Company no. 06092664 Charity no. 1122590 Lincoln Area Regeneration Group Report and Unaudited Financial Statements 31 March 2024
Lincoln Area Regeneration Group Reference and administrative detsils For the ear ended 31 March 2024 Company number 06092664 Charity number 1122590 Registered office and operational address Poplar Union 2 Cotall Street London E146TL Trustees Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows.. David Black Brian Searle Helal Ahmed Asim lftikhar Safia Jama Cheryl Ndione Christine Searle MBE Chair Vice-chair Treasurer Senior management team Momtaz Begum Company secretary Naseem Kadir Bankers HSBC Bank PLC 59- 61 The Mall Stratford London E151XF Independent examiners Godfrey Wilson Limited Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prin Street Bristol BS14QD
Lincoln Area Regeneration Group Report of the trustees For the ear ended 31 March 2024 The trustees present their report along with the financial statements of the charity for the year ended 31 March 2024. Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the Memorandum and Articles of Association and the Statement of Recommended Practice - Accounting and Reporting by Charities (effective from January 2019). Objects and values The main objectives of the charity continue to be the social, cultural, environmental and personal flourishing of the Bow, Poplar and Tower Hamlets communities, for the benefit of local people, particularly those living through urban regeneration. Having previousty concentrated our efforts in the Bow and Poplar area of East London (our origins), we have now spread further afield again in Tower Hamlets. Most notably, arts and community centre, Poplar Union (the base for one of our satellite offices), continues to succeed in providing high quality cultural and community focused events in an area where historically there have been no local community provisions. The Lincoln Area Regeneration Group's (LARG) charitable objectives are focussed on supporting local people to create opportunities and utilise these initiatives to build strong relationships and cohesive communities, using art as a tool to improve people's access to health and well-being provisions. LARG'S unique status as a resident formed and led charity means that the organisation has an intrinsic understanding of the needs of Tower Hamlets, residents. LARG is insightful and equipped in recognising and filling any gaps in the social, cultural, economic and environmental landscape of the borough. Issues such as poverty, isolation and exclusion, racial or religious tension, physical and mental ill-health, lack of socio-economic opportunty and access to quality cultural provision all motivate the actions taken and partnerships formed by LARG. LARG are longstanding practitioners with over 15 years of service delivery within local communities and continue to grow and evolve to reflect the changes and needs of Tower Hamlets, residents. Principal activities The principal activities of the charity are.. Providing high quality arts and wellbeing activities that are financially, physically and intellectually accessible to all members of East London's diverse communities; Supporting local residents in gaining employment, training or embarking on educational andlor vocational activities, through our volunteering scheme., To be a champion in environmental and sustainable initiatives, supporting local recycling, greening and providing opportunities for local people to learn about and get involved with environmental projects within the borough- Animating and improving public spaces including, in the past year and ongoing, Bartlett Park and the Limehouse Cut, making both spaces more desirable, safe and attractive spaces to local communities., and General promotion of the local area and its residents as a desirable, friendly and inclusive area to live, work, socialise and play.
