2024-08-31-accounts

Registered Charity Number 1080427

Islamic Da’wah Council UK

Annual Report & Financial Statements

31[st] August 2024

Islamic Da’wah Council UK

Annual Report & Financial Statements

Contents

	Page
Trustee's Report		3
Independent Accountants' report		9
Statement of Financial Activities		10
Balance sheet		11
Notes to the accounts		12

2

The Report of the Trustees for the year ended 31[st] August 2024

Introduction

The trustees present their annual report and accounts for the year ended 31[st] August 2024.

The Board of Trustees are satisfied with the performance of Islamic Da’wah Council UK during the year and the position as of 31[st] August 2024. The Board considers that the charity is in a strong position to continue its activities during the coming year and that its assets are adequate to fulfil its obligations. The trustees have considered the going concern assumption and are not aware of any significant doubts about the charity’s ability to continue as a going concern.

Structure, Governance and Management

The charity trustees are responsible for the general control and management of the charity. They meet thrice yearly and make all decisions about running the charity’s facilities and activities. The day-to-day management of the charity’s facilities and projects is delegated to staff and volunteers.

The trustees are satisfied that systems or arrangements are in place to manage the risks.

Objects of the Charity

The objects of the charity are set out in the charity’s trust deed and are summarised as follows:

• To advance the Islamic Religion in accordance with the teachings of the Quran, the teachings of Prophet Muhammad (Peace be upon Him), and the teachings of his companions (May Allah be pleased with them), according to the interpretation and accepted view of the Ahlus Sunnah wal Jamaa-ah and as expounded by the salafus saaliheen (pious predecessors) of Islam. These are core beliefs of normative Islam.

• To further Islamic education, including teaching correct pronunciations in Arabic (Tajweed).

• To help educate young Muslims and develop their physical, mental, and spiritual capabilities so they may grow to full maturity as individuals and members of society.

• To further such other charitable purposes, the trustees may decide from time to time.

Islamic Da’wah Council UK subscribes to pluralism and peaceful coexistence and acknowledges the rights of all to believe as they choose without coercion, fear, or intimidation. Our mission is to provide services to British Muslims and non-Muslims. We educate through Dawah and advocacy using the Prophetic Model. This includes awareness of the beliefs of Khatam-e-Nubuwat (Finality of Prophet Muhammed— Peace be Upon Him).

Aims of the Charity

Our primary aim is to make Islamic Dawah Council UK a welcoming place for the local Muslim community and the broader communities throughout the UK. Those who wish to know more about our faith, including non-Muslims, are welcome to contact or visit our charity to learn about their religion and worship.

3

IDC Activities and Achievements 2024

The charity carries out various activities to pursue its charitable objectives. The trustees consider that these activities, summarised below, benefit those who attend the Islamic Dawah Council UK (IDC) and the broader communities of the UK. Islamic Dawah Council UK provides a place of public religious worship and the activities associated with our faith. During the year, we offered a range of religious and nonreligious services and activities, including:

1. The premises are open daily to the public for religious worship prayers (Salaah).

2. Due to a lack of space on Fridays at IDC premises, we now facilitate two prayers throughout the year.

3. The charity has assisted a number of families by providing information about marriage and guidance on solving Divorce problems affecting the Muslim community living within the Borough of Newham, including other neighbouring Boroughs. The local community is satisfied and grateful to receive these services.

4. People from the local community have approached us to seek advice and requested that we guide them on various subjects of Islam. We are happy to report that our advice has assisted several people from the local community on multiple matters they raised. We have helped and advised many youths and adults who have approached us to talk about ways and means of giving up alcohol, smoking, and drug addiction.

5. Throughout the year, the Charity organised and delivered various religious programs, including awareness programs on the beliefs of Khatam-e-Nubuwat (Finality of Prophet Muhammed— Peace be Upon Him). The Charity Scholars, other respected Scholars, and people from the various communities attended these events. This is a tremendous achievement as it has helped people understand how to live a peaceful life.

