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2021-03-31-accounts

Company Registration Number - 4369668

The Charity Registration Number is :- 1121276

Manchester Literature Festival Limited

Report and Accounts

31 March 2021

Manchester Literature Festival Limited

Report and accounts for the year ended 31 March 2021

Contents

Page
Charity information 1
Trustees' Annual Report 1
Statement of directors' responsibilities 7
Independent Accountant's Report 9
Funds Statements:-
Statement of Financial Activities 11
Movement in funds 12
Income and Expenditure account 13
Balance sheet 14
Notes to the accounts 16

Manchester Literature Festival Limited

Company Registration Number - 4369668

Trustees' Annual Report for the year ended 31 March 2021

The Trustees present their Report and Accounts for the year ended 31 March 2021, which also comprises the Directors' Report required by the Companies Act 2006.

Reference and administrative details

The charity name.

The legal name of the charity is:- Manchester Literature Festival Limited.

The charity's areas operation and UK charitable registration.

The charity is registered in England & Wales with the Charity Commission in England & Wales (CCEW) with charity number 1121276.

The charity does not operate in any overseas jurisdictions.

Legal structure of the charity

The charity is constituted as a company limited by guarantee, registered under the Companies Acts . The governing document of the charity is the Memorandum and Articles of Association establishing the company under company legislation.

There are no restrictions in the governing documents on the operation of the Charity or on its investment powers other than those imposed by Charity Law.

By operation of law all trustees are directors under the Companies Act 2006 and all directors are trustees under Charities legislation and have responsibilities, as such, under both company and charity legislation.

The trustees are all individuals.

The principal operating address, telephone number, email and web addresses of the charity are:-

The Department Store 5 Oak Street Manchester M4 6JD Telephone 0161 832 5502

The registered office of the charity for Companies Act purposes is the same as the operating address shown above.

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Manchester Literature Festival Limited

Company Registration Number - 4369668

Trustees' Annual Report for the year ended 31 March 2021

The Trustees in office on the date the report was approved were:-

Afshan Tania D'souza-Lodhi

Christine Ann Gaskell

Ed Farrelly Peter Mearns (CHAIR) Karl Jackson Eleanor Manson-Sawko Anne-Marie Nugnes Bonnie Julia Turnbull Andrew Peter Westle

The following persons served as Trustees during the year ended 31 March 2021 :-

The trustees who served as a trustee in the reporting period, and, if applicable, their dates of appointment or resignation during the year were:-.

Name Appointed Resigned/Retired
Afshan Tania D'souza-Lodhi
Jerome de Groot 30/11/2020
Ed Farrelly
Peter Mearns (CHAIR)
Karl Jackson
Eleanor Manson-Sawko
Christine Ann Gaskell 18/01/2021
Anne-Marie Nugnes 18/01/2021
Matthew Jonathan Frost 18/01/2021
Punam Ramchurn 30/11/2020
Bonnie Julia Turnbull 18/01/2021
Andrew Peter Westle 18/01/2021

Objects and activities of the charity

A summary of the objects of the charity as set out in its governing document.

Manchester Literature Festival's Charitable objectives are:

"to promote arts and in particular, literature in society for the benefit of the inhabitants of the North West Area of England and elsewhere by developing public appreciation of literature and by improving public access to and the quality of literature."

2

Manchester Literature Festival Limited

Company Registration Number - 4369668

Trustees' Annual Report for the year ended 31 March 2021

Due to the impact of the Covid 19 pandemic, we moved the 15th edition of the Manchester Literature Festival online. Our first digital iteration featured 17 events over the weekend 23 - 25 October 2020. Almost 5,000 people from 53 countries attended #MLF20 events. In addition to streamed events we also partnered on a "Your Local Arena" project attracting an additional viewing audience of 871 across 5 films, and 6 people had one to one-sessions with the Poetry Exchange.

The programme mirrored the quality and diversity of our usual 'in-person' festivals, featuring special conversations with leading national and international authors, poets, artists and activists; and showcased the literary stars of tomorrow alongside renowned and award-winning writers. This year's Manchester Literature Festival also reflected on collective moments of protest and resilience including the #BlackLivesMatter and #MeToo movements; platforming, voices that call for change and other messages of hope for the future.

Programme strands included Culture (Angela Davis, Torri Amos, Kae Tempest, Slay in Your Lane presents Loud Black Girls, New Daughters of Africa), Fiction (Maaza Mengiste, Nick Hornby, Ali Smith, Tayari Jones & Brit Bennet, Daisy Johnson & Sophie Mackintosh), Poetry (Picador and Manchester Poetry Library showcases, Cabaret for Freedom), World Literature (Andrés Neuman, Najwan Darwish), Young Readers (Mischief and Mystery in Moominvalley, Don't Worry Little Crab puppet adaptations) and New Commissions (Ella Otomewo and Cheryl Martin responding to the archive Arena documentary: The Ballad of Ewan MacColl).

