the next acadernic year in a better position to deliver a high-quality and Indusive programme wlh a morè certain finanaal position. We look to the future of BYMT wth renewed optimism. FUNDING Prlnclpal funding sources Our principal funding continues to corne from the Department for Education C'DfE I via Arts Council England I°ACE'I, whlch is supplemented by charges lo s¢ho¢ls and parents. grants. donatlons and sponsorships. Muslc Edueatlon Hub artd Arts Council England BYfvIT is the lead oiganisation in the Bromley Music Education Hub fBMEHI which was establlshed following publication ol the National Plan for Music in 2011 (The Nnportance of music". a national plan for music education). BMEH p8rtners work together to crgale joined-up music edu¢ation prowsion, responding to local need and fuffiiiing the objectives of the hub. During 2022123, our hub partnèrs warè.. Art5 Train Bromley Youth Collecllve Langley Park School for Boys James Dixon Primary School Churchill Theatre Claire fillotson Music Therapy Crystal Palace Community Trust The Music Hub (Hub Music Shopl nelika Bloco London Music Fund Maxwell Mini Music Monkey Music Sound Connectlons St George's. Beckenham All Bromley Schools and Colleges We maintained a good relationshlp with ACE and received the fuA Musle Educallon Hub fMEH? Funding, a DIE grant administered by ACE. on￿ again, we have been placed in the lowe51 Category of rtsk by ACE. which is teslamenl lo the quality 8nd success of our seryices. BROMLEY YOUTH MUSIC TRUST TRUSTEES. REPORT {INCLUDING DIRECTORS, REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 Sublect lo the fulfilment ol MEH grant conditions. MEH fijnding is secure untli Au9USt 2024. MEH fUn￿Ing has been aligned wlth the a¢adgmi¢ year from Sept&mb¢r 2023. FINANCIAL SUSTAINABILITY AND MANAGEMENT BYMT aims to ensure that BMEH wlll continue to deliver an excellent musi(sl offellng tr) children aThJ young peopte across the London Borough of Bromley and surrounding areas. whllst ensuring financial sustainability, in the following ways.. Managing a cost neutral budget with some contingency to mltigate agalnst unexpected costs, e.g.. mediumnong-term stsff illness, unforeseen rises in costs. ReseNes are also in pjace for rTh)re substantial unforeseen costs. Careful monttoring of expenditure and a robust approval prO￿$S for all expenditure. Planned and staged Increases in fees and subscriptions. Increasing trading income. Developing new aclivilies, induding increased access for students over the age of 18. Creation of the Bromley Adult Music Education Hub. A coThsistenl and continuing recruitment drive, both for children to take up an instrurnentlsinging and to increase th6 number of children in BYMT groups and ensembles. Development ol out-of-borough and independent school traded income on request. Focus on grant applicaligns. Considered investment of ￿SerVes. Engaging In dis¢u85ions with Brornloy Coun¢il lo negotiate a new long-lemi lease agreement or to transfer ol ownership of our Soulhborough Lane Music Centre. BYMT'S Board ol Trustee$ 1$ r￿Ponsible for ratifying tha Trusvs budg8t, and tho Annual Report and Financial stalemenls. Rtsgryes Pollcy Under BYMT'S Reserves Policy the Trust is required lo hold 8 minimurn of three m(>nths' operating co$15 in unre5tricled reserves. Each financlal year, the Trustees review the level ol reserves and consider whether any Investments would be appropriate. stmcture. governance and management GOVERNANCE BYMTS Board comprises si¥ individuals a range ol sknlls and experien￿ from across the Commercial. financial, charity. education and arts sectors. who give their tlme 2nd expertise voluntarily to help the Trusl achieve it5 aims. All Trustees are responsible for the strategic d1￿CtIOn, development aTrd governan￿ of BYMT. Trustees also participate in one or rnore of the following