THE POETRY SCHOOL ICOMPANY NO. 03434849) (CHARITY NO. 1069314) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Myrus Smith Norman House 8 Burnell Road Sutton Surrey SM14BW
THE POETRY SCHOOL FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 CONTENTS Pages Chair's Report Trustees, Annual Report 10-12 Independent Auditors, Report 13 Statement of Financial Activities 14 Balance Sheet 15 Cash Flow Statement 16-23 Notes to the Financial Statements
THE POETRY SCHOOL CHAIR'S REPORT FOR THE YEAR ENDED 31 MARCH 2023 After a challenging years for arts organisations, the Poetry School lives on with the 27th successful year of high quality teaching programmes for adults to develop their poetry. Whether the student is a beginner to writing poetry or one with substantive experience embarking on our MA, The Poetry School provides the environment for students to make poetry happen. The transition post COVID continues successfully for its third year and the School has successfully operated its third year in the flexible working environment at Somerset House reducing overheads and carbon footprint in the process. Through the hard work of stsff, tutors, students and trustees, plus the support of Arts Council England {ACE} and other friends, The Poetry School continued to provide 100s of courses and workshops to a diverse, eclectic and talented student body which make the school such a vibrant place. Operating across the UK with in-person classes from Exeter to Manchester to Leeds, the School engages with its communities of creative practitioners both in- person and online in the UK and globally. In the report provided below COO Jonathan Sharples outlines the work that the school has undertaken and shows how the school has adapted and even thrived during these difficult times. The School has had an extraordinarily turbulent year having spent six months outside the ACE National Portfolio until re-entering as National Portfolio Organisation on the Transfer Programme in the autumn of 2023. This was of crucial importance to the School as doing so secured invaluable unrestricted funding for a further two years. In preparation for our transfer to the Arts Council North portfolio, the School quickly committed to establishing possible options for administrative headquarters and permanent in person teaching facilities in one or possibly more than one location in Leeds, Manchester, Newcastle and a maximum of other locations. We were therefore delighted that the year could culminate with not only SUCssfUllY opening our new, registered office in Leeds city centre, but also the exciting beginnings of trustee recruitment with strong candidates emerging bas in York and Sheffield respectively. The School has sustained its partnerships during this challenging time and the Prizes continued to run very successfully with virtual ceremonies Two particular partnerships which deserve specific recognition are the 6th year of Ginkgo Prize, the world's largest prize for ecopoetry with the Summer 2023 ceremony planned at the South Bank Centre as part of Poetry International and the sustained expansion of Poet Laureate Simon Armitage's Laurel Prize into its 4th year. Board stability is a key facet of the School's SucsS and only members Latiya Nanton and Catherine Birch - stepped down this year having served the School for 5 years. Enormous thanks to all individuals for their tireless work over the past couple of years. The School remains robust financially despite the challenging economic conditions we all face today and the organisational risk rating from ACE continues to be 'Minor', for which the School should be proud. ACE has judged the orgranisation 'Strong' in all aspects and sustained gentle expansion looks promising both in the UK and beyond in the coming year. The rich and diverse creative programme is second to none, the financial base is solid with appropriate reserves being maintsined and the future looks positive as the School enters its 27th year. Richard Forsdyke CHAIR OF THE BOARD OF TRUSTREES 30 December 2024
THE POETRY SCHOOL TRUSTEES, ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2024 The Trustees present their report for the year ended 31 March 2024. Reference and Administrative Details TRUSTEES Richard Forsdyke Helen Tay5or Latiya Nanton (appointed 05 December 2019, resigned 28 February 2024) Denise Saul Catherine Birch (appointed 01 December 2019, resigned 30 June 2024) Jonathan Teyssandier Hannah Etim-Gorst {appointed 5 September 2023} Jonathan Sharples (appointed 5 September 2023) Katherine Columbus (appointed 26 March 2024) Christopher John Brown (appointed 20 May 2024) Professor Helen Mort (appointed 5 July 2024) (Chair) REGISTERED OFFICE Ground Floor 1 City Square Park Row Leeds LS12ES COMPANY NUMBER 03434849 CHARITY NUMBER 1069314 BANKERS CAF Bank Limited Kingshill West Maling Kent ME19 4TA AUDITORS Kingston Burrowes Audit Ltd 308 Ewell Road Surbiton Surrey KT6 7AL
