2023-03-31-accounts

Company Registration Number 03929839 Registered Charity Number 1088975

QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE)

REPORT AND ACCOUNTS For the year ending 31 March 2023

QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ REPORT For the year ended 31 March 2023

REFERENCE AND ADMINISTRATIVE DETAILS

Registered charity name Queen’s Hall Arts Limited Charity registration number 1088975 Company registration number 03929839

Registered office Queens Hall Arts Centre, Beaumont Street, Hexham, Northumberland, NE46 3LS

Trustees

For the purposes of the Companies Act 2006, the Board of Trustees is the Board of Directors of the charitable company and is referred to as the Trustees throughout this report.

The Trustees of Queen’s Hall Arts during the period and to the date of signing this report are as follows:

Rachel Adam (Chair) Jessica Armstrong Appointed 5 December 2022 Simon Beckwith Appointed 5 December 2022 Dr Suzanne Fairless-Aitken Appointed 5 December 2022 Philip Garner Resigned 7 June 2023 Hannah Jameson-Clarke Appointed 5 December 2022; Resigned 25 September 2023 Addison Keen Appointed 5 December 2022 Angeline Lucas Gary Lyons Susan Martin Resigned 5 September 2022 Dr Anthony Newton Kathryn Nicholson David Pritchard Resigned 5 September 2022 Jonathan Tull Resigned 5 December 2022 Lynn Turner Company Secretary Katy Taylor Independent Examiner Pete O’Hara FCA, Flat 3, 1 Tankerville Terrace, Jesmond, Newcastle upon Tyne NE2 3AH

Bankers Barclays Bank Plc, Priestpopple, Hexham, Northumberland NE46 1PE

Solicitors Nicholson Portnell, Priestpopple House, Hexham, Northumberland NE46 1PL

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ REPORT For the year ended 31 March 2023

The Trustees, who are also Directors for the purposes of company law, present their report and the unaudited financial statements of the charity for the year ended 31 March 2023.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing Documents

Queen’s Hall Arts is a charitable company limited by guarantee, incorporated on 21 February 2000 and registered as a charity on 19 October 2001.

The charity is controlled by its governing document, its Memorandum & Articles of Association, as amended by Special Resolutions dated August 2001 and 20 May 2009 and constitutes a limited company, limited by guarantee, as defined by the Companies Act.

The Directors of the company are also Trustees of the charity. Eligibility for membership of the charity, and membership of the Board of Trustees, is governed by the Articles of Association. There are no restrictions in the governing document on the operation of the charity other than those imposed by general charity law.

Structure and Governance

The Board of Directors, which can have between 5 -12 members, administers the charity.

1 Member is nominated by Northumberland County Council (NCC) with between 4 and 11 Members elected by resolution in a General Meeting and/or co-opted at a meeting of the Board.

The charity currently has a Board of 10 non-executive Trustees.

The Board meets approximately every 2 months and there are committees covering Finance & Risk, Operations and External Relations which meet regularly. Additionally, there are working groups which act in an advisory capacity.

A Chief Executive, the Artistic Director, is appointed by the Trustees to manage the day-to-day operations of the charity. To facilitate effective operations, the Artistic Director has delegated authority, within terms of delegation approved by the Trustees, for operational matters including finance, employment and artistic programme.

The charity has a close relationship with Northumberland County Council and Arts Council England. These two bodies provide essential core funding to the company. Ongoing funding is subject to annual reviews and agreements on performance targets.

The Queen's Hall, where the bulk of the company's activities take place, is leased from Northumberland County Council, at a peppercorn rent.

The company operates sub-leases at the Queen's Hall to:

• Customer Services, Northumberland CC.

• cafe operators, which under the terms of its lease is required to provide agreed levels of service to arts centre users (in addition to its independent commercial operations).

• small start-up companies in the Creative Spaces area.

There is no structural connection between the charity and these companies.

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ REPORT For the year ended 31 March 2023

STRUCTURE, GOVERNANCE AND MANAGEMENT (CONTINUED)

Recruitment and Appointment of Board of Trustees

The recruitment of new members is periodically undertaken by the Board, which follows an open and fair recruitment process taking due account of the skills needed by the company and the desire for its membership to reflect the diversity of the local population.

Nominees appointed by the Local Authority are subject to the appointment processes of this body and the guidelines on appointment to public office as they apply to local government nominees.

Trustee Induction and Training

New Trustees are inducted by the Chair and Artistic Director and are provided with a range of resources to support their understanding of Queen’s Hall Arts’ activities. Trustee training is delivered either through external advisors or charity members of staff.

Reserves Policy

The Trustees have reviewed the charity's needs for reserves in line with the guidance issued by the Charity Commission, having reviewed the risks facing the organisation, seeking to maintain a level of reserves which enables the charity to operate effectively with financial stability and the means to fulfil its charitable purpose.

The Trustees aim to hold a level of Unrestricted Funds which enables the charity to have sufficient working capital to continue to operate and also reflects the risks associated with shortfalls in funding, especially withdrawal of support from existing funders. If alternative sources of funding were not forthcoming, then this amount would provide the means for Queen’s Hall Arts to settle any outstanding contracts and close the company in an orderly manner.

The Trustees anticipate the free Unrestricted Funds needed to fulfil these criteria as £60,000 as a minimum. The Trustees then aspire to retain an additional allowance of £20,000 as a further contingency and to enable the charity to respond flexibly to issues or appropriate initiatives which might be identified outside of its annual budgeting process.

The target level of free Unrestricted Funds is therefore in the range of £60,000 to £80,000.

The charity’s total Unrestricted Funds at 31 March 2023 are £808,709.

Trustees had previously designated some of these Funds as a ‘Building Development Fund’, providing funding towards future larger periodical building maintenance and developments that are not carried out on an annual basis, but the remaining £19,283 of the Designated Funds brought forward at 1 April 2022 was used in the year to 31 March 2023.

Free Reserves, defined as non-designated Unrestricted Funds minus the value of Unrestricted Tangible Fixed Assets of £769,685, are therefore £39,024 and therefore fall below the target range.

The Trustees aim, through their budgeting processes, to restore Free Reserves to within the target range within 5 years.