6. Our library contains many books on Islam. We have some books from different religions and faiths. The charity uses these books for reference purposes only to people who come to visit our charity to learn, gain knowledge, and have a better understanding of Islam, including the beliefs and facts of the Khatam-e-Nubuwat (Finality of Prophet Muhammed – Peace be Upon Him). Visitors can read these books with the permission of the management, and if visitors have any questions or wish to discuss various topics of Islam, including the beliefs of Khatam-e-Nubuwat (Finality of the Prophet (Peace be Upon Him), we have assisted them with appropriate advice.

7. An essential part of our strategy is education, including teaching correct pronunciations in Arabic (Tajweed). Our Imams and Volunteers have taught the Quran with Tajweed to several people, including women, during their visit to Islamic Da’wah Council UK. We also organised a program for the youth to highlight awareness about the importance of Islamic and General education.

8. We discussed, planned, and prepared for the Islamic festivals throughout the year, including meeting with the local Moon Sighting Committee to discuss the moon sightings of the Islamic Festivals.

9. The charity prepared a prayer calendar and distributed it to the local community, which is much appreciated.

10. The Quran and Hadeeth Dars are taking place, which has benefited many people from the local community.

4

1. The Charity has been actively engaging and participating with the council and local enforcement agencies regarding Counterterrorism and community safeguarding. IDC actively works with law enforcement agencies to resolve issues the local community faces.

2. IDC received an iftar invitation on 27.07.24 from the Mayor of Newham Council; the Trustee requested IDC Imam to attend the Iftar event on behalf of the IDC, where he was given the privilege to call out the Azan for Maghrib for everyone to break the fast (Iftar). IDC Imam had an opportunity to meet many other faith leaders and local Councillors at the event.

3. Imams led the Eid ul Fitr and Eid ul Aza Prayers. After the prayer, attendees shared food, which was very joyful for the community.

4. Throughout the year, IDC Ulama attended various types of religious and non-religious meetings and forums, including multi-faith meetings within the local and national communities, where IDC had an opportunity to deliver Dawah work as well as engage in dialogue on how one should have a peaceful life and how parents can safeguard and prevent children falling into bad habits, i.e. drug abuse and mixing with the wrong crowds within their respective communities. These events help to strengthen the connections between the faith groups.

5. A Quran recitation program was held at IDC. Sheikh Saad Noumani of Medina was in attendance. He recited the Quran with his beautiful voice. Members of the public who attended enjoyed the event.

6. IDC is part of the Newham Council, where one of our Trustees is a Community Champion for whom the council provides ongoing training. The Council shares information with IDC about the help and support available on various topics, which is distributed to the local community via e- channels.

7. Throughout the year, IDC has assisted the local community members with advice and signposting on cost-of-living, housing, homelessness, and welfare benefits.

8. IDC’s purchase of a residential property was completed in November 2023. Rental income from the property is being used to further the charitable purposes of the beneficiaries.

The public benefit that the charity provides:

The Trustees have carefully considered the Charity Commission’s guidance on public benefit in setting out our objectives and planning our activities. The main focus of our activities is intended. To provide the public with facilities for religious worship and the activities associated with our faith.

Building for the Future:

• IDC will continue to engage with the Local Council to disseminate information about the help and support available with the cost-of-living crisis and other matters the community faces, such as housing, homelessness, and welfare benefits.

• We continue to place great importance on sharing a good understanding of Islam, including dawah and advocacy work with our Muslim and non-Muslim communities. Organise meetings and exchange ideas with the management committee of other local Masjids in the Borough of Newham.

• Work with various government agencies/departments to assist in safeguarding people of the local community and to prevent extremism, violence and hate crime.

5

• Prepare for forthcoming Islamic festivals.

• Youth sports programs should be organised, and integration with the broader community for the youths and adults from the local community should be worked on.

Registered office and charity constitution.

The full name of the charity is Islamic Da'wah Council UK

The charity was formed as an unincorporated charity on 25 April 2000

Its registered charity number is 1080427

The registered office is 387 Katherine Road, London E7 8LT

Nature of the Governing Document and constitution of the charity

The charity is an unincorporated charity governed by a written constitution adopted by its members. There are no restrictions in the governing document on the charity’s operation or investment powers other than those imposed by general charity law.

