OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2023-03-31-accounts

Ealing Junior Music School

Registered Charity No.1046811

www.ejms.org.uk

Trustees’ Report

and

Financial Statements

for the year ended 31[st] March 2023

EALING JUNIOR MUSIC SCHOOL

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees John Hudson
Timothy Nicholas Davenport
Denis Fintan Barry
John Piers Williamson
Ross William Underwood
Cressida Jane Miles
Clare Scott Booth
Anne Elin Harraghy
Gillian Hilton
Charity number 1046811
Registered office 42 Upfield Road
Ealing
London
United Kingdom
W7 1AN
Independent examiner Siobhan Glenister, ACA
5 The Square
Bagshot
Surrey
United Kingdom
GU19 5AX
Bankers Santander UK plc
Customer Service Center
Bootle
Merseyside L30 4GB
The Royal Bank of Scotland
Customer Service Center
Drummond House
1 Redheughs Avenue
Edinburgh EH12 9JN
CCLA Investment Management Ltd
COIF Charities Deposit Fund
Senator House, 85 Queen Victoria Street
London EC4V 4ET
Virgin Money plc, Jubilee House, Gosforth
Newcastle upon Tyne NE3 4PL

EALING JUNIOR MUSIC SCHOOL

CONTENTS

Page
Trustees' report 1 - 7
Independent examiner's report 8
Statement of financial activities 9
Balance sheet 10
Notes to the financial statements 11 - 19

EALING JUNIOR MUSIC SCHOOL

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 MARCH 2023

The trustees present their report and accounts for the year ended 31 March 2023. The trustees who served during the year and up to the date of this report are set out below:

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the Charities Act 2011 and "Accounting and Reporting by Charities: 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)" (effective 1 January 2019).

Objectives and activities

Ealing Junior Music School ("EJMS")is a registered Charitable Trust that offers music education on Saturdays to children from 3-18 years old. The declared Objects of the Trust are to advance education in the art and science of music by establishing a School for the teaching of music

Fulfilling Our Aims

We aim to meet our objects by offering:

These are some of the ways in which we fulfil our aims:

We are constantly reviewing our standards and seeking ways to develop our service.

EALING JUNIOR MUSIC SCHOOL

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

The Trustees have complied with the duty in Section 4 of the Charities Act 2011 to have due regard to the public benefit guidance issued by the Charity Commission, including the supplementary issued guidance on advancing education and on fee charging. The Trustees of EJMS consider that the objectives and aims of EJMS constitute a public benefit. EJMS provides an educational environment where each student can develop and fulfil his or her musical potential and build their self-confidence. In so doing, we prepare our students for the opportunities, responsibilities and experience of later life, The School welcomes students from all backgrounds. We are an equal opportunity organisation and are committed to a working environment that is free from any form of discrimination on the grounds of colour, race, ethnicity, religion, sex, sexual orientation or disability. Within the physical constraints of the secondary school in which EJMS operates, and over which EJMS has no control, we will make reasonable adjustments to meet the needs of staff or students who are or become disabled or who have special needs.

Achievements and performance

The accounting year 1st April 2022 – 31st March 2023 is the first full year of EJMS face-to-face operations since EJMS returned to Twyford school in September 2021 following the March 2020 lockdown. It has been a real pleasure to have our orchestras, choirs and ensembles in full flow and to hold our usual recital and end of term concerts. The musical standards at these concerts was very high. Covid has not, of course, gone away. So EJMS operated in 2022/23 with precautions such as open doors/windows and hand sanitizers. Students/staff/ teachers wore masks if they wished to do so. CO2 levels were monitored in the Twyford School Chapel and were always within the limits advised by Twyford School. The EJMS Café during the year gradually introduced the former full range of items available for purchase. Inevitably at various times during the year teachers, staff and students were absent due to positive Covid tests.

