Charlty wistration number 1066665 (England and Wales) MUSLIM WELFARE INSTITUTE ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 • xeinadin
Tockin9 ID 1023189-1240935 MUSLIM WELFARE INSTITUTE LEGALAND ADMINISTRATIVE INFORMATION Trustees Mr H M Patel Mr Y M005a MIA Raje Charlty number IEn9land and Vlalesl 1CE6665 Principal address Unil 301 Dai5yfield Bvsiness Centre Blackbum Lancashi B81 38L Auditor Xeinadin ALKYit Lirnited Ground FlcM)r, Crtygate Longrty Road Preston Lancashire United n9y0M PR2 5BQ
Trathing ID 10231e9-124Cts3E MUSLIM WELFARE INSTITUTE CONTENTS Pa9* Trustee5' report In(ndent auditorfs report ststement of financial activities BaLan sheet Statement of cash flo 10 Notes to th& finanoal statefflents t1_ 19
Tracking 10 10£3trBg-T24Tr93 MUSLIM WELFARE INSTITUTE TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2025 The trnstees present their annual report ancl finantial strthents for the year eThJed 31 DecMiber 2025. The financial statements have been pwared in accordan wlh the accountirNJ set out in note 1 to the financial statements and compty WFth the charivs 9tsveming document. the Charities Act 2011. FRS 102 The Finanaal ReportirKJ Standard applicable in the UK and Republic of Ireland" and the Charitse5 SORP 'A¢counts"ng and Reporbng by Chanties. Statement of Recommended practi apicab to Charities preparing their a¢Unts in aCrA)rdan wth the Finanoal RepottiThJ Standard aPiCab in the UK and Repubtic of Irelard IFRS 1021". ObjectlV8s and a¢tivltis The objectives of the charity are as outlined in the chartws Goveming Instrument. The tnain objectsve of the charity is needy petsple primarily in. but not restrcteij to. India. Mbania and BaryJladesh by focusing on the followiro areas. Providing housing and healthca faalities Establishing and renovabrwJ tnosques. cultural eenlTe and madrasas Providing educ2tion and trainiro in Islamic faith Publ1¢ benefit The tTUStee$ have paid due regard to gUKlan i8sued by the Chanty Ccynmission in deoding what activth.es the charity should undertake. The d)anty run on the basis of publ benefit and t for profit purpose. Achlevements and performance Significant a¢TrviTres and ac17ievements 8gainstoty"eclwgS This years annual report Covers the 7 countries we are worktrvJ in at present have warated Ihe countnes into 3 règions. The Balkans which covers Albania. Bosnia and Macedonia. United Kingdotn which covers EnglaThl. Asa which covers Bangladesh. India and Bengal. Th8 Balkans Albania Dar Arqam Education CentrÈ Our new Dar- e- Arqam Education Centre in firana completed its fouth full year during 2025. Nurnber of prqects and activities take place to help and support bcal communty. Residential Institute . Belesh Our residential institute at one of Ihe local Mosq$ in the village of Bejesh had been running for over 15 years. Number of projects and activit$ takes placÉ to help and support local comrnunty Non Residential In$titirte- Laknas Our non re8identisl instituie opened in Laknas in 2015 arKI c4)mplete(l its 81h year. The institLrte 15 in use during weekdays for education d8sses for students and on the weekends foi edu(ation dasse5 for orphans and also widows. Intention is to in¢aSe programmes at this institute in the corning years. Mosques Rentsvation Programme 6 Mosoues were renovated throughout the year 2025_ Food Distribution Project To assist needy families. we distributed". 1000 meat bags on the oc¢a510n of Ei¢>ul-Adha. 2000 food packs during the Holy month of Ramadhan & at Ihe time of Eirf-uF4I. Educational Projects 100 classes were funded by the where over 1LKKJ students re1Ve free educati(. Orphans Sponsorshlp 550 orphans were 5POll50red for 12 mOn_
Tracking ID ID23189-124093? MUSLIM WELFARE INSTITUTE TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025 Bosnla Fdlowing a wisit to Bosnia in 2018. the MW intbated its first 2 pfqects in Bosnia duriThJ the year 2020. We continwd with this dunng the year 2025. Wtdows Sponsorship We sponsored a number of families a cash grant of£200 eath n) Srebrenic2. Families Sponsorship Vve sponsored a number offamilies in Mostarwith fcx)d paths worth £50 each. Macedonia Educaiional projects 13 classes were funded by the MW where 200 children reIVed free educaticn. United Kingdom England Hardship Assistsnce Programme- Blackburn: Assistance wa5 provMd to a number of famil9 were going through diffiixAt (Ircumstan5. F¢y)d. clothing. basic essentials. rental payments etc etc We prowded. worked dosety wth the relu9ees organisations here in Blackbum, who camed out the due diligence the¢s. Asylum seekers1 Refv9ees: We assisted a number of 85ylum seekers he in BL3cbum and the Northwe5¢wth cash grants. Asia Bangladèsh Orphanage ProJe¢t Our orphanage coristructed at the wllage of Begumpur Corneted its 19th year. The orphanage is home lo 30 orphans. A number of orphans who have rea¢he(J the age of 18 have now tnoved on into ether full time education, futher studies or vocational training programmes dependirg on their final exam results. Education Programmes 35 part-time sthools were funded where approx. 1500 thiklw acquire secular& retKJK)us Educatyon. Food Distribution Approx 1250 familEs were prowded lftaar Pa(s in Rama(Ihan. Approx_ 1500 gift pad(s were distributed prior to the festival of Eid-ul_Fitr. 600 rneat bags We distiitr*rted on the occasion of EKI-ul-Adha. Orphans Sponsorship 30 orphans sponsored. Water Pro9rammes 103 hand pump5 instslled at Yarious locations through(Mrt the year. Income Support Programme 50 rickshaw vans distributed. Wheelchair Distribution 100 wheelchairs d15tnbuted. Group Weddings Programme Finance was provkled for 15 couples who got married at the group w£ddiThJ5 FKogrammes Ihat were organised during the year. Medical Projects 50 cataract operatsons were perfomied.
