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2021-03-28-accounts

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST (A company limited by guarantee)

REPORT AND CONSOLIDATED FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 28 MARCH 2021

Company Registered number: 07340192 Charity Registered number: 1139034

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

(A company limited by guarantee)

REPORT AND CONSOLIDATED FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 28 MARCH 2021

CONTENTS Pages
Report of the Trustees (incorporating the Strategic Report) 3-12
Auditors’ report 13-15
Group statement of financial activities 16
Group balance sheet 17
Company balance sheet 18
Group cash flow statement 19
Notes to the financial statements 20-43

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NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

(A company limited by guarantee)

REFERENCE AND ADMINISTRATIVE DETAILS

FOR THE PERIOD ENDED 28 MARCH 2021

The Trustees present their report and consolidated financial statements for the period to 28 March 2021.

Company Registered number: 07340192

Charity Registered number: 1139034

Directors/Trustees/Members:

Ms G Arnott Mr S R Edmonds Ms B Lally - Appointed 26 January 2021 Mr G Tait Ms V Miles DL - Resigned 26 January 2021

Company Secretary:

Ms J R Gordon

Key Management Personnel:

Mr A Bishop – Programming Director Ms A Facey – HR Director Ms J Gordon – CEO Mr I McLeish – Interim Finance Director – Resigned 31 March 2021 Mr S Watkins - Head of Finance - Appointed to SMT 1 November 2020

Auditors:

Haysmacintyre LLP 10 Queen Street Place London EC4R 1AG

Bankers:

Barclays Bank plc, 267 Wellingborough Road, Northampton NN1 4EN Solicitors: Shoosmiths, The Lakes, Northampton, NN4 7SH Business and Registered office: 19-21 Guildhall Road, Northampton NN1 1DP

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NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

(A company limited by guarantee)

Trustees Report

FOR THE PERIOD ENDED 28 MARCH 2021

Objectives and activities

The Trust’s objectives are:

a) To promote art for the benefit of the public, with particular reference to but not exclusively in Northamptonshire, including (without limitation) the dramatic, musical, performance, literary and visual arts; and

b) To promote the efficiency and effectiveness of registered charities and charitable organisations, including community groups, through the provision of services and support relating to the strategy, management and general administration of those organisations, with particular reference to the venues known as Royal & Derngate and The Core at Corby Cube.

The Trustees agreed two principle aims for 2020/21

When considering the extent to which Northamptonshire Arts Management Trust (NAMT) has achieved its aims this year, it is important to also consider to how well the aims of both Royal & Derngate and The Core at Corby Cube have been achieved, as a result of the partnership with NAMT. The financial details contained within this Report of the Trustees report are the consolidated results for NAMT, Royal & Derngate and The Core at Corby Cube, and their associated companies.

As defined within their Business Plan refreshed in September 2021, Royal & Derngate has six principle objectives:

As defined within the Business Plan refreshed in September 2021, The Core at Corby Cube has four principle aims:

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NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

(A company limited by guarantee)

Trustees Report (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

To deliver these aims, which further our charity’s purposes for the public benefit, NAMT undertakes activity in the following areas:

By receiving services provided by NAMT, Royal & Derngate is able (in a non-pandemic year) to undertake activity in the following areas:

By receiving services provided by NAMT, The Core at Corby Cube is able to undertake activity (in a non pandemic year) in the following areas:

The Trustees and senior management team establish, monitor and review key performance indicators for all aspects of the charity’s activities. In the 20/21 these were revised in conjunction with stakeholders to better represent what was possible in a year so disrupted from its usual operation by the pandemic. This kept the ethos of all the deliverables above - ensuring a focus on variety and breadth of programme, creative learning and artist support activity and leadership within the sector. It did, however, see the removal of ‘live’ performance targets, instead seeing a shift to digital engagement. These new KPIs and the much altered ‘civic role’ needed from both Royal & Derngate and The Core at Corby Cube were considered as part of the annual appraisal process. Progress is communicated at each Board meeting through written and verbal reports.

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NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

(A company limited by guarantee)

Trustees Report (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

The Trustees confirm that they have referred to the guidance contained in the Charity Commission’s Public Benefit Guidance when reviewing the charitable company’s aims and objectives and in planning future activities for the year.

The organisation employed an average of 43 individuals in the year to provide shared administration, financial services, human resources, company secretarial, programming, marketing, sales and IT services to the group of companies.

Covid-19 Pandemic

On 16th March 2020, both venues closed with immediate effect following advice from the Government and with the safety, health and wellbeing of our staff, artists and patrons in mind. We began immediately working hard to ensure our future viability, creating Covid Recovery Plans bespoke to both venues, supported by Board steering groups. We enhanced communication channels across NAMT to monitor newly created risk registers.

In light of the third national lockdown announced in January, the respective Management Teams and our Boards of Trustees decided to postpone opening of all venues to Spring 2021.

At the start of the first lockdown in March 2020, the group’s ticketing income stream worth £6.4m per year stopped. Like many of our peers, we launched fundraising campaigns, such as asking our audiences to donate the value of their tickets or to help by purchasing a socially distanced seat for a performance. Our staff have also undertaken various individual fundraising events.

During 2020, NTT secured support of £574k from Arts Council England’s Emergency Response Fund (ERF), £1.9m from the Government’s Culture Recovery Fund (CRF) and £400k funding from Northampton Borough Council. CCTT secured support of £199k from the Government’s Culture Recovery Fund (CRF). Both companies were provided Business Support Grants for affected and closed businesses. Elements of these grants have been used to support significant creative learning and local artist activity, encouraging youngsters from our local community to stay engaged in the arts, whilst also providing paid work opportunities to some of our team of freelancers. Funding has also been used to make the venues and ticketing systems Covid-19 compliant and provide support and training for our staff as we transition into a new way of working.

We are also grateful to Arts Council England (ACE), Northampton Borough Council (NBC) and Corby Borough Council (CBC) for reprofiling their annual grant payments throughout the pandemic This provided a vital cushion to facilitate the necessary changes required to get through the initial months of closure.

We have made use of the Coronavirus Job Retention Scheme which has been a lifeline for the majority of our staff, however, organisational restructuring has also taken place within the NTT and NAMT teams to reduce staffing costs.

All non-essential spend was cut and recruitment frozen where possible. Working with a skeleton team during lockdown enabled efficiencies to be sought which benefited both organisations as they reopened the buildings and welcomed audiences back when restrictions were eased.

During 2021, NTT secured further support from the CRF, with £433k being awarded in April 2021 from the second round of funding, and a further £433k being awarded in October 2021 from the third round of funding. CCTT secured £64k from the third round of CRF funding in October 2021. These grants have been used to support both organisations in their reopening plans.

5

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

(A company limited by guarantee)

Trustees Report (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

Advocacy and relationship building work began this period with the county’s new Unitary Authority - West Northamptonshire Council and North Northamptonshire Council (replacing previous authorities Northampton Borough Council and Corby Borough Council in April 2021). This includes board representation across both NTT and CCTT.

Although conditions will remain challenging for some time, the Board of Trustees are satisfied that both the charity and the group have sufficient resources to continue trading as a going concern for the next twelve months.

Achievements and performance

During 2020/21 NAMT continued to deliver a cost-effective service to both NTT and CCTT, ensuring that appropriate staffing was in place to achieve this, despite the challenges posed by the Covid-19 pandemic.

NTT reported that it:

CCTT reported that it:

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NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST (A company limited by guarantee)

Trustees Report (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

Members of the NAMT senior management team sat on the Board of the Northamptonshire Community Foundation and Northampton Forward, ensuring that the Creative and Cultural Industries are represented at a senior level in discussions relating to the development of the towns and county.

