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2022-03-31-accounts

Company number 4421812 Charity number England & Wales 1094936 Charity number Scotland SC049324

LUX

(Limited by Guarantee)

Report and Financial Statements for the year ended 31 March 2022

Breckman & Company Ltd Chartered Certified Accountants 49 South Molton Street London W1K 5LH

LUX

(Limited by Guarantee)

Contents

Page
Reference and Administrative Details 1
Trustees' Report 2 - 7
Auditors' Report 8 - 10
Statement of Financial Activities (including Income and Expenditure Account) 11 - 17
Balance Sheet 18
Cash Flow Statement 19
Notes to the Financial Statements 20 - 31

LUX

(Limited by Guarantee)

Reference and Administrative Details

Constitution

The company is a private company limited by guarantee registered in EW - England & Wales, company number 4421812, incorporated under the Companies Act, and its governing document is its Memorandum and Articles of Association. The company is a registered charity in England & Wales, number 1094936, and in Scotland, number SC049324.

Directors and trustees

The directors of the charitable company ("the charity") are its trustees for the purpose of charity law and throughout this report are collectively referred to as the trustees.

As set out in the Articles of Association the trustees are appointed as follows:

The subscribers to the memorandum and such other persons as are admitted to membership in accordance with the articles shall be members of the company. Subject to Article 7, every person who wishes to become a member shall deliver to the company an application for membership in such form as the trustees require signed by him or her.

Policies and procedures adopted for the induction and training of trustees are ongoing and incorporated indirectly into the regular trustees meetings.

The trustees during the year and since the year end, were:

Jemma Desai resigned 16 November 2021
Elke Finkenauer appointed 15 June 2021
Joanna Fraga Mamede appointed 16 March 2022
Andrea Francke appointed 9 June 2021
Onyeka Igwe appointed 6 October 2021
Dr So Mayer appointed 25 June 2021
Colm Peare appointed 23 February 2022
Xavier Pillai appointed 23 February 2022
Tessa Norton
Alia Syed (Chair)
Rehana Zaman (Chair) resigned 15 February 2022

Chief executive/day to day management

Benjamin Cook

Auditors

Breckman & Company Ltd, Chartered Certified Accountants, 49 South Molton Street, London W1K 5LH.

Bankers

The Co-operative Bank, PO Box 200, Skelmersdale WN8 6GH. Triodos Bank, Deanery Road, Bristol BS1 5AS. Cater Allen Private Bank, 2 Triton Square, Regent's Place, London NW1 3AN.

Registered office and operation address

Waterlow Park Centre, Dartmouth Park Hill, London N19 5JF.

1

LUX

(Limited by Guarantee)

Trustees' Report

The trustees present their annual report together with the financial statements of the charity for the year ended 31 March 2022 which are also prepared to meet the requirements for a directors' report and accounts for Companies Act purposes.

The reference and administrative details set out on page 1 form part of this report. The financial statements comply with Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

Objectives and activities for the public benefit

The purpose of the charity is:

To promote, maintain, improve and advance education in the arts particularly the arts of film and video making and other moving image arts for the public benefit.

The charity has three main aims in reference to its objectives which are advocacy for moving image arts, providing access to moving image arts and supporting moving image arts. These aims and objectives are achieved through the following strategies:

Advocacy

Access

In shaping our objectives for the year and planning our activities, the trustees have considered the Charity Commission's guidance on public benefit, including the guidance 'public benefit : running a charity (PB2).

2

LUX

(Limited by Guarantee)

Trustees' Report

Organisational structure

A board of trustees of up to 12 members, who meet quarterly, administers the charity. Trustees are appointed by the board of trustees. A Chief Executive, Benjamin Cook is appointed by the trustees to manage the day-to-day operations of the charity.

Policies and procedures adopted for the induction and training of trustees

Responsibility for the induction of new trustees rests with the current trustees. The induction procedure consists of an introduction to current trustees, all members of staff, to the charities work and projects and a visit to the charity's offices and selected projects. Ongoing training needs of trustees are monitored and acted upon through a regular, pro-active process of board development.

Pay policy for senior staff

Staff pay/remuneration is reviewed on a yearly basis by the board of trustees through a benchmarking process with a network of other small scale not-for-profit visual arts organisations in London.