committees: Flnance Oversees the financial perforrnance 8nd management of 8YMT, a3 well as approvlng ￿￿vant polioes artd procedures. Buslness Development- Oversees 8YMT's fundraising and marketing activibes. Personnel Monitors all aspects of human resources, including staff wellbeing and professional development, along wlh the safeg￿4rd5ng aspects of staff recruitment and management. Standards & Compliance- Monitors compliance and holds BYMT'S leadership tearn to account in areas such as safeguarding and health & safety. In addition, the comrnittee plays an important role In overseeing the qLrality of teaching, inclusion and diversity. BROMLEY YOUTH MUSIC TRUST TRUSTEES, REPORT (INCLUDING DIRECTORS. REPORT} (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 The Trustees, who are also the directors for the purpose of ¢ompany18w. and who served during the year and up to the date of signature ol the financial slalements were.. L Blomstrand S Polydorou MBE V Boaden R Hardy T Jolly S M Oldfield A Mos5 L Richards J Walters (Resigned 29 June 20221 (Resigned 1 October 20221 (Resigned 1 December 20221 During the Autumn Tem 2022, Len Blomstrand indicated that he would not seek re-election as Chair of Tru51ees. Len ha5 served BYMT tirelessly since his appointment as a Trustee in 2008. He served as Chair of Trustees fiom 2019, overseeing BYMT during the vnpre￿dented challenges of the pandemi¢. Len's fellow Tfustees are eKlremely grateful for his hard work, dedicati(￿ and guidanc8 over so many years. Ajex Moss was appointed a5 Chair ofTruslees on 1 December 2022. Rècrultment and appointment of new Trustees BYMT has a procedure for the appointment of new Trustees. Candidates are InteNewed by rnembers of the Board of Trustees and the CEOIHead of se￿Ce. Appolntments are subsequenlty agreed at Board level. Oryanlsattonal Strueiur• BYMT is organised such that policy decisions affectlng Its develOp￿￿nt are made 818oaid level. The TnJstee$ involve sanior staff members in developing the Trust lo meet ils charitable objectives. Gov8rnirtg Document BYMT is controlled by its goveming document, mernorandum and artkles of association, and ¢onstitutes a limited company, limited by guarantee, as (%efined by the Companies Act 2006. lrtductlon and training of new Trustees BYMT has a policy and procedures for the Ind￿tiOn ¥n¢J trainlng of new Trustees that Is reviewed annualty. Audit and Risk Trustees regularty review, a5se5s and plan for the management of all risks faced by BYMT Ma ihe Finan Committee 8n 010 Q)V) (TJ ￿ UJ ¢0 ro ov) re(otrJ u) ¢5) ¢0 o rry r In r¢L¥ £LX oci BROMLEY YOUTH MUSIC TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 21 Deslgnated funds The incoffle funds of the charity include the following designated funds vthich have been sel askle out of restricted funds by the Iruslees for specific purposes-. Movement in funds Incomlng Resourcés Balan¢¢ 1¢ resouT¢e¥ oxpended 31 MarGh 2Q23 Balan¢p at 1 Aprll 2021 Transfers 1 April 2022 Inslrument Fund Instrument Replacement Fund Marnlenance Fund Patron's Fur Tour 75,201 9,092 84,293 225 84,518 45,￿0 10.000 84.792 45,000 10.000 84,792 35,486 45,000 10.000 99,798 32.847 15.CKJ6 30.346 23,751 11.735 132,9851 214,993 44,578 259,571 45,577 132.9851 272,163 22 Analysis of nét assets be￿een funds Unrèstricted Rostricted funds funds 2023 2023 Total Unrestricted Restricted funds funds 2022 2022 Total 2023 2022 Fund balances at 31 March 2023 are represented by= Tan9ible 8s5ets Investments Current asse￿IllabIlItiesI 82.201 10.644 17.622 82,201 10.644 S36,486 97.327 97,327 10,161 624,546 10,161 119.905 518,864 504.641 518.864 110,467 629,331 601,968 130,066 732,034 .25- BROMLEY YOUTH MUSIC TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 23 Pension and similar obligations The trusvs employees belong to the Teachers. Pension Scheme England and Wdles (rps) for related staff. The lalesl actuarial valuation of (he TPS related lo the period ended 31 March 2018. There were outstanding contributions at the end of the financial year of £20K this amounl is included within other creditors. T&aehers' Penslon Scheme Introduetion The Teachers, Pension Schémè ￿PS) is a statutory. ¢ontributory. defined benefit scheme. governed by Ihe Teachers, Pension S¢heme Regulations 2014. Membership is automatic for teachers. All teachers have the option lo opt out of the TPS ftillowing enrolmenl. The TPS Is an unftjnded scheme to whl¢h both the member and employer makes conlribulions. as a Per￿n189e of salary. These ¢onlribulions are ¢rèdilèd lo thè Exd)equer. Rebrement and other pension benefits are paid by pu￿1¢ fund5 provided by Parliarnenl. Valuation of the Teachers, Pension Scheme The Govemmenl Actuary, using normal a¢tu8ri81 prin¢(ples, conducts a fomial actuarial review of the TPS in accordance with the Public se￿ice Pensions (Valuations and Employer Cost Capl Directions 2014 published by HM Treasury every 4 years. The aim of the review 15 10 specify the level of future contributions. Actuarial scheme valuations are dependent on assurnplions about the value of future costs, design of benefits and many other factors. The lalesl actuarial valuation of the TPS was carried out as at 31 March 2016. The valualictrn report was published by the Department for Edu¢81ton on 5 March 2019. The key elements of the valuation and subsequent consujtalion we.. employer contribution rates set al 23.68f/tr of pensionable pay Onduding a 0.08Yo employer administration levyl total scheme liabilities (pensions currently in payrnenl and the estimated cost of future benefits) for service lo the effective date of £218,100 million. and notional assets leslimated future contributions tr)gether with the notional investments held at the valuation dale) of £196,100 million giving a nobonal P8$1 service defiul of £22.000 million the SCAPE rate, sel by HMT, is usèd to datarmine the noiional investment return. The ojrrent SCAPE rale is 2.4Yfj above the rale of CPI. The assumed real rate of retum is 2.4Yfj In excess of prices and 2% in excess of earnings. The rale of real earnings growth is assumed to be 2.2°k. The assumed nominal rale of relum including eamings growth is 4.45Qh. The nexi valualion resuli is due lo be tmplemenled from l April 2024. The employerfs pensksn costs paid lo the TPS in the period amounied lo £164,578. A copy of the Valuafy.c￿ report and suppothng documents1￿n Ss on the Teachers. Pensi¢)ns webslle. Under the definitions sel out in FRS 102. the TPS is an unfunded mulli-employer pension scheme. The trust has a¢counted for ils contributions to the scheme as if11 were a defined contribution scheme. The trust has sel out above the information available on the scheme. -26- BROMLEYYOUTH MUSIC TRUST NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 24 Operatlng leas¢ ¢ommitm¥nts At the reportin9 erKI date the Trust had outstanding commitments for futu￿ minimum lease payments under non-can¢ellable ¢)peraling leases, which fall due as lollows.. 2023 2022 Imlhtn one year Belween and five years In over ffive years 82,480 249,655 66,125 261,125 21.666 332,135 348,916 25 Related party transactions There were no disclosable related party tran5adion5 during the year12022- none). 26 Cash generated from operations 2023 2022 Defiat for the year {102,7031 {83,0281 Adjuslrnenls for.. Investtnenl income recognised in statement of financial activities Fair value gains and10$5es on investments Depreaation and impaim)ent of tsngible fixed asseis (3,1781 1483) 21.513 {547) 495 24.660 Movements in working capital.. Uncreaselldecrèase in debiors (Decreasellincrease in creditors Increase in deferred income 168,3951 127,2971 59,$71 20,715 22,965 Cash absorbed by operations {120.872} 114.7401