70 Writers and other artists took part in #MLF20 including 41 writers of colour, ten LGBTQ+ and two Disabled/Deaf artists. Ten events featured writers of colour (representing 52% of the festival programme). The programme featured 11 international artists, including North American, Spanish, and Palestinian writers. All events were available on a Pay What You Can basis and the majority of events were made freely available via the Festival's You Tube channel post-festival to enable further engagement.

We were able to reach a much more socially diverse and geographically dispersed audience than normal: 13% identified as being of mixed, Asian or Deaf (compared to 8% in 2019), 20% identified as being Disabled or Deaf (compared to 10% in 2019), and 18% of the audience joined us from overseas - a huge increase from the usual 1%. Many of our audience members expressed gratitude to MLF for providing access to such rich cultural content during these challenging times and many hoped that we will continue to provide digital access to events moving forward.

With support from the Cultural Recovery Fund we also programmed a series of online spring events featuring prominent writers of colour and including three special poetry commissions by Roger Robinson, Caleb Femi and Natalie Diaz responding to current times.

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Manchester Literature Festival Limited

Company Registration Number - 4369668

Trustees' Annual Report for the year ended 31 March 2021

The Festival continued to deliver a year-round education programme encouraging children and young people to develop a passion for reading and creative writing. Activities included the expansion of our Little Reads story time activities delivered on Zoom in partnership with libraries in Manchester, Salford, Stockport and Trafford; completion of our young creatives project, RE(verb), and an online World Book Day event featuring popular Supertato authors Sue Hendra and Paul Linnet, which was accessed by 15,000 children from across 190 Greater Manchester Primary Schools.

Due to lack of budget, we were not able to produce any print marketing this year but our design agency Mark Studio created a very stylish brand identity that was applied across all the MLF digital channels as well as our Evenrbrite box office page and Crowdcast streaming channel.

The Festival was featured in a Big Issue North article promoting online literary festivals and we received shout outs for the Festival on Radio 2's Zoe Ball Breakfast Show and the Radio 6 Radcliffe and Maconie show. We also received online coverage of the Festival in Manchester Evening News, Manchester Wire, Creative Tourist and About Manchester. Northern Soul published very positive reviews of our Angela Davis and Nick Hornby events. Our social media followers continued to grow: Twitter (6%+), Facebook (7%+) and Instagram (36%+).

With Cultural Recovery Funding we were able to appoint consultants from Cultural Oxford Associates to help us develop a new 5 Year Strategic Plan for the organisation. We appointed four new trustees to the board with a further three set to join in July 2021.

Public Benefit

Manchester Literature Festival's activities in the year were designed to provide the following public benefits in accordance with the Charities Act 2006:

The advance of the arts: MLF provided a unique and diverse programme of activities designed to appeal to readers of all ages and literary tastes;

The advancement of education: MLF provided an imaginative programme of events and reading projects for children and young people and supported local writers through commissioning and showcasing opportunities, enabling them to reach a broader audience and advance their careers.

4

Manchester Literature Festival Limited

Company Registration Number - 4369668

Trustees' Annual Report for the year ended 31 March 2021

The Year Ahead

Due to the ongoing uncertainties around what social distancing restrictions will be in place and audience appetite for attending indoor events in the autumn, we are taking a cautious approach to programming this year and are planning to produce a hybrid festival of in-person and digital events. We expect the scaled down nature of the festival to have a negative impact on box office returns.

We will be delivering a number of new commissioning projects including a Carbon Landscape Poet in Residence in partnership with Lancashire Wildlife Trust, and two Virtual Writers in Residence in partnership with the Manchester UNESCO City of Literature and Manchester Festivals of Libraries.

With support from the GMCA Culture Fund we plan further expansion of our CYP activities across Greater Manchester and hope to return to delivering face to face sessions by September. We will also be delivering our pilot Young Producers Project funded by the Postcode Community Trust.

In partnership with local performance group Young Identity and the LiteratureXchange and Ordkraft festivals in Denmark, we plan to initiate the Cities Untold project, providing artist residency and commissioning opportunities for six young writers from Manchester, Aarhus and Aalborg

The trustees bankers and advisers

Bankers HSBC 780 Wilmslow Road, Manchester M20 0DP Accountants RWF Rubinstein, Chartered Accountants 171 Bury New Road, Manchester M45 6AB

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Manchester Literature Festival Limited

Company Registration Number - 4369668

Trustees' Annual Report for the year ended 31 March 2021

Financial review

The charity's financial position as at the year ended 31 March 2021

The financial position of the charity at 31 March 2021 and comparatives for the prior period, as more fully detailed in the accounts, can be summarised as follows:-

Called up share capital
Total Funds
Unrestricted Revenue Funds available for the
general purposes of the charity
Net income		 2021
£
54,159
-
88,281
88,281		 2020
£
(37,684)
-
34,121
34,121

Financial review of the position at the reporting date, 31 March 2021 and Policies on reserves

The Festival currently holds £88,281 in reserves. We expect we will need to use some reserves to replace reduced box office income but aim to retain a minimum of 25% annual turnover (approximately £60,000) in reserve. This will enable us to smooth out peaks and troughs in funding and box office income and to cover any one-off additional expenditure such as office moves. The Trustees may choose to invest any excess reserves in activities that will help to secure the continued growth of the festival, such as fundraising or marketing, or to seek out low risk investment banking options.

