Company number: 3776969 Charity Number: 10776662
Grizedale Arts
Trustee’s annual report and financial statements For the year ended 31 March 2021
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Grizedale Arts Reference and administration information
Company number 3776969 Charity number 10776662
Registered office and operational address The Coniston Institute, 15 Yewdale Road, Coniston LA21 8DU
Trustees
Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows:
Harriet Warden Chair Alistair Hudson Treasurer Cllr Robin Ashcroft John Atkinson appointed 22/10/2020 Angus Farquhar appointed 22/10/2020 Jessica Lack Prof Charles Gere resigned 22/10/2020 Richard Greer resigned 22/10/2020 Sophie Henderson resigned 22/10/2020
No trustees held title to property belonging to the charity during the reporting period or at the date of approval.
Key management personnel
Adam Sutherland Executive Director and Company Secretary
Bankers
Barclays Bank Market Place Ambleside LA22 9BY
Solicitors
BSG Solicitors 3 & 4 Aalborg Place Lancaster LA1 1BJ
Independent Examiner
Patrick Morrello ACA Third Sector Accountancy Limited Holyoake House Hanover Street Manchester M60 0AS
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Grizedale Arts Trustees’ annual report for the year ended 31 March 2021
The trustees present their report together with the financial statements of the charity for the year ended 31 March 2021 which are also prepared to meet the requirements for a directors' report and accounts for Companies Act purposes.
The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, and 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).
Structure, governance and management
Governing document
Grizedale Arts is a company limited by guarantee and governed by its Memorandum and Articles of Association dated 21 April 1999. It is also a registered charity. The company is membership based with each member's liability being limited to £1 in the event of it being wound up. The membership is currently limited to 30.
Appointment of trustees
The directors of the company are also charity trustees for the purposes of charity law and under the company's Articles are known as members of the Council. Under the requirements of the Memorandum and Articles of Association the members of the Council are elected to serve for a period of three years after which they can be reelected once at the next Annual General Meeting.
Candidates for vacancies on the Council are sought by the Chairman from recognised and experienced practitioners in the areas indicated by the most recent skills audit. Candidates are invited to Grizedale to see the operation and to meet other Trustees before being put forward for approval at the next AGM.
Induction and training of trustees
Newly appointed Trustees are provided with copies of the Grizedale Management Handbook/Policies and Methodologies, the company's Memorandum and Articles of Association, The Charity Commission's 'Duties of a Charitable Trustee' plus any other documentation considered necessary. In addition, all new Trustees attend for a minimum of two days induction.
Organisation
The company is organised and run by a Council comprising a maximum of eight councillors elected from the membership at large, together with four councillors nominated by specified funding bodies. Officers are drawn from the elected councillors. The current numbers are within the limits permitted by the governing document.
Related Parties
The charity has a very close relationship with the Arts Council England North West and the South Lakeland District Council both of which are entitled to nominate trustees to the Council to enable the company to carry out its charitable objectives. A summary of the grants received from these bodies are recorded in note 3 to the accounts.
Risk Management
A formal risk assessment analysis is reviewed by the Council on a regular basis with a number of management actions having been implemented. The last update and formal review was carried out in January 2021.
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Grizedale Arts
Trustees’ annual report for the year ended 31 March 2021
Objectives and activities for public benefit
The objectives of the Company, as set out in its governing document, are:
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a) To conserve and enhance the natural beauty and amenity of the countryside for the benefit of the public and to provide and assist in the provision of facilities for recreation or other leisure time activities in the interests of social welfare and with a view to improving the conditions of life.
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b) To advance the education of the public in the appreciation of the arts by providing and assisting in the provision of a wide range of the performing and visual arts and, in particular, of art in the environment.
The company operates a policy of encouraging participation in the visual and performing arts with special reference to the context of the rural community. That policy continues to concentrate on the Visual Arts and the expansion of the Company's educational activities. The Company also operates an equal opportunities policy.
The above objectives and policies are effectively the same as those of the Grizedale Society whose operations were transferred to Grizedale Arts on 1 December 2001.
The Trustees confirm that they have referred to the general guidance on public benefit issued by the Charity Commission when reviewing and planning the charity's aims and objectives.
