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2024-03-31-accounts

Registered number: 03053689 Charity number: 1048581

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Trustees' Report and Financial Statements

For the Year Ended 31 March 2024

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Contents

Page
Reference and Administrative Details of the Charity, its Trustees and Advisers 1
Trustees' Report 2 - 10
Independent Auditors' Report on the Financial Statements 11 - 14
Consolidated Statement of Financial Activities 15
Consolidated Balance Sheet 16
Charity Balance Sheet 17
Consolidated Statement of Cash Flows 18
Notes to the Financial Statements 19 - 37

Manchester City Galleries Trust (A Company Limited by Guarantee)

Reference and Administrative Details of the Charity, its Trustees and Advisers For the Year Ended 31 March 2024

Trustees V Barillova (appointed 28 July 2023)
Z C Dunbar (appointed 28 July 2023)
A G Palmer
S P Wood
R F Stephenson (appointed 17 May 2024)
H J Taylor-O'Brien (appointed 6 December 2024)
S J Lindsay (appointed 6 December 2024)
Company registered
number
03053689
Charity registered number
1048581
Registered office
Manchester Art Gallery
Mosley Street
Manchester
M2 3JL
Company secretary
J L Beggs
Independent auditors
Hurst Accountants Limited
Chartered Accountants & Statutory Auditors
3 Stockport Exchange
Stockport
SK1 3GG
Bankers
Virgin Money
48-50 Market Street
Manchester
M1 1PW

Page 1

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Trustees' Report For the Year Ended 31 March 2024

The Trustees present their annual report together with the audited financial statements of the Charity for the 1 April 2023 to 31 March 2024. The Trustees present their Annual Report together with the Consolidated Financial Statements of the Group and the Trust for the year ended 31 March 2024.

The Annual Report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the Annual Report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).

Since the Trust and the Group qualifies as small under section 383 of the Companies Act 2006, the strategic report required of medium and large companies under The Companies Act 2006 (Strategic Report and Director's Report) Regulations 2013 is not required.

The Trustees who served during the year were:

John Williams (Chair) (resigned 6 December 2024) James Mycock (Vice Chair) (resigned 6 December 2024) Thom Hetherington (resigned 10 November 2023) Richard Pulford (resigned 5 September 2024) Stuart Wood Andrew Palmer Viktoria Barillova (appointed 28 July 2023) Zoe Dunbar (appointed 28 July 2023) Joanne Beggs (Company Secretary)

Objectives and activities

a. Policies and objectives

Manchester City Galleries Trust is an independent Trust raising money to support the projects and programmes of Manchester Art Gallery.

The Trustees measure the success of the Trust by its financial performance, along with the Gallery’s civic impact. The latter is reported to Manchester City Council Galleries Committee annually and this report, and feedback from the Committee, is shared with Trustees. Positive performance in turn provides additional resources for the Trust to further its objectives.

During the year the Trust had one trading subsidiary: Manchester Art Gallery Trading Company Limited (company number 04465391).

Manchester Art Gallery Trading Company Limited

This company operates the Manchester Art Gallery Café and venue hire business. Profits, when available, are gifted to the Trust. The directors of this company are:

Amanda Wallace Robert Moss Thom Hetherington Paul Hindle Andrew Palmer Stuart Wood Diane Charlton Robin Hawkes

Page 2

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Trustees' Report (continued) For the Year Ended 31 March 2024

Objectives and activities (continued)

b. Activities and achievements

The Trust raises funds to help Manchester Art Gallery:

In 2023/24 a payment of £207,682 was made from the Trust to support specific project activity in the gallery’s programme. Major projects supported by the Trust in 2023/24 included:

Capital Work

Major repairs at Queen’s Park. Improvements to stores and conservation studios to improve the environment for the care of the Gallery’s collection of fine art, decorative arts and fashion and dress.

Manchester Art Gallery capital work. As part of significant capital repairs and rationalisation of space at Manchester Art Gallery, the creation of a new collection storage space in the lower ground floor, refurbished public toilet facilities and improvements to staff offices.

Exhibitions

The final iteration of Uncertain Futures: a film by Suzanne Lacy working with women over 50.

Unpicking Couture: an exhibition showcasing works acquired with a Heritage Fund Collecting Cultures Grant.

Collections Development

Taking Stock. Continuation of a major 3-5 year project of capital work, exhibitions and engagement programmes that aims to fully re-house, explore and re-think the Gallery’s collections and how they are used. In this financial year preparations were made for opening a store at Manchester Art Gallery to house the collections while work is undertaken at Queen’s Park to improve collection storage.

MCAF. A further iteration of the annual fund that brings together local business people to donate towards acquiring works for the Gallery collection from Manchester Contemporary art fair.

Woman's Work. The launch of a campaign to acquire Woman's Work by Florence Claxton.

Conservation

Conservation and collection care costs relating to Taking Stock.

Page 3

(A Company Limited by Guarantee)

Manchester City Galleries Trust

Trustees' Report (continued) For the Year Ended 31 March 2024

Objectives and activities (continued)

Engagement Programmes

The Derek Jarman Pocket Park. Continued maintenance of the garden by a group of older LGBT+ volunteers in partnership with the LGBT+ Foundation, the garden takes inspiration from Jarman’s garden in Dungeness and is a permanent installation at the front of the gallery.

Families of the World. A programme of activity sessions aimed at refugee families, many of whom are housed in hotels in the city. Extension of the project to operate sessions in a local hotel.

Platt Hall In-Between. The development of Platt Hall into a community museum, catering to the needs of the hyper-local community. Activities in this financial year included the appointment of a Health & Wellbeing Coach in partnership with a local GP, preparation for the appointment of a Young Peoples’ Programme Coordinator, co-curated exhibitions, collection based engagement sessions, open days, gardening programmes, and health and wellbeing activity.

Unpicking Couture . A programme of work with fashion students from Manchester Metropolitan University.

Art of Resilience . A programme of work with schools to support young people in a trauma-informed way.