Achievements and Performance 2021/22

LUX is a national arts agency that exists to support and promote artists working with the moving image through distribution, exhibition, publishing, education and research. It has a public programme of exhibitions, screenings and publishing both in the UK and overseas, but the major part of its work is as a support network for artists' and artists organisations (representing artists' works, providing specialist advice and services to institutions and arts professionals) as well as the care, promotion and development of the UK's only significant collection of artists' film and video.

LUX's distribution service works to promote and support the work of approximately 1,500 artists annually - making artists work available to exhibitors on a national and international basis, providing pastoral care, professional advice and negotiating artists' fees to enable artists to develop a sustainable practice - this has expanded by 8 artists and 90 new works in the 2021/22. We organise and host LUX artists' forum groups around the country which enable artists to explore ideas and professional issues with LUX and their peers as well as connect with other LUX groups around the UK and Ireland, currenting supporting groups in London, Newcastle, Nottingham, Dublin and Cork. We offer one-on-one advice sessions for artists in the UK supporting over 200 artists from around the UK.

LUX has a large and diverse international network ranging from artist-run spaces to major museums, we work with these partners to present UK artists work overseas and collaborate on the staging of screenings and exhibitions. LUX also works with international organisations and artists to present and make available their work in the UK both through distribution and public programming. LUX is invited to present its work and UK artists every month throughout the year at international screenings, galleries, festivals and biennials. We regularly work with the British Council and other national cultural agencies in terms of cultural exchange through exhibition exchanges, residencies and co-productions. LUX is part of a number of international networks to extend the reach of our work and access new markets for UK work.

3

LUX

(Limited by Guarantee)

Trustees' Report

LUX aims to advocate for and make accessible artists' moving image work to the general public and enable them to have their own creative experiences. As an agency we achieve this by annually supporting a large number of exhibitions, screenings and events on a local, national and international basis through our collection and distribution service with a wide range of partner organisations. We also organise touring projects which provide access to pre-curated selections of work which are presented in context with supporting materials for venues which may not have the capacity to develop projects themselves. We work with a range of partners to develop contextual event and engagement programmes responding to their core programme or special events . We usually organise our own public programme at our home bases in London and Glasgow and with host partners which take a range of forms from exhibitions to events to workshops appropriate to the artists and work we are presenting which again moved to online.

LUX aims to increase visitors to the LUX website, events and subscribers annually and seeks to improve visitor experience and accessibility.

Year on year we have sought to increase the reach and number of our audiences through distribution, partner programming and our own public projects. As we came out of the pandemic while audiences were initially tentative about returning to physical spaces we saw a slow but steady increase in audiences as the year progressed.

As a small committed organisation with a strong public ethos we pay close attention to these qualitative and experiential aspects of our work. We are an artist-centred organisation which works very closely with numerous artists on a long-term basis throughout their career. From day to day support of distribution artists, close working with commissioning and producing artists projects to our open emergent artist opportunities including one-on-one working with young artists and our peer-led groups we offer a bespoke attentive experience for the artists. In terms of our public programme we are invested in our work and advocacy for artists, works and high-quality presentation are key aims. We work closely on a personal level with all of our programme development - we carefully plan the appropriateness of each event, its staging and presentation, we work closely with the artists and each project is personally mediated by LUX staff. We pay attention to framing and interpretation so all activities include artists/curator talks, opportunities for audiences to discuss, as well as contextual material to explore works and themes in more detail.

LUX was able to reopen in the Spring of 2021 as the pandemic restrictions were lifted but have sought to maintain a blended programme of on and off-line activity to offer maximum accessibility of local and national audiences. Programme highlights have included:

4

LUX

(Limited by Guarantee)

Trustees' Report

Residencies:

New Publications:

Organisational Development

In the past year we have appointed a new Distribution Director and adapted our Technical Director role to work across the organisation in terms of its technical needs. We announced an open tender for a new website and appointed Bradford-based Out of Place to build a new site which will improve access to LUX's work and its technical accessibility. We commissioned Atomik Architecture to develop a feasibility plan for the development of our building which will form the foundation of a potential future capital development project. During 2021/22 we expanded the LUX board of trustees to broaden the skills base and representation.

Plans for Future Periods

General aims and objectives 2022/23

5

LUX

(Limited by Guarantee)

Trustees' Report

The trustees confirm that they have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning future activities.