Achievements and performance
2020/21 has been a challenging year. As the Covid19 pandemic took hold, the needed lockdowns and travel restrictions had a significant impact on our operations with all planned programme needing to be restructured or postponed. As a small and nimble organisation, we were able to quickly repurpose our resources to support our local and global communities through this difficult time.
At a local level we repurposed our kitchen spaces and volunteering capacity to provide meals for local selfisolating and vulnerable people. On a national and international level, we utilised digital platforms to increase our participation in remote dialogues, maintaining consistent contact with the marginalised and underrepresented communities we continue to work with in a time of need.
Early into lockdown, we made the decision not to furlough any of our staff. We increased our freelance staffs hours when they had other work cancelled. We did not apply for any Arts Council England Covid Emergency Support Grants, nor those from any other grant giving bodies, and instead used our charity reserves to fund an ambitious digital programme of remote research residencies, online visiting days, and commission programme. This provided much needed support for young emerging artists and creative practitioners at a time when most had work cancelled.
Our biggest achievement of the year was the acquisition of The Farmer’s Arms. During lockdown, we undertook an extensive viability study which helped us develop an understanding of what the community wanted and needed from the future of this historic and muchloved building, and what would be a viable business strategy for the property’s future. We developed a robust business plan and lead a successful fundraising campaign, which, in just 28 days, raised over £600,000 towards the property’s purchase and initial renovation programme. This included over £300,000 pledged by our local, national, and international communities in Loan Stock investment and a £300,000 social investment loan from the Architectural Heritage Fund. In early December we provided proof of funds to the estate agent and proceeded with the purchase at £425,000 + VAT. We took possession on 31 March 2021 at a reduced price of £420,000 + VAT.
Programme:
As lockdown and social distancing restrictions halted all inperson programming, we quickly reimagined our planned programme for digital platforms.
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Grizedale Arts Trustees’ annual report for the year ended 31 March 2021
With all our regular residential volunteer programmes postponed for the foreseeable future, to continue bringing diverse voices into the development of our programmes, we commissioned 4 podcast programmes by artists Samra Mayanja, Ella Deacy, Juneau Projects and critics The White Pube. Each podcast discussed a topic related to The Farmer's Arms project, examining how we might rework some of the foundations of what we know as culture when building a new institution for the future. These podcasts had over 1,500 listens between them.
At the beginning of lockdown, we commissioned two bodies of research through a virtual residency structure. The first residency, Useful Craft , drew from the idea of useful art with duo Kimberley Chandler and Stephen Knott (AKA Tandem) reaching out beyond the UK experience to examine how this has transpired throughout history and across the globe. The second, Outdoor Education: History and Future , mapped the history of learning from nature, with artist Elizabeth Hudson’s research starting from Lawson Park and tracing connections across the globe. Each of the residencies produced digital content to communicate their findings to our wider audience during the lockdown.
To maintain a connection with our audiences we hosted several Lawson Park and Valley Virtual Visiting Days over our Instagram Live channel. Receiving over 19,819 views and interactions from a global audience, each programmed a series of short videos presented by our staff with artists from our national and international networks and local community. Additional longer form video programmes hosted through our Youtube channel received over 1,000 views.
In September 2020 our first Crake Valley residential Architecture School designed and built an outdoor classroom with Paloma Gormley and Summer Islam of Material Cultures and Takeshi Hayatsu of Hayatsu Architects. Hosted under a covidsafe risk assessment, the school was attended by 10 architecture students and recent graduates who gained hands on experience in traditional building techniques (joinery and stone walling) to construct a covidsafe resource for the Crake Valley community. Around the classroom, a new Teaching Garden was developed to meet local demand for education in foodgrowing, with a school programme launching in early 2021 after lockdown restrictions allowed in person teaching outdoors.
In November, following the development of a comprehensive 3year plan and 5year financial forecast, a fundraising campaign was launched to secure the needed capital to purchase The Farmer’s Arms. Connecting with potential investors, donors and those interested in learning more about the project and its ambitions, we hosted several Zoom meetings which had 240 attendees including representatives from the Parish, District and County Councils and other stakeholders including South Lakes District Council and the Architectural Heritage Fund.
