2022-07-31-accounts

REGISTERED COMPANY NUMBER: 03118107 (England and Wales) REGISTERED CHARITY NUMBER: 1050105

REPORT OF THE TRUSTEES AND

AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2022

FOR

NEWHAM MUSIC TRUST

Raffingers LLP, Statutory Auditor Chartered Certified Accountants 19-20 Bourne Court Southend Road Woodford Green Essex IG8 8HD

NEWHAM MUSIC TRUST

CONTENTS OF THE FINANCIAL STATEMENTS for the year ended 31 July 2022

		Page
Report of the Trustees	1	to	13
Report of the Independent Auditors	14	to	17
Statement of Financial Activities		18
Balance Sheet		19
Cash Flow Statement		20
Notes to the Cash Flow Statement		21
Notes to the Financial Statements	22	to	29

NEWHAM MUSIC TRUST (REGISTERED NUMBER: 03118107)

REPORT OF THE TRUSTEES for the year ended 31 July 2022

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 July 2022. The trustees have adopted the provisions of 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).

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NEWHAM MUSIC TRUST (REGISTERED NUMBER: 03118107)

REPORT OF THE TRUSTEES for the year ended 31 July 2022

OBJECTIVES AND ACTIVITIES

Objectives and aims

The objects of the Charity are for the public benefit:

• To advance the musical education of all children and young people in Newham;

• To enhance the education, life experiences and wellbeing of all children and young people in Newham through music within and beyond their school experience;

• To work with partners in promoting a varied range of high quality music, arts and culture opportunities for children and young people;

• To provide for the recreation of members of the community by providing music services to them with the object of improving their conditions of life.

By achieving its objectives, Newham Music aims primarily to benefit the community of Newham. Where its activities are outside the Borough of Newham the charity also aims to benefit the communities of London. The trustees have complied with their duty to have due regard to the guidance on public benefit published by the Charity Commission in exercising their powers or duties.

Our Vision

Newham Music will deliver a stimulating and exciting range of high quality musical experiences for children and young people. Newham Music will provide accessible opportunities for creativity and self-fulfilment, enriching lives through the powerful and transformational influence of music.

Our Mission

To promote the well-being and development of every child through a broad range of musical and cultural opportunities.

Our Values

The following values underpin our strategy:

Stakeholder Focus: We are committed to working with our stakeholders and partners to improve all aspects of provision and provide music services of the highest standards.

Caring: We will identify and respond to the welfare and well-being of staff, teachers, families and pupils. We will maintain our caring ethos and child protection procedures to support the safety and security of all children and young people.

Leadership: We will provide, support and develop musical, educational and organisational leadership at all levels.

Integrity: We will maintain the highest standards of worthiness, openness and accountability for decisions and actions.

Innovation: We will work with creativity and imagination to challenge existing practices and processes and provide fresh solutions in response to change.

Fairness: We will demonstrate that in all our dealings with individuals and groups we are consistently just, honest and inclusive. We will provide schemes to remove financial or other perceived barriers to participation in accordance with equity, diversity and inclusion policies.

Flexibility: We will create a climate that enables people to adapt and respond to changing circumstances and be confident in dealing with change.

Teamwork: We will work together internally, and with our partners, in an open and honest environment to achieve agreed goals. We recognise that only by working together can the maximum benefit to our communities be achieved.

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NEWHAM MUSIC TRUST (REGISTERED NUMBER: 03118107)

REPORT OF THE TRUSTEES for the year ended 31 July 2022

OBJECTIVES AND ACTIVITIES

Strategic Goals

Newham Music has translated its vision into a number of strategic goals. These goals are key outcomes and deliverables for stakeholders and partners. They outline what Newham Music aims to achieve, namely to:

• Provide access and inclusion for every child and young person to the world of music making;

• Provide relevant, effective and accessible progression routes for children and young people into the world of music and the creative industries;

• Establish agreed priorities to engage with children and young people and communities in Newham;

• Expand current provision catering for the musical needs of ALL our children and young people;

Key Aim

To provide all children and young people, whatever their background or circumstances, with the opportunity to access a music education of the highest quality.

Volunteers

The charity is grateful for the efforts of its volunteers who are involved in the activities of the charity. They play an important role in enabling the charity to meet its objectives.

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NEWHAM MUSIC TRUST (REGISTERED NUMBER: 03118107)

REPORT OF THE TRUSTEES for the year ended 31 July 2022

ACHIEVEMENT AND PERFORMANCE Review of the year and plans for the future

Newham Music is committed to providing high quality music education and opportunities for children and young people throughout the borough of Newham. Flexibility, ambition and quality are central to the NM music offer, maintaining music, our provision, our impact.

Throughout these difficult times, NM has worked in partnership with Newham Council and closely and creatively with young people, families, communities, youth zones and schools to ensure we deliver inclusive, diverse, accessible, and high quality music provision in a variety of ways; through live online teaching and mentoring, video tutorials and face-to-face.

Families, teachers and school leaders have reported that the diversification of the musical opportunities offered by NM has meant that more young people feel their musical voice and preferences are valued. Opportunities inspired by working with a broader range of music and musicians widened access to creative influences and outlets that would not have been possible if limited to expertise in any particular school or community settings.

Key Facts and Figures for 2021-22:

• 98% of Newham schools supported in the delivery of music

• 33% of Newham pupils (21,000) received weekly music lessons

• 20% of Newham pupils (13,000) received individual, small group or large group music lessons

• 240+ ensembles and choirs

• 1,700+ hours of online music lessons and sessions were delivered during April-July lockdown

• 150+ concerts, workshops, teacher training events and initiatives in over 100 schools, youth and community settings

• 4,500 musical instruments provided to pupils

Key Partners:

ABRSM, Addictive TV, Ambition Aspire Achieve, Arts Award, Arts Council England, Barbican Guildhall, Barking and Dagenham Community Music Service, Brolly Productions, Charanga, Community Links, DECODA, Drake Music for disabilities, Gateway 2 Music, Girls Rock London, Hackney Music Service, Havering Music School, Jack Petchey Foundation, Living Song, London Music Fund, London Royal Docks, London Symphony Orchestra, London Youth, Mayor of London, Music for Youth, MusicTutors.co.uk, National Lottery Heritage Fund, Newham Council, Newham Heritage Month, Newham Youth Empowerment Service, Orchestra of the Age of Enlightenment, Portsmouth Music Hub, Redbridge Music Service, Rosetta Arts, Ruff Sqwad Arts Foundation, Sound Connections, Stratford East, The House Mill, Tower Hamlets Arts and Music Education Service, V&A Museum, Waltham Forest Music Service, Westfield Stratford City, Youth Music.

