8HAKE8PEAHE PIAYHOUSE SHAKESPEARE NORTH TRUST A Company Limited by Guarantee ANNUAL REPORT AND FINANCIAL STATEMENTS for the year ended 31 March 2024 REGISTERED NUMBER: 05923469 CHARITY NUMBER: 1120641 *AD180R7V• 1811212024 COMPANIES HOUSE A08 #so SHAKESPEARE NORTH TRUST Annual Report and Financlal Statements for the year ended 31 March 2024 Contents Pa8e Reference and Administrative Details Chails Report Trustees, Annual Report Ilncluding Directors. Report) Independent Auditors, Report 9-13 Consolldated Statement of Financlal Activlties Ilncludlng Income and Expendlture Account) 14-15 Consolidated Balance Sheet 16 Consolidated Statefnents of Cash Flows 17 Notes to the Financial Statements 18-34 SHAKESPEARE NORTH TRUST Reference and Administrative Details 31 March 2024 Incorporated in England and Wales on 4 September 2006 Company number 05923469 Charity number 1120641 Chalr of Trustees Max Steinberg Dlrertorsnrustees Max Steinberg Saphena Aziz Christopher Brown Coral Cameron Jon Corner Faye Dyer {Resigned 8 February 20241 Michael Harden (Resigned 27 March 20241 Leann Hearne IResi8ned 31 March 20241 Alastair Machrav lan Mccarthy Peter Mearns SLtsan Platt Professor Julie Sanders (Resigned 31 March 20241 Nicola Winn (Resigned 25 August 20231 Presldent Edward Stanley, 19th Earl of Derbv Honorary Patron Dame Judi Dench Re8iStered offlce Shakespeare North Playhouse Prospero Place Prescot LSverpool Merseyside L34 3A8 Statutory Auditor Mitchell Charlesworth (Audit} Limited Accountants Statutory Auditor 5 Temple Square Temple Street Liverpool L2 5RH SHAKESPEARE NORTH TRUST Chaies Report For the year ended 31 March 2024 Max Steinber& Chair of the Board of Trustees The enduring principles of Shakespeare North Playhouse, the concept of which was established over two decades ago, remains steadfast in its commitment to infusing culture into the community- Rooted in the transformative power of art, specifically theatre, our mission is to not only change the landscape of a place but also to brln8 widespread opportunities to its people and the artlSt5 we collaborate with. As we move into our second year of operation our vision to be "Inspired by Shakespeare and 8ringing Joy" resonates more than ever. We accomplish this through sharing world-class theatre, engaging in activities, and f05terin8 conversations with our community and artists. Together. we tell stories that resonate. change perspertives. open doors. and inspire a love of learning. By the end of the 2023124 year, Shakespeare North Playhouse has cemented Its P05itlon as one of the country's leading mid-scale producin8 theatres, a leader in the sector as well as a community hub, providing life-changin8 opportunities for the people of Knowsley and the Liverpool City Reglon. Nationally and Internationally Shakespeare North Playhouse has a reputatlon for inspiratlonal and hlgh-quality artistlc work. This year we have worked wlth local and natlonal artlsts and 10 co-producers to create 3 nationally acclaimed full-scale productlons which toured nationally and Internationally. Despite many challenges faced, including the cost of living crisis imparting both the business and audiences, Shakespeare North Playhouse has consistently delivered on its ambition5. The diverse programme that Shakespeare North offers has brought loy to over 250,000 people who have visited since openlng. Beyond the North. this theatre touches many more thousands of people telling the story of Shakespeare, Prescot and the history of Theatre In the UK. The bold and brave programme of events and activities programmed in 2023124 have been accessed by 50.507 people, 74% of which are from the Liverpool City Re8ion. A further 67,340 people have visited the building this year, of which IO% had never been to a theatre before. Raising the aspirations of youn8 people In our local communitles and beyond continues to be an Important priority for us. This year over 5,000 children and young people experlenced a show at Shakespeare North Playhouse as part of a school vislt. In addltlon, the Learning and En8agement team dellvered 351 sessions for a total of 5,142 people, 2,685 of which were children and young people, Despite financial pressures and increasing challenges faced across the sector In fundraising and development, commercially, this year has seen growth in rnany areas from our food and bevera8e offer to our retail offer and hires. The 82 stron8 team of employed staff and 7S volunteers who work for this theatre, alongside the partners and stakeholders who are all instrumental in making It a Success all hold the belief that culture is e55entlal for everyone. 8uilding on the Success of the openln8 year, what we are now seeing is the impact on the communities in the area in terms of health and well-being and regeneration. We could not have achieved this without the dedlcatlon and passion of our staff, volunteers and the generosity of our supporters includin8 individuals and businesses as well as our 8rants and project support from our key partners Knowsley Metropolitan Borou8h Council, Arts Council, England and Liverpool City Region Combined Authority as well as many other Trusts and Foundations and individuals. We extend our thanks to everyone who has given time, money and ideas to make Shakespeare North Playhouse a reality. As we move Into a new phase of the theatre's life, with a new Chief Executive due to join in December 2024, we look forward to moving the busine55 forward as a sustainable and resilient or8anisation leading chan8e with bold and brave decisions. SHAKESPEARE NORTH TRUST