Tracking ID 102218Y-124Q935 MUSLIM WELFARE INSTITUTE TRUSTEES. REPORT (CONTINUED} FOR THE YEAR ENDED 31 DECEMBER 2025 Imnter Clothing 10W winter packs distributed during the winter peritsJ_ India Masjid Construction S Masjids constructed. Weddings Programme 30 weddings financed. Cataratt Operations 1QKI op8rations C2rried OUL Dialysis Setvlcts 400 dialysis serS carried out. Food Distributyon 2000 food pa1$ distributed during the h(Ay rnonth of Ratnadharh & 25¢X) at the tirne of Ex*ukFitr. WidowEIOrphans SF)onsor5hip 100 orphans were sponsored in and around the Ahmedabaj a3. West Bengall Bihar Students sponsorship 25 students sponsored to beojme Hafez ofthe Quraan at a thal edational institirte in Uttar Dtnajpur. Food Distribution Number of food par[% distnbuted for hoty rnonth of Ramadhan & at the tkne of Ei(kul-Fitr. Fundrai&ngprèclFG8S Visits MW repSentatiVes/Sff Msrte(l all the counln.es that we are wothiJYJ in. to assess and see the projects first hand and ensure they are running 5rn001hly. Staffing siructure MW ha5 4 full time paid staff. Also. 4 part bme teachers in our Aqsa Centre of Ex(elSen and 4 teachers are employed In Albania. who have cryne from India. Flnan¢lal revlew Reservos policy It IS the policy of the Charity that unrestricted funds which have not been deSnated for a specifi¢ use should be maintained at a Ve1 equiv21ent to between three to six monlh'5 exrEnditure. The trustees consider that reserves at this level will ensure that, in the event of a svJnificant drop in fundiNJ. they will be ab to ¢onb"nue the charity's curr8nt activit$ while considerabon i8 given to ways in whtch additional funds may be raised. This level of Teserves has been maintained throughout the year. structure, governance and management The trustees who served dunNJ the year and up to date of 5Jn3tsjre of the financ#al slatements were.. Mr H M Patel Mr Y Moosa MrA Raje Recruitment and 8ppointment of [S{eeS Organisationalstru¢ture The MW trustee structure remains the same. No thanges or amendments dullng the year.