NAMT provided human resource and staff development services for 200 team members this year (140 employed by NTT, 17 employed by CCTT and 43 employed directly by NAMT).

Future Plans

In 2021/22 and 2022/23 we will support Royal & Derngate and The Core at Corby Cube to make the necessary and immediate adjustments in accordance with their Covid-19 Recovery Strategies.

Activity that will benefit most clearly from NAMT’s support will include Royal & Derngate’s plans to:

The Core will also continue to benefit from the expertise provided by NAMT as it devises plans to:

The Trustees and Strategic Management Team are developing relationships with key personnel within the new North Northamptonshire Council and West Northamptonshire Council as well as ensuring the activity of the Trust aligns with their evolving strategic direction as Unitary Authorities.

Financial Review

NAMT’s key financial objective was to ensure that the Trust had the necessary resources to deliver the charitable objectives. NAMT operates as a cost neutral company, passing on all costs incurred to either the charity that operates Royal & Derngate (Northampton Theatres Trust/NTT) or the charity that operates The Core at Corby Cube (Corby Cube Theatre Trust/CCTT), as agreed with the Boards of both entities.

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NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

(A company limited by guarantee)

Trustees Report (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

For the financial year ended 28 March 2021 the consolidated operating surplus was £870,162. This result has been made possible thanks to the grant support from Northampton Borough Council (now WNC) and Arts Council England’s Emergency Response Fund to NTT, and DCMS’ Culture Recovery Fund to both NTT and CCTT, supporting the organisations through the Covid-19 pandemic and additionally providing reserve and advance ticket sales reflation in support of future trading. This compares to 2019/20 when we reported an operating deficit of £424,103.

For the financial year ended 28 March 2021 NTT reported an operating surplus of £837,348 before actuarial losses on pension schemes of £597,000. This result has been made possible thanks to the grant support from Northampton Borough Council, Arts Council England’s Emergency Response Fund and DCMS’ Culture Recovery Fund supporting the organisation through the Covid-19 pandemic. This is in contrast to the financial year ended 29 March 2020 when we reported an operating deficit of £412,515 before actuarial gains of £739,000.

For the financial year ending 28 March 2021 CCTT reported an operating surplus of £39,951, This result has been made possible thanks to the grant support from DCMS’ Culture Recovery Fund supporting the organisation through the Covid-19 pandemic. This compares to the financial year ended 29 March 2020 when we reported an operating deficit of £22,862.

For the financial year ended 28 March 2021, NTEL reported an operating loss of £7,109. This is in contrast to the financial year ended 29 March 2020 when we reported an operating profit of £35,474. A licencing agreement is in place with an external operator who was unable to open the bar during lockdown, leading to the operating loss. Since being able to reopen the bar in June 2021, monthly profits have been generated with the carried forward loss being eradicated in October 2021. All qualifying profit generated at year end will be company gift aided to NTT through the deed of covenant in place.

For the financial year ended 28 March 2021, there were no productions made through DEL which reported an operating loss of £30.

The overall surplus on all funds at the year-end amounted to £268,465 (compared to £389,014 deficit in 2019/20).

The overall accumulated fund balance at the year-end amounted to £3,323,370 (compared to £3,054,905 in 2019/20). Of this, restricted funds totalled £32,940 (compared to £30,000 in 2019/20). Details of the restricted funds are listed in Note 17 of the accounts.

Based on our cash-flow projections, the charitable company and group has sufficient liquidity to continue carrying out its charitable activities for at least twelve months and the Trustees are therefore of the opinion that the financial statements should be prepared on a going concern basis. The review of our financial position, reserves levels and future plans gives Trustees confidence the charity remains a going concern for the foreseeable future.

NAMT Trustees recognise the need for NTT and CCTT to build up reserves from 2021/22 onwards when normal trading conditions are hoped to return. This will mitigate against any unplanned costs and ensure that management charges to NTT and CCTT continue to be of excellent value.

NTT’s reserves policy aimed to build a minimum reserves level of £265k by the end of the Business Plan period (31 March 2022). However, given circumstances encountered in 2017/18, in relation to the loss-making touring production of Death of a Salesman, trading challenges in 2018/19 and the ongoing impact of Covid-19 and future sensitivities expected, Trustees are now anticipating that the reserves target will not be met during this Business Plan period. The balance of general funds at 28 March 2021 was £nil (2019/20 £nil). The organisation has developed a revised budget for 2022-23, scrutinised by the Trustees which will return the company to delivering a

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NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

(A company limited by guarantee)

Trustees Report (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

surplus to improve the deficit position in a Business Plan period commencing April 23. Covid-19 Recovery plans continue to evolve to deliver year on year surpluses to recover the position.

CCTT’s reserves policy aimed to build a reserves target of £40,000 to over one month of essential operating costs. The balance of general funds at 28 March 2021 was £16,341 (2019/20 £nil). Following the impact of Covid-19, the organisation is progressing through its Covid-19 Recovery Plan. A revised budget for 2022/23 scrutinised by the Trustees will deliver a small deficit with a new four-year Business Plan commencing April 2023 returning operating surpluses.

Fundraising Performance and Approach

The Trusts seek donations and grants from a variety of sources but in the year to 28 March 2021 they did not actively fundraise from the general public. They do not employ any third party fundraisers and do seek donations from audience members and ticket buyers. In the final two weeks of the financial year, when all performances were cancelled or postponed, they were successful in converting a portion of bookings into donations rather than ticket refunds and sought to reclaim Gift Aid on as many of these donations as possible. Individual giving became an increasingly important part of the fundraising mix as they emerged from the Covid-19 crisis and new campaigns were launched when the venues reopened.

All fundraising is conducted in line with the Fundraising Code of Practice set by the Fundraising Regulator and with due regard for current regulations under GDPR. No complaints have been received in respect of fundraising activity and we protect vulnerable donors through the training and supervision we give to all staff who solicit or receive donations.

Their Fundraising Strategies are to continue to achieve a mixed funding model, to increase income from Trusts & Foundations, particularly to support capital improvements, and to further reduce dependence on Arts Council and Local Authority subsidy for theatre production, community engagement and creative learning delivery. They recognise that the impact of Covid-19 on the whole of the voluntary sector will increase competition for resources at the same time as the impact on investments will reduce the amount of money available to Trusts and Foundations to distribute to good causes.

Risk Management

The Trusts have formal risk management processes through which the senior management identifies the major risks to which the organisation may be exposed and has ranked these by likelihood and impact, culminating in a risk registers which are updated on a regular basis. All significant risks, together with current mitigation actions, are reviewed regularly throughout the year by the Trustees. The Trustees are satisfied that systems have been developed and are in place to mitigate identified risks to an acceptable level.

The Covid-19 pandemic saw a significant change in emphasis in Risk Management. Prior to that, the main emphasis surrounded the risks implicit in the commercial recovery plans which was aimed at returning the organisations to surplus and looking to a longer term plan to rebuild both organisation’s reserves. The emergence of Covid-19 which overnight lost 90% of the organisation’s revenue streams had a grave immediate impact on the business and forced us into survival mode. It necessitated preparing the organisation for a period of dormancy, reducing spend and seeking emergency sources of funds to support the organisation until such times as re-open for business and begin to generate our own income again.

Emphasis in the risk register therefore moved to the risks exposed by Covid-19 and its impact on the business. They reflect the existing risk factors as we move to our Covid-19 recovery plan and build a sustainable model for 2022/23 and beyond.

