DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
Registered number: 06220953 Charity number: 1120948
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
UNAUDITED
TRUSTEES' REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
CONTENTS
| Page | |
|---|---|
| Reference and administrative details of the charitable company, its Board and | 1 - 2 |
| advisers | |
| Chair's statement | 3 |
| Trustees' report | 4 - 12 |
| Independent examiner's report | 13 |
| Statement of financial activities | 14 |
| Balance sheet | 15 - 16 |
| Notes to the financial statements | 17 - 40 |
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITABLE COMPANY, ITS BOARD AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER 2023
Board
Dr. Katherine I. Baxter Jeremy P.T. Bell Chris Calver Robin Campbell Gilbert Corrales (resigned 6 June 2023) Mary J. Durkin, Chair of the Board Hazel Fleming Paul Gailiunas Andrew Harvey Patricia A. Lowery Katharine C. Morley Anthony M Susman (appointed 6 June 2023, resigned 28 September 2023) Martyn R Amos (appointed 6 June 2023, resigned 16 January 2024)
Company registered number
06220953
Charity registered number
1120948
Registered office
23 Westgate Road Newcastle upon Tyne NE1 1SE
Honorary President
Alexander Armstrong
Accountants
Kinnair Associates Limited Chartered Accountants Aston House Redburn Road Newcastle upon Tyne NE5 1NB
Bankers
Lloyds 102 Grey Street Newcastle upon Tyne NE99 1SL
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DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITABLE COMPANY, ITS BOARD AND ADVISERS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
Solicitors
Muckle LLP 32 Gallowgate Newcastle upon Tyne, NE1 4BF -------------------------------------------Hay & Kilner The Lumen, St. James' Boulevard Newcastle upon Tyne, NE4 5BZ
Stockbrokers
Brewin Dolphin Time Central Gallowgate Newcastle upon Tyne NE1 4SR
Staff
Librarian - Kay Easson, M.A. (Hons), Dip. Lib., M.C.L.I.P Music Librarian - James Smith, B.Sc (Hons) Systems Librarian - Carole A. McGivern, B.A. (Hons), Dip.Lib.
Assistants
Shima Banks, H.N.D (Assistant and Graphic Designer) Caroline Grove, B.A. (Hons) Alison Gunning Jeff Watson B.A. (Hons), M.A. Jack Kershaw, B.A., M.A. Ben Sibbald, B.A. (Hons)
Financial Controller
Simon Alderson, B.A. (Hons), M.A., FMAAT
Caretakers
Jim Gilmour Nick Banks
Cleaners
Jane McDowell Deborah Robinson Fiona Rebair (to August 2023) Carol Welsh (from August 2023)
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DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
CHAIR'S STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2023
The chair presents her statement for the year.
It has been a good year. The library has been well used, membership has held up, and the programme of events, second to none, has been exceptionally well received. Good collaboration with the universities of Newcastle and Northumbria has resulted in the NU Ideas programme, the Saturday Conversations, and the Classics Festival. Very many thanks to both institutions. We look forward to further collaboration.
However, while financially we do better than many comparable organisations, the year has been spent working on our capital funding campaign and in particular juggling revenue income to keep pace with the rises in the cost of living, despite very generous donations from members and friends. There are consequent changes to subscriptions rates.
During lockdown members’ rates of subscription did not change and balance was maintained thanks to the government’s furlough scheme. Rates for existing members remained the same in 2022, in recognition of their loyalty during the periods when the library was closed during the two years of the pandemic, and there was no activity in the society.
The situation is changing. Since 2019 inflation has been around 20%. Like everywhere, the major increases in expenditure for the society have been energy costs and staff wages. For the first time since lockdown, in April 2023 we increased subscription rates for existing members by almost 13%. In April 2024 the rates for existing members will rise by a further 7%, so by April 2025 the increase for every member will have caught up with the price increases one year previously. The result of this lag in income compared with expenditure is a continuing annual deficit in the society’s finances.
In recent years subscription rates for new members have increased ahead of those for existing members, so they are already in line with national rates of inflation. The increase planned this year for those joining will be almost 10%, to be extended to existing members in 2025. By then the annual national rate of inflation will probably have fallen to under 5% but we will still be catching up with the consequences of COVID and the subsequent economic difficulties. We anticipate that finances will return to a break-even position sometime in 2025.
The major item of expenditure for the society is staff salaries, which account for most of the increase over recent years. Before 2019 the society was able to function only because of the commitment of the staff, none of whom receive generous payment. Many of them contribute much more than could be expected, and over the last decade or so the Lit & Phil has achieved things that would not have been possible under more normal circumstances. They deserve our enduring gratitude.
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Mary J Durkin Chair of Trustees
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DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
TRUSTEES' REPORT FOR THE YEAR ENDED 31 DECEMBER 2023
The Trustees present their annual report together with the financial statements of the charitable company for the year from 1 January 2023 to 31 December 2023. The annual report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) 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).
Since the charitable company qualifies as small under section 382 of the Companies Act 2006, the Strategic report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.
OBJECTIVES AND ACTIVITIES
POLICIES AND OBJECTIVES
The Trustees have referred to the guidance contained in the Charity Commission’s general guidance on public benefit (available on the Charity Commission's website) and in particular to supplementary public benefit guidance on fee charging charities when reviewing the aims and objectives of the Society, and in planning future activities. The ongoing provision and development of a public reference library, as well as the provision of a wide range of educational activities including lectures, readings and workshops, provide clear and demonstrable public benefit in line with the Society’s objects. More details of how our activities provide public benefit are included throughout this report.
In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.
ACTIVITIES UNDERTAKEN TO ACHIEVE OBJECTIVES
The Society achieves its educational objectives principally by the maintenance and development of a library of books, periodicals, printed and recorded music. It also promotes the study of a broad range of subjects by providing classes, workshops and lectures throughout the year. In addition, other cultural activities such as literary readings, concerts and performances form part of the regular programme of events.
ACHIEVEMENTS AND PERFORMANCE
REVIEW OF ACTIVITIES
STAFF
The only change on the staff in 2023 was the departure of cleaner Fiona Rebair and the arrival of her replacement Carol Welsh.
The Board recognises the commitment of all staff and appreciates their hard work and the excellent service they provide to members and visitors.
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DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
ACHIEVEMENTS AND PERFORMANCE (continued)
VOLUNTEERS
Volunteers support the Society in numerous ways and their contribution to the Lit & Phil cannot be underestimated. Tours are in great demand and some new guides have been trained to help with this. Greeting visitors, assisting with events and serving in the hatch are also ways in which volunteers help the Society.