Availability and adequacy of assets of each of the funds

The board of trustees is satisfied that the charity's assets in each fund are available and adequate to fulfil its obligations in respect of each fund

Details of The Independent Examiner

Michael J Rubinstein

Fellow of the Institute of Chartered Accountants

Brentwood 171 Bury New Road Whitefield Manchester M45 6AB

6

Manchester Literature Festival Limited

Company Registration Number - 4369668

Trustees' Annual Report for the year ended 31 March 2021

Statement of the Directors Trustees' Responsibilities

The charity's trustees are responsible for the preparation of the accounts in accordance with the terms of the Companies Act 2006, the Charities Act 2011 and the Charities (Accounts and Reports) Regulations 2008. Notwithstanding the explicit requirement in the extant statutory regulations,the Charities (Accounts and Reports) Regulations 2008, to prepare the financial statements in accordance with the SORP 2005, in view of the fact that the SORP 2005 has been withdrawn, the Trustees determined to interpret this responsibility as requiring them to follow current best practice and prepare the accounts according to the FRS 102 SORP (Statement of Recommended Practice for Accounting and Reporting by Charities) 2015, (as amended by the Bulletin issued in October 2018 and applicable to all accounting periods beginning on or after 1st January 2019), (The SORP), .

In particular, the Companies Act 2006 and charity law require the Board of Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity as at the end of the financial year and of the surplus or deficit of the charity. In preparing those financial statements the Board is required to :-

The law requires that the trustees must not approve the accounts unless they are satisfied that they give a true and fair view of the state of affairs of the charity and of the surplus or deficit of the charity for the year.

The Trustees are also responsible for maintaining adequate accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which are sufficient to show and explain the charity's transactions and enable them to ensure that the financial statements comply with the Companies Act 2006 and comply with regulations made under the Charities Act. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Trustees are also responsible for the contents of the Trustees' report, and the statutory responsibility of the Independent Examiner in relation to the Trustees' report is limited to examining the report and ensuring that , on the face of the report, there are no material inconsistencies with the figures disclosed in the financial statements.

7

Manchester Literature Festival Limited

Company Registration Number - 4369668

Trustees' Annual Report for the year ended 31 March 2021

Method of preparation of accounts - Small company provisions

The financial statements are set out on pages 12 to 25.

The financial statements have been prepared implementing the FRS 102 SORP (Statement of Recommended Practice for Accounting and Reporting by Charities) 2015, (as amended by the Bulletin issued in October 2018 and applicable to all accounting periods beginning on or after 1st January 2019), (The SORP), and in accordance with the Financial Reporting Standard 102, (effective 1st January 2016)

These financial statements have been prepared in accordance with the provisions in Part 15 of the Companies Act 2006. applicable to companies subject to the small companies regime.

This report was approved by the board of trustees on 29 November 2021.

Peter Mearns Director and Trustee

8

Manchester Literature Festival Limited

Report of the Independent Examiner to the Trustees of the charitable company on the accounts for the year ended 31 March 2021

I report to the Trustees on my examination of the financial statements of the charitable company on pages 12 to 25 for the year ended 31 March 2021 which have been prepared in accordance with the Charities Act 2011 (the Act) and with the Financial Reporting Standard 102, (effective 1st January 2016) as modified by FRS 102 SORP (Statement of Recommended Practice for Accounting and Reporting by Charities) 2015, (as amended by the Bulletin issued in October 2018 and applicable to all accounting periods beginning on or after 1st January 2019), (The SORP), published by the Charity Commission in England & Wales (CCEW) , and under the historical cost convention and the accounting policies set out on page 16.

Respective responsibilities of the Trustees and the Independent Examiner and the basis of the report

As described on page 9, you, the charitable company's Trustees, who are also the Directors of the Company for the purposes of Company law, are responsible for the preparation of the financial statements in accordance with the Companies Act 2006, the Charities Act 2011 and all other applicable law and with United Kingdom Generally Accepted Accounting Practice, applicable to smaller entities, and for being satisfied that the financial statements give a true and fair view.

The Trustees consider that the audit requirement of Section 144(1) of the Charities Act 2011 (the Act) does not apply, and that there is no requirement in the memorandum and articles of the charity for the conducting of an audit, and that the accounts do not require an audit in accordance with Part 16 of the Companies Act 2006 and that no member or members have requested an audit pursuant to Section 476 of the Companies Act 2006. As a consequence, the Trustees have elected that the financial statements be subject to independent examination.