A historic gateway into both the Crake Valley and the Lake District National Park, alongside our community, we will reimage and redevelop this muchloved community heritage asset into a creative and cultural hub. This project will be one of our main focuses over the next financial year.
In late 2020 we were able to host several reduced capacity residential volunteer programmes, with just two people joining us at a time. These were successful but the programme sadly had to be postponed once again as lockdown and travel restrictions were reintroduced at the beginning of 2021.
While the purchase of The Farmer’s Arms was still in progress, in early 2021 we hosted a series of online workshops over Zoom to give a flavour of the activity people could expect to see in the space once open. With workshops including cookery, baking, gardening and craft, with most selling out in a very short space of time, attended by 89 people from all over the globe.
International Programme:
Although international travel restrictions saw a full postponement of all programmes and schools planned as part of the Dream of Kiwanosato project in Japan, to maintain momentum, Project Manager Motoko Fujita kept in touch with the villagers through letters and email. A series of blogs and online talks from this correspondence formed part of our digital programme. Our team and associate artists also participated in talks programmes in Japan through Zoom, and Motoko
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Grizedale Arts
Trustees’ annual report for the year ended 31 March 2021
worked remotely with students from a university in Shimonoseki on a research project that connects similar village projects happening in and around Japan.
The Confederacy of Villages European Network’s Creative Europe funding was signed off and an extension to the project granted to account for delays caused by international travel restrictions. Project planning continued digitally over Zoom with partner rural arts organisations in Italy, Spain, Sweden and Armenia.
Although a very challenging year, our ability to adjust our programming and be responsive to our communities needs in constantly changing circumstances demonstrates our resilience as an organisation. The challenges of the last year have helped us develop new ways of working that we will be taking forward to help further our audience reach and the ongoing impact of our work.
Financial review
The total funds of the charity at the year end were £1,285,740 (2020: £1,221,520) consisting of £1,256,390 unrestricted funds and £29,350 (2020: £8,259) of restricted funds.
Having due regard for the assets needed to maintain and develop the charity’s activities, and to show a more realistic picture of its assets and free reserves, the trustees decided to show the charity’s unrestricted funds of £1,256,390 as follows:
General fund £174,717 these are the free reserves the charity uses to fund activities in line with its charitable objectives, and to carry out regular repairs to property and facilities needed for its operation.
Designated property assets fund £881,673 – the properties and other fixed assets are essential for the current and future operations of the charity, and so should be excluded from free reserves/the general fund. Although the net book value of all assets shows as £1,482, 908, the trustees must take into consideration the social investment loan and loan stock related to the property assets, and so shows the assets fund net of the loans.
Designated refurbishments fund £200,000 – these funds are “set aside” to fund the refurbishment costs for the recently purchased Farmer’s Arms. It is essentially the balance between the cost of the property and the loans raised. The intention is to have funds available as and when needed for this project, and to be able to refurbish the property as soon as possible.
Unrestricted Funds
The total unrestricted income for the year was £301,709 (2020: £241.479), representing an increase of £60,230 in income mainly due to Covid19 related grants received from South Lakeland District Council. Unrestricted expenditure for the year was £258,580. (2020: £293,968) generating a surplus of £43,129 for the year (2020: deficit of £52,489).
Restricted Funds
The total restricted income for the year was £36,373 (2020: £29,794). Restricted expenditure for the year was £15,282 (2020: £35,841) generating a surplus of £21,0914 for the year (2020: deficit of £6,407).
Investment powers and policy
The Charity is empowered under its governing document to invest monies not required for the immediate use of the Charity in any security permitted by law and has specific powers to deal in and hold property whether purchased or leased.
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Grizedale Arts Trustees’ annual report for the year ended 31 March 2021
Policy on reserves
The Charity maintains sufficient reserves to carry out repairs and to fund activities in line with its charitable objectives.
The trustees intend to maintain reserves representing three months normal expenditure to meet unexpected costs. This currently stands at £78,000.
Plans for the future
The Charity plans to continue with its artistic programmes during the year ended 31 March 2022 in collaboration with interested parties.
