2025-04-05-accounts - Luton Islamic Centre

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CHARITY REGISTRATION NUMBER: 1042630

Luton Islamic Centre

Unaudited Financial Statements

5 April 2025

Luton Islamic Centre

Financial Statements

Year ended 5 April 2025

	Page
Trustees' annual report	1
Independent examiner's report to the trustees	4
Statement of financial activities	5
Statement of financial position	6
Notes to the financial statements	7
The following pages do not form part of the financial statements
Detailed statement of financial activities	16
Notes to the detailed statement of financial activities	18

Luton Islamic Centre

Trustees' Annual Report

Year ended 5 April 2025

The trustees present their report and the unaudited financial statements of the charity for the year ended 5 April 2025.

Reference and administrative details

Registered charity name Luton Islamic Centre Charity registration number 1042630 Principal office 116 Bury Park Road Luton Bedfordshire LU1 1HE

The trustees

Dr Farasat Latif Mr Bassam Ali Khalil Abu Haj Dr Mohammad Sayeid Al-Jamee Independent examiner Durrani & Co 72 Cardigan Street Luton Bedfordshire LU1 1RR

Structure, governance and management

The constitution provides for a minimum of three trustees. Where there is a requirement for new trustees, these would be identified and appointed by the remaining trustees, subject to the approval by AGM. The chair of the trustees is responsible for the induction of any new trustee which involves awareness of a trustee's responsibility, the governing document, administrative procedures, the history and philosophical approach of the charity. The trustees have taken steps to identify major risks to which the charity is exposed and systems have been established to mitigate those risks.

Objectives and activities

On constitution, the Charity's objective was to educate members and non-members of the Islamic faith to bring about the cohesion and togetherness of the local Luton community. The charity began with an initial donation. Both the initial donation and subsequent donations since have been under the terms which allow the trustees to either retain the amounts as capital or to spend them.

The objectives of the charity include;

To advance the Islamic faith for the public benefit including through religious worship, religious education, and the collection and distribution of Zakat.

Luton Islamic Centre

Trustees' Annual Report (continued)

Year ended 5 April 2025

Achievements and performance

During the reporting period, the charity continued to deliver its core charitable activities in line with its objects, with a focus on religious education, community support, and accessible services for beneficiaries.

1. Service Improvements and Facilities

Launched the Mawaqit prayer timetable system and installed a digital information screen to
…….support accurate communication with attendees.
Completed the construction of a guest room to accommodate visiting teachers and community
…….guests.
Continued to facilitate regular monthly nikkahs for members of the community.

2. Educational and Religious Activities

A structured programme of teaching and support was maintained throughout the year, including:

Weekly classes:

Riyad Al-salihin
Tajwid classes for sisters
Tajwid classes for brothers
Sisters' Revert Support Group

Monthly classes:

Bangla-language sessions
Daily activities:
Darul Qur'an classes for children
Periodic programmes:
Saturday lessons for children with Dr Sayeid (scheduled to resume in May under a new teacher)
A 12-week tajwid course delivered by Ustadh Abdullah

The charity also delivered structured teaching of key Islamic texts, including:

Prophets' Sirah (Ustadh Aqeel)
Six-part series on the life of Abu Bakr al-Siddiq (Ustadh Aqeel)
al-Qaqaid al-Arba', Usul al-Thalathah, Usul al-Sittah, Kashf al-Shubuhat, and selected ..chapters from Masa'il al-Jahiliyyah (Ustadh Ariff)

3. Workshops, Courses, and Public Events

The charity hosted a range of workshops and seminars, including:

Two Level 5 hijamah workshops for both brothers and sisters
December seminar: The Prophet's Farewell Advice delivered by Sh. Abdullah Shurykha and ..Sh. Farhan Shimmeery
Seminar on The Life and Da'wah of Shaykh al-Albani with Dr Asim al-Qaryooti
Dhul-Hijjah seminar: The Life of Prophet Ibrahim (AS)

Luton Islamic Centre

Trustees' Annual Report (continued)

Year ended 5 April 2025

Accessibility and Inclusion
The organisation remains one of the few masjids in Luton with dedicated facilities for sisters.
All activities were delivered in English, ensuring accessibility for a wide range of beneficiaries across the community.

Financial review

The net incoming resources for the year was a gain of £12,756. At the end of the financial year the reserves were £548,188 of unrestricted funds and £47,538 of restricted funds.

The adequacy of the reserves policy is reviewed annually. The trustees are satisfied that reserves are presently more than adequate to meet future expenditure.

No matters or circumstances have arisen since the end of the financial year which significantly affected or may significantly affect the operations of the charity, the results of these operations or the state of affairs of the charity in the financial year subsequent to the financial year ended 5th April 2025.

Plans for future periods

The trustees intend to continue to provide relief in a similar capacity as before.

