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￿ ap￿icab￿ to Charities preparing their a¢￿Unts in aCrA)rdan￿ wth the Finanoal RepottiThJ Standard aP￿iCab￿ in the UK and Repubtic of Irelard IFRS 1021". ObjectlV8s and a¢tivlti*s 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-u￿F4I￿. Educational Projects 100 classes were funded by the where over 1LKKJ students re￿1Ve￿ 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 re￿IVed free educaticn. United Kingdom England Hardship Assistsnce Programme- Blackburn: Assistance wa5 provM*d to a number of famil￿9 were going through diffiixAt (Ircumstan￿5. 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 BL3c*bum and the Northwe5¢wth cash grants. Asia Bangladèsh Orphanage ProJe¢t Our orphanage coristructed at the wllage of Begumpur Corn￿eted 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 ser￿￿S carried out. Food Distributyon 2000 food pa￿1$ 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 a￿3. West Bengall Bihar Students sponsorship 25 students sponsored to beojme Hafez ofthe Quraan at a thal ed￿ational 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 rep￿SentatiVes/S￿ff 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 deS￿nated 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 5￿Jn3tsjre 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 anns. was as follows". the engagement partner ensured that the eroagement team coifei*vety 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 r￿UlatIonS were comrnunicated wrthin the audrt team Twularly and the team ￿rna1ned alert to Instsn￿s of nor￿COm￿la11￿ throwhout the audit We assessed the Sus￿PtibIlity 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 Sus￿p￿bIlity to fraLMJ. their knoWI￿ge of actual, suspected and alleged fraud,. and - considering the intemal controls in place to rnth.gate risks of fraud and n0fvcornp￿anc8 wrth laws and regulations. To 8ddres$ the risk ol fraud through marhagement btas and overrwje of controts. we.. - tErfonned analytical prOc￿ureS io idenbfy any vnusual or uwpecbj relats"onship5." -tested ioumals to identify unusual transactions". - assessed whether judgements and assumptions made in determining the a￿0Untir0 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 deS￿￿ne￿ pro￿dureS which Included, but were not IIFnited to". - agre&ng fina￿JaI statement disdosures to undertying svpportirvj docurnentstion.. - reading the rninules ol meeting5 of those charged g0veman￿_ - enquiring of managemenl as io actual aryl poientsal I￿gation 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 de5C￿bed above. ALpJth"ng standards also limit the audit procedures required to identify norFcomptiants with L4ws and regulabons to enquiry of the d1￿ctOrS 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 Coun￿1 s website at.. https".11 wmv.frc.org.uklauditors￿sponslbI1thes_ 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￿ aP￿Icable 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 p￿fe￿rnts to the Ac￿unting and Repo￿ng by Charitts Statement of Re¢0mMe￿e￿ 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￿$t ertent permitted by law, we do not accept or assuffle responsibility to anyone other than the chanty and the charity's trustee5 as a b(Kly, for our audrt wort(, for Ihis report. cw for the opinions we have formed. Farook Patel BEng FCA (Senior Ststutory Auditor) For and on behalf ol XeinadinAudit Limrted. StatutoryAudrtor Chartered Accountants Ground Floor. Citygaie Longridge Roa Preston Lancashi PR2 5BQ United Kingdom Xeinadin Audit Limited Is eligib￿ for appoinbnent as auditor of the Charity by wrtue of it5 eligibility for appointment as auditor of a company under section 1212 ofthe CompanesAct 20(￿. Tra¢king 10 1023789-1240535 MUSLIM WELFARE INSTITUTE STATEMENT OF FINANCIAL ACTMTIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2025 Unrestricted Restricted funds funds 2025 2025 Total Un￿StriCted Restri¢ted funds fund¥ 2024 2024 Total 2025 2024 Notes Income from.. Donations and ￿98CleS Charitable actiwties 164.533 1.497.179 1.661.712 8.020 8.020 275.289 1.026.572 1.301.861 Tolal income 172.553 1.497.179 1.669.732 275.289 1.026.572 1.301,861 Expenrtsturè on.. Raising funds Charitsble actiwt￿s 13.240 176.624 13.240 1.433.885 1.610.509 9.612 9,612 152.433 1.1)07.945 1,160,378 Total ex￿ndItuTe 189.864 1.433.885 1.623.749 162,045 1,007.945 1.169.990 Net incomellexpenditurel 117.3111 63.294 45.983 113.244 18.627 131.871 Transfers LEtween fuNJs 22.165 122.1651 24.846 124.8461 Net movernent in funds 4.854 41.129 45.983 138.0 16.2191 131.871 Reconciliation of funds.. Fund balan￿$ 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 Fina￿￿81 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 a￿j Republic of I￿land 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 nea￿t £. 