Successes and Challenges in delivering the Core Roles

Newham Music supported schools, families and community groups to deliver high quality music provision to over 21,000 children and young people through 2021-22 across a range of programmes and activities including: 200+ ensembles and choirs; Street-Studio-Success and Young Producers programmes; Learning through Music initiative for Early Years; Music Unlocked for children and young people with special educational needs and disabilities.

The programmes and figures are indicative of the resilience, leadership and determination of Newham Music, in partnership with Newham Council, schools, community, youth leaders and music practitioners that have worked together to find solutions to many of the challenges of the past year, placing music as essential in the 'recovery' for children and young people. The result; an overwhelming demand from schools for music, 62% above pre-Covid levels by year-end across the core roles under the National Plan for Music Education.

Programmes and activities:

Newham Council - School Music Grants: School Music Grants is a ground-breaking programme funded by Newham Council that empowers schools to take ownership of and grow music enrichment opportunities for all children and young people. A robust accountability structure, supported by NM, ensures that schools demonstrate the money is spent well and that it makes a tangible positive difference to the access and quality of music provision in each school. 91 schools received ring-fenced music grants from a £630,000 fund for activities across core roles, with individual grants ranging from £2.5k to £10k.

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NEWHAM MUSIC TRUST (REGISTERED NUMBER: 03118107)

REPORT OF THE TRUSTEES for the year ended 31 July 2022

Whole Class Ensemble teaching (WCET) and Instrumental for 21,000 children and young people: Over 21,000 pupils in First Access and instrumental programmes across all schools on a range of instruments including: Djembe, Dhol, Melodica, Ukulele, Flute, Recorder, Clarinet, Saxophone, Violin, Viola, Cello, Double Bass, Guitar, Piano, Drumkit, Percussion, Trumpet, Trombone, French Horn, Euphonium.

Ensembles: 200+ ensembles in-school and at NM Academy across a range of instruments and genres - Choirs, Bands, Jazz, Rock and Pop, South Asian, Steel Pan, Samba, Djembe.

Newham Music in the Community: Konnakol - South Asian Music Initiative; PRSSV Sangit Teacher Training Programme; Newham Unlocked Festival; Newham Heritage Month; Black History Month.

Young Londoners - Street-Studio-Success: mobile digital music programme providing access to music, skills development, mentoring & pathways into employability into wider creative industries for underrepresented children and young people disengaged through COVID including those at-risk of involvement in substance abuse, gang culture and other challenging circumstances.

Music Unlocked: a comprehensive support programme and inclusive ensembles for children and young people with special educational needs and disabilities (SEND). Includes Jam Band for young adults (16-25) with SEND/PMLD; Music Unlocked Club for young people 12-16 with SEND; Music Unlocked Orchestra autumn tasters and relaunch in January 2022 as a part of the Newham Music Academy. School projects supporting Whole Class Inclusive Music Tech and ensembles with Orchestra of the Age of Enlightenment and Orchestras for All.

A Singing Borough: Newham Songbook Project, Choirs Festival, Artists in Residence, NM Repz Choir, Music Tech Vocal Project.

Black History Project: young musicians, exploring the intersection of jazz and modern-day grime, rap and hip hop through beat-making and music production.

Learning through Music: for very young children (0-7 yrs) to re engage with their learning, coming together through music. Schools, community and teacher training focus.

Youth Zones: Newham Music is delivering in all of the youth zones throughout the borough, as well as alongside the detached youth team, providing regular sessions and one-off projects.

Initiatives:

Youth Ensemble Scheme YES! : a partnership initiative led by Newham Music working with Orchestras for All, Royal Academy of Music and Orchestra of the Age of Enlightenment. YES! established a workable and sustainable model for inclusion ensembles, accessible to all young people. Yes! kick-started inclusion ensembles in six hard-to-reach schools - two secondary and four primary - with a finale performance celebrating the 10th Anniversary of the London Olympic Games.

Young Producers: programme focused on building more diverse and inclusive workforce delivered alongside active learning projects that supports Children in Challenging Circumstances.

PRSSV Partnership Programme: supporting participants to deliver non-Western instrumental teaching in whole class and small group settings. This work is closely linked with the work already ongoing with the whole class South Asian and African Drumming work and will also provide a pipeline for talent into the NM workforce.

Newham Choirs Festival: bringing together choirs from up to 10 Newham secondary schools to perform for each other as well as a live audience.

Challenges:

• Staffing: the substantial increase in demand from schools and families created staffing pressures including additional staffing to focus on musical inclusion, digital development and income diversification.

• Reaching young people: NM invested significantly in providing digital music technology for children and young people, teachers, families and schools, supported by the Culture Recovery Fund.

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NEWHAM MUSIC TRUST (REGISTERED NUMBER: 03118107)

REPORT OF THE TRUSTEES for the year ended 31 July 2022

• Time: continued development and improvement throughout has allowed NM make music work better in a hybrid world of online and face-to-face.

• Online platforms and safeguarding: the continually changing guidance required much time and resource to disseminate and apply practically.

• Ensembles in real-time, face-to-face: Restrictions remained, only relaxing through the summer term.

• Additional Training: training was continuous throughout to ensure that standards were high - high quality video resources, safeguarding, risk assessment, quality teaching online.

• Remote learning: the challenges of remote learning are complex and add to already onerous teacher workloads.