Statement of Trustees' responsibilities
The charity trustees (who are also directors of Grizedale Arts for the purposes of company law) are responsible for preparing a trustees' annual report and 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 year which give a true and fair view of the state of the affairs of the charitable company and of its incoming resources and application of resources, including income and expenditure, of the charitable company for that year. In preparing the financial statements, the trustees are required to:
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Select suitable accounting policies and then apply these consistently;
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Observe the methods and principles in the Charities SORP;
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Make judgements and estimates that are reasonable and prudent;
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State whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
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Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by the Trustees on 29 October 2021 and signed on their behalf by:
John Atkinson Trustee
Alistair Hudson Treasurer
22 / 12 / 2021 Date signed:
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Grizedale Arts
Independent examiner’s report to the trustees
For the year ended 31 March 2021
I report on the accounts of the charity for the year ended 31 March 2021 set out on pages 8 to 23.
Respective responsibilities of trustees and examiner
The charity's trustees are responsible for the preparation of the accounts. The charity’s trustees consider that an audit is not required for this year under section 144 of the Charities Act 2011 (“the Charities Act”) and that an independent examination is needed.
It is my responsibility to:
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examine the accounts under section 145 of the Charities Act,
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to follow the procedures laid down in the general Directions given by the Charity Commission (under section 145(5)(b) of the Charities Act, and
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to state whether particular matters have come to my attention.
Basis of independent examiner’s statement
My examination was carried out in accordance with general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a ‘true and fair’ view and the report is limited to those matters set out in the statement below.
Independent examiner's statement
In connection with my examination, no matter has come to my attention:
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which gives me reasonable cause to believe that, in any material respect, the requirements:
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to keep accounting records in accordance with section 130 of the Charities Act; and
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to prepare accounts which accord with the accounting records and comply with the accounting requirements of the Charities Act
have not been met; or
- to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
Patrick Morrello ACA Third Sector Accountancy Limited Holyoake House Hanover Street Manchester M60 0AS
23 / 12 / 2021 Date:
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Grizedale Arts
Statement of Financial Activities
(including Income and Expenditure account)
for the year ended 31 March 2021
| Unrestricted funds Note £ Income from: Donations and legacies 3 232,828 Charitable activities 4 53,991 5 14,728 Investments 6 162 Total income 301,709 Expenditure on: Raising funds 7 18,971 Charitable activities 8 239,609 Total expenditure 258,580 9 43,129 Transfer between funds - Net movement in funds for the year 43,129 Reconciliation of funds Total funds brought forward 1,213,261 Total funds carried forward 1,256,390 Net income/(expenditure) for the year Other trading activities |
Restricted funds £ 29,300 7,073 - - 36,373 - 15,282 15,282 21,091 - 21,091 8,259 29,350 |
Total funds 2021 £ 262,128 61,064 14,728 162 338,082 18,971 254,891 273,862 64,220 - 64,220 1,221,520 1,285,740 |
Unrestricted funds £ 209,596 31,292 - 591 241,479 - 293,968 293,968 (52,489) (10,804) (63,293) 1,276,554 1,213,261 |
Restricted funds £ 13,990 15,804 - - 29,794 - 35,841 35,841 (6,047) 10,804 4,757 3,502 8,259 |
Total funds 2020 £ 223,586 47,096 - 591 |
|---|---|---|---|---|---|
| 271,273 | |||||
| - 329,809 |
|||||
| 329,809 | |||||
| (58,536) - |
|||||
| (58,536) 1,280,056 |
|||||
| 1,221,520 |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
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Grizedale Arts
Company number 3776969
Balance sheet as at 31 March 2021
| Note £ £ Fixed assets Tangible assets 14 1,482,908 Total fixed assets 1,482,908 Current assets Debtors 15 88,733 Cash at bank and in hand 347,989 Total current assets 436,722 Liabilities Creditors: amounts falling due in less than one year 16 (32,655) Net current assets 404,067 Total assets less current liabilities 1,886,975 Creditors: amounts falling due after more than one year 17 (601,235) Net assets 1,285,740 The funds of the charity: Restricted income funds 18 29,350 Unrestricted income funds 19 1,256,390 Total charity funds 1,285,740 2021 |
£ £ 1,052,533 1,052,533 3,898 177,621 181,519 (12,532) 168,987 1,221,520 - 1,221,520 8,259 1,213,261 1,221,520 2020 |
£ £ 1,052,533 1,052,533 3,898 177,621 181,519 (12,532) 168,987 1,221,520 - 1,221,520 8,259 1,213,261 1,221,520 2020 |
|---|---|---|
| 1,052,533 168,987 |
||
| 1,221,520 - |
||
| 1,221,520 | ||
| 8,259 1,213,261 |
||
| 1,221,520 |
For the year in question, the company was entitled to exemption from an audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
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The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476 of the Companies Act 2006,
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The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These accounts are prepared in accordance with the special provisions of part 15 of the Companies Act 2006 relating to small companies and constitute the annual accounts required by the Companies Act 2006 and are for circulation to members of the company.