Student numbers are still down compared to pre-pandemic numbers, but these did start to increase during the year. The delayed ‘Come and Play Day’ was held in May 2022 with Covid precautions; it was very successful. The Trustees subsequently decided that May would be the new permanent month for this event going forward. It was also decided not to hold our regular former summer stall at the ‘Party in the Pitshanger Park, as this was too close to the May event. It would also have been too difficult to safely manage Covid precautions at this event.

Finances

The Trustees decided to increase course fees from April 2022 by some 3%. A small deficit for the year was thereby anticipated, but there was a reluctance after lockdown to increase fees by too much. There is always a balance between making a surplus and frightening off parents. The Trustees are well aware that current financial circumstances are not easy for many parents. Fortunately, EJMS has deliberately built up reserves in recent years. Those reserves have enabled EJMS to continue as a going concern without incurring any debts.

EJMS has continued to provide an auto-enrolment pension scheme to staff and teachers, using NEST as the EJMS pension provider.

The new payroll software system brought into operation in April 2021 has continued to operate successfully. The Trustees considered moving that system entirely into the cloud from April 2023, but decided to defer a possible move until April 2024.

Conclusion

It has been another challenging year for EJMS as we aimed to recover student numbers to our pre-pandemic level. Teachers, Staff and Trustees again responded magnificently. I am very grateful to everyone. It has been a real Team Effort in every sense of the word. We have a tremendous community at EJMS of teachers, staff and Trustees, and indeed parents.

EALING JUNIOR MUSIC SCHOOL

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

Financial review

Total Incoming Resources for the year 2022/23 amounted to £338,039 (£298,635 in 2021/22) which included £1,500 of income made up of cheques paid out but not presented. Total Resources Expended amounting to £336,009 (£298,739 in 2021/22).

Income from course and related fees increased to £332,163 from £284,117 in 2021/22.

The net result for the year is a surplus of £2,030 (£104 deficit in 2021/22). The Trustees remain very conscious of the need to ensure EJMS operates not just at a financial breakeven point but a level of surplus that allow reserves to remain in line with the charity's reserves policy.

Reserves and Funds

It is the policy of the Trust that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between one and two term’s expenditure. The Trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Trust’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.

Assisted Places Awards.

The Trustees view our Assisted Places awards as important in helping to ensure that children from families who would otherwise not be able to afford the fees can access the education we offer. Our Assisted Places awards are available to all who meet our general entry requirements and are made solely on the basis of parental means or to relieve hardship where a student’s musical education would otherwise be at risk, for example in the case of parental job redundancy. In assessing means, we use a standard application form and take a number of factors into consideration including family income, investments and savings and family circumstances—for example, dependent relatives and the number of siblings. However, given that the School does not have any endowments, in funding our awards we must be mindful to ensure a balance between full fee-paying parents, many of whom make personal sacrifices to fund their child’s musical education, and those benefiting from the awards.

Family discounts policy.

To underline the value we place on continuity for families, we offer discounts where parents have more than one child on the EJMS Full Course. Under this policy, the second child receives a 10% discount from the full course fees, and the third and subsequent child(ren) receive a 15% discount from the full course fees.

Assistance for our teaching staff.

As part of our emphasis on attracting and retaining high calibre staff, we offer a small discount where staff members choose to educate their children at our School.

Bursary Scheme.

To encourage students to participate in music making, we offer students an initial free term of playing in the School’s orchestras and ensembles. Thereafter we continue to allow students who do not learn instruments at the School to continue playing in the School’s orchestras and ensembles for a minimal fee.

Endangered Instruments Scheme.

In addition to the foregoing, and as part of our wider musical commitments, we offer a free term’s instrumental tuition to new students of one of the ‘endangered instruments’ (Bassoon, French Horn, Doublebass, Trombone, Oboe).

Beginner’s First Term Discount Scheme.

This discretionary Discount can be requested in acknowledgement that an absolute beginner on the full instrumental course cannot initially participate in ensembles.