• Online learning: introduced many new factors outside a teacher's control, such as parents' ability to monitor their child and facilitate music activities.

• Digital Divide: does not work for everyone, particularly children who are very young, with additional needs, living in challenging circumstances.

Successes and Challenges in delivering the Extension Roles

NM was focused on retaining our provision and workforce, continuing inclusive music provision in schools and community centres across the borough. The drive to keep music working ensured a successful return to full music provision, and more, and in delivering the extension roles, which included:

Continuing Professional Development (CPD):

One Musical Thing: a video series of practical tips and activities to support non-specialist teachers to become outstanding music educators.

Newham Music Schools Network: for all teachers, subject and department leads to challenge, innovate and raise expectations of music education and provision in the borough.

Nexus Newham Singing Network: music coordinators, singing teachers, community musicians and classroom teachers coming together to make music, network and share singing best practice, empowering a confident singing community across the borough.

Multi-media training: NM staff trained in the production of high-quality digital resources including for teaching, repertoire, and evaluation to better record and celebrate the achievements of Newham's young people.

Digital Learning Project: classroom teacher training programme.

Think 22 - Alliance for a Musically Inclusive England: workforce development including leadership opportunities for musicians with disabilities training sessions.

School Music Grants: robust evaluation and quality assurance including teacher observation, training and support for schools.

Resources: for young people, classroom teachers and Newham Music teachers shared on the NM website.

Instruments:

Newham Music invested in music technology, digital instruments and instruments to support young people and schools in maintaining their music. This included:

Accessible and Assistive Music Technology: for young people to access music online and in support of children and young people with disabilities and in challenging circumstances.

Vulnerable Pupil Music Recovery Grants: NM provided Vulnerable Pupil Music Recovery Grants for 56 primary schools in the borough to spend on musical instruments.

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NEWHAM MUSIC TRUST (REGISTERED NUMBER: 03118107)

REPORT OF THE TRUSTEES for the year ended 31 July 2022

Musical Instrument Mobile Classroom: NM invested in 'mobile' sets of musical instruments for community and youth centres.

Large Scale Events and Experiences:

NM revitalised and engaged children and young people, bringing our children and young people and communities back together in stimulating musical experiences ensuring music remains central to their lives and wellbeing. These included:

'Passing the Torch' at the Olympic Velodrome: Newham Music put on a fantastic show at the Olympic Velodrome to celebrate the ten-year anniversary of the London 2012 Olympic and Paralympic Games. More than 1,800 children took part 2022 from the heart of the Queen Elizabeth Olympic Park. Performing alongside the Orchestra of the Age of Enlightenment, over thirty schools were given a golden opportunity to sing, recite and perform in one of the United Kingdom's most iconic venues.

The Stopping Place with Brolly Productions: female massed choir project inspired by Roma heritage. Newham Music Choirs Festival: choirs from Newham secondary schools performed live, sharing their music and performances.

Make Music Day: South Asian Whole Class Workshops: Newham Music Teacher and Bollywood Superstar, Gouri Choudhury, ran a series of whole class singing workshops in 6 schools, which was included the Olympic Velodrome masses schools event.

Newham Heritage Month: 5 schools took part in Heritage Inspiration Song Days led by community experts, enriched with information gathered by a local historian.

Holocaust Memorial Day Service: working with the London Borough of Newham, our Bridging Sounds Orchestra and talented soloists performed at the HMD memorial service.

Bangladesh High Commission: NM young musicians on the NM/Konnakol South Asian programme performed a massed performance at the Brisitsh Museum for the Bangladesh 50th anniversy event.

Newham Word Festival: young producers and budding songwriters came together for a half term project at Stratford Youth Zone showcasing their work at the Listening Party with other young producers.

NM Academy Showcase Events: over 1,000 students from NM Academy groups performed for end of term concerts and through the summer period.

Partnerships

Partnership working is at the heart of the ethos of Newham Music with a thriving network of over forty partner organisations, both within and beyond Newham. This development and evolution has been embraced by all the Hub partners including a multitude of musicians and artists working collaboratively, catering for the musical needs of all our children and young people.

Key partnerships:

Newham Council: Since inception of the pilot in the 2019-20 academic year, Newham Council's School Music Grants scheme, has been purposely designed and run to provide sustained opportunities that are committed to developing long-term resourcing of music in schools. The value of the programme is increasingly recognised by school leadership teams for the musical, wider educational benefits and also the contribution it makes to children and young people's holistic development, and, crucially, their mental health, wellbeing and happiness.

Newham Music Hub Westfield: an ambitious and new 'fit for the future' community music centre in Newham; a walk-by first-access music centre for children and young people in the largest shopping centre in Europe, in partnership with Westfield.

PRSSV Institute of Performing Arts and Heritage: PRSSV and NM focused on ensuring music heritage from South Asia, Africa and the Caribbean is accessible to young people in Newham schools with input from high calibre global majority musicians who are being trained to engage pupils with their music and its heritage. The project will also open up long-term employment opportunities in schools and community settings across Newham.

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NEWHAM MUSIC TRUST (REGISTERED NUMBER: 03118107)

REPORT OF THE TRUSTEES for the year ended 31 July 2022

Bangladesh High Commission: NM continued the close partnership with the Bangladesh High Commission, performing at the British Museum to celebrate their 50th anniversary. The performance from the young musicians on the NM/Konnakol South Asian programme drew much praise from an international audience.

Education 4 Change: spearheaded by Newham schools to ensure high-quality, practical opportunities to explore diversity and racial issues in a meaningful way. NM is leading on developing diverse music resources, inspiring and motivating children and young people to explore the array of global majority music and cultural genres.

Drake Music - Think22: part of Youth Music's Alliance for a Musically Inclusive England initiative. Think22 is supporting NM to better model, develop, amplify, advocate for music and disabled young people, with young disabled people centre-stage and taking the lead.