The notes on pages 10 to 23 form part of these accounts.
Approved by the trustees on and signed on their behalf by:22 / 12 / 2021
John Atkinson (Trustee)
Alistair Hudson (Treasurer)
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Grizedale Arts
Notes to the accounts for the year ended 31 March 2021
1 Accounting policies
The principal accounting policies adopted, judgments and key sources of estimation uncertainty in the preparation of the financial statements are as follows:
a Basis of preparation
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 - (Charities SORP (FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Grizedale Arts meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note.
The financial statements are presented in sterling which is the functional currency of the charity and rounded to the nearest £ sterling.
b Judgments and estimates
The trustees have made no key judgments which have a significant effect on the accounts.
The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the next reporting period.
c Preparation of the accounts on a going concern basis
The trustees consider that there are no material uncertainties about the charitable company's ability to continue as a going concern.
d Income
Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably.
Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.
Income received in advance of a provision of a specified service is deferred until the criteria for income recognition are met.
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Grizedale Arts
Notes to the accounts for the year ended 31 March 2021 (continued)
e Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the Bank.
f Fund accounting
Unrestricted funds are available to spend on activities that further any of the purposes of charity.
Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose.
Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity’s work or for specific projects being undertaken by the charity.
g Expenditure and irrecoverable VAT
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:
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Costs of raising funds comprise the costs of Loan stock arrangement fees and fundraising activities.
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Expenditure on charitable activities includes the costs of operations and projects undertaken to further the purposes of the charity.
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Other expenditure represents those items not falling into any other heading.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
h Tangible fixed assets
Individual fixed assets costing £200 or more are capitalised at cost and are depreciated over their estimated useful economic lives on a straight line basis as follows:
| Freehold building and land | 0% |
|---|---|
| Leasehold property | over the remaining lease term |
| Fittings and equipment | 10% |
| Motor vehicles | 25% |
| Works of art | 0% - 20% |
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Grizedale Arts
Notes to the accounts for the year ended 31 March 2021 (continued)
Tangible fixed assets (continued)
The long leasehold building known as Lawson Park Farmhouse was previously being depreciated over a range of years varying from 42 years to 20 years. During the year the accounting estimate was revised so that this building is now being depreciated over the life of the lease which is 42 years. This meant that in the period there was negative depreciation charge of £11,035 on this building, whereas without the change of estimate the depreciation charge would have been £39,415.
i Debtors
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
j Cash at bank and in hand
Cash at bank and cash in hand includes cash and funds held bank current and deposit accounts.
k Creditors and provisions
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
l Financial instruments
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
m Pensions
Employees of the charity are entitled to join a defined contribution ‘money purchase’ scheme. The charity’s contribution is restricted to the contributions disclosed in note 9. There were no outstanding contributions at the year end.
2 Legal status of the charity
The charity is a company limited by guarantee registered in England and Wales and has no share capital. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The registered office address is disclosed on page 1.
