2023-02-28-accounts - The Cinema Theatre Association

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The Cinema Theatre Association (A Company limited by guarantee)

REPORT and FINANCIAL STATEMENTS for the financial year ended 28[th] February 2023

Company No. : 04428776 (Registered in England and Wales) Registered Charity No. : 1100702

Registered address : 59 Harrowdene Gardens Teddington, Middlesex TW11 0DJ

INDEPENDENT EXAMINER

John Thacker FCA, DChA Chariot House Ltd 44 Grand Parade Brighton BN2 9QA

The Cinema Theatre Association

Report and Financial Statements for the financial year ended 28[th] February 2023

CONTENTS	PAGE
Directors and Advisers	2
Report of the Directors	3
Statement of Directors Responsibilities	4
Independent Examiners’ Report	5
Statement of Financial Activities	6
Balance Sheet	7
Notes to the Financial Statement	8

DIRECTORS AND ADVISERS DIRECTORS/TRUSTEES Jeremy Buck Richard J H Gray David Trevor-Jones Ian M Meyrick Neville C Taylor Adam Unger SECRETARY Adam Unger REGISTERED ADDRESS 59 Harrowdene Gardens Teddington Middlesex TW11 0DJ BANKERS Barclays Bank plc INDEPENDENT EXAMINER John Thacker FCA, DChA Chariot House Ltd 44 Grand Parade Brighton BN2 9QA REGISTERED NUMBER 04428776 (Registered in England and Wales) CHARITY NUMBER 1100702

The Cinema Theatre Association

REPORT OF THE DIRECTORS 1[st] March 2022 - 28[th] February 2023

The Trustees, who are also Directors of the charity for the purposes of the Companies Act 2006, present this report for the period 1[st] March 2022 to 28th February 2023, together with the financial statements for that period. The Trustees have adopted the provisions of 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 (FRS102) (effective 1 January 2019).

CONSTITUTION

The status is that of a company limited by guarantee, not having share capital, and a registered charity governed by its memorandum and articles of association. The directors of the company are the trustees of the charity for the purposes of charity law. As set out in Standing Orders, the directors of the company are the five main officers of the Executive Committee who are elected by the members of the company at each Annual General Meeting. The Directors at their Annual Meeting may also appoint up to three further directors who shall be members of the company but need not be members of the Executive Committee.

PRINCIPAL OBJECTIVES AND ACTIVITIES

The principal activity of the company is to advance education for the public benefit through the promotion of the study of all aspects of cinema and theatre buildings, with particular reference to the conservation of such buildings and the maintenance of an archive of information about such buildings. The company publishes, and sends to members, a magazine annually, Picture House , and quarterly (as from January 2023) the CTA Bulletin . Members may also elect to receive regular news updates by means of an e-mailed Newsletter.

REVIEW OF OPERATIONS

The company organises, for the benefit of members, a programme of lectures, visits and tours in the United Kingdom and overseas. With the lifting of Covid-19 restrictions, the company has held more physical visits, while continuing its events programme of talks using Zoom.

An archive relating to cinema buildings is maintained and is increased in scope by the donation and bequest of material. The larger archive premises has now enabled many of the artefacts to be placed on display.

A website is regularly updated and is effective in attracting new members and benefits the sales of books to both members and non-members. The company maintains its proactive heritage rôle on conservation matters regarding cinema buildings to Historic England, local planning authorities, developers and their architects. It is the intention of the directors that the company shall continue in its present capacity for the foreseeable future.

FINANCIAL REVIEW

Results for the period are shown in the accounts set out on pages 14 to 15. The notes on pages 16 to 17 are an integral part of the accounts.

RESERVES POLICY

Following the receipt of a substantial legacy in 2011, both it and later bequests are reserved for special purposes, including the CTA Archive and for Heritage Casework regarding listed cinemas, and any other unforeseen contingencies.

INVESTMENT POLICY

The Trustees, having regard to the liquidity requirements of operating the charity, have kept available funds in a number of short term interest bearing deposits and seek to achieve as high a rate of return on deposit as possible. In addition, funds have been invested since 2012 in M&G Charibond for income.

A T U

PUBLIC BENEFIT STATEMENT

The Trustees have considered and hereby confirm that the charity’s activities meet the Charity Commission guidance on public benefit.

