COMPANY REGISTRATION NUM8ER: 04456338 CHARITY REGISTRATION NUMBER: 1143920 Design Midlands Limited Company Limited by Guarantee Unaudited Financial Statements 31 March 2025 ANTHON MARLOW Chartered Certified Accountants 6 Clinion Avenue Nottingham NG5 1AW 'AE83UHRS* OW08r2025 COMPANIES HOUSE A18 Design Midlands Limited Company Limited by Guarantee Financlal Stataments Year ended 31 March 2025 Page Trustees, annual report (incorporating the directoi's report) Independent examinefs report to the trustees ststement of financial activities (including income and expenditure account) Statement of financial position Notes to the financial statements Design Midlands Limited Company Limited by Guarantee Trustees, Annual Report (Incorporating the Director's Report) Year ended 31 March 2025 The Irustees. who are also the directors for the purposes of company law. present their report and the ungudiled financial ststemants of the charlty for the ￿ar ended 31 March 2025. Reference and administrative details Registered charity name Design Midlands Limited Charity registration number 1143920 Company iegi8tratlon number 04456338 Princlpal ofllce and registered offlce South Annex PERA Business Park Nottingham Road Mellon Mowbray Leicestershlre LE13 OPB The tiu8teo8 Mr G Hunt Mr J Fairfax Ms L Richard5 Mr P Watson Ms A Reeve Mr S Stoney Ms S Bradley Mr A L8thbury Mr O Spicer (Appointed 3 March 202S1 Company secretary Mr JA Walker Independent examiner Anthon Marltyw 6 Clinton Avenue Nottingham NGS 1AW Structure, governance and management Design Midlands Limrted is a company limited by guarantee with charltable status governed by its memorandum and articles of association. Design Midlands Limlted Company Limited by Guarantee Trustees. Annual Report (Incorporating the Director's Report) (¢vnthiiuedJ Year ended 31 March 2025 ObJectlve$ and actlvltl•s The objectives of Deslgn:Midlands (D:M) are: "to enable high standards ol design and architecture in the buiFt and living environment "deliver education and training lo all involved in such creative activities- '5UPPOrt other charitable projects and initiatives for community benefit in the Midlands. As a charity, we are independent and impartial, advising on the highest quality of design and place making. promoting besl practice, aiming to deliver the art of the possible. Over the past sixteen years, the charty has built up a good track record and profile, developing strong partnerships and networks across all seclors Our 2025 Prospectus is available on our internet site at www.designmidlands.org. Design Midlands Limited Company Limited by Guarantee Trustees. Annual Report (Incorporating the Director's Report) Iconllnyedj Year ended 31 March 2025 Strategic report We believe in the importance of creatin9 suslainable places wheTe people wanl to live, work and socialise. The following five core sections form the strategic overview of the charity.. 1. D'.M facilitates the Midlands Design Review Panel - a unique group of experts in the built and natural environment. It manages the recruitment and appointment of independent placemaking specialists that bring support and guidance to the delivery of development schemes within the planning system. 2. Building for a Heallhy Lrfe {8HL)', DeS￿n Midlands is the registered assessor for 8HL in the Midlands The 8HL framework is both a negotiation tool and a functlonal measure of how a housing scherne performs to 12 considerations relating lo neighbourhoods, character and distinctiveness. green and blue infrastructu￿. and streets. 3. Design Midlands can engage with communities lo offer expert advis% on the National Model Design Code and enabling. 4. Al the point that the Local Plannlng Authority wishes to engage wilh site promoters on ils emerging key srtes 811ocations, an independent D'.M Design Review Panel reviews the site's apacity lo deliver housing and other associaled infrastructure. 5. Design Midlands has a range of Panel experts who assisl in the promotion of active travel and how that translates into the streets and spar2s we want lo live in. Key Associates.. Julie Tanner - Associate.. Chtel Executive,. Angus Walker - Associale.. Company Secretary., Dharmista Patel - Associate: Design Support Services,. Meredith Evans - Associate.. Design Support Services. Jo Wlddecombe - Associate.. Planning and Learning Design Midlands Limited Company Limited by Guarantee Trustees. Annu31 Report (Incorporating the Directorfs Report) feanllnu•rt) Year ended 31 March 2025 Achievements and performance a. Perfonnance The total turnover of the charity for the year has significantly increased from £221 k to £300k, despite challenging economic conditions. The financial strategy continued lo be the diversification income sources. Funds V￿re received from individual local and public authorities for specific neighbourhood and community projects. The private sector support has replaced government grants through increased contributions to design reviews. There has been a continued focus of resources on organisational change and m8rketing. In November 2024 the trustees undertook a detailed reV￿W of the charrty's Se￿iceS and performance crlteria. Total expenditure increased from £217k to £300k resulting in sustained unreslricted fvnds of £40k. All financial and operational risks are reviewed by the board bi-monthly. FSnanclal revlew a. Reser￿8$ The free reserves posltion at ttte year-end remained consistent at £40k, This remains above the minimum level set by Irustees enabling contlnued investment in new products and sérvices. Plan$ lor future periods 1. Project Management of new initiatives throughout England, on behalf of Homes England. on the assessmenl and ulilisation of public land for new housing developments. 