The Board regularly reviews the level of reserves that are required to ensure that they are adequate to fulfil our continuing obligations and to allow the organisation to fulfil its charitable purpose.

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ REPORT

For the year ended 31 March 2023

STRUCTURE, GOVERNANCE AND MANAGEMENT (CONTINUED)

Grant Making Policy

The charity does not currently engage in grant-making activity, other than the occasional award of small bursaries.

The Contribution of Volunteers

The charity normally works with approximately 25 volunteers per year.

OBJECTIVES AND ACTIVITIES

Charitable Purpose

The Objects of the charity are to advance public education and appreciation in the arts in all their forms, particularly but not exclusively, for the benefit of the people in the countries of Northumberland, Cumbria, Tyne and Wear and Durham through the provision, maintenance and management of Queen's Hall Arts Centre, Hexham and by any other charitable means that the trustees may from time to time think fit.

Mission & Vision

In 2016 a new mission statement was agreed by the Trustees. This informed delivery subsequently provided the structure for successful medium-term funding bids to Arts Council England and Northumberland County Council.

OUR MISSION is to be the creative heart of the community delivering great arts experiences and supporting professional and aspiring artists.

THE CREATIVE HEART OF THE COMMUNITY

a. A welcoming and stimulating environment for all to experience a broad range of arts activities. b. Theatre, studio and gallery spaces and other resources at the Queen’s Hall Arts Centre for the presentation of work to the highest possible standard.

c. A focal point for cultural organisations where links and partnerships can be developed.

d. Engagement with the full diversity of our community.

• e. Resources that can be easily accessed by a large rural catchment.

GREAT ARTS EXPERIENCES

f. A range of shows, exhibitions and other events that are both entertaining and stimulating. g. High quality touring work from across the country (and beyond) that reflects the diversity and range of contemporary arts interests in Britain.

h. In-house and commissioned work that is informed by a relationship with the community.

i. Participatory activities that are fulfilling and develop skills.

j. Great events and other activities across West Northumberland (and beyond).

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ REPORT For the year ended 31 March 2023

OBJECTIVES AND ACTIVITIES (CONTINUED)

Mission & Vision (Cont.)

SUPPORTING PROFESSIONAL AND ASPIRING ARTISTS

• k. Commissions, productions & co-productions.

• l. Residencies.

• m. Mentoring and other long-term support.

• n. Training and skills development opportunities.

• o. A high proportion of our work with and for young people.

• p. Technical and organisational support for artists opening new productions.

• q. Networking, collaborating and taking part in partnership initiatives.

• r. Programming new and challenging work.

• s. Contributing to a viable arts ecology, regionally and nationally.

Queen's Hall Arts' vision statement is to "develop high quality arts provision at the Queen's Hall Arts Centre that will enrich and serve local and outreached communities, developing a creative future for all”.

Public Benefit

The Trustees understand and have discussed the implications of the provisions of the Charities Act 2006, which state that all charities must demonstrate that they are established for public benefit, and have had due regard to the public benefit guidance issued by the Charity Commission. The Trustees believe that the charity meets both of the key principles.

Principle 1 – There must be an identifiable benefit, or benefits

Queen's Hall Arts is committed to the educational and social advancements that benefit from its activities and to making those activities as accessible as possible. We provide year-round participatory activities both in community and educational settings.

The artistic programme at the arts centre includes a range of events which reflect a wide variety of local interests, creating opportunities for audiences and performers. Our ticket pricing policy includes discounts to students, and those on low incomes. Exhibitions in the gallery are free. We provide and subsidise outreached events to small communities across a large part of Northumberland.

Principle 2 - Benefit must be to the public, or a section of the public

Queen’s Hall Arts’ work is available to all members of the public.

Risk Management

The Trustees will continue to conduct an annual risk management review and put in place any required plans or procedures.

As licensed premises the Queen's Hall is subject to regular inspection from statutory and other regulatory bodies to ensure compliance and good practice in a number of areas including health and safety, environmental health, and management of performing rights.

Financial reports are produced by management on a quarterly basis and presented to board meetings. These reports are also subject to scrutiny by the Finance and Risk Committee.

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ REPORT

For the year ended 31 March 2023

OBJECTIVES AND ACTIVITIES (CONTINUED)

Risk Management (Cont.)

The Trustees consider the key risks facing the charity at this time and the mitigating actions taken to be as follows:

Workload of core staff and freelance team becomes unmanageable:

• Month check-ins in place to identify any workload issues at early stage and implement mitigating actions.

• Annual activity of company mapped out to understand any potential ‘pinch-points’ and additional resource/staffing built into project budgets and arranged as required.

• Realistic time frames built into all projects

• Health and wellbeing of team prioritised to ensure a positive and supporting working culture.

Not achieving audience targets:

• Focus on regional touring and strong audience development work with local audiences and community partners.

• Developing a robust marketing plan for the organisation and for every project. Sales reports are monitored and acted on in good time if not at target.

• Projected income from tickets sales reflects the current financial climate.

Long-term absence of Director, other Senior Management or Trustees due to resignation or illness:

• Development of Senior Management Team supports absences.

• Increasing the number of Trustees improves resilience and Trustee succession planning, as well as providing consistently.

Not achieving income targets (trusts and foundations, earned income, individual giving):

• Uncertainty around long-term impact on Trusts and Foundations funding mitigated through building relationships with existing funders, and making applications to new funders, to build on previous fundraising success.

• Opportunities to diversity income further are currently being explored through consideration of increased individual giving and sponsorship opportunities.

Cost of Living crisis impacts operations:

• Increases to salaries and freelance rates of pay have been accounted for in 2023-24 budget.

• • Projects realistically budgeted and contingencies increased and utilised as required. • Regular financial monitoring by Senior Management Team and Finance and Risk Committee.

• Compliance with legislation/regulations appropriate to the activities, size and structure of the charity: • Balanced Board including experienced Trustees, an annual Board calendar with applicable requirements noted, responsibilities assigned and monitored.