Financial Review and Reserves Policy

The charity is aiming to maintain a level of free reserves i.e. those not invested in tangible fixed assets, that would sustain its operations over a 6-month period should its revenue grants and income generating activities be temporarily curtailed. This figure is currently £287,271 which includes a designated fund of £76,000. The designated funds are to support Brexit mitigation, new space development, staff training, software upgrades, building improvements, fundraising consultancy, and a reserve for LUX Scotland projects and All designated funds commitments will be completed by end of March 2022. Restricted funds of £168,092 were held at the year-end.

Major Risks

The major strategic, business and operational risks which the charity faces are examined on a yearly basis as part of the forward planning process and systems established to lessen the risks. The major risks to the charity are that its revenue funding from Arts Council England would be withdrawn; as ACE have supported LUX for 20 years and all feedback has been very positive the trustees have all confidence that this support will continue and funding has been confirmed now for the period 2023-26. Also, Creative Scotland have supported LUX Scotland on an annual basis for the past 7 years and based on our ongoing conversations we believe this support will continue. The second risk is that the organisation would not meet its self-generated income targets; all indications are that the income targets will be easily met; however the yearly budget also contains a degree of flexibility to allow for fluctuations. During the past year LUX's earned income has exceeded expectations. The lease for our building is up for renewal at the end of 2022, however the landlord London Borough of Camden has offered us a new 10 year lease at the same cost which is currently being finalised at the time of writing. The final major risk is the cost of energy, we are currently protected from large increases as we benefit from paying for our energy through our landlord who has a preferential contract with energy suppliers.

Statement of Trustees Responsibilities

The trustees (who are also directors of LUX for the purposes of company law) are responsible for preparing the Trustees' 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 the year. In preparing these financial statements, the trustees are required to:

6

LUX

(Limited by Guarantee)

Trustees' Report

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware at the time of approving our trustees' annual report:

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Small company exemptions

This report is prepared in accordance with the provisions of the Companies Act 2006 relating to small companies.

This report was approved by the Board of Trustees on 19 December 2022 and signed on its behalf by:

Alia Syed (Chair) Trustee

7

Independent Auditors' Report to the Members of LUX

Opinion

We have audited the financial statements of LUX (the 'charitable company') for the year ended 31 March 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the trustees annual report, other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

8

Independent Auditors' Report to the Members of LUX

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors' report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charity Accounts (Scotland) Regulations (as amended) requirs us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees' responsibilities statement set out on pages 6 and 7, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

9

Independent Auditors' Report to the Members of LUX

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Discussions with and enquiries of management and those charged with governance were held with a view to identifying those laws and regulations that could be expected to have a material impact on the financial statements. During the engagement team briefing, the outcomes of these discussions and enquiries were shared with the team, as well as consideration as to where and how fraud may occur in the entity.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities is available on the FRC's website at: https://www.frc.org.uk/auditors/audit-assurance/auditor-s-responsibilities-for-the-audit-of-the-fi/description-oft he-auditor%E2%80%99s-responsibilities-for. This description forms part of our auditor's report.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Mr Graham Berry FCCA (Senior Statutory Auditor) For and on behalf of Breckman & Company Ltd Statutory Auditors Chartered Certified Accountants

49 South Molton Street London W1K 5LH

19 December 2022

10

LUX

(Limited by Guarantee)

Statement of Financial Activities (including Income and Expenditure Account) for the year ended 31 March 2022

Unrestricted Restricted Restricted 2022 Unrestricted Restricted 2021
funds funds Total funds funds Total
Notes £ £ £ £ £ £
Income and endowments from: 2
Donations and legacies - page 12 285,944 - 285,944 238,092 - 238,092
Charitable activities
Artistic income - pages 12 - 13 274,462 279,636 554,098 283,171 150,259 433,430
Investments 172 - 172 493 - 493
Other - Museums & Galleries Exhibition Tax Relief - - - 10,435 - 10,435
Total 560,578 279,636 840,214 532,191 150,259 682,450
Expenditure on:
Charitable activities:
Artistic programme - pages 14 - 15 478,992 261,698 740,690 495,297 195,473 690,770
Total 478,992 261,698 740,690 495,297 195,473 690,770
Net income/(expenditure) 3 81,586 17,938 99,524 36,894 )
(45,214		 )
(8,320
Transfers between funds 15, 16 2,563 )
(2,563		 - 3,218 )
(3,218		 -
Net movement in funds: 84,149 15,375 99,524 40,112 )
(48,432		 )
(8,320
Reconciliation of funds:
Total funds brought forward 221,233 152,717 373,950 181,121 201,149 382,270
Total funds carried forward 15, 16 305,382 168,092 473,474 221,233 152,717 373,950

The notes on pages 20 to 31 form an integral part of these financial statements.