The Board of Trustees are:

Trustee Name

Mr Abdul Bawa Mr Gulam Dalal Mr Qaiser Azad Mr Adeel Ghauri Mr Zubair Bawa

The Bankers are:-

Barclays Bank

Risk Management

The Trustees are satisfied that all systems or arrangements are in place to manage the identified risks. Health and safety are crucial priorities. Fire and Risk Assessments are regularly undertaken and recorded.

The Charity endeavours to assist in community welfare, faith matters, and education as a registered charity. We communicate all our community facilities and activities well. We welcome all participation in our community. We want to make the center an accessible and welcoming venue where all who wish to know more about the Islamic faith can gather to learn about and worship the religion.

Security is reviewed regularly and improved as required with continuous coordination.

Free Reserves

As of 31 August 2024, the charity had free reserves of (£5,815) (2023: £456,401). The charity focuses on cash flow for financial sustainability, and the available cash flow manages its activities.

Going Concern

The trustees consider the charity in a strong position to continue its activities during the coming year and that its assets are adequate to fulfil its obligations. They have considered the going concern assumption and are not aware of any significant doubts about the charity’s ability to continue as a going concern.

6

Recruitment and appointment of new trustees

The existing trustees are responsible for recruiting new trustees. A resolution of the Trustees passed at a special meeting shall appoint new trustees. In selecting new trustees, we seek to identify people who adhere to the teachings of the Quran and the Sunnah of Prophet Muhammed (Peace be upon Him) and can contribute to the pursuit of the objects or the management of the charity.

The process involves determining the optimum skills, knowledge and experience mix for the current operational climate and needs, identifying potential members, and promoting and explaining the Board's activities to potential members. Quality, characteristics and qualifications are decided upon when selecting members of the Board of Trustees.

Relationships between the charity and related parties

The induction of new Trustees would include an explanation of the function of the Board of Trustees and appointing a mentor for the new member of the Board of Trustees. An overview of the organisation and its activities is provided. On-going appropriate training is recommended.

The contribution of volunteers

Islamic Da’wah Council UK has depended on volunteer support to establish the Islamic Da’wah Council and set the foundations for its future success. Volunteers are an essential resource in both our faith and community support work. We have volunteers involved in our activities who willingly give their time freely. The Trustees, comprised of religious ministers and others, continue to manage the charity voluntarily with guidance from the Charity Commission. We encourage all center members to be involved in voluntary activities and share their skills. The Trustees would like to thank all those who have volunteered their time to the Islamic Da’wah Council.

Financial Review

Policies on reserves

The trustees have resolved to establish reserves to provide for future activities and to provide funding for the expected expenditures for six months ahead. The policy on reserves is that the existing assets are retained to produce income wholly utilised to support existing activities. There is no intention in the long term to either increase or reduce the capital significantly. This policy is justified in that it is necessary to preserve income at the present levels to maintain the charity’s activities.

The principal funding source was voluntary donations, primarily from the community. The board of trustees is satisfied that the charity's assets are available and adequate to fulfil its obligations concerning each fund.

Availability and adequacy of assets of each of the funds.

The board of trustees is satisfied that the charity's assets in each fund are available and adequate to fulfil its obligations concerning each fund.

7

Transactions and Financial Position

The financial statements are set out on pages 10-18

The financial statements have been prepared by Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts by the Statement of Recommended Practice and Section IA of FRS102. As stated in the introduction to this report, the trustees consider the charity's financial performance during the year to have been satisfactory.

The Statement of Financial Activities shows incoming resources for the revenue year and the realised nature of £53,033 (2023: £75,167) Most of the expenditure is spent on delivering the charitable activities as stated in the Charity's aims and objectives.

Trustees' Responsibilities

The charity's trustees are responsible for preparation of the accounts in accordance with the terms of the Charities Act 2011 and best practices, and they prepare the accounts according to the Statement of Recommended Practice and Section IA of FRS102.