THE POETRY SCHOOL TRUSTEES, ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2024 Icontd... Objectives and Activities The purposes of the charity are.. To provide inspiring tuition and opportunities for PtS and poetry audiences To encourage poets and poetry to flourish To offer high quality creative tuition, direction and support that is afft)rdable and accessible to The vision which shapes our annual activities remains the teaching of poetry as an art form from beginner level to an accredited MA in partnership with Newcastle University and beyond. We also act as a talent development agency for emerging poets with a programme of professional development opportunities. In shaping our objectives for the year and planning our activities, the trustees have considered the Charity Commission's guidance on public benefit. The Poetry School relies on income from course fees as well as grants from bodies such as Arts Council England and other trusts and individuals to cover its operating costs. Affordability and accessibility to our programmes is important to us and is reflected in our pricing and bursary policies set out in detail later in this report. We endeavour to encourage more people from diverse backgrounds to take part in our activities and offer a comprehensive digital programme enhanced and supported by CAMPUS, the world's largest social network for poets. The School is now firmly embedded in Somerset HoLJse, an inspiring and impressive location, in addition it operates in person from Exeter up to Hull and has over 15 geographical locations where it deSivers tuition and events for students and the public, thus justifying its position as an educational institution with genuinely national reach. Prize ceremonies take pla outside London in location such as Leeds, Birmingham and Yorkshire. expanding on the valuable and unique relationship with the Poet Laureate, Simon Armitage_ More free workshops, scholarships and bursaries, were marketed and offered, many for marginalised and minority groups including 4 full scholarships for the MA (an increase of one more than 2022-23 worth over £9.5k each over 2 years) and creat-ve partnerships with groups which specialise in hard to reach poets We developed. A particular long-term partnership with Creative Future has resulted in the School team judging their poetry competition, picking mentors and Sally Carruthers chaired their poetry publishing panel at the Southbank Centre and acted as a keynote speaker with this critical audience. The strategies employed to achieve the charity's aims and objectives are to: Present and market a wide range of programmes, seminars and workshops to appeal to poets of all abilities and from all backgrounds. Utilise digital methods of teaching to ensure that in addition to our UK wide physical centres students from all areas can access our work. Achieve greater sustainability, resilience and impact by scaling-up the Poetry School's operations., increasing staff numbers, improving systems and diversifying the funding base. Engage in partnership activities with relevant groups and organisations to devise creative ways for individuals to further their Practi and gain experience. Increase free provision to under-represented groups and marginalised poets and remove all financial and other barriers to participation. Putting these strategies into action we have 4 main areas of activity our core informal teaching programme, MA, digital offering and CAMPUS as well as special projects, prizes and partnerships.
THE POETRY SCHOOL TRUSTEES, ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2024 Icontd... Achievements and Performance Infom7al Teaching pmgramme This is the core of the Poetry School's offer, and has existed in some form since the organisation's founding in 1997. We run a programme of activities to teach adults how to write poetry and this programme is segmented in various ways to take account of people's skills, interests, geographical and social situation, level of commitment and budget. Most face-to-face classes take place in the evening and at weekends. We have 30 week courses over a year, 10 and 5 session courses over a term. and one and day sessions at weekends. Classes are set at beginner, intermediate and advanced level, and students can learn about the technical, inspirational or professional aspects of writing poetry. They can also choose from a pedagogical spectrum from lecture to practical workshop. We offer free tsster sessions to all interested in our courses to ensure that everyone, no matter their socioeconomic background, heritage or disability and everyone can engage with our work from free ecopoetry workshops funded by the Ginkgo Prize online which have reached students globally and have been taught by tutors as far afield as LA to our MA and scholarships for marginalised poets. Our online programme has an average attendance of over 960/0 With a similar figure being returning students. Our long-term strategies and varieties of support ensure that a beginner may one day become an MA student and then teacher, many developing a relationship with the School that lasts decades. MA The Writing Poetry MA