The trustees' annual report was approved on 5 December 2025 and signed on behalf of the board of trustees by:

Dr Farasat Latif Trustee

Luton Islamic Centre

Independent Examiner's Report to the Trustees of Luton Islamic Centre

Year ended 5 April 2025

I report to the trustees on my examination of the financial statements of Luton Islamic Centre ('the charity') for the year ended 5 April 2025.

Responsibilities and basis of report

As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (‘the Act’).

I report in respect of my examination of the charity's financial statements carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent examiner's statement

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

accounting records were not kept in respect of the charity as required by section 130 of the Act; or
the financial statements do not accord with those records; or
the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair' view which is not a matter considered as part of an independent examination.

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Durrani & Co Independent Examiner

72 Cardigan Street Luton Bedfordshire LU1 1RR

Luton Islamic Centre

Statement of Financial Activities

Year ended 5 April 2025

			2025		2024
		Unrestricted	Restricted
		funds	funds	Total funds	Total funds
	Note	£	£	£	£
Income and endowments
Donations and legacies	4	182,876	18,490	201,366	220,970
Investment income	5	15,857	–	15,857	20,455
		`─────────`	`────────`	`─────────`	`─────────`
Total income		198,733	18,490	217,223	241,425
		`═════════`	`════════`	`═════════`	`═════════`
Expenditure
Expenditure on raising funds:
Costs of raising donations and
legacies	6	2,785	–	2,785	5,571
Expenditure on charitable activities	7,8	177,458	24,224	201,682	166,899
		`─────────`	`────────`	`─────────`	`─────────`
Total expenditure		180,243	24,224	204,467	172,470
		`═════════`	`════════`	`═════════`	`═════════`
		`─────────`	`────────`	`─────────`	`─────────`
Net income and net movement in	funds	18,490	(5,734)	12,756	68,955
		`═════════`	`════════`	`═════════`	`═════════`
Reconciliation of funds
Total funds brought forward		1,603,306	53,272	1,656,578	514,015
		`────────────`	`────────`	`────────────`	`─────────`
Total funds carried forward		1,621,796	47,538	1,669,334	582,970
		`════════════`	`════════`	`════════════`	`═════════`

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The notes on pages 7 to 14 form part of these financial statements.

Luton Islamic Centre

Statement of Financial Position

5 April 2025

		2025	2024
	Note	£	£
Fixed assets
Tangible fixed assets	13	1,275,136	1,277,670
Current assets
Debtors	14	5,009	26,517
Cash at bank and in hand		391,304	355,146
		─────────	─────────
		396,313	381,663
Creditors: amounts falling due within one year	15	2,115	2,755
		─────────	─────────
Net current assets		394,198	378,908
		────────────	────────────
Total assets less current liabilities		1,669,334	1,656,578
		────────────	────────────
Net assets		1,669,334	1,656,578
		════════════	════════════
Funds of the charity
Restricted funds		47,538	53,272
Unrestricted funds:
Revaluation reserve		1,073,608	1,073,608
Other unrestricted income funds		548,188	529,698
		────────────	────────────
Total unrestricted funds		1,621,796	1,603,306
		────────────	────────────
Total charity funds	16	1,669,334 ════════════	1,656,578 ════════════

These financial statements were approved by the board of trustees and authorised for issue on 5 December 2025, and are signed on behalf of the board by:

Dr Farasat Latif Trustee

The notes on pages 7 to 14 form part of these financial statements.

Luton Islamic Centre

Notes to the Financial Statements

Year ended 5 April 2025

1. General information

The charity is a public benefit entity and a registered charity in England and Wales and is unincorporated. The address of the principal office is 116 Bury Park Road, Luton, Bedfordshire, LU1 1HE.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Charities Act 2011.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

There are no material uncertainties about the charity's ability to continue.

Disclosure exemptions

The entity satisfies the criteria of being a qualifying entity as defined in FRS 102. Its financial statements are consolidated into the financial statements of (enter name of group financial statements) which can be obtained from (enter detail). As such, advantage has been taken of the following disclosure exemptions available under paragraph 1.12 of FRS 102:

(a) No cash flow statement has been presented for the company.

(b) Disclosures in respect of financial instruments have not been presented.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Luton Islamic Centre

Notes to the Financial Statements (continued)

Year ended 5 April 2025

3. Accounting policies (continued)

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment.

Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.

Incoming resources

All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:

income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.
legacy income is recognised when receipt is probable and entitlement is established.
income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.
income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.

Luton Islamic Centre

Notes to the Financial Statements (continued)

Year ended 5 April 2025

3. Accounting policies (continued)

Resources expended

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.
expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.
other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.

All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Fixtures and fittings - 20% reducing balance

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

Luton Islamic Centre

Notes to the Financial Statements (continued)

Year ended 5 April 2025

3. Accounting policies (continued)

Impairment of fixed assets (continued)

For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.