Future Creatives . A programme of work with young people from Manchester College and emerging alumni artists relating to Taking Stock.

School Holiday Activities . A programme of school holiday activities for families.

Friends and Patrons . A programme of events for Friends and Patrons including tours, talks, walks and online lectures.

Fundraising

a. Overview

Onsite Donations

Cash and contactless on-site donations have remained healthy.

Online Donations

Currently not a significant area of individual giving, although the online giving facility is a useful tool for one off donations and campaigns. Work on the gallery web-site and posts on social media are ongoing to increase online giving.

Friends and Patrons

Friends memberships have seen a slight decline in this financial year. While Direct Debits have reduced, we have seen more people buying annual memberships in the shop which offers the opportunity for upselling membership gift boxes.

Patron membership has remained stable with the majority of long-standing members renewing. Ongoing work is happening to encourage recruitment and additional gifts added to Patron memberships. The Trustees have again been specifically tasked with introducing potential new Patrons.

Friends and Patrons enjoyed an extensive programme of in-person and online talks, tours, workshops and events. A small group of volunteers continue to support the delivery of the programme and this pool of volunteers has increased during this financial year.

Page 4

Manchester City Galleries Trust (A Company Limited by Guarantee)

Trustees' Report (continued) For the Year Ended 31 March 2024

Fundraising (continued)

Gifts from Individuals

The Manchester Contemporary Art Fund is a group of individuals who donate annually to enable the Gallery to acquire works for the collection from the Manchester Contemporary Art Fair. The scheme was set up and is managed by Trustee and Director Thom Hetherington. In the Gallery’s 200th year anniversary of collecting, a campaign was launched to raise £20,000 through this scheme. The successful campaign raised £20,840 which supported the acquisition of six artworks from the 2023 Manchester Contemporary.

£10,000 was pledged by two donors to launch a campaign to raise £130,000 for the acquisition of Womans’ Work by Florence Claxton, priming a public campaign and applications to the Art Fund and V&A Purchase Fund.

Legacies

The Gallery was the beneficiary of one legacy gift in this financial year, the value of which will depend on the sale of a house but is likely to be around £58,000.

Business Partners

All existing Business Partners returned in 2023/24. A full re-assessment of the scheme is still required if membership is to grow, although with the current financial uncertainly amongst businesses, this is currently not a priority for the Gallery.

Trusts and Foundations

Successful applications were made to a number of Trusts & Foundations within the year.

The Development Manager responsible for this area of fundraising left in December 2023 and was not replaced until May 2024.

Staff

The team still has low capacity given the size of the organisation and annual budgets but there is an acceptance that this will not change. In order to address this, the Head of Development and Development Manager continue to have support from members of the Learning and Engagement and Curatorial teams in making additional grant applications. A programme of workshops to support wider gallery staff in grant-writing, budgeting and donor management has proved popular and successful, with 25 members of staff having now attended and more sessions planned.

The Development Manager (full time), Friends Coordinator (full time) and Head of Development (part time) are employed by Manchester City Council. In addition a freelance Accountant works for the Trust on flexible hours.

b. Priorities for fundraising 2023/2024

Given the cost of living crisis and likely financial situation we face in 2024/25 and beyond, the focus will continue to be on stabilisation of existing priority activities, budget-relieving and unrestricted income. In addition to securing public funding and making Trust and Foundation applications, we will continue to develop civic philanthropy, building on the commitment we have seen from our Friends and Patrons schemes and developing our relationships with individual donors.

Page 5

Manchester City Galleries Trust (A Company Limited by Guarantee)

Trustees' Report (continued) For the Year Ended 31 March 2024

Fundraising (continued)

Priority will be given to securing funding to support:

Financial review

During the year ended 31 March 2024 the Group’s income amounted to £1,762,115 ( 2023: £1,286,532 ).

The Group's expenditure for the year ended 31 March 2024 amounted to £1,451,340 ( 2023: £1,293,848 ).

The net surplus for the year amounted to £310,775 ( 2023: £7,316 deficit ).

As at 31 March 2024 the Group had total funds of £1,791,118 ( 2023: £1,480,943) of which £555,747 ( 2023: £388,707 ) were restricted funds. At the year end the Group held £2,293,372 ( 2023: £1,887,038 ) in liquid assets.

As at 31 March 2024 the Trust had total funds of £1,695,473 ( 2023: £1,362,930 ) and £1,836,607 ( 2023: £1,497,610) in liquid assets.

During the year ended 31 March 2024 Manchester Art Gallery Trading Company Limited reported a profit after tax of £127,100 (2023: £31,617) and as at 31 March 2024 the company had net assets of £56,151 (2023: £78,520).

Page 6

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Trustees' Report (continued) For the Year Ended 31 March 2024

a. Reserves policy

The Trustees regularly review the level of the Trust’s reserves to ensure that they are sufficient to meet foreseeable charitable expenditure, fixed costs and working capital requirements. A risk assessment is undertaken using the risk identification approach to determine anticipated:

The Trustees aim to maintain a sufficient level of reserves to ensure continuing operations for the foreseeable future and that the Trust is able to meet its statutory and legal obligations.

Including restricted reserves, the Trustees have concluded that reserves of £225,000 should be maintained.

b. Going concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the Trust and the Group has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies.

c. Investment policy

The Trust has £500,000 invested in a Virgin Money deposit account.

Structure, governance and management

a. Constitution

Manchester City Galleries Trust is registered as a charitable company limited by guarantee and was established and is governed under a Memorandum and Articles of Association. The Articles for Association are in the process of being updated in line with the Charity Commission guidelines and to address issues around Member recruitment.

The Trust is a registered charity, charity number 1048581, with a registered office of Manchester Art Gallery, Mosley Street, Manchester, M2 3JL.

b. Methods of appointment or election of Trustees

The management of the Trust is the responsibility of the Trustees who are elected and co opted under the terms of the Articles of Association.