Having satisfied myself that the financial statements are not required to be audited under any legal provision, or otherwise, and are eligible for independent examination, it is my responsibility to:-

a) examine the financial statements of the charity under Section 145 of the Act;

b) follow the applicable procedures in the Directions given by the Charity Commission under section 145(5)(b) of the Act.

Basis of Independent Examiner's Statement and scope of work undertaken

I report in respect of my examination of the charity's financial statements carried out under s145 of the Act. In carrying out my examination, I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act setting out the duties of an independent examiner in relation to the conducting of an independent examination. An independent examination includes a review of the accounting records kept by the charitable company and of the accounting systems employed by the charitable company and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements, and seeking explanations from you, as Trustees, concerning such matters. The purpose of the examination is to establish as far as possible that there have been no breaches of charity legislation and that, on a test basis of evidence relevant to the amounts and disclosures made, the financial statements comply with the SORP.

The procedures undertaken do not provide all the evidence that would be required in an audit, and information supplied by the Trustees in the course of the examination is not subjected to audit tests or enquiries and does not cover all the matters that an auditor would consider in arriving at an opinion. The planning and conduct of an audit goes beyond the limited assurance that an independent examination can provide

9

Manchester Literature Festival Limited

Consequently, I do not express an audit opinion on the view given by the financial statements, and in particular, I express no opinion as to whether the financial statements give a true and fair view of the affairs of the charity, and my report is limited to the matters set out in the statement below.

I planned and performed my examination so as to satisfy myself that the objectives of the independent examination are achieved and before finalising the report I obtained written assurances from the Trustees of all material matters.

Independent Examiner's Statement, Report and Opinion

Subject to the limitations upon the scope of my work as detailed above, I have completed my examination: and can confirm that:-

The accounts of this charitable company are not required to be audited under Part 16 of the Companies Act 2006;

This is a report in respect of an examination carried out under 145 of the Act and in accordance with Directions given by the Charity Commission under section 145(5)(b) of the Act which may be applicable;

and that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:-

accounting records were not kept in respect of the charity as required by Section 386 of the Companies Act 2006 and Section 130 of The Charities Act 2011;

the financial statements do not accord with those records; or

the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in section 396 of the Companies Act 2006 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;

have not been prepared in accordance with the methods and principles set out in the FRS 102 SORP (Statement of Recommended Practice for Accounting and Reporting by Charities) 2015, (as amended by the Bulletin issued in October 2018 and applicable to all accounting periods beginning on or after 1st January 2019), (The SORP).

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 financial statements to be reached.

Signed:-

Michael J Rubinstein - Independent Examiner

Fellow of the Institute of Chartered Accountants

Brentwood 171 Bury New Road Whitefield Manchester M45 6AB

This report was signed on 29 November 2021

10

Manchester Literature Festival Limited - Statement of Financial Activities for the year ended 31 March 2021

Statement of Financial Activities (including the Income and Expenditure Account for the year ended 31 March 2021, as required by the Companies Act 2006)

Income & Endowments from:
Donations & Legacies
Charitable activities
Investments
Total income
Expenditure on:
Raising funds
Charitable activities
Total expenditure
Net income for the year
Net income after transfers
Reconciliation of funds:-
Total funds brought forward
Total funds carried forward
Net movement in funds		 Current year
Unrestricted
Funds
2021
£
208,489
12,942
15
221,446
7,250
160,037
167,287
54,159
54,159
54,159
34,121
88,280		 Current year
Restricted
Funds
2021
£
12,128
-
-
12,128
-
12,128
12,128
-
-
-
-
-		 Current year
Total Funds
2021
£
220,617
12,942
15
233,574
7,250
172,165
179,415
54,159
54,159
54,159
34,121
88,280		 Prior Year
Total Funds
2020
£
145,595
94,895
62
240,552
17,250
260,986
278,236
(37,684)
(37,684)
(37,684)
71,804
34,120

A separate Statement of Total Recognised Gains and Losses is not required as this statement includes all recognised gains and losses.

All the prior year transactions were unrestricted items, and no further analysis is required

All activities derive from continuing operations

The notes attached on pages 16 to 25 form an integral part of these accounts.

11

Manchester Literature Festival Limited - Statement of Financial Activities for the year ended 31 March 2021

Manchester Literature Festival Limited - Resources applied in the year ended 31 March 2021 towards fixed assets for Charity use:-

2021 towards fixed assets for Charity use:-
Funds generated in the year as detailed in the SOFA
Net resources available to fund charitable activities		 2021
£
54,159
51,913		 2020
£
(37,684)
(37,684)

Movements in revenue and capital funds for the year ended 31 March 2021

Revenue accumulated funds

Unrestricted
Funds
2021
£
Accumulated funds brought forward
34,121
54,159
88,280
(From) / To unrestricted revenue funds
-
Closing revenue funds
88,280
Summary of funds
Unrestricted
and
Designated funds
2021
£
Revenue accumulated funds
88,280
Recognised gains and losses before
transfers		 Restricted
Funds
2021
£
-
-
-
-
-
Restricted
Funds
2021
£
-		 Total
Funds
2021
£
34,121
54,159
88,280
-
88,280
Total
Funds
2021
£
88,280		 Last year
Total Funds
2020
£
71,804
(37,684)
34,120
-
34,120
Last Year
Total Funds
2020
£
34,120

The notes attached on pages 16 to 25 form an integral part of these accounts.

