REGISTERED COMPANY NUMBER: 04779177 (England and Wales) REGISTERED CHARITY NUMBER.. 1110104 BRITISH MUSLIM HERITAGE CENTRE IA COMPANY LIMITED BY GUARANTEE) REPORT OF THE TRUSTEES AND AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Xeinadin Audit Ltd (Statutory Auditor} Ground Floor ctygate Longridge Rd Preston PR2 5BQ BRITISH MUSLIM HERITAGE CENTRE CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Page Rgfarance and Administrative Details Report of the Truste8S Report of the Independent Auditors Statement of Financial Activities 10 ststement of Flnanclal Position Statement of Cash Flows 12 Notes to the Statement of Cash Flows 13 Notes to the Financial Statements 14 10 24 BRITISH MUSUM HERITAGE CENTRE REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 DECEMBER 2023 Trustees Mr N Mahmood OBE Dr H AAlmajed Dr M Sarumi Mr M S Al-Astewani Mrs S A￿1 Mr S Thameembasha Dr H M Algarnmas Dr M Abdelrahman Dr A M Almajid Mr F Zaheer Dr A Al Matouq MrAA O Kawooya MrAARSaif Dr A Al Dubayan Mr E M Chohan Mr M U Saleem Company secretary MrF Zaheer Reglstered office British Muslim Heritsge Centre College Road Whalley Range Manchester M16 8BP Registered company number 04779171 {England and Wales) Registered Charity number 1110104 Audilors Xeinadin Audtt Ltd (Statutory Audilorl Ground Floor Ctygate Longridge Rd Preston PR2 5BQ Patrons Sir Warren J. Smrth Mohammed Afzal Khan MP 8ankers The Royal Bank of Scotland Drummond House 1 Redheughs Avenue Edinburgh EH12 9JN Page 1 BRITISH MUSLIM HERITAGE CENTRE REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2023 The Iruslees who are also directors of the charty for the purposes of the Companies Act 2006, p￿sent their report with the financial statements of the charty for the year ended 31 De￿mber 2023. The trustees have adopted the promsions of Accounting and Reporting by Charities.. Statement of Recommended Practice applicable lo charf(ies preparing their accounts in 8¢cordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102) leffectwe 1 January 2019). Objectives and activities Objectives and alms The BMHC has developed aims and objective5 that are set out below and refled the ethos of the Cenlre. In terms of setting, reviamng, and planning the BMHC'S future activities, the Trustees have also considered the Charity Commission's general guidance on Public Benefit_ Since its inception, BMHC has striven to Iwe up lo the values by being a place for all communities, providing a welcoming environment and working in partnership for the common good. The wsion of the British Muslim Heritage CenlTe is one of a ITusling relationship bethNeen Muslims and the rest of society based on shared understsnding and shared values. Our mission is to achieve this through the develcpmenl of collaborative and pioneering initiatives that promote and celebrates Muslim heritage and cutture and making il accessible lo all. The BMHC is a centre for all communities- Muslim and non-muslim We strwe to provide a welcoming enmronmenl for all and work in partnership for the common good. In f¢xusing on Muslim herrtage. we mean Muslim history, people and contribution to human cNilization. Strategic report Achlevement and perfomiance Achievements and performance This financial year the Centre fa￿d few challenges due to unforeseen departure of CEO. The operations were affected in his absence as some of the organisations stopped working with us in partnership, i.e NHS and Manchester police. It look a ￿lIe lo eam that confidence back. Engaging and supportlng local communities in Manchester We have managed lo bring together several groups in Manchester. Rochdale and Tameside, Oldham and Bury. Thts was all made possible with the help of Charities, local councils, and GPS Ne￿orkIng DLJring this yèar we introduced three drfferent networking groups 1. Muslim HeaV(h Professionals 2. Professional Business Muslim Ne￿Ork 3. Muslim Chief Executwe Officers Ne￿Ork Intrcxjuclory seminars were hekl al the BMHC, and the professionals were offered a plarfom from where they can meet up and grow professionalty. Aspirfng Leaders Programme We continued to develop young people through our Aspiring Leaders programme. We are pleased lo report that the young people went through several developmental modules that they have completed, and these include politics and the impact of young people this programme came to an end at the beginning of May. Tackllng Hate Partnershlp project We continued working on the Hale Crime project during this year and in the prO￿s, we also became a reporting centre for Hate Crime in collaboration wrth Greater Manchester Police. Page 2 BRITISH MUSLIM HERITAGE CENTRE REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2023 Tackling Health Inequalities We are pleased to report that the ksl of tackling health inequali(ies programs has su￿sSfUl￿ ended in August 2023. The work began in 2020 until 2023." however, I believe there wll be plenty of opwrtunities to tske up more projects. The reason being that we have buitt up great ￿latiOnshipS wth both the stakeholders and the Muslim communf(ies wlhin Greater Manchester IGM), they are still facing several hearth Inequalrties, including diabetes, cardiovaseular disease, mental health lo infant mortalty and general lrfe expectancy resulting from socioeconomic deprwation. The Brf(ish Muslim Herttage Centre hosted and delivered several training sessions around Mental Health First Aid Training. Young Adults Health and Wellbeing Program This