THE MEMBERSHIP
The number on the roll at 31st December 2023 was 1,880 of whom 1,414 were Ordinary Members. At the same time last year, the figures were 1,932 and 1,449. Of the Ordinary Members 220 were Family Members compared to 228 in 2022. A Family Member consists of two adults and any children under the age of 18.
Members who died during the year and have been on the roll for 25 years or more:
George Blaylock (1970) Barbara Davidson (1958) Alison Ibbs (1974) Harry Johnson (1966) Mary Milburn (1989) Margaret Norwell (1976) Christopher Walton (1972)
The Board was saddened to learn of the death of Margaret Norwell on 2nd January 2023. She was the Society's Librarian from 1987 to 1996, and was made an Honorary Member on her retirement.
THE LIBRARY
During the year 463 volumes were added to the Permanent Library, 107 to the Music Section (including scores), 5 to the “H” section (popular non-fiction), 20 to the Children’s and Young Adult section and 122 to the Fiction section, making a total of 717 added to the Library.
A donations of six volumes of local interest made by Friends of the National Libraries from the saved Blavatnik Honresfield Library included A Thousand Years of the Church in Chester-le-Street by Rev. Canon Blunt, M.A. 1884, and A Brief Account of Durham Cathedral, 1833.
BOOKBINDING
An audit of the items issued to the Bookbinding group was undertaken this year and showed that there were numbers of volumes in the Bindery in a partially completed state, as the work had been started by people who no longer attend the class. These have now been tracked down and reassigned to other volunteers for completion, which means we have been able to send 114 volumes to the Bindery for repair or rebinding, and return a total of 143 to the shelves.
The Society of Bookbinders NE Region now has a display case in the Library, exhibiting books recently rebound by Society members and Lit & Phil volunteers. This is maintained by Dr P. Smith, to whom we extend our thanks.
Thanks are also due to Mr T. Gradon who oversees the volunteer group, Ms M. Haddad who assists him, and to Mr P. Gailiunas and Mr C. Calver who give their time to advise and encourage participants. The greatest thanks are due, as always, to the Society's volunteers, who give their time freely and without whom the collection would be in a much poorer condition.
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DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
ACHIEVEMENTS AND PERFORMANCE (continued)
GRAMOPHONE LIBRARY
During this year 766 compact discs were borrowed. Of those 153 were jazz, 27 folk and 30 spoken word. 31 DVDs were also borrowed.
At the end of the year membership of the Gramophone section was 193 of whom 170 were book members of the Society.
Access for Gramophone members to the online Naxos Music Library continued and there were 1714 logins, representing 11298 pieces of music listened to during the year.
MUSIC EVENTS
18 classical concerts and 22 jazz concerts took place with a combined attendance of 3046, an increase of 417.
Partnerships as part of the TUSK North, The Newcastle Festival of Jazz and Improvised Music, the Northumbrian Pipers and the William Shield Festival were fruitful and saw a variety of performers from across the globe visit us to perform.
The music education programme grew with 794 people attending various activities. Thanks are due to Ms Mariam Rezaei for her organisation of the artist interviews and Mr Wesley Stephenson and Prof. Andrew Hamilton for the Aesthetics of Imperfection lecture series.
A 18th century singing session as part of the Being Human Festival was held in partnership with Dr Katherine Butler at Northumbria University, highlighting the 1703 Catch Club book held by the Society.
The Music Librarian has continued to run handling sessions with Newcastle University's module on Music Materiality, as well as Northumbria University’s Music in the Georgian Home and pre degree foundation modules.
CONCERT HIGHLIGHTS
The Telyn Quartet, Alma Vink, violin; Tabitha Appel, violin; Izzy Neary Adams, violin; Seth Collin, cello performed Haydn op.17 no.4 in C minor, Britten Three Divertimenti for String Quartet, Beethoven op. 74 in E flat Major ‘the Harp’.
Mr Jeremy Teasdale performed the works of Mrs Emma Jean MacFarren, that she played during the first advertised concert in the Society in 1867/68.
Ms Sarah Roberts, violin, performed J.S. Bach Violin Sonata No.2 in A minor, BWV 1003.
LECTURES, EVENTS AND OTHER EDUCATIONAL ACTIVITIES
The events programme continues to expand. One of the significant developments of 2023 was the establishment of the NU Ideas at the Lit & Phil series, which showcases recent STEM research at Northumbria University. This has been developed by Professor Martyn Amos and will continue into 2024.
The events programme included:
January: NU Ideas at the Lit & Phil: The Shape of Snow, with Dr Mel Sandells and The Plasma Tails of Comets, with Dr Charlotte Goetz.
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DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
ACHIEVEMENTS AND PERFORMANCE (continued)
February: Holocaust Memorial Day Lecture: My Mother’s Story, with Deanna van de Velde.
March: Ancient Egypt for Beginners, with Dr Penny Wilson. In association with the North East Ancient Egypt Society.
April: Tomatoes Tried to Kill Me but Banjos Saved my Life, performed by Keith Alessi (A Carole W Production).
May: Electric Currents in Space with John Coxon. In association with the North East branch of the Institute of Physics.
June: A History of Lead Mining in the North East, with Les Turnbull.
July: Book Launch and Readings with Carte Blanche Writers Group.
August: From Soil to Song: the making of a sustainable farm, for food and wildlife, with Charlie Bennett.
September: Backbone of the Nation: Mining Communities and the Great Strikes 1984-85, with Robert Gildea.
October: The Fall of Margaret Thatcher: a Whodunnit, with Charles Moore and Kate Ehrman (sponsored by Lycetts).
November: Tastes of Honey: the Making of Shelagh Delaney and a Cultural Revolution, with Selina Todd (a Zoom event and part of the Books on Tyne Festival).
December: Unveiling the Myth of Narcissus, with Chiara Blanco. In association with the Northumberland and Durham Branch of the Classical Association.
Member and ornithologist, Michael Turner, reprised his very successful bird walks in June and October.
The event on 29th March was the culmination of the Lit & Phil’s 10th Young Writers’ Awards, generously funded by the Pen & Palette Club. 82 young people from 8 schools submitted entries in poetry, fiction and nonfiction categories on the theme of “friendship”. Every student who took part received a certificate giving them a years’ membership of the Library. Many thanks to Jessica Wortley who has been co-ordinating the awards for 8 years, the mentors, and judges. Writer and tutor Ellen Phethean presented the prizes. The Pen & Palette’s Kelsey Thornton presented a prize to the overall winner from the 3 categories.
The new “Saturday Conversations” sessions began in December 2023. Professor Matthew Johnson from Northumbria University introduced discussion on Universal Basic Income. A session on Artificial Intelligence is planned for February 2024.