Tr¥¢trJng ID 1023189-1240935 MUSLIM WELFARE INSTITUTE TRUSTEES. REPORT {CONTINUEDI FOR THE YEAR ENDED 31 DECEMBER 2025 oth8rmattÈrs Rlsk Management The tru5te&s have a duty to identify and meW the ri5k5 to which the chaTty s exposecl aThJ to ensure appropriate controls are in pla to prowde reasonabk assurance ag8insl fraud and error. Muslim Welfare Institute has a risk management poliry which is regularfy rewsed to T(Jenth"fy and address all kind5 of risk every year. The existing management team is wdl equipped lo diso)urse. rnan8ge 2nd report the risks Intemally and externally. The it¥Jir2ted risks IdenD"fied were su¢cesshJlty rewewed and assesse(I by the senior management and trustees duriw the reporting period. These risks. induding Strategic. govemance and operational risks. have been Identified and ranked In lem5 of irnpact an<J likelihooyj. tNstees a sabsfied that systems are in place to monitor. manage and mitigate any exposu fr(xn Ihese risks and ensu they ale reieWed regularfy. ststement of trustees, responsibilities The trustees are resrM)nsible for preparing the TnJstees' Report an¢J the finan<ial statements In accordance with applic2ble law and United Kingdcffi Accounting Standards Iunited KinC Generalty AcTrpted Accounting Practicel. The law applicable to chanb.es in Eryland and leS requires the twstees to prepare financial ststernents for each finanaal year which a true and fair Mew of the state of affairs ol the chanty and of the incoming r8sourr*s an application of resources of the charity for that year. In preparing these finanual statements. the trustees are required to. - sect suitable accounts.ng polic$ and then apply them consisientty". obseNe the methods and prinuples in the Chanties SORP.. - makejudgements and estinate5 that are reasonable and prudent - Slate whether applicable accounb"rvJ starKJards have been fOlle. subj.ect to any material departures disclosed and explained In the financial statements". and ppare the financial statements on the goirhg concem basis unl8ss r( is inappropriate tts presume that the charity will continue in operation. The trustees are responsible for keeptThJ suffioent accwntrng records that disdosewith reasonabk accuracy at any lime the finanaal position of the charity and enable them to ensure that the finane4al statements compty with the Charitie5 Act 2011, the Charity (Accounts and Reports) Regulations 28 and the promsions of the trust deed. They are also responsible for safeguarding the asset5 of the charty and Ince for tsking asOnab steps for the pVenty'on and detection of fraud and other irregulanties. The trustees. report was approved by the Board ofT[tee$. Mr H M Patèl Tntstee 2010512026 D81e".
Trèck4ng ID 1023189-1240935 MUSLIM WELFARE INSTITUTE INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF MUSUM WELFARE INSTITUTE Opinion Vve have auditecl the finanaal statements of Muslirn tIrare Institute (the 'tharity'l for the year ended 31 December 2025 which comprise the statement ol finanoal actswbes. the balan sheet. the statement of r2sh flows and notes to the financial ststements. induding significant alxounb.ng poliaes. The finanoal por[vj framework that ha5 been applied in their preparation is applicab law and Unrted r@doM Acwunting Standards. Including Financial Reporting Standard 102 ThE Financial ReportAng Standard applicable in the UK and Republic of ir81and Iunited Kirydom GeneralIyAPted Aceounbng Pracbce}. In our opinion, the financial statements". give a true and fair ¥W of the state of the tharity's affairs as at 31 Drnber 2025 and of its incoming resources and application of resources. for the year then ended". have been properfy prepared in aCran wlh Unit&J ngdorn Generally Accepted Accounbng practi.. and have been prepared in accordance with the Charibes Ac¢ 2011. Basis for opinion Vve conducted our audrt in ac¢ord?nce wth Intemational StarKJards on Audrtin9 IUKI IISAS IUKII and applicable law Our responsibilities under those standards are further descriLEd in the AudNtorfs responsibilities for the audit of the financial st8tements section of our report. are Independent of the chanty in accordan wth the ethical requ1rements that are rekvanl to our audit of the finanoal ststements in the UK. induding the FRC'S Ethical Standard. and we have fvlfilled our other ethical responsibilth.es in accordan vmth these iequirements. We believe that the audit eviden we have obtained is svffiuent and appropriate to provwje a basis for our opinion. Conclustons latIng to going concern In auditing the finanoal staternent5, we have conduded that the trusteès. use of the going carM basis of accourlting in the preparaton of the finanoal staternents is appropriate. Based on the work we have perftsrrned. we have not Klenb"f*d any malenal unr£rtainties relab.ng to events lx conditions that. indiwdually or collectively. may Last S3n¢an1 doubt on the tharity's ability to continue as a going concern fof a period of at least Nvelve months frorn when the finanoal statements are auihon5ed for issue. Our spONSibl11t1es an¢J the respon5ibililies of the INstees wilh resre<l to going conrn are desrxibed in the rdevant sections ol this reporL Other inforrnation The other Information comprises the information indje(l in the annual report other than the financial staternent5 and tsur auditorfs report thereon. The trustees are pOnSible for the other Inforrnation contained within the annual report. Our opinion on the finana81 