Trustees, Annual Report {Including Directors, Report) For the year ended 31 March 2024 The Directors (who are also the Trustees of the charity. for the purpose of charlty lawl present their report and the audited financial statements for the year ended 31 March 2024. The company is a registered charity, (registered number 11206411 and company limited by guarantee (registered number 059234691. The company is incorporated under the Companies Act 2006 and is governed by its Articles and Memorandum of Association dated 14 August 2007. The financial statements have been prepared in accordance wlth the accounting pollcies set out Sn the notes to the accounts and comply with the chariV5 governing document, the Charities Act 2011 and Accounting and Reportin8 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 published in October 2019. Our Mlsslon We Share world-class theatre. actlvities and conversations inspired by Shakespeare and relevant to all of us. Our Promlse We commit to belng 'Bold and Brave.. It Is a promlse but also a request we make to each other as a team. to our community, vlsltors, patrons, and partners, and to all our artlsts and makers as we all come together to create wonderful place. Our charitable aims and objertives As set out In the charlvs 8overnlng document the charitvs oblettlves are.. To promote the publlc knowledge and appreciation of the life and works of William Shakespeare and the drarnatic arts generally, in particular but not exclusively. by the Provision of a theatre and facilities for the presentation of public performances. To be a resource for education, learning. outreach, and publlc engagement, To enable access to arts and culture, in particular theatre. To advance the education of the public in the history and herStage of Prescot and enrich the local area via means of civic pride, economic growth and placemaking. To support artists and workers within the culture and art5 industries vla training, development. and opportunities. Our organlsatlonal alms Shakespeare North Trust has four key aims for Shakespeare North Playhouse: Education, en8a8ement, learnin8 We will ensure people of all ages and back8rounds participate In activities at Shakespeare North Playhouse that are relevant, vibrant, and Inclusive. We will en8a8e teachers, artists, school-aged children and the wider community in the cultural and creative programme at Shakespeare North Playhouse. Thousands wlll learn about the heritage of Shakespeare North Playhouse and Pre5COt throu8h the delivery of our guided tours, workshops and more. SHAKESPEARE NORTH TRUST Trustees, Annual Report Ilncluding Directors, Report) For the year ended 31 March 2024 Our organlsational aims Iconiinuedl Create an incluslve and empowerlng place for artists and makers Partnership. co-productlon, and co-commissioning are a key. We wlll develop strong longstanding relatlonships wlth Associate Companies and academic institutions supportin8 pathways into the making of theatre and investing in the local. regional, national cultural ecology. We will widen access and opportunity for all the artists that we engage with. We will invite local arts, crafts, and cultural 8roups to use the venue as their space. Re8eneratlon of our place We will be an active buslness In Prescot, contrlbutin8 to the economic prosperlty of the town. We wlll actively promote culture and creativity a5 part of place making and seek to raise aspirations of the people wlthln our community and enrich Ilfe's Increasing participatlon In arts and heritage. A r¢silient and sustalnable Organisation We wlll attrart a minimum of 140.000 re8lonal, natlonal and International visitors to Shakespeare North Playhouse annually. Enabllng us to achieve an annual turnover of at least £2.6m, Our so¢lal Impa Shakespeare North Playhouse's impact Stretches beyond the walls of the buildln8 across Prescot, Knowsley and the North impacting communities, farnilies and individuals through contributing to the regeneration of the area, improved health and well-being, improved access to education, skills and training, developing a more vibrant place to live and broadening access to high quality cultural experiences. The true Impact of Shakespeare North Playhouse wlll be seen In years and decades to come as 8eneratlons of people take different pathways and make different life choices as a result of the theatre. Measuring and evaluating this impact Is crucial not just In terms of supporting the case for culture but to Increase Investment, develop new partnerships and drive Income and resilience for the or8anisation. Our soclal alm To establish Shakespeare North Playhouse as a place for all, committed to supporting the local economy and providing opportunities within our communities through delivering quality, ambitious and inspirational arts and cultural experiences. Soclal Impact objertives In order to achieve our Social Aim, we will deliver a8ain5t our five soci31 objectives.. Develop and deliver Inspirational cultural experiences, ensurin8 acce55 to all. Provide opportunities for learning, education, and skills development. Support the health and wellbeln8 needs of our communities. Contribute towards the place shaping of a vibrant, cultural, and well-connected communlty. Support a stronger local economy. SHAKESPEARE NORTH TRUST Trustees, Annual Report (Including Directors, Report) For the year ended 31 March 2024 Achlevements and performance Shakespeare North Playhouse has continued to deliver a bold and brave programme of events and artlvities which was accessed by 50,507 people during 2023124. 