12

Manchester Literature Festival Limited - Statement of Financial Activities for the year ended 31 March 2021

Manchester Literature Festival Limited

Income and Expenditure Account for the year ended 31 March 2021 as required by the Companies Act 2006

Income
Income from operations
Interest receivable
Gross income in the year before exceptional items
Gross income in the year including exceptional items
Expenditure
Charitable expenditure, excluding depreciation and amortisation
Depreciation and amortisation
Fundraising costs
Governance costs
Realised losses on disposals of social investments which are programme related
Total expenditure in the year
Tax on surplus on ordinary activities
Retained surplus for the financial year
Net income after tax in the financial year
Net income before tax in the financial year
Investment income		 2021
£
233,559
15
233,574
233,574
167,940
724
7,250
3,500
-
179,414
54,160
-
54,160
54,160		 2020
£
240,490
62
240,552
240,552
257,603
216
17,250
3,167
-
278,236
(37,684)
-
(37,684)
(37,684)

All activities derive from continuing operations

In accordance with the provisions of the Companies Act 2006, the headings and subheadings used in the Income and Expenditure account have been adapted to reflect the special nature of the charity's activities.

The notes attached on pages 16 to 25 form an integral part of these accounts.

13

Manchester Literature Festival Limited Balance Sheet as at 31 March 2021

Notes 2021 2020
£ £
Fixed assets
Tangible assets 7 2,170 648
Total fixed assets 2,170 648
Current assets
Cash at bank and in hand 122,037 57,363
Creditors: amounts falling due within
one year 8 (35,926) (23,890)
Net current assets 86,111 33,473
The total net assets of the charity 88,281 34,121
The total net assets of the charity are funded by the funds of the charity, as follows:-

Unrestricted Funds

Unrestricted Revenue Funds
9
88,281
Total charity funds		 34,121
88,281
88,281		 34,121
34,121

The notes attached on pages 16 to 25 form an integral part of these accounts.

14

Manchester Literature Festival Limited

Balance Sheet as at 31 March 2021

The directors are satisfied that the company is entitled to exemption from the requirement to obtain an audit under section 477 of the Companies Act 2006.

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

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of accounts.

The charity is subject to Independent Examination under charity legislation, and the report of the Independent Examiner is on page 9

The financial statements have been prepared in accordance with the provisions in Part 15 of the Companies Act 2006. applicable to companies subject to the small companies regime.

Peter Mearns

Trustee

Approved by the board of trustees on 29 November 2021

The notes attached on pages 16 to 25 form an integral part of these accounts.

15

Manchester Literature Festival Limited

Notes to the Accounts for the year ended 31 March 2021

1 Accounting policies

Policies relating to the production of the accounts.

Basis of preparation and accounting convention

The accounts have been prepared on the accruals basis, under the historical cost convention, and in accordance with the Financial Reporting Standard 102, (effective 1st January 2016) and 'FRS 102 SORP (Statement of Recommended Practice for Accounting and Reporting by Charities) 2015, (as amended by the Bulletin issued in October 2018 and applicable to all accounting periods beginning on or after 1st January 2019), (The SORP), published by the Charity Commission in England & Wales (CCEW) , effective January 2016, and in accordance with all applicable law in the charity's jurisdiction of registration, except that the charity has prepared the financial statements in accordance with the FRS 102 SORP (Statement of Recommended Practice for Accounting and Reporting by Charities) 2015, (as amended by the Bulletin issued in October 2018 and applicable to all accounting periods beginning on or after 1st January 2019), (The SORP), in preference to the previous SORP, the SORP 2005, which has been withdrawn, notwithstanding the fact that the extant statutory regulations, the Charities (Accounts and Reports) Regulations 2008 refer explicitly to the SORP 2005. This has been done to accord with current best practice.

Going Concern

The charitable activities are entirely dependent on continuing grant aid and voluntary donations as well as trading revenues. As a consequence, the going concern basis is dependent on the future flow of these uncertain funding streams. Accordingly, the Trustees have obtained forecasts and, after reviewing the financial forecasts for future periods to 31 March 2021, the Trustees are satisfied that, at the time of approving the financial statements, it is appropriate to adopt the going concern basis in preparing the financial statements. Other than these matters, the Trustees are not aware of any material uncertainites about the charity's ability to continue as a going concern.

The charity is a public benefit entity.

Policies relating to categories of income and income recognition.