The directors/trustees who served during the year are listed on page 1 of the annual report. The directors/trustees are elected annually by members in a general meeting.

Page 7

(A Company Limited by Guarantee)

Manchester City Galleries Trust

Trustees' Report (continued) For the Year Ended 31 March 2024

Structure, governance and management (continued)

c. Policies adopted for the induction and training of Trustees

New Trustees are introduced to the Group, usually by existing Trustees and Manchester City Galleries staff, and are given a full background to the Group’s history and current activities to ensure they have a good knowledge of the Group and the activities of Manchester City Galleries. A role description is issued to all new Trustees so that they are fully aware of their duties and responsibilities. Regular updates on gallery business are sent to Trustees and opportunities for training are offered. Trustees are expected to take part in gallery activities – attending exhibition previews, all-gallery training etc. and engage in the wider cultural life of the city.

d. Organisational structure and decision making

The Trust is managed by the trustees/directors and by employees of Manchester City Council. There are no staff directly employed by the Trust, although staff working in the Manchester Art Gallery Café and some members of the Events Team are employed by Manchester Art Gallery Trading Company Limited and all trading business is recorded through this company.

The Trustees meet quarterly to review the financial position of the Trust and to guide progress against the Trust’s objectives.

The Directors of Manchester Art Gallery Trading Company Limited meet monthly to review the trading results and monitor and determine the company’s future commercial objectives. The operational management of Manchester Art Gallery Trading Company rests with three key managers; the General Manager, the Trading Company Accountant and the Head of Commercial. These key managers attend and contribute to the Directors’ meetings. The remuneration of the operational management is set by the Board of Directors having regard to performance and the market rate for comparable roles.

e. Related party relationships

The Trust holds the entire issued share capital of Manchester Art Gallery Trading Company Limited and co operates with Manchester City Council in pursuit of its charitable objectives.

Transactions between the Trust and Trading Company are shown in the accounts. Trading profits (when available and net of earlier deficits) of the Manchester Art Gallery Trading Company Limited have been gifted to the Trust.

f. Risk management

The Trustees have assessed the major risks to which the Trust and the Group are exposed, in particular those related to the operations and finances of the Trust and the Group, and are satisfied that systems and procedures are in place to mitigate our exposure to the major risks.

The principal risks affecting the Trust and the Group are the dependence on fundraising (grants, donations, memberships and sponsorship) and the popularity of the programme which in turn generates donation box income and retail income for the Manchester Art Gallery Café. The Trustees manage these risks for the Trust and the Group by regularly reviewing past financial performance, future financial projections and the potential opportunities that arise from the programme. In undertaking this review, the Trustees are assisted by professional staff employed by Manchester City Council.

Page 8

Manchester City Galleries Trust (A Company Limited by Guarantee)

Trustees' Report (continued) For the Year Ended 31 March 2024

Structure, governance and management (continued)

The principal risks facing Manchester Art Gallery Trading Company Limited, which operates the Manchester Art Gallery Café and events business are:

Other than continued fiscal pressures, the Trustees are not aware of any other factors that will impact the future performance of the Trust and the Group.

g. Public benefit

The Trust is established for the advancement of the education of the citizens and other residents of the City of Manchester in particular, and of other citizens and residents of the United Kingdom in general, in British and foreign history of the Arts, and for the benefit of scholars in the Universities and local, national and foreign researchers in history of the Arts.

The Trustees confirm that they have referred to the Charity Commission's guidance on public benefit when reviewing the Trust’s aims and objectives and in planning future activities and services.

The Trust currently achieves its objectives by raising funds to support the Galleries’ programme of exhibitions and educational activities, capital projects, and to fund acquisition of artworks for the collection.

In its support of Manchester City Galleries’ activities, the Trust contributes to the free access of the general public to Manchester Art Gallery regardless of their background. The Trust is of the view that any private benefit gained by the Trustees is incidental.

h. Funds

The funds held by the Trust are detailed in the notes to the financial statements.

Information on fundraising practices

Section 162a of the Charities Act 2011 requires charities to make a statement regarding fundraising activities. The Trustees confirm that all fundraising is managed internally without the involvement of commission driven external fundraisers or third parties. The routine management of income generation rests with the gallery’s Head of Development.

In general, fundraising activities are directed towards individuals and organisation that are already involved in the work of the gallery or who have expressed an interest in becoming involved.

Page 9

Manchester City Galleries Trust (A Company Limited by Guarantee)

Trustees' Report (continued) For the Year Ended 31 March 2024

Statement of Trustees' responsibilities

The Trustees (who are also the directors of the Charity for the purposes of company law) are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial . Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Group and the Charity and of their incoming resources and application of resources, including their income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Group and the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of information to auditors

Each of the persons who are Trustees at the time when this Trustees' Report is approved has confirmed that:

Auditors

The auditors, Hurst Accountants Limited, have indicated their willingness to continue in office. The designated Trustees will propose a motion reappointing the auditors at a meeting of the Trustees.

Approved by order of the members of the board of Trustees and signed on their behalf by:

J L Beggs

Head of Development and Trust Secretary

Date: 17 Dec 2024

Page 10

(A Company Limited by Guarantee)

Manchester City Galleries Trust

Independent Auditors' Report to the Members of Manchester City Galleries Trust

Opinion

We have audited the financial statements of Manchester City Galleries Trust (the 'parent charitable company') and its subsidiary (the 'group') for the year ended 31 March 2024 which comprise the Consolidated Statement of Financial Activities, the Consolidated Balance Sheet, the Charity Balance Sheet, 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:

Basis 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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group 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

In auditing the financial statements, we have concluded that the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's or the parent charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.