74% of audiences were from the Liverpool City Region. 25% of this group were Knowsley based. A further 67,340 people have visited the building this year. of which IO% had never been to a theatre before. 5,047 children and youn& people experienced a show at Shakespeare North Playhouse as part of a school visit. In addition, the Learning and Engagement team dellvered 351 sesslons for a total of 5.142 people, 2,685 of whlch were children and young people. Shakespeare North Playhouse has received over 30 awards slnce opening. In 2023124 this included a Visit Knowsley Business Award and 3 Liverpool City Region Tourism Awards. Our people were a150 recognised in a number of award short-lists including Tourism Young Person of the Year {James Duckworth, Visitor Experience Manager) and Unsun8 Hero {Meg Terzza, Digital Content Creator). In addition to the 30 award wlns, Shakesepare North was shortlisted for many more, Including the prestigious RIBA Building of the Year Awards and the UK Theatre Awards for which The Comedy of Errors was shortlisted for Best Play Revival and Matthew Dunster & Jimmy Fairhurst were shortlisted for 8est Director for A Midsummer Night's Dream. Cornmercially, this year has seen growth In many areas from our food and beverage offer to our retail offer and hires. In 2023124 we presented Shakespeare North Playhouse produced, co.produced and tourin8 work across three spaces.. The Cockpit Theatre, Sir Ken Dodd Performance Garden and The Studio. This has Included co-productlons with some of the UKS leading producin8 theatres Includlng Engllsh Tourin8 Theatre and Bolton'Oct38on. We also hosted Itch and Scratch regular spoken Word evenings as well as giving space for Research and Development, Ima8in3rium Youth Theatre workshops and sessions to develop emerging artists. Reco8nising the richness that diversity brings to artistic output, we aspire to create a tapestry of voices in collaboration with our partners. In all of our work this year we have been committed to celebrating underrepresented voices and working towards ensuring diverse representation across the organisation. Macbeth, co-produced with English Tourlng Theatre, exceeded financlal targets and recelved crltical acclaim. The show was seen by 6,500 people 44% of which were new bookers. Macbeth went on to tour across the UK, Luxomberg and Dubai. The Book of Wlll, co-produced wlth The Octagon Theatre, Bolton and Queen5 Theatre Hornchurch was well received by audiences and critics alike. Running concurrently with the production, an exhibition of Shakesepare's First Folio in partnershlp with the British Library, was vislted by 6.IYXI visitors. The Wind in the Willows brought a much loved family tale to Prescot for Christmas that was seen by 12,543 audiences over 5 weeks. The successful Audience Wlth programme continued with a number of high profile 8uests including Sue Johnstone and Rlcky Tomlinson. Richard, My Richard was a World Premlere - the flrst play by of one of the UKS leading novelists, Philippa Gregory. As such the production enjcyed a lot of media interest and over 6,180 audience members, The show had a successful run at Shakespeare North Playhouse and at coproducing partner Theatre Royal Bury St Edmunds. The production received great audience feedback and exceeded box office targets in both venues. This year. Shakespeare North secured it5 largest grant from Trusts and Foundatlons to date £228,000 from the National Lottery Heritage Fund. Inspired by the richness of Shakespeare's lan8Ua8e and the first Folio, the project will delve into the history of Knowsley and the surrounding area, working with audiences youn8 and old to explore the factors that influence language development includin8 industry, popular culture, social strurture and migration. Beginning with the language inventions by Shakespeare, we will go on a journey with our community, discovering the local factors that Influenced language in Know51ey and how developments may or may not be evident in local vernacular today. The Our Town's Sound projert kicked off with numerous successful workshops and open days this year. Sustainabillty Is Integral to Shakespeare North's business plan with several notable sustainability achievements this year including hosting an off-grid performance, many set and costume recycling Initiatives and solar power generation. SHAKESPEARE NORTH TRUST Trustees, Annual Report (Including Directors, Report) For the year ended 31 March 2024 Volunteers People are at the heart of Shakespeare North Playhouse and our team have been instrumental in ensuring all we have achieved so far. Volunteers support all asperts of our operation with over 70 committed volunteers giving 2,800 hours of support during the period. Volunteers run our daily Guided Tour through Shakespeare North Playhouse, diving deep into the heritage, the rich history of Prescot and its links to Shakespeare. The Trustees would like to thank all the volunteers for thelr time, skills, and enthuslasm. We look forward to workln8 Wlth volunteers in the comlng year and widening the opportunltles available to them. Structure. Governance and Management The company was Incorporated on 4 September 2006 and is limlted by guarantee (registration no. 059234691. The company is also a registered charlty Ire815tration no. 11206411. The Directors. who are the Trustees of the charity for the purposes of Charity Law, are listed on page I, During the financial year, Melanle Lewis was the Chief Executive Officer of the company and of the charity and has responsibility for the day-to-day management. The