Lincoln Area Regeneration Group Report of the trustees For the ear ended 31 March 2024 Achievements and perfomiance lar Union Opened in January 2017, Poplar Union is one of LARG'S more recent community projects with aims to be the creative heart and soul of Poplar offering a platform to the local community to showcase hidden and untapped talents. Poplar Union is a multi-disciplinary, purpose-built community arts centre. They aim to nurture and develop creativity, offering local people a space to commune, create and socialise. Through their exciting and diverse arts programme, Poplar Union aims to raise the profile of Poplar and south*ast Tower Hamlets as a vibrant and enticing cultural destination with events ranging from theatre, music, dan, health and wellbeing and interactive workshops to larger scale festivals. Poplar Union continues to grow from strength to strength, with numbers of attendees increasing on a monthly basis and over 3,000 members subscribing to their newsletter. Poplar Union's arts programme is relevant to and reflective of the diverse communities within Tower Hamlets, empowering local people through telling their stories, representing them on stage and promoting world music. Poplar Union also channels LARG'S objectives surrounding improving the wellbeing of local residents through a highly sucSsful health programme including yoga for adults and children, Zumba and family karate classes. Poplar Union has also manifested LARG'S objectives and aims through close and valuable partnerships such as Poplar E5 Bakehouse (formerly e5 Roasthouse) who provide quality, nutritious and seasonal food on site. They also run schemes such as Just Bread in which refugees are given the training required to obtain employment within the hospitality industry- very much in line with LARG'S objectives regarding employment and training. Through partnership and the programming described above, Poplar Union's productivity continues to grow and has expanded LARG'S remit to engage with new communities migrating to the area ranging from migrant communities to those with more disposable income. Poplar Union has also provided new opportunities through hiring its studios. Not only has this appealed to local businesses and charities of varying sizes, it also means the community has access to a beautiful and acSsible space for lebratOry events, parties and even weddings at flexible and competitive prices, providing another source of income for LARG. Moo Canoes Having entered into a service level agreement with Moo Canoes in 2017, many joint ventures have been successfully delivered in the past year, including vnrking with children and young people to introduce stand-up-paddle-boarding. kayaking, canoeing and canal clean-ups into the vocational and leisure curriculum of local schools. Free monthly canal clean-ups led by Moo further promotes LARG'S values of improvement to green spaS and the preservation of our community environment. In addition to this Moo have successfully provided corporate staff days to large, affluent corporations based in Canary Wharf and the surrounding areas. LARG are hopeful that this will continue to develop as we anticipate this being a very good Sour of income generation for both organisations. The event season is from April to late October, thus presenting many opportunities to grow the business in the winter months spurred on all the more by the newly regenerated Limehouse Cut.
Lincoln Area Regeneration Group Report of the trustees For the ear ended 31 March 2024 The Power to Chan Lincoln Area Regeneration Group, in partnership wth Poplar HARCA and 14 other organisations, has adopted 3 miles of the Limehouse Cut, the oldest canal in London that runs alongside Poplar Union and Bartlett Park. LARG continues to develop this project that will deliver a new pontoon on the Limehouse Cut, between the Limehouse Basin & Bow Creek in the heart of Poplar E14. The preliminary site investigation and survey were successfully completed in July 2017, and showed no major issues of contention. Additionally, Servi arrangements have been agreed with Canal & River Trust that are the water-based site landlord. and an agreement has been secured with a Housing Association in order to gain land-based access to the site. The project was completed in December 2022 and aims to create better access to the canal side for local residents and create a new village green encompassing the community hub, the park and the canal. Power to Change awarded a £240,391 grant so LARG can build a pontoon with ten moorings in partnership. The income generated from each mooring now funds LARG'S charitable activities. Canal tenants also give in kind support to the local community and help improve the sometimes unsafe towpath with their constant presence. With a safer, more accessible canal, LARG will create a dynamic waterfront and deliver volunteering, water sport and educational activities. LARG conts'nued to improve the site in 23-24. Events LARG continues to run a variety of activities focused on arts and culture, wellbeing, education and the environment. The Flax Exchan Working with residents in Tower Hamlets, V run a project that was initially started by Craft Central. Together we ran a series of workshops exploring homegrown sustainable textile practices, movement and sound. Poplar Union took over the project from Craft Central in February 2024. A total of 15 workshops were held, with a live music show and exhibition. Po oes Green Our annual sustainability festival, held each January, is organised in collaboration with key partners, Sustainably Muslim and Sunny Jar. The event offers a variety of indoor and outdoor craft activities for families, encouraging the local community to explore ways to reuse. recycle, and repurpose everyday materials. It also revives traditional cultural techniques, such as Hapa Zome, a Japanese method for transferring the vibrant colors of leaves and flowers onto fabric or paper. Stories We Tell. Phot ra h Course Partnering with an incredible local photographer Pierre Bureau, we have been able to roll out various photography courses including an adult professional course, family and young people courses, mens only and womens only courses who came together to exhibit their work at Poplar Union. Through support from Arts Council England, we have been able to provide these courses to our local communities for free and have had such success that we have rolled out the programme across various seasons throughout the year. Poplar Union provides the exhibition Spa for each course to display their work publicly in our café which for many local participants is the first time they have been able to see their work in a professional environment and has inspired careers and hobbies in the arts. Skills and mentorin In partnership with a new female-led enterprise, we have supported the local neOrkIng group Canary Wharf Female Entrepreneurs, with the goal of empowering as many women in business as possible to build confidence and strengthen their brands. Together, we organised a series of skills development and mentorship programs, covering topics such as public speaking, social media training, and coaching for female entrepreneurs.
