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2023-12-31-accounts

Keats Community Library

Annual Report and Financial Statements for the year ending 31[st] December 2023

Contents

Part A Our Year in brief Page 2
Part B Objectives, Achievements and Impact Page 3
Part C 2023 Financial Commentary
 Page 8
Part D Conclusion Page 9
Part E Statutory Report and Financial Statements Page 11

Keats Community Library is a registered charity in England (number: 1146702) and a company limited by guarantee (07889559)

The address is: The Library, 10 Keats Grove, London NW3 2RR.

Phone: 020 7431 1266

Website: keatscommunitylibrary.org.uk

Email: keatscommunitylibrary@gmail.com

Keats Community Library

Annual Report for the year ending 31[st] December 2023

Our Year in brief

A The Library was able to open for 42 hours a week as planned, and book movements exceeded the pre-Covid 2019 level, again with larger increases in children’s activity than for adults. The chart below is a proxy for visitor interactions with total book movements which were the highest ever.

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50000
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35000
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25000
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2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Child totals 2931 14842 18244 17039 20220 21331 17366 22856 13793 12463 22928 27407
Adult Totals 7140 20671 20477 19043 18241 21241 20128 21231 11403 9674 17658 17416
Total Loans etc 14815 35513 38721 36182 38352 42573 37494 44087 25196 22137 40588 44825
Axis Title
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Keats Community Library

Visitor numbers, that is all visitors, whether they borrowed a book or just came to use the facilities, are calculated using a people counter at the entrance. While far from a perfect method it provides an objective and consistent guide to the trends.

Average visitors each month were up by 18% in 2023 to 5,635 (2022: 4,786)

The use of the Public Computers has been modest as many users learned to work on their own machines in the pandemic period of isolation. However they are still needed by many as the only place in Hampstead to print forms or scan documents. And of course we remain the free back up when the home equipment fails.

As might be expected from the above, the use of personal lap tops has greatly increased and the study tables are frequently full with users and students. This is a new trend bringing new users to the Library, although they may not become members or even be aware that the Library is a charity. They just come for free.

Another indicator is that printing by visitors has increased year to year.

Part B Objectives, Achievements and Impact

Keats Community Library (“KCL” or “the Charity”) is a charity with its remit to run a library in Keats Grove, London NW3 2RR (“the Library”). Public Benefit is our over-ridding objective as shown by our services and activities described in this report all of which are open to the community.

The Board of Trustees (“the Trustees”) has set objectives for KCL.

Lending Literary Resources:

Encouraging use by children:

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Keats Community Library

Thanks are due to all our volunteers for constantly expanding and improving our services. One of the rewards of being a volunteer is receiving comments from Library users on the helpful and friendly service.

Book stock

We remain determined to do what is needed to keep our stock relevant and in good condition. We ensure that we have the latest publications, such as the Women’s Prize for Fiction (formerly Costa) and Booker Prize long-list, and popular non-fiction books such as the TS Eliot and Samuel Johnson Prize winners, as promptly as possible. Readers help by recommending titles for purchase, most of which we will acquire.

Children’s books are heavily used and need constant replacement. Most books, and all the children’s books, are covered with film which adds to the time and cost of cataloguing books.

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Keats Community Library

We are most grateful to our many supporters who continue to donate excellent quality books for us to take into stock. We strive to waste nothing: Donated books can be taken onto the shelves as needed, sold on our ‘For sale’ shelves or at our twice yearly book sales, or sent to an agent in return for a commission. Book Donations, alongside supportive suppliers, allow us to add a lot more books than our modest budget alone would cover.

We recycle books which are either in poor condition or have not been borrowed for four or more years. Heavily read books and Classics are replaced as needed.

DVDS

DVDs continue to be part of our offering, for children and adults. We are now the last source for the local community to borrow films. And this remains free for the first week.

With the decline in the DVD market, acquisition of films approved for “rental” is ever more limited and expensive. We no longer we encourage donations of DVD as the quality of titles became poor. Essentially, we maintain the lending service for those in the community who are unable to stream or download films. In the library, we focus more on classic films of all eras.

Children’s Library (“CL”)

Jana Harrison, a Trustee, is responsible for the Children’s Library. Visits by local schools, (free of charge), ceased in March 2020 and picked up again on an ad hoc basis in autumn 2021. Despite an initial reduction in school visits we have continued our school outreach and have developed new relationships with local schools while maintaining current ones. By the end of 2023 we had more local schools and classes visiting the library regularly than before the pandemic.

We continued in 2023 to expand our commitment to several local schools with book donations. We sorted through book donations to accumulate relevant and high-quality books and arranged for delivery of these books to the teachers. We are looking forward to welcoming even more local schools to the Library.

Our Licence Agreement with the City of London Corporation allows us to share the Nightingale Room, where we lay out the dedicated space for children. We have only Tuesdays, Fridays and Saturdays exclusively for the Children’s Library. In the last quarter of 2023 we added Wednesdays as an additional Children’s Library Day and were able to offer more hours for school visits and regular children’s activities. The City of London Corporation kindly allows us to use the room on other days when they do not need it. This has been working well, although attendance is lower on those days as we cannot advertise these ex-gratia hours or use them for regular school visits or planned Children’s Library activities.

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Keats Community Library

Over 80 primary schoolchildren visit the Children’s Library each week with their class during the school term, and many of their families subsequently join the Library. While there is considerable demand for library visits from our local schools and our outreach has been very successful, we have been limited in the hours we can offer to local schools due to our licence agreement.

We continue to increase our