Board of Trustees who are listed above meet at least four tSmes a year to review developments. activities, and achievements. The responsibility for appointin8 new Trustees lies with the existing Trustees. Any training requlrements will be identified during the appointment process. and relevant courses will be arran8ed as needed. Durin8 the reportln8 period, four Trustees stepped down from thelr positions. On behalf of myself, Melanie Lewis, and everyone at Shakespeare North Trust, I would Ilke to extend our heartfelt thanks to Faye Dyer, Leann Hearne, Mlke Harden, and Julie Sanders for theSr dedication and commitment in helping make Shakespeare North Playhouse the thriving organisation It has become in such a short time. Each Trustee provlded Invaluable guidance. support, and challenge. ensuring strong governance. Their contributions will be greatly missed. The governance of the charltable company Is the responslblllty of the Trustees. Day-to-day mana8ement Is by the Chief Executlve Offlcer. supported by the leadership team and draws from the expertSse of the Board of Trustees. The 8oard of Trustees have created and agreed a formal Scheme of Delegation pollcy which sets out the respertlve responsibilities of the Board of Trustees and its Executive team. The company holds, in addition to its regular 8oard of Trustee meetings, four individual sub committees. Membership of the committees comprises of Trustees. Advisers, and Officers of the Charlty. The Chair of each committee updates at each Board of Trustee meetlng on actions and strategy. The commlttqes are., Development and Fundraisin8 FSnance, Risk and Governance Learning and Engagement People, Or8anlsatlonal. Culture & Inclusion Shakespeare North Playhouse Is committed to Increaslng Its efforts towards a sustalnable, low-waste future. We wlll strive to continue improving our environmental 5UStainability and waste reduction over time and to initiate additional projerts and activities that will further our goal of reducing our overall impact. Related party relatlonships The charity has considered the disclosure requirements of the SORP for related party relationships and belleves there are no related party relationships other than the Trustees and their close connections. There were no reportable transartions with related parties in the year ended 31 March 2024. Risk management The Trustees have examined the major strategic, business, and operational risks which the charlty faces and confirm that systems have been established to enable regular reports to be produced so the necessary steps can be taken to mitigate these risks. SHAKESPEARE NORTH TRUST Trustees. Annual Report (Including Directors, Report) For the year ended 31 March 2024 Public benefit The trustees have paid due regard to the Charity Commission's guidance on public benefit in deciding what activities the charity should undertake. The trustees consider that they have acted in the public benefit. Financial performance In 2023124 Shakespeare North Playhouse generated income of £2.967.91712023-. 2,827.6331. of which 32%12023'. 28%) was raised through ticket sales, 58% 12023.. 55%> via fundraisin8 income and Il% {2023.' 12%) through commercial actlvity. The total outrun for the second financlal year of operation was a deflcit of £463,062 12023: surplus £88,160). Trusts and foundations applications and donations brought in funds of £176.844 {2023: £348,963). Gift aid £22.062 12023.. £4.8541 and restricted grants £567,87512023- £477,250). Charitable Income for the 12 months endlng March 2024 was £1.860,24912023.. £1,689.695I and tradlng Income from commercial actlvities was £340,88612023'. £306,8711. The total income for en8a8ement activities includin8 workshops. events and schools partnerships for the 202312024 financial year was £181,08112023.. £117,744). The individual membershlp scheme raised £nll12023: £27,0001. At year end 2023124 events and hlres Income was £47,45512023: £38 1221. Total expenditure for the year was £3,430,97812023'. £2,739,473). In Aprll 2023, we were welcomed Into Arts Council England's National Portfolio. havln8 applied before opening and becomin8 the flrst NPO (Natlonal Portfolio Or8anisationl In Knowsley. Thi5 vltal revenue fundin8 will brlng In £400,000 annually for the next two financlal years. Theatre tax relief has been an Important part of the business plan, bringing In £144,133 for 2023124 and £131,156 for 2022123. Reserves pollcy The Board of Trustees has considered the level of financlal reserves required to enable the organisation to meet its obligations on an on-8oing basis. The Trustees consider that they should aim to hold. as unrestrirted funds. a level of reserves equivalent to at least two months, out80in8 resources increasln8 to six months, OUt80ing resources held in reserve over the longer term. In the coming years it IS the intention of the Trustees to implement a reserves policy and commit to a level of reserves which will enable the charitable company to continue to be able to operate as envisaged. The budgeted expenditure for the year ending 31 March 2025 is £3,917,000 and the target level of reserves is set at £1,500,000 which equates to approximately six months of 8eneral funds expenditure. The strate8V is to bulld sufficient resernes through operatin8 surpluses and fundraisin8. The Trustees and senior leadershlp team are aware of the urgency to react to any shortfall in income. There was a deficit on unrestricted reserves at 31 March 2024 of £272,896 12023: £163,205 surplus). Excluding fixed assets, the deficit on unrestricted reserves