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derives from continuing activities.

11

LUX

(Limited by Guarantee)

Year ended 31 March 2022

2022 2021
£ £
Income from donations and legacies
Grants
COVID-19 Emergency funding
ACE Culture Recovery Fund 60,000 10,000
HMRC Coronavirus Job Retention Scheme 19,497 21,090
Arts Council England
NPO funding 205,841 205,841
Donations
Sundry 606 1,161
285,944 238,092
Income from charitable activities
Artistic income
Distribution hires 175,422 127,324
Edition sales 18,192 17,500
Commissions - 67,500
Publication sales 9,032 11,533
Distribution charges 21,049 13,746
Production services 4,432 2,470
Programming 20,184 21,195
Project income 14,255 10,615
Educational partnerships 6,960 9,010
Other income 4,936 2,278
274,462 283,171

12

LUX

(Limited by Guarantee)

Year ended 31 March 2022

Project specific funding
Grants/project income
Aberdeen City Council
Art Fund
British Council
Creative Scotland
Film Hub Scotland
London Borough of Camden
The Paul Mellon Centre for Studies in British Art
Tramway		 2022
£
10,000
-
6,800
239,932
4,000
15,004
-
3,900
279,636		 2021
£
-
6,000
-
134,059
4,200
-
6,000
-
150,259

13

LUX

(Limited by Guarantee)

Year ended 31 March 2022

2022 2021
£ £
Expenditure on charitable activities
Artistic programme
Artistic salaries 84,166 82,288
Project salaries 92,200 91,624
Social security costs 13,663 13,238
Staff pension costs 8,819 8,115
Print publicity/catalogue 4,970 2,835
Website 9,733 4,764
Education 29,453 85,645
Programming 104,525 13,584
Artistic projects - 71,953
Project administration - 6,269
Balance carried forward 347,529 380,315

14

LUX

(Limited by Guarantee)

Year ended 31 March 2022

2022 2021
£ £ £ £
Balance brought forward 347,529 380,315
Distribution costs
Opening stock 622 765
Closing stock )
(1,374		 )
(622
Salaries 88,820 76,909
Social security costs 6,287 5,877
Staff pension costs 3,574 3,846
Royalties 90,190 65,828
Edition expenses 16,349 6,783
Collection 10,976 2,797
Distribution expenses 10,828 5,239
Production services 1,040 2,692
Touring 3,325 10,150
Sundry 1,863 5,270
232,500 185,534
Support costs - page 16 131,818 103,111
Governance costs - page 17 28,843 21,810
740,690 690,770

15

LUX

(Limited by Guarantee)

Year ended 31 March 2022

2022 2021
£ £ £ £
Support and governance costs
Support costs
Office overheads
Rent/rates 33,948 31,259
Services 8,406 7,350
Insurance 16,842 4,582
Amortisation of short leasehold 5,562 5,658
Depreciation of equipment 317 3,256
Depreciation of website 2,493 4,685
67,568 56,790
Administration costs
Salaries 34,385 28,814
Fees 380 2,232
Social security costs 2,471 1,968
Staff pension costs 1,256 1,293
Staff training/recruitment/welfare 12,823 5,406
Office supplies/courier/duty 4,413 1,787
IT 8,329 4,412
Business development 193 30
Sundry - 379
64,250 46,321
Balance carried forward 131,818 103,111

16

LUX

(Limited by Guarantee)

Year ended 31 March 2022

2022 2021
£ £ £ £
Balance brought forward 131,818 103,111
Governance costs
Legal/professional 12,198 6,945
Bookkeeper fees 9,006 7,765
Accountancy/consultancy 2,500 2,500
Audit 4,000 3,750
Board meetings 1,139 850
28,843 21,810
160,661 124,921

17

LUX

(Limited by Guarantee)

Balance Sheet 31 March 2022

2022 2022 2021 2021
Notes £ £ £ £
Fixed assets
Tangible assets 9 18,505 7,138
Current assets
Stocks 10 1,374 622
Debtors 11 141,271 50,261
Cash at bank and in hand 460,727 482,055
603,372 532,938
Liabilities
Creditors: amounts falling
due within one year 12 )
(148,403		 )
(166,126
Net current assets 454,969 366,812
Total assets less current
liabilities 473,474 373,950
The funds of the charity:
Unrestricted funds 15
- General fund 229,382 145,233
- Designated funds 76,000 76,000
305,382 221,233
Restricted funds 16 168,092 152,717
Total charity funds 473,474 373,950

The trustees have prepared these accounts in accordance with section 398 of the Companies Act 2006 and section 138 of the Charities Act 2011. These accounts are prepared in accordance with the special provisions of Part 15 of the Companies Act relating to small companies and constitute the annual accounts required by the Companies Act 2006 and are for circulation to members of the company.