EALING JUNIOR MUSIC SCHOOL

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

In summary, 7 students (9 in 2021/22) were helped with their fees, some substantially, via the Assisted Places scheme. 5 students (4 in 2021/22) received assistance with fees from the London Borough of Ealing. (It is possible that the LBE may also offer assistance to other students of which EJMS is unaware.) 11 students (3 in 2021/22) applied for the ‘endangered instruments scheme’. 29 students (7 in 2021/22) qualified for the Bursary scheme that offers one free term of choir or ensemble course tuition. 2 students (nil in 2021/22) requested the ‘Beginner’s First Term Discount’. 59 students (57 in 2021/22) qualified for the family child discount scheme. 13 students (13 in 2021/22) qualified for the teachers’/staff discount scheme.

As EJMS is a registered charity, the parents of our students have the assurance that all the income of the School must be applied for charitable purposes. As an educational charity EJMS enjoys tax exemption on our educational activities and on our investment income and gains, provided these are applied for our charitable aims. The financial benefits we receive from these tax exemptions are all applied for educational purposes and indirectly help us to maintain our financial assistance policies. However, although an educational charity, we are unable to reclaim VAT input tax on our costs as we are exempt for VAT purposes. We also pay ‘tax’ as an employer through the National Insurance Contributions we make.

In addition to the very substantial benefits our School brings to our students, to Twyford Church of England Educational Trust through the free use of certain EJMS instruments, to the local community and to society through the educational services we provide, our financial assistance programmes create a social asset without cost to the Exchequer.

All Trustees give of their time freely and no remuneration or expenses were paid in the year. No Trustee or person connected with a Trustee received any benefit from means-tested financial awards.

The Trustees consider it necessary for EJMS to hold financial reserves to cover any unexpected falls in income or increases in expenditure, to meet obligations under the premises hire agreement with Twyford School, to meet employment and pension law obligations to staff and teachers, and also to build up funds for the purchase and replacement of instruments.

The trustees currently (from February 2016) consider it prudent that reserves should be between one and two whole term’s expenditure. The need for such prudence was borne out by the unexpected Coronavirus pandemic that hit the UK in early 2020.

At 31 March 2023 unrestricted funds were £141,250 (31 March 2022 £139,220). EJMS has therefore sustained for five years in a row the very minimum level of reserves desired by the Trustees under the current Reserves Policy of between one and two whole term’s expenditure. This, for 2022/23, equated to between £112,003 and £224,006.

The Trustees are conscious of the financial difficulties and uncertainties currently being faced by many families. Consequently the Trustees aim to continue to set budgets which - while keeping fee increases to a minimum - produce a modest surplus to enable the reserves to increase to the maximum permitted under the reserves policy. The Trustees review the reserves policy and the level of reserves annually.

EJMS has a range of official policy documents and the Trustees have these under regular review. In particular, as the Trustees take safeguarding seriously, all Trustees, staff and teachers are required to have Enhanced DBS Disclosure certificates. A designated Trustee supervises the recording and monitoring of the DBS status of all concerned. EJMS teachers who also teach in day schools (the majority) have completed online safeguarding courses.

EALING JUNIOR MUSIC SCHOOL

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

This will be extended to the remaining teachers, administrative staff and Trustees in the next financial year. EJMS is insured for Public Liability Insurance and Employers' Liability Insurance, and also has insurance cover for the instruments and the computer equipment EJMS owns. A detailed instrument valuation exercise was carried out during the year and the cover amount increased accordingly. EJMS is registered with the Information Commissioner’s Office.

The Trustees confirm that that there have been no serious incidents or other matters relating to EJMS in this financial year that should have been but were not brought to the attention of the Charity Commission.

Our Teaching and Administrative Staff

The Trustees are grateful to all the staff for their commitment and high standards of professionalism during the year.