Page 11

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Independent Auditors' Report to the Members of Manchester City Galleries Trust (continued)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The Trustees are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. 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 course of 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 this gives rise to a material misstatement in the financial statements themselves. 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:

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements 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:

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 determine 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 Group's and the parent 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 Group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Page 12

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Independent Auditors' Report to the Members of Manchester City Galleries Trust (continued)

Auditors' 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 from material misstatement, whether due to fraud or error, and to issue an Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee 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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Identifying and assessing potential risks related to irregularities

In identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and noncompliance with laws and regulations, we considered the following:

Audit response to risks identified

Our procedures to respond to the risks identified included the following:

Page 13

(A Company Limited by Guarantee)

Manchester City Galleries Trust

Independent Auditors' Report to the Members of Manchester City Galleries Trust (continued)

We have also considered the risk of fraud through management override of controls by:

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

There are inherent limitations in the audit procedures described above, and the further removed non-compliance with laws and regulations are from the events and transactions reflected in the financial statements, the less likely we would become aware of them. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

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.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.

HABesantRoberts

Helen Besant-Roberts (Senior Statutory Auditor)

for and on behalf of Hurst Accountants Limited Chartered Accountants & Statutory Auditors 3 Stockport Exchange Stockport SK1 3GG

Date: 17 Dec 2024

Page 14

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Consolidated Statement of financial activities (incorporating income and expenditure account) For the Year Ended 31 March 2024

Note
Income from:
Donations and legacies
4
Charitable activities
5
Other trading activities
6
Investments
7
Total income
Expenditure on:
Raising funds
8
Charitable activities
9
Total expenditure
Net income/(expenditure)
Transfers between funds
19
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward
Unrestricted
funds
2024
£
42,536
44,687
1,174,988
58,124
1,320,335
1,036,678
244,437
1,281,115
39,220
104,515
143,735
1,091,636
143,735
1,235,371
Restricted funds
2024
£
72,865
368,915
-
-
441,780
-
170,225
170,225
271,555
(104,515)
167,040
388,707
167,040
555,747
Total
funds
2024
£
115,401
413,602
1,174,988
58,124
1,762,115
1,036,678
414,662
1,451,340
310,775
-
310,775
1,480,343
310,775
1,791,118
Total
funds
2023
£
81,731
153,781
1,023,375
27,645
1,286,532
1,007,341
286,507
1,293,848
(7,316)
-
(7,316)
1,487,659
(7,316)
1,480,343

The Consolidated Statement of Financial Activities includes all gains and losses recognised in the year.

The notes on pages 19 to 37 form part of these financial statements.

Page 15

Manchester City Galleries Trust

(A Company Limited by Guarantee) Registered number: 03053689

Consolidated Balance Sheet As at 31 March 2024

2024 2023
Note £ £
Fixed assets
Tangible assets 14 65,855 87,677
65,855 87,677
Current assets
Stocks 16 7,630 10,922
Debtors 17 36,259 52,461
Cash at bank and in hand 2,293,372 1,887,038
2,337,261 1,950,421
Creditors: amounts falling due within one year 18 (611,998) (557,755)
Net current assets 1,725,263 1,392,666
Total net assets 1,791,118 1,480,343
Charity funds
Restricted funds 19 556,221 388,707
Unrestricted funds 19 1,234,897 1,091,636
Total funds 1,791,118 1,480,343

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

H J Taylor-O'Brien

Trustee

Date:

17 Dec 2024

The notes on pages 19 to 37 form part of these financial statements.

Page 16

Manchester City Galleries Trust

(A Company Limited by Guarantee) Registered number: 03053689

Charity Balance Sheet As at 31 March 2024

2024 2023
Note £ £
Fixed assets
Investments 15 1 1
Current assets
Debtors 17 151,485 68,389
Cash at bank and in hand 1,836,607 1,497,610
1,988,092 1,565,999
Creditors: amounts falling due within one year 18 (292,620) (203,671)
Net current assets 1,695,472 1,362,328
Total net assets 1,695,473 1,362,329
Charity funds
Restricted funds 19 595,383 322,371
Unrestricted funds:
General funds 19 1,100,090 1,039,958
Total unrestricted funds 19 1,100,090 1,039,958
Total funds 1,695,473 1,362,329

The Charity's net movement in funds for the year was £ 332,965 (2023 - £64,131) .

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

H J Taylor-O'Brien

Trustee Date: 17 Dec 2024

The notes on pages 19 to 37 form part of these financial statements.

Page 17

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Consolidated Statement of Cash Flows For the Year Ended 31 March 2024

Note
Cash flows from operating activities
Net cash used in operating activities
21
Cash flows from investing activities
Dividends, interest and rents from investments
Purchase of tangible fixed assets
Net cash provided by investing activities
Cash flows from financing activities
Net cash provided by financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
22
The notes on pages 19 to 37 form part of these financial statements
2024
£
353,544
58,124
(5,318)
52,806
-
406,350
1,887,022
2,293,372
2023
£
282,482
28,244
(17,379)
10,865
-
293,347
1,593,675
1,887,022

Page 18

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 March 2024

1. General information

Manchester City Galleries Trust is a company limited by guarantee, registered number 03053689, incorporated in England. It is also a charity, registered number 1048581. The registered address is Manchester Art Gallery, Mosley Street, Manchester, M2 3JL.

The principal activity of the group is raising money to support the projects and programmes of Manchester City Art Gallery.

The members of the company are the Trustees names on page 1. In the event of the Charity being wound up, the liability in respect of the guarantees is limited to £1 per member of the Charity

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - 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 Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Manchester City Galleries Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The Consolidated Statement of Financial Activities (SOFA) and Consolidated Balance Sheet consolidate the financial statements of the Charity and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis.

The Charity has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Financial Activities in these financial statements.

The Charity meets the definition of a qualifying entity under FRS102 and therefore taken advantage of the disclosure exemption available to it in respect of its separate financial statements in relation to presentation of a cash flow statement.

2.2 Going concern

In deciding to prepare the financial statements on a going concern basis, the Trustees have considered all available information regarding the future for a period of at least 12 months from the date of approval of these financial statements. The Trustees are satisfied that the going concern basis adopted in the preparation of these financial statements is appropriate and that the Group can continue in operational existence for at least the next 12 months.