The Society welcomed two interns and a Ph.D student from Northumbria University during the course of the year. Olivia Colborn commenced research for her Ph.D. entitled Consuming Modernist Literature and Art in Newcastle 1910-1939. Cameron Inglis, an intern, looked at Women and the Novel at the Lit and Phil: the early 20th century. Fellow intern, Emma Blackman’s subject was Women and Public Life at the Lit & Phil.
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DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
ACHIEVEMENTS AND PERFORMANCE (continued)
JOHN BUDDLE ANNIVERSARY
2023 was the 250th anniversary of the birth of John Buddle. Thanks to the generosity of members, the Society’s painting of the mining engineer was restored and reframed by Durham based conservator Angela McDowell. A series of events took place in September including lectures and a concert, as well as an account of the restoration process, to mark the occasion.
EXHIBITIONS
Small exhibitions were mounted throughout the year to highlight various aspects of the Lit & Phil’s collection. Themes included Ancient Egypt, Women Travellers, and Fish. The North East Branch of the Society of Bookbinders installed a permanent display case in the library to showcase work of the group, and they also created designer bindings for Charles Parish’s Volume II of the History of the Lit & Phil which were put on display.
CLASSES AND GROUPS
French Literature, Creative Writing, Greek, the Shakespeare Club, the Book Group, Drawing and Latin classes took place during the year.
TOURS AND VISITORS
Tyneside Rotary Club, Gosforth Central Middle School, Whickham Belles, Natural England, Darlington History Society, and St John’s College, Durham University, were are few of the many groups, educational establishments and organisations that visited for tours during the year.
In May the Lit & Phil hosted a visit by members of the Royal Philosophical Society of Glasgow. Many of their activities while in Newcastle were co-ordinated by Board member and City Guide Pat Lowery. These included a Newcastle City Highlights walking tour and a drinks reception and tour of the library.
As ever the visitors’ book shows a wide geographical spread of people from around the world, including Romania, Ghana, South Korea, Poland, Barbados, Spain, India, Belgium and Sweden.
MARKETING
Three newsletters, designed in-house by Shima Banks and edited by the Librarian, were produced during the year and were circulated in paper form as well as online. Mailchimp communications were sent to members and subscribers. Several articles highlighting events or activities, such as Books on Tyne, appeared in the local press, written by freelance journalist Dave Whetstone. New merchandise was produced including coasters, cards and lightweight canvas bags and tea towels, all of which prove to be very popular with visitors and members.
FUNDRAISING & FUTURE DEVELOPMENTS
Work towards the restoration of the building progressed with the appointment of conservation architects Xsite, led by senior architect Tim Bailey. Consultation sessions for members (as well as one for non-members) were arranged, with a feedback session arranged in early September. Staff were also consulted with regard to proposed building development. A pre-planning application will be submitted to Newcastle City Council as soon as practicable.
A fundraising dinner, hosted by Matt Ridley was held at Blagdon Hall in March. Lit & Phil President Alexander Armstrong was in attendance.
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DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
ACHIEVEMENTS AND PERFORMANCE (continued)
A fundraising Christmas Gathering for members was held in December.
Achates, a cultural consultancy company providing support to organisations with fundraising, was commissioned to produce a Fundraising Feasibility Review for the Lit & Phil. As a result of this review, the Board agreed to embark on a National Lottery Heritage Fund bid. An Appeal/Fundraising group was established to move this forward.
THE BUILDING
General maintenance and repair was ongoing, either carried out by the caretaking staff or external contractors. Tenders were sought for the repair of the roof and work commenced in late 2023, to be completed in early 2024.
LOOKING BACK
The 130th year’s Annual Report in 1923 notes:
The Cinema Projector given by the President, the Hon. Sir Charles A. Parsons, K.C.B, has been fitted up and is now in working order. It is the finest instrument of its kind that Messrs. Ross, Ltd., make, and its use will greatly increase the value of lectures for which films are needed.
The President has also given to the Society £5,000 of 5 percent. War Loan. This munificent gift, producing £250 per annum, will do much to keep the Society’s finances in a sound condition.
The Society is deeply indebted to Sir Charles for taking so keen and practical an interest in its welfare, and members will appreciate his kindly feeling for the Institution. It carries on the tradition of Robert Stephenson and Lord Armstrong, two other eminent Presidents, who did so much for the Society.
DONATIONS
The following members and friends of the Society donated books, periodicals and recorded music:
Shima Banks, Alan Beale, Alan Bill, Bloodaxe Books, British Institute for the study of Iraq, Dr Katherine Butler , Chris Calver, Stephen Coll, Ben Conlon, J.F. Darycott, Neil A. Downie, Alan England, Hazel Fleming, Tony Flowers, Friends of the National Libraries, Paul Gailiunas, John Garner, Caroline Grove, Marcus Hargis, Roger Hawkins, In memory of John Haynes, A. Henfrey, Les Heslop, Bob Jeffrey, Ian Johnson, John Liffen, Susan McCormack, A.S. Mohamed, Colin Monson, Denise Moss, Mike Noble, North East Methodist History Society, Joyce Parvin, Dennis Peel, Mark Pinder, Chris Purser, Red Squirrel Press, Alan Rushworth, Federico Santangelo, Marie Schreer, Richard Sharp, Ben Sibbald, Ian Slack, George Turner Smith, Smokestack Books, Michael Taylerson, John Titterington, James Tucker, Michael Turner, Tom Tweddell, Ian Varty, John Walker, Susan Walton, Jeff Watson and Alan Wright.
INVESTMENT POLICY AND PERFORMANCE
There are no restrictions on the Charity’s power to invest. The investment strategy is set by the Trustees, taking into account regular financial advice from professional advisors and any demand for funds. Factors considered include income requirements, risk profile and the advisor’s view of market prospects in the medium term. The overall policy requires funds to be invested in low and medium risk investments with a long term aim of obtaining capital appreciation that exceeds inflation. Our Society's brokers currently have the Society's holdings invested across a range of fund types.
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DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
FINANCIAL REVIEW
GOING CONCERN
After making appropriate enquiries and considering the future impact of relevant factors such as the new fixed rate energy deal, and other work on cost reductions in 2024 along with work to increase revenue, the Trustees are satisfied that there is a reasonable expectation that the charitable company has adequate resources to continue in operational existence for the foreseeable future.
For this reason the Trustees continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies. .
RESERVES POLICY
It is the decision of the board that the level of free reserves i.e. excluding tangible fixed assets, investments, restricted and endowment funds, as noted above, should be in the region of £60,000 in order to cover unexpected losses in income, unforeseen emergencies, and short term deficits in cash budgets. This amount is subject to regular board review to determine whether the levels are still appropriate. At the year end the level of free reserves stood at £35,234.