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Grizedale Arts
Notes to the accounts for the year ended 31 March 2021 (continued)
3 Income from donations and legacies
| Donations Arts Council England North West Cumbria County Council Craven District Council South Lakeland District Council Architectural Heritage Fund Other grants Total |
Unrestricted £ 1,494 201,334 10,000 - 20,000 - - 232,828 |
Restricted £ 21,200 - - - - 8,100 - 29,300 |
Total 2021 £ 22,694 201,334 10,000 - 20,000 8,100 - 262,128 |
Unrestricted £ - 197,696 10,000 - - - 1,900 209,596 |
Restricted £ - - - 10,000 - - 3,990 13,990 |
Total 2020 £ - 197,696 10,000 10,000 - - 5,890 |
|---|---|---|---|---|---|---|
| 223,586 |
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Grizedale Arts
Notes to the accounts for the year ended 31 March 2021 (continued)
4 Income from charitable activities
| Grants: EU Co-operation project South Lakeland District Council Charitable trading: Lawson Park accommodation Architecture School Other Total 5 Income from other trading activities Lawson Park holiday lets The Coniston Institite and Ruskin Museum |
Unrestricted £ - 20,636 180 - 6,000 27,175 53,991 Unrestricted £ 14,728 14,728 |
Restricted £ 7,073 - - - - - 7,073 Restricted £ - - |
Total 2021 £ 7,073 20,636 180 - 6,000 27,175 61,064 Total 2021 £ 14,728 14,728 |
Unrestricted £ - - 11,316 8,370 - 11,606 31,292 Unrestricted £ - - |
Restricted £ - - 350 - - 15,454 15,804 Restricted £ - - |
Total 2020 £ - - 11,666 8,370 - 27,060 |
|---|---|---|---|---|---|---|
| 47,096 | ||||||
| Total 2020 £ - |
||||||
| - |
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Grizedale Arts
Notes to the accounts for the year ended 31 March 2021 (continued)
6 Investment income
| Income from bank deposits Cost of raising funds Staff costs Fundraiser's fees Loan stock arrangement fee Loan stock interest paid |
Unrestricted £ 162 162 Unrestricted £ 15,461 1,790 552 1,168 18,971 |
Restricted £ - - Restricted £ - - - - - |
Total 2021 £ 162 162 2021 £ 15,461 1,790 552 1,168 18,971 |
Unrestricted £ 591 591 Unrestricted £ - - - - - |
Restricted £ - - Restricted £ - - - - - |
Total 2020 £ 591 |
|---|---|---|---|---|---|---|
| 591 | ||||||
| 2020 £ - - - - |
||||||
| - |
7 Cost of raising funds
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Grizedale Arts
Notes to the accounts for the year ended 31 March 2021 (continued)
8 Analysis of expenditure on charitable activities
| Staff costs Note 9 Grants and donations Artists fees, materials and expenses Venue and equipment hire Project and programme costs Professional fees Volunteer expenses Intern fees and expenses Marketing Catering and food supplies Travel and subsistence Rent and rates Utilities (heat, light and water) Repairs, maintenance and cleaning Land and garden maintenance IT support and website costs Telephone and comms Insurance Motor expenses Postage and stationery Sundry expenses Licenses and subscriptions Bank charges Accountancy fees Depreciation Loss on lease surrender Restricted expenditure Unrestricted expenditure |
Total 2021 £ 87,235 - 17,860 762 23,703 10,003 502 - 3,268 1,448 284 1,811 12,157 31,363 27,454 8,252 1,087 5,298 1,916 2,292 1,920 479 569 8,222 (11,035) 18,041 254,891 15,282 239,609 254,891 |
Total 2020 £ 81,012 1,322 52,924 7,892 - 28,782 2,509 7,847 - 3,631 16,760 5,802 (5,148) 28,265 29,537 7,535 4,142 5,159 3,350 1,538 1,448 155 - 3,780 41,567 - |
|---|---|---|
| 329,809 | ||
| 35,841 293,968 |
||
| 329,809 |
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Grizedale Arts
Notes to the accounts for the year ended 31 March 2021 (continued)
9 Net income/(expenditure) for the year
| This is stated after charging/(crediting): | 2021 | 2020 |
|---|---|---|
| £ | £ | |
| Depreciation | (11,035) | 41,567 |
| Interest payable | 1,168 | - |
| Operating lease rentals: | ||
| Property | 1,750 | 1,750 |
| Accountancy fees (accounts preparation) | 1,100 | - |
| Independent examiner's fee | 300 | 600 |
10 Staff costs
Staff costs during the year were as follows:
| ff costs during the year were as follows: | ||
|---|---|---|
| Wages and salaries Social security costs Pension costs |
2021 £ 95,913 4,480 2,303 102,696 |
2020 £ 74,753 4,398 1,861 |
| 81,012 |
No employee has employee benefits in excess of £60,000 (2020: Nil).