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NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST (A company limited by guarantee)

Trustees Report (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

The principal risks and uncertainties identified by the NAMT trustees are as follows:

Risk identified
Action taken to mitigate the risk
External economic factors adversely affecting
organisations’ revenue streams (inc Covid,
Brexit risk and general economic slowdown)
Remain cautious and prudent in budgeting
remainder
21/22
and
22/23
to
reflect
uncertainty. Realistic target setting for income
areas with sensitivities built in. Benchmarking
intelligence sought from peers.
Reluctance of audiences to return to Royal &
Derngate and The Core at Corby Cube, due to
perceived
risk
and
therefore
ticket
and
associated commercial targets are not met
Need to monitor audience attendance for events
and maintain strong Covid Safety audience
campaigns. Add sensitivity to model and ensure
expenditure budgets are set accordingly.
Explore opportunities to present work (and
screenings) digitally. Membership of UK Theatre
is important plus industry-wide benchmarking
and intelligence sharing.
Sustainability of key funding sources linked to
Covid-19 pressures and Unitary Authority
changes.
Regular discussion with principal funders;
cooperating to identify new ways to collaborate;
seeking alternative income sources.
Failure to recruit and retain key staff Increased the training budget to ensure
continued investment in team development was
possible. Reviewed the strategic management
team structure in order to ensure that talents
were being used most effectively and have
added the Head of Finance to the team.

10

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

(A company limited by guarantee)

Trustees Report (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

Structure, governance and management

Northamptonshire Arts Management Trust (“The Trust”) is registered with the Charity Commission and is constituted as a company limited by guarantee, governed by Memorandum and Articles of Association. The Trustees confirm that the financial statements comply with statutory requirements and with the Memorandum and Articles of Association.

We have a very clear process in place to recruit independent Trustees when necessary which entails the Board and senior management team completing a skills audit to establish areas of expertise that are unfilled and then advertising locally and regionally for candidates to apply for the advertised vacancies. For each vacancy The Trust develops a detailed role description and person specification, to which all candidates are invited to respond. Their appointments ratified by the full board as per our Memorandum and Articles of Association.

Key decisions within the charitable company are made at Strategic Management Team level then cascaded across the charitable company.

The Trust has robust policies and procedures regarding safeguarding, whistle-blowing, harassment, bullying and child protection in place. These are devised by the management team through consultation with industry bodies including Equity and UK Theatre.

Oversight of the charitable company is by a Board of Directors who also act as Trustees for the charitable activities of Northamptonshire Arts Management Trust.

No directors had, during or at the end of the year, a material interest in any contract, which was significant in relation to the charitable company’s business.

The minimum number of directors is four and the maximum six.

When first appointed, trustees are offered an induction programme that includes the opportunity to meet with members of the Senior Management Team. They are invited to a series of events at both sites and are provided with key documentation at an induction meeting with the Chair and CEO.

The trustees consider the board of trustees and the senior management team to comprise the key management personnel of the charity in charge of directing and controlling, running and operating the Charity on a day to day basis. All trustees give of their time freely and no director received remuneration in the year. Details of directors’ expenses and related party transactions are disclosed in note 8 to the accounts.

The pay of the Strategic Management Team and all staff is reviewed annually. This year it was subject to further review as a condition of Cultural Recovery Funding requirements. As part of the annual budget process the Strategic Management Team make a recommendation to the Board with regards pay and remuneration for the charity’s key personnel.

The figure is calculated once comparisons with other regional theatres were sought, once affordability was assessed and following the conclusion of the annual appraisal (and six month follow-up) process. In view of the nature of the charity, the Trustees benchmark against pay levels in other charities. The remuneration bench-mark is at the lower end of the range paid for similar roles in similar charities and sizes.

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NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

(A company limited by guarantee)

Trustees Report (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

As set out above, the parent charity Northamptonshire Arts Management Trust (NAMT) provides a number of shared services to Northampton Theatres Trust, trading as Royal & Derngate and Corby Cube Theatre Trust, trading as The Core at Corby Cube.

STATEMENT OF DIRECTORS’ RESPONSIBILITIES

The Directors are responsible for preparing the Report of the Directors and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Directors to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable group for that year. In preparing these financial statements, the Directors are required to:

The Directors are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company, and the group, and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the Directors are aware:

In approving this report the trustees also approve the Strategic Report in their capacity as company directors.

On behalf of the board

…………………………… S R Edmonds

Mr S R Edmonds Steve Edmonds (Dec 1, 2021, 8:17pm)

Trustee

Date: 1 December 2021

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NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS AND TRUSTEES OF NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

FOR THE PERIOD ENDED 28 MARCH 2021

Opinion

We have audited the financial statements of Northamptonshire Arts Management Trust for the period ended 28 March 2021 which comprise the Group Statement of Financial Activities, the Group and Parent Charitable Company Balance Sheets, the Group Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group and parent charitable company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Report of the Trustees. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

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NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS AND TRUSTEES OF NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ Annual Report (which incorporates the strategic report and the directors’ report).

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees for the financial statements

As explained more fully in the trustees’ responsibilities statement set out on pages 12 the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the group’s and the parent charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Based on our understanding of the group and charitable company and the environment in which they operates, we identified that the principal risks of non-compliance with laws and regulations related to revenue recognition and the completeness of expenditure, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006, the Charities Act 2011, payroll tax and sales tax.

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to related to posting inappropriate journal entries to revenue and management bias in accounting estimates. Audit procedures performed by the engagement team included:

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NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS AND TRUSTEES OF NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Steven Harper (Senior Statutory Auditor) 10 Queen Street Place For and on behalf of Haysmacintyre LLP, Statutory Auditors London EC4R 1AG Date: 7 December 2021

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NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

GROUP STATEMENT OF FINANCIAL ACTIVITIES (Incorporating an Income and Expenditure Account)

FOR THE PERIOD ENDED 28 MARCH 2021

Unrestricted Designated Restricted Total Total
Funds - Funds Funds 2021 2020
General
Note £ £ £ £ £
INCOME FROM
Grants and donations 3 5,010,550 901,414 127,278 6,039,242 2,152,635
Other trading activities 4 4,157 - - 4,157 1,137,748
Charitable activities 5 94,849 - - 94,849 7,858,972
Other income 62,289 - - 62,289 390,123
--------------------- --------------------- --------------------- --------------------- ---------------------
Total income 5,171,845 901,414 127,278 6,200,537 11,539,478
--------------------- --------------------- --------------------- --------------------- ---------------------
EXPENDITURE ON
Raising funds 6 443,363 16,018 - 459,381 1,087,324
Charitable activities
- Presented work 6 1,655,762 65,730 - 1,721,492 6,481,255
- Produced work 6 1,047,983 37,989 34,666 1,120,638 2,785,712
- Creative projects 6 512,473 27,874 89,672 630,019 785,162
- Cinema 6 642,072 22,529 - 664,601 839,128
- Redevelopment 6 - 738,911 - 738,911 738,911
Other – finance costs 6, 19 30 - - 30 -
--------------------- --------------------- --------------------- --------------------- ---------------------
Total expenditure 4,301,683 909,051 124,338 5,335,072 12,717,492
--------------------- --------------------- --------------------- --------------------- ---------------------
Net 870,162 (7,637) 2,940 865,465 (1,178,014)
(expenditure)/income
Actuarial gains / (losses) 18 (597,000) - - (597,000) 789,000
Transfers between funds 17 (263,954) 263,954 - - -
--------------------- --------------------- --------------------- --------------------- ---------------------
Net movement in funds 9,208 256,317 2,940 268,465 (389,014)
TOTAL FUNDS AT 1 17 - 3,024,905 30,000 3,054,905 3,443,919
APRIL 2020
======== ======== ======== ======== ==========
TOTAL FUNDS AT 28 17
MARCH 2021 9,208 3,281,222 32,940 3,323,370 3,054,905
======== ======== ======== ======== ==========

The group statement of financial activities has been prepared on the basis that all operations are continuing operations. The notes on pages 20 to 43 form part of these financial statements. A full comparative Statement of Financial Activities is included at note 23.