The Trustees also manage the general financial risks arising by ensuring that:

• Prudent budgets have been set for the next financial year

• The charity maintains a prudent, low-cost operating base

• Regular management accounts are provided, showing the performance against budget

• Contingency plans are in place should income levels appear unlikely to reach targets

• Reserves policies have been adopted which provide an appropriate level of uncommitted reserves which will enable the charity to meet its liabilities.

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ REPORT For the year ended 31 March 2023

ACHIEVEMENTS AND PERFORMANCE

In the face of national and international socio-economic challenges in 2022/23, Queens Hall Arts (QHA) has not only persevered but thrived, demonstrating resilience, adaptability, and a commitment to our core values. This annual report serves not just as a testament to our achievements but as a roadmap for the future, outlining the strategies that will guide us through the next stage of our organisational development.

Summary of main achievements of the charity during the year

Over the past year, we have achieved significant milestones that underscore our dedication to our mission. From Illuminated Sheep to our Christmas performance, each success tells a story of determination, innovation, and the unwavering support of our staff, board, volunteers, stakeholders, and community.

Despite the continued effects of Covid cancellations and the increasing pressures of the cost-ofliving crisis, we have managed to reach pre-Covid levels of attendance. Over 78,000 people attendees at the 780 performances, workshops, and exhibitions we created and hosted. This ensures that our venue is a bustling and creative hub for the Tyne Valley.

Beyond the building we have seen huge growth in our impact digitally with over 53,000 impactful engagements. The face-to-face engagements with our communities across Northumberland have more than doubled, to nearly 14,000, since 2019/20. This is a reflection on the strategic decision that the board and staff took during the pandemic, to reach out to our community and expand our programme beyond the walls of our venue. The roll out of this strategy has changed the way in which QHA works from fundraising to delivery. We have reached out to involve our community and the creative sector, from the planning stage, to co-create projects. Building these new, meaningful, and trusted relationships will shape the way we develop the organisation and ensures we remain relevant and important to our community.

During the last year, QHA has successfully evolved into a cultural leader within the region including our leadership of the Hexham Cultural Network and growth of our creative regional partnerships. Defined by the core principles of innovation, diversity and inclusion, community engagement and artist development, we have fostered a co-creation model that resonates not only within our organisation but also contributes significantly to the cultural landscape of the region.

In 2022/23, QHA has garnered extensive national media coverage, showcasing the impactful nature of our projects. Through a commitment to innovation and excellence, our initiatives have captured the attention of prominent media outlets including the BBC, ITV, The Times, and Sky News. This coverage has provided an important platform to spotlight our contribution to the arts sector in the North East. The media coverage not only recognises our organisation's achievements but also serves as a testament to our commitment to driving positive change. We are proud to share our journey and successes with a wider audience, further solidifying our position as a regional trailblazer in the arts.

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ REPORT For the year ended 31 March 2023

ACHIEVEMENTS AND PERFORMANCE (CONTINUED)

Summary of main achievements of the charity during the year (Cont.)

Some of the highlights of 2022/23 include:

Illuminated Sheep

For the first time QHA worked across the whole of Northumberland with our ‘Illuminated Sheep’ project, created by international respected artist Deepa Mann-Kler in response to the Lindisfarne Gospels exhibition. The ‘Illuminated Sheep’ project aimed to foster community engagement across the county through an innovative visual arts initiative. This fun and engaging project involved active participation from a wide range of different communities, including schools, walking groups, small business and many more. Through interactive visual arts activities, the project sought to create a lively and inclusive atmosphere, encouraging collaboration and creativity. Despite the challenges posed by diverse community dynamics, the project successfully illuminated the cultural landscape of Northumberland, leaving a lasting impact on both participants and the broader community.

With the support of key cultural partners, a flock of 30 sheep visited three key locations; Bamburgh Castle, Vindolanda Roman Fort & Museum and Woodhorn Museum. With attendance of over 1000 for the whole flock events and wonderful feedback from both organisations and the public, this was a great success. All the additional activity has amplified QHA’s work beyond Hexham and included a wide variety of complementary activity to support the project, including an Activity Pack which has been distributed to every school in Northumberland.

The finale of the project happened December 2022, when the flock was once again gathered in Hexham for the ‘Festival of Flame’ at Hexham Abbey. With attendance at over 3000 this was the most successful Hexham-based event since before the pandemic.

Jubilee Celebrations

In close collaboration with the local authority, our organisation embarked on a remarkable venture to create a site-specific live performance at Cawfields Quarry as a tribute to Her Majesty the Queen's Jubilee. This collaborative effort seamlessly merged creativity and civic partnership, resulting in a captivating and unique celebration. Working hand in hand with Northumberland County Council allowed us to integrate the rich heritage and cultural significance of the region into every aspect of the performance, creating an inspiring experience for the national and international media which shone a spotlight on Northumberland. The delivery of this project reflects not only our commitment to artistic excellence but also our desire to contribute meaningfully to the collective celebration of our shared cultural heritage.

Outside Performance

For the first time in over a decade QHA offered our audience an outside performance on the cloister lawn of Hexham Abbey, through an initiative in collaboration with Shakespeare's Globe. This groundbreaking partnership has allowed us to push the boundaries of traditional performance settings, bringing the timeless works of Shakespeare to a new and unconventional outdoor venue. This initiative not only breathes new life into a classic but also redefines the boundaries of performance spaces, engaging audiences in unexpected and enchanting ways.

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ REPORT For the year ended 31 March 2023

ACHIEVEMENTS AND PERFORMANCE (CONTINUED)

Summary of main achievements of the charity during the year (Cont.)

Christmas Partnership

Building upon a successful artistic partnership with Alnwick Playhouse and a new partnership with The Alnwick Garden, QHA collaborated to craft a brand-new Christmas production of Wind in the Willows. By integrating the creative expertise of all the organisations, we were able to deliver a heart- warming and visually stunning production which included a community cast of children from Hexham and the surrounding area. The inclusion of a child cast not added a delightful touch to the performance but also provides a unique opportunity for young talents to develop their skills and showcase their abilities in a professional setting. This collaborative venture exemplifies our dedication to fostering artistic innovation, nurturing local talent, and creating memorable experiences that resonate with audiences of all ages.