Diversity Ambassador Mentoring Programme: alongside Greenwich, Lewisham, Lambeth, Triborough Music Hubs, Newham Music has appointed a Diversity Ambassador and Music Inclusion Officer to create constructive bridges between the workforce; advocate for and support all teachers, especially those from underrepresented groups; engage colleagues with discussions around EDI; support a caring and inclusive organisation including with regards to mental health and welfare; create EDI-focused networks.

London Music Fund - Orchestras for All - Orchestra of Age of Enlightenment - Royal Academy of Music: Youth Ensemble Scheme (YES!) developing inclusion ensembles in schools, accessible to all young people, all instruments and wider musical genres.

NM - Royal Docks/Jack Petchey Internship Programme: Newham Music introduced an innovative paid internship programme supporting dynamic young people in their first step towards being the sector's future leaders, supported by Royal Docks and Jack Petchey Foundation.

Young Producers: with Youth Music and neighbouring music hub lead organisations from Waltham Forest and Hackney to focus on delivering effective music technology and production sessions aimed at young people in challenging circumstances.

The Stopping Place: with Brolly Productions, a female massed choir project inspired by Roma heritage.

Young Londoner's Fund: to support NM in developing our Street - Studio - Success music sessions programme in various settings across the borough including Newham Pupil Referral Units, Youth Zones and community centres. 2021-22 is the 3rd year on the programme.

Newham Youth Empowerment Service: NM is delivering music sessions in 4 youth action zones across the borough for young people at risk and those who are vulnerable and/or a risk to others.

East London Music Alliance: 8 Music Education Hubs from East London are collaborating on a Music Inclusion strategy setting the foundations to build an inclusive music education culture. A key step in 2021-22 was the appointment of a Strategic Lead, funded by the ELMA alliance.

East London Cultural Education Alliance: NM continued to play a significant role working with partners from across East London to ensure that the existing provision, learning and support for cultural education is available to all young people and delivered in the most effective way.

East London Arts Fundraisers Network: co-founded by Newham Music and East London Dance, now has over 20 cross-arts organisations working together sharing good practice in optimising additional funding.

Newham Cultural Education Partnership: Newham Music is a founding partner in the Newham Cultural Education Partnership. NCEP is purposed to encourage Partners to shape their community approach, delivering joined-up, consistent and bespoke programmes of music and arts events and opportunities for children and young people.

Artsmark and Arts Award: Newham Music supports Artsmark in schools with 28 Newham schools already accredited Artsmark, recognising the creative development of individual young people. Arts Award is encouraged and embedded in NM practice with subsidised fees for students taking Arts Award through our Schools and Academy programme.

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NEWHAM MUSIC TRUST (REGISTERED NUMBER: 03118107)

REPORT OF THE TRUSTEES for the year ended 31 July 2022

Equity, Diversity and Inclusion

The Newham Music EDI strategy is setting strong foundations in building an inclusive music education culture where all children and young people are valued and recognised for their unique qualities, ideas, voices and perspectives and where they are provided with a range of diverse and suitable musical opportunities and progression pathways.

Seeing a 'future possible self' is important for our young people and underpins the NM approach. The following are some examples where the NM offer has diversified, raised aspirations and awareness of possibilities for future study and careers in music and the creative industries:

• Diversity Ambassador post to promote diversity in music and practice across all organisational areas

• Music Inclusion Manager/Practitioner post to diversify workforce expertise in wider musical genres including grime, rap, house music etc

• NM Internships Programme providing employment for young people. 4 posts ranging from 3 months to 1 year placements, paid the London Living Wage

• Think 22 programme with Drake Music: leadership development for young musicians with disabilities

• Resources audit and teacher training in partnership with Education4Change to ensure all schools provide high-quality, practical opportunities to explore diversity and racial issues in a meaningful way.

• Music Unlocked fully-inclusive Orchestra based at SEND Community Hub

• NM Konnakol South Asian WCET programme culminating in Massed Online Performance at the Bangladesh Mother Tongue and Independence Day celebrations

• NM in partnership with Orchestras for All, Orchestra of the Age of Enlightenment and Royal Academy of Music working together to develop inclusive ensembles in 2 Primary schools and 5 Secondary schools

• Street-Studio-Success music sessions, working with young people identified at-risk in partnership with Youth Empowerment Services and Newham Community Resilience

• Large-scale projects and events for Black History Month and Newham Heritage

• NM Bridging Sounds Orchestra performing at Holocaust Memorial Day

Newham Music has a wide-ranging remissions policy including:

• All our borough choirs and ensembles are free of charge;

• Schools vocal advisory sessions and a range of projects through ourselves and our partners for free or nominal cost;

• For WCET, we subsidise this by up to 45% and also include an after school club as part of the provision;

• Four hours additional concert support free for every school;

• Subsidised fees for: students taking Arts Award through our Academy; families in receipt of Universal Credit by 50%; - supported applications for our young people to scholarship bodies such as London Music Fund and Awards for Young Musicians.

FINANCIAL REVIEW

Financial position

The financial results for the year to 31 July 2022 are shown in the attached financial statements.

Total income for the year was £1,258,194 (2021 - £1,168,561) and total expenditure was £1,211,159 (2021 - £989,401).

There was a net increase in funds of £47,035 (2021 - £179,160) with total funds carried forward of £690,858 (2021£643,823).

Investment policy and objectives

The charity has no investments. The charity does ensure that interest is earned on any surplus bank deposits it may have from time to time.

Reserves policy

The trustees have examined the requirement for free reserves i.e those unrestricted funds not invested in tangible fixed assets, designated for specific purposes or otherwise committed. The trustees consider that, given the nature of the charitable company's work, the level of reserves should be equal to approximately six months of expenditure.

At 31 July 2022 the charity had unrestricted reserves of £643,363 (2021: £539,154) and restricted reserves of £47,495 (2021: £104,669).

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NEWHAM MUSIC TRUST (REGISTERED NUMBER: 03118107)

REPORT OF THE TRUSTEES for the year ended 31 July 2022

FINANCIAL REVIEW

Pay policy

The pay for senior staff is reviewed annually and benchmarked against pay levels for other organisations of a similar size delivering equivalent services.