The Trustees are aware of the current shortfall in the levels of free reserves and anticipate these will return to the required levels in the future.
PRINCIPAL FUNDING
The Charity’s principal funding comes from the members' subscriptions which are allocated to general costs. Other sources of funding are commercial income from merchandising, room rentals and events. Extra costs are met by donation wherever possible, and from grants for specific events.
OVERVIEW
In 2023, having managed to negotiate the pandemic, the Society, along with many other people and institutions, was forced to deal with the cost-of-living crisis brought on by high inflation and interest rates that were triggered after the September 2022 budget. Heat and light costs in the year were up by 38%, insurance costs rose by 17%, and Lloyds Bank ceased their direct debit services forcing a move to a commercial provider at three times the cost. Combined with increases in professional fees relating to preparation work for the appeal, rises in expenditure wiped out the increases in income such as subscriptions, room hire, and merchandise. As always, the support of the Society’s membership remains the greatest strength.
The increases in expenditure all led to a deficit on general funds of £54,832 in the year. On the positive side, this deficit was offset by increases in the value of the investment portfolio, which recovered some of the losses suffered in 2022 due to the various political and military crises in that year.
Restricted funds had limited activity, the exception being the Appeal fund, which had some income that was then spent on drawing up the new architectural plans for the building renovations.
During 2023 and continuing into 2024, cost reductions have been and are being vigorously pursued. The benefit in some of these areas, particularly heat and light, stationery, and cleaning costs should become obvious in 2024 and help to move the Society towards a significant reduction in the deficits in the current year.
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DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
STRUCTURE, GOVERNANCE AND MANAGEMENT
CONSTITUTION
The Literary & Philosophical Society of Newcastle upon Tyne is registered as a charitable company limited by guarantee, registered number 6220953. It was constituted by a Memorandum of Association dated 20th April 2007 and is governed by Articles of Association adopted on 25th May 2016. It is also a registered charity, number 1120948.
The object of the Society is the advancement of the education of the inhabitants of Newcastle upon Tyne and the surrounding neighbourhood by promoting the study of language, literature, philosophy, science, history, music and the fine arts by the following means:
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(a) by providing and maintaining a library for the use of the said inhabitants;
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(b) by providing university extension and other educational lectures and classes for the said inhabitants;
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(c) by raising funds by charging subscriptions to its Members and otherwise, such funds to be applied exclusively for the purposes of the Society;
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(d) by such other charitable means as the Society may think fit.
METHODS OF APPOINTMENT OR ELECTION OF TRUSTEES
The Society is managed by a Board of Trustees, of whom up to twelve are elected by the members of the Society and up to a further three may be co-opted by the Board. The Board meets monthly. The Trustees who have served during 2023 and since the end of that year end are as set out on page one. The Board has set up a number of Committees, which may include specialist co-optees, and which report to the Board.
RISK MANAGEMENT
The Trustees have assessed the major risks to which the charitable company is exposed, in particular those related to the operations and finances of the charitable company, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks.
PLANS FOR FUTURE PERIODS
Having appointed architects in early 2023, much work has been done on draft plans for the physical improvement of the building, with a pre-planning application to the City Council scheduled for early 2024. Preparation for a major application to the National Heritage Lottery Fund is ongoing. In tandem with this, plans are being made to celebrate the 200th anniversary of the opening of the building in 2025 with a series of high profile events and activities.
MEMBERS' LIABILITY
The Members of the charitable company guarantee to contribute an amount not exceeding £1 to the assets of the charitable company in the event of winding up.
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DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
Statement of Trustees' responsibilities
The Trustees (who are also the directors of the charitable company 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. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles of the Charities SORP (FRS 102);
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make judgments and accounting estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and 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. 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.
Approved by order of the members of the board of Trustees on 16 April 2024 and signed on their behalf by:
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Mary J. Durkin (Chair of Trustees)
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DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 DECEMBER 2023
Independent examiner's report to the Trustees of The Literary & Philosophical Society of Newcastle upon Tyne ('the charitable company')
I report to the charity Trustees on my examination of the accounts of the charitable company for the year ended 31 December 2023.
Responsibilities and basis of report
As the Trustees of the charitable company (and 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 charitable 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 the charitable company's accounts carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner's statement
Since the charitable company's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
-
accounting records were not kept in respect of the charitable company as required by section 386 of the 2006 Act; or
-
the accounts do not accord with those records; or
-
the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination; or
-
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 (FRS 102)].
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
This report is made solely to the charitable company's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the charitable company's Trustees those matters I am required to state to them in an Independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charitable company and the charitable company's Trustees as a body, for my work or for this report.
Signed: Dated: 19 April 2024 Detlev Anderson FCA
Kinnair Associates Limited
Chartered Accountants Aston House Redburn Road Newcastle upon Tyne NE5 1NB
Page 13
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 DECEMBER 2023
| Note Income and endowments from: Donations and legacies 3 Charitable activities 4 Other trading activities 5 Investments 6 Other income 7 Total income and endowments Expenditure on: Raising funds 8,9 Charitable activities 10 Total expenditure Net income/(expenditure) before net gains/(losses) on investments Net gains/(losses) on investments 15 Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward |
Endowment funds 2023 £ - - - - - - - - - - - - 13,000 - 13,000 |
Restricted funds 2023 £ 54,575 - - - - 54,575 - 46,988 46,988 7,587 - 7,587 136,424 7,587 144,011 |
Unrestricted funds 2023 £ 65,777 290,832 45,232 22,783 112 424,736 19,044 460,524 479,568 (54,832) 52,281 (2,551) 960,805 (2,551) 958,254 |
Total funds 2023 £ 120,352 290,832 45,232 22,783 112 479,311 19,044 507,512 526,556 (47,245) 52,281 5,036 1,110,229 5,036 1,115,265 |
Total funds 2022 £ 42,420 287,653 39,622 20,076 427 390,198 17,365 438,911 456,276 (66,078) (122,535) (188,613) 1,298,842 (188,613) 1,110,229 |
|---|---|---|---|---|---|
The Statement of financial activities includes all gains and losses recognised in the year.
The notes on pages 17 to 40 form part of these financial statements.