DIRECTORS (TRUSTEES)

The persons listed on page 10 above served throughout the period covered by this report.

INDEPENDENT EXAMINER

Kenneth Wilson has, with regret, finally retired from this position having decided not to continue with the necessary accreditation as a Chartered Accountant. The trustees have appointed John Thacker FCA, DChA of Chariot House Ltd as independent examiner for 2023.

By order of the Board

Signed:

A T Unger

Date: 17 May 2023

Adam Unger (Secretary), 59 Harrowdene Gardens, Teddington TW11 0DJ

The Cinema Theatre Association

Statement of Directors Responsibilities

Company law requires the directors to prepare financial statements for each financial year or period which give a true and fair view of the state of affairs of the company, and of the surplus or deficit of the company for that period.

In preparing those financial statements, the directors are required to:

select suitable accounting policies and apply them consistently;
make judgements and estimates that are reasonable and prudent;
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue its operations

The directors are responsible for keeping proper records which disclose with reasonable accuracy, at any time, the financial position of the company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Cinema Theatre Association

Independent Examiners Report to the Directors Financial Year ended 28[th] February 2023

I report to the charity trustees on my examination of the accounts of the above company for the year ended 28 February 2023.

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(1)(a) of the Charities Act 2011 (the 2011 Act)

In carrying out my examination I have followed all the applicable directions given by the Charities Commission under section 145(5)(b) of the Act. The procedures undertaken by me do not provide all the evidence that would be required in an audit and consequently I do not express an audit opinion on the accounts.

In connection with my examination, I can confirm that no matters have come to my attention which gives me cause to believe that in any material respect;

the accounting records were not kept in accordance with Section 386 of the 2006 Act; or
the accounts were not in accordance with those accounting records
the accounts did 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
the accounts have not been prepared in accordance with the methods and 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, in my opinion, attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Signed:

John Thacker

Date: 22 May 2023

John Thacker FCA, DChA

Chariot House Ltd 44 Grand Parade Brighton BN2 9QA

The Cinema Theatre Association

STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING THE INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 28[TH] FEBRUARY 2023

Notes INCOME Note 1 Members subscriptions Legacies receivable Donations (including Gift Aid) Surplus on visits and book sales (including movement on stock) Investment income Charitable Expenditure Note 4 Net income/(expenditure) Unrealised gain/(loss) on investment Funds brought forward Funds carried forward Note 2	Year to 28.2.2023 £ 24,668 72,000 8,855 642 1,628 107,793 (44,706) 63,087 (7,706) 213,927 269,308	Year to 29.2.2022 £ 26,276 2,000 8,362 1,066 1,618
		40,645 (51,130)
		(10,485) 224,412
		213,927

STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES

The company had no recognised gains or losses other than the surplus or deficit for the above operating period.

CONTINUED AND DISCONTINUED ACTIVITIES

The company’s operating activities commenced on 18[th] April 2004 when the company succeeded to the operating activities previously carried on by the Cinema Theatre Association as a members’ club.

The Cinema Theatre Association

BALANCE SHEET - 28[TH] FEBRUARY 2023

CURRENT ASSETS & LIABILITIES Notes Book stocks at Directors= valuation Cash at Bank and Building Society M & G Charibond (2022 at net cost) Current liabilities 5 NET ASSETS UNRESTRICTED RESERVES Funds and stocks of books on 1stMarch Revaluation reserve Surplus for the year to 28thFebruary TOTAL FUNDS 2	2023 9,409 218,786 41,713 (600) 269,308 213,927 (7,706) 63,087 269,308	2022 10,146 154,362 49,419
		213,927
		224,412 (10,485)
		213,927

For the financial year ended 28[th] February 2023, the Company was entitled to exemption from audit, under the provisions of section 477 of the Companies Act 2006.

The members have not required the company to obtain an audit in accordance with Section 476 of the Companies Act 2006.

The Directors acknowledge their responsibility for complying with the requirements of the Act with respect to accounting records and for the preparation of accounts.

These accounts are prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.

The financial statements on pages 14 to 15 were approved by the Board of Directors on 19 May 2023 and signed on its behalf by

Signed: Signed:[N C Taylor] David Trevor-Jones

David Trevor-Jones Neville C Taylor Chairman Honorary Treasurer

The notes on page 16 form an integral part of these financial statements.