Lincoln Area Regeneration Group Report of the trustees For the ear ended 31 March 2024 Partici ation in the Lincoln Estate Board and Local Area Partnershi Lincoln Area Regeneration Group was strongly represented in the Estate Board which enables the voices of our members to be heard and considered. However, in recent years the way that governance issues are decided has changed somewhat and there is not such a strong emphasis on Estate Board matters. However we continue to support individual residents who wish to participate in local decision-making processes by encouraging them to attend meetings and consultations called by our landlord and express their opinions and ideas as to how we can work together to improve our estates and make them a better place to live. Lincoln Area Regeneration Group's chairperson still sits in the Local Area Partnership {LAP 6) steering committee. Poplar Union has also formed its own 'Resident Advisory Board, enabling a selection of local residents to feedback directly to LARG as to what they feel their communities need and would benefit from. This has proved useful in designing the programming and engagement activities, particularly at Poplar Union. Financial review The detailed results of the charity are shown in the Statement of Financial Activities on page 11 and its financial position at 31 March 2024 is shown in the Balance Sheet on page 12. Poplar HARCA has continued to be a major funder in 2023-24. They also continue to provide premises and other facilities in kind including support with funding applications as needed as well as assist LARG in showcasing and staging the valued work undertaken. LARG has increased its investment and other trading income from mooring rentals. Spa hire, ticket sales for events, donations and fund raising. Risk assessment The Board continues to keep under review the major risks to which the charity may be exposed. Reserves policy and funds The trustees believe it is wise to hold a balance in the designated reserve equivalent to 3 months of unrestricted annual expenditure to meet unexpected costs and fluctuations in planned income. The balance in the general reserve at the end of the year was £306,515, of which £65,767 is free reserves, and the designated funds were £100,000. Plans for future periods The charity plans to continue the activities outlined above in the forthcoming years subject to satisfactory funding arrangements. Efforts will be made to ensure Poplar Union continues to grow from strength to strength across its programme of events, partnerships, hire opportunities and community engagement. Looking ahead. major challenges (and opportunities) include the successful completion of the 10 residential moorings and the renovation of adopted section of the canal which will drastically impact upon both the financial position and profile of LARG in the E14 area of East London. This last year has been a challenging year for all charities, though with the efforts of Poplar Union and the ongoing works of development projects such as the mooring scheme, we are entering the next financial year with renewed confidence in LARG'S ability to grow, develop and respond to the needs of Tower Hamlets, residents in precarious social and political times.
Lincoln Area Regeneration Group Report of the trustees For the ear ended 31 March 2024 structure. governance and management The Lincoln Area Regeneration Group is a charitable organisation controlled by a board of trustees. Constitutional overnance LARG is governed by a board ratified constitutional document stipulating parameters under which it operates,. this set of practices govem, influence and shape the direction in which the group, as an organisation, is steered. Govemance indices include geographical location, (within Tower Hamlets), types of involvement. and areas of activities include green spaces preseNation and other predetermined agreed agendas, for example young people's activities, events management and so forth. For greater clarification please refer to LARG'S constitutional document. Or anisational structure The trustees, who are also directors are activety involved in overseeing LARG'S day to day operations as well as managing workloads delegated to a list of full-time staff, bank workers and sessional summer workers. The trustees meet once per quarter, usually numbering four or five official gatherings per annum, there is scope to increase the frequency depending on the urgency of matters and funding applications. Additionally, and in Complian with government pension regulations, LARG has ensured that all its paid employees are now auto*nrolled in relation to the pension provisions. This means that upon signing a contract of employment each employee is automatically enrolled into LARG'S pension scheme and may opt out if required. Chari incor oration Our application for incorporation was approved in 2008, and LARG continues to operate under our charity number which is 1122590. De endent relationshi The charity is based across two sites. The Lincoln Area Regeneration Group's head office is at