was established to tackle some of the inequalities facing young Muslim people wlhin society- Our experience working w(th young people and research has shown that young people wfch long-temi conditions face significant inequalities. Those who live in the most deprived areas are twce as likely to be admitted lo hospital wrfch asthma compared lo young people living in the kast deprived areas. In addition, young people have told us that racism, discrimination induding Islarnophobia has had an impact on them. Partnership with Islamic Relief We are pleased to report that we still have an ongoing partnership wlh Islamic Relief frKusing on heakh and wellbeing of young people and mental health. We are grateful lo Mr Waseem Ahmad, Global Head of Islamic Relief and Mr Tufail Hussain, the CEO of UK lor Islamic Reltef. Greater Manchester Genes ProSect In October 2022, we stsrted a new project to encourage the Greater Mar¢chester residents to tske part in a major genet￿ study designed lo improve the heatth outcomes of community members wth a Bangladeshi and Pakistani background. This project was completed in April,2023. Tackling Domestic Violenco We are working with Miri Roshni on this new project and have successfully launched it in September,2023. We are developing a training manual and wll deliver training sessions soon. This project focuses on understanding what Domestic abuse is, the drfferent forms and the effect it has on indmduals. We will engage imams and men so tha they can become our tralners and delThier the message to the community. Education and Heritage Our areas of education have focused on cultural and heritage as well as ensuring that we are meeting the needs of the Muslim communty. We are pleased to report that we have continued lo provide the following 8eMces during the year, which induded.. il During Ramadan. We hosted Taraweeh prayers, which were better organized as a￿aYs. The gifts were given out during the Tar8weeh prayers lo appreciate the welkbehaved children during prayer limes. ill GCSE Religious Studies. 1 OOD/o of our students passed their GCSE Religious Studies exams, with of them re￿ivIng 918 grade as a￿laYS, this was an amazing achievement. The good news was shared on social media, receiving a fantastic response of acknowledgement and comments from both Muslims and non-muslims Congratulating us. iii) Islah Youth Group. The Islah Youth Club is bringing young adulis logethor through healthy activrties. The youth club consists of various fun aclivrties and games such as Basketball, Arctr)ery, Football, Pool, Air-Hockey. and Games Console. An Islamic reminder is also gNen to the children each week and along wth other key messages such a health and wellbeing. Children also get to participate in various team building exercises and games to help increase their kn￿edge about Islam. On8 of the key benefits is that the children are around positive Muslim role M￿els. Page 3 BRITISH MUSLIM HERITAGE CENTRE REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2023 iv) Heritage Academy. Heritage Academy is contributing towards the nurturing and upbringing of upright citizens through Islamic education and terbiya(training for good behamourl classes. One of our main aim is lo make learning fun, so that children enjoy attending, as well as leaTning the Quran. Heritage Umrah The took Umrah trips (pilgrim to m￿Ca) during 2023 wf(h approximately 117 people from various backgrounds enlisted. The participants were very pleased about the trip and due to its success, insisted on continu*ion of this seNice. Financlal revlew Financial position Full details of income and expanditure for the year are set out in the Ststemenl of Financial Activf(ies on page 10. Income from charitable a¢tiwties is the main source of funds while som• revenue has been generated donations. The total income from charitable aclinrities for this financial year £942,95612022.' £850,790}. The organisation continues lo improve income generation to support Its increasing activf£ies. Reserves policy Rese*ves policy The fin8nci81 position is ￿gularfY reviewed by the trustees to ensure effectw8 financial yovernan¢e. This includes monf(oring of the cash and bank balances by the trustees. BhllHC has continued to invest signfficant sums into the new build planning pemiission application preparation and maintenance of its grade Il" listed building. Th8 buitding is central to the fulfilmenl of our vision. The refurbishment and rebuilding process has, thus been a priorty investment focus. Given the scale of the rebuilding and refurbishment project and its continuous demand on funds, it is not possible to maintain reserves. Despite that, the trustees remain confident that given the strength of BMHC'S balance sheet, w((h a combined walue of £11,442,440 of net assets, a dependable network of donors sympathetic to BMHC'S wsion, and Ihe introduction of new revenue streams, there is no need to build up a reseNe. The trustees are confident the org8nisation will continue lo be able to meet with its financi81 obligations accordingty. Risk managemont The trustees active￿ review the major risks which the charity faces on a regular basis and eonfim that they have established systems lo mitigate the significant risks. Investment power The Board of Trustees is aulhorised under the Memorandum and Articles of Assock*ion to make and hold investments using the general funds of the Cha¥ity. However, no such investrnents are presently hèld. Future plans