continues as our first accredited course in association with Newcastle University. We enrolled 22 students for the 2023-24, - an exceptional achievement as this represents o cohorts for the very first time, one of 13 students and the second of 9 with 34 students participating in Somerset House , the School's numbers are far in excess of the 5 students Newcastle itself has on this course at their campu5. This has led to a significant lift in revenues as can be seen in the figures. Funding was achieved for a third full scholarship for an MA student, for the third year, from a marginalised group worth £10,200over the 2 years of the course. The sucSsful marketing and expansion of the MA in a relatively short amount of time will result in 2 cohorts rather than one starting at the School in September 2024, providing another uplift in funding for 2024-25. The Grace Cook Scholarship was established last year in memory of the School's friend and financial officer, Grace Cook with a view to providing a full scholarship (£10,200 over the 2 year period) on an annual basis in her memory to a young poet of colour. Digital Offering and CAMPUS As already noted this is a key area of success and growth for the School and although the new website development was paused for this year- whilst waiting for a final decision from ACE about the NPO status, the successful outcome of the School's appeal in this area will see the new website top of the priorities for 2023-24. Special projects and partnerships Our 'Poet in the World, programming is how we address our audien development targets, focussing particularly on bringing in a younger and more diverse group of writers to the Poetry School. A series of special projects and partnerships helps us do that. In 2023-24, we concentrated on: Ginkgo Prize - the School presented the Ginkgo Prize, the world's largest ecopoetry competition for the 6th year, with a first prize of £5,000, second of £2,000 and 3rd prize of £1,000. In addition for the 2023 Prize the Areas of Outstanding Natural Beauty (AONBI donated funds towards a prize for best
THE POETRY SCHOOL TRUSTEES, ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2024 'Poem of Landscape, and created an anthology to this effect. The 2023 ceremony took place at the Poetry International Festival at the Southbank Centre. The Laurel Prize for Nature and Ecopoetry - Poet Laureate, Simon Armitage's prize created as his headline Laureateship project and to which he is giving his Laureate's stipend of £5,000 per annum for the next 10 years. Funding was secured again from a number of trusts, foundations and individuals to sustain and grow this activity- Partnerships have also been forged with Yorkshire Sculpture Park and the AONB who awarded each of the winners a £700 commission to create a poem based on their favourite AONB as well as an additional prize for best first collection. A day of celebration and the Prize rEremony was took place with an in-person and online audience as part of the BBG'S Contains Strong Language festival September 2023. at Yorkshire Sculpture Park and grows in terms of global submissions and visibility. Prizes we sponsorèd and partnered with Creative Future Award, Rebecca Swift Foundation Women Poets Prize, Aesthetica Creative Writing Prize, The UK National University Poetry Slam & Summit . Partnerships - New Poets Collective, Verve Poetry Festival (Sponsored Performance Lecture), T.S. Eliot Prize, Forward Prizes, Obsidian Foundation, Griots Well, Creative Future. Editorial Partnerships Ledbury Poetry Critics Scheme, How l Did It with Forward Prizes, and Writers. Notes with T.S. Eliot Prize. Our Creativ8 Values The Poetry School was established in 1997 by three poets around a kitchen table. From these beginnings our artistic values have grown with a core commitment to providing inspiring tuition and opportunities for poets and poetry audiences. Since our earliest days our activities have enabled poets and poetry to flourish. With estsblished teaching ¢entres throughout England as well as online courses, downloadable activities. and the world's biggest social neOrk dedicated to poetry - CAMPUS - the Poetry School is unique in its ability to reach and develop aspiring poets wherever they may be, both in the UK and internationally. We respect the diversity and views of our audiences and ensure that all comments on our artistic programme, both positive and negative are respected and heard. We aim to respond to all queries and complaints regarding our programme immediately and properly and ensure that all tutors, students and other stakeholders have their voices heard and their comments noted. The Poetry School is a proud National Portfolio Organisation of Arts Council England 2018-22. During COVID this term was extended to funding to April 2023. Student Experience The School is committed to monitoring the satisfaction of its students and all the groups with which we work. Over 80 % of our students return to take courses in the future, a statistic which indicates the success of our offer.