Podcast Series

In a strategic move to connect with diverse audiences and provide a comprehensive insight into our organisation's activities, we developed a podcast series, ‘Unseen’. This initiative goes beyond traditional communication channels, offering a behind-the-scenes experience that delves into the intricacies of our work and projects. Our podcast provides a dynamic platform, allowing us to share compelling narratives, discuss creative processes, and explore the motivations driving our initiatives. By leveraging the power of audio storytelling, we aspire to create a more accessible and engaging means for our audience to connect with our mission and vision. This podcast series not only reflects our commitment to transparency but also represents a dynamic step toward fostering a deeper understanding and appreciation for the impact of our work within the broader community.

Exhibition Innovation

As part of our ongoing commitment to promoting regional artistic talent, we have taken a significant step by curating and creating our 6 exhibitions in collaboration with a diverse array of 8 regionally based visual artists. This strategic initiative enables us to seamlessly integrate a vibrant visual arts program into our broader artistic offerings, providing a multifaceted experience for our audience. Working in partnership with both emerging and established regional artists, we have cultivated a dynamic platform that not only celebrates the rich artistic diversity of the region but also positions our gallery as a crucial showcase for their work. As one of the very few galleries in the Tyne Valley, we recognize the importance of our role in providing a prominent and supportive venue for the visual arts, contributing to the cultural tapestry of our community and beyond.

Engaging with our Community

Our commitment to community engagement has deepened significantly through a series of impactful projects. Notably, the Illuminated Sheep community engagement project brought together residents in a unique and creative way, fostering a sense of unity and shared experience. Recognizing the often-overlooked contributions of community members, the Unsung Heroes initiative highlighted and celebrated the remarkable stories of individuals whose efforts enrich our shared narrative. Additionally, the Lantern Parade emerged as a vibrant celebration of creativity, providing a platform for families to express themselves artistically and come together to celebrate. The Key Change project further reinforced our dedication to inclusivity, creating opportunities for young people to take the lead in designing and managing a music festival. Through these initiatives, we are forging deeper connections, celebrating diversity, and actively involving our community in the co-creation of meaningful cultural experiences.

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ REPORT For the year ended 31 March 2023

ACHIEVEMENTS AND PERFORMANCE (CONTINUED)

Summary of main achievements of the charity during the year (Cont.)

Partnership Working

At the heart of our organisational ethos is a strong commitment to collaborative partnership working. We have actively engaged in consolidating existing partnerships, fostering stronger ties with esteemed entities such as the Hexham Book Festival, Alnwick Playhouse, and the Hexham Cultural Network. Recognizing the importance of forging new connections, we embarked on exciting collaborations with Tyne and Wear Archives and Museums, The Alnwick Garden, and the Hexham high street retailer. Additionally, we are dedicated to the growth and expansion of our school partnerships, which create enriching educational experiences for students. These collaborative efforts underscore our belief in the power of partnerships to enhance the cultural landscape, expand our reach, and create meaningful experiences with our community.

Continued Challenges (and how we have dealt with them)

Despite our organisation's resilience and commitment to progress, we have encountered challenges throughout the year. These obstacles have been instrumental in shaping our adaptability and strengthening our resolve to overcome adversity. From navigating unforeseen economic uncertainties to addressing logistical hurdles, each challenge has provided valuable lessons that contribute to our development and growth. Additionally, external factors such rising energy costs, the cost-of-living crisis, changing cultural landscapes, and evolving audience expectations have prompted us to re-evaluate and refine our strategies. Through these challenges, we remain unwavering in our dedication to learning, evolving, and finding innovative solutions that will ultimately contribute to the long-term success and sustainability of our organisation.

In response to the ongoing cost-of-living crisis, QHA has risen to the challenge by implementing meaningful initiatives to alleviate financial burdens within our community. Understanding the importance of maintaining access to cultural experiences, we were proud to announce the introduction of focused, free Christmas tickets funded through our ‘pay ahead’ initiative. Furthermore, our commitment to community engagement remains steadfast as we extend our support by organising free community events including the annual Lantern Parade. These events not only provide opportunities for social connection but also serve as a testament to our dedication to inclusivity and accessibility. By taking these steps, we aim to contribute positively to the wellbeing of our community during challenging times, ensuring that cultural enrichment remains accessible to all, irrespective of economic circumstances.

Over the past year, we have proactively responded to the challenges posed by increased energy costs and overheads by implementing strategic adjustments to our budgets. Recognising the importance of sustainability and cost efficiency, we have focused on optimising energy usage, identifying and implementing measures to reduce consumption. Concurrently, we have undertaken initiatives to boost our earned income, exploring new revenue streams and enhancing existing offerings to attract a wider audience. By expanding our programme, we not only diversify our income sources but also cater to evolving audience interests. These adaptions reflect our commitment to financial resilience, environmental responsibility, and the continued delivery of highquality cultural experiences, even in the face of economic challenges.

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ REPORT

For the year ended 31 March 2023

ACHIEVEMENTS AND PERFORMANCE (CONTINUED)

Summary of main achievements of the charity during the year (Cont.)

Investing in our creative community

We remain steadfast in our commitment to the growth and vitality of the North East cultural sector. A key aspect of this commitment is reflected in our continued employment of freelance artists and professionals, fostering a dynamic and collaborative working environment. Through strategic coproductions like 'Wind in the Willows' and others, we not only enrich our artistic portfolio but also contribute to the cultural landscape of the region. Additionally, we actively support local artists and creating companies by providing freelance working days, valuable mentorship opportunities, dedicated research and development (R&D) spaces, rehearsal space and small commissions. This multifaceted approach underscores our dedication to nurturing artistic talent, promoting collaboration, and reinforcing our role as a catalyst for positive growth within the North East cultural sector supporting more than 65 creative professionals.

Strengthening organisational resilience

To strengthen the resilience of our organization, we have undertaken a series of strategic measures that underscore our commitment to sustainability and adaptability. Achieving Arts Council England National Portfolio Organization (NPO) status has provided a stable foundation, ensuring continued support for our core activities and initiatives. A structural review led to the creation of a Senior Management Team which has empowered us to streamline operations, enhancing efficiency and responsiveness to changing needs. Diversifying our financial base, we have successfully tapped into new funding streams such as the North of Tyne Combined Authority, broadening our resource portfolio.