Page 19

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 March 2024

2. Accounting policies (continued)

2.3 Income

All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Donated services or facilities are recognised when the Group has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use of the Group of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), the general volunteer time of the Friends is not recognised. Refer to the Trustees' Report for more information about their contribution.

On receipt, donated professional services and facilities are recognised on the basis of the value of the gift to the Charity which is the amount it would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

Income from grants and government grants is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably.

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service. Revenue from the sale of food and beverages is recognised at the point of sale. Revenue from a contract to provide services is recognised in the period in which the services are provided in.

2.4 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 allocated on the portion of the asset’s use.

Fundraising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities. Governance costs are those incurred in connection with administration of the Charity and compliance with constitutional and statutory requirements.

Costs of generating funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise funds. The costs of commercial trading includes the cafeteria and its associated support costs.

Page 20

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 March 2024

2. Accounting policies (continued)

2.4 Expenditure (continued)

Charitable activities and Governance costs are costs incurred on the Charity's operations, including support costs and costs relating to the governance of the Charity apportioned to charitable activities.

2.5 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Group; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

2.6 Tangible fixed assets and depreciation

Tangible fixed assets costing £NIL or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, .

Depreciation is provided on the following bases:

Long-term leasehold property - 20% straight line basis
Plant and machinery - 25% reducing balance basis
Office equipment - 25% reducing balance basis
Computer equipment - 33% straight line basis

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Consolidated Statement of Financial Activities.

2.7 Investments

Investments in subsidiaries are valued at cost less provision for impairment.

2.8 Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a weighted average basis.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in the statement of financial activities.

Page 21

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 March 2024

2. Accounting policies (continued)

2.9 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

2.10 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

2.11 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Consolidated Statement of Financial Activities as a finance cost.

2.12 Financial instruments

The Group only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

2.13 Operating leases

Rentals paid under operating leases are charged to the Consolidated Statement of Financial Activities on a straight-line basis over the lease term.

2.14 Pensions

The Group operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Group to the fund in respect of the year.

2.15 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group 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 Group for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Page 22

(A Company Limited by Guarantee)

Manchester City Galleries Trust

Notes to the Financial Statements For the Year Ended 31 March 2024

2. Accounting policies (continued)

2.16 Value added tax (VAT)

Income is stated net of VAT where applicable. Expenditure is stated net of any recoverable VAT. Any irrecoverable VAT is recognised as a cost against the activity for which the expenditure is incurred.

3. Critical accounting estimates and areas of judgement

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions:

The Charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. There are no estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.

Page 23

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 March 2024

4.
Income from donations and legacies
Donations
Total 2023
5.
Income from charitable activities
Grants receivable
Friends income
Total 2024
Total 2023
Unrestricted
funds
2024
£
42,536
54,521
Unrestricted
funds
2024
£
-
44,687
44,687
48,016
Restricted
funds
2024
£
72,865
27,210
Restricted
funds
2024
£
368,915
-
368,915
105,765
Total
funds
2024
£
115,401
81,731
Total
funds
2024
£
368,915
44,687
413,602
153,781
Total
funds
2023
£
81,731
Total
funds
2023
£
105,765
48,016
153,781

Page 24

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 March 2024

6. Income from trading activities

Income from non charitable trading activities

Catering, events and venue hire
Total 2024
Total 2023
Investment income
Investment income - other local unlisted
Income from bank deposits
Total 2024
Total 2023
Unrestricted
funds
2024
£
1,174,988
1,174,988
1,023,375
Unrestricted
funds
2024
£
-
58,124
58,124
27,645
Total
funds
2024
£
1,174,988
1,174,988
1,023,375
Total
funds
2024
£
-
58,124
58,124
27,645
Total
funds
2023
£
1,023,375
1,023,375
Total
funds
2023
£
(600)
28,245
27,645

7. Investment income

Page 25

(A Company Limited by Guarantee)

Manchester City Galleries Trust

Notes to the Financial Statements For the Year Ended 31 March 2024

8. Expenditure on raising funds

Fundraising trading expenses

Cost of sales and administrative expenses
Wages and salaries
National insurance contributions
Pension costs
Depreciation of tangible fixed assets
Total 2024
Total 2023
Unrestricted
funds
2024
£
429,829
536,240
36,030
6,244
28,335
1,036,678
1,007,341
Total
funds
2024
£
429,829
536,240
36,030
6,244
28,335
1,036,678
1,007,341
Total
funds
2023
£
454,297
478,313
28,563
7,561
38,607
1,007,341

9. Analysis of expenditure on charitable activities

Summary by fund type

Gallery
Exhibitions
Friends scheme
Other fundraising
Acquisitions
Governance
Total 2024
Total 2023
Unrestricted
funds
2024
£
207,683
-
713
6,764
-
29,277
244,437
71,426
Restricted
funds
2024
£
-
88,553
-
-
81,672
-
170,225
215,081
Total
2024
£
207,683
88,553
713
6,764
81,672
29,277
414,662
286,507
Total
2023
£
26,700
186,885
26
3,485
28,196
41,215
286,507

Page 26

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 March 2024

10. Analysis of expenditure by activities

Gallery
Exhibitions
Friends scheme
Other fundraising
Acquisitions
Governance
Total 2024
Total 2023
Analysis of support costs
Legal fees
Audit and accountancy fees
Bank charges
Total 2024
Total 2023
Activities
undertaken
directly
2024
£
207,683
88,553
713
6,764
81,672
-
385,385
245,292
Support costs
2024
£
-
-
-
-
-
29,277
29,277
41,215
Governance
costs
2024
£
9,905
19,328
44
29,277
41,215
Total
funds
2024
£
207,683
88,553
713
6,764
81,672
29,277
414,662
286,507
Total
funds
2024
£
9,905
19,328
44
29,277
41,215
Total
funds
2023
£
26,700
186,885
26
3,485
28,196
41,215
286,507
Total
funds
2023
£
12,090
29,087
38
41,215

Support costs have been allocated on an actual basis.