Equality & Diversity policy

Newham Music Trust celebrates the diverse cultures, communities and environments that make up our society and the multitude of dimensions which characterise our diversity including but not restricted to; age, disability, gender, marriage or civil partnerships, pregnancy, race, religion or belief, sex, and sexual preference.

Further details of the charity's policy could be obtained at - https://www.newham-music.org.uk/about-us/policies-procedures/

FUTURE PLANS

Newham Music is ambitious for further development and will continue to extend the range and quality of music education opportunities for children and young people across the borough. Our drive to improve the artistic and music offer, through these difficult times, is built around a recover and grow strategy, centred on the children and young people of Newham, ensuring the musical creativity of every child is valued and given the opportunity to flourish. Every child and young person will have access to an extensive range of innovative and high-quality musical experiences.

Delivering on a recover and grow strategy requires Newham Music to be 'fit for the future' in this new post-pandemic world. NM will achieve significant change centred around three outcomes:

• Musical Children and Young People: all our children and young people will develop and express their musical creativity

• Musical Communities: our children and young people will thrive in a diverse and collaborative musical culture - A Creative Musical Borough: our children and young people will participate in innovative high quality music-making, locally and nationally

Integral to the recover and grow strategy is our reimagined and redesigned provision focused on pupils' wellbeing, helping everyone continue their music-making and learning, in school, in the community and at home. This is represented in our most ambitious Programme of Activity to date, for 2022-23, ensuring that music continues, ensembles and groups can meet, and music performances can happen in all possible scenarios, face-to-face or online. Newham Music will continue to adapt to the challenges ahead with new and constantly shifting ways of working and engaging with schools and the wider community.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity is a company limited by guarantee as defined by the Companies Act 2006. The company was incorporated on 19 October 1995 with the objective of providing musical educational facilities for schools in the London Borough of Newham. This was formerly the responsibility of the local authority. The company is registered in England and Wales under registration number 03118107. The company was registered with the Charity Commission on 23 October 1995 under registration number 1050105.

The charity's governing document is its memorandum and articles of association dated 19 October 1995, as amended on 05 Sep 2018 as amended on 22 Jan 2019.

The Board of Trustees is the charity's governing body. The trustees are the company's directors and are not required to be members of the company.

It is the responsibility of the Board of Trustees to manage the business and affairs of the charity. The articles of the association provide that there shall be not less than four governors and not more than twelve. Trustees retire by rotation every three years and are able to offer themselves for re-election.

There are restrictions on local authorities and individuals associated with local authorities becoming governors. The aim of this is to preserve the independence of the charity so that it does not become subject to influence by a local authority.

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NEWHAM MUSIC TRUST (REGISTERED NUMBER: 03118107)

REPORT OF THE TRUSTEES for the year ended 31 July 2022

STRUCTURE, GOVERNANCE AND MANAGEMENT Recruitment and appointment of new trustees

Trustees are recruited for their skills and experience. Where a gap in an area of expertise is identified the charity seeks to recruit someone with the appropriate abilities. They are individuals involved in education, commerce or community work.

There are restrictions on local authorities and individuals associated with local authorities becoming governors. The aim of this is to preserve the independence of the charity so that it does not become subject to influence by a local authority.

Organisational structure

It is the responsibility of the Board of Trustees to manage the business and affairs of the charity. The articles of the association provide that there shall be not less than four governors and not more than twelve. Trustees retire by rotation every three years and are able to offer themselves for re-election.

There are restrictions on local authorities and individuals associated with local authorities becoming governors. The aim of this is to preserve the independence of the charity so that it does not become subject to influence by a local authority.

Decision making

The Board of Trustees meet throughout the year to review the running of the charity. The charity has a chief executive who is responsible for controlling its daily operations. The chief executive reports to the Board of Trustees.

Induction and training of new trustees

Trustees are recruited for their skills and experience. Where a gap in an area of expertise is identified the charity seeks to recruit someone with the appropriate abilities. They are individuals involved in education, commerce or community work. All new trustees are properly inducted and informed about the work of the charity.

Risk management

The charity has considered the risks that may have a significant effect on its operational performance, the achievement of aims and objectives and meeting the expectations of stakeholders.

Currently, banking arrangements are normalised and early fundraising targets are being met. A Business Stabilisation Plan has been written and submitted to Arts Council England along with a detailed budgetary forecast up to March 2022.

The award of the hub status has secured financial stability for the medium-term. However, due to current economic uncertainty and the political climate, the future beyond 2022 is uncertain. We do, however, continue to explore different financial and organisational models and to strengthen the services we provide. In addition, the award of hub status means we must develop much closer relationships with partners and seek to lead, support, galvanise and leverage resources in a much more proactive way where possible and appropriate.

The charity predominantly works with children. The trustees recognise the absolute necessity of ensuring the protection and safety of those the charity serves. This means the trustees and all those who work or volunteer for the charity must obtain clearance from the Disclosure and Barring Service (DBS). A Safeguarding Officer is nominated and safeguarding training is compulsory for all staff.

REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number

03118107 (England and Wales)

Registered Charity number

1050105

Registered office

Unit 13 St Luke Business Centre 85 Tarling Road Canning Town London E16 1HN

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NEWHAM MUSIC TRUST (REGISTERED NUMBER: 03118107)

REPORT OF THE TRUSTEES

for the year ended 31 July 2022

Trustees

Mr J C Brannick Chair Ms C H Bowden Vice Chair Mrs M J Lane Director Mr J L Barber Director Mrs F Cullen Director Ms M Callender Director Mrs E A Oriakhi Director Mrs S H Beckett Director Mr J Boux Director Mr. E. B. Niman Director Ms L A Bhattacherjee Director

Company Secretary

Mr J Bergin

Senior Statutory Auditor

Mr Thurairatnam Sudarshan FCCA

Auditors

Raffingers LLP, Statutory Auditor Chartered Certified Accountants 19-20 Bourne Court Southend Road Woodford Green Essex IG8 8HD

Bankers

Barclays Bank Plc Plaistow Branch 737 Barking Road London E13 9PL

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The trustees (who are also the directors of Newham Music Trust for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland"

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the Charity SORP;

• make judgements and estimates that are reasonable and prudent;

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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NEWHAM MUSIC TRUST (REGISTERED NUMBER: 03118107)

REPORT OF THE TRUSTEES for the year ended 31 July 2022

STATEMENT OF TRUSTEES' RESPONSIBILITIES - continued

In so far as the trustees are aware:

• there is no relevant audit information of which the charitable company's auditors are unaware; and

• the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.