Embracing flexibility in project delivery, we have engaged freelancers and a project coordinator, allowing us to dynamically scale our team in response to project needs and available funding. This approach not only optimizes resource allocation but also enhances our agility in navigating dynamic projects and expands our skill base.

Recognizing the pivotal role of governance, we have undertaken strategic board recruitment initiatives, bringing in individuals with diverse expertise and a shared commitment to our organisational mission. This collective effort in strengthening our organisational foundation reflects our focus on resilience, adaptability, and long-term sustainability.

Financial Resilience

In a strategic effort to bolster our financial resilience and ensure the sustainability of our organisation, we have undertaken a proactive approach to diversify our income streams. By optimising our bar services, offering private hire options, and expanding our programme to attract diverse audiences, we aim to not only enhance the overall visitor experience but also generate additional income. Furthermore, we expanded our retail sales offer, providing unique merchandise related to the content of our artistic programme. This comprehensive approach reflects our commitment to adaptability and innovation in navigating the evolving economic uncertainties.

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ REPORT

For the year ended 31 March 2023

ACHIEVEMENTS AND PERFORMANCE (CONTINUED)

Summary of main achievements of the charity during the year (Cont.)

Financial Review

The out-turn for the year is an unrestricted deficit of £(166,739) (2022: Deficit £353). The deficit will be deducted from Unrestricted Funds, leaving a balance on Unrestricted Funds at 31 March 2023 of £808,709.

The aftermath of the global pandemic continues to exert its influence on our operations. The lingering effects of COVID-19 have impacted our financial intelligence, making it challenging to predict and navigate the uncertainties in the sector. However, we remain committed to adapting to these changes and implementing strategies to strengthen our financial resilience.

In addition to the global challenges, we have faced a series of cost escalations. Rising energy costs, compliance with the National Living Wage, and increased overheads have contributed to the financial strain. Moreover, the necessity to address long-term underinvestment in our infrastructure has resulted in higher building maintenance costs.

PLANS FOR THE FUTURE

What are the ambitions and challenges for the next 12 months?

The main focus of the organisation for 2023/24 will be to:

• Expand our audiences to include a wider demographic.

• Continue to expand our co-creation delivery model through our partnership working with schools and our youth led music festival.

• Work with our community and local cultural partners to co-create the first Hexham Pride event.

• • Further widen our income streams with an enhanced bar offer, focused private hire and VIP ticket offer.

• Work to further include Youth Voice in our projects and our wider organisation.

• Expand our digital reach including building and delivering a new website

• Strengthen environmental thinking and engagement in our organisation

• Collect and use data to inform our programme in a more informed way and develop systems for measuring the quality of our work.

• Improve accessibility to our website and our venue.

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ REPORT

For the year ended 31 March 2023

RESPONSIBILITIES OF THE TRUSTEES

The Trustees (who are also the Directors of Queen’s Hall Arts 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 which 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;

• make judgments 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 proper 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. The Trustees 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.

Signed on behalf of the Trustees

Lynn Turner Trustee Company Registration Number 03929839

13 December 2023

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INDEPENDENT EXAMINER’S REPORT TO THE MEMBERS ON THE UNAUDITED ACCOUNTS OF QUEEN’S HALL ARTS FOR THE YEAR ENDED 31 MARCH 2023

I hereby report to the Trustees of Queen’s Hall Arts (Charity Registration Number 1088975) on my examination of the accounts for the year ended 31 March 2023 set out on pages 16 to 30.

Responsibilities and Basis of Report

As the charity’s Trustees (and also its Directors for the purposes of company law), you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).

Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.

Independent Examiner’s Statement

Since the Company’s gross income exceeded £250,000, your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountant in England and Wales, which is one of the listed bodies.

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:

1. accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or

2. the accounts do not accord with those records; or

3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act 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; or

4. the accounts have not been prepared in accordance with the methods or principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102)).

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Pete O’Hara, FCA, Chartered Accountant Fellow of the Institute of Chartered Accountants in England & Wales

Flat 3, 1 Tankerville Terrace, Jesmond, Newcastle upon Tyne NE2 3AH

13 December 2023

15

QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2023

Note Income Income from Investments 2 Income from Grants, Donations & Legacies 3 Income from Charitable Activities 4 Other Income 5 Total Income Expenditure Cost of Raising Funds 6 Expenditure on Charitable Activities 7 Total Expenditure Net Income/(Expenditure) Balance brought forward at 1 April Balance carried forward at 31 March	Unrestricted Funds Restricted Funds Total 2023 Total 2022 £ £ £ £ 200 - 200 18 244,721 215,395 460,116 705,503 420,299 - 420,299 187,275 9,031 - 9,031 11,050
	674,251 215,395 889,646 903,846 - 1,250 1,250 - 840,990 197,120 1,038,110 808,155
	840,990 198,370 1,039,360 808,155
	(166,739) 17,025 (149,714) 95,691 975,448 88,900 1,064,348 968,657
	£808,709 £105,925 £914,634 £1,064,348

The notes on pages 18 to 30 form part of the financial statements.

All of the activities of the company are classed as continuing.

The Statement of Financial Activities includes all gains and losses in the year and therefore a statement of total recognised gains and losses has not been prepared.

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) STATEMENT OF FINANCIAL POSITION/BALANCE SHEET AS AT 31 MARCH 2023

Notes Fixed Assets Tangible Fixed Assets 10 Current Assets Stocks 11 Debtors 12 Cash At Bank & In Hand Creditors – Amounts Falling Due Within 1 Year 13 Net Current Assets/(Liabilities) Total Net Assets 14 Represented by: Unrestricted Funds – General 15 Unrestricted Funds - Designated 15 Restricted Funds 15	2023 2022 £ £ 769,685 829,067 2,500 - 86,982 112,515 249,541 251,738
	339,023 364,253 (194,074) (128,972)
	144,949 235,281
	£914,634 £1,064,348
	808,709 956,165 - 19,283 105,925 88,900
	£914,634 £1,064,348

The notes on pages 18 to 30 form part of the financial statements.