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NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

Company Registered Number: 07340192 Charity Registered Number: 1139034

GROUP BALANCE SHEET

AT 28 MARCH 2021

Total Total
2021 2020
Note £ £
FIXED ASSETS
Tangible assets 10 6,293,994 7,130,558
----------------- -----------------
6,293,994 7,130,558
CURRENT ASSETS
Stocks 12 28,675 48,465
Debtors 13 402,308 734,388
Cash at bank and in hand 2,650,889 1,026,839
----------------- -----------------
3,081,872 1,809,692
CREDITORS: Amounts falling due within one year 14 (3,934,497) (4,364,345)
----------------- -----------------
NET CURRENT ASSETS/(LIABILITIES) (852,625) (2,554,653)
Pension liability 18 (2,118,000) (1,521,000)
----------------- -----------------
NET ASSETS 17 3,323,370 3,054,905
======== ========
FUNDS OF THE CHARITY
Unrestricted funds - General 17 9,208 -
Designated funds 17 3,281,222 3,024,905
Restricted funds 17 32,940 30,000
----------------- -----------------
TOTAL FUNDS 17 3,323,370 3,054,905
======== =========

The surplus/deficit of the parent charity was £nil (2020: £nil).

The financial statements were approved by the board of directors on 1 December 2021 and signed on its behalf by:

S R Edmonds

Mr S R Edmonds Steve Edmonds (Dec 1, 2021, 8:17pm) Trustee

The notes on pages 20 to 43 form part of these financial statements.

17

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST Company Registered number: 07340192

Charity Registered number: 1139034

COMPANY BALANCE SHEET

AT 28 MARCH 2021

Total Total
2021 2020
Note £ £
FIXED ASSETS
Tangible assets 11 31,615 52,534
----------------- -----------------
31,615 52,534
CURRENT ASSETS
Debtors 13 123,332 44,710
Cash at bank and in hand 93,801 31,253
----------------- -----------------
217,133 75,963
CREDITORS: Amounts falling due within one year 14 (248,748) (128,497)
----------------- -----------------
NET CURRENT ASSETS/(LIABILITIES) (31,615) (52,534)
----------------- -----------------
NET ASSETS 17 - -
======== ========
FUNDS OF THE CHARITY
Unrestricted funds - General 18 - -
----------------- -----------------
TOTAL FUNDS 18 - -
======== ========

The financial statements were approved by the board of directors on by:

and signed on its behalf

S R Edmonds

Steve Edmonds (Dec 1, 2021, 8:17pm) Mr S R Edmonds Trustee

The notes on pages 20 to 43 form part of these financial statements.

18

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

GROUP CASH FLOW STATEMENT

FOR THE PERIOD ENDED 28 MARCH 2021

2021 2020
Note £ £
NET CASH PROVIDED BY OPERATING ACTIVITIES 21 1,744,429 611,539
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of fixed assets (120,379) (64,327)
----------------- -----------------
CHANGE IN CASH AND CASH EQUIVALENTS IN THE 1,624,050 547,212
REPORTING PERIOD
======== ========
Cash and cash equivalents at the beginning of the period 1,026,839 479,627
----------------- -----------------
Cash and cash equivalents at the end of the period 2,650,889 1,026,839
======== ========
Cash and cash equivalents consists of:
Cash at bank and in hand 2,650,889 1,026,839
----------------- -----------------
Cash and cash equivalents 2,650,889 1,026,839
======== ========

The notes on pages 20 to 43 form part of these financial statements.

19

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 28 MARCH 2021

1. ACCOUNTING POLICIES

Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2020) - (Charities SORP (FRS 102) – Second Edition, effective 1 January 2020), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Northamptonshire Arts Management Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).

In line with other comparable theatres and arts charities, the accounts have been prepared on a 52 week reporting basis, with comparatives on a 52 week basis.

Preparation of accounts on a going concern basis

The review of the group’s financial position, reserves levels, continued support from our principal supporters and future plans gives Trustees confidence the group of charities remains a going concern for the foreseeable future. Budgets and cash flow forecasts have been prepared and reviewed for 2021-22 and 2022-23 to support this opinion.

Trustees recognise the risk of a return of restrictions being placed on the industry due to the Covid-19 pandemic. They aim to mitigate this risk by proactively managing the resources available, including the setting of on-sale dates, scheduling of shows and utilising any funding available to the organisation including government support schemes. The trustees recognise the changing landscape and regular reviews are carried out by the group of charities ensure the risks are adequately mitigated.

Critical accounting judgements and estimates

In preparing these financial statements, management has made judgements, estimates and assumptions that affect the application of the charities accounting policies and the reported assets, liabilities, income and expenditure and the disclosures made in the financial statements. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The items in the financial statements where significant judgements and estimates have been made include:

(i) Tangible fixed assets which are depreciated over their useful lives, taking into account residual value where appropriate.

Group financial statements

The financial statements consolidate the results of the charity and its subsidiaries on a line-by-line basis. Details of the charity’s subsidiaries are set out in note 9. A separate Statement of Financial Activities and Income and Expenditure Account for the charity has not been presented because the charity has taken advantage of the exemption afforded by section 408 of the Companies Act 2006.

Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.

20

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 28 MARCH 2021

1. ACCOUNTING POLICIES (continued)

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 funds that are to be used in accordance with specific restrictions imposed by donors that have been raised by the charity for particular purposes.

The nature and purpose of each fund is described in note 17.

Income

Income primarily represents ticket sales and related fees for performances conducted in the period. Gift vouchers and tickets sold in advance are included in creditors as deferred income. Donations and legacies are included where there is entitlement, receipt is probable and the amount can be measured with sufficient reliability. Amounts due to the group in respect of the Theatre Tax Credit is included in the financial period to which the claim relates.

Grants

Grants are recognised where there is entitlement, receipt is probable and the amount can be measured with sufficient reliability. Such income is only deferred when:

Expenditure

Costs of raising funds are those costs incurred in trading activities that raise funds and the raising of sponsorship and donations within the Trust.

Charitable activities include expenditure associated with the staging of shows and cinema screenings and include both the direct costs and support costs relating to these activities. Charitable activities are reported across the following areas:

Redevelopment relates to work undertaken to redevelop the Royal & Derngate site funded from capital grants and donations. Costs charged against this area relate entirely to depreciation.

Irrecoverable VAT is included within the items of expense to which it relates. All costs related to presented and produced work are account for when the production ends.

Lease agreements

Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged against the Statement of Financial Activities on a straight line basis over the period of the lease. A significant part of the Royal & Derngate theatre occupied by the Northampton Theatre Trust Limited is provided on a rent free basis as part of Northampton Borough Council's overall support to the Trust. The premises occupied by the Corby Cube Theatre Trust are provided by Corby Borough Council on the basis of a peppercorn rent as part of the Council’s support to the Trust.

21

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

1. ACCOUNTING POLICIES (continued)

Rentals payable in respect of hire purchase agreements are apportioned between the finance element, which is charged to the Statement of Financial Activities on a straight line basis, and the capital element which reduced the outstanding obligation for future instalments. Where substantially all of the risks and rewards of leases are transferred to the charity, the lease is treated as a finance lease. The net book value of minimum lease payments is capitalised, with an equal and opposite creditor, and released over the term of the lease.

Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost, being purchase price, less accumulated depreciation. The charity’s policy is that assets are capitalised either if they are an individual asset with an initial cost greater than £1,000 or a collection of assets costing more than £250 each which collectively form a single asset.

Depreciation is provided on all tangible fixed assets at rates calculated to write off the cost or valuation, less estimated residual value, of each asset evenly over its expected useful life, as follows:

Long leasehold refurbishment - 5 to 20 years straight line
Short leasehold refurbishment - 5 to 10 years straight line
Motor vehicles - 4 years straight line
Technical equipment - 3 to 20 years straight line
Office equipment - 3 to 5 years straight line
Catering equipment - 3 to 5 years straight line

Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments, including trade and other debtors and creditors are initially recognised at transaction value and subsequently measured at their settlement value.

Stocks

Stock is valued at the lower of cost, being purchase price, and net realisable value, after making allowance due for obsolete and slow moving items.

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.

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.

Creditors and provisions

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.

22

N ORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

1. ACCOUNTING POLICIES (continued)

Pension costs

The group operates defined contribution pension schemes for employees. The assets of the scheme are held separately from those of group companies. The annual contributions payable are charged to the Statement of Financial Activities.

In addition, the group participates in a local government pension scheme. This closed to new members on 30 September 2008. The net liability of the scheme, as calculated by the actuary, is shown within the balance sheet. Actuarial gains and losses are reported in the Statement of Financial Activities, along with the current service cost and costs from settlements and curtailments. Further details are provided in note 18.

2. STATUS

Northamptonshire Arts Management Trust is a company limited by guarantee, registered in England and Wales at 19-21 Guildhall Road, Northampton NN1 1DP, and not having share capital.

3.

4.

GRANTS AND DONATIONS 2021 2020
£ £
Grants
Arts Council England 1,005,648 1,110,923
Arts Council England – capital 2,940 -
Arts Council England – Culture Recovery Fund 1,971,323 -
Arts Council England – Emergency Response Fund 438,017 -
Corby Borough Council 297,500 297,500
Covid Business Support Grants 121,964 -
Northampton Borough Council 731,776 331,776
CJRS income 1,288,022 23,976
Other grants 115,975 302,556
Donations 66,077 85,904
------------------- -------------------
6,039,242 2,152,635
========= ==========
INCOME FROM OTHER TRADING ACTIVITIES 2021 2020
£ £
Café income 69 74,300
Bar income 1,918 749,064
Other trading activities (confectionary, programmes) 2,170 314,384
---------------------- ----------------------
4,157 1,137,748
========== ==========

23

N ORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

5. INCOME FROM CHARITABLE ACTIVITIES 2021 2020
£ £
Ticket sales and auditorium fees 27,799 5,725,192
Theatre Tax Relief - 188,900
Cinema income 48,909 552,946
Touring and Co-Production Income (2,495) 282,863
Hire of facilities (250) 199,887
Recharges 2,834 728,348
Memberships and sponsorships 18,052 180,836
---------------------- ----------------------
94,849 7,858,972
========== ==========

6. ALLOCATION OF EXPENDITURE

Direct Overheads: Overheads: Support
Costs Staff Other Costs 2021
Costs costs
£ £ £ £ £
Cost of raising funds:
- Development 208 1,015 1,739 6,769 9,731
- Café & bar 47,558 118,963 7,641 275,488 449,650
Charitable activities:
- Presented work (3,327) 584,084 18,107 1,122,631 1,721,495
- Produced work 44,266 367,891 3,026 705,454 1,120,637
- Creative projects 73,615 125,377 - 431,028 630,020
- Cinema 39,102 89,707 117,418 418,374 664,601
- Redevelopment - - 738,911 - 738,911
Other – finance costs - - 30 - 30
-------------------- --------------------- ----------------- --------------------- ------------------------
201,422 1,287,037 86,872 2,959,744 5,335,075
========== ========= ======== ========== ===========

24

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

6. ALLOCATION OF EXPENDITURE (continued)

PRIOR YEAR COMPARATIVE

Direct Overheads: Overheads: Support
Costs Staff Other Costs 2020
Costs costs
£ £ £ £ £
Cost of raising funds:
- Development 1,063 22,652 6,600 15,072 45,387
- Café & bar 449,631 214,636 52,262 325,407 1,041,936
Charitable activities:
- Presented work 3,718,842 632,410 64,909 2,065,095 6,481,255
- Produced work 1,527,215 464,814 11,193 782,490 2,785,712
- Creative projects 340,833 131,912 - 312,417 785,162
- Cinema 428,284 158,037 - 252,806 839,127
- Redevelopment - - 738,911 - 738,911
Other – finance costs - - - - -
-------------------- --------------------- ----------------- --------------------- ------------------------
6,465,868 1,624,461 873,875 3,753,287 12,717,492
========== ========= ======== ========== ===========
2021 2020
£ £
Support costs consist of the following:
Marketing 61,548 520,052
Operations 256,749 321,680
Support services 2,142,898 2,456,493
Premises costs (cleaning, maintenance, utilities) 498,549 455,062
--------------------- ---------------------
2,959,744 3,753,287
========== ==========

Operations include front of house, box office and IT. Support service include management and administration, finance and human resources. Support costs have been allocated on the basis of estimated usage. Included within the costs above are governance costs of £116,483 (2020: £122,482)

7. NET MOVEMENT IN FUNDS 2021 2020
£ £
Auditors’ remuneration 21,250 27,400
Auditors’ non-audit fees 7,250 6,700
Depreciation of fixed assets 970,634 984,756
Operating lease rentals 169,276 97,786
(Profit)/Loss on disposal of fixed assets (13,690) -
======= ========

25

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

8. STAFF COSTS 2021 2020
£ £
Wages and salaries 2,554,356 3,434,437
Social security costs 180,324 233,421
Pension costs
-
Contribution to defined benefit pension scheme		 201,914 192,466
-
Contribution to defined contribution pension scheme		 50,008 61,988
--------------------- ---------------------
2,986,602 3,922,312
========== ==========

The average number of employees (including casual and part time staff) during the period was as follows:

2021 2020
Northamptonshire Arts Management Trust – management and 43 39
administration
Northampton Theatres Trust 140 181
Corby Cube Theatre Trust 17 17
-------------- ------------
200 237
======= ======

No remuneration was paid during the period to any member of the Board of Directors (2020: £nil).

During the period the Trust did not reimburse any expenses of the Board of Directors (2020: £nil).

The number of employees whose emoluments as defined for taxation purposes amounted to over £60,000 in the period was as follows:

2021 2020
Number Number
£60,000 – £70,000 1
£70,001 - £80,000 1
£80,001 - £90,000 1 1
======= ========

The aggregate remuneration paid to key management personnel in the period ended 28 March 2021 was £580,047 (2020: £406,696).

26

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

9. SUBSIDIARIES

At 28 March 2021, Northamptonshire Arts Management Trust had the following subsidiary undertakings:

Class of Directly Indirectly Company Nature of business
share capital number
Corby Cube Theatre N/A – Limited 100% - 07210297 Operation of theatre
Trust by guarantee
The Northampton N/A – Limited 100% - 03640915 Operation of theatres
Theatres Trust Limited by guarantee
Derngate
Enterprises		 Ordinary - 100% 02794900 Production of shows
Limited
- 100% 09755418 Licencing of
Northampton Theatres Ordinary a bar and café
Enterprises Limited

The Northampton Theatres Trust Limited and Corby Cube Theatre Trust are charitable companies limited by guarantee which have been consolidated on the basis that Northamptonshire Arts Management Trust is the sole member and exercises control over the companies.