AUDITORS

The auditors, Raffingers LLP, Statutory Auditor, will be proposed for re-appointment at the forthcoming Annual General Meeting.

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

Approved by order of the board of trustees on 8 November 2022 and signed on its behalf by:

Mr J C Brannick - Trustee

Page 13

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF NEWHAM MUSIC TRUST

Opinion

We have audited the financial statements of Newham Music Trust (the 'charitable company') for the year ended 31 July 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, 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 (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

In our opinion the financial statements:

• give a true and fair view of the state of the charitable company's affairs as at 31 July 2022 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'; and

• have been prepared in accordance with the requirements of the Companies Act 2006.

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 charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'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 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.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.

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.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether 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.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

• the information given in the Report of the Trustees for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the Report of the Trustees has been prepared in accordance with applicable legal requirements.

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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF NEWHAM MUSIC TRUST

Matters on which we are required to report by exception

In the light of the 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 Report of the Trustees.

We have nothing to report in respect of the following matters where the Charities Act 2011 requires us to report to you if, in our opinion;

• the information given in the Report of the Trustees is inconsistent in any material respect with the financial statements; or

• sufficient accounting records have not been kept; or

• certain disclosures of trustees' remuneration specified by law are not made; or

• the financial statements are not in agreement with the accounting records and returns; or

• we have not received all the information and explanations we require for our audit; or

• the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Trustees.

Responsibilities of trustees

As explained more fully in the Statement of Trustees' Responsibilities, 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 charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF NEWHAM MUSIC TRUST

Our 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 a Report of the Independent Auditors 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:

• the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

• we identified the laws and regulations applicable to the charitable company through discussions with management and from our knowledge and experience of the charity sector;

• we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the activities of the charity. These included but not limited to the Companies Act 2006, the Charities Act 2011, Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable to the United Kingdom and Republic of Ireland (FRS 102) (effective 1 January 2019), Safeguarding Regulations, data protection, employment, health and safety legislation and laws;

• we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

• identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the charity's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

• making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and

• considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

• performed analytical procedures to identify any unusual or unexpected relationships;

• tested journal entries to identify unusual transactions;

• assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

• investigated the rationale behind significant or unusual transactions.

• tested authorisation of expenditure

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

• agreeing financial statement disclosures to underlying supporting documentation;

• reading the minutes of meetings of trustees;

• enquiring of management as to actual and potential litigation and claims.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or 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 Report of the Independent Auditors.

Page 16

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF NEWHAM MUSIC TRUST

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 the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Mr Thurairatnam Sudarshan FCCA (Senior Statutory Auditor) for and on behalf of Raffingers LLP, Statutory Auditor Chartered Certified Accountants 19-20 Bourne Court Southend Road Woodford Green Essex IG8 8HD

8 November 2022

Page 17

NEWHAM MUSIC TRUST

STATEMENT OF FINANCIAL ACTIVITIES for the year ended 31 July 2022

Notes INCOME AND ENDOWMENTS FROM Donations and legacies 2 Charitable activities Grant to cover the expenses towards the delivery of the core roles Grant to support transition to a viable and sustainable operating model Fees receivable Investment income 3 Total EXPENDITURE ON Charitable activities 5 Cost of music education and activities Fund-raising costs Total NET INCOME/(EXPENDITURE) RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD	Unrestricted fund £ 72,106 - - 435,758 68 507,932 381,587 22,136 403,723 104,209 539,154 643,363	Restricted fund £ 116,534 581,625 52,104 - - 750,263 807,437 - 807,437 (57,174) 104,669 47,495	2022 Total funds £ 188,640 581,625 52,104 435,758 68 1,258,195 1,189,024 22,136 1,211,160 47,035 643,823 690,858	2021 Total funds £ 130,462 577,855 121,575 338,591 78 1,168,561 984,565 4,836 989,401 179,160 464,663 643,823

The notes form part of these financial statements

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NEWHAM MUSIC TRUST (REGISTERED NUMBER: 03118107)

FIXED ASSETS Tangible assets CURRENT ASSETS Debtors Cash at bank and in hand CREDITORS Amounts falling due within one year NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES NET ASSETS FUNDS Unrestricted funds Restricted funds TOTAL FUNDS	BALANCE SHEET 31 July 2022 Notes 10 11 12 14	2022 £ 157,778 180,162 460,603 640,765 (107,685) 533,080 690,858 690,858 643,363 47,495 690,858	2021 £ 164,142 17,290 521,223 538,513 (58,832) 479,681 643,823 643,823 539,154 104,669 643,823

These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.