statements doe5 not cover Ihe ot1 information and we do not express any fom) of assurance condusion thereon. Our responsibility Is to a the other infomiatson and. in doing so, consider wfether the other infom)ation is materially Inconsistent vith the finanoal statements or our knowledge obtained in the course of the audit. or otherwise appears to be materially misstated. If we identify such matellal inconsistencies or apparent material misstatements. we a required to detemine whether th15 gi nse to a rnater481 misstatement in the fin8naal statements themselves. If. based on the work we have terfomied. we condude that there is material misst8tement ol this other information, we are required to report Ihat fact. have nothing to report in this regard. Matters on whlch we are required to report by exception have nothing lo report in respect of the following matters in relation to whKth the CharitEs (Accounts and Reports) Regulab"ons 2008 requires us lo report to you if. In our otxnion". the inforMatn given in the finanual statements is inconsLslent in any material respect with the trustees, report, or suffioent accounting rec(xds have Th)t been kept." or the financial statements are not in agreementwith ts a¢counkn"ng records.. or we have not ceIVed all the Infomiabon and explanatn$ we require foi our audiL
Tr•thng ID 1023 I89_124093i MUSLIM WELFARE INSTITUTE INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF MUSLIM WELFARE INSTITUTE Re5pon5ibilities of trustees As explained rnore fully in the ststement of trustees. te5ponSi.111. Ihe trustee5 are resp)nsible for the sxeparats.on ol the financial Statements and for being Satisfied that they give a true and fair view. and fr)r such intemal control as the trustees deiermine is ne$sary to enable the preparabon of finanrial statements that are free from material misstatement. whether due to fraud or error. In preparing the finanrjal statements. the trustees are iesponsible for assessing the charty's abilty to rA)ntinue as a going conM. disdosing. as applicable. matters related to going concem and using the goiTrJ concern basis of accounting unless the trustees eilher intend to ase operations, or have no realistic atternative but to do so. Auditor's responsibilitfjes for the audit of the financlal statements ViÈ have been appointed as auditor under section 144 of the ChJribes Acl 2011 and report sn aCrdan wth the Act and relev8nt wulations made or hawr¥J eifect thereunder. Our objecb.ves are to obtain reasonabk assuran about vthether the finanual staternents as a whole are f from material ffiisstatefflent. whether due to fraud or error. arKI to issue an audrtorfs report that includes our opinion. Reasonable assurance is a high kvel of assuran but is not a guarantee that an audit conducted in accordance wlth ISAS IUKI VAII 8fv4ays detecl a matea81 misstatement when r( esIs. Misstatements can anse from fraud or error and are considered material if. indiwdually or in the 4¥Jregale. they o)uld reasonably be expected to Influen theeconomic deti5ions of users lakeA on the basis of these financial statements. The extent lo whith our procedure5 are capab of detectiJ¥J iwularibes. indth1ing fraud. is detailed beltrw. Our approach to identsfying and assessiNJ the risks of rnaterial misstalemetst in iespect of irregularitw, induding frzud and non-cornp1ian wrth laws regulalM>ns. was as follows". the engagement partner ensured that the eroagement team coifeivety had the appropriate cornpetence, capabilities and skills lo identify and recognise non-compliance with appluble laws and wul"on5." we identsfied the laws and regulations applicable to the charity through disoJ5sions wrth trustees and other management, and from our commeraal knowledge and experieTr of the chanties sector.. - assessed the e*(eni of Complian with the laws and regulations identified above through rnaking ewuiries of management and inspecting legal Corresponden.. and - identified faws and rUlatIonS were comrnunicated wrthin the audrt team Twularly and the team rna1ned alert to Instsns of norCOmla11 throwhout the audit We assessed the SusPtibIlity of the companys finanaal statements lo material misststernent. induding obtaining an understanding of how tra might occur. by". - making enquiries of managemenl as to bthere Ihey Consi there was SuspbIlity to fraLMJ. their knoWIge of actual, suspected and alleged fraud,. and - considering the intemal controls in place to rnth.gate risks of fraud and n0fvcornpanc8 wrth laws and regulations. To 8ddres$ the risk ol fraud through marhagement btas and overrwje of controts. we.. - tErfonned analytical prOcureS io idenbfy any vnusual or uwpecbj relats"onship5." -tested ioumals to identify unusual transactions". - assessed whether judgements and assumptions made in determining the a0Untir0 estimates set out in notes lo accounts v4ere Indicats"ve of potential bias.. and - investigated the rationale bettind signfficant or unusual transactions. In sponse to the risk of irregularth.es ar¥J non-comph"anTr wilh law5 and regulations. we deSne produreS which Included, but were not IIFnited to". - agre&ng finaJaI statement disdosures to undertying svpportirvj docurnentstion.. - reading the rninules ol meeting5 of those charged g0veman_ - enquiring of managemenl as io actual aryl poientsal Igation dains.. and reviewing COfresp0nden wilh HMRC. vant regulators inrknlmw the Heatth aThJ Safety Executbve. and the company'5 al adwsors.