Twelve staff left EJMS during the year: Anna Belei (Oboe), Yolande Williams (Musicianship), Milligan Coles Power (Percussion), Katie Lodge (theory), Lesley Vincent (Double Bass), Lucinda Dunne (Saxophone/ Clarinet, Guylaine Eckersley (Bassoon), Feargus Brennan (Percussion), Cecilia Coullet (Piano accompanist), Amanda Ferguson (Front Desk/Admin assistant), Emily Lanning-Penn (Oboe), Robert Wills (percussion. Twelve staff joined EJMS during the year: Milligan Coles Power (Percussion), Olivia Duque (Piano/Aural), Emily Lanning-Penn (Oboe), Isobel Watson (Musicianship), Amirah Chisti (Theory), Naomi Phelan (Double Bass), Sophia Elgar (Saxophone/Clarinet), Francis Bushell (Bassoon), Robert Wills (Percussion), Claire Taylor (Front Desk/Admin assistant), Ruifan Xuan (Piano accompaniment), David Hedley (Oboe).

Volunteers. Volunteers for the café rota are managed through the registered charity “The Friends of Ealing Junior Music School” (Charity Commission number 1046970). The rota of volunteers is however organised by the EJMS Honorary Assistant Secretaries. They introduced a new online system of booking café slots during the year. This proved very successful and I am very grateful to Emily Orley and Rob Walters for this new initiative.

The EJMS Trustees would like to record their thanks to all Friends' committee members and volunteers who supported EJMS during the year by helping with the running of the ever-welcome EJMS café and by providing refreshments at EJMS concerts.

Structure, governance and management

EJMS is constituted as a Charitable Trust (registered charity number 1046811) and managed by a Board of Trustees, in accordance with a Declaration of Trust dated 23rd January 1995, as varied by Deeds dated 12th October 1996, 12th February 2002 and 9th June 2022.

The Trust Deed requires four Trustees to be present at Trustee meetings to form a quorum. A new Trustee may be appointed by a resolution of the Trustees recorded in the minutes and signed by the new Trustee. Trustees are recruited in such a way as to ensure a balance of skills and to include, where possible, parents of current EJMS students and local musicians. Prospective new Trustees attend Trustee meetings in order to gain an understanding of how EJMS operates before any formal appointment is made. Copies of relevant Charity Commission publications are given to new Trustees, Charity Commission Newsletters are circulated to all Trustees via email, as are relevant News Briefs from organisations such as Civil Society, and Trustees are encouraged to view the Charity Commission website. Copies of the EJMS Trust Deed and subsequent three variations are given to new Trustees. It is considered that the foregoing represents a sufficient induction and professional development process for the Trustees of EJMS.

Although the Trustees have ultimate responsibility for the finances and development of EJMS, the day to day running of EJMS is in the hands of the Music Director, General Administrator, Finance Administrator and Accounts Administrator. The Music Director oversees the recruitment of all educational staff. Close liaison is maintained between the Chair of Trustees and the Music Director and Administrators, and regular formal meetings are held between the Trustees and the Music Director and Administrative staff.

EALING JUNIOR MUSIC SCHOOL

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

EJMS income is generated through student fees, grants and donations. A linked charity, “The Friends of Ealing Junior Music School” (registered charity number 1046970), works energetically and enthusiastically to raise awareness of EJMS in the local community and to raise funds for and on behalf of EJMS, mainly by running a café for students, their parents and teachers.

EJMS provides an educational environment where each student can develop and fulfil his or her musical potential and build their self-confidence. In so doing, we prepare our students for the opportunities, responsibilities and experience of later life.

The School welcomes students from all backgrounds. We are an equal opportunity organisation and are committed to a working environment that is free from any form of discrimination on the grounds of colour, race, ethnicity, religion, sex, sexual orientation or disability. Within the physical constraints of the secondary school in which EJMS operates, and over which EJMS has no control, we will make reasonable adjustments to meet the needs of staff or students who are or become disabled or who have special needs.

EJMS does not directly receive any governmental or local authority funding. EJMS had originally been operated directly by the London Borough of Ealing, but when the council took the decision in 1993 to close the music school, parents and interested parties responded by setting up EJMS as an independent charitable trust. Notwithstanding some real financial difficulties around the millennium, the School has in recent years thrived financially and operationally, continuing to attract large numbers of students and obtaining very good exam results. The Trustees are proud of running an independent organisation that provides such a valuable service for children in Ealing, and one that has successfully operated for 30 years independent of the local council.