Nature of income

Gross income represents the value, net of value added tax and discounts, of goods provided to customers and work carried out in respect of services provided to customers.

Accounting for deferred income and income received in advance

Where terms and conditions relating to income have not been met or uncertainty exists as to whether the charity can meet any terms or conditions otherwise within its control, income is not recognised but is deferred as a liability until it is probable that the terms or conditions imposed can be met.

Any grant that is subject to performance-related conditions received in advance of delivering the goods and services required by that condition, or is subject to unmet conditions wholly outside the control of the recipient charity, is accounted for as a liability and shown on the balance sheet as deferred income. Deferred income is released to income in the reporting period in which the performance-related or other conditions that limit recognition are met.

When income from a grant or donation has not been recognised due to the conditions applying to the gift not being wholly within the control of the recipient charity, it is disclosed as a contingent asset if receipt of the grant or donation is probable once those conditions are met.

16

Manchester Literature Festival Limited

Notes to the Accounts for the year ended 31 March 2021

Where time related conditions are imposed or implied by a funder, then the income is apportioned to the time periods concerned,and, where applicable, is accounted for as a liability and shown on the balance sheet as deferred income. When grants are received in advance of the expenditure on the activity funded by them, but there are no specific time related conditions, then the income is not deferred.

Any condition that allows for the recovery by the donor of any unexpended part of a grant does not prevent recognition of the income concerned, but a liability to any repayment is recognised when repayment becomes probable.

Fixed Assets

Tangible fixed assets are measured at their original cost value, or subsequent revaluation, or if donated, as described above. Cost value includes all costs expended in bringing the asset into its intended working condition.

Depreciation has been provided at the following rates in order to write off the assets to their anticipated residual value over their estimated useful lives.

Plant and machinery

20 % straight line

Creditors and provisions

Creditors and provisions are measured at their payable amounts at the balance sheet date

Financial instruments including cash and bank balances

Cash held by the charity is included at the amount actually held and counted at the year end. Bank balances, whether in credit or overdrawn, are shown at the amounts properly reconciled to the bank statements.

2 Liability to taxation

The Trustees consider that the charity satisfies the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 for UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by chapter 3 part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively on the specific charitable objects of the charity and for no other purpose.

17

Manchester Literature Festival Limited

Notes to the Accounts for the year ended 31 March 2021

3 Winding up or dissolution of the charity

If upon winding up or dissolution of the charity there remain any assets, after the satisfaction of all debts and liabilities, the assets represented by the accumulated fund shall be transferred to some other charitable body or bodies having similar objects to the charity.

4 Significance of financial instruments to the charity's position

There are no significant implications relating to the charity's financial position.

5 Net surplus before tax in the financial year

Net surplus before tax in the financial year
2021
£
The net surplus before tax in the financial year is stated after charging:-
Depreciation of owned fixed assets
724
Pension costs
2,759
Staff costs and emoluments
Salary costs
2021
£
Gross Salaries excluding trustees and key management personnel
91,713
Employer's National Insurance for all staff
5,053
Employer's operating costs of defined
contribution pension schemes
2,759
Total salaries, wages and related costs
99,525
The estimated full time equivalent number of all staff employed in the year was
3
The estimated equivalent number of full time staff deployed in different activities in the year was:-
Engaged on charitable activities
1
Engaged on publicity activities
1
Engaged on fundraising activities
1
The estimated full time equivalent number of all staff employed as above
3		 2021
£
724
2,759		 2020
£
216
2,706
2021
£
91,713
5,053
2,759		 2020
£
91,119
6,002
2,706
99,525 99,827
3
1
1
1
3 3

6 Staff costs and emoluments

18

Manchester Literature Festival Limited

Notes to the Accounts for the year ended 31 March 2021

7 Tangible fixed assets

Current Year
Cost
At 1 April 2020
Additions for the year
At 31 March 2021
Depreciation
At 1 April 2020
Charge for the year
At 31 March 2021
Net book value
At 31 March 2021
At 31 March 2020
8 Creditors: amounts falling due within one year
Accruals
PAYE, NIC VAT and other taxes
Other creditors
9 Income and Expenditure account summary
At 1 April 2020
Transfers in for the year
At 1 April 2020
Surplus/(Deficit) after tax for the year
At 31 March 2021		 Land and
Buildings
£
-		 Plant &
Machinery
£
11,248
2,246		 Motor
Vehicles
£
-		 Total
£
11,248
2,246
- 13,494 - 13,494
-
-		 10,600
724		 -
-		 10,600
724
- 11,324 - 11,324
- 2,170 - 2,170
- 648 - 648
2021
£
3,500
1,446
30,980		 2020
£
3,500
2,026
18,364
35,926 23,890
2021
£
34,120
-
34,120
54,160		 2020
£
71,804
-
71,804
(37,684)
88,280 34,120