THE POETRY SCHOOL TRUSTEES, ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2024 Financial Review The School's critical relationship with its major funder- ACE- was placed under strain this year as in November 2022 ACE decided not to include the School as part of its NPO from April 2023. This was not performan related by a reflection of the pressures, both political and economic on the funding available and many controversial decisions have been highlighted about this process in the press. The School decided to appeal on the grounds that ACE had not followed its own procedures in the assessment of the School's application and was the only organisation in the entire portfolio to be reinstated, thus securing this funding again for the next 2 years. This resulted in considerable uncertainty, but the School remains financially more robust than ever with the MA set to exceed the funding from ACE as its largest unrestricted funder from 2023-24. During this period the School received £178,759 in charitable donations as opposed to £168,564 in 2022-23 and will rise in 2023-24 after this period of uncertainty. Revenue from charitable activities and the MA increased from £395,794 to £393,937 in 2023-24.. Reserves are rising to the desired levels of 6 months contingency and corporate partnerships which have been unable to be developed during COVID are planned to add to unrestricted funds. Our Pricing Policy The Poetry School is committed to ensuring that its work is accessible and afft)rdable to all who wish to participate, no matter their financial circumstances. Prices and fees were effectively frozen during COVID and have been raised this financial year. Tutorials in person and online cost £150 for a meeting with prepared feedback from the tutor on a submission of 200 lines of poetry. Our MA is now £9,900 for the 0-year course. Of this amount the Poetry School takes 850A 2nd Newcastle University 15°A. We offer means tested bursaries to all those who qualify, with up to 100°/o of costs funded. Our tutor fees are based on the Society of Authors Freelance Rate Reckoner and we are proud to be a London minimum wage employer. We hold regular reviews with tutors and benchmark our policies against comparators within the arts and academic sectors Investments The Poetry School currently has no investments on which to report. Reserves Policy and Going Concern Reserves are required to cover unplanned emergency expenditure and the trustees consider the ideal level of reserve would be three months, worth of overhead costs. The trustees have reviewed the circumstances of the school and consider that adequate resources continue to be available to fund the activities of the charity for the foreseeable future. The trustees are of the view that the Poetry School is a powerful going concern, a view echoed by ACE who have revised the risk rating of the Charity to 'minor' _ their lowest rating.
THE POETRY SCHOOL TRUSTEES, ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2024 Icontd... Plans for Future Periods The Poetry School Director will continuously revise its Articles of Association to bring it more closely in line with current Charity Committee advice based on the Charities Act 2006. The School continues to develop and strengthen relevant partnerships with key organisations as can be seen in our special projects and other activities, Of particular note is the establishment of the Laurel Prize and the successful development of the Ginkgo Prtze. The School continues to innovate and lead activity in the sector engaging new and harder to reach audiences whilst increasing fund raising from trusts and foundations, individuals and pursues corporate partnerships as well as providing sector leading activities through research and development. Jonathan Sharples, 30 December 2024 Structure Governance and Management Governing Document The Poetry School is a private company limited by guarantee (company number 034348491 governed by its Mernorandum and Articles of Association dated September 2016. It is a registered charity with the Charity Commission, number 1069314. Appointment of Trust8es As set out in the Articles of Association the chair of the trustees is nominated by the Board. Board members serve for 3 years with 30 % of members retiring on an annual basis with an option of re- election. A]1 members have the opportunity to nominate or support the nomination of trustees before each board meeting and when considering new trustees the Board considers the requirement for any specialist skills required for instance, in the eventuality of a capital campaign large scale project management and construction skills will be required. Organlsation The board of trustees administers the charity. The Board nomially meets quarterly and a representative from Arts Council England is also invited to attend. An Executive Director is appointed by the trustees to manage the day-to4ay operations of the charity. To facilitate effective operations a Creative Director has also been appointed by the Board to manage the programme and special projects. Related Parties and Co-operation wlth other organisations None of our trustees receive remuneration or other benefit from their work with the charity. Any connection bekneen a trustee or senior manager of the charity with other poetry organisations must be disclosed to the full board of trustees in the same way as any other contractual relationship with a related party. In the current year no such related party transactions were reported.