The Cinema Theatre Association

NOTES TO THE FINANCIAL STATEMENTS FINANCIAL YEAR ENDED 28[TH] FEBRUARY 2023

1. ACCOUNTING POLICIES

BASIS OF ACCOUNTING

The financial statements of the charitable company, which is a public benefit entity under FRS102, have been prepared in accordance with the Companies Act 2006 and with applicable Accounting Standards, including the Charities Statement of Recommended Practice applicable to charities preparing their accounts in accordance with FRS102 applicable in the UK (effective 1 January 2019).

BASIS OF PREPARATION

These financial statements have been prepared under the historical cost convention and the principal accounting policies adopted by the directors within that convention are set out below. The financial statements are prepared in sterling which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £1.

INCOME

Income is the aggregate of total subscriptions from members together with profit on sales, lectures and visits.

Donations represent total unsolicited gifts from members and others together with Gift Aid tax reclaimed on qualifying donations.

Legacies are recognised on a case by case basis on the earlier of
the date the charity is aware that probate has been granted, the estate has been finalised and the charity has been notified that a distribution will be made and
the date a distribution is received from the estate.

Receipt of a legacy is only considered probable when the amount can be measured reliably and the charity has been notified of the intention to make a distribution

Investment income is recognised on receipt.

Income from sales of publications etc. is recognised when earned.

Income from sales

Sales by the CTA’s Sales Officer totalled £1,545 (2021/22: £2,179) and of this £537 (2021/22 £952) was sales of the Association's own publications, including those under the Mercia Cinema Society imprint, and is retained for expenditure on new publications.

EXPENDITURE

All expenditure is accounted for on an accruals basis and is recognised where there is a legal or constructive obligation to make payments to third parties, it is probably that settlement will be required and the amount of the obligation can be measured reliably. Expenditure includes all vat which is irrecoverable. Charitable expenditure includes all expenditure including expenses and overheads incurred in pursuit of charitable objectives.

FUND ACCOUNTING

The charity currently has only unrestricted income and expenditure which are applied for the charitable objectives of the charity.

TAXATION

The company is a charity within the meaning of Para 1 Schedule 6 of the Finance Act 2020 and is therefore potentially exempt from taxation in respect of income and capital gains as specified in the Corporation Tax Act 2020 and s256 of the Taxation of Chargeable Gains Act 1002, to the extent that such income or gains are applied exclusively to charitable purposes.

The Cinema Theatre Association

2. RECONCILIATION OF MOVEMENTS IN FUNDS

Assets – Funds Balance brought forward Surplus (Deficit) realised in year to end of February Unrealised Movement on investments FUNDS AT END OF ABLE Bank accounts Income from M&G Charibond	28.2.2023 29.2.2022 £ £ 213,927 224,412 63,087 (10,485) (7,706) *269,308* 213,927 992 441 636 1,177 1,628 1,618

3. INTEREST RECEIVABLE

4. CHARITABLE EXPENDITURE

Main expenditure headings Membership benefits (CTA Bulletin, Picture House etc.) CTA Archive Heritage Casework Other general expenses (including movement on stock) Independent examination TOTAL	2022-2023 £ 2021-2022 £ 14,956 22,177 12,093 12,663 11,597 12,948 5,460 3,342 600 0 44,706 51,130

5. INVESTMENT

A sum of £50,000 (£49,419.17 after equalisation) was invested, for interest, at the end of June 2012 in M&G Charities Fixed Interest Common Investment Fund (Charibond) giving a holding of 38,580.247 shares. As at 28[th] February 2023 the value of this holding was £41,712.96 (2021/22: £45,910.49).

An initial sum of £70,000 was placed in a term bond at an interest rate of 1.21% in February 2022. This was subsequently rolled over into another term bond at an interest rate of 3.7%.

6. STOCK

Stock is valued based on the opening value as updated for any sales and purchases during the year. No formal valuation was carried out.

7. KEY MANAGEMENT PERSONNEL

The key management personnel of the charity are the trustees. The trustees did not receive any remuneration, benefits in kind or reimbursement of expenses during the year (2022; nil)

8. CONTROLLING PARTY

The company is limited by guarantee and does not have share capital. In the opinion of the directors, there is no controlling party.