In particular, charity law requires the Trustees, if they prepare accounts on an accruals basis, to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity at the end of the financial year and of the surplus or deficit of the charity. In preparing those financial statements, the Trustees are required to: ‐

• To prepare the accounts in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law).

• select suitable accounting policies and then apply them consistently;

• make judgements and estimates that are reasonable and prudent, and

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

• state whether applicable accounting standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements;

The law requires that the trustees not approve the accounts unless they are satisfied that they give a true and fair view of the charity’s state of affairs and its yearly surplus or deficit.

The Trustees are also responsible for maintaining adequate accounting records which disclose with reasonable accuracy at any time the charity's financial position and sufficient to show and explain the charity's transactions and enable them to ensure that the financial statements comply with regulations made under the charity legislation. They are also responsible for safeguarding the charity’s assets and, hence, for taking reasonable steps to prevent and detect fraud and other irregularities. The Trustees are also responsible for the contents of the Trustees' report, and the accountant preparing the accounts has no responsibilities in relation to the Trustees' report.

This report was approved by the board of trustees on 15[th] April 2025 .

Mr A R Y Bawa

AB

Trustee

8

Report of the Independent Examiner to the trustees on the accounts of the Charity for the year ended 31 August 2024

We report on the charity's financial statements on pages 10-18.

Respective responsibilities of trustees and examiner

The trustees are responsible for the preparation of the accounts in accordance with the requirements of the Charity Act 2011. The trustees consider that an audit is not required under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.

I report in respect of my examination of the charity’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination. The charity's gross income did not exceed £250,000, and I am qualified to undertake the examination as a member of the Association of Chartered Certified Accountants.

Basis of independent examiner's report

My examination was carried out in I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act. 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 you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence required in an audit; 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 in the following statement.

Independent Examiner's Statement

In connection with my examination, no matter has come to my attention with the examination which gives me cause to believe that in any material aspect:

• the accounting records were not kept in accordance with section 130 of the Charities Act or

• the accounts did not accord with the accounting records or

• The accounts did not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair’ view, which is not a matter considered as part of an independent examination.

I have no concerns and have not encountered any other matters concerning the examination to which attention should be drawn in this report to enable a proper understanding of the accounts to be reached.

The Examiner's relevant professional qualification is Chartered Certified Accountant.

J Akhtar FCCA DcHA

Virtus FS

Chartered Certified Accountants

The date upon which this report was completed is:-

15 April 2025

9

Islamic Da’wah Council UK Statement of Financial Activities For the year ended 31 August 2024

					Total
		Funds	Funds	Funds	Funds
	Notes	2024	2024	2024	2023
		£	£	£	£
Income From
Donation and legacies	4	79,571	-	79.571	110,994
Investments	4	14,700	-	14,700	-
Total income		94,271	-	94,271	110,994
Expenditure On
Raising funds		-	-	-	-
Charitable activities	5	41,238	-	41,238	35,827
Total expenditure		41,238	-	41,238	35,827
Net income / (Expenditure)		53,033	-	53,033	75,167
Net movement in funds		53,033	-	53,033	75,167
Reconciliation of funds
Total funds brought forward		851,441	-	851,441	776,274
Total Funds carried forward	12	904,474	-	904,474	851,441
he Statement of Financial Activities includes all gains and losses recognised in the year.
he notes on pages 12 to 18 form an integral part of these		accounts.

The Statement of Financial Activities includes all gains and losses recognised in the year. The notes on pages 12 to 18 form an integral part of these accounts.