THE POETRY SCHOOL TRUSTEES, ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2024 Icontd... Pay Policy for Senior Staff The directors consider the board of directors, who are the Poetry School's trustees and the senior management team comprise the key management personnel of the charity in charge of directing and controlling, running and operating the charity on a day to day basis. All directors give of their time freely and no director received remuneration in the year. Details of directors, expenses and related paty transactions are disclosed in note 12 of the accounts. The pay of senior staff is reviewed annually and normally increased in accordance with average earnings. In view of the nature of the charity the directors benchmark against other arts organisations of a similar size. Risk Management The organisation has a risk management strategy which compromises- An annual review of the principal risks and uncertainties that the charity faces in line with ACE reporting guidelines The establishment of policies, systems and procedures to mitigate these risks identified Discreet risk assessments when faced with new or special projects, such as the potential for a capital campaign or other extraordinary activity. ACE gave the charity a risk rating of MINOR- it's lowest rating in its annual feedback. Trustees, responsibilities in relation to the financial statements Trustees, responsibilities ststement The trustees (who are also directors of the Pty School for the purposes of company law) are responsible for preparing the Trustees, Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the 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 these financial statements, the trustees are required to.. select suitable accounting policies and then apply them consistently., observe the methods and principles in the Charities SORP 2019 IFRS 102). make judgements and estimates that are reasonable and prudent., state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements., prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation. The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
THE POETRY SCHOOL TRUSTEES, ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2024 Icontd... In so far as the trustees are aware: there is no relevant audit information of which the charitable company's auditor is unaware., and the trustees have tsken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information. This report has been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies. By order of the board of trustees Richard Forsdyke (Chair) 30 December 2024
INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF: THE POETRY SCHOOL FOR THE YEAR ENDED 31 MARCH 2024 Opinion We have audited the financial statements of The Poetry School for the year ended 31 March 2024 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, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements- give a true and fair view of the state of the charitable company's affairs as at 31 March 2024. and of its incoming resources and application of reSoUrs, including its income and expenditure, for the year then ended", have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice,. and have been prepared in accordance with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordan with International Standards on Auditing (UK) (ISAS (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditorfs 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 conrn 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, irydividually 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 trustees, annual report, other than the financial statements and our auditor's report 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 othewise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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. 10-
INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF: THE POETRY SCHOOL FOR THE YEAR ENDED 31 MARCH 2024 Icontd.. Vve 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 trustees, report (incorporating the directors, report) for the financial year for which the financial statements are prepared is consistent with the financial statements., and the directors, report has been prepared in accordan with applicable legal requirements. Matters on which we are requlred to report by exception In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors, report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion. adequate accounting records have not been kept, or retums adequate for our audit have not been received from branches not visited by us- or the financial statements are not in agreement with the accounting records and returns-, or certain disclosures of directors, remuneration specified by law are not made. 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, exemptions in preparing the directors, report and from the requirement to prepare a strategic report. Responsibilities of trustees As explained more fully in the trustees, responsibilities statement, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements. the trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going conrn 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. Auditor's responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a material misstatement when it exists. Misststements 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 gulatiOnS. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud is detailed below.. 11
INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF: THE POETRY SCHOOL FOR THE YEAR ENDED 31 MARCH 2024 Icontd... Enquiry of management and those charged with governan about actual and potential litigation or claims and the identification of non-compliance with laws and regulations. Reviewing minutes of meetings of those charged with governance. Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations. Auditing the risk of management override of controls, including testing journal entries and other adjustments for appropriateness,. and assessing whether the judgements made in making accounting estimates are indicative of a potential bias. Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud. Professional $ptI¢l5rn in course of the audit and with audit sampling in material audit areas. Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. 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.uklauditorsresponsibilities. This description forms part of our auditoff s 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 auditor's report and for no other purpose. To the fullest extent pemiitted 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. K.C. Fisher (Senior Statutory Auditor) For and on behalf of Kingston Burrowes Audit Limited, statutory Auditors 308 Ewell Road Surbiton Surre KT6 7AL 30 December 2024 12-
THE POETRY SCHOOL STATEMENT OF FINANCIAL ACTIVITIES (including the Income and Expenditure Account) FOR THE YEAR ENDED 31 MARCH 2024 Unrestricted Funds Restricted Funds Total 2024 Total 2023 Notss INCOME AND ENDOWMENTS FROM: Donations and legacies Investment income Charitable activities 67,847 890 395,794 110.912 178,759 890 395,794 168,564 474 393,937 TOTAL INCOME 464,531 110,912 575,443 562,975 EXPENDITURE ON: Raising funds Charitable activities 728 508,924 476,393 91,412 567,805 TOTAL EXPENDITURE 476,393 91,412 567,805 509,652 NET (EXPENDITURE)IINCOME Transfer beeen funds (11,862) 19,500 7,638 53,323 NET MOVEMENT IN FUNDS (11,862) 19,500 7,638 53,323 RECONCILIATION OF FUNDS Total funds brought forward at 1 April 2023 99,472 3,250 102,722 49,399 TOTAL FUNDS CARRIED FORWARD AT 31 MARCH 2024 £87,610 £22,750 £110,360 £102,722 The company made no recognised gains and losses other than those reported in the income and expenditure account. All income and expenditure derives from continuing activities. The notes on pages 16 to 23 form part of these financial statements. 13-
THE POETRY SCHOOL (Company No. 03434849) BALANCE SHEET AS AT 31 MARCH 2024 Notes 2024 2023 FIXED ASSETS Tangible assets 1,074 426 CURRENT ASSETS Debtors Cash at bank and in hand 10 76,338 93,955 53,034 88,788 170,293 141.822 CREDITORS: Amounts falling due within one year 11 61,007 39,526 NET CURRENT ASSETS 109,286 102,296 NET ASSETS 12 £110,360 £102,722 FINANCED BY: Unrestricted funds Restricted funds 13 13 87,610 22,750 99,472 3,250 £110,360 £102,722 These financial statements have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies. The accounts were approved by the Board of Directors on 2024. Richard Forsdyke (Chair) The notes on pages 16 to 23 form part of these financial statements 14-
THE POETRY SCHOOL CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2024 2024 2023 Cash flov from operating activities: Net movement in funds per Statement of Financial Activities Adjustments for: Depreciation Decreasel(increase) in debtors {Decrease)Ilncrease in creditors 7,638 53,323 499 (23,304) 21,481 213 {51,433) {60,126) Net cash (used in) operating activities 6,314 (58,023) Cash flows from investing activitles: Purchase of tangible fixed assets (1,147) Net cash pmvided by/(used in) Investing activitles 5,167 (Decrease) in cash 5.167 (58,023) Cash and cash equivalents brought forward 88.788 146,811 Cash and cash equivalents carrled forward £93,955 £88,788 Analysis of cash and cash equivalents 2024 2023 Cash at bank and in hand £93,955 £88,788 The notes on pages 15 to 22 form part of the financial ststements. 15-