Page 27

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 March 2024

11. Auditors' remuneration

2024 2023
£ £
Fees payable to the Charity's auditor for the audit of the Charity's annual accounts 12,945 12,090
Fees payable to the Charity's auditor in respect of:
Taxation services not included above 760 710

12. Staff costs

Wages and salaries
Social security costs
Contribution to defined contribution pension schemes
Group
2024
£
536,240
36,030
6,244
578,514
Group
2023
£
478,313
28,563
7,561
514,437

The average number of persons employed by the Charity during the year was as follows:

Group Group
2024 2023
No. No.
Employees 34 40

No employee received remuneration amounting to more than £60,000 in either year.

13. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2023 - £NIL) .

During the year ended 31 March 2024, no Trustee expenses have been incurred (2023 - £NIL) .

Page 28

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 March 2024

14. Tangible fixed assets

Group

Cost or valuation
At 1 April 2023
Additions
At 31 March 2024
Depreciation
At 1 April 2023
Charge for the year
At 31 March 2024
Net book value
At 31 March 2024
At 31 March 2023
Long-term
leasehold
property
£
10,460
924
11,384
2,779
956
3,735
7,649
7,681
Plant and
machinery
£
83,523
5,323
88,846
49,777
8,704
58,481
30,365
33,746
Office
equipment
£
49,277
-
49,277
18,385
5,838
24,223
25,054
30,892
Computer
equipment
£
46,992
266
47,258
31,634
12,837
44,471
2,787
15,358
Total
£
190,252
6,513
196,765
102,575
28,335
130,910
65,855
87,677

The Company had no fixed assets.

Page 29

(A Company Limited by Guarantee)

Manchester City Galleries Trust

Notes to the Financial Statements
For the Year Ended 31 March 2024
15.
Fixed asset investments
Charity
Cost or valuation
At 1 April 2023
At 31 March 2024
Impairment
At 1 April 2023
At 31 March 2024
Net book value
At 31 March 2024
At 31 March 2023
Details of the Charity's principal subsidiaries are presented in note 26.
16.
Stocks
Group
2024
£
Finished goods and goods for resale
7,630
Investments
in subsidiary
companies
£
4,001
4,001
4,000
4,000
1
1
Group
2023
£
10,922

Page 30

(A Company Limited by Guarantee)

Manchester City Galleries Trust

Notes to the Financial Statements For the Year Ended 31 March 2024

17. Debtors

Due within one year
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income
Group
2024
£
30,499
-
3,776
1,984
36,259
Group
2023
£
44,980
-
3,128
4,353
52,461
Company
2024
£
2,024
147,485
1,976
-
151,485
Company
2023
£
5,478
61,133
1,778
-
68,389

18. Creditors: Amounts falling due within one year

Bank overdrafts
Trade creditors
Other taxation and social security
Other creditors
Accruals and deferred income
Deferred income at 1 April 2023
Resources deferred during the year
Amounts released from previous periods
Group
2024
£
-
36,117
50,029
129,234
396,618
611,998
Group
2024
£
405,166
342,799
(405,166)
342,799
Group
2023
£
16
17,075
43,678
133,592
363,394
557,755
Group
2023
£
315,948
405,166
(315,948)
405,166
Company
2024
£
-
22,749
-
20,841
249,030
292,620
Company
2024
£
195,378
98,712
10,591
304,681
Company
2023
£
-
37
-
9,974
193,660
203,671
Company
2023
£
205,969
195,378
(205,969
195,378

Page 31

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 March 2024

19. Statement of funds

Statement of funds - current year Balance at 1
April 2023
£
1,091,636
Balance at 1
April 2023
£
73,576
16,000
15,173
15,000
21,729
2,377
-
5,500
28,000
70
5,000
39,636
2,203
-
55
-
-
(1,110)
157,612
7,886
388,707
1,480,343
Income
£
1,320,335
Income
£
20,000
-
-
-
61,115
-
27,000
-
-
-
-
-
-
25,000
100,000
171,630
5,000
-
-
32,035
441,780
1,762,115
Expenditure
£
(1,281,589)
Expenditure
£
-
-
-
-
(73,455)
-
(7,417)
-
-
-
(1,787)
-
-
(10,537)
(22,878)
(20,972)
-
-
-
(32,705)
(169,751)
(1,451,340)
Transfers
in/out
£
104,515
Transfers
in/out
£
-
-
-
-
-
(2,377)
-
-
-
-
-
(39,636)
-
-
-
-
-
1,110
(57,612)
(6,000)
(104,515)
-
Balance at 31
March 2024
£
1,234,897
Unrestricted funds
General funds
Restricted funds
Zochonis Trust
Clore Duffield Foundation
(Learning & Engagement)
Assheton Bennett
National Archives
Oglesby Charitable Trust
Paul Mellon - Speech Acts
Baring Foundation
University of Manchester
(Suzanne Lacy)
GMCA (AoR Project)
Heritage Lottery Funding -
Collecting Cultures
Derek Jarman
Culture Recovery Fund
Headley Trust
Freelands Foundation
Paul Hamlyn Foundation
DCMS Wolfson Capital Grant
Martyn Torevell
Platt Hall Project
Fashion Gallery
Other immaterial restricted project
funds
Total of funds
Balance at 31
March 2024
£
93,576
16,000
15,173
15,000
9,389
-
19,583
5,500
28,000
70
3,213
-
2,203
14,463
77,177
150,658
5,000
-
100,000
1,216
556,221
1,791,118