Islamic Da’wah Council UK Balance Sheet as at 31 August 2024 Notes The assets and liabilities of the charity: Fixed assets Tangible assets 8 Total fixed assets Current assets Debtors 9 Cash at bank and in hand Total current assets Creditors amounts due within one year 10 Net current assets Total assets less current liabilities Creditors:- Amounts due after one year 11 Net assets The funds of the charity : Unrestricted income funds Unrestricted revenue accumulated funds Restricted income funds Total charity funds 12	- 92,829		2024 £ 861,829 861,829 91,104 952,934 (48,460) 904,474 904,474 - 904,474	- 554,867		2023 £ 346,580
						346,580 553,321
	92,829			554,867
	(1,725)			(1,546)
						899,901 (48,460)
						851,441
						851,441 -
						851,441

The financial statements were approved by the Board of Trustees on 15[h] April 2025 and were signed on its behalf by:

AB

Mr A R Y Bawa

Trustee

The notes on pages 12- 18 form an integral part of these accounts.

11

Islamic Da’wah Council UK Notes to the accounts

1. Accounting policies

The principal accounting policies adopted, judgements and critical sources of estimation uncertainty in the preparation of the financial statements are as follows:

a) Basis of preparation of the accounts

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice (2019). Unless otherwise stated in the relevant accounting policy note (s), assets and liabilities are initially recognised at historical cost or transaction value. The charity has taken advantage of the exemption from the requirement to produce a cash flow statement.

The charity meets the definition of a public entity under FRS102. Assets and liabilities are initially recognised at historical cost or transaction unless otherwise stated in the relevant accounting policy note.

b) Preparation of the accounts on a going concern basis

The trustees consider there are no material uncertainties about the charity’s ability to continue as a going concern.

The trustees made no key judgements which significantly affected the accounts.

The trustees do not consider any sources of estimation uncertainty at the reporting date to be significant risks that could cause a material adjustment to the carrying amount of assets and liabilities within the next accounting period.

c) Income

Income is recognised where the charity is entitled to the funds, any performance conditions attached to the item(s) of income have been met, the income will probably be received, and the amount can be reliably measured.

d) Expenditure and irrevocable VAT

Expenditure is recognised once there is a legal or constructive obligation to pay a third party; settlement will probably be required, and the obligation amount can be measured reliably. Expenditure is classified under the following activity headings:

• Expenditure on charitable activities includes the costs undertaken to further the purposes of the charity and their associated costs.

• Raising funds, where the charity incurs fundraising costs.

• The support costs of activities for charitable purposes comprise any costs, including the salary costs of any staff supporting the charitable activities.

• Governance costs shall include all expenditures directly incurred in managing the charity's assets and complying with charitable and statutory requirements.

12

Notes to the accounts (continued)

The methods and principles for the allocation and apportionment of all costs between the different activity categories of resources set out above are:-

It is impracticable to allocate costs between administration and charitable expenditures precisely. The trustees have allocated such costs based on reasonable estimates: salary costs and estimated time spent on different activities.

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

e) Tangible fixed assets

Individual fixed assets costing £1,000 or more are capitalised at cost and depreciated straightline over their estimated useful economic life. The charity has not acquired assets over the capitalisation cost of £1,000 in the current or prior year.

Fixed Assets 2% Computer and Office equipment 25%

f) 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 owing.

g) Cash at the bank and in hand

Cash at the bank and cash in hand include cash and short-term highly liquid investments in short-term deposit accounts.

h) 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. The amount due to settle the obligation can be reliably measured or estimated. Creditors and Provisions are usually recognised at their settlement amount after allowing for any trade discounts due.

i) Taxation The charity meets the criteria and tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and, therefore, meets the definition of a charitable company for UK taxation purposes. Accordingly, the charity is potentially exempt from taxation regarding income or capital gains received within the categories covered by the Income Tax Act 2007, Chapter 3 of Part 11 of the Corporation Tax Act 2010, or Section 256 of the Taxation of Chargeable Gains Act 1992. No corporation tax liability arises in the accounts.

j) Funds Accounting

Funds held by the charity are:

• Restricted funds are funds subject to specific conditions imposed by the donors or when funds are raised for a particular restricted purpose. At present, the charity holds no restricted funds.

• Unrestricted funds—these are funds that can be used in accordance with the charitable objects at the trustees’ discretion.