Tracking ID 1022IÈts-124GG3 MUSLIM WELFARE INSTITUTE INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF MUSLIM WELFARE INSTITUTE Thère are inherent limitsb.ons in our 8udrt procetjures de5Cbed above. ALpJth"ng standards also limit the audit procedures required to identify norFcomptiants with L4ws and regulabons to enquiry of the d1ctOrS and other management an¢J the inspectK)n of regulatory and legal wresponderte. if any. Materi21 misstaternent5 that arise due to frarJJ 13n be harder to detect thèn those that arise from error a5 they May involve deliberate concealrnent or cotlusion. A bJrther description of our SponSibl11t1eS B available on Financial Rewi*ng Coun1 s website at.. https".11 wmv.frc.org.uklauditorssponslbI1thes_ This descripton forms part of our audrtorf5 report. Other mattars Your attention 15 drawn to the fact trat the charity has prepared finanoal 5taternents in aco)r¢Jance vath'Accounting and Reporting by Charities. Statement of Recommended Practi aPIcable to ¢harib"es preparing their accounts in accordanc& with the Finantyal Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021" la5 arnendedl in pfernts to the Acunting and Repong by Charitts Statement of Re¢0mMee Practice issued on 1 April 2005 which is referred to in the extant regulations but has ni)w been withdrawn. Th has been done in orrjer loi the financaal ststements to provide a true and frdir view in accordan wth eurrent Generally Accept AccountiTrJ Prac. Use of our report This report is tnade sdely to the charrty's trustees. as a bocly. in accordance Part 4 of the Charities IAcLounts and Reports) Regulations 2008. Our auditwort has Wn undertaken so that we might state to the charity's trustees those matters we are required to stale to them in an auditor's report aThJ for no other purpose. To the fUl$t ertent permitted by law, we do not accept or assuffle responsibility to anyone other than the chanty and the charity's trustee5 as a b(Kly, for our audrt wort(, for Ihis report. cw for the opinions we have formed. Farook Patel BEng FCA (Senior Ststutory Auditor) For and on behalf ol XeinadinAudit Limrted. StatutoryAudrtor Chartered Accountants Ground Floor. Citygaie Longridge Roa Preston Lancashi PR2 5BQ United Kingdom Xeinadin Audit Limited Is eligib for appoinbnent as auditor of the Charity by wrtue of it5 eligibility for appointment as auditor of a company under section 1212 ofthe CompanesAct 20(.
Tra¢king 10 1023789-1240535 MUSLIM WELFARE INSTITUTE STATEMENT OF FINANCIAL ACTMTIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2025 Unrestricted Restricted funds funds 2025 2025 Total UnStriCted Restri¢ted funds fund¥ 2024 2024 Total 2025 2024 Notes Income from.. Donations and 98CleS Charitable actiwties 164.533 1.497.179 1.661.712 8.020 8.020 275.289 1.026.572 1.301.861 Tolal income 172.553 1.497.179 1.669.732 275.289 1.026.572 1.301,861 Expenrtsturè on.. Raising funds Charitsble actiwts 13.240 176.624 13.240 1.433.885 1.610.509 9.612 9,612 152.433 1.1)07.945 1,160,378 Total exndItuTe 189.864 1.433.885 1.623.749 162,045 1,007.945 1.169.990 Net incomellexpenditurel 117.3111 63.294 45.983 113.244 18.627 131.871 Transfers LEtween fuNJs 22.165 122.1651 24.846 124.8461 Net movernent in funds 4.854 41.129 45.983 138.0 16.2191 131.871 Reconciliation of funds.. Fund balan$ at 1 January 2025 455.447 4.210 459.657 317.357 10.429 327.786 Fund balances at 31 Decernber 2025 460.301 45.339 505.640 455.447 4.210 459.657 The statement of fin3nual activibes indudes all gains and losses recogni5ed in the year. Al incomè and expenditure derive fvorn continuing activities.