The income, expenditure, assets and liabilities of each member of the group are summarised as follows:

Corby Cube Theatre Trust 2021 2020
£ £
Grants and donations 714,788 655,213
Other trading income - 92,966
Income from charitable activities 1,953 454,769
Other income 7,670 45,243
-------------- --------------
Total income 724,411 1,248,191
Expenditure on raising funds 62,971 130,861
Expenditure on charitable activities 601,541 1,190,562
-------------- --------------
Total expenditure 664,512 1,321,423
-------------- --------------
Net income/(expenditure) – unrestricted funds 16,341 (22,862)
Net income/(expenditure) – designated funds 41,818 (35,370)
Net income/(expenditure) – restricted funds 1,740 (15,000)
Net income/(expenditure) and net movement in funds 59,899 (73,232)
======= =======
Fixed assets 78,663 77,444
Current assets 255,045 121,388
Current liabilities (242,363) (167,386)
Reserves 91,345 31,446

27

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

9. SUBSIDIARIES (continued)
2021 2020
The Northampton Theatres Trust Limited £ £
Grants and donations 4,992,171 1,497,422
Other trading income 4,157 1,015,479
Income from charitable activities 82,896 7,205,303
Other income 54,619 344,880
---------------------- ----------------------
Total income 5,133,843 10,063,084
Expenditure on raising funds 334,417 928,434
Expenditure on charitable activities 3,986,722 10,250,706
----------------------- -----------------------
Total expenditure 4,321,139 11,179,141
---------------------- ----------------------
Net income/(expenditure) – unrestricted funds 837,348 (412,516)
Net income/(expenditure) – designated funds (25,843) (703,541)
Net income/(expenditure) – restricted funds 1,200 -
Total net income/(expenditure) 812,704 (1,116,057)
======== ========
Actuarial gain/(loss) (597,000) 789,000
------------------ ------------------
Net movement in funds 215,704 (327,057)
======== ========
Fixed assets 6,183,716 7,000,581
Current assets 2,649,411 1,578,734
Current liabilities (3,475,967) (4,034,860)
Long term liabilities - -
Pension scheme creditor (2,118,000) (1,521,000)
Reserves 3,239,161 3,023,457
Derngate Enterprises Limited 2021 2020
£ £
Turnover - 1,163,255
Cost of sales - (1,352,155)
--------------------- ---------------------
Gross loss - (188,900)
Administrative expenses (30) -
--------------------- ---------------------
Operating loss (30) (188,900)
Theatre Tax Relief - 188,900
--------------------- ---------------------
(Loss) / Profit on ordinary activities after taxation (30) -
========== ==========
Current assets 90 188,020
Current liabilities 120 188,019
Reserves (30) 1

28

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

9. SUBSIDIARIES (continued)

Northampton Theatres Enterprises Limited 2021 2020
£ £
Turnover 20,000 63,502
Cost of sales - -
-------------- --------------
Gross profit 20,000 63,502
Administrative expenses (27,078) (27,995)
Interest payable and expenses (31) (33)
-------------- --------------
Profit on ordinary activities after taxation 7,109 35,474
======= =======
Current assets 34,594 75,903
Current liabilities (41,702) (75,903)
Reserves (7,108) -

Transactions between members of the group:

Northamptonshire Arts Management Trust provides management services on behalf of its subsidiary charities. Costs are recharged to the subsidiaries on an agreed basis, generating no profit or loss in the parent charitable company. For the period ended 28 March 2021, costs of £1,023,047 were recharged to The Northampton Theatres Trust (2020: £1,240,768) and £244,146 were recharged to the Corby Cube Theatre Trust (2020: £302,864).

29

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

10. TANGIBLE FIXED ASSETS – Group

Short and Technical,
long catering
leasehold and office Motor
refurbishment equipment vehicles Total
£ £ £ £
Cost
At 30 March 2020 13,539,643 4,041,091 49,066 17,629,800
Additions 143,604 - 143,604
Disposals (23,225) (81,361) - (104,586)
--------------- ------------ -------------- ------------
At 28 March 2021 13,516,418 4,103,334 49,066 17,668,818
--------------- ------------ -------------- ------------
Depreciation
At 30 March 2020 8,331,445 2,118,731 49,066 10,499,242
Provided during the period 734,280 236,354 - 970,634
Disposals (23,225) (71,826) - (95,051)
--------------- ------------ -------------- ------------
At 28 March 2021 9,042,500 2,283,259 49,066 11,374,825
--------------- ------------ -------------- ------------
Net book value
At 28 March 2021 4,473,918 1,820,076 - 6,293,994
======= ====== ======= ======
At 30 March 2020 5,208,198 1,922,360 - 7,130,558
======= ====== ======= ======

The Corby Cube Theatre Trust occupies the Corby Cube premises on a rolling licence to occupy. However, the trustees anticipate that the lease will be renewed for the foreseeable future. The estimated useful lives of the assets held by the Trust have been determined on this basis. Consequently, the trustees consider the carrying value of assets held by Corby Cube Theatre Trust of £78,663 (2020: £77,444) to be appropriate.

30

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE PERIOD ENDED 28 MARCH 2021

11. TANGIBLE FIXED ASSETS – Company

Technical,
catering and
office
equipment Total
£ £
Cost
At 30 March 2020 99,476 99,476
Additions 317 317
Disposals (12,671) (12,671)
-------------- --------------
At 28 March 2021 87,122 87,122
-------------- --------------
Depreciation
At 30 March 2020 46,942 46,942
Provided during the period 21,236 21,236
Disposals (12,671) (12,671)
-------------- --------------
At 28 March 2021 55,507 55,507
-------------- --------------
Net book value
At 28 March 2021 31,615 31,615
======= =======
At 30 March 2020 52,534 52,534
======= =======
12. STOCK Group Company
2021 2020 2021 2020
£ £ £ £
Carrying value as at 28 MARCH 2021 28,675 48,465 - -
------------- ------------- -------------- ------------
28,675 48,465 - -
====== ====== ======= ======
13. DEBTORS Group Company
2021 2020 2021 2020
£ £ £ £
Amounts owed by group undertakings - - 66,274 4,656
Trade debtors 40,322 232,712 - -
Other debtors 25,448 235,201 5,958 -
Prepayments and accrued income 336,538 266,475 51,099 37,909
------------- ------------- -------------- --------------
402,308 734,388 123,331 44,710
====== ====== ======= =======

31

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

14. CREDITORS: amounts falling due Group Group Company Company
within one year 2021 2020 2021 2020
£ £ £ £
Amounts owed to group undertakings - - - -
Trade creditors 309,752 268,000 88,690 38,153
Other taxes and social security 126,525 178,299 13,375 20,573
Other creditors 561,429 1,337,227 2,084 2,410
Accruals and deferred income 713,227 532,325 144,599 67,360
Advance ticket income 2,223,564 2,048,494 - -
--------------------- --------------------- --------------------- ---------------------
3,934,497 4,364,345 248,748 128,497
========== ========== ========== ==========

Advance ticket income represents income deferred for shows and screenings which had not occurred by the end of the period end of 28 March 2021.

15. RELATED PARTY TRANSACTIONS

Transactions between group companies are set out in note 9.

Details of key management remuneration is included in note 8.

There were no other related party transactions in the periods ended 28 March 2021 or 29 March 2020.