2. Develop opportuntties and expertise in each of the 5 core strategic areas. 3, Promote the profile of the charity Ihroughoul the English Midlands. 4. Use links with simllar charities in other reglons, through the Deslgn Network, lo advocate changes to national planning policies. 5. To respond. at local and reglonal levels. to changing governmental housing strategies Design Midlands Limited Company Limited by Guarantee Trustees. Annual Report Ilncorporating the Director's Report> {con¢lni Year ended 31 March 2025 The trustees, annual report and the strategic report were approved on 22nd May 2025 and ned on behalf of the board of trustees by: Ms A Reev8 Trustee Design Midlands Llmited Company Limltod by Guarantee Independent Examiner's Report to the Trustees of Design Midlands Llmited Year ended 31 March 2025 I report to thg tiust8es on my examination of the financial statements of Design Midlands Limited {Ihe charty,) for the year ended 31 March 2025. Responslbllities and basls of report The trustees are also Ihe directors of the company for the purposes of company law are responsible for the preparation of the financial statements. The truslees consider that an audit is not required for this year under section 144<2) of the Chafilies Act 2011 (the 2011 Act) and that an independenl examination is needed. l am qualified to undertake the examination by being a qualified mernber of the Association of Chartered Certified Accountants. Independent exarnlnef• ststement Since the charity's gross income exceeded £250.000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that l am qualified to undertake the examination bec8use l am a member of the Associatlon of Chartered Certffied AccounLqnts. which is one of the listed bodies. I have completed my examination. I confirm that no matters have come to my attentlon in.. connection with the examination giving me cause to believe: accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act, or the financial statements do not accord with Ihose records: or Ihe financial statements do not comply with the accounting requirements of section 398 of the 2006 Act other than any requirement thal the accounts give a Irue and fair, vlew which Is not a matter considered as part of an independent examination: or the financial statements have not been prepared In accordance with the methods and principles of the Statement of Recommended Practice for arxounting and reporting by charitles applicable lo charities preparing their accounts in accordance with the Financial Reporting Standard appllcable In the UK and Republic of Ireland {FRS 102). I have no concerns and have corne across no other matters in connection with the examinalion to which ttention should be drawn in Ihis report in order to enable a proper understanding of Ih ccounts to be reached. Anthon Ma ow Independ ntEx mine 6 Clinton Avenue Notti NG5 1AW 218tMay 2025 Design Midlands Limited Company Limited by Guarantee Statement of Flnancial Activities (including income and expenditure account) Year ended 31 March 2025 2025 Unrestricted funds Total funds Total funds 2024 Note Income and endowments Donations and legacies Total Income 299,895 299.895 299.895 299,895 220,9)6 220,906 Expendfture Expendrture on charitable activities Total expenditure 6,7 {300,034> (300.034) {217,072) (300,034) (300.0341 <217,0721 N•t {expenditure)Ilncome and net movement In funds <139) {139 3,834 Reconclliation of lunds Total fijnds brought fO￿ard Total funds carrl•d l¢rwafd 40,170 40,031 40,170 40,031 36,336 40,170 The statement of financial actlvitles Includes all galns and losses recognised in the year. All income and expenditure derive from continuing actlvlties. Thg noles on page8 9 to 14 f•mi part ol th•$0 financial 8tstements. Deslgn Midlands Limited Company Limited by Guarantee Statement of Financial Position 31 March 2025 2025 2024 Not• Current assets Debtors Cash at bank and in hand 11 83.628 2.045 85,673 61,996 27.234 89.230 Credltors: amounts falllng due wlthln one year N•t current a55ets 12 45,642 49,060 40.170 40,031 40,031 40,031 Totsi 4gsel$ less current114bllltle$ 40,170 40,170 Net assets Funds of the ¢harlty Unreslricted funds 40.031 40,031 40.170 40.170 Total charlty funds 13 For the year ending 31 March 2025 the charity was entitled lo exempts'on