The average number of full- and part-time staff employed during the period was 4 (2020: 4).
The key management personnel of the charity comprise the trustees, the Executive Director and the Valley Project Manager. The total employee benefits of the key management personnel of the charity were £83,394 (2020: £54,109). The change in benefits is due to one of the managers who started in November 2019, now having worked the full year.
11 Trustee remuneration and expenses, and related party transactions
Neither the management committee nor any persons connected with them received any remuneration or reimbursed expenses during the year (2020: Nil).
There are no donations from related parties which are outside the normal course of business and no restricted donations from related parties.
No trustee or other person related to the charity had any personal interest in any contract or transaction entered into by the charity, including guarantees, during the year (2020: nil).
South Lakeland District Council is considered a related party as major funding provider with the right to appoint a trustee. The trustee representing the South Lakeland District Council is Cllr Robin Ashcroft.
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Grizedale Arts
Notes to the accounts for the year ended 31 March 2021 (continued)
12 Government grants
The government grants recognised in the accounts were as follows:
| Arts Council England - North West Cumbria County Council Craven District Council South Lakeland District Council EU Co-operation project |
2021 £ 201,334 10,000 - 40,636 7,073 259,043 |
2020 £ 197,696 10,000 10,000 - - |
|---|---|---|
| 217,696 |
There were no unfulfilled conditions and contingencies attaching to the grants.
13 Corporation tax
The charity is exempt from tax on income and gains falling within Chapter 3 of Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. No tax charges have arisen in the charity.
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Grizedale Arts
Notes to the accounts for the year ended 31 March 2021 (continued)
14 Fixed assets: tangible assets
| Cost Additions Disposals Depreciation Charge for the year Disposals Net book value At 1 April 2020 At 31 March 2021 At 31 March 2021 At 31 March 2020 At 1 April 2020 At 31 March 2021 |
Freehold land and buildings £ - 435,941 - 435,941 - - - - 435,941 - |
Leasehold improvements £ 1,470,347 240 (23,080) 1,447,507 439,219 (11,035) (16,183) 412,001 1,035,506 1,031,128 |
Fittings and equipment £ 59,017 1,200 (35,572) 24,645 47,873 - (24,428) 23,445 1,200 11,144 |
Works of art £ 52,633 - - 52,633 42,372 - - 42,372 10,261 10,261 |
£ 1,581,997 437,381 (58,652) Total |
|---|---|---|---|---|---|
| 1,960,726 | |||||
| 529,464 (11,035) (40,611) |
|||||
| 477,818 | |||||
| 1,482,908 | |||||
| 1,052,533 |
Secured assets
Leasehold improvements - Lawson Park
There is a legal charge over the charity's leasehold land and buildings.
Freehold land and buildings - Farmer's Arms Hotel
The loan provided by The Archtectural Heritage Fund is secured by way of legal charge over the freehold property known as the Farmer's Arms Hotel, Ulverston, including fixtures and fittings, and plant and machinery.
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Grizedale Arts
Notes to the accounts for the year ended 31 March 2021 (continued)
15 Debtors
| Other debtors Prepayments and accrued income Creditors: amounts falling due within one year Other creditors and accruals Taxation and social security costs |
2021 £ 82,928 5,805 88,733 2021 £ 29,737 2,918 32,655 |
2020 £ 3,898 - |
|---|---|---|
| 3,898 | ||
| 2020 £ 12,532 - |
||
| 12,532 |
16 Creditors: amounts falling due within one year
17 Creditors: amounts falling after more than one year
| Loan stock Repayable after more than 5 years by instalments The Architectural Heritage Fund, secured social investment loan Repayable after more than 5 years other than by instalments |
2021 £ 293,700 307,535 601,235 250,000 144,000 |
2020 £ - - |
|---|---|---|
| - | ||
| - | ||
| - |
Secured social investment loan
The above 20 year social investment loan provided by The Architectural Heritage Fund is secured by way of legal charge over the freehold property known as the Farmer's Arms Hotel, Ulverston, including fixtures and fittings, and plant and machinery.