at 31 March 2024 was £497.430 12023: £98,601). Goln8 concern Following the financial year end. a new five year business plan was created by the Executive Team, this was approved by The Trustees and in this process a new financial plan and revised budget was created. This financial plan and revised budget shows that income streams are expected to increase year on year due to increased capacity in the studio. food and beverage Income is expected to increase following a re-brand of the food and beverage offer and capital works to the kitchen. SHAKESPEARE NORTH TRUST Trustees, Annual Report (Including Director5. Report) For the year ended 31 March 2024 As the organisation matures, audience numbers are increasing along with ticket sales projection and income. Commercial and local business sponsorship is also increasing due to the appointment of a new Head of Fundraising. The two largest stakeholders and financial supporters have committed their on80in8 financièl support to the Charitv for a period of at least 12 months from the date of signing of these financial statements. Taking this into consideration the trustees have reviewed the revised budgets for a period of 12 months from signing these financial statement5 and expect that the Charity has adequate resources to continue in operational existence and meet its liabilities as they fall due for the foreseeable future. As a result of this they continue to adopt rhe going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basls can be found in note l. Statement of Trustees, responslbllltles The trustees, who are also directors of Shakespeare North Trust for the purposes of company law. are responsible far preparing the Trustee5' Annu31 Report and the financial statements in accordance with applicable law and United Kin8dom Accountin8 Standard5 (United Kingdom Generally Accepted Accounting Prarticel. Company law requlres the trustees to prepare financial statements for each financlal year. Under company law the trustees must not approve the financial statements unless they are satisfled that they give a true and f31r vSew 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 year. In preparln8 these financlal statements, the trustees are required to.. select suitable accounting policies and then apply them consistentlv,. observer the methods and principles in the charities SORP 2019 IFRS102},' make Judgements and estimates that are reasonable and prudent; State whether applicable UK Accountlng Standard5 have been followed. sublect to any materlal departures dlsclosed and explalned in the financial statements; prepare the financial statements on the goin8 concern basis unless it is inappropriate to presume that the charitable company will continue in operation. The trustees are responsible for keeping adequate accountlng records that dSsclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply wlth 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 Irre8ularities, In so far as the trustees are aware: there is no relevant audit information of which the charitable company's auditor is unaware,. and the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information. and to establish that the auditors are aware of that information. Auditois Mitchell Charlesworth (Audit) Limited are deemed to be re-appointed under section 487121 of the Companies Act 2006. This report was approved by the Board of Trustees on 2 October 2024 and slgned on its behalf by: Max Steinberg Chair of Trustees Mitchell Charlesworth (Audit) Limited Accountants 5 Temple Square Temple Street Liverpool L2 5RH SHAKESPEARE NORTH TRUST Independent Auditoes Report to the Members of Shakespeare North Trust Year ended 31 March 2024 Opinion We have audlted the flnanclal statements of Shakespeare North Trust {the 'parent charitable company'l and its subsidiaries (the 'group'l for the year ended 31 March 2024 which comprise the Consolidated Statement of Financial Activities, the Consolidated Balance Sheet. the Charity Balance Sheet, the Consolidated Statement of Cash Flows and the notes to the financial statements, including a summary of significant accounting policies. The financial reportin8 framework that has been applied in their preparation is applicable law and United Kin8dom Accountin8 Standards includin8 Financial Reporting Standard 102 Yhe Flnancial Reportlng Standard appllcable in the UK and Republlc of Ireland" {Unlted Kln8dom Generally Accepted Accountlng Practlcel, In our opinion the financial statements: give a true and fair view of the state of the group's and the parent charitable companws affairs as at 31 March 2024. and of the 8roup's incoming resources and application of resources, includin8 its income and expenditure, for the year then ended: have been properly prepared in accordance wlth United Klngdom Generally Accepted Accountlng Prartice,. and have been prepared in accordance with the requirements of the Companies Act 2006. Basls for oplnlon We conducted our audit in accordance wlth Internatlon31 Standards on Auditlng IUKI IISAS {UKII and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the flnancial statements sertion of our report. We are Independent of the group and parent 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 ethical responsibilities in accordance with these requirements. We believe that the auéit evidence we have obtained 15 sufficient and appropriate to provide a basis for our opinion. Materlal uncertalnty related to golng concern We draw attentlon to note 1.4 headed 80ing concern in the financial statements, which indicated that the charity