Poplar Union, 2 Cotsll Street, London E14 6TL. The site is owned by Poplar HARCA, a housing and regeneration community association which is a registered charity (No. 1064397). Poplar HARCA provides space at Poplar Union that Lincoln Area Regeneration Group trustees have signed a licence to occupy. LARG continues to benefit from subsidised rent. IT seNices. office costs and other related charitable services. This is in recognition of the charity's work which is in keeping with Poplar HARCA'S own charitable purposes. However, due to pressure on budgets and a greater emphasis on accountability there is an increasing expectation for LARG to become self-sustaining and less reliant on Poplar HARCA'S resources. Lincoln Area Regeneration Group intends to make rental payments to Poplar HARCA as its landlord in the financial year 2024125. Again this year Lincoln Area Regeneration Group continued to be dependent on support from Poplar HARCA, although there is increased pressure to be self-SUStaining I self-financing sooner rather than later. Despite this, Lincoln Area Regeneration Group have still projected and propelled our business initiatives. We have found it challenging to continue the journey to becoming self-sustaining, but we are moving forward and new developments detailed in this trustees. report (notably the mooring scheme and remodelled agreement with Poplar Union's café provider, Poplar Bakehouse) will continue to ensure that we will eventually gain Independen away from Poplar HARCA. The overall 3 % reduction of rents payable by central govemment to Registered Social Landlords continues to hamper funding opportunity for Lincoln Area Regeneration Group, as the RSL'S, our customer base, abilities to commission additional community engagement works has greatly diminished. However other prospective avenues have been created with Lincoln Area Regeneration Group tendering for opportunities to support community cafes.
Lincoln Area Regeneration Group Report of the trustees For the ear ended 31 March 2024 Volunteers Volunteers are the backbone of the charity's operational neOrk viithout whom the range and extent of activities undertaken would be greatly diminished. We continue to embark on social media campaigns and local marketing in the promotion of our services, this has also enabled us to recruit a new compliment of staff, volunteers and intems to assist our management of Poplar Union. Recruitment and a ointment of trustees In accordance with the Constitution of the charity, all of the trustees are required to retire at each Annual General Meeting (AGM) but if eligible may offer themselves for re*lection by the members present at the AGM. Additionally, between one AGM and the next the trustees may appoint any further person who is willing and eligible to act as a trustee. This year began a recruitment campaign to appoint new trustees to the organisation and this wll continue into 2024-25. Two new trustees were appointed, Cheryl Ndione and Safia Jama. Public benefit The trustees have had due regard to the Charity Commission's guidance on public benefit. Statement of responsibilities of the trustees The trustees {who are also directors of the charity ft)r 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 Stsndards, including Financial Reporting Standard 102- The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting practi). Company law requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the stste of affairs of the charity and of the income and expenditure of the charity for that period. In preparing those financial statements the trustees are required to.. select suitable accounting policies and then apply them consistently- observe the methods and principles in the Charities SORP., make judgements and accounting estimates that are reasonable and prudent., state whether applicable UK accounting standards and statements of recommended practi have been followed, subject to any material departures disclosed and explained in the financial statements,. and prepare the financial ststements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which enable them to ensure that the financial statements comply with the Companies Act 2006. The trustees are also responsible for safeguarding the assets of the charity and hen for taking reasonable steps for the prevention and detection of fraud and other irregularities. The trustees are responsible for the Maintenan and integrity of the corporate and financial information included on the charitable companvs website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Lincoln Area Regeneration Group Report of the trustees For the ear ended 31 March 2024 Members of the charity guarantee to contribute an amount not exedIng £10 to the assets of the charity in the event of winding up. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity. Independent examiners Godfrey Wilson Limited were re-appointed as independent examiners to the charitable company during the year and have expressed their willingness to continue in that capacity. Approved by the trustees on 16 Dember 2024 and signed on their behalf by David Black- Chair