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 ac￿un￿"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 notif￿d ol the donation. unless perf0mlan￿ conditions requi￿ deferral of the arnDunt. Incotne tax recoverable in lation to donations received under GIft￿d 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 re￿ip¢ 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 impai￿ent 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 str8￿jhl ljne method 15% on reducing balan The gain or knss arising on the d￿posal ofan asset ts detemiined as V)e differen￿ t￿ts¥een the sale pro￿ed5 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 sUffe￿d 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 eqUiVa￿nts indudè cash in hand. deposits he￿ at iall with banks. Other short-tem) liquid investments with original maturities of three mcx*hs of less. bank overdrafts. Bank overdrafts are shown within borrowin9S In Cut￿nt Iiabdities. 1.9 Financial instruments The Charty has elected to appty the prO￿S1OnS 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 rec￿lpts discounted at a rnarkel rate ol inte￿st. 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 payal￿e 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 se￿￿5 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 rneth￿l. Dere¢ognition of financialllabilities Financial liabilitses are dereccgnised when Ihe charity's contractual otyBJab"ons expire or are discharged or r￿n￿lled. 1.10 Employee benefits The cost of any unused holiday efitilemenl is recognised in the peri￿J 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 in￿rne 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$t5 Alb8nia project India prqects Bangladesh projects Other donations Adoption and hardship project North Macedonia Bosnia 907.726 810,261 40,055 150,188 3,652 7,450 7.440 150.188 2.950 16.777 8.450 3.547 1.454.198 1.019,046 Share of support and governance costs Isee note 71 Support 156.311 141,332 1,610.509 1.160,378 Analysis by fund Unrestricted furKJs Restncted funds 176.624 1.433.885 152,433 1.007,945 1,610.509 1.160.378 14- Tr¥ckhn9 10 t023ie9-124D935 MUSLIM WELFARE INSTITUTE NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025 Support costs allocated to activities 2025 2024 Staff costs Depreciation Operating lease charges Rates and water Insurance Lvjht and heat 99.360 4,914 4.813 78.347 4,942 4,813 389 2.404 3.69) E li Telephone Postage and stabonary Advertising Sundriés Bank charge5 Repairs and ren￿alS Travel expenses Governance costs 840 2.095 300 4.995 3.106 4.387 16.123 9,956 711 6.954 10.189 3.189 8.908 8,034 11.509 141,332 Analysed befyveen.. Charitable activibes 156,311 141.332 Trustees None ol the trustees lor any persons (x)nnected them) received any remuneiab.on or benefits from the charity durirvJ the year. Employees The average monthly number of ern￿oYeeS during the year was.. 2025 Number 2024 Number Employées Employment Costs 202$ 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$3? MUSLIM WELFARE INSTITUTE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025 10 Taxation The Charity is exetnpt from taxation on its a<￿￿beS because all its In￿Me is applied for charitaNe pvrposes. 11 Tanglblo fixed assets Freehold land FlxtUfÈS arbd and buildings rthings Total Cost At 1 January 2025 237.814 10.890 248.704 At 31 December 2025 237,814 10.890 248.704 Depreciation and impairnient At 1 January 2025 Oepreaalion charged in the year 4.756 4.756 9,838 158 14,594 4,914 At 31 DÈcernber 2025 9.512 19.508 Carrylng amount At 31 De￿Mtser 2025 228.302 894 229.196 Al 31 December 2024 233.058 1.051 234.109 12 Debtors 2025 2024 Amounts falling due within on• year. Other debtors Prepayments and accrued incorne 115,387 83.398 135.389 54.160 198.785 189,549 13 Cretlitors= amounts falling due within one year 2025 2024 Olhertaxatson and Social setsjrty Other creditor5 A¢cruals and defened inume 230 191 5.040 12.108 4,801 16- Ttackints ID 1923189-124093? MUSLIM WELFARE INSTITUTE NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025 14 Restricted funds The restricted funds of the £hanty ccmprise the unexpended balan￿$ 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$feYs At31 December 2025 Donations and ￿a￿e5 4.210 1.497.179 11.433.885) 122.1651 45,339 Previous year. At1 January 2024 Incoming resoU￿e$ 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 balan￿S 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$Ès of nèt assets bets￿n funds Unre$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 Cllr￿nt 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 ￿$triCted purposes within the objecbves of the charity. Restriction ar￿e when speafied by donor or when tunds are raised for parbcular restncted purposes. Zakat and Sadqah is used for Char[tab￿ actvity io help and support poor and needy people elvJible for Zakat aiKI Sadqah. 17 Cash yenerated from operations 2025 2024 SurphJs for the year 45.983 131.871 Adjustments for= Depreciation and impaitment of taivJible fixed assets 4.914 4.942 Movéments in working capital: Ilncreaselldecrease in debtors In¢￿ase in creditors 19.2371 7.307 113.994 401 Cash generated from operations 48.967 251.208 18- TrackJ￿ ID 1023iag-1245938 MUSLIM WELFARE INSTITUTE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025 18 Related party transactions The￿ were no disdosable related party trans8d￿)n$ durir#J the year12024- [￿1. 19-