The accounts were approved by the Board of Trustees on 19 December 2022 and signed on its behalf by

Alia Syed (Chair) Trustee

Elke Finkenauer Trustee

The notes on pages 20 to 31 form an integral part of these financial statements.

18

LUX

(Limited by Guarantee)

Cash Flow Statement for the year ended 31 March 2022

2022 2021
Notes £ £
Cash flows from operating activities 21 )
(1,761		 73,329
Cash flows from investing activities: 20
Dividends, interest and rents from investments 172 493
Purchase of property, plant and equipment )
(19,739		 )
(1,018
Net cash provided by investment activities )
(19,567		 )
(525
Change in cash at bank and in hand in the reporting
period )
(21,328		 72,804
Cash at bank and in hand at the beginning of the
reporting period 482,055 409,251
Cash at bank and in hand at the end of the
reporting period 460,727 482,055

19

LUX

(Limited by Guarantee)

Notes to the Financial Statements for the year ended 31 March 2022

1. Accounting policies

1.1. Basis of preparing the financial statements

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice (issued in October 2019) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), and the Companies Act 2006.

The charity meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).

1.2. Going Concern

The charity is dependent on the continued support of grant aiding bodies. The trustees believe that the charity will continue to receive this support and accordingly consider that it is appropriate to prepare the financial statements on the going concern basis.

1.3. Incoming resources

All incoming resources are included in the Statement of Financial Activities when:

- Donations and legacies

Grants/donations are recognised in incoming resources in the year in which they are receivable, except as follows:

- Charitable activities

Artistic income - income from hires, screenings, projects and sundry other artistic income is included in incoming resources in the period in which the relevant activity takes place.

Project specific funding - when donors specify that donations and grants are for particular restricted purposes, which do not amount to pre-conditions regarding entitlement, this income is included in incoming resources of restricted funds when receivable.

20

LUX

(Limited by Guarantee)

Notes to the Financial Statements for the year ended 31 March 2022

- Donated services and facilities

Donated services or facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. On receipt, donated services and facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

- Investment income

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the Bank.

1.4. Expenditure

All expenditure is included on an accruals basis inclusive of any VAT which cannot be recovered and is recognised when:

- Charitable activities

Costs incurred in the touring and presentation of events, exhibitions and the production and distribution of artists film and video.

- Support costs

The administrative and overhead costs associated with running the office from which the company operates as well as governance costs. Support costs are wholly attributable to the artistic programme.

- Governance costs

Costs associated with the constitutional and statutory requirements of the charity.

1.5. Pensions

The company operates a defined contribution scheme for the benefit of its employees. Contributions payable are recognised as expenditure when due.

1.6. Fund accounting

Funds held by the charity are either:

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

21

LUX

(Limited by Guarantee)

Notes to the Financial Statements for the year ended 31 March 2022

1.7. Tangible fixed assets and depreciation

Individual fixed assets costing £1,000 or more are capitalised at cost.

Depreciation is provided at annual rates calculated to write off the cost less residual value of each asset over its expected useful life, as follows:

1.8. Stock

Stock is valued at the lower of cost and net realisable value.

1.9. Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid after taking account of any trade discounts due.

1.10. Cash at bank and in hand

Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

1.11. Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

1.12. Financial Instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value, and subsequently measured at their settlement value.

1.13. Significant Accounting Estimates and Judgements

In determining the carrying amounts of certain assets and liabilities, the charity makes assumptions of the effects of uncertain future events on those assets and liabilities at the balance sheet date. The charity's estimates and assumptions are based on historical experience and expectation of future events and are reviewed annually.