Page 14
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee) REGISTERED NUMBER: 06220953
BALANCE SHEET AS AT 31 DECEMBER 2023
| Note Fixed assets Tangible assets 16 Investments 17 Current assets Stocks 18 Debtors 19 Cash at bank and in hand Creditors: amounts falling due within one year 20 Net current assets Total assets less current liabilities Net assets excluding pension asset Total net assets |
2023 £ 7,339 47,930 67,256 122,525 (29,919) |
2023 £ 123,843 898,816 1,022,659 92,606 1,115,265 1,115,265 1,115,265 |
2022 £ 6,448 40,859 91,901 139,208 (42,745) |
2022 £ 143,301 870,465 |
|---|---|---|---|---|
| 1,013,766 96,463 |
||||
| 1,110,229 | ||||
| 1,110,229 | ||||
| 1,110,229 |
Page 15
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee) REGISTERED NUMBER: 06220953
BALANCE SHEET (CONTINUED) AS AT 31 DECEMBER 2023
| 2023 Note £ Charity funds Endowment funds 22 Restricted funds 22 Unrestricted funds 22 Total funds |
2023 2022 £ £ 13,000 144,011 958,254 1,115,265 |
2022 £ 13,000 136,424 960,805 |
|---|---|---|
| 1,110,229 |
The charitable company was entitled to exemption from audit under section 477 of the Companies Act 2006.
The members have not required the company to obtain an audit for the year in question in accordance with section 476 of Companies Act 2006.
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.
The financial statements were approved and authorised for issue by the Trustees on 16 April 2024 and signed on their behalf by:
==> picture [84 x 37] intentionally omitted <==
Mary J. Durkin (Chair of Trustees)
The notes on pages 17 to 40 form part of these financial statements.
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DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
1. General information
The Literary and Philosophical Society is a private company limited by guarantee incorporated in England and Wales, registration number 06220953 and charity number 1120948. The address of the registered office which is also the principal place of business is 23 Westgate Road, Newcastle upon Tyne, NE1 1SE.
2. Accounting policies
2.1 Basis of preparation of financial statements
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - 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) (effective 1 January 2015), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
The Literary & Philosophical Society of Newcastle upon Tyne 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.
2.2 Going concern
At the year end the Society had net current assets of £92,606, broadly the same as 2022. During 2023, whilst income rose the continuing cost of living crisis meant that expenditure also increased. Work to keep these cost rises under control continues, along with measures to increase membership and income.
The Trustees therefore have a reasonable expectation that the Society has adequate resources to continue in operational existence for the foreseeable future. They continue to believe the going concern basis of accounting is appropriate in preparing the annual financial statements.
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DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
2. Accounting policies (continued)
2.3 Income
All income is recognised once the charitable company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
The recognition of income from legacies is dependent on establishing entitlement, the probability of receipt and the ability to estimate with sufficient accuracy the amount receivable. Evidence of entitlement to a legacy exists when the charitable company has sufficient evidence that a gift has been left to them (through knowledge of the existence of a valid will and the death of the benefactor) and the executor is satisfied that the property in question will not be required to satisfy claims in the estate. Receipt of a legacy must be recognised when it is probable that it will be received and the fair value of the amount receivable, which will generally be the expected cash amount to be distributed to the charitable company, can be reliably measured.
Government grants - Coronavirus job retention scheme grants are recognised on a straight line basis over the furlough period for each relevant employee.
Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.
Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.
2.4 Expenditure
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.
Staff related expenditure has been allocated on the basis of time spent.
Printing, postage, stationery, telephone and sundries have been allocated based on estimated usage.
Expenditure on raising funds includes all expenditure incurred by the charitable company to raise funds for its charitable purposes and includes costs of all fundraising activities events and noncharitable trading.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the charitable company's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
Page 18
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
2. Accounting policies (continued)
2.5 Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charitable company; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.
2.6 Tangible fixed assets and depreciation
Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives .
Depreciation is provided on the following bases:
| The Premises | - 10-50 years |
|---|---|
| Pianos | - 12 years |
| Mobile shelving | - 10 years |
| Security tagging | - 10 years |
| Office equipment | - 3 years |
| Catalogue computerisation | - 3 years |
| Stair lift | - 5 years |
2.7 Heritage assets
In the absence of a professional valuation the policy is not to reinstate any value for the original cost of the library premises wholly written off, but to capitalise any cost, whenever considered appropriate, expenditure incurred from 1967 and onwards upon work of reconstruction or fundamental repairs to the building.
2.8 Investments
Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Statement of financial activities.
Investments in subsidiaries are valued at cost less provision for impairment.
Investments held as fixed assets are shown at cost less provision for impairment.
2.9 Stocks
Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks.
Page 19
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
2. Accounting policies (continued)
2.10 Debtors
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
2.11 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.
2.12 Liabilities and provisions
Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabilities are recognised at the amount that the charitable company anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
2.13 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 with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
2.14 Books and compact discs
These are not valued in the accounts as they are not held for resale. The cost of additional books and CDs are charged within the Statement of Financial Activities in the year of purchase.
2.15 Group accounts
The financial statements present information about the charitable company as an individual undertaking and not about its group. The charitable company and its subsidiary undertaking comprise a small-sized group. The charitable company has therefore taken advantage of the exemptions provided by section 399 of the Companies Act 2006 not to prepare group accounts.
2.16 Pensions
The charitable company operates a defined contribution pension scheme and the pension charge represents the amounts payable by the charitable company to the fund in respect of the year.
Page 20
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
2. Accounting policies (continued)
2.17 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the charitable company and which have not been designated for other purposes.
Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charitable company for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Investment income, gains and losses are allocated to the appropriate fund.