Independent examinerfs report To the trustees of Lincoln Area Re eneration Grou I report to the trustees on my examination of the accounts of Lincoln Area Regeneration Group (the charitable company) for the year ended 31 March 2024, which are set out on pages 11 to 26. Responsibilities and basis of report As the trustees of the charitable company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 {'the 2006 Act,). Having satisfied myself that the accounts of the 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 as 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 ACL Independent examiner's statement Since the charitable company's gross income exeded £250.000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that l am qualified to undertake the examination because l am a member of the Institute of Chartered Accountants in England and Wales (ICAEW), which is one of the listed bodies. Godfrey Wilson Limited also provides payroll services to the charitable company. I confirm that as a member of the ICAEW l am subject to the FRC'S Revised Ethical Standard 2016, which I have applied with respect to this engagement. I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect= (1) accounting records were not kept in respect of the charitable company as required by section 386 of the 2006 Act, or (2) the accounts do not accord with those records" or (3) 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 (4) 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 accordan with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
Independent examinerfs report To the trustees of Lincoln Area Re eneration Grou 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. Lb L,1 Date.. 17 Dember 2024 Robert Wilson FCA Member of the ICAEW For and on behalf of.. Godfrey Wilson Limited Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS14QD 10
Lincoln Area Regeneration Group Statement of financial activities (incotporating an income and expenditure account) For the ear ended 31 March 2024 2024 Total 2023 Total Restricted Unrestricted Note Income from: Donations Charitable activities Other trading activities Investment income 10,300 286,276 83,249 64,613 10,300 297,549 83,249 64,613 10,000 464,329 65,655 23,055 11.273 Total income 11.273 444.438 455,711 563,039 Expenditure on: Raising funds Charitable activities 34,198 432,111 34,198 434,079 34,172 456,229 1.968 Total expenditure 1,968 466,309 468,277 490,401 Net income l (expenditure) 9.305 (21.871) {12,566) 72,638 Transfers beeen funds Net movement in funds 9.305 (21,871) {12,566) 72,638 Reconciliation of funds: Total funds brought forward 3.500 428.386 431,886 359,248 Total funds carried forward 12,805 406,515 419.320 431,886 All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 18 to the accounts. 11
Lincoln Area Regeneration Group Balance sheet As at 31 March 2024 2024 2023 Note Fixed assets Tangible assets Investment propety 13 14 599 240,149 283 230,531 240,748 230,814 Current assets Debtors Cash at bank and in hand 15 53,289 149,018 62,887 161,297 202,307 224,184 Liabilities Creditors.. amounts falling due within 1 year 16 23,735 23,112 Net current assets 178,572 201,072 Net assets 17 419,320 431,886 Funds Restricted funds Unrestricted funds Designated funds General funds 18 12,805 3,500 100,000 306,515 100,000 328,386 Total charity funds 419,320 431,886 The directors are satisfied that the company is entitled to exemption from the provisions of the Companies Act 2006 (the Act) relating to the audit of the financial statements for the year by virtue of section 477(2), and that no member or members have requested an audit pursuant to section 476 of the Act. The directors aCknOedge their responsibiltties for. (i) ensuring that the company keeps proper accounting records which comply with section 386 of the Act., and (li) preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of the financial year and of its profit or loss for the financial year in accordance with the requirements of section 393. and which otheNise comply with the requirements of the Act relating to financial ststements, so far as applicable to the company. These accounts have been prepared in accordance with the special provisions applicable to companies subject to the small companies, regime. Approved by the trustees on 16 Dember 2024 and signed on their behalf by David Black- Chair 12
Lincoln Area Regeneration Group Statement of cash flows For the ear ended 31 March 2024 2024 2023 Cash used in operating activities: Net movement in funds {12,566) 72,638 Adjustments for= Depreciation charges Dividends, interest and rents from investments Decrease l (increase} in debtors Increase l (decrease) in creditors 476 (23,055) 13,966 72,253 {64,613) 9,598 623 Net cash provided by l (used in) operating activities 66,474 8,228 Cash flows from investing activities: Dividends, interest and rents from investments Purchase of tangible fixed assets Purchase of investments 64,613 1800) 9,618 23,055 85,640 Net cash provided by l (used in) investing activities 62,585 Decrease in cash and cash equivalents in the year 112,279) (70,813) Cash and cash equivalents at the beginning of the year 161,297 232,110 Cash and cash equivalents at the end of the year 149,018 161,297 The charity has not provided an analysis of changes in net debt as it does not have any long term financing arrangements. 13