We aim to build on the success of our various programmes and ventures introduced recently. The followng are the highlights of our future plans.. Programmes to benefrt the wder communty. New programmes will be introduced for those wshing to gain an understanding of Islam. Short courses will be introduced for people wshlng lo enhance their knowledge about Islam and Muslim culture in general. The marquee continues to be a useful revenue stream to hell the organisation cary out its Charitable activities. After the completion of the refurbished wng, we are now generating some funds through providing a housing facility for homeless people through a charity. These funds wll be used fur communty welf8re projects and running expenses of the organisalion. Glass R¢¢8ption: The Glass reception is the next area lo be completed in the building. This is going lo be a great attraction for the community as il will provide an area for people lo socialise and relax. wi(h refreshments being availablo. Page 4 BRITISH MUSUM HERITAGE CENTRE REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2023 Structure, governance and management Bri(ish Muslim Heritage Centre IBMHC, hereafter) was incorporated as a Limited company, company number 4779177, on 28 May 2003 as Manchester Muslim Heritage Centre. It was granted charitable status under Charrties Act on 20 June 2005, {registration number 1110104). The chartys name was changed lo Brrtish Muslim Heritage Centre on 31 August 2005. BMHC is govemed by a Memorandum and Art￿leS of Association (amended by special resolutions}. There are no spectfic restrictions imposed on how the Ch8rty should operate lo achieve rts objective. However. the income and assets of the Charty must be applied solely for the pijrpose of achiemng rts objectives. The Board of Trustees comprises members from diverse backgrounds. Trustees are seleded based on their skills. experience and networks, and the needs of the company. All members of the Board of Trustees work on voluntary basis onty and dodicale a considerable amount of lime lo the Charitys activities. The power of appointing new Trustee5 is vested in the Trustees and there are infomial procedures in place for the induction and training of new Trustees. Trustees are also encouraged to attend relevant briefings and courses. The Board of Trustees deals wf(h matters pertaining corporate strategy. key strategic objectives. and targets. The Board also deals wrth major decision making including for the use of financial and other resourw and the agreement of budgets for projects and operations. Furthemore. dealing with issues conceming staff appointments and ensuring ongoing viability of the Charty is 31so undertaken by the Board. The Board has established working groups, which generalty comprises beiween one to ￿ Trustees, advisors, Trust staff and, where appropriate, consultants for e￿h project. Addrf(ionalty, Trustees are identrfied a$ mentors for dEfferent aspects of the Trust's activities. The Chief Execub've Officer ICEOI. working in conjunction wrth Trustees, delegates much of the day-to4ay running of the organisation lo managers, who are the principal advisers to the Board. The managers take part in select Board meetings and, subject to the B08rd's approval, represent the TTUSI in meetings conducted outside the Centre. The Trust staff h8S the 8Uthority to implement ¢orpor*e strategy, make decisions, respond lo consullalions, 8lbcale resources and commf( expenditure in accordance wlh the strategic, budgetary and policy framework sel by the Board. Furthemore, the contribution by a number of volunteers with variety of skills has continued to enhance the image of the organis81ion. The Trustees received no remuneration in respect to their services to the Trust. Trustees. responsibilty statement The Iruslees (who are also the directors of Brtiish Muslim Heritage Centre for the purposes of wmpany law} are responsible for preparing the Report of the Trustees and the financial statements in accordance with 8pplicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Stsndard applicable in the UK and Republic of Ireland" Company taw requires the trustees lo 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 expendilLsre, of the charitable company for that period. In preparing those financial statements, the trustees are required lo select suitable accounting policies and then apply them consistently., observe the methods and principles in the Charity SORP-, make judgements and estimates that are reasonable and prudent,. state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial slalements., prepare the financ￿21 statements on the going concem basis unless f( is in8ppropriate to presume that the charitable company will continue in business. Page 5 BRITISH MUSLIM HERITAGE CENTRE REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2023 Trustees. responsibllity ststement- continued The Iruslees are responsible for keeping proper accounting records which disctose with reasonable accuracy at any tirne the financial position of the charitable company and to enable them lo ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charrtable company 8nd hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the trustees are aware.. there is no relevant audit infomiation of which the chari(able companls auditors are unaware- and the trustees have taken all steps that they ought to have taken to make themselves awdre of any re￿vant audit informalDn and lo