19

Manchester Literature Festival Limited

Notes to the Accounts for the year ended 31 March 2021

10 Particulars of how particular funds are represented by assets and liabilities

At 31 March 2021
Unrestricted
Designated
Restricted
funds
funds
funds
£
£
£
Tangible Fixed Assets
2,170
-
-
Current Assets
122,037
-
Current Liabilities
(35,926)
-
-
88,281
-
-
At 1 April 2020
Unrestricted
Designated
Restricted
funds
funds
funds
£
£
£
Tangible Fixed Assets
648
-
-
Current Assets
57,363
-
-
Current Liabilities
(23,890)
-
-
34,121
-
-
Change in total funds over the year as shown in Note 10 , analysed by individual funds
Funds brought
forward from
2020
Movement in
funds in 2021
See Note 12
£
£
£
Unrestricted and designated funds:-
Unrestricted Revenue Funds
34,121
54,159
-
Total unrestricted and designated funds
34,121
54,159
-
Total charity funds
34,121
54,159
-
Transfers
between
funds in 2021		 Unrestricted
funds
£
2,170
122,037
(35,926)		 Designated
funds
£
-
-		 Restricted
funds
£
-
-
-		 Total
Funds
£
2,170
122,037
(35,926)
88,281 - - 88,281
Unrestricted
funds
£
648
57,363
(23,890)		 Designated
funds
£
-
-
-		 Restricted
funds
£
-
-
-		 Total
Funds
£
648
57,363
(23,890)
34,121 - - 34,121
Funds carried
forward to
2022
£
88,280
34,121 54,159 - 88,280
34,121 54,159 - 88,280

11 Change in total funds over the year as shown in Note 10 , analysed by individual funds

20

Manchester Literature Festival Limited

Notes to the Accounts for the year ended 31 March 2021

12 Analysis of movements in funds over the year as shown in Note 11

Unrestricted and designated funds:-
Unrestricted Revenue Funds		 Income
2021
£
221,446		 Expenditure
2021
£
(167,287)		 Other
Gains &
Losses
2021
£
-		 Movement
in funds
2021
£
54,159
233,574 (179,415) - 54,159

13 The purposes for which the funds

Unrestricted and designated funds:-

Unrestricted Revenue Funds

These funds are held for the meeting the objectives of the charity, and to provide reserves for future activities, and , subject to charity legislation, are free from all restrictions on their use.

14 Ultimate controlling party

The charity is under the control of its legal members.

21

Manchester Literature Festival Limited

Detailed analysis of income and expenditure for the year ended 31 March 2021 as required by the SORP 2015

15 Donations, Grants and Legacies

Donations, Grants and Legacies
Sponsorship
Total Donations, Grants and Legacies
Total Donations, Grants and

Total sponsorship income
Revenue grants from government and
public bodies
Post Code Lottery
Greater Manchester Combined Authority
Manchester City Council - Event Funding
Manchester City Council Covid
Discretionary Grant
Cultural Recovery Fund
Arts Council England
HMRC JRS Grant
National Lottery
Sponsorship Income
Total public sector revenue grants
Revenue grants and donations from non
public bodies
Granada Foundation
Small grants individually less than £1000
Total private sector revenue grants
Manchester City Council - Other Funding		 Current year
Unrestricted
Funds
2021
£
78,072
-
12,500
3,462
37,500
10,000
33,120
-
3,565		 Current year
Restricted
Funds
2021
£
-
-
-
-
-
-
-
12,128
-		 Current year
Total Funds
2021
£
78,072
-
12,500
3,462
37,500
10,000
33,120
12,128
3,565
190,347
Current year
Total Funds
2021
£
6,070
2,000
8,070
Current year
Total Funds
2021
£
22,200
22,200		 Prior Year
Total Funds
2020
£
76,661
5,213
12,500
11,038
-
-
-
-
7,599
178,219 12,128 113,011
Current year
Unrestricted
Funds
2021
£
6,070
2,000		 Current year
Restricted
Funds
2021
£
-
-		 Prior Year
Total Funds
2020
£
4,224
1,360
8,070 - 5,584
Current year
Unrestricted
Funds
2021
£
22,200		 Current year
Restricted
Funds
2021
£
-		 Prior Year
Total Funds
2020
£
27,000
22,200 - 27,000
208,489 12,128 220,617 145,595

Total Donations, Grants and Legacies

22

Manchester Literature Festival Limited

Detailed analysis of income and expenditure for the year ended 31 March 2021 as required by the SORP 2015