THE POETRY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 ACCOUNTING POLICIES General information and basis of accounting The Poetry School is a registered charity (No. 1069314) and private company limited by guarantee (No. 03434849), incorporated in Great Britain and registered in England and Wales. The registered Offi is given in the Reference and Administrative Details in the Trustees, Annual Report. The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with 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) issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Companies Act 2006, the Charities Act 2011 and UK Generally Accepted Accounting Practi. The financial statements are prepared on a going concern basis and under the historical cost convention. The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated. Tanglble Flxed Assets Fixed assets are shown at historical cost. Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life by the straight line method. Furniture and equipment Improvements to leasehold premises 25/0 20% Taxation The charitable company is exempt from taxation under s505 Income and Corporation Taxes Act 1988. Income recognition All income is recognised once the charity has entitlement to the income, there is sufficient certainty that receipt of the income is considered probable and the amount can be measured reliably. The Poetry School receives much of its income at the start of the academic year for courses held throughout that year. Accordingly the proportion of income for the next financial year is deferred. Expenditure recognition Expenditure is recognised once there is a legal or constructive obligation to make payment to a third party, it is probable that settlement will be required and the amount can be measured reliably. 16-
THE POETRY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 (CONTINUED) ACCOUNTING POLICIESlcontd... Expenditure is classified under the following headings.. Raising funds which comprise of those costs associated with attracting voluntary income such as grants and donations Charitable activities which comprise of those costs associated with carrying out the charity's various activities in order to meet its objectives Expenditure includes those of a direct nature which can be allocated to a specific activity. It also includes indirect costs, including governance costs that do not relate to a specrfic activity but are neSSary to support those activities. Debtors and creditors Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised expenditure. Fund accountlng The Restricted Funds are restricted income funds given to the charity for specific reasons. They are expendable by the trustees in respect of particular projects in furtherance of the objects of the charity. The Unrestricted Funds are funds expendable at the discretion of the trustees in furtheran of the objects of the charity- Leases Operating lease rentals are charged to the Statement of Financial Activities on a straight line basis over the period of the lease. Pensions The charity operates a defined contribution scheme. Contributions payable under the scheme are charged in the Statement of Financial Activities in the year to which they relate. 17-
THE POETRY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 (CONTINUED) DONATIONS AND LEGACIES Unrestricted Funds Restricted Funds Total 2024 Total 2023 Arts Council England - Transfer Programme Arts Council England - Transition Fund Arts Council.England - Feasibility Project Donations 59,581 59,581 83,412 22,500 142,993 83,412 22,500 8,266 5,000 13,266 25,571 £67,847 £110,912 £178,759 £168,564 Of the £168,564 recognised in 2023, £155,564 was unrestricted funds and £13,000 was restricted funds. INVESTMENT INCOME Unrestricted Funds Restricted Funds Total 2024 Total 2023 Bank interest re1vable £890 £Nil £890 £474 All of the £474 recognised in 2023 was unrestricted funds. INCOME FROM CHARITABLE ACTIVITIES Unrestricted Funds Restrictsd Funds Total 2024 Total 2023 Courses (inc. online), Tutorials, Seminars & Workshops New Artistic Programmes and Special Projects Higher Education Programme Other income 233, 086 233,086 294,597 10,894 149,014 2,800 10,894 149,014 2,800 1,071 90,269 8,000 £395,794 £Nil £395,794 £393,937 All of the £393,937 recognised in 2023 was unrestricted funds. 18-
THE POETRY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 (CONTINUED) EXPENDITURE ON CHARITABLE ACTIVITIES Unrestricted Funds Restricted Funds Total 2024 Totsl 2023 Salaries and staff costs Tutor fees Rent and venue hire Premises cost Marketing Course Expenses Higher Education Programme New Artistic Programmes Bursary Insuran Communications Website costs Legal and professional Refunds Repairs and renewals Ilnc. IT) Stationery and Offi supplies Telephone and Internet Bank and Paypal charges Sundry expenses Depreciation Travel 171,062 91,233 29,092 1,145 3,307 21,123 65,870 25,334 7,440 2,560 190 5,609 18,333 29,853 40,704 2,475 200,915 131.937 31,567 1.145 3,307 21,123 70,286 30,334 7,440 3.425 190 7,978 21,840 214,139 105,189 19,757 346 4,051 13,993 47,411 46,122 959 3,483 1,382 8,775 12,965 4,416 5,000 865 2,369 3,507 3,501 4,990 1,624 4,519 571 499 8,407 3,501 4,990 1,624 5,164 571 499 9,328 3,028 6,786 2,981 4,206 889 213 645 921 DIRECT PROJECT COSTS 465,752 91,412 557,164 496,675 SUPPORT COSTS Salaries and staff costs Governance costs.. Auditors remuneration Directors, expenses Trustees, expenses 6,450 6,450 8,422 2,010 2,181 2,010 2,181 2,010 1,817 £476,393 £91,412 £567,805 £508,924 Of the £508,924 expended in 2023, £491,924 was charged to unrestricted funds and £17,000 to restricted funds. 19-