The Trustees are satisfied that for the year ended 31 March 2023 the charity was entitled to exemption under section 477(2) of the Companies Act 2006.

The Trustees also confirm that the Members have not required the charity to obtain an audit in accordance with section 476 of the Companies Act 2006

The Trustees acknowledge their responsibilities for:

(i) ensuring that the charity keeps adequate accounting records which comply with section 386 of the Act, and

(ii) preparing financial statements which give a true and fair view of the state of affairs of the charity as at the end of the financial year and of its profit or loss for the financial year in accordance with the requirements of section 393, and which otherwise comply with the requirements of the Act relating to financial statements, so far as applicable to the charity.

These financial statements were approved and signed by a Member of the Board of Trustees on 13 December 2023.

Lynn Turner Trustee Company Registration Number 03929839

17

QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

1. Accounting Policies

Basis of Accounting

These financial statements have been prepared in accordance with applicable United Kingdom accounting standards, including Financial Reporting Standard 102 – 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' ('FRS 102'), and with the Companies Act 2006 and the Statement of Recommended Practice (Charities SORP FRS 102) "Accounting and Reporting by Charities" and the Charities Act 2011.

The financial statements have been prepared on the historical cost basis, modified to include certain financial instruments at fair value.

Advantage has been taken of the provisions in the SORP for Charities applying FRS 102 Update Bulletin 1 not to prepare a statement of cashflows.

The financial statements are prepared in sterling, which is the functional currency of the charity.

Taxation Status

Queen’s Hall Arts Limited is a Charity registered under the 1960 Charities Act and is accorded exemption from liability to taxation on its income under S505 Income and Corporation Taxes Act 1988.

Going Concern

There are no material uncertainties about the charity's ability to continue.

Income

All income is included in the statement of financial activities when the charity is entitled to the income, any performance related conditions attached have been met or are fully within the control of the charity, the income is considered probable and the amount can be quantified with reasonable accuracy.

The following specific policies are applied to particular categories of income:

• Donations and legacy income is received by way of donations, legacies, grants and gifts and is included in full in the Statement of Financial Activities when receivable.

• Grants, where entitlement is not conditional on the delivery of a specific performance by the charity, are recognised when the charity becomes unconditionally entitled to the grant.

• Investment income is included when receivable.

• Income from charitable trading activity is accounted for when earned.

• Other income is accounted for when receivable.

18

FOR THE YEAR ENDED 31 MARCH 2023

QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS

1. Accounting Policies (Continued)

Operating Leases

The charity classifies the lease of certain types of equipment as operating leases as the title to the equipment remains with the lessor. Rental charges are charged against income on a straight-line basis over the period of the lease.

Tangible Fixed Assets and Depreciation

Depreciation is provided on any fixed assets at rates calculated to write off the assets over their remaining useful lives as follows:

Motor Vehicles - 25% straight line on cost Plant & Machinery - 10% straight line on cost Fixtures & Fittings - 25% straight line on cost Long Leasehold - 10% straight line on cost Property Improvements - 10% straight line on cost

A full year’s depreciation charge is applied in the year of acquisition and no charge is made in the year of disposal.

Impairment of Fixed Assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

Financial Instruments

A financial asset or a financial liability is recognised only when the charity becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs.

Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted.

Debt instruments are subsequently measured at amortised cost where there is a material adjustment.

Fund Accounting

Unrestricted funds are available for use at the discretion of the trustees in furtherance of the purposes of the charity.

Designated funds are unrestricted funds earmarked by the trustees for specific purposes.

Restricted funds are subjected to restrictions on their expenditure imposed by the donor.

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

1. Accounting Policies (Continued)

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Judgements and Key Sources of Estimation Uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. There are no significant judgements or estimation uncertainty included within the financial statements.

Pensions

The charity operates a defined benefit pension scheme for 1 qualifying employee. The scheme is not open for others to join. The assets of the scheme are held separately from those of the charity in an independently administered fund.

Pension benefits for other staff are provided through a defined contribution scheme. The assets of the scheme are held separately from those of the company in a separately administered fund. The charity makes contributions to this pension scheme and acts as an agent in collecting and paying over both the employee and employer contributions.

For both schemes, the charity makes contributions to this pension scheme and acts as an agent in collecting and paying over both the employee and employer contributions, whilst the amount charged to the Statement of Financial Activities for pension costs is the contributions payable in the year. Differences between contributions payable in the year and contributions actually paid are shown as either accruals or prepayments in the Balance Sheet.

Legal Status

The charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1. The company law members of the charity are the members of its Board of Trustees.

2. Income from Investments

Interest Receivable	Unrestricted Funds £ Restricted Funds £ 2023 £ 2022 £ 200 - 200 18
	£200 £- £200 £18

The 2022 total of £18 was wholly attributable to Unrestricted Funds.

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

3. Income from Grants, Donations & Legacies

Arts Council England (ACE) – National Portfolio Organisation ACE – Small-Scale Capital ACE – Cultural Recovery Fund ACE – Cultural Capital Kickstart Community Foundation Community Foundation – Tynedale Community Choir Coronavirus Job Retention Scheme Emma Newton Fund Foyle Foundation Historic England – Beneath Our Feet Key Change Project (Youth Music) Northumberland County Council (NCC) - Fundraiser NCC – Hexham High Street Heritage Action Zone NCC - Ignite NCC – Illuminated Sheep NCC - Platinum Jubilee Event/Beacons NCC - Revenue Ray Wind Fund – Beneath Our Feet TNC Community Fund - Hexham Pride UNESCO - Ukrainian Artists in danger Donations	Unrestricted Funds £ Restricted Funds £ 2023 £ 2022 £ 120,321 - 120,321 135,077 - (30,081) (30,081) 299,876 21,529 - 21,529 - - 3,065 3,065 - - - 12,670 - 2,780 2,780 - - - - 22,116 - - - 3,000 - - - 25,000 - 9,850 9,850 - - - - 49,000 - 5,000 5,000 - - 7,000 7,000 10,000 - 77,748 77,748 - - 45,000 45,000 30,000 - 74,811 74,811 - 95,777 - 95,777 111,778 - 6,000 6,000 - - 8,500 8,500 - - 5,322 5,322 -
	237,627 214,995 452,622 698,517 7,094 400 7,494 6,986
	£244,721 £215,395 £460,116 £705,503

Of the 2022 total of £705,503, £275,957 was attributable to Unrestricted Funds and £429,546 to Restricted Funds.