3. Income from donations and legacies
| Donations Legacies Total 2023 Donations |
Restricted funds 2023 Unrestricted funds 2023 £ £ 54,575 60,777 - 5,000 54,575 65,777 Restricted funds 2022 Unrestricted funds 2022 £ £ 6,521 35,899 |
Total funds 2023 £ 115,352 5,000 |
|---|---|---|
| 120,352 | ||
| Total funds 2022 £ 42,420 |
Page 21
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
4. Income from charitable activities
| Unrestricted funds 2023 £ Income from charitable activities - Provision of library services 290,832 Unrestricted funds 2022 £ Income from charitable activities - Provision of library services 287,653 |
Total funds 2023 £ 290,832 |
|---|---|
| Total funds 2022 £ 287,653 |
5. Income from other trading activities Income from non charitable trading activities
| Unrestricted funds 2023 £ Trading income 45,232 Unrestricted funds 2022 £ Trading income 39,622 |
Total funds 2023 £ 45,232 |
|---|---|
| Total funds 2022 £ 39,622 |
Page 22
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
6. Investment income
| Unrestricted funds 2023 £ Income from local listed investments 21,581 Other interest received 1,202 22,783 Unrestricted funds 2022 £ Income from local listed investments 20,037 Other interest received 39 20,076 |
Total funds 2023 £ 21,581 1,202 |
|---|---|
| 22,783 | |
| Total funds 2022 £ 20,037 39 |
|
| 20,076 |
7. Other incoming resources
| Unrestricted funds 2023 £ Commissions received 112 Unrestricted funds 2022 £ Commissions received 427 |
Total funds 2023 £ 112 Total funds 2022 £ 427 |
|---|---|
Page 23
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
8. Expenditure on raising funds
Other trading expenses
| Unrestricted funds 2023 £ Trading expenditure 13,027 Other trading expenses (continued) Unrestricted funds 2022 £ Trading expenditure 11,042 Investment management costs Unrestricted funds 2023 £ Portfolio management fees 6,017 Unrestricted funds 2022 £ Portfolio management fees 6,323 |
Total funds 2023 £ 13,027 |
|---|---|
| Total funds 2022 £ 11,042 |
|
| Total funds 2023 £ 6,017 |
|
| Total funds 2022 £ 6,323 |
9. Investment management costs
Page 24
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
10. Analysis of expenditure on charitable activities
Summary by fund type
| Direct costs - Provision of library services Direct costs - Provision of library services |
Restricted funds 2023 Unrestricted funds 2023 £ £ 46,988 460,524 Restricted funds 2022 Unrestricted funds 2022 £ £ 27,189 411,722 |
Total 2023 £ 507,512 |
|---|---|---|
| Total 2022 £ 438,911 |
11. Analysis of expenditure by activities
| Direct costs - Provision of library services Direct costs - Provision of library services |
Activities undertaken directly 2023 £ 242,583 Activities undertaken directly 2022 £ 233,058 |
Support costs 2023 £ 264,929 Support costs 2022 £ 205,853 |
Total funds 2023 £ 507,512 |
|---|---|---|---|
| Total funds 2022 £ 438,911 |
Page 25
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
11. Analysis of expenditure by activities (continued)
Analysis of direct costs
| Staff costs Books and periodicals Gramophone costs Lectures and meetings Binding Staff costs Books and periodicals Gramophone costs Lectures and meetings Binding |
Activities 2023 £ 193,474 22,889 2,124 21,945 2,151 242,583 Activities 2022 £ 184,419 20,285 1,592 26,204 558 233,058 |
Total funds 2023 £ 193,474 22,889 2,124 21,945 2,151 |
|---|---|---|
| 242,583 | ||
| Total funds 2022 £ 184,419 20,285 1,592 26,204 558 |
||
| 233,058 |
Page 26
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
11. Analysis of expenditure by activities (continued)
Analysis of support costs
| Staff costs Depreciation Upkeep of premises Printing, postage, stationery, telephone and sundries Bank charges and interest Professional expenses Governance costs Travelling Licences Staff costs Depreciation Upkeep of premises Printing, postage, stationery, telephone and sundries Bank charges and interest Professional expenses Staff Training Governance costs Travelling Licences |
Activities 2023 £ 71,189 19,458 97,956 28,580 8,700 34,525 4,253 96 172 264,929 Activities 2022 £ 67,697 20,789 79,840 26,457 4,658 1,500 495 3,932 20 465 205,853 |
Total funds 2023 £ 71,189 19,458 97,956 28,580 8,700 34,525 4,253 96 172 |
|---|---|---|
| 264,929 | ||
| Total funds 2022 £ 67,697 20,789 79,840 26,457 4,658 1,500 495 3,932 20 465 |
||
| 205,853 |
Page 27
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
Governance costs included above comprise:
| 2023 2022 |
|
|---|---|
| £ £ |
|
| Independent examiner's remuneration | 3,455 3,090 |
| Printing and postage | 788 842 |
| 4,243 3,932 |
12. Independent examiner's remuneration
| 2023 | 2022 | |
|---|---|---|
| £ | £ | |
| Fees payable to the charitable company's independent examiner for the | ||
| independent examination of the charitable company's annual accounts | 790 | 790 |
| Fees payable to the charitable company's independent examiner in respect | ||
| of: | ||
| Accountancy services | 2,665 | 2,665 |
13. Staff costs
| Wages and salaries Social security costs Contribution to defined contribution pension schemes |
2023 £ 247,266 11,037 6,360 264,663 |
2022 £ 235,219 10,800 6,097 |
|---|---|---|
| 252,116 |
The average number of persons employed by the charitable company during the year was as follows:
| Library services (including o/s (2021: 8) part time and cashier Caretaking (part time) Cleaning (part time) |
2023 No. 12 2 3 17 |
2022 No. 12 2 3 |
|---|---|---|
| 17 |
Page 28
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
13. Staff costs (continued)
No employee received remuneration amounting to more than £60,000 in either year.
The total remuneration and benefits for key management personnel for the year, including employer' pension and national insurance contributions, totalled £65,280 (2022: £63,121).
14. Trustees' remuneration and expenses
During the year, no Trustees received any remuneration or other benefits (2022 - £NIL) .
During the year ended 31 December 2023, no Trustee expenses have been incurred (2022 - £NIL) .
15. Net (losses)/gains on investments
| 2023 2022 |
|
|---|---|
| £ £ |
|
| (Losses)/gains on disposal of share investment assets | (405) (13,164) |
| Gains/(losses) on revaluations of share investment assets | 52,686 (109,371) |
| 52,281 (122,535) |
Page 29
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
16. Tangible fixed assets
| Cost or valuation At 1 January 2023 At 31 December 2023 Depreciation At 1 January 2023 Charge for the year At 31 December 2023 Net book value At 31 December 2023 At 31 December 2022 |
Freehold property £ 367,995 367,995 230,841 17,084 247,925 120,070 137,154 |
Fixtures and fittings £ 255,354 255,354 249,207 2,374 251,581 3,773 6,147 |
Total £ 623,349 |
|---|---|---|---|
| 623,349 | |||
| 480,048 19,458 |
|||
| 499,506 | |||
| 123,843 | |||
| 143,301 |
Heritage assets
The original cost of the Library building has been written off. The Library including the book and art collections have been valued for insurance purposes at £15,706,280 (2022 : £15,110,295).
The Society owns an extensive book collection and the library which is a listed building. The building and the book collection have been gifted to the Society to be held in perpetuity in accordance with the Trust Deed. The original cost of these assets and the costs of improvement until 1967 have not been included in the balance sheet because, in the opinion of the Trustees, the cost of professionally valuing these assets to include a value in the financial statements outweighs the benefits to the users of the financial statements.