EJMS has no endowments. Nevertheless EJMS makes some financial assistance available from its own funds, whether by direct subsidies, a reduction in fees for families with more than one child enrolled on the full course at EJMS, or by offering (under the Bursary Scheme) ensemble and orchestral courses free of charge for one term. The total direct cost to EJMS of assistance in 2022/23 amounted to £18,496 (£13,891 in 2021/22).

EJMS cannot guarantee to provide financial assistance in future years. However, given the current level of reserves, it is certainly the wish of the Trustees to continue to do so while this remains financially possible. EJMS is aware that a small number of scholars also received assistance amounting to £1,796 from the LBE EMS Assistance Scheme.

Emily Orley and Rob Walters were appointed as joint Honorary Assistant Secretaries on 19th May 2022 in succession to KayMaree Andersson who resigned with effect from that same date. The post responsibility is to organise the EJMS Café Rota of volunteer helpers from our associated charity ‘The Friends of EJMS’. The Trustees are very grateful to KayMaree Andersson for her very effective four years of work in this role.

John Hudson Timothy Nicholas Davenport Denis Fintan Barry John Piers Williamson Ross William Underwood Cressida Jane Miles Clare Scott Booth Anne Elin Harraghy Gillian Hilton

EALING JUNIOR MUSIC SCHOOL TRUSTEESI REPORT {CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 Statement of Tru$tee.s' responsibilities The Trustees are responsible for preparing the Trust¢es' Report and ihe financial statements in accordance with applicable law and IlnitLd Kingdom Accouniing Siandard% (United Kingdom Generally Acc¢pt¢d Accounting Practice). The law applicable lo charilies in England a]id Wales require5 Ihe Trustees to prepare financi&l sthtements for each financial year ivhich give a true aiid fair view of the %iaie of affairs of the Trust and of ihe incoming resources and application of resources ol'ihe Trust for that year. In preparing these financial statements, the Trustees are required to.. select suitabl¢ accounting policies and then apply ihem ¢onsistently: observe the methi)ds and principlcs itk the Chariiies SORP- make judgements and estimates ihat are reasonable and prudent.. state wh¢ther applicable a¢¢ounting standards have been followed, subject to any material departure5 discloscd and explained in the financial statements- and PTepare the financial statements on the going concern basis unle55 it is inappropriate io presume that the charity will continue in operation. The Trustees ar¢ responsible for keeping sufficient accoiinling records that disclose M'ith r¢asonable accuracy at any time the financial position of the Trust and enable them to ensure that the finanLial statements coinply with the Charitie8 Act ?0 I l. the Charily (Accounts and Reportbl Rcgulations 2008 and the provisions of the trust deed. They are also responsible foT sateguarding the assets of the Trust and hence for iakingT reasonable steps for the pr¢vention and deteLtion of fraud and other irregularities. The Trustees, T¢POrt was approved by the Board of Trustees. John Hudson Chair Date..

EALING JUNIOR MUSIC SCHOOL

INDEPENDENT EXAMINER'S REPORT

TO THE TRUSTEES OF EALING JUNIOR MUSIC SCHOOL

I report to the Trustees on my examination of the financial statements of Ealing Junior Music School (the Trust) for the year ended 31 March 2023, which are set out on pages 10 to 19.

Responsibilities and basis of report

As the Trustees of the Trust you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).

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

Independent examiner's statement

Since the Trust’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of ICAEW, which is one of the listed bodies.

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

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 financial statements to be reached.