Page 32

Manchester City Galleries Trust

(A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 March 2024

19. Statement of funds (continued)

Statement of funds - prior year

Unrestricted funds
General Funds - all funds
Restricted funds
Zochonis Trust
Clore Duffield Foundation (Learning &
Engagement)
Assheton Bennett
National Archives
Oglesby Charitable Trust
Paul Mellon - Speech Acts
University of Manchester (Suzanne Lacy)
GMCA (AoR Project)
Heritage Lottery Funding - Collecting Cultures
Derek Jarman
Culture Recovery Fund
Headley Trust
Freelands Foundation
Paul Hamlyn Foundation
DCMS Wolfson Capital Grant
Platt Hall Project
Fashion Gallery
Other immaterial restricted project funds
Total of funds
Balance at
1 April 2022
£
976,448
53,576
16,000
15,173
-
-
2,377
-
14,000
70
54,741
80,034
20,000
2,000
55
568
9,491
193,265
49,861
511,211
1,487,659
Income
£
1,153,557
20,000
-
-
15,000
61,265
-
5,500
14,000
-
-
-
10,000
-
-
-
-
-
7,210
132,975
1,286,532
Expenditure
£
(1,038,369)
-
-
-
-
(39,536)
-
-
-
-
(49,741)
(40,398)
(27,797)
(2,000)
-
(568)
(10,601)
(35,653)
(49,185)
(255,479)
(1,293,848)
Balance at
31 March
2023
£
1,091,636
73,576
16,000
15,173
15,000
21,729
2,377
5,500
28,000
70
5,000
39,636
2,203
-
55
-
(1,110)
157,612
7,886
388,707
1,480,343

Page 33

Manchester City Galleries Trust (A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 March 2024

19. Statement of funds (continued)

Restricted funds are funds that have been provided in support of specific projects. The Trust holds sufficient resources to enable each fund to be applied in accordance with the restriction and can be itemised as follows:

Zochonis Trust: charitable donation specifically to support the gallery's Learning and Engagement Programme.

Clore Duffield Foundation: charitable donation specifically to support post-covid recovery work with the children and young people.

Ashetton Bennett: donation to support the further development of the gallery's silver collection.

Paul Mellon - Speech Acts: charitable donation to support of the Speech Acts Exhibition.

Manchester Contemporary Acquisition Fund: donation toward the acquisition of artwork for the Manchester Contemporary Collection.

University of Manchester: Payment of part of ACE grant to support partnership Suzanne Lacy exhibition.

Heritage Lottery Funding - Collecting Cultures: grant to develop costume collection.

Culture Recovery Fund: DCMS grant to support the gallery through closure due to Covid-19 pandemic, including re-start costs and covering commercial losses.

Paul Hamlyn Foundation: Explore and Test grant secured to undertake a learning and engagement project focused on Platt Hall, developing activities and models for the hall's re-imagining as a community museum.

ECFC Funding for Platt Hall Project: grant from the Esmeé Fairbairn Collections Fund to fund a project using Platt Hall gallery and its collections to test and develop a new sector leading model as the UK's first fully user-generated museum.

The Clothworkers’ Foundation: charitable grant to support the creation of a new Fashion Gallery at Manchester Art Gallery.

The Costume Society: grant towards the conservation of a specific item in the Dandy Style exhibition.

Baring Foundation: grant for the delivery of a programme relating to trauma-informed practice. Grant pays for staff and educator workshops, schools’ activities, mindfulness sessions and specialist advice.

Martyn Torevell: donation towards the acquisition of an artwork (Florence Claxton - Women’s' Work).

GMMH MWF: grant to support a group of LGBT+ elders travelling to Jarman's Garden on Dungeness as part of a research project.

Haroon Mirza Curatoria Fee: a grant to employ a Curator to advise on the diversity of the collection.

United Utilities: corporate donation to support the infrastructure and maintenance of the Derek Jarman Garden.

Kempe Trust : grant for the conservation of Bodley panelling.

Freelands Foundation: grant to set up and run a collective of artist teachers for professional development.

Oglesby Charitable Trust: grant to deliver weekly sessions for refugee families (prioritising under-fives and parents/carers housed in the city).

Page 34

Manchester City Galleries Trust (A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 March 2024

19. Statement of funds (continued)

Tate Fund: grant to deliver symposium on spontaneous memorial collections.

Art Fund Jonathan Ruffer Curatorial Fund: grant for travel and accommodation for research trip to New York for Costume Curator and Costume Conservator.

DCMS/Wolfson Museums & Galleries Improvement Fund: Capital grant for purchases of art storage and study room equipment.

MMU: portion of grant from AHRC for delivery of research project exploring exhibition making and for underfives.

20. Analysis of net assets between funds

Analysis of net assets between funds - current period

Tangible fixed assets
Current assets
Creditors due within one year
Total
Unrestricted
funds
2024
£
65,855
1,781,040
(611,998)
1,234,897
Restricted
funds
2024
£
-
556,221
-
556,221
Total
funds
2024
£
65,855
2,337,261
(611,998)
1,791,118

Analysis of net assets between funds - prior period

Tangible fixed assets
Current assets
Creditors due within one year
Total
Unrestricted
funds
2023
£
87,677
1,561,714
(557,755)
1,091,636
Restricted funds
2023
£
-
388,707
-
388,707
Total
funds
2023
£
87,677
1,950,421
(557,755)
1,480,343

Page 35

(A Company Limited by Guarantee)

Manchester City Galleries Trust

Notes to the Financial Statements For the Year Ended 31 March 2024

21. Reconciliation of net movement in funds to net cash flow from operating activities

Net income/expenditure for the period (as per Statement of Financial Activities)
Adjustments for:
Depreciation charges
Dividends, interests and rents from investments
Loss on the sale of fixed assets
Decrease/(increase) in stocks
Decrease in debtors
Increase in creditors
Net cash provided by operating activities
22.
Analysis of cash and cash equivalents
Cash in hand
Overdraft facility repayable on demand
Total cash and cash equivalents
23.
Analysis of changes in net debt
At 1 April
2023
£
Cash at bank and in hand
1,887,038
Bank overdrafts repayable on demand
(16)
1,887,022
Group
2024
£
310,775
32,555
(58,124)
-
3,292
16,202
54,259
358,959
Group
2024
£
2,293,372
-
2,293,372
Cash flows
£
406,334
16
406,350
Group
2023
£
(7,316)
38,607
(28,245)
13,328
(6,926)
86,101
186,933
282,482
Group
2023
£
1,887,038
(16)
1,887,022
At 31 March
2024
£
2,293,372
-
2,293,372

Page 36

Manchester City Galleries Trust (A Company Limited by Guarantee)

Notes to the Financial Statements For the Year Ended 31 March 2024

24. Pension commitments

The group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension cost charge represents contributions payable by the group to the fund and amounted to £6,244 (2023: £7,561) . Contributions totalling £1,689 (2023: £2,063) were payable to the fund at the balance sheet date and are included in creditors.