has made a deficit for the year. which has resulted in a net liability Posltion. As Stated in note 1.4 and the Trustees report, these events or conditions. along with other matters as set forth In note 1.4. indicate that the Charity has relied upon funding and support from external organizations in reachin8 their going concern conclusion. Our opinion is not modified in respect of this matter. Concluslons relating to going concern In auditing the financial statement5 we have concluded that the boards use of the 80in8 concern basis of accounting in the pieparation of the financial statements is appropriate. Our responsibilities and the responsibilities of the trustees wlth respect to 80ing concern are described in the relevant sections of this report. Mitchell Charlesworth (Audit) Limited Accountants 5 Temple Square Temple Street . Liverpool . L2 5RH SHAKESPEARE NORTH TRUST Independent Audltorfs Report to the Members of Shakespeare North Trust Year ended 31 March 2024 Other Information The other Information comprises the information included in the Trustees, Annual Report, other than the flnancial statements and our Auditor's Report thereon. The trustees are responsible for the other information contained within the annual report. Our oplnlon 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 arsy form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information Is materlally Inconsistent with the financial statements or our knowled8e obtained in the course of the audit or otherwlse appears to be materially misstated. If we Identify such material Inconslstencies or apparent material m155tatements, we are requlred to determine whether thls gives rise to a materlal misstatement in the flnanclal statements themselves. If. base'd on the work we have performed, we conclude that there is a material mlsstatement of this other Snformation, we are requlred to report that fart. We have nothing to report In this regard. Oplnlons on other matters prescrlbed by the Companies Act 2006 In our opinlon, based on the work undertaken in the course of the audit.. the information given In the Trustees, Report for the financial year for which the financial statements are prepared, which includes the director5, report prepared for the purposes of company law. is conslstent wlth the flnanclal statements; and the Directors. Report have been prepared in accordance with applicable legal requirements. Matters on whlch we are requlred to report by exerg Chair of Trustees Coral Cameron Chair of Finance Rlsk and Governance Committee Company Reslstratlon Number: 05923469 The notes on pages 18 to 34 form part of these financial statements 161 Page SHAKESPEARE NORTH TRUST Consolidated Statements of Cash Flows Year ended 31 March 2024 Notes 2024 2023 Cash Ilow from operatlnq artlvltles 24 139,604 159,839 Cash flow from investing actlvfties Payments to acquire fixed assets {7,2441 138,3461 Net ush Ilow from Investin8 artlvltles 17,2441 138.3461 Net Increase in eash and cash equivalents 132,360 121.493 Cash and cash equivalents at l April 2023 134,242 12.749 Cash and cash equivalents at 31 March 2024 266,602 134,242 Cash and cash equlvalents eonslsts of: Cash at bank and in hand 266.602 134,242 Cash and cash equlvalents at 31 March 2024 266.602 134,242 The notes on pages 18 to 34 form part of these financial statements 171 Page SHAKESPEARE NORTH TRUST Notes to the Financial Statements Year ended 31 March 2024 Accounting policies 1.1) Trust Informatlon Shakespeare North Trust is a charitable organisation registered In the United Kingdom. The address of the registered office is given in the charity information on page l of these financial statements. The nature of the charitws operations and principal activities are described in the Trustees, Report on page 2. 1.2) Ba51$ of preparation The financlal statements of the charitable company, which is a public benefit entity under FRS 102. have been prepared in accordance with the Charities SORP IFRS 1021 '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 IFRS 1021 {effective I January 20191,, Financlal Reportin8 Standard 102 Yhe Financlal Reporting Standard applicable In the UK and Republlc of Ireland, and the Companies Act 2006 and UK Generally Accepted Accountin8 Practice. Basis of consolidation The accounts consolidate the results of the charity and Its wholly owned subsldlarles, Shakespeare North Playhouse Production Ltd and Shakespeare North Playhouse Tradlng Ltd. on a 1lne-by.line basis. The trustee5 have taken advantage of S408 Companies Act 2006 regardin8 exemption from the requirement to prepare a separate Statement of Financial Activities for the charity. The net lexpenditurel/incomin8 cesources dealt with in the accounts of the charity is {£333,082112023: surplus of £88,165). 1.31 Accounting ¢onventlon These financial statements have been prepared on a going concern basis under the historical cost convention, modified to include certain items at falr value. The financlal statements are prepared In sterllng which Is the functlonal currency of the charlty. Monetary amounts in these financial statements are rounded to the nearest £. The principal accounting policies adopted in these financial statements are set out below. These policies have been consistently applled to all years presented unle55 Otherwise stated. 