Siobhan Glenister, ACA

5 The Square Bagshot Surrey GU19 5AX United Kingdom

Dated: ......................... 05/12/2023

EALING JUNIOR MUSIC SCHOOL

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2023

Unrestricted Unrestricted
funds funds
2023 2022
Notes £ £
Income:
Donations and legacies 3 5,224 9,382
Charitable activities 4 332,163 284,117
Investments 5 652 102
Other income 6 - 5,034
Total income 338,039 298,635
Expenditure:
Charitable activities 7 336,009 298,739
Net income/(expenditure) for the year/
Net movement in funds 2,030 (104)
Fund balances at 1 April 2022 139,220 139,324
Fund balances at 31 March 2023 141,250 139,220

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

EALING JUNIOR MUSIC SCHOOL BALANCE SHEKT ASA T31 MARCH2023 2023 2022 Notes Fi.Yed assets Tang7ible a55ets li 2.988 1.287 Current 2sset$ Debtor5 Cash at bank and in hand 12 182 176,691 556 181.947 176,873 182.503 Creditors: amounts falling dut witbi one year 13 li8,611) (44.570) Net current assets 138.262 137.933 Total assets less Current liabilities 141,250 139.220 Ineomt funds Unrestricted funds D¢sig%nat¢d fund5 General unresiricted funds 14 s,￿0 36.250 139.220 141.250 139 •20 141.250 139,220 Th¢ financial statements were approved by the Trustees on . 2)23 Joh Hudson Trustee 10

EALING JUNIOR MUSIC SCHOOL

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

Charity information

Ealing Junior Music School (“EJMS”) is a registered Charitable Trust that offers music education on Saturdays to children from 3-18 years old.

The declared Objects of the Trust are to advance education in the art and science of music by establishing a School for the teaching of music.

1.1 Accounting convention

The financial statements have been prepared in accordance with the Trust's 'Declaration of Trust', the Charities Act 2011, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "Accounting and Reporting by Charities: 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)" (effective 1 January 2019). The Trust is a Public Benefit Entity as defined by FRS 102.

The Trust has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.

The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.

The financial statements are prepared in sterling, which is the functional currency of the Trust. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the Trustees have a reasonable expectation that the Trust has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the Trust.

EALING JUNIOR MUSIC SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

(Continued)

1.4 Income

Income is recognised when the Trust is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the Trust has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time the claim to HMRC is made.

Legacies are recognised on receipt or otherwise if the Trust has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

1.5 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.

Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Plant and equipment 33% on reducing balance Fixtures and fittings 33% on reducing balance

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities. EJMS musical instruments are included as part of Plant and Equipment.

1.7 Impairment of fixed assets

At each reporting end date, the Trust reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

EALING JUNIOR MUSIC SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

(Continued)

1.8 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.9 Financial instruments

The Trust has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Trust's balance sheet when the Trust becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Trust’s contractual obligations expire or are discharged or cancelled.

1.10 Taxation

The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.

EALING JUNIOR MUSIC SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

(Continued)

1.11 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the Trust is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

2 Critical accounting estimates and judgements

In the application of the Trust’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

3 Donations and legacies

Unrestricted Unrestricted
funds funds
2023 2022
£ £
Donations and gifts 5,224 9,382
Donations and gifts
The Friends of EJMS donation 4,305 1,148
Other 919 8,234
5,224 9,382

The Trustees are deeply grateful for past donations from The Friends of EJMS which have enabled the School to continue with its full programme of activities and support for those who might otherwise be unable to give children a sound music education.

EALING JUNIOR MUSIC SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

4 Course fees and concert receipts

2023 2023 2022
£ £
Course & instrument hire fees 310,993 272,761
Miscellaneous sales of accessories and music bags - 644
Examination fees 10,341 7,480
Concert receipts 8,488 2,663
Music and other sales 2,341 569
332,163 284,117
5 Investments
Unrestricted Unrestricted
funds funds
2023 2022
£ £
Interest receivable 652 102
6 Other income
Total Unrestricted
funds
2023 2022
£ £
Other income - 5,034

EALING JUNIOR MUSIC SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

7 Charitable activities

Staff costs
Events
Exam fees due/(refund)
Music for resale
EJMS music
Cost of other sales
Course fee refunds
Musical instruments
Rent
Share of support costs (see note 8)
Share of governance costs (see note 8)		 2023
£
222,330
2,596
8,245
96
694
1,053
-
2,229
19,479
256,722
75,627
3,660
336,009		 2022
£
183,176
508
7,027
49
459
850
275
2,497
12,738
207,579
87,820
3,340
298,739