The financial statements were approved by the Board of Trustees and authorised for issue on 8 November 2022 and were signed on its behalf by:

Mr J C Brannick - Trustee

Ms C H Bowden - Trustee

The notes form part of these financial statements

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NEWHAM MUSIC TRUST

CASH FLOW STATEMENT

for the year ended 31 July 2022

Notes Cash flows from operating activities Cash generated from operations 1 Net cash (used in)/provided by operating activities Cash flows from investing activities Purchase of tangible fixed assets Interest received Net cash used in investing activities Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the beginning of the reporting period Cash and cash equivalents at the end of the reporting period	2022 £ (43,534) (43,534) (17,154) 68 (17,086) (60,620) 521,223 460,603	2021 £ 238,528 238,528 (49,913) 78 (49,835) 188,693 332,530 521,223

The notes form part of these financial statements

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NEWHAM MUSIC TRUST

NOTES TO THE CASH FLOW STATEMENT for the year ended 31 July 2022

1.	RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM	OPERATING ACTIVITIES	OPERATING ACTIVITIES
		2022	2021
		£	£
	Net income for the reporting period (as per the Statement of Financial
	Activities)	47,035	179,160
	Adjustments for:
	Depreciation charges	23,518	24,216
	Interest received	(68)	(78)
	(Increase)/decrease in debtors	(162,872)	9,633
	Increase in creditors	48,853	25,597
	Net cash (used in)/provided by operations	(43,534)	238,528

2. ANALYSIS OF CHANGES IN NET FUNDS

Net cash	At 1.8.21 £	Cash flow £	At 31.7.22 £
Cash at bank and in hand	521,223	(60,620)	460,603
	521,223	(60,620)	460,603
Total	521,223	(60,620)	460,603

The notes form part of these financial statements

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NEWHAM MUSIC TRUST

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 July 2022

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, 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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, as modified by the revaluation of certain assets.

Critical accounting estimates and areas of judgement

Preparation of the accounts requires the trustees to make significant judgements and estimates.The items in the accounts where these judgements and estimates have been made include:

• estimating the useful economic life of tangible fixed assets for the purpose of calculating the depreciation charge; and

• assessing the recoverability of outstanding debtors for fees for music education.

Going concern assessment

The trustees, having made appropriate enquiries, consider that adequate resources exists for the charity to continue in operational existence for the foreseeable future and that, therefore, it is appropriate to adopt going concern basis in preparing the financial statements as at and for the period ended 31 July 2022.

The trustees have made this assessment in respect to a period of one year from the date of approval of these accounts. The trustees of the charity have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the charity to continue as a going concern. The trustees are of the opinion that the charity will have sufficient resources to meet its liabilities as they fall due.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Grants are recognised when the charity has confirmation of both the amount and settlement date. In the event of grants offered but not received, the amount is accrued for where the receipt is considered probable. In the event that a grant is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period.

Legacies are included in the statement of financial activities when the Charity is entitled to the legacy, the executors have established that there are sufficient surplus assets in the estate to pay the legacy, and any conditions attached to the legacy are within the control of the Charity.

Fees from the provision of music education comprise tuition and related fees paid in accordance with agreements between the charity and the respective schools or individual pupils' parents. Such income is recognised when the charity is entitled to receipt under the relevant contractual agreements.

Donated goods and services, including volunteers

Donated facilities and gifts in kind are included at the value to the charity where this can be quantified.

In accordance with the Charities SORP (FRS 102) volunteer time is not recognised.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

continued...

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NEWHAM MUSIC TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 July 2022

1. ACCOUNTING POLICIES - continued

Governance costs

Governance costs which comprise the costs directly attributable to the governance of the Charity, including audit costs and the necessary legal procedures for compliance with statutory requirements, are allocated directly to the charitable activities to which they relate.

Status

The charity is a company limited by guarantee. The members of the company are its trustees as named in the Report of the Trustees. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the company.

Tangible fixed assets

Musical instruments are included in the accounts at valuation based on existing use. These assets are not depreciated. Their value and condition are reviewed by the trustees every five years on a rolling basis.The instruments were last revalued in March 2018.

The remainder of the assets are stated at cost, net of depreciation.

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings - 20% on cost Computer equipment - 20% on cost

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Pension costs and other post-retirement benefits

The charity operates two pension schemes. A defined benefit scheme with the Teachers' Pension Scheme (TPS), which is only available to staff teaching staff. The administration of this scheme is dealt with by the Teachers' Pension Agency. In addition there is a Personal Pension Scheme administered by Peoples Pension which is available to all other employees.

Contributions to both Schemes are charged directly to the Statement of Financial Activities. Differences between contributions payable in the year and contributions actually paid are shown as either accruals or prepayments in the balance sheet.

Debtors

Debtors are recognised at their settlement amount, less any provision for non-recoverability. Prepayments are valued at the amount prepaid.

Cash at bank and in hand

Cash at bank and cash 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.

Creditors and provisions

Creditors 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 settlement can be estimated reliably.

continued...

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NEWHAM MUSIC TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 July 2022

1. ACCOUNTING POLICIES - continued

Financial instruments

The charity 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 except for bank loans which are subsequently measured at the carrying value plus accrued interest less repayments. The financing charge to expenditure is at a constant rate calculated using the effective interest method.

2. DONATIONS AND LEGACIES

Grants and donations Donations from fund raising activities 3. INVESTMENT INCOME Deposit account interest 4. INCOME FROM CHARITABLE ACTIVITIES Activity Grant to cover the expenses towards the Arts Council England delivery of the core roles Grant to support transition to a viable and Arts Council England sustainable operating model Fees receivable Fees receivable 5. CHARITABLE ACTIVITIES COSTS Direct Costs £ Cost of music education and activities 1,178,202 Fund-raising costs 22,136 1,200,338	2022 £ 48,838 139,802 188,640 2022 £ 68 2022 £ 581,625 52,104 435,758 1,069,487 Support costs (see note 6) £ 10,822 - 10,822	2021 £ 65,987 64,475 130,462 2021 £ 78 2021 £ 577,855 121,575 338,591 1,038,021 Totals £ 1,189,024 22,136 1,211,160

continued...

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NEWHAM MUSIC TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 July 2022

6. SUPPORT COSTS

----- Start of picture text -----
||||| |---|---|---|---| |Governance| |Finance|costs|Totals| |£|£|£| |Cost of music education and activities|2,322|8,500|10,822|

----- End of picture text -----

7. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

----- Start of picture text -----
|||| |---|---|---| |2022|2021| |£|£| |Auditors' remuneration|8,500|9,020| |Depreciation - owned assets|10,778|10,761|

----- End of picture text -----

8. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 July 2022 nor for the year ended 31 July 2021.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 July 2022 nor for the year ended 31 July 2021.