Tratring 10 1022iag-124Q&35 MUSLIM WELFARE INSTITUTE BALANCE SHEET AS A T 31 DECEMBER 2025 2025 2024 Notes Fixed assets Tangible assets 11 229.198 234.109 Current a$$ets Debtors Cash al bank and in hand 12 198.785 89.767 189.549 40.800 288.552 230.349 Creditors= amounts folllng due vrithin one year 13 112.1081 14.8011 Net current assets 276.444 225.548 Total assets less current liabilities 505.640 459.657 The funds of the charity Restricted income fvnds Unrestricted funds 14 15 45.339 460.301 4,210 455,447 505,640 459,657 20105r2026 Th& financial statements We approved by the tntstees on......................... P&0 Mr H M Patel Tru5te8
Tracking ID 1023 ras-124D933 MUSLIM WELFARE INSTITUTE STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2025 2025 2024 Note5 Cash flows from tsperating acti¥lttes Cash generated from operations 17 48.7 251.208 Inve¥tiny activities Puichase of tangits fixed assets 1237.8141 Net cash used in Investing actTrvits"es 1237,8141 Net cash generated from financing activities Net increase In cash and czsh equNalents 48.S67 13.394 Cash and cash 8quivalents at beginnirvJ of year 27.406 Cash and cash equivalents at end of year 89.767 40.800
Tr¥&Jng 10 1023r8Q_7240938 MUSLIM WELFARE INSTITUTE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 Accountlng policies Ch2rÉty information Muslim iNÈlfare Insbtute a Unirbcorporated cha- The registe office address is Unit 301, Dai5yfiekl Mill. Appleby Street, Blad(bum. B83 38L. 1.1 Basi$ of preparation The financial statements have been prepared in awrdan¢e with Ihe charity's goveming document. the Charitie5 Act 2011. FRS 102 'The Fina81 Repwbng Standard appliGqble in the UK and Republic of Ireland" and the Charities SORP "Accounting arMI Reportng by Chaiibes. Ststement of Recommen(le(I Practi applir2Ne to charities preparing their accounts in accordan th the Financial Reporting Standard applicaNe in the UK aj Republic of Iland IFRS 1021". The Charity Is a Publi¢ Benefit Enbty as defined by FRS 102. The financial statements are prepared in stedirKJ. which the knnctional ojrrency of the Charity. Monetary amounts in these financial statwnents are rounded to the neat £. The financial statements have been Prepa under the historical cosl ¢on%tnb"on. The principal accounting poliaes adopted a set OLrt below. 1.2 Going coneern At th& time of approwng the finana81 statements. the trustees have a reasonable expectation that th8 charity has eQuate resources to conb.nue in operational existeno for the foreseeab future. Thus the trustees continue tts wjopt the going concem basis of acun"n9 in preparing the financial statements. 1.3 Charitable funds Unrestricted funds are available for use at the discreth)n of the trust*s in fvruIefan of their tharitable objectives. Restricted furK15 are subj.ect to specific condibons by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set oui in the notes to the finanoal statements. Endowrnent fvnds a subject to speufic condth"on5 by donors Ihat the capital must be maintsined by the charity. 1.4 Income Income is recognised when the charty is legalty enbded to it after any perfor[nan cond'00S have been rnet. the amounts Can be measured reliably. and it is probabte that inccffne will be rec2Ned. Cash donations are recogni5ed on receipt Other donations a rewgnised onTr the charty has been notifd ol the donation. unless perf0mlan conditions requi deferral of the arnDunt. Incotne tax recoverable in lation to donations received under GIftd or deeds of covenant ts recognised at the b.me of the donath"(. Legaues are recognised on feTript or otherwise if the tharity has been notrfEd of an impending clistributs"on, the amount Is known. and reip¢ s expEded_ If the OUnt is ntst knvwn. the legacy 15 treated as a contingent a55et.
Tratrino ID 1ts23J a9-1240935 MUSLIM WELFARE INSTITUTE NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025 Accounting policies Icontinuèdl 1.5 Expenditure Expenditure is Cognised On there is a Wal of cx)ns¢ru¢bve otAigatson to transfer econornic benefit to a third party. it is probable that 8 transfer of economic benefits will be required in setuement, and the amount of the obligation can be rneasu lIablY. Expenditure is dassified by actsvity. The costs of eath a¢vity are made up of the total of direct cost5 and shared costs, Induding support costs involved in undertakiry each activity. Direct costs attributable to a single activity a allocated dirertly to that acbvtty. Shara costs which contribute to MO than one actswty and support costs whith are not attnbutsble to a single actrvty are apporbored between those actiwties on a ba51S consistent with the use ol resour. Central staff costs are allocated on th8 basis of time spenL and depreciation Charges arè allocated on the rM)rtion of the asset's use. 1.6 Tangible fixed assets Tangible fixed assets are initialty mèasured at cost and subsequenuy measurtd at (X)St or valuation, net of ¢Jeprecialion and any impaient losses. Depreoation 15 recognised sts a5 to write off Ihe cosi or valuabon of assets sS their resklual values Over their useful lives on the following bases. Freehold land and lJJikJing5 Fixtures and fittirrtJs 2Q/o str8jhl ljne method 15% on reducing balan The gain or knss arising on the dposal ofan asset ts detemiined as V)e differen tts¥een the sale proed5 and the carrying valLE of the asset. arkj is recogn15ed in the ststeThent of finanial activits"es. 1.7 lrnpairnient of fixed a55ets At each reporting end date. the charity revews the carying amounts of its tangible assets to deterrnine whether there is any indic2tson that those assets have sUffed an impaimient loss. If any such indic£tion exists, the cOVerable amount ol the asset is esbmate(l in order io detemire the extent of the impairment loss (if any). 