Lincoln Area Regeneration Group Notes to the financial statements For the ear ended 31 March 2024 Accounting policies al Basis of preparation and general infomiation Lincoln Area Regeneration Group is a charitable company limited by guarantee registered in England and Wales. The registered Offi address is Poplar Union, 2 Cotall Street, London, E14 6TL. The financial statements have been prepared in accordan with Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities in preparing their accounts in accordan with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 1021 (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. Lincoln Area Regeneration Group meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless othewise stated in the relevant accounting policy note. b) Going concern basis of accounting The accounts have been prepared on the assumption that the charity is able to continue as a going concern, which the trustees consider appropriate having regard to the current level of unrestricted reserves. There are no material uncertainties about the charity's ability to continue as a going concern. c) Income Income is recognised when the charity has entitlement to the funds, any performan conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably. Income from the government and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred. Income from the community café, events, room rental and mooring rental are recognised when the related goods and seNices have been provided. d) Donated services and facilities Donated professional SeNiS and donated facilities are recognised as income when the charity has control over the item. any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item, is probable and the economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), general volunteer time is not recognised. On reipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market., a corresponding amount is then recognised in expenditure in the period of receipt. 14
Lincoln Area Regeneration Group Notes to the financial statements For the ear ended 31 March 2024 Accounting policies (continued) el Interest receivable Interest on funds held on deposit is included when re1vable and the amount can be measured reliably by the charity- this is normally upon notification of the interest paid or payable by the bank. fl Funds accounting Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity's work or for specific projects being undertaken by the charity. g) Expenditure and irrecoverable VAT Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third paty, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred. h) Grants payable Grants which have been authorised and paid are included as expenditure in the Statement of Financial Activities. Grants which have been authorised but not yet paid are accrued in the balance sheet and are included within creditors falling due within one year or after one year (as appropriate). i) Allocation of support and governance costs Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Governan costs are the costs associated with the governance arrangements of the charity, including the costs of complying with constitutional and statutory requirements and any costs associated with the strategic management of the charity's activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities based on the proportion of staff time occupied by each activity as follows.. 2024 2023 Raising funds Charitable activities 6.2°/ 93.8°/ 90.5% jl Tangible fixed assets Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows- Equipment and furniture 3- 5 years, straight line basis Items of equipment are capitalised where the purchase price exceeds £500. 15
Lincoln Area Regeneration Group Notes to the financial statements For the ear ended 31 March 2024 Accounting policies (continued) kl Investment property Investment properties are boat moorings held by LARG to earn rental income. Investment propety is initially measured at cost, including transaction costs. Investment propety is sUbseqUenY measured at fair value at the reporting date. Gains or losses arising from changes in the fair value of investment property are included in net profit or loss on the fa of the Statement of Financial Activities for the period in which they arise. l) Stock The charity does not contribute any value to the stock of food and ingredients held for its community café as the amounts are not considered material. m) Debtors Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. nl Cash at bank and in hand Cash at bank and cash 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. o) Creditors Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. p) 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 recognised at amortised cost using the effective interest method. q) Pension costs The charitable company operates a defined contribution pension scheme for its employees. There are no further liabilities other than that already recognised in the SOFA. r) Operating leases Rentals paid under operating leases are charged to the statement of financial activities as they fall due. 16