from audit under section 477 of the Companies Acl 2008 relating to small companies. Directors, responsibilities.. The members have not required the company to oblain an audit of ils financial 8tatement8 for Ihe year in question In accordance with section 476; The directors acknowledge their responsibilities lor complying wlth the requirements of the Act with respect to accounting records and the preparation of financial slalements. These financlal statements have been prepared in accordance with the provisions applicablo to ¢ompanles subject to the small companies, regirne. These financial statements were approved by the board of Irustees and authorised for issue on 22nd May 2025, and are signed on behalf of the board by: M5 A Reeve Trustee The notH on pages 9 t• 14 fomi part ol thw finanelal stat¢ments. Design Midlands Limited Company Limited by Guarantee Notes to the Financial Statements Year ended 31 March 2025 General informatFon The charity is a public benefft entty and a private company limited by guarantee. Tegistered in England and Wales and a registered charity in England and Wales. The address of the registered office is South Annex, PERA Business Park. Nottingham Road, Mellon Mowbray, Leicestershire, LE13 OP8. Statement ol compllance These financial statements have been prepared in compliance wrth FRS 102. 'The Financial Reporting Slandard appli¢able in the UK and the Republic of Ireland., the Statement of Recommended Practice applicable to charities preparing thelf accounts in accordance with the Financial Reportlng Standard applicable in the UK and Republic of Ireland {FRS 102) (Charities SORP (FRS 102)) and the Companies Act 2006. 3. Accounting pollcies 8a818 of prepafatlon The financial statements have been prepared on the historical cost basis, as modified by the revaluation of cerialn financial assets and liabilities and investment propertles measured at fair value thrO￿h income or expenditure. The financial statements are prepared In sterling, which is the functional currency of Ihe entity. Golng concern There are no materlal uncertainties about th• charity's abilty to continue. Dlsclosufe exemptions (a) No cash flow statement has been presented for the company. Judgements •nd k•y source• of e8tlmatlon uncertalnty The preparation of the financial statements requires management to make judgements, èstimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and Other factors, Including expectations of future evenls thal are believed to be reasonable under the clrcum8tances. Design Midlands Limited Company Llmlted by Guarantee Notes to Ihe Financial Statements i¢ontlnu¢O) Year ended 31 March 2025 Accounllng pollcles (¢oniinu•d) Fund accountlng Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes. Designated funds are unfestricted funds eamiarked by the trustees for particular future project or commitment. Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of trNo sub-¢lasses.' restricted income funds or endowment funds. Incomlng resources All incoming resources are included in the statement of financial actlvitEs when entitlement has passed to the charity; it 15 probable that the economic benefits associated with the transaction wlll flow to the charity and the amounl can be reliably measured. The following specific policies are applied to particular categories of income.. income from donations or grants 18 recognised when there 18 evtdence of entitlement to th8 grft, recelpt is probable and its amount can be measured rellably. legacy income is recognised when receipt is probable and entFtlement is established. income from donated goods Is measured al the lalr value of the goods unless this is Impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Oonated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contrlbution of general volunteers. income from conlracts lor the supply of seNices Is recognised with the delivery Of the contracted ser¥ice. Thls is classrfied as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and feturned rf unspent. in which case it may be regarded as reslricted. -10- Design Midlands Limited Company Llmlted by Guarantee Notes to the Financial Statements (¢+￿d￿￿e0} Year ended 31 March 2026 Accountlng pollclgs (co•Klnu•#) Resources expended Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure indude5 any VAT which cannot be fully recoVe￿d, and is classified under headings of the statement of financial activities to which it relates: expenditure on faising funds includes the cosls of all fundraising activities, events. non-charitable trading acttvities, and the sale of donated goods. expendilure on charltable activities includes all cost5 incurred by a charlty In undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs arKI costs relating to the governance of the chafity apportioned to charitsble actlvities. other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of ils expendrture on charrtable activllies. All costs are allocated lo expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly lo that activity. Shared costs are apportioned belween the activltles they conlribute to on a reasonable, justifiable and consistent basis. Financlal Instruments A financial asset or a financial liabllity is reeognlsed only when the charity becomes a paty to the contractual provisions of the instrument. Basic financial instruments are initially recogni5ed at the amount receivable or payable including any felated transaction costs. Current assets and current liabillties are subsequently measured at Ihe cash or other consideration expected to be paid or received 8nd not discounted. Debt instrurnents are subsequently rneasured at amortised cosl. Where Investments in shares are publicly traded or their fair value Can olhepNise be measured reliably. the investmenl Is subsequently measured at fair value wrth changes in fair value recognised in income and expenditure. All other such investriienls are subsequently measured at cost less impairment. Olher financial instruments, including derivatives. are initialty ￿ognISed at fair value, unless payment for an asset is deferred beyond norrnal business terms or financed at a rate of inlerest that is not a market Tate, in which case the asset Is measured at the present value of the future payments discounted at a market rate of intefest for a similar debt inslrument. Other financial instruments are subsequently measured at fair value. with any changes recognised in the statement of financial actNlties. wilh the exception of hedgin9 instruments in a designated hedging relationship. 11 Design Midlands Limited Company Limited by Guarantee Notes to the Flnancial Statements icontlnu•rfJ Year ended 31 March 2025 Accounting policies feoft&nu Flnancial instruments (conllnu•d) Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objedive evidence of impairment. an impairrnent loss is recognised under the appropriate heading in the statement of financial activities in which the initial gain was recognised. For all equity instruments regardless of significance. and olher financial assets thal are individually signifieAnt. these are assessed Individually for Impairment. Other financial assets are either assessed individualty or giouped on the basis of similar credit risk Characteristics. Any reversals of impairment are recognised immediately, lo the extenl that the revefsal does not result in a carrying Amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised. Limlted by guarantee The compary is a limited by guarantee with members being required to contribute an amount not exceedin9 £1 in the event of the company being wound up. Donatlonl and legacl•s Unrestrided Total Funds Unrestricted Total Funds Funds 2025 Funds 2024 Donatlon8 Dèvelopment conlributions 299,895 299,896 220.906 220,906 Expendlture on ¢harltabl• actlviti¢$ by fund type Unrestrlcted Total Fund8 Unrestricted Total Funds Funds 2026 Funds 2024 Design reviews Project cosls Associate costs Support costs 99,572 183,961 12.638 3.863 99,672 183,981 12,638 3,863 300,034 71,162 136.835 6.290 2.785 71.162 136,835 6,290 2.785 217.072 300,034 217,072 -12- Design Midlands Llmited Company Limited by Guarantee Notes to the Financial Statements (conithuvdj Y•ar ended 31 March 2025 Expenditure on charltable actlvltles by activlty type Aclivrtres undertaken directly Support Total funds Total fund costs 2026 2024 Design ieviews Project costs Associate costs Governance costs 99,572 183,961 12,638 99,572 183,961 12,638 3.863 300.034 71,162 136,835 6,290 2,785 217,072 3.863 296,171 3.863 Independent examinatlon lees 2025 2024 Fees payable to the independent examiner for.. Independent examination of Ihe financial statements 1.110 1,040 9. Staff Costs The average head count of employees during the year was Nil12024: NII). No salaries or wages have been paid during the year. No employee received employee benefrts of more than £60.000 during the year {2024". Nil). 10. Trustoe remuneratlon and •xpen$e• No remuneration or other benefits from employment with the charity or a related entity were received by the trustees, 11. Debtors 2025 2024 Other debtors 83,628 61,996 Other debtors includes amounts due from Design review contributions. -13- Design Midlands Limited Company Limited by Guarantee Notes to the Financial Statements feontlnii Year ended 31 March 2025 12. Credlto(8: amounts falling due wlthln one year 2025 2024 Trade creditors AGcruals and deferred income Other creditors 44,512 1,130 31,458 1,130 16,472 49,060 45,642 13. Analysis ol charitable funds Unrestrlcted funds At 1 April 2024 At Income Expenditure 31 March 2025 General funds 40,170 299,895 (300,034) 40,031 Al 1 April 2023 At Income Expenditure 31 March 2024 General funds 36,336 220,906 (217,072) 40,170 14. Analysis of net assets ￿tween funds Unreslricted fotal Funds Funds 2026 Current assets Creditors less than l year Net assets 85,673 85,673 (45,642) (45,642 40,031 40,031 Unrestricted Total Funds Funds 2024 Current assets Creditors less Ihan 1 year Net assets 89,230 89,230 (49,060) (49,060) 40.170 40,170 14-