1.6 Cash and cash equivalents Cash and cash eqUiVants indudè cash in hand. deposits he at iall with banks. Other short-tem) liquid investments with original maturities of three mcxhs of less. bank overdrafts. Bank overdrafts are shown within borrowin9S In Cutnt Iiabdities. 1.9 Financial instruments The Charty has elected to appty the prOS1OnS of secb.on 11 'Basic Finanoal Instruments. an(J Section 12 'Other Finanaal Instruments Issue5, of FRS 102 to all of its financial instruments. Financial instrument5 are recognised in the charity's balan sheet when the charity become5 paty lo the o)ntractual prowsions of the instrutnènt. Financial assets and liabilities aE offset. with Ihe net amounts piesented in the financial statements. when there is a legally enforceable nght Io Set off the recogni5ed amounls an¢Y there is an intentson to settle on a net basis or to realise the ass8t and setue Ihe liabilrty simuhareousty. Basi¢ financialassets Basic financial assets, whrTh include debtors and cash and bank balan, a initially measured at transaction piice including transaction ujsls and a subsequently urried at amortised cost using the effective interest method unless arrangement constitutes 2 finanung transaction, where the transaction is measured at the present value of the future reclpts discounted at a rnarkel rate ol intest. Finanoal as5et5 dassified as receivable wthin one year are not amodised. 12-
Tra¢king ID 1923189-1240935 MUSLIM WELFARE INSTITUTE NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025 Accounting poli¢i•s Icontinuedl Basic finan¢lal liabilities Basic financial liabilitses. indLKJing cre(litw and bank loans a inihalty Tecognised at transaction pri Un$S the arrangement constitutes a finanong transathon. where the debt instrument 15 measured al the pEsenl value of tre future payments discounted at a market rate of iThtetest Finanual Iiabilitses daSSifi as payale within one year are not amortised. Debt instrLJrnents are subsequenty carrie(J at amortised (x)5t. using the effectrve interest rate method. Trade ditOrS sre obligations to pay lor goods or se5 that have been acquired in the ordinary course of operations from Suppliers. Amounis payable a classified as r¥rrent liabilities if payment is due vathin one year or less. If not. they are present as non-current Iiabilitres. Trade credrf(ors are recogni5ed initially at transaction price and sub5equentty measured at amorbsed cost using Ihe effecb.ve interest rnethl. Dere¢ognition of financialllabilities Financial liabilitses are dereccgnised when Ihe charity's contractual otyBJab"ons expire or are discharged or rnlled. 1.10 Employee benefits The cost of any unused holiday efitilemenl is recognised in the periJ In which the employee's semces are receiv8d. Terminab"on benefit5 are recogni5ed immediately as an expense when the charty i8 demonstrably cornmitted to tetrninate the employment of an empbyee or to provide temiination benefits. In¢ome from donations and legacies Unrestricted Restricted funds fund5 2025 2025 Total Unrestrictsd Restricted funds funds 2024 2024 Total 2025 2024 Donations and grfts 164.533 1.497.179 1.661.712 275.289 1.026.572 1.301,861 Income from charitable aetivities Unrestricted funds 2025 Unrestricted funds 2024 Income from charitable activitles Fees inrne 8.020 13-
Tra¢king 10 1023189-1240935 MUSLIM WELFARE INSTITUTE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025 Net movement in funds 2025 2024 The ret movement in funds is stated after Chargiwlc.ng)". Fees payable for the audit ol the charitys finanual ststements Depreciation of owned tangible ftxed assets Operating lease charge5 5,149 4.942 4.813 4.914 4.813 Expenditure on raising funds Unrestricted Unre$trfj¢led funds fund$ 2025 2024 Fundraislng and publicity Staging fundraising events 13,240 9.612 Expenditure on charitable a¢tiv(tles Charitsble a¢tivitie5 Charitable activities 2025 2024 DI¢t ¢o$t5 Alb8nia project India prqects Bangladesh projects Other donations Adoption and hardship project North Macedonia Bosnia 907.726 810,261 40,055 150,188 3,652 7,450 7.440 150.188 2.950 16.777 8.450 3.547 1.454.198 1.019,046 Share of support and governance costs Isee note 71 Support 156.311 141,332 1,610.509 1.160,378 Analysis by fund Unrestricted furKJs Restncted funds 176.624 1.433.885 152,433 1.007,945 1,610.509 1.160.378 14-