2. Incoming resources

22

LUX

(Limited by Guarantee)

Notes to the Financial Statements for the year ended 31 March 2022

3. Net income/(expenditure) for the year is

Net income/(expenditure) for the year is
stated after charging: 2022 2021
£ £
Depreciation of tangible fixed assets 8,372 13,599
Operating lease rentals
- land/buildings 30,000 30,000
Auditors' remuneration
- external audit 4,000 3,750
- other services 2,500 2,500

4. Trustees' emoluments and reimbursed expenses

The trustees received no remuneration during the year (2021 - £nil).

The aggregated amount reimbursed to trustees during the year was £nil (2021 - £nil).

5. Transactions with trustees

Royalty payments of £1,397 (2021 - £25) and workshop fees of £nil (2021 - £150) were paid in the year to trustee Alia Syed.

Royalty payments of £855 (2021 - £1,063) and contribution to learning resource of £300 (2021 - £nil) were paid in the year to trustee Rehana Zaman.

Workshop fees of £400 (2021 - £nil) were paid in the year to trustee Jemma Desai. Royalty payments of £563 (2021 - £nil) were paid in the year to trustee Onyeka Igwe.

23

LUX

(Limited by Guarantee)

Notes to the Financial Statements for the year ended 31 March 2022

6. Staff costs and numbers

Staff costs
Salaries and wages
Social security costs
Pension costs		 2022
£
299,571
22,421
13,649
335,641		 2021
£
279,635
21,083
13,254
313,972

No employee earned £60,000 or more during the year (2021 - nil).

The key management personnel of the charity comprise the Trustees and the Senior Management team. The total employee benefits of the key management personnel of the charity were £89,735 (2021 - £87,019).

Staff numbers

The average numbers of full-time equivalent employees (including casual and part time staff) during the year was made up as follows:

2022 2021
Number Number
Artistic 3 3
Distribution 3 3
Administration 1 1
Projects 3 4
10 11

7. Pension costs

The company operates a defined contribution pension scheme in respect of its employees. The scheme and its assets are held by independent managers. The pension charge represents contributions due from the company and amounted to £13,649 (2021 - £13,254).

8. Corporation taxation

The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.

24

LUX

(Limited by Guarantee)

Notes to the Financial Statements for the year ended 31 March 2022

9. Fixed assets - tangible assets Short
leasehold
property Equipment Website Total
£ £ £ £
Cost
1 April 2021 23,254 170,966 21,475 215,695
Additions - 500 19,239 19,739
Disposals - - )
(21,475		 )
(21,475
31 March 2022 23,254 171,466 19,239 213,959
Depreciation
1 April 2021 16,767 170,315 21,475 208,557
Disposals - - )
(21,475		 )
(21,475
Charge for year 5,562 317 2,493 8,372
31 March 2022 22,329 170,632 2,493 195,454
Net book values
31 March 2022 925 834 16,746 18,505
31 March 2021 6,487 651 - 7,138
10. Stocks 2022 2021
£ £
Stocks 1,374 622
11. Debtors 2022 2021
£ £
Trade debtors 44,752 42,761
Other debtors 14,696 -
Prepayments and accrued income 81,823 7,500
141,271 50,261

25

LUX

(Limited by Guarantee)

Notes to the Financial Statements for the year ended 31 March 2022

12. Creditors: amounts falling due 2022 2021
within one year £ £
Trade creditors 44,168 6,625
Royalties payable 92,984 50,840
Other taxation/social security - 3,152
Other creditors 251 25,199
Accruals 11,000 9,460
Deferred income (note 13) - 70,850
148,403 166,126
13. Deferred income £
Balance at 1 April 2021 70,850
Amount released to incoming resources )
(70,850
Balance at 31 March 2022 -

Deferred income relates to grant and hire income received in advance.

14. Limited by guarantee

The company is limited by guarantee and does not have a share capital. Each member gives a guarantee to contribute a sum, not exceeding £1, to the company should it be wound up. At 31 March 2022 there were 9 members.

26

LUX

(Limited by Guarantee)

Notes to the Financial Statements for the year ended 31 March 2022

15. Unrestricted funds Brought Incoming Incoming Outgoing Outgoing Transfers Transfers Carried
forward resources resources forward
£ £ £ £ £
General fund 145,233 560,578 )
(478,992		 2,563 229,382
Designated funds:
Brexit mitigation 30,000 - - - 30,000
New space development 5,000 - - - 5,000
Staff fund 11,000 - - - 11,000
Systems software 5,000 - - - 5,000
upgrade
Building improvment 15,000 - - - 15,000
Fundraising consultancy 5,000 - - - 5,000
LUX Scotland reserve 5,000 - - - 5,000
fund
221,233 560,578 )
(478,992		 2,563 305,382

Brexit mitigation

To mitigate potential financial impact of No-deal Brexit and impact on LUX trading activity with EU states.