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

4. Income from Charitable Activities

ncome from Charitable Activities
Ticket Sales & Commission Theatre/Room Hire & Library Service Charges Front Of House Sales & Commission Recharge Income	Unrestricted Funds £ Restricted Funds £ 2023 £ 2022 £ 265,459 - 265,459 108,003 75,225 - 75,225 73,326 8,021 - 8,021 1,855 71,594 - 71,594 4,091
	£420,299 £- £420,299 £187,275

The 2022 total of £187,275 was wholly attributable to Unrestricted Funds.

5. Other Income

Other Income
Museums & Galleries Exhibition Tax Relief Other Income Café & Ice Cream Sales Café Franchise & Service Charges	Unrestricted Funds £ Restricted Funds £ 2023 £ 2022 £ (7,813) - (7,813) 8,500 165 - 165 - 8,879 - 8,879 - 7,800 - 7,800 2,550
	£9,031 £- £9,031 £11,050

The 2022 total of £11,050 was wholly attributable to Unrestricted Funds.

6. Expenditure on Raising Funds

Fundraising Consultancy	Unrestricted Funds £ Restricted Funds £ 2023 £ 2022 £ - 1,250 1,250 -
	£- £1,250 £1,250 £-

22

QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

7. Expenditure on Charitable Activities

Cost of Sales Advertising, Design & Publicity Box Office Software/Card Charges Exhibition Costs Film Costs Freelance Fees Front Of House Costs Performance Fees Project Expenditure Purchases/Stock Salaries & On Costs Support Costs Building/Equipment Maintenance Depreciation & Amortisation Heat, Light & Water ICT, Telephone & Website Insurance Other Premises Costs Other Administration & Running Costs Governance Costs Accountancy/Payroll/Independent Examination	Unrestricted Funds £ Restricted Funds £ Total 2023 £ Total 2022 £ 17,879 - 17,879 24,770 - 24,770 4,199 - 4,199 5,604 - 5,604 45,758 - 45,758 7,854 - 7,854 165,665 - 165,665 108,191 197,120 305,311 392,969 4,478 - 4,478 253,650 - 253,650 269,085
	638,048 197,120 835,168 662,054 42,425 - 42,425 59,382 - 59,382 69,090 57,741 - 57,741 77,011 8,918 - 8,918 2,476 - 2,476 8,606 - 8,606 18,882 - 18,882
	198,430 - 198,430 146,101 4,512 - 4,512
	4,512 - 4,512
	£840,990 £197,120 £1,038,110 £808,155

The Trustees approved the disclosure of a more detailed breakdown of costs for 2022/23 but retained the previous format for 2021/22 for consistency with the previously published 2021/22 accounts.

Of the 2022 total of £808,155, £674,618 was attributable to Unrestricted Funds and £133,537 to Restricted Funds.

23

QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

8. Net Income/(Expenditure)

Net Income/(Expenditure)
	2023	2022
	£	£
Net income/(expenditure) is stated after charging/(crediting):
Independent Examiner’s Fees – current year	1,500	2,500
Independent Examiner – Other Services	600	-
Depreciation of owned Fixed Assets	59,382	69,090

9. Staff Costs & Trustees’ Remuneration

Gross Salary Costs Employer’s National Insurance Employer’s Pension Contributions	2023 £ 2022 £ 226,721 180,627 12,501 6,508 14,428 81,950
	£253,650 £269,085

No employee received remuneration of more than £60,000 during the year (2022 - Nil).

The charity defines Key Management Personnel as the Trustees and the members of the Senior Management Team. Remuneration of £102,504 (2022: £87,868), including employer’s pension contributions, was paid by the charity during the year to Key Management Personnel.

The average number of staff employed during the
year, calculated as full-time equivalents, was as
follows:	2023	2022
	No	No
Artistic Production and Support	13	12

The charity operates a defined benefit pension scheme for all qualifying employees (1 Employee). The scheme is not open for others to join. The assets of the scheme are held separately from those of the charity in an independently administered fund.

Pension benefits for other staff are provided through a NEST Group Personal Pension Scheme, which is a defined contribution scheme. The assets of the scheme are held separately from those of the company in a separately administered fund. The charity makes contributions to this pension scheme and acts as an agent in collecting and paying over both the employee and employer contributions.

24

QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

9. Staff Costs & Trustees’ Remuneration (Cont.)

In the year to 31 March 2023 Queen’s Hall Arts made an employer's contribution of 3% of pensionable pay, provided that the employee makes a minimum contribution of 5%.

These amounts are paid over to the scheme on a monthly basis. No contributions were outstanding at 31 March 2023 (2022: £Nil).

The charge to profit and loss in respect of all pension schemes was £14,428 (2022 - £19,950).

In the year to 31 March 2022, there was a further charge for pension lump sum payments of £62,000, relating to a liability paid in 2022/23 together with a provision for future liabilities.

No remuneration has been paid to any Trustees/Directors in the year (2022: £Nil). No reimbursement has been made of any Travel and Subsistence expenses to Trustees in respect of their attendance at meetings of the charity (2022: £Nil).