32

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

16. ANALYSIS OF NET ASSETS
BETWEEN FUNDS - GROUP Unrestricted
Funds - Designated Restricted Total
General Funds Funds 2021
£ £ £ £
Group
Fixed assets 1,203,394 5,090,600 - 6,293,994
Current assets 1,542,130 966,614 573,127 3,081,871
Current liabilities (618,319) (2,775,992) (540,187) (3,934,498)
Pension liabilities (2,118,000) - - (2,118,000)
------------------ --------------------- ------------------- ---------------------
9,205 3,281,222 32,940 3,323,367
======== ========== ======== ==========
PRIOR YEAR COMPARATIVE Unrestricted
Funds - Designated Restricted Total
General Funds Funds 2020
£ £ £ £
Group
Fixed assets 1,443,291 5,687,267 - 7,130,558
Current assets 1,213,254 - 596,438 1,809,692
Current liabilities (1,135,545) (2,662,362) (566,438) (4,364,345)
Pension liabilities (1,521,000) - - (1,521,000)
------------------ --------------------- ------------------- ---------------------
- 3,024,905 30,000 3,054,905
========= ========== ======== ==========

33

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

16. ANALYSIS OF NET ASSETS
BETWEEN FUNDS (continued) -
COMPANY Unrestricted
Funds - Designated Restricted Total
General Funds Funds 2021
£ £ £ £
Company
Fixed assets 31,615 - - 31,615
Current assets 217,133 - - 217,133
Current liabilities (248,748) - - (248,748)
------------- ------------ -------------- -------------
- - - -
====== ====== ======= ======
PRIOR YEAR COMPARATIVE Unrestricted
Funds - Designated Restricted Total
General Funds Funds 2020
£ £ £ £
Company
Fixed assets 52,534 - - 52,534
Current assets 75,962 - - 75,962
Current liabilities (128,497) - - (52,534)
------------- ------------ -------------- -------------
- - - -
====== ====== ======= ======

34

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

17. MOVEMENT OF FUNDS IN THE PERIOD

Desired Desired
balance at 30 balance at 28
Balance at March Actuarial March Balance at
30 March 2020 under Gains/ 2021 under 28 March
2020 Transfers Trust policy Income Expenditure (losses) Trust policy Transfers 2021
£ £ £ £ £ £ £ £
Unrestricted funds –
General - (3,451,362) (3,451,361) 5,171,847 (4,301,685) (597,000) (3,178,199) 3,187,407 9,208
Designated Funds 3,024,905 3,451,362 6,476,266 901,412 (909,052) - 6,468,629 (3,187,407) 3,281,222
Restricted Funds 30,000 - 30,000 127,278 (124,338) - 32,940 - 32,940
----------------------- ----------------------- ----------------------- ----------------------- ----------------------- ----------------------- ----------------------- ----------------------- -----------------------
3,054,905 - 3,054,905 6,200,537 (5,335,075) (597,000) 3,323,370 - 3,323,370
========== ========== ========== ========== ========== ========== ========== ========== ==========
PRIOR YEAR COMPARATIVE
Balance at 1 Desired Expenditure Desired Balance at
April Transfers balance at 1 Income Actuarial balance at 29 29 March
2019 April Gains/ March Transfers 2020
2020 under (losses) 2020 under
Trust policy Trust policy
£ £ £ £ £ £ £ £
Unrestricted funds –
General (11,274) (3,015,984) (3,027,258) 11,080,558 (11,504,661) 789,000 (2,662,361) 2,662,361 -
Designated Funds 3,410,193 3,015,984 6,426,177 - (738,911) - 5,014,082 (2,662,361) 3,024,905
Restricted Funds 45,000 - 45,000 458,920 (473,920) - 30,000 - 30,000
----------------------- ----------------------- ----------------------- ----------------------- ----------------------- ----------------------- ----------------------- ----------------------- -----------------------
3,443,919 - 3,443,919 11,539,478 (12,717,492) 789,000 3,054,905 - 3,054,905
========== ========== ========== ========== ========== ========== ========== ========== ==========

35

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

17. MOVEMENT OF FUNDS IN THE PERIOD (Continued)

EXPLANATION OF FUNDS AND TRANSFERS

Restricted funds

Restricted funds received by Northampton Theatres Trust in the period represent the following:

Restricted funds received by Corby Cube Theatre Trust in the period represent the following:

Designated funds

Designated funds represent the intentions of the trustees to build up a designated fund to reflect the value of assets acquired with restricted funding. The policy of the charity is to reflect the full value of such assets in a designated fund, which at 28 March 2021 would be £6,468,626 (2020: £5,687,266). As this would lead to a negative general fund balance, a transfer has been made in order to designate the maximum amount available to designate towards this aim. This is calculated as follows:

36

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

17. MOVEMENT OF FUNDS IN THE PERIOD (Continued)

£
Opening designated fund desired under Trust policy 6,476,266
Designated income 901,412
Designated expenditure (909,052)
-----------------------
Intended level of designated fund 6,468,626
Transfer to unrestricted funds (3,187,404)
-----------------------
Designated funds at 28 March 2021 3,281,222
==========

In certain instances, the assets held as part of this fund must be held by the Trust for a certain period of time. However, it is the view of the trustees that the assets are not restricted at the point of purchase because the Trust intends to continue in operation for the foreseeable future and in doing so the trustees intend to use the assets for the purposes set out in the relevant funding agreements.

37

FOR THE PERIOD ENDED 28 MARCH 2021

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

18. PENSION COMMITMENTS

The charitable company is a participating member in the Northamptonshire County Council Superannuation fund. The assets of the scheme are administered by the pension fund Trustees in a fund independent from the funds of the charitable company. Of the total contributions to the scheme for the period ended 28 March 2021, approximately £75,000 (2020: £110,000) were borne by the parent charity, Northamptonshire Arts Management Trust.

Pension costs are assessed in accordance with the advance of a qualified actuary using the projected unit method. The most recent actuarial valuation of the scheme was at 28 March 2021. The actuary has estimated that projected contributions by the Trust will be £150,000 for the year ending 28 March 2021 (2020: £192,500).

The actuary has prepared their annual report up to 31 March 2021. The trustees took into consideration the possible impact of the difference in position between the reported date of 31 March 2021 and the accounting period end of 28 March 2021. They were satisfied that the impact is immaterial and have therefore concluded that it was appropriate to incorporate the position and movement per the actuary’s report as at 31 March 2021. In the prior year, the date of the report and the period end date are aligned.

The principal actuarial assumptions used by the actuary were as follows:

2021 2020
Discount rate 2.0% 2.3%
Rate of increase in pensionable salaries 3.35% 2.4%
Rate of increase in payments 2.85% 1.9%
Life expectancy: current male pensioners who 21.7 years 21.5 years
have reached pensionable age
Life expectancy: current female pensioners who 24.1 years 23.7 years
have reached pensionable age
Life expectancy: future male pensioners who 22.8 years 22.3 years
have reached pensionable age
Life expectancy: future female pensioners who 25.8 years 25.1 years
have reached pensionable age

The amounts (credited) or charged in the Statement of Financial Activities were as follows:

2021 2020
£’000 £’000
Actuarial (gain)/loss 597 (789)
(Credit)/charge within net income - -
-------------- --------------
597 (789)
======= =======

38

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

18. PENSION COMMITMENTS (Continued)

The changes in the fair value of plan assets were as follows:

2021 2020
£’000 £’000
Fair value of plan assets at 31 March 2020 5,915 6,249
Interest income on plan assets 135 151
Employees contributions 14 20
Employers contributions 150 192
Benefits paid (266) (160)
Return on assets excluding amounts included in net 1,405 (537)
interest
-------------- --------------
Fair value of plan assets at 31 March 2021 7,353 5,915
======= =======

The changes in the fair - value of plan liabilities were as follows:

2021 2020
£’000 £’000
Fair value of plan liabilities at 31 March 2020 7,436 8,559
Current service cost 104 132
Interest cost on defined benefit obligation 169 206
Employees contributions 14 20
Benefits paid (266) (160)
Changes in demographic assumptions 108 (272)
Changes in financial assumptions 1,992 (731)
Other experience (86) (318)
-------------- --------------
Fair value of plan liabilities at 31 March 2021 9,471 7,436
======= =======

The fair value of the plan assets and liabilities as at 28 March 2021 are as follows:

2021 2020
£’000 £’000
Fair value of plan assets 7,353 5,915
Fair value of plan liabilities (9,471) (7,436)
-------------- --------------
(2,118) (1,521)
======= =======

39

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

18. PENSION COMMITMENTS (Continued)

The major categories of plan assets as a percentage of plan assets were as follows:

2021 2020
Equities 70% 66%
Bonds 17% 18%
Property 12% 14%
Cash 1% 2%

The Trustees agreed to close the scheme to new members after 30 April 2008.