For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the charity are assigned to those units.

4. Donations and legacies

	Unrestricted	Restricted	Total Funds
	Funds	Funds	2025
	£	£	£
Donations
Donations	158,054	1,440	159,494
Dural quran	24,822	–	24,822
Fidyah	–	223	223
Zakat	–	3,919	3,919
Zakat ul fitr	–	12,908	12,908
	`─────────`	`────────`	`─────────`
	182,876	18,490	201,366
	`═════════`	`════════`	`═════════`
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2024
	£	£	£
Donations
Donations	159,840	61,130	220,970
Dural quran	–	–	–
Fidyah	–	–	–
Zakat	–	–	–
Zakat ul fitr	–	–	–
	`─────────`	`────────`	`─────────`
	159,840	61,130	220,970
	`═════════`	`════════`	`═════════`

5. Investment income

	Unrestricted	Total Funds	Unrestricted	Total Funds
	Funds	2025	Funds	2024
	£	£	£	£
Income from investment properties	15,420	15,420	20,455	20,455
Bank receivable type 1	437	437	–	–
	`────────`	`────────`	`────────`	`────────`
	15,857	15,857	20,455	20,455
	`════════`	`════════`	`════════`	`════════`

Luton Islamic Centre

Notes to the Financial Statements (continued)

Year ended 5 April 2025

6. Costs of raising donations and legacies

	Unrestricted	Total Funds	Unrestricted	Total Funds
	Funds	2025	Funds	2024
	£	£	£	£
Costs of raising donations and legacies
- Donations	2,785	2,785	5,571	5,571
	`═══════`	`═══════`	`═══════`	`═══════`

7. Expenditure on charitable activities by fund type

			Unrestricted	Restricted	Total Funds
			Funds	Funds	2025
			£	£	£
	Activity type 1		–	24,224	24,225
	Support costs		177,458	–	177,457
			`─────────`	`────────`	`─────────`
			177,458	24,224	201,682
			`═════════`	`════════`	`═════════`
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2024
			£	£	£
	Activity type 1		–	21,191	21,191
	Support costs		145,708	–	145,708
			`─────────`	`────────`	`─────────`
			145,708	21,191	166,899
			`═════════`	`════════`	`═════════`
8.	Expenditure on charitable activities by activity type
		Activities
		undertaken		Total funds	Total fund
		directly Support costs		2025	2024
		£	£	£	£
	Activity type 1	24,225	–	24,225	21,191
	Governance costs	–	176,945	176,945	145,359
		`────────`	`─────────`	`─────────`	`─────────`
		24,225	176,945	201,170	166,550
		`════════`	`═════════`	`═════════`	`═════════`
9.	Net income
	Net income is stated after charging/(crediting):
				2025	2024
				£	£
	Depreciation of tangible fixed assets			2,534	3,168
				`═══════`	`═══════`
10.	Independent examination fees
				2025	2024
				£	£
	Fees payable to the independent examiner for:
	Independent examination of the financial statements			1,525 `═══════`	1,445 `═══════`

11. Staff costs

Luton Islamic Centre

Notes to the Financial Statements (continued)

Year ended 5 April 2025

11. Staff costs (continued)

The average head count of employees during the year was 6 (2024: 8).

No employee received employee benefits of more than £60,000 during the year (2024: Nil).

12. Trustee remuneration and expenses

Bassam Ali Khalil Abu Haj was remunerated £6,000 for providing lecturing and Khateeb services to the charity (2024: Nil).

No other remuneration or other benefits from employment with the charity or a related entity were received by the trustees; or

No trustee expenses have been incurred.

13. Tangible fixed assets

	Freehold	Fixtures and
	property	fittings	Total
	£	£	£
Cost
At 6 April 2024 and 5 April 2025	1,265,000	37,332	1,302,332
	`════════════`	`════════`	`════════════`
Depreciation
At 6 April 2024	–	24,662	24,662
Charge for the year	–	2,534	2,534
	`────────────`	`────────`	`────────────`
At 5 April 2025	–	27,196	27,196
	`════════════`	`════════`	`════════════`
Carrying amount
At 5 April 2025	1,265,000	10,136	1,275,136
	`════════════`	`════════`	`════════════`
At 5 April 2024	1,265,000	12,670	1,277,670
	`════════════`	`════════`	`════════════`
Debtors
		2025	2024
		£	£
Trade debtors		–	21,517
Other debtors		5,009	5,000
		`───────`	`────────`
		5,009	26,517
		`═══════`	`════════`
Creditors: amounts falling due within one year
		2025	2024
		£	£
Accruals and deferred income		2,115	2,215
Social security and other taxes		–	540
		`───────`	`───────`
		2,115	2,755
		`═══════`	`═══════`