9. STAFF COSTS

----- Start of picture text -----
|||| |---|---|---| |2022|2021| |£|£| |Wages and salaries|797,158|637,102| |Social security costs|33,284|32,941| |Other pension costs|24,738|27,926| |855,180|697,969| |The average monthly number of employees during the year was as follows:| |2022|2021| |Charitable activities|60|54| |Fund raising|1|1| |Management and administration|8|8| |69|63|

----- End of picture text -----

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

----- Start of picture text -----
|||| |---|---|---| |2022|2021| |£70,001 - £80,000|1|1|

----- End of picture text -----

The charity uses volunteers during the musical concerts and other events.

continued...

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NEWHAM MUSIC TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 July 2022

10. TANGIBLE FIXED ASSETS

Instruments £ COST At 1 August 2021 121,097 Additions 6,307 Impairments (12,740) At 31 July 2022 114,664 DEPRECIATION At 1 August 2021 - Charge for year - At 31 July 2022 - NET BOOK VALUE At 31 July 2022 114,664 At 31 July 2021 121,097	Fixtures and fittings £ 48,321 970 - 49,291 37,199 2,418 39,617 9,674 11,122	Computer equipment £ 104,137 9,877 - 114,014 72,214 8,360 80,574 33,440 31,923	Totals £ 273,555 17,154 (12,740) 277,969 109,413 10,778 120,191 157,778 164,142

The Instruments are revalued every five years on a rolling programme. The valuation is done by the trustees with professional assistance.

11. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Debtors Prepayments and accrued income 12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Social security and other taxes Other creditors Accrued expenses	2022 £ 32,695 147,467 180,162 2022 £ 7,708 40,510 59,467 107,685	2021 £ 17,290 - 17,290 2021 £ 9,536 3,564 45,732 58,832

continued...

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NEWHAM MUSIC TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 July 2022

13. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Unrestricted fund £ Fixed assets 157,778 Current assets 593,270 Current liabilities (107,685) 643,363 14. MOVEMENT IN FUNDS Unrestricted funds General fund Restricted funds Other restricted funds TOTAL FUNDS Net movement in funds, included in the above are as follows: Unrestricted funds General fund Restricted funds Other restricted funds TOTAL FUNDS Comparatives for movement in funds At 1.8.20 £ Unrestricted funds General fund 418,048 Restricted funds Other restricted funds 46,615 TOTAL FUNDS 464,663	Restricted fund £ - 47,495 - 47,495 At 1.8.21 £ 539,154 104,669 643,823 Incoming resources £ 507,932 750,263 1,258,195 Net movement in funds £ 89,976 89,184 179,160	2022 Total funds £ 157,778 640,765 (107,685) 690,858 Net movement in funds £ 104,209 (57,174) 47,035 Resources expended £ (403,723) (807,437) (1,211,160) Transfers between funds £ 31,130 (31,130) -	2021 Total funds £ 164,142 538,513 (58,832) 643,823 At 31.7.22 £ 643,363 47,495 690,858 Movement in funds £ 104,209 (57,174) 47,035 At 31.7.21 £ 539,154 104,669 643,823

continued...

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NEWHAM MUSIC TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 July 2022

14. MOVEMENT IN FUNDS - continued

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds General fund Restricted funds Other restricted funds TOTAL FUNDS	Incoming resources £ 389,237 779,324 1,168,561	Resources expended £ (299,261) (690,140) (989,401)	Movement in funds £ 89,976 89,184 179,160

Restricted funds

During the year, the charity received donations and grants to be applied fo specific purposes as listed below:

Arts Council

Consists of annual funding from the Department for Education through Arts Council England to deliver our core roles - ensuring children from age 5-18 in the borough have to opportunity to sing, learn instruments, perform and have access to high-quality music experiences.

Jack Petchey awards

Donations from the Jack Petchey Foundation for awards for pupil achievement and leadership (for teachers). These awards are used for projects and reward programmes for Academy students.

Mayors Fund for young musicians

Funds from London Music Fund (previously Mayor's Fund for Young Musicians) awards scholarships to music pupils to pay for lesson and ensemble fees.

National Heritage

Newham Music delivered a heritage-inspired song writing project with five schools where pupils created original music inspired by their heritage explorations, culminating in newly created original songs as a part of Newham Heritage Month 2021. The songs have been compiled alongside accompanying heritage and music learning activities and will be published as a Newham Heritage Songbook which will be made available on our website to all schools in Newham.

Young Londoner Grant

Supported by the Mayor of London's Young Londoner's Fund, our Street-Studio-Success programme is an innovative fully mobile digital music project focused on early intervention, engaging young people between 12 and 14, whose behaviour is causing serious cause for concern.

Aspers Funding

To run songwriting workshops and create musical resources for the big concert at the Velodrome.

SEND in Schools

Newham Music teachers go into the schools to deliver this and the schools pay for the delivery of the lessons.

continued...

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NEWHAM MUSIC TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 July 2022

15. EMPLOYEE BENEFIT OBLIGATIONS

The charity contributes to two pension schemes. A defined benefit scheme operated by the Teachers' Pension Scheme, which is only available to teaching staff. The administration of the scheme is dealt with by the Teachers' Pension Agency. Contributions to this scheme are paid in respect of current service, and there is no liability to the charity in respect of past service.

In addition, there is a Personal Pension Scheme, which is a defined contribution pension scheme, administered by Peoples' Pension which is available to all employees.

The charge to the Statement of Financial Activities of £24,738 (2021: £27,926) represents contributions to the funds during the period.

At 31 July 2022, the charity owed £527 in respect of Teachers' Pension and £2,892 in respect of Peoples' Pension.

16. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31 July 2022 or 31 July 2021.

17. AUDITOR LIABILITY LIMITATION AGREEMENT

The company has entered into a liability limitation agreement with Raffingers LLP, the statutory auditor, in respect of the statutory audit for the period ended 31 July 2022. The proportionate liability agreement follows the standard terms in Appendix B to the Financial Reporting Council's June 2008 Guidance on Auditor liability Agreements and was approved by the directors on 2 November 2022.

Page 29