EALING JUNIOR MUSIC SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

8 Support costs

Support
costs
Governance
costs
£
£
Staff costs - Admin
55,670
-
Instrument & general repairs
3,590
-
Rent
2,164
-
Administrative cost
5,313
-
IT support & website
1,555
-
Advertising
140
-
Insurance
2,683
-
Bank charges
524
-
Depreciation
1,494
-
Miscellaneous expenses
2,018
-
Bad debts
476
-
Independent examiner fee
-
3,660
75,627
3,660
Analysed between
Charitable activities
75,627
3,660		 2023
£
55,670
3,590
2,164
5,313
1,555
140
2,683
524
1,494
2,018
476
3,660
79,287
79,287		 2022
£
70,703
2,709
1,415
2,976
5,554
166
1,750
353
644
1,550
-
3,340
91,160
91,160

Governance costs includes payments to the Independent examiners fee of £3,660 (2022- £3,340).

9 Trustees

Apart from what is already disclosed in note 16, none of the Trustees (or any persons connected with them) received any remuneration or benefits from the Trust during the year.

10 Employees

The average monthly number of employees during the year was:

2023 2022
Number Number
51 52
Employment costs 2023 2022
£ £
Wages and salaries 278,000 253,879

EALING JUNIOR MUSIC SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

10 Employees

(Continued)

There were no employees whose annual remuneration was more than £60,000.

11 Tangible fixed assets

11
Tangible fixed assets
Plant and
equipment
Fixtures and
fittings
£
£
Cost
At 1 April 2022
16,237
16,898
Additions
3,195
-
At 31 March 2023
19,432
16,898
Depreciation and impairment
At 1 April 2022
15,714
16,134
Depreciation charged in the year
1,239
255
At 31 March 2023
16,953
16,389
Carrying amount
At 31 March 2023
2,479
509
At 31 March 2022
523
764
12
Debtors
2023
Amounts falling due within one year:
£
Trade debtors
182
13
Creditors: amounts falling due within one year
2023
£
Other taxation and social security
4,250
Trade creditors
839
Other creditors
24,893
Accruals and deferred income
8,629
38,611		 Total
£
33,135
3,195
36,330
31,848
1,494
33,342
2,988
1,287
2022
£
556
2022
£
-
-
28,740
15,830
44,570

EALING JUNIOR MUSIC SCHOOL

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

14 Designated funds

The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:

Movement
in funds
Incoming
resources
Balance at
1 April 2022
£
£
IT hardware and software
-
-
-
-		 Transfers
Balance at
31 March 2023
£
£
5,000
5,000
5,000
5,000		 Transfers
Balance at
31 March 2023
£
£
5,000
5,000
5,000
5,000
5,000

The special reserve fund of £5,000 has been designated by the trustees to be held in order to cover the upcoming major IT expenditure, to ensure that the charity's work is not adversely affected by short-term cash flow difficulties.

15 Analysis of net assets between funds

Analysis of net assets between funds
Unrestricted Unrestricted
funds funds
2023 2022
£ £
Fund balances at 31 March 2023 are represented by:
Tangible assets 2,988 1,287
Current assets/(liabilities) 138,262 137,933
141,250 139,220

16 Related party transactions

The Friends of Ealing Junior Music School" (also known as "The Friends of EJMS") is a registered charity (number 1046970) which can be contacted through its charity correspondent John Hudson, 25 Mount Pleasant, Ealing, London W5 1SG. Its primary objectives are to mobilise volunteers to assist with the running of the school, to raise awareness of Ealing Junior Music School in the local community and to raise funds for the school. The Friends of EJMS donated £4,305 to EJMS as at the year ended 31 March 2023, which mainly funded the purchase of musical instruments and an instrument storage cupboard for the school.

During the course of the year £6,899 was paid to a spouse of a Trustee of EJMS, in respect of teaching and administrative duties fulfilled during the year.