14. Debtors

15. Creditors: amounts falling due within one year

Luton Islamic Centre

Notes to the Financial Statements (continued)

Year ended 5 April 2025

16. Analysis of charitable funds

Unrestricted funds

Unrestricted funds
	At				At
	6 April 2024	Income	Expenditure	Transfers	5 April 2025
	£	£	£	£	£
General funds	529,698	198,733	(180,243)	–	548,188
Revaluation reserve	1,073,608	–	–	–	1,073,608
	`────────────`	`─────────`	`─────────`	`────`	`────────────`
	1,603,306	198,733	(180,243)	–	1,621,796
	`════════════`	`═════════`	`═════════`	`════`	`════════════`
	At				At
	6 April 2023	Income	Expenditure	Transfers	5 April 2024
	£	£	£	£	£
General funds	500,682	180,295	(151,279)	–	529,698
Revaluation reserve	–	–	–	1,073,608	1,073,608
	`─────────`	`─────────`	`─────────`	`────────────`	`────────────`
	500,682	180,295	(151,279)	1,073,608	1,603,306
	`═════════`	`═════════`	`═════════`	`════════════`	`════════════`
Restricted funds
	At				At
	6 April 2024	Income	Expenditure	Transfers	5 April 2025
	£	£	£	£	£
Restricted Fund 1 - desc
in a/cs	53,272	18,490	(24,224)	–	47,538
	`════════`	`════════`	`════════`	`════`	`════════`
	At				At
	6 April 2023	Income	Expenditure	Transfers	5 April 2024
	£	£	£	£	£
Restricted Fund 1 - desc
in a/cs	13,333	61,130	(21,191)	–	53,272
	`════════`	`════════`	`════════`	`════`	`════════`
Analysis of net assets between funds
				Unrestricted	Total Funds
				Funds	2025
				£	£
Tangible fixed assets				1,275,136	1,275,136
Current assets				396,313	396,313
Creditors less than 1 year				(2,115)	(2,115)
				`────────────`	`────────────`
Net assets				1,669,334	1,669,334
				`════════════`	`════════════`
				Unrestricted	Total Funds
				Funds	2024
				£	£
Tangible fixed assets				1,277,670	1,277,670
Current assets				381,663	381,663
Creditors less than 1 year				(2,755)	(2,755)
				`────────────`	`────────────`
Net assets				1,656,578	1,656,578
				`════════════`	`════════════`

17. Analysis of net assets between funds

Luton Islamic Centre

Notes to the Financial Statements (continued)

Year ended 5 April 2025

18. Related parties

The Trustees of the charity had agreed to appoint Abdullah the son of Dr Mohammad Sayeid Al-Jamee (trustee) to serve as an Imam once a week.

Luton Islamic Centre

Management Information

Year ended 5 April 2025

The following pages do not form part of the financial statements.

Luton Islamic Centre

Detailed Statement of Financial Activities

Year ended 5 April 2025

	2025	2024
	£	£
Income and endowments
Donations and legacies
Donations	159,494	220,970
Dural quran	24,822	–
Fidyah	223	–
Zakat	3,919	–
Zakat ul fitr	12,908	–
	`─────────`	`─────────`
	201,366	220,970
	`─────────`	`─────────`
Investment income
Income from investment properties	15,420	20,455
Bank receivable type 1	437	–
	`────────`	`────────`
	15,857	20,455
	`────────`	`────────`
	`─────────`	`─────────`
Total income	217,223	241,425
	`═════════`	`═════════`
Expenditure
Costs of raising donations and legacies
Fundraising and events	2,785	5,571
	`─────────`	`─────────`
Expenditure on charitable activities
Direct charitable activity UK	4,085	5,345
Direct charitable activity international	20,140	15,846
Wages/salaries	65,663	65,084
Rent and rates	4,499	3,413
Light & heat	13,927	10,129
Cleaning, repairs & maintenance	34,522	11,070
Insurance	5,493	5,209
Lecturers, khateebs & guests costs	16,583	22,450
Motor/travel costs	567	5,377
Accountancy fees	1,525	1,445
Legal and other professional fees	8,700	3,761
Telephone & internet	765	2,029
Computer, website and IT	10,364	6,328
Depreciation	2,534	3,168
Printing, postage & office costs	1,363	1,572
Quran classes teachers & imam cover	7,510	–
Bookkeeping and secretarial	1,470	1,165
Bank & merchant charges	1,460	3,159
Sundry expenses	512	1, 49
	`─────────`	`─────────`
	201,682	166,899
	`─────────`	`─────────`
	`─────────`	`─────────`
Total expenditure	204,467	172,470
	`═════════`	`═════════`

Luton Islamic Centre

Detailed Statement of Financial Activities (continued)

Year ended 5 April 2025

Net income

2025	2024
£	£
`─────────`	`─────────`
12,756	68,955
`═════════`	`═════════`