Defined contribution schemes

The charitable company began contributing to the Equity Pension Scheme (EPS) for actors and stage managers employed on short term contracts from April 2006. The charitable company contributes 3% of the actors fee if the person concerned is a member of the EPS, which is a Personal Pension approved under Chapter IV Part XIV Income & Corporation Taxes Act 1988. The charitable company also operates a Group Personal Pension Plan with Scottish Widows, administered by Johnson Fleming, which has replaced the defined benefit scheme with effect from 1 May 2008.

40

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

19. FINANCIAL COMMITMENTS

At the period end, the Group had total commitments under non-cancellable operating leases as follows:

Group Other Land and buildings
2021 2020 2021 2020
£ £ £ £
In one year or less 12,952 15,395 113,437 60,680
Between one and five year 37,212 - 399,456 144,540
======= ====== ======= ======
Charity Other Land and buildings
2021 2020 2021 2020
£ £ £ £
In one year or less 2,669 935 - -
Between one and five year 2,517 1,027 - -
======= ====== ======= ======

In the period ended 28 March 2021, operating lease payments of £169,276 were charged to expenses in the consolidated Statement of Financial Activities (2020: £106,045). In the period ended 28 March 2021, operating lease payments of £5,050 were charged to expenses in the charity Statement of Financial Activities (2020: £935).

A significant part of the Royal & Derngate theatre occupied by the Northampton Theatre Trust Limited is provided on a rent free basis as part of Northampton Borough Council's overall support to the Trust. The premises occupied by the Corby Cube Theatre Trust are provided by Corby Borough Council on the basis of a peppercorn rent as part of the Council’s support to the Trust.

20. CAPITAL COMMITMENTS

There were capital commitments at 28 March 2021 of £nil. The total commitment at the 2020 period end was £nil.

21. NET CASH INFLOW FROM OPERATING ACTIVITIES 2021 2020
£ £
Net movement in funds 268,462 (389,014)
Depreciation 970,634 984,757
(Profit)/loss on disposal of fixed assets (13,690) -
Decrease/(increase) in debtors 332,080 182,422
(Decrease)/increase in creditors (excluding overdraft) (429,847) 616,515
Decrease/(increase) in stock 19,790 5,860
Movement in pension liability 597,000 (789,000)
------------------ ------------------
1,744,429 611,539
========= =========

41

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

22. CONTROL

The controlling party is the Board of Trustees, representing the company’s members.

42

NORTHAMPTONSHIRE ARTS MANAGEMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

FOR THE PERIOD ENDED 28 MARCH 2021

23. COMPARATIVE GROUP STATEMENT OF FINANCIAL ACTIVITIES (PERIOD ENDED 29 March 2020)

The purpose of the note below is to show the fund-by-fund comparatives included in the group Statement of Financial Activities.

Unrestricted Designated Restricted Total
Funds - Funds Funds 2020
General
Note £ £ £ £
INCOME FROM
Grants and donations 3 1,693,715 - 458,920 2,152,635
Other trading activities 4 1,137,748 - - 1,137,748
Charitable activities 5 7,858,972 - - 7,858,972
Other income 390,123 - - 390,123
----------------- ----------------- ----------------- -----------------
Total income 11,080,558 - 458,920 11,539,478
----------------- ----------------- ----------------- -----------------
EXPENDITURE ON
Raising funds 6 1,087,324 - - 1,087,324
Charitable activities
- Presented work 6 6,481,255 - - 6,481,255
- Produced work 6 2,612,267 - 173,445 2,785,712
- Creative projects 6 488,287 - 296,875 785,162
- Cinema 6 835,528 - 3,600 839,128
- Redevelopment 6 - 738,911 - 738,911
Other – finance costs 6, 19 - - - -
----------------- ----------------- ----------------- -----------------
Total expenditure 11,504,661 738,911 473,920 12,717,492
----------------- ----------------- ----------------- -----------------
Net (424,103) (738,911) (15,000) (1,178,014)
(expenditure)/income
Actuarial gains / (losses) 19 789,000 - - 789,000
Transfers between funds 18 (353,623) 353,623 - -
----------------- ----------------- ----------------- -----------------
Net movement in funds 11,274 (385,288) (15,000) (389,014)
TOTAL FUNDS AT 1 18 (11,274) 3,410,193 45,000 3,443,919
APRIL 2019
======== ======== ======== ========
TOTAL FUNDS AT 29 18 - 3,024,905 30,000 3,054,905
MARCH 2020
======== ======== ======== ========

43

Issuer

Issuer Northamptonshire Arts Management Trust Document generated Wed, 1st Dec 2021 19:35:52 UTC Document fingerprint 6d2414d77ad0a4108c0b037e073c8c42

Parties involved with this document

Document processed

Party + Fingerprint

Wed, 1st Dec 2021 20:17:49 UTC Steve Edmonds - Signer (17a4ce656df990494c24cbb659b7228b)

Audit history log

Date

Action

Wed, 1st Dec 2021 20:17:49 UTC Wed, 1st Dec 2021 20:17:49 UTC Wed, 1st Dec 2021 20:15:11 UTC Wed, 1st Dec 2021 20:15:05 UTC Wed, 1st Dec 2021 19:37:02 UTC Wed, 1st Dec 2021 19:37:02 UTC

Wed, 1st Dec 2021 20:17:49 UTC The envelope has been signed by all parties. (86.129.127.136) Wed, 1st Dec 2021 20:17:49 UTC Steve Edmonds signed the envelope. (86.129.127.136) Wed, 1st Dec 2021 20:15:11 UTC Steve Edmonds viewed the envelope. (86.129.127.136) Wed, 1st Dec 2021 20:15:05 UTC Steve Edmonds opened the document email. (104.28.89.56) Wed, 1st Dec 2021 19:37:02 UTC Document emailed to stephen.r.edmonds@btinternet.com (18.169.170.72) Wed, 1st Dec 2021 19:37:02 UTC Sent the envelope to Steve Edmonds (stephen.r.edmonds@btinternet.com) for signing. (151.228.202.123) Wed, 1st Dec 2021 19:36:23 UTC Steve Edmonds has been assigned to this envelope (151.228.202.123) Wed, 1st Dec 2021 19:36:03 UTC Document generated with fingerprint 6d2414d77ad0a4108c0b037e073c8c42 (151.228.202.123) Wed, 1st Dec 2021 19:35:58 UTC Document generated with fingerprint 85a9da7522393970daba4de87971d92f (151.228.202.123) Wed, 1st Dec 2021 19:35:52 UTC Envelope generated by Stephen Watkins (151.228.202.123)