13

Notes to the accounts (continued)

2. Surplus for the financial year

		2024	2023
This	is stated after crediting:	£	£
Income		53,033	75,167
And	after charging:
Depreciation of owned fixed assets		8,132	8,132
3.	Expenses paid to trustees
		2024	2023
		£	£
The	aggregate amount of expenses paid to trustees was	-	-

4. Income by Activity

Income From Donations and legacies Investments Total Income	Religious services £ 79,571 14,700	2024 Total £ 79,571 14,700	2023 Total £ 110,994 -
	94,271	94,271	110,994

14

Notes to the accounts (continued)

Expenditure Charitable activities Total expenditure Net income by activity	2024 41,238	2024 41,238	2023 35,827
	41,238 53,033	41,238 53,033	35,827
			75,167

5. Analysis of charitable expenditure by activity

	Religious
	services	Total 2023
	Total 2024
Nature of charitable expenditure	£	£
Activities undertaken directly	27,473	23,722
Support costs of charitable activities	13,765	12,105
Total charitable expenditure analysed by activity	41,238	35,827

An explanation of the main features of charitable expenditure is given in note 1 to the accounts

6. Analysis of Total Support Costs by Activity

Nature of support costs Supporting provision of Religious Services Depreciation Total support costs analysed by activity	Religious services £ 5,633 8,132 13,765	Total 2024 £ 5,633 8,132 13,765	Total 2023 £ 3,973 8,132
			12,105

15

Notes to the accounts (continued)

7. Staff Costs and Emoluments Gross Salaries Employer's National Insurance Numbers of full-time equivalents employees Religious Services	2024 £ 19,174 - 19,174 2024 2		2023 £ 17,721 -
			17,721
			2023 2

Volunteers have donated an unquantifiable amount of time to the Islamic Da’wah Council UK, which is impossible to reflect.

There were no fees or other remuneration to the trustees.

There were no employees with payments over £60,000 per annum.

8. Tangible functional fixed assets

	Land and
	buildings
	£
Asset cost, valuation or revalued amount
At 1 September 2023	411,636
Additions	523,381
At 31 August 2024	935,017
Accumulated depreciation and impairment	provisions
At 1 September 2023	65,056
Charge for the year	8,132
At 31 August 2024	73,188
Net book value
At 31 August 2023	346,580
At 31 August 2024	861,829

16

Notes to the accounts (continued)

9.	Debtors	2024	2023
		£	£
Other Debtors		-	-

10. Creditors: amounts falling due within one year

10. Creditors: amounts falling due within one year	2024	2023
	£	£
Other Creditors	1,725	1,546
11. Creditors: amounts falling due after one year	2024	2023
	£	£
Unsecured loans (acquired for property acquisition)	48,460	48,460

12. Analysis of assets and liabilities representing funds

At 31 August 2024 Tangible Fixed Assets Current Assets Current Liabilities Long Term Liabilities	Unrestricted funds £ 861,829 92,829 (1,725) (48,460) 904,474	Restricted funds £ - - - - -	Total Funds £ 861,829 92,829 (1,725) (48,460)
			904,474

At 1 September 2023 Tangible Fixed Assets Current Assets Current Liabilities Long Term Liabilities	Unrestricted Funds 346,580 554,867 (1,546) (48,460) 851,441	Restricted funds - - - - -	Total Funds 346,580 554,867 (1,546) (48,460)
			851,441

17

Notes to the accounts (continued)

The individual funds included above are :-

Religious Services Analysis of movements in funds as Religious Services	Funds at Movements 2023 in Funds as below £ £ 851,441 53,033 851,441 53,033 shown in the table above Incoming Outgoing Resources Resources £ £ 94,271 41,238 94,271 41,238	Transfers Between funds £ - - Gains & Losses £ - -	Funds at 2024 £ 904,474
			904,474
			Movement in funds £ 53,033
			53,033

13. Endowment Funds

The charity had no endowment funds in the year ended 2024 or in the year ended 2023.

14. Related Parties

Mr Abdul Rehman Yaqub Bawa and Mr Zubair Abdul Rehman Bawa, trustees are close members related by family.

18