New space development

This fund was set up for new space development.

Staff fund

Training allowance and staff handover.

Systems software upgrade

This represents funding for the cost of internal system upgrades.

Building improvment

New air-conditioning system for archive, edit suite and public exhibition spaces.

Fundraising consultancy

Consultants hired to develop a new fundraising strategy for the development of the new LUX space.

LUX Scotland reserve fund

Reserve of LUX Scotland projects for transitional period and contingency.

27

LUX

(Limited by Guarantee)

Notes to the Financial Statements for the year ended 31 March 2022

16. Restricted funds
Brought
Incoming
Outgoing
Transfers
forward
resources
resources
£
£
£
£
Aberdeen
177
10,000
)
(6,717
-
Ajabu 2022
-
6,800
-
-
AMICN
3,600
-
-
-
AMIF
11,910
3,900
)
(6,961
-
Common Practice
2,457
-
)
(2,119
-
Enderby
737
-
-
-
BFI Archive Funding "UFH"
6,000
-
-
-
Kickstart Scheme
-
15,004
)
(14,095
-
LUX Scotland
98,220
239,932
)
(207,902
-
Margaret Tait Award
21,475
4,000
)
(20,495
-
Marquiss
3,409
-
)
(3,409
-
Receiver
1,175
-
-
-
Women & the Law
Collective
600
-
-
-
New
premises
capital
expenditure fund
2,957
-
-
)
(2,563
152,717
279,636
)
(261,698
)
(2,563		 Carried
forward
£
3,460
6,800
3,600
8,849
338
737
6,000
909
130,250
4,980
-
1,175
600
394
168,092

Aberdeen

Artists' moving image development programme for the city of Aberdeen funded by Aberdeen City Council.

Ajabu 2022

online screening series collaboration between LUX Scotland and Ajabu Ajabu Audio Visual House, Tanzania funded by British Council Scotland.

AMICN

Grant from Art Fund for Artists' Moving Image Collection Network project.

AMIF

Annual artists' Moving Image Festival taking place at Tramway, Glasgow.

Common Practice

To support a Visual Arts Advocacy group, funds to be held by LUX.

Enderby

Publication related to Stephen Sutcliffe & Graham Eatough exhibition No End to Enderby.

28

LUX

(Limited by Guarantee)

Notes to the Financial Statements for the year ended 31 March 2022

BFI Archive Funding "UFH"

A digitalisation fund agreement between BFI and LUX 'Unlocking Film Heritage' to enable digitalisation of selected films from the LUX archive collection for distribution purposes and public engagement that were previously inaccessible.

Kickstart Scheme

Government-funded apprentice scheme.

LUX Scotland

Grant from Creative Scotland to support initiative for a LUX base in Scotland: exploring ideas around artists moving image practice through exhibition, distribution, publishing, education and research.

Margaret Tait Award

Annual award for a Scotland-based artist to produce an ambitious new film work.

Margaret Tait Centenary

Public programme celebrating 100 years since the birth of Scottish filmmaker Margaret Tait.

Marquiss

Creative Scotland grant for development of Duncan Marquiss film project.

Receiver

Project exploring access in artists’ moving image.

Women & the Law Collective

Exhibition project at LUX organised by Cinenova.

New premises capital expenditure fund

Funding from Cinenova to support the fit out of LUX and Cinenova's new premises in Waterlow Park.

The balance at 31 March 2022 is attributable to: £
Tangible fixed assets 394
Analysis of net assets between funds
General Designated Restricted Total
funds funds funds
£ £ £ £
Fund balances at 31 March 2022
are represented by:
Tangible fixed assets 18,111 - 394 18,505
Net current assets 211,271 76,000 167,698 454,969
229,382 76,000 168,092 473,474

17. Analysis of net assets between funds

29

LUX

(Limited by Guarantee)

Notes to the Financial Statements for the year ended 31 March 2022

18. Financial commitments

At 31 March 2022 the company had future minimum lease payments under non-cancellable operating leases, with payments falling due as follows:

leases, with payments falling due as follows:
Land/buildings
2022 2021
£ £
Due:
Within one year 22,500 30,000
Between one and five years - 22,500
22,500 52,500

19. Related party transactions

The company had no related party transactions that required disclosure during the year other than those included in notes 4 and 5.