Lincoln Area Regeneration Group Notes to the financial statements For the ear ended 31 March 2024 Accounting policies (continued) sl Accounting estimates and key judgements In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. The key SoUrS of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are depreciation and the valuation of investment property as described in notes 11 and 1k above. Prior period comparatives: statement of financial activities 2023 Total Restricted Unrestricted Income from: Donations Charitable activities Other trading activities Investment income 10,000 387,107 65,655 23,055 10,000 464,329 65,655 23,055 77,222 Total income 77,222 485,817 563,039 Expenditure on: Raising funds Charitable activities 34,172 381,977 34,172 456,229 74,252 Total expenditure 74,252 416,149 490,401 Net income 2,970 69,668 72,638 Transfers beeen funds 9,512 9,512 Net movement in funds {6,542) 79,180 72,638 17
Lincoln Area Regeneration Group Notes to the financial statements For the ear ended 31 March 2024 Income from donations 2024 Total 2023 Total Donations Gifts in kind" 300 10,000 10,000 Total income from donations 10,300 10,000 "Gifts in kind relate to free use of the community centre. All income from donations was unrestricted in the current and prior year. Income from charitable activities 2024 Total Restricted Unrestricted Poplar HARCA Local authority grants Non-local authority grants 281,183 1,920 3,173 281,183 2,320 14,046 400 10,873 Total income from charitable activities 11.273 286,276 297,549 Prior period comparative: 2023 Total Restricted Unrestricted Poplar HARCA East End Community Fund Local authority grants Non-local authority grants Kings coronation grant 69,974 379,584 500 4,850 1,673 500 449,558 500 4,850 5,421 4,000 3,748 3,500 Total income from charitable activities 77,222 387,107 464,329 18
Lincoln Area Regeneration Group Notes to the financial statements For the ear ended 31 March 2024 Income from other trading activities 2024 Total 2023 Total Poplar Union hall hire Ticket, bar and box Offi income 45,323 37,926 35,529 30,126 Total income from other trading activities 83,249 65,655 All income from other trading activities was unrestricted in the current and prior year. Income from investments 2024 Total 2023 Total Mooring rental 64,613 23,055 All income from investments was unrestricted in the current and prior year. Government grants The charitable company receives government grants, defined as funding from London Borough of Tower Hamlets to fund charitable activities. The total value of such grants in the period ending 31 March 2024 was £2.320 (2023" £4.850). There are no unfulfilled conditions or contingencies attaching to these grants. 19
Lincoln Area Regeneration Group Notes to the financial statements For the ear ended 31 March 2024 8. Total expenditure Support and govemance costs Raising funds Charitable activities 2024 Total Staff costs (note 11) Rental costs Office costs Telephone, internet, IT & website Insurance Box office, spo1ght, project consultancy Staff training Depreciation Publicity Grants payable (note 10) Accountancy Legal and professional fees Moorings 13,176 199,814 11,563 7,090 19,344 1.341 13,343 226,333 11,563 7,090 19,344 1,341 111,604 111,604 1,284 484 3,689 770 30,850 40,390 13,535 1,284 2.175 1.514 770 30,850 40,390 13,535 Sub-total 28,886 353,524 85,867 468,277 Allocation of support and governance costs 5,312 80,555 85,867 Total expenditure 34.198 434,079 468,277 Total governance costs were £3,450 (2023.. £3,300). 20
Lincoln Area Regeneration Group Notes to the financial statements For the ear ended 31 March 2024 8. Total expenditure {continued) Prior period comparative Support and govemance costs Raising funds Charitable activities 2023 Total Staff costs (note 11 } Outing, events and activities, entertainment Transport and travel Rental costs Office costs Telephone, internet, IT & website Insurance Box office, spotlight, project consultancy Depreciation Publicity Grants payable (note 10) Accountancy Legal and professional fees Moorings 23,555 223,972 3,313 250,840 332 944 10,000 4,255 24,355 1,264 332 944 10,000 4,435 24,355 1,264 180 121.259 476 3,257 530 121,259 476 3,257 530 33,361 35,629 3,719 33,361 35,629 3,719 Sub-total 27,274 390,644 72,483 490,401 Allocation of support and governance costs 6,898 65,585 72,483 Total expenditure 34,172 456,229 490,401 21