Tr¥ckhn9 10 t023ie9-124D935 MUSLIM WELFARE INSTITUTE NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025 Support costs allocated to activities 2025 2024 Staff costs Depreciation Operating lease charges Rates and water Insurance Lvjht and heat 99.360 4,914 4.813 78.347 4,942 4,813 389 2.404 3.69) E li Telephone Postage and stabonary Advertising Sundriés Bank charge5 Repairs and renalS Travel expenses Governance costs 840 2.095 300 4.995 3.106 4.387 16.123 9,956 711 6.954 10.189 3.189 8.908 8,034 11.509 141,332 Analysed befyveen.. Charitable activibes 156,311 141.332 Trustees None ol the trustees lor any persons (x)nnected them) received any remuneiab.on or benefits from the charity durirvJ the year. Employees The average monthly number of ernoYeeS during the year was.. 2025 Number 2024 Number Employées Employment Costs 202$ 2024 Wages and salaries Social secunty c4)stS 91.088 1.365 78.316 31 92 453 78.347 The were no empk)yees wlK)se annual remunwth.on was more than £60.000. Remuneration of key management personnel No remuneration of key management personnel during the year. 1s-
Tra&.Ing ID 7023189-1240$3? MUSLIM WELFARE INSTITUTE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025 10 Taxation The Charity is exetnpt from taxation on its a<beS because all its InMe is applied for charitaNe pvrposes. 11 Tanglblo fixed assets Freehold land FlxtUfÈS arbd and buildings rthings Total Cost At 1 January 2025 237.814 10.890 248.704 At 31 December 2025 237,814 10.890 248.704 Depreciation and impairnient At 1 January 2025 Oepreaalion charged in the year 4.756 4.756 9,838 158 14,594 4,914 At 31 DÈcernber 2025 9.512 19.508 Carrylng amount At 31 DeMtser 2025 228.302 894 229.196 Al 31 December 2024 233.058 1.051 234.109 12 Debtors 2025 2024 Amounts falling due within on• year. Other debtors Prepayments and accrued incorne 115,387 83.398 135.389 54.160 198.785 189,549 13 Cretlitors= amounts falling due within one year 2025 2024 Olhertaxatson and Social setsjrty Other creditor5 A¢cruals and defened inume 230 191 5.040 12.108 4,801 16-
Ttackints ID 1923189-124093? MUSLIM WELFARE INSTITUTE NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025 14 Restricted funds The restricted funds of the £hanty ccmprise the unexpended balan$ of donats.ons aThJ grants hew on twst subject to specik conditions by donors as to how they may be used. At 1 January 2025 Incomln9 Resources resource5 expended Tran$feYs At31 December 2025 Donations and ae5 4.210 1.497.179 11.433.885) 122.1651 45,339 Previous year. At1 January 2024 Incoming resoUe$ Resources expended Transfers At31 December 2024 Qonat'ons aThJ legaaes 10,429 1.026.572 {1.007,9451 {24,8461 4,210 IS Unrestricted funds The unresiricled furL(Is of the chatrty compnse the unexpended balanS of donats.ons and grants which are not subject to specific conditions by donors and grantots as to how they may be used. These include designated funds which have been set aSKle out of tJnrestricte(I funds by trusiees for speok purposes. Al 1 January 2025 Incoming resources Resources expended Trnnsf8rs At31 DÈ¢ember 2025 General lunds 455.447 172.553 1189.8641 22,155 460,301 Previous year. Al 1 January 2024 Incoming resources Resources expended Transfers At31 December 2024 General funds 317,357 275.289 1162,0451 24,846 455.447 17_
TockLn9 ID 102?189-124D938 MUSLIM WELFARE INSTITUTE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025 16 Analy$Ès of nèt assets betsn funds Unre$tri¢ted funds 2025 Resthcted funds 2025 Total 2025 At 31 December 2025.. Tangible assets Current assetsllliabilibesl 229.1 217.785 229.196 276.444 58.659 446.981 58,659 505,640 Per balance sheet Balance to allocate 460.301 13.320 45.339 113.3201 505.640 Unrestricted funds 2024 Restricted funds 2024 Totsl 2024 At 31 December 2024: Tangible assets Cllrnt asse1511liabilthe51 234.109 221.338 234.109 225.548 4.210 455,447 4.210 459.657 Purptsst of Unrestricted Funds General Fund - Unrestncted funds can be used In accordance with the charitsble obJ"ectives at the Iyisuetion ofthe trustees. This fvnd are used for vartous >Jrnin15trabve and support actMts"es. Purpose of Restrlcted Funds Lillah, Zakat and Sadqah Resthcted funds can only be vsed for particular $triCted purposes within the objecbves of the charity. Restriction are when speafied by donor or when tunds are raised for parbcular restncted purposes. Zakat and Sadqah is used for Char[tab actvity io help and support poor and needy people elvJible for Zakat aiKI Sadqah. 17 Cash yenerated from operations 2025 2024 SurphJs for the year 45.983 131.871 Adjustments for= Depreciation and impaitment of taivJible fixed assets 4.914 4.942 Movéments in working capital: Ilncreaselldecrease in debtors In¢ase in creditors 19.2371 7.307 113.994 401 Cash generated from operations 48.967 251.208 18-
TrackJ ID 1023iag-1245938 MUSLIM WELFARE INSTITUTE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025 18 Related party transactions The were no disdosable related party trans8d)n$ durir#J the year12024- [1. 19-