THE POETRY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 (CONTINUED) NET INCOMEI(EXPENDITURE) FOR THE YEAR 2024 2023 This is stated after charging.. Operating lease rentals Auditors, remuneration.. Audit services Non-audit services- accountancy ServIS Depreciation £18,179 £17,438 £1,700 £310 £499 £1,700 £310 £213 STAFFING 2024 2023 Salaries Social Security cost Pension costs 155,636 10,309 3,790 169,499 12,534 4,584 169,735 37,630 186,617 35,944 Consultants and other staff costs £207,365 £222,561 No employee received employee benefits (excluding employee pension costs) of more than £60,000. Totsl employee benefits received by key management amounted to £30,684 (2023.. £61,693). 2024 No. 2023 No. Number of Staff Director Programme & Marketing Administration & Finance TRUSTEE EXPENSES No Trustees <2023.. No} were reimbursed for out of pocket subsistence expenses. These amounted to £Nil for the year (2023.. £Nil). -20-
THE POETRY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 (CONTINUED) TANGIBLE FIXED ASSETS Improvements to Leasehold Premises Furniture & Equipment Total Cost At 1 April 2023 Additions Disposals 7,929 21,606 1,147 29,535 1,147 {7,929) (7,929) At 31 March 2024 22,753 22,753 DepCiatIon At 1 April 2023 Charge for the year Eliminated on disposal 7,929 21,180 499 29,109 49g (7,929) {7,929) At 31 March 2024 21,679 21,679 Net Book Values At 31 March 2024 £Nil £1,074 £1,074 At 31 March 2023 £Nil £426 £426 10. DEBTORS 2024 2023 Accrued income Other debtors Prepayments 18,226 57,329 783 52,149 885 £76,338 £53,034 11. CREDITORS: Amounts falling due wlthin one year 2024 2023 Other creditors including taxation and social security Accruals Deferred income 58,942 2,040 25 36,543 1,980 1,003 £61,007 £39,526 All of the deferred income brought forward was released during the year. 21
THE POETRY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 (CONTINUED) 12. ANALYSIS OF NET ASSETS BEWEEN FUNDS Unrestricted Funds Restricted Funds Total 2024 Total 2023 Fund Balances at 31 March 2024 are represented by Tangible fixed assets Current assets Current liabilities 1,074 147,543 (61,007) 1,074 170,293 (61,007) 426 141,822 (39,526} 22,750 £87,610 £22,750 £110,360 £102.722 13. MOVEMENT IN FUNDS At 1 April 2023 At 31 March 2024 Income Expenditure Transfers Restricted Funds= Laurel & Ginkgo prizes Grace Cook Scholarship Apples & Snakes AGE Transition ACE Feasibility 5,000 5,000 3,000 3,000 250 250 83,412 22,500 83,412 22,500 3,250 110,912 91,412 22,75Q Unrestricted Funds.. General 99,472 464,531 476,393 87,610 Total Funds £102,722 £575.443 £567,805 £Nil £110,360 Comparative information for previous year.. At 1 April 2022 At 31 March 2023 Income Expenditure Transfers Restricted Funds-. Laurel & Ginkgo prizes Gra Cook Scholarship Apples & Snakes 10,000 3,000 17,000 7,000 3,000 250 250 250 13,000 17,000 7,000 3,250 Unrestricted Funds.. General 49,149 549,975 492,652 (7,0001 99,472 Total Funds £49,399 £562,975 £509,652 £102,722 -22-
THE POETRY SCHOOL NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 (CONTINUED) 13. MOVEMENT IN FUNDS continued Funds Transition Programme a grant of £83,412 was received to provide support as we were unsuccessful in our application to the Arts Council's 2023-26 Investment Programme. Feasibility Project- a grant of £22,500 was received to visit and establish possible options for administrative headquarters and permanent in person teaching facilities in one or possibly more than one location in Leeds, Manchester, Newcastle and a maximum of two other locations. Apples & Snakes £250 remains for partnership working beeen the organisations following a sucsSJ1 jointly programmed course in 2014. Grace Cook Scholarship - donations were received in memory of our late colleague Grace Cook. The trustees have agreed to use these ndS to establish a scholarship for a BIPOC poet. Laurel and Ginkgo prizes - donations of £5,000 were received towards the cost of the prizes. 14. OPERATING LEASE COMMITMENTS Total future minimum lease payments under non-cancellable operating leases are as follows: 2024 2023 Amounts due within.. One year One to five years 566 £Nil £566 IS. CONTINGENT ASSETS Total grant funding awarded as at 31 March 2024 but not yet 1Ved and recognised as income due to the recognition criteria not being met amounts to £142,993. -23-