establish that the audrtors are aware of Ihal inforniation. Auditors The auditors, Xeinadin Audit Ltd (Statutory Auditor), wll be proposed for re-appointment al the forthcoming Annual General Meeting. Report of the trustees, incorpora company directors, on ........... ing a strategic report, approved by order of the board of trustees, as the and signed on the board's behalf by.. Mr N Mahmood - Trustee Page 6 REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF BRITISH MUSUM HERITAGE CENTRE Opinion We have audited the financial statements of British Muslim Heritage Centre Ithe'charf(able companY) for the year ended 31 De￿mber 2023 which comprise the Statement of Financial Aclmlies, the Statement of Financjal Position, the Statement of Cash Flows and notes lo 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 Unrted Kingdom Accounting Standards {Uniled Kingdom Generalty Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland.. In our opinion the financial slalements.. give a true and fair view of the state of the charitable companls affairs as at 31 December 2023 and of its incoming resources and application of reSoUr￿s, including its income and expenditure, for the year then ended", have been property prepared in accordance with United Kingdom Generally Accepted Accounting Practice, induding Financial Reporting Stsndard 102 'The Financial Reporting Standard applicabl8 in the UK and Republic of Iretand," and have b8en prepared in accordance with the r4uirements ofthe Companies Act 20C6. Basls for opinion We conducted our audit in accordanee with International Standards on Auditing (UK) IISAS IUKII and applicablo law. Our responsibilitie8 under those stsndards are further described in the Auditors, responsibilities for the audit of the financial slalements section of our repo￿ We are independent of the charitable company in accordanc8 wlh the ethical requirements that are relevanl lo our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fuffilled our other ethical Tesponsibilities in accordance with these requirements. We believe that the audf( ewdence we have obtained is sufficient and appropriate lo provide a basis for our opinion. Conclusion$ relating to golng concern In auditing the financial statements, we have concluded that the trustees, use of the going concem 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 un￿rtaintieS relating to events or condttions that, individually or colleclThiely, may cast signrficanl doubl on the charitable companls abilty to continue as a going concern for a period of al least tWe￿e 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 reporL Other Informatlon The trustees are responsib￿ for the other infonnation. The other infomation comprises the infomiation included in the Annual Report. other than the financi81 statement8 and our Report of the Independent Audrtors thereon. Our opinion on the financial statements does not ￿Ver the other infornation and, except to the extsnt otherwise explicitly stated in our report, we do not express any form of assuran￿ conclusion Ihereon. In cOnn￿lI0n with our audst of the f￿anCIal statements, our responsibility is lo read the other infomiation and. in doing so, consider whether the other infomiation is materially in¢onsistent with the financial statements or our knowledge obtained in the audit or otherwise appears lo be materially misstated. If we identify such material inconsistencies or apparent materHI misstatemerrts, we are required to detemiine whether this gives rise to a material mis5tatemenl in the financial statemènts Ihemsefves. If. based on the WO￿ we have perfomed, we conclude that there is a material misst*ement of this other information, we are required to report that fact. We have nothing lo report in this r￿arO 3.463 21.100 7.087 15,000 22,913 14,126 14,126 14,650 15.000 50D 350,000 10,500 500 214.876 19,150 135,124 8,250 406,688 8,250 185,788 Total 257.588 428.257 17. Pension commitments The amount recognised in income or expenditure as an expense is relatDn to defined contribution plan was £4,31512022'. £3,591). Related party disclosures As al 31 December 2023, the charty owed £111,559 {2022.. £135,493) to trustees and entities connected lo the trustees. The loans are interest free, unsecured and payable on demand. Mr Nasar Mahmood, Mr Farroukh Zaheer and Mrs SaÈma Alvi, trustees of Brittsh Muslim Heritage Centre IBMHCI are directors of BMHC Setvices Ltd, a company limf(ed by guarantee, incorporated in Engl8nd and Wales. British Muslim Heritage Centre is the member of BMHC Services Ltd_ BMHC servI￿s Ltd operates from the premises owned by British Muslim Herrtage Centre and no rent 12022.'£NILI was paid during the period. BMHC Services Ltd was set up for furthering the fundraising aclThirties of British Muslim Heritage Centre with all future profrts lo be donated bxk lo British Muslim HeTTtage Centre and during the year no donations {2022'. £NILI was receivable from BMHC Sèrvices Ltd. During the year Brf(ish Muslim Herrtage Centre advanced sum of £NIL (2022-£NILI. Page 23 continued... BRITISH PAUSUM HERITAGE CENTRE NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2023 18. Related party dlsclosures- continued Manchester Islamic Educational Trust IhlJlETI related to BMHC because the charty is under common control of the trustee5. Al 31 December 2023, BMHC advanced £37,497 to MIET. This amount is interest free, repayable on demand and classrfied in debtors due wlhin one year. Page 24