20. Gross Cash Flows

2022 2021
£ £
Returns on investments and servicing of finance
Interest received 172 493
Capital expenditure
Payments to acquire tangible assets )
(19,739		 )
(1,018

30

LUX

(Limited by Guarantee)

Notes to the Financial Statements for the year ended 31 March 2022

21. Reconciliation of net income/(expenditure) to net cashflow from operating activities

Net income for the reporting period (as per the
statement of financial activities)
Depreciation/amortisation
Dividends, interest and rents from investments
(Increase) in stocks
(Increase)/decrease in debtors
(Decrease)/increase in creditors
Net cash outflow from operating activities		 2022
£
99,524
8,372
)
(172
)
(752
)
(91,010
)
(17,723
)
(1,761		 2021
£
)
(8,320
13,599
)
(493
143
15,086
53,314
73,329

31

49 South Molton Street, London W1K 5LH Tel: 020 7499 2292 breckmanandcompany.co.uk

Our reference: GB/AP – LUX119

19 December 2022

The Trustees LUX Waterlow Park Centre Dartmouth Park Hill London N19 5JF

To the Trustees,

LUX

Following our audit of the accounts for the year ended 31 March 2022, we are pleased to report that the accounting/bookkeeping records of the company continue to be well maintained.

We noted in the previous year that LUX adapted its business model well to deal with the pandemic and took advantage of the Government support available. Together with retaining its ACE NPO status the financial position of the company remains sound.

Please contact me if you have any queries.

Yours faithfully,

GRAHAM BERRY FCCA grahamberry@breckmanandcompany.co.uk

Breckman & Company Ltd Registered in England No. 7567468 DIRECTORS/PARTNERS: Kevin Beale FCCA Graham Berry FCCA Richard Nelson FCCA ASSOCIATE:John-PaulFeatherstone PRACTICE PA: CarolineMoran

Brighton office: 95 Ditchling Road Brighton BN1 4ST Tel: 01273 929 350

LUX Waterlow Park Centre Dartmouth Park Hill London N19 5JF

tel +44 (0)20 3141 2960 fax +44 (0)20 7561 0570 www.lux.org.uk

Breckman & Company Ltd Chartered Certified Accountants 49 South Molton Street London W1K 5LH

19 December 2022

Dear Sirs

Letter of Representation

The following representations are made on the basis of enquiries of management and staff with relevant knowledge and experience such as we consider necessary in connection with your audit of the charitable company’s financial statements for the year ended 31 March 2022. These enquiries have included inspection of supporting documentation where appropriate and are sufficient to satisfy ourselves that we can make each of the following representations. All representations are made to the best of our knowledge and belief.

General

Internal control and fraud

LUX is a registered charity and a not-for-profit company limited by guarantee. Company number 4421812 Charity number 1094936 VAT registered 765906373

LUX Waterlow Park Centre Dartmouth Park Hill London N19 5JF tel +44 (0)20 3141 2960 fax +44 (0)20 7561 0570 www.lux.org.uk

Assets and liabilities

Accounting estimates

Loans and arrangements

Legal claims

Laws and regulations

Related parties

Subsequent events

Going concern

Grants and donations

LUX is a registered charity and a not-for-profit company limited by guarantee. Company number 4421812 Charity number 1094936 VAT registered 765906373

LUX Waterlow Park Centre Dartmouth Park Hill London N19 5JF

tel +44 (0)20 3141 2960 fax +44 (0)20 7561 0570 www.lux.org.uk

Restricted grants and donations are as follows:

Aberdeen City Council £10,000 British Council £6,800 Creative Scotland £239,932 Film Hub Scotland £4,000 London Borough of Camden £15,004 Tramway £3,900

Management letter

Assignment terms letter

We acknowledge our legal responsibilities regarding disclosure of information to you as auditors and confirm that so far as we are aware, there is no relevant audit information needed by you in connection with preparing your audit report of which you are unaware.

Each trustee has taken all the steps that he ought to have taken as a trustee in order to make themselves aware of any relevant audit information and to establish that you are aware of that information.

Yours faithfully

.............................................................................................................................. Signed on behalf of the board of trustees 19 December 2022

LUX is a registered charity and a not-for-profit company limited by guarantee. Company number 4421812 Charity number 1094936 VAT registered 765906373