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NOTES TO THE ACCOUNTS

QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE)

FOR THE YEAR ENDED 31 MARCH 2023

10. Tangible Fixed Assets

Cost At 1 April 2022 Additions At 31 March 2023 Depreciation At 1 April 2022 Charge for year At 31 March 2023 Net Book Value At 31 March 2023 At 1 April 2022 Cost At 1 April 2022 Additions At 31 March 2023 Depreciation At 1 April 2022 Charge for year At 31 March 2023 Net Book Value At 31 March 2023 At 1 April 2022		Leasehold Improvements Plant & Machinery £ £ 950,583 44,942 - - 950,583 44,942 194,178 44,808 32,320 134 226,498 44,942 £724,085 £- £756,405 £134 Fixtures & Fittings Total Fixed Assets £ £ 159,317 1,154,842 - -
		159,317 1,154,842 86,789 325,775 26,928 59,382
		113,717 385,157 £45,600 £769,685
		£72,528 £829,067

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

11.	Stock
				2023	2022
				£	£
	Finished Goods for Resale			2,500	-
				£2,500	£-
12.	Debtors
				2023	2022
				£	£
	Trade Debtors			9,671	39,036
	Grant Debtors			51,600	50,736
	Other Debtors			7,426	6,082
	Other Taxes & Social Security Costs			-	661
	Accrued Income			8,187	16,000
	Prepayments			10,098	-
				£86,982	£112,515
13.	Creditors – Amounts Falling Due Within 1 Year
				2023	2022
				£	£
	Other Taxes & Social Security Costs			10,576	-
	Trade Creditors			9,984	46,324
	Other Creditors			58,587	14,276
	Accruals			114,927	68,372
				£194,074	£128,972
14.	Analysis of Net Assets between Funds
		Unrestricted	Restricted	Total	Total
		Funds	Funds	2023	2022
		£	£	£	£
	Fixed Assets	769,685	-	769,685	829,067
	Stock	2,500	-	2,500	-
	Debtors	35,382	51,600	86,982	112,515
	Cash at Bank and In Hand	195,216	54,325	249,541	251,738
	Creditors – Amounts Due Within 1 Year	(194,074)	-	(194,074)	(128,972)
		£808,709	£105,925	£914,634	£820,784

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QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

15. Analysis of Charitable Funds

Unrestricted Funds Charity General Fund Designated Building Development Fund Restricted Funds Community Foundation – Beneath Our Feet Illuminated Sheep Youth Music – Key Change ACE – Small-Scale Capital ACE – Cultural Capital Kickstart Community Foundation – Tynedale Community Choir Donations – Community Choir Historic England – Beneath Our Feet Northumberland County Council - Fundraiser Northumberland County Council – Hexham High Street Heritage Action Zone Northumberland County Council - Ignite Northumberland County Council - Platinum Jubilee Event and Beacons Ray Wind Fund – Beneath Our Feet TNC Community Fund - Hexham Pride UNESCO - Ukrainian Artists in danger Total Funds	Fund at 1 April 2022 £ Incoming Resources in Year £ Resources Expended in Year £ Fund at 31 March 2023 £ 956,165 674,251 (821,707) 808,709 19,283 - (19,283) -
	975,448 674,251 (840,990) 808,709 9,900 - (2,414) 7,486 30,000 45,000 (75,000) - 49,000 - (7,532) 41,468 - (30,081) 30,081 - 3,065 (3,065) - - 2,780 (2,780) - - 400 (400) - - 9,850 - 9,850 - 5,000 (1,250) 3,750 - 7,000 (7,000) - - 77,748 (48,702) 29,046 - 74,811 (74,811) - - 6,000 - 6,000 - 8,500 (175) 8,325 - 5,322 (5,322) -
	88,900 215,395 (198,370) 105,925
	£1,064,348 £889,646 £(1,039,360) £914,634

28

FOR THE YEAR ENDED 31 MARCH 2023

QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS

15. Analysis of Charitable Funds (Cont.)

Name of Designated Fund Description, Nature & Purpose of the Designated Fund Building Development Fund A provision set aside to finance larger periodical building maintenance and developments that are not carried out on an annual basis. The balance of this reserve has been utilised to cover building maintenance costs in 2022/23

Name of Restricted Fund Description, Nature & Purpose of the Restricted Fund Community Foundation / Historic England To support artistic activity for older people / Ray Wind Fund – Beneath Our Feet Northumberland CC - Illuminated Sheep To support a county-wide visual art trail Youth Music To support a youth-led music festival ACE – Small-Scale Capital / Cultural Towards the costs of small-scale capital equipment Capital Kickstart Community Foundation / Donations – Towards the costs of Tynedale Community Choir Community Choir Northumberland County Council – Towards the costs of engaging a freelance Fundraiser fundraiser Northumberland County Council – Towards the costs of Hexham High Street Heritage Hexham High Street Heritage Action Action Zone Zone Northumberland County Council – Ignite Towards the costs of the Ignite programme Northumberland County Council - Towards the costs of a Platinum Jubilee event Platinum Jubilee Event and Beacons TNC Community Fund - Hexham Pride Towards the costs of the 2023 Pride event UNESCO - Ukrainian Artists in danger Towards the costs of work with Ukrainian artists

29

QUEEN’S HALL ARTS (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023

16. Related Party Transactions

The charity has a close working relationship with Arts Council England which is a registered charity and has provided significant funding which enables the charity to carry out its charitable objectives. In total, grant funding of £114,834 (2022: £434,953) was recognised from Arts Council England in the year. At 31 March 2023, no sums were owing to Queen’s Hall Arts from Arts Council England (31 March 2022: £50,736).

The charity also has a close relationship with Northumberland County Council (NCC) which provides essential core funding to the charity, as well as occasional project-based funding. In addition, the Queen's Hall, where the bulk of the charity's activities take place, is leased from NCC at a peppercorn rent whilst the charity operates sub-leases at the Queen's Hall to NCC Customer Services.

Ongoing NCC funding is subject to annual reviews and agreements on performance targets.

In total, grant funding of £305,336 (2022: £151,778) was recognised from NCC in the year. At 31 March 2023, £45,000 owing to Queen’s Hall Arts from NCC (31 March 2022: £Nil).

There were no other transactions in the year with related parties, such as are required to be disclosed under the Financial Reporting Standard for Smaller Entities (Effective April 2008) (2022: Nil).

17. Taxation

The company is a registered charity and no provision is considered necessary for taxation.

18. Financial Commitments

No material financial commitments have been made in respect of future financial periods.

19. Company Limited by Guarantee

The charity is incorporated under the Companies Act 1985 and is limited by guarantee, each member having undertaken to contribute such amounts not exceeding £1 as may be required in the event of the company being wound up whilst he or she is still a member or within one year thereafter.

There are currently 10 members of the company (2022 - 7 members).

30