16 Income from charitable activities - Trading Activities

Current year
Current year
Unrestricted
Funds
2021
£
Primary purpose and ancillary trading
12,942
12,942
17
Current year
Current year
Unrestricted
Funds
2021
£
Total income from charitable trading
12,942
Total from charitable activities
12,942
18 Investment income
Current year
Unrestricted
Funds
2021
£
Bank Interest Receivable
15
Total investment income
15
19 Expenditure on charitable activities - Direct spending
Current year
Current Year
Unrestricted
Funds
2021
£
79,586
5,053
2,759
864
5,000
24,027
4,182
-
Total direct spending
121,471
Total Primary purpose and ancillary
trading
Sale of goods and services in accordance
with the charity's objects
Artists Costs
Defined contribution pension costs -
charitable activities
Employers' NI - Charitable activities
Gross wages and salaries - charitable
activities
Total Income from charitable activities
Venue Costs
Marketing and advertising of charitable
services
Book Purchases
Travel and Subsistence - Charitable
Activities		 Current year
Unrestricted
Funds
2021
£
12,942		 Current year
Restricted
Funds
2021
£
-		 Current year
Total Funds
2021
£
12,942
12,942
Current year
Total Funds
2021
£
12,942
12,942
Current year
Total Funds
2021
£
15
15
Current year
Total Funds
2021
£
91,713
5,053
2,759
864
5,000
24,027
4,182
-
133,598		 Prior Year
Total funds
2020
£
94,895
12,942 - 94,895
Current year
Unrestricted
Funds
2021
£
12,942		 Current year
Restricted
Funds
2021
£
-		 Prior Year
Total Funds
2020
£
94,895
12,942 - 94,895
Current year
Unrestricted
Funds
2021
£
15		 Current year
Restricted
Funds
2021
£
-		 Prior Year
Total Funds
2020
£
62
15 - 62
Current year
Restricted
Funds
2021
£
12,128
-
-
-
-
-
-
-		 Prior Year
Total Funds
2020
£
91,119
6,002
2,706
8,159
27,270
41,119
14,790
13,170
121,471 12,128 204,335

23

Manchester Literature Festival Limited

Detailed analysis of income and expenditure for the year ended 31 March 2021 as required by the SORP 2015

20 Support costs for charitable activities

20
Support costs for charitable activities		 20
Support costs for charitable activities		 20
Support costs for charitable activities
Current year
Current year
Current Year
Unrestricted
Funds
Restricted
Funds
2021
2021
£
£
Premises Expenses
5,256
-
Administrative overheads
2,588
-
4
-
146
-
-
-
148
-
67
-
1,382
-
36
-
Professional fees paid to advisors other than the auditor or examiner
23,393
-
875
-
Financial costs
362
-
724
-
Support costs before reallocation
35,066
-
Total support costs - Current Year
35,066
-
Postage
Liabilty and contents insurance
Subscriptions to periodicals
Bank charges
Consultancy fees
Rent payable under operating leases
Courier Services
Telephone, fax and internet
Equipment expenses
Stationery and printing
Sundry expenses
Depreciation & Amortisation in total for
Other legal and professional		 Current year
Total Funds
2021
£
5,256
2,588
4
146
-
148
67
1,382
36
23,393
875
362
724		 Prior Year
Total Funds
2020
£
7,827
1,848
2,977
203
900
45
62
1,388
336
35,785
1,606
291
216
35,066 - 35,066
35,066		 53,484
35,066 - 53,484

The basis of allocation of costs between activities is described under accounting policies

All the expenditure in the prior year was unrestricted.

The basis of allocation of costs between activities is described under accounting policies

21 Other Expenditure - Governance costs

Current Year
Independent Examiner's fees
Total Governance costs		 Current year
Unrestricted
Funds
2021
£
3,500		 Current year
Restricted
Funds
2021
£
-		 Current year
Total Funds
2021
£
3,500
3,500		 Prior Year
Total Funds
2020
£
3,167
3,500 - 3,167

All the expenditure in the prior year was unrestricted.

24

Manchester Literature Festival Limited

Detailed analysis of income and expenditure for the year ended 31 March 2021 as required by the SORP 2015

22 Total Charitable expenditure

Total Charitable expenditure
Current Year
Total direct spending
Total support costs
Total Governance costs
Total charitable expenditure		 Current year
Unrestricted
Funds
2021
£
121,471
35,066
3,500		 Current year
Restricted
Funds
2021
£
12,128
-
-		 Current year
Total Funds
2021
£
133,598
35,066
3,500
172,164		 Prior Year
Total Funds
2020
£
204,335
53,484
3,167
160,037 12,128 260,986

All the expenditure in the prior year was unrestricted.

Prior Year
Total direct spending
Total support costs
Total Governance costs
Total charitable expenditure		 Prior Year
Unrestricted
Funds
2020
£
204,335
53,484
3,167		 Prior Year
Prior Year
Restricted
Funds
Total Funds
2020
2020
£
£
-
204,335
-
53,484
-
3,167
260,986 -
260,986

23 Expenditure on raising funds and costs of investment management

Current Year
Agent's costs for fundraising
Total fundraising costs		 Current year
Unrestricted
Funds
2021
£
7,250		 Current year
Restricted
Funds
2021
£
-		 Current year
Prior Year
Total Funds
Total Funds
2021
2020
£
£
7,250
17,250
7,250 - 7,250
17,250

All the expenditure in the prior year was unrestricted.

25