Page 30
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
17. Fixed asset investments
Investments
| Cost or valuation At 1 January 2023 Additions Disposals Revaluations At 31 December 2023 Net book value At 31 December 2023 At 31 December 2022 |
in subsidiary companies £ 1 - - - 1 1 1 |
Listed investments £ 831,999 105,878 (97,708) 52,686 892,855 892,855 831,999 |
Cash held for investment £ - 38,465 (32,505) - 5,960 5,960 - |
Total £ 832,000 144,343 (130,213) 52,686 898,816 898,816 832,000 |
|---|---|---|---|---|
Principal subsidiaries
The following was a subsidiary undertaking of the charitable company:
Name Company Registered office or principal Principal activity number place of business The Literary & Philosophical 08299174 23 Westgate Road, Newcastle To provide a cafe Trading Company Limited upon Tyne, NE1 1SE service in order to
To provide a cafe service in order to raise funds for the parent charitable company
| Class of | Holding |
|---|---|
| shares | |
| Ordinary | 100% |
The financial results of the subsidiary for the year were:
| Name | Income | Expenditure | Net assets |
|---|---|---|---|
| £ | £ | £ | |
| The Literary & Philosophical Trading Company Limited | 11,137 | (11,137) | 1 |
Page 31
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
18. Stocks
| 2023 | 2022 | |
|---|---|---|
| £ | £ | |
| Finished goods and goods for resale | 7,339 | 6,448 |
19. Debtors
| Due within one year Trade debtors Other debtors Prepayments and accrued income Tax recoverable |
2023 £ 7,506 17,956 7,839 14,629 47,930 |
2022 £ 3,884 4,763 27,688 4,524 |
|---|---|---|
| 40,859 |
20. Creditors: Amounts falling due within one year
| Trade creditors Other taxation and social security Accruals and deferred income Financial instruments Financial assets Financial assets measured at fair value through income and expenditure |
2023 £ 13,876 4,147 11,896 29,919 2023 £ 892,855 |
2022 £ 23,977 3,642 15,126 |
|---|---|---|
| 42,745 | ||
| 2022 £ 831,999 |
21. Financial instruments
Financial assets measured at fair value through income and expenditure comprise listed securities which are stated at market value.
Page 32
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
22. Statement of funds
Statement of funds - current year
| Balance at 1 January 2023 £ Unrestricted funds Designated funds Lit and Phil Legacy Fund 146,148 The Core Fund 754,327 The Young Writers Award fund - Books on Tyne 207 900,682 General funds General Funds 60,123 Total Unrestricted funds 960,805 Endowment funds Alan Meikle Book Fund 3,000 Charles Parish Lecture Fund 10,000 13,000 |
Income £ Expenditure £ - - - (6,017) 2,000 (3,000) 3,359 (3,566) 5,359 (12,583) 419,377 (466,985) 424,736 (479,568) - - - - - - |
Transfers in/out £ - - 1,000 - 1,000 (1,000) - - - - |
Gains/ (Losses) £ (1,328) 53,609 - - 52,281 - 52,281 - - - |
Balance at 31 December 2023 £ 144,820 801,919 - - |
|---|---|---|---|---|
| 946,739 | ||||
| 11,515 | ||||
| 958,254 | ||||
| 3,000 10,000 |
||||
| 13,000 |
Page 33
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
22. Statement of funds (continued)
| Restricted funds Development Appeal Fund Book Sponsorship fund Members Book Fund Margaret Anne Dalton Legacy Music Librarian's Fund Charles Parish Lecture Fund Disabled Access Fund Appeal 2024 Classics Fest Appeal Fund Total of funds |
68,926 - - 14,055 4,993 2,344 45,340 - - 766 136,424 1,110,229 |
- 81 3,436 - 8,000 - - 28,500 14,558 - 54,575 479,311 |
(3,292) (81) (3,436) (990) (7,488) - (11,335) (19,200) (400) (766) (46,988) (526,556) |
- - - - - - - - - - - - |
- - - - - - - - - - - 52,281 |
65,634 - - 13,065 5,505 2,344 34,005 9,300 14,158 - |
|---|---|---|---|---|---|---|
| 144,011 | ||||||
| 1,115,265 |
Page 34
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
22. Statement of funds (continued)
Statement of funds - prior year
| Unrestricted funds Designated funds Lit and Phil Legacy Fund The Core Fund The Young Writers Award fund Books on Tyne General funds General Funds Total Unrestricted funds Endowment funds Alan Meikle Book Fund Charles Parish Lecture Fund |
Balance at 1 January 2022 £ 149,649 879,684 - 850 1,030,183 98,567 1,128,750 3,000 10,000 13,000 |
Income £ - - - 1,622 1,622 382,055 383,677 - - - |
Expenditure £ - (6,323) (3,250) (2,265) (11,838) (417,249) (429,087) - - - |
Transfers in/out £ - - 3,250 - 3,250 (3,250) - - - - |
Gains/ (Losses) £ (3,501) (119,034) - - (122,535) - (122,535) - - - |
Balance at 31 December 2022 £ 146,148 754,327 - 207 |
|---|---|---|---|---|---|---|
| 900,682 | ||||||
| 60,123 | ||||||
| 960,805 | ||||||
| 3,000 10,000 |
||||||
| 13,000 |
Page 35
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
22. Statement of funds (continued)
| Restricted funds Development Appeal Fund Members Book Fund Margaret Anne Dalton Legacy Music Librarian's Fund Charles Parish Lecture Fund Disabled Access Fund Appeal Fund Total of funds |
72,218 - 14,631 8,867 2,594 56,675 2,107 157,092 1,298,842 |
- 3,521 - 3,000 - - - 6,521 390,198 |
(3,292) (3,521) (576) (6,874) (250) (11,335) (1,341) (27,189) (456,276) |
- - - - - - - - - |
- - - - - - - - (122,535) |
68,926 - 14,055 4,993 2,344 45,340 766 |
|---|---|---|---|---|---|---|
| 136,424 | ||||||
| 1,110,229 |
Page 36
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
FUND DESCRIPTIONS:
The Development Appeal Fund has been fully utilised, the remaining balance shown above is fully represented by tangible fixed assets.
The Members' Book Fund was established to allow members to donate towards the purchase of books in specific subjects or genres.
The Margaret Anne Dalton Legacy is to be used to purchase books on music and on birds.
The Music Librarian's Fund holds monies that enable the music librarian to organise events and activities and maintain and organise the music collections within the library.
The Charles Parish Lecture Fund has been established from a gift made by Mrs Ann Parsons, Mrs Janet Fitzsimmons and Miss Margaret Norwell in memory of the late Charles Parish to establish a biennial lecture on the subject of some aspect of the western civilisation.
The Disabled Access Fund was established to hold donations for the access works to the library building.
The Alan Meikle Book Fund was established to provide income for the purchase of books.