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Grizedale Arts
Notes to the accounts for the year ended 31 March 2021 (continued)
18 Analysis of movements in restricted funds
| Black Shed Project The Farmer's Arms Donations Total Comparative period All funds Total Asia Europe Foundation Grant EU Co-operation project Architectural Heritage Fund |
Balance at 1 April 2020 £ 890 - 7,369 - - 8,259 Balance at 1 April 2019 £ 3,502 3,502 |
Income £ - 7,073 - 8,100 21,200 36,373 Income £ 29,794 29,794 |
Expenditure £ - - (7,182) (8,100) - (15,282) Expenditure £ (35,841) (35,841) |
Transfers £ - - - - - - Transfers £ 10,804 10,804 |
Balance at 31 March 2021 £ 890 7,073 187 - 21,200 |
|---|---|---|---|---|---|
| 29,350 | |||||
| Balance at 31 March 2020 £ 8,259 |
|||||
| 8,259 |
Name of restricted fund Description, nature and purposes of the fund
Asia Europe Foundation Grant EU Co-operation project Black Shed Project
balance of grant remaining from 2018
grant funding for the Confederacy of Villages Project, an exchange programme with four other EU organisations
grant received via Craven District Council, for research and development costs for the project as part of our Lawson Park programme
The Farmer's Arms grants and donations for the Farmer's Arms Hotel, Ulverston, for building and restoration work to create a community hub with facilities for both charitable and commercial activities
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Grizedale Arts
Notes to the accounts for the year ended 31 March 2021 (continued)
19 Analysis of movement in unrestricted funds
| Comparative period General fund Designated property assets fund Designated refurbishment fund General fund |
April 2020 £ 1,213,261 - - 1,213,261 1 April 2019 £ 1,276,554 1,276,554 |
Income £ 301,709 - - 301,709 Income £ 241,479 241,479 |
Expenditure £ (258,580) - - (258,580) Expenditure £ (293,968) (293,968) |
Transfers £ (1,081,673) 881,673 200,000 - Transfers £ (10,804) (10,804) |
March 2021 £ 174,717 881,673 200,000 |
|---|---|---|---|---|---|
| 1,256,390 | |||||
| March 2020 £ 1,213,261 |
|||||
| 1,213,261 |
Name of unrestricted fund
Description, nature and purposes of the fund
The free reserves after allowing for all designated funds
General fund The free reserves after allowing for all designated funds Designated property The fixed assets are essential for the future operation of the charity and so are assets fund excluded from free reserves. Designated This is for refurbishment costs for the newly acquired freehold property, The refurbishment fund Farmer's Arms Hotel, to ensure a timely and full use of the property for the charity's activities. This is excluded from free reserves.
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Grizedale Arts
Notes to the accounts for the year ended 31 March 2021 (continued)
20 Analysis of net assets between funds
| Tangible fixed assets Net current assets/(liabilities) Creditors of more than one year Total Comparative period Tangible fixed assets Net current assets/(liabilities) Total |
General fund £ 1,482,908 (706,956) (601,235) 174,717 General fund £ 1,052,533 21,091 1,073,624 |
Designated funds £ - 1,081,673 - 1,081,673 Designated funds £ - - - |
Restricted funds £ - 29,350 - 29,350 Restricted funds £ - 8,259 8,259 |
Total 2021 £ 1,482,908 404,067 (601,235) |
|---|---|---|---|---|
| 1,285,740 | ||||
| Total 2020 £ 1,052,533 29,350 |
||||
| 1,081,883 |
21 Operating lease commitments
The charity's total future minimum lease payments under non-cancellable operating leases is as follows for each of the following periods:
| Less than one year One to five years Over five years |
2021 2020 £ £ 1,750 1,750 7,000 7,000 1,750 3,500 10,500 12,250 Property |
2021 2020 £ £ 1,750 1,750 7,000 7,000 1,750 3,500 10,500 12,250 Property |
|---|---|---|
| 12,250 |
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