1.41 Golng concern Notwithstanding current net liabilities of £487,49112023: £61.7011 and forecast outturn for the year ending 31 March 202S of circa £175,547 12024: £333,081), the Trustees consider that there are no material uncertainties about the charitable company's ability to continue as a 80ing concern for a period of at least 12 months from the si8nlng of these financial statements. This is due to a letter of support dated 2 October 2024 from Knowsley Metropolitan Borough Council in which it commits to provide anv necessary levels of financial 5UPPOrt that may be required as the charitable company continues to trade and transitlons to a sustainable business plan. 181 Page SHAKESPEARE NORTH TRUST Notes to the Financlal Statements Year ended 31 March 2024 Accountlng policies Icontlnuedj i.si Ineome All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received, and the amount can be measured reliably. Income from government and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met. it Is probable that the Income wlll be received, and the amount can be measured reliably and is not deferred. Income received in advance of a theatrical performance or provision of other specified service Is deferred until the criteria for income recognition are met. Donations from individuals and other bodies {not belng the nature of a 8rantl are recognised when receivable. Short term investment income is received as rental income during the period. Income is recognised once the charitable company ha5 entltlement, Itls probable that the Income will be received, and the amount can be measured reliablv. 1.61 Expenditure Expenditure Is recognised on an accruals basls as a liability is incurred. Charitable expenditure comprises those costs incurred by the charitable company In the dellvery of its actlvitles. Governance costs include those costs assoclated wlth meetin8 the con5tStutional and Statutory requirements of the charitable company and include audit fees and costs linked to the strategic management of the charitable company. All costs are allocated between the expenditure categories of the Statement of Financlal Actlvities on a basls designed to reflect the use of the resource. Costs relatin8 to a partlcular activlty comprlse both costs that can be allocated directly to such activlties and those costs of an indirect nature necessary to support them. Irrecoverable VAT is charged as an expense against the activity for which expenditure arose. 1.71 Support costs allocatlon Support costs are those that asslst the work of the charity but do not dlrectly represent charitable activities and Include office costs, governance costs and administrative payroll costs. They are incurred directly in support of expenditure on the objectives of the charity. Where support costs cannot be directly attributed to particular headings they have been allocated to cost of raising funds and expenditure on charitable actSvlties on a basis consistent with use of the resources. The analysis of these costs is included in note 7. 1.8) Tangible fixed assets Tangible fixed assets are initlally measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Depreciation is provided on a strai8ht line basis using rates calculated to write down the cost of each asset to its estimated residual value ovef its anticipated useful life as follows.. Fixtures and equlpment Theatre and production equipment Computer and other equipment Leasehold improvements 7 years 7 years 3 years 5 to 10 years 19 | Page SHAKESPEARE NORTH TRUST Notes to the Flnancial Statements Year ended 31 March 2024 Accounting poll¢ies fcontinuedj 1.81 Tanglble flxed assets Iconflnu•dJ The charitable company capitallses fixed assets over a value of £l.000. The 8aln or loss arisin8 on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset. and is credited or charged to the statement of financial activities. 1.9) Intan8lble flxed assets Intangible fixed assets are stated at cost le55 amortisation. Amortisation Is provided on a strai8ht-line basi5 using rates calculated to write down the cost of each asset to its estimated residual value over its anticipated useful life as follows.. Intan8ible assets 3 to 5 years i.ioi Impalrment of flxed assets At each reportin8 end date, the charlty reviews the carrying amounts of Sts tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the a55et Is estimated In order to determine the extent of the Impairment loss lif anvl. 1.11) Investments Investments In subsidiaries are measured at cost less impairment. 1.121 Stocks Stocks are stated at the lower of cost and estimated selllng prlce less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. Stock5 held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where appllcable for any105s of servlce potential. At each reportin8 date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated sellin8 price less costs to complete and sell is recognised as an impairment loss. Rever5a15 of irnpairment1055e5 are also recognisp.d in profit or loss. 1.131 Debiors Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepald net of any trade discounts due. 1.14) Cash and cash equlvalents Cash and cash equivalents are basic financial assets and include cash in hand. deposits held at call with banks, other short-term liquid investments with original maturities of three months or less. and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. Creditors and provlslons 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. 201 Page SHAKESPEARE NORTH TRUST Notes to the Financial Statements Year ended 31 March 2024 Accountlng policies Icontlnuedl 1.16) Financlal Instruments The charitable company has elected to apply the provisions of Section 11 'Basic Financial Instruments, and Section 12 '0ther Financial Instruments Issues, of FRS 102 to all of irs financial instruments. The charitable company 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. 