The Lit and Phil Legacy Fund was designated by the Trustees to hold general legacies over £5,000, the proceeds of the sale of Bolbec Hall and any other donations to the fund. The fund is designed to increase in size and the income from it will go to supplement the Society’s general funds.
The Core Fund was set up to hold income from the sale of Bolbec Hall, as well as large legacies and other donations to provide an endowment to safeguard the future of the Society.
The Young Writers Awards Designated Fund was set up to enable young people from across the North East to develop their creative writing skills.
IBooks on Tyne - This fund enables the Society to run Newcastle’s annual book festival in conjunction with Newcastle Libraries.
Classics Fest - ClassicsFest 2024 is a free pilot literary and arts festival produced by Cinzia Hardy, celebrating various aspects of the classical world.
The Appeal 2024 Fund - This fund will provide resources to undertake building improvements and developments, as well as allow the Society to expand and broaden its educational activities.
Page 37
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
23. Summary of funds
Summary of funds - current year
| Balance at 1 January 2023 £ Designated funds 900,682 General funds 60,123 Endowment funds 13,000 Restricted funds 136,424 1,110,229 |
Balance at 1 January 2023 £ Designated funds 900,682 General funds 60,123 Endowment funds 13,000 Restricted funds 136,424 1,110,229 |
Income £ Expenditure £ 5,359 (12,583) 419,377 (466,985) - - 54,575 (46,988) 479,311 (526,556) Income £ Expenditure £ 1,622 (11,838) 382,055 (417,249) - - 6,521 (27,189) 390,198 (456,276) |
Transfers in/out £ 1,000 (1,000) - - - Transfers in/out £ 3,250 (3,250) - - - |
Gains/ (Losses) £ 52,281 - - - 52,281 Gains/ (Losses) £ (122,535) - - - (122,535) |
Balance at 31 December 2023 £ 946,739 11,515 13,000 144,011 |
|---|---|---|---|---|---|
| 1,115,265 | |||||
| Balance at 31 December 2022 £ 900,682 60,123 13,000 136,424 |
|||||
| Summary of funds - prior year | |||||
| Designated funds General funds Endowment funds Restricted funds |
Balance at 1 January 2022 £ 1,030,183 98,567 13,000 157,092 1,298,842 |
||||
| 1,110,229 |
Page 38
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
24. Analysis of net assets between funds
Analysis of net assets between funds - current year
| Tangible fixed assets Fixed asset investments Current assets Creditors due within one year Total |
Endowment funds 2023 £ - - 13,000 - 13,000 |
Restricted funds 2023 Unrestricted funds 2023 £ £ 99,639 24,204 - 898,816 44,372 65,153 - (29,919) 144,011 958,254 |
Total funds 2023 £ 123,843 898,816 122,525 (29,919) 1,115,265 |
|---|---|---|---|
Analysis of net assets between funds - prior year
| Tangible fixed assets Fixed asset investments Current assets Creditors due within one year Total |
Endowment funds 2022 £ - - 13,000 - 13,000 |
Restricted funds 2022 £ 115,032 - 21,392 - 136,424 |
Unrestricted funds 2022 £ 28,269 870,465 104,816 (42,745) 960,805 |
Total funds 2022 £ 143,301 870,465 139,208 (42,745) 1,110,229 |
|---|---|---|---|---|
25. Pension commitments
The charity operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the charity in an independently administered fund. The pension cost charge represents contributions payable by the charity to the fund and amounted to £6,360 (2022 - £6,097). Contributions totalling £nil (2022 - £nil) were payable to the fund at the balance sheet date and are included in creditors.
Page 39
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
26. Operating lease commitments
At 31 December 2023 the charitable company had commitments to make future minimum lease payments under non-cancellable operating leases as follows:
| Not later than 1 year Later than 1 year and not later than 5 years |
2023 £ 7,980 25,935 33,915 |
2022 £ 7,980 33,915 |
|---|---|---|
| 41,895 |
The following lease payments have been recognised as an expense in the Statement of financial activities:
| 2023 | 2022 | |
|---|---|---|
| £ | £ | |
| Operating lease rentals | 8,523 | - |
27. Related party transactions
During the year the subsidiary company donated £2,839 (2022: £2,547) of profits to the charity.
Page 40
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE (A company limited by guarantee)
INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2023
| Income Subscriptions Gift aid Arts and events income Income from listed investments Bank interest received Commissions Donations Legacies Catering receipts Room hire Sales of merchandise etc. Scrap metal sales Gains/(Losses) on investments (Losses)/Gains on investments Gross income in the reporting period Less: Charitable expenditure Books, periodicals, records and book repairs Lectures and meeting costs Staff costs Pension costs Repairs and renewals Cleaning Heat and light Rates and water Insurance Telephone costs Postage, printing and stationery Advertising Sundry expenses Telecom and computing equipment Licences Bank interest and charges Accountancy fees Land and building depreciation |
2023 £ 223,334 48,697 21,659 21,581 1,202 - 112,494 5,000 7,150 26,494 11,588 112 52,281 20,081 29,028 258,303 6,360 11,245 8,393 40,800 8,961 22,101 5,392 19,644 2,870 1,568 6,456 172 8,700 3,455 17,084 |
2023 £ 479,311 52,281 531,592 |
2022 £ 220,479 45,783 26,552 20,037 39 160 37,259 - 6,759 22,771 10,092 267 (122,535) 16,899 31,740 246,019 6,097 13,149 6,556 29,446 9,169 18,838 5,217 20,240 400 1,957 2,682 465 4,658 3,090 17,659 |
2022 £ 390,198 (122,535) 267,663 |
|---|---|---|---|---|
DocuSign Envelope ID: AFAB91EF-55DC-4AB1-85F0-DDAAD68C98AA
THE LITERARY & PHILOSOPHICAL SOCIETY OF NEWCASTLE UPON TYNE
(A company limited by guarantee)
INCOME AND EXPENDITURE ACCOUNT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
| Fixtures, fittings and equipment depreciation Professional fees Portfolio management fees Trading cost of sales Catering costs Merchandise costs Other costs Total expenditure Net income/(expenditure) for the reporting period Surplus/(Deficit) for the reporting period Balance brought forward at 1 January 2022 Surplus carried forward at 31 December 2023 |
2023 £ 2,374 34,525 6,017 1,291 6,551 5,185 |
2023 £ 513,529 13,027 526,556 5,036 5,036 1,110,229 1,115,265 |
2022 £ 3,130 1,500 6,323 2,684 3,540 4,818 |
2022 £ 445,234 11,042 456,276 (188,613) (188,613) 1,298,842 1,110,229 |
|---|---|---|---|---|