25. Related party transactions

Key management personnel are considered to be the Trustees of the Manchester City Galleries Trust, the senior management team of Manchester Art Gallery Trading Company Limited and the directors of Manchester Art Gallery Trading Company Limited. None of the directors of Manchester Art Gallery Trading Company Limited received any remuneration from the Company. None of the Trustees received any remuneration. The senior management team of Manchester Art Gallery Trading Company (who are not directors of the Company) received remuneration of £52,734 ( 2023: £ 81,986).

26. Principal subsidiaries

The following was a subsidiary undertaking of the Charity:

Name Company Registered office Principal activity Class of Holding Included in
number shares consolidation
Manchester Art 04465391 Manchester Art Catering and events Ordinary 100% Yes
Gallery Trading Gallery, Mosley
Company Limited Street, Manchester
M2 3JL

The financial results of the subsidiary for the year were:

Name Income Expenditure Profit/(Loss)/ Net assets
£ £ Surplus/ £
(Deficit) for
the year
£
Manchester Art Gallery Trading Company 1,176,657 1,049,557 127,100 56,151
Limited

Page 37

Issuer

HURST Accountants

Document generated Tue, 17th Dec 2024 12:13:17 GMT Document fingerprint 8236a88bb860add3c18e155eb939e48a

Parties involved with this document

Document processed

Party + Fingerprint

Tue, 17th Dec 2024 12:41:50 GMT Tue, 17th Dec 2024 16:22:14 GMT Tue, 17th Dec 2024 17:17:55 GMT

Jo Beggs - Signer (75db818bc38a8bda334af21be58ac40e) Helen Taylor-O'Brien - Signer (d918ddc1aa90c60c07a710ef6dacbf2f) Helen Besant Roberts - Signer (dc4d69ec55db1b2cdfc345f2f7a6468c)

Audit history log

Date

Action

Tue, 17th Dec 2024 17:17:56 GMT Tue, 17th Dec 2024 17:17:55 GMT Tue, 17th Dec 2024 17:17:55 GMT Tue, 17th Dec 2024 17:17:44 GMT Tue, 17th Dec 2024 16:22:24 GMT Tue, 17th Dec 2024 16:22:16 GMT Tue, 17th Dec 2024 16:22:15 GMT Tue, 17th Dec 2024 16:22:15 GMT

Tue, 17th Dec 2024 16:22:14 GMT Tue, 17th Dec 2024 16:12:41 GMT Tue, 17th Dec 2024 16:12:32 GMT Tue, 17th Dec 2024 16:12:24 GMT Tue, 17th Dec 2024 12:41:59 GMT Tue, 17th Dec 2024 12:41:52 GMT Tue, 17th Dec 2024 12:41:51 GMT Tue, 17th Dec 2024 12:41:50 GMT

Tue, 17th Dec 2024 12:41:50 GMT

Helen Besant Roberts viewed the envelope (149.107.64.226) This envelope has been signed by all parties (149.107.64.226) Helen Besant Roberts signed the envelope (149.107.64.226) Helen Besant Roberts viewed the envelope (149.107.64.226) Helen Besant Roberts opened the document email. (172.167.202.115) Document emailed to helen.besant.roberts@hurst.co.uk (3.10.234.117) Helen Taylor-O'Brien viewed the envelope (86.29.123.143) Sent the envelope to Helen Besant Roberts (helen.besant.roberts@hurst.co.uk) for signing (86.29.123.143) Helen Taylor-O'Brien signed the envelope (86.29.123.143) Helen Taylor-O'Brien viewed the envelope (86.29.123.143) Helen Taylor-O'Brien opened the document email. (86.29.123.143) Helen Taylor-O'Brien opened the document email. (86.29.123.143) Helen Taylor-O'Brien opened the document email. (20.77.74.83) Document emailed to helen.obrien@Emperor.works (13.40.185.160) Jo Beggs viewed the envelope (91.235.65.113) Sent the envelope to Helen Taylor-O'Brien (helen.obrien@Emperor.works) for signing (91.235.65.113) Jo Beggs signed the envelope (91.235.65.113)

Tue, 17th Dec 2024 12:40:43 GMT Tue, 17th Dec 2024 12:40:25 GMT Tue, 17th Dec 2024 12:36:40 GMT Tue, 17th Dec 2024 12:36:30 GMT Tue, 17th Dec 2024 12:36:29 GMT

Tue, 17th Dec 2024 12:40:43 GMT Jo Beggs viewed the envelope (91.235.65.113) Tue, 17th Dec 2024 12:40:25 GMT Jo Beggs opened the document email. (91.235.65.113) Tue, 17th Dec 2024 12:36:40 GMT Jo Beggs opened the document email. (40.94.104.126) Tue, 17th Dec 2024 12:36:30 GMT Document emailed to j.beggs@manchester.gov.uk (18.175.131.68) Tue, 17th Dec 2024 12:36:29 GMT Sent the envelope to Jo Beggs (j.beggs@manchester.gov.uk) for signing (149.107.64.226) Tue, 17th Dec 2024 12:13:18 GMT Document generated with fingerprint cb3b87d0158f7d2d4601c11ce52c318c (149.107.64.226) Tue, 17th Dec 2024 12:13:17 GMT Document generated with fingerprint 8236a88bb860add3c18e155eb939e48a (149.107.64.226) Tue, 17th Dec 2024 12:13:17 GMT Envelope generated by Lucie Hall (149.107.64.226)