8aslc flnancial assets Basic financial assets, which include debtors and cash and bank balances, are initially measured at transactlon price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future recelpts discounted at a market rate of interest. Financial assets classified as receivable wlthln one year are not amortised. Basic flnan¢lal liabilities Basic financial liabilities, including creditors and loans from fellow group companies are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt Instrument is measured at the present value of the future payments dlscounted at a market rate of Interest. Financlal liabilities classlfled as payable withln one year are not amortlsed. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Trade creditors are obligations to pay for 8aods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities If payment is due withln one year or less. If not, they are pre5enteé as non.current liabilities. Trade Creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. 1.17) Taxatlon The charity Is exempt from corporatlon tax on Its charltable activltles. 1.18) Theatre Tax Relief Where the trading subsidiary, Shakespeare North Playhouse Production Ltd, Incurs qualifying losses in respect of theatre productions, the company has decided that these will be surrendered for a cash payment from HMRC. under the Theatre Tax Credlt regime. Where receipt of these tax credits is virtually certain they are included In the accounts in the year in which the qualifyin8 losse5 were incurred. 1.19) Employee benefils The costs of short.term employee benefits are recognised as a Ilability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets. The cost of any unused holiday entitlement Is recognised in the period in which the employee's services are received. Terrnination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits. 1.201 Retirement benefits The charitable company operates a deflned contrlbution penslon scheme. Contrlbutions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate. SHAKESPEARE NORTH TRUST Notes to the Financial Statements Year ended 31 March 2024 Accountin8 pollcies ICon¥nu¢dl 1.211 Fund accounting Unrestricted funds can be used in accordance with the charitable objertives at the discretion of the trustees. Restrlcted funds can only be used for particular restricted purposes wlthin the objects of the charity. Aestrirtions arise when specified by the donor or when funds are raised for particular restrirted purposes. 1.22} Judgements and key sources of estlmatlon uncertalnty In the application of the company's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estlmates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accountin8 estimates are reco8nised in the period in which the estimate is revised where the revision affects only that period. or In the period of the revislon and future perlods where the revlslon affects both current and future pef iods. The key accounting estimates of the charity are the amortisation of intangible fixed assets. the depreclation of fixed assets and the accrual and deferral of grant Income. Amortlsation of intangible fixed assets Is provided on a stralght-line basls usin8 rates calculated to write down the c05t of each asset to its estimated residual value over its anticipated useful life of 3 to S vears. Tangible fixed assets are depreciated on a strai8ht line basis usin8 rates calculated to write down the cost of each assets to its estimated residual value over the antlcipated useful lives detalled In note 1.8. Incorne from 8overnment and other grants. whether 'capital' grants or 'revenue' grant5, 15 recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received, and the amount can be measured reliably. Income received in advance of the provision of a specified service is deferred until the criteria for income recognltlon are met. SHAKESPEARE NORTH TRUST Notes to the Flnancial Statements Year ended 31 March 2024 Donations and legacles Year Ended 31 March 2024 Year Ended 31 March 2023 Unrestrirted Funds Reslricted Funds Donations and 8ifts Gift Aid Donatlons in kind Grants 128,194 22.062 47,700 950 129,144 22.062 47,700 567.875 32,960 4.854 316.003 477,250 567.875 197,956 568.82S 766.781 831,067 Donatlons and legacies In the year ended 31 March 2023 totalled £831,067. of whlch £477,250 was attributable to restricted and £353,817 was attrlbutable to unrestrScted funds. Charltable artivities Year Ended 31 March 2024 Year Ended 31 March 2023 Unreslrlded Funds Restrlcted Funds Income from charitable activities 1,860,249 1,860.249 1,689,695 Charitable activities In the year ended 31 March 2023 totalled £1,689,695, all of which was attrlbutable to unrestricted funds. Income frorn other tradin8 aetivftles Year Ended 31 March 2024 Year Ended 31 March 2023 Unrestrlcted Funds Restrleted Funds Other trading activities Room hire 317.871 23.015 317.871 23.015 293.594 13.277 340.886 340.886 306,871 Income from other trading activities in the year ended 31 March 2023 totalled £306,871, all of which was attrlbutable to unrestrlcted funds Ralslng funds Year Ended 31 March 2024 Year Ended 31 March 2023 Unrestricted Funds Restrlrted Funds Fundraising costs Trading artivities 12,227 124,331 12,227 124.331 23.517 131.540 136,558 136,558 155.057 The cost of raising funds in the year ended 31 March 2023 was £155,057, all of which was attributable to unrestricted fund5 23 | Page SHAKESPEARE NORTH TRUST Notes to the Financial Statements Year ended 31 March 2024 Expenditure on