Lincoln Area Regeneration Group Notes to the financial statements For the ear ended 31 March 2024 9. Net movement in funds This is stated after charging- 2024 2023 Depreciation Operating lease payments Trustees, remuneration Trustees, reimbursed expenses Independent examiner's remuneration (excluding VAT).. Independent examination Payroll services 484 1,563 476 1,563 3,450 957 3,300 10. Grants payable During the year, 1 {2023'. 1) new grant was awarded to individuals for gardening work within Tower Hamlets. Total grants committed to during the year were as follows.. 2024 2023 Grants payable to individuals 770 530 Allocation of support costs to grant making activities is given in note 8. 11. Staff costs and numbers Staff costs were as follows.. 2024 2023 Salaries and wages Social security costs Pension costs Freelancers 198,455 8,687 2,806 16,385 239,300 10,081 1,459 226,333 250,840 Included in staff costs above is £5,738 of redundancy payments (2023: nil). No employee earned more than £60,000 during the year. The key management personnel of the charitable company comprise the Trustees and the Programme Manager. The totsl employee benefits of the key management personnel were £29,122 (2023: £33,127). 22
Lincoln Area Regeneration Group Notes to the financial statements For the ear ended 31 March 2024 11. Staff costs and numbers (continued) 2024 2023 No. Average head count 11.00 12.00 12. Taxation The charity is exempt from corporats'on tax as all its income is charitable and is applied for charitable purposes. 13. Tangible fixed assets Office equipment Cost At 1 April 2023 Additions Disposals 2.769 800 1,918 At 31 March 2024 1,651 Depreciation At 1 April 2023 Charge for the year On disposals 2.486 484 1,918 At 31 March 2024 1.052 Net book value At 31 March 2024 599 At 31 March 2023 283 14. Investment property The mooring on the north side of Limehouse Cut beeen Upper North Street and Watts Grove is an investment property as it is held to generate rental income. It is therefore carried at its fair value. In the year ended 31 March 2024 the fair value of the mooring is deemed to be its cost due to the proximity to the purchase date, and as such there has been no formal valuation in the current period. 2024 2023 Market value at 1 April 2023 Additions at cost 230,531 9,618 144,891 85,640 Investment property valuation at 31 March 2024 240.149 230,531 23
Lincoln Area Regeneration Group Notes to the financial statements For the ear ended 31 March 2024 15. Debtors 2024 2023 Trade debtors Prepayments Other debtors 28,531 3,321 21,437 43,370 3,080 16,437 53,289 62,887 16. Creditors: amounts due within 1 year 2024 2023 Trade creditors Accruals Other creditors 9,436 11,116 3,183 10,759 9,037 3,316 23,735 23,112 17. Analysis of net assets between funds Restricted funds Designated fijnds General funds Total funds Tangible fixed assets Investment properties Current assets Current liabilities 599 240,149 89,502 (23,735) 599 240,149 202,307 (23.735) 12,805 100,000 Net assets at 31 March 2024 12,805 100,000 306.515 419.320 Prior period comparative Restricted funds Designated funds General funds Totsl funds Tangible fixed assets Investment properties Current assets Current liabilities 283 230,531 120,684 (23,112) 283 230,531 224,184 (23,1121 3,500 100,000 Net assets at 31 March 2023 3,500 100,000 328,386 431,886 24
Lincoln Area Regeneration Group Notes to the financial statements For the ear ended 31 March 2024 18. Movements in funds Transfers between At 31 March funds 2024 At 1 April 2023 Income Expenditure Restricted funds East End community fund 3,500 11,273 1,968 12,805 Total restricted funds 3.500 11,273 1,968 12,805 Unrestricted funds Designated funds.. Improvement fund 3 month reserve 30.000 70,000 30,000 70,000 Total designated funds 100,000 100,000 General funds 328,386 444,438 466,309 306,515 Total unrestricted funds 428,386 466,309 406,515 Total funds 431,886 455,711 468,277 419,320 Purposes of restricted funds East End community fund Community programme for the local residents. Purposes of designated funds Improvement fund Reserves for the future improvement of premises and IT equipment. 3 month reserve The expected future costs that would be required in the event of winding up the charity. 25
Lincoln Area Regeneration Group Notes to the financial statements For the ear ended 31 March 2024 18. Movements in funds (continued) Prior period comparative Transfers beeen At 31 March funds 2023 At 1 April 2022 Income Expenditure Restricted funds Historic restricted funds Poplar HARCA Garden grant East End community fund C(FOP Picnic Sponsorship 9,512 (9,512) 69,974 (69,974) (530) 530 3,500 3,748 3,500 3,748 Total restricted funds 10,042 77,222 74,252 9,512 3,500 Unrestricted funds Designated funds." Mooring fund Improvement fund 3 month reserve 209,206 30,000 70,000 (209,206) 30,000 70,000 Total designated funds 309,206 (209,206) 100,000 General funds 40,000 485,817 416,149 218,718 328,386 Total unrestricted funds 349,206 485,817 416,149 9,512 428,386 Total funds 359,248 563,039 (490,401) 431,886 19. Operating lease commitments The charity had operating leases at the year end with total future minimum lease payments as follows= 2024 2023 Amount falling due.. Within 1 year Within 1 5 years Due in more than 5 years 7,812 84,375 368,750 1,563 67,187 393,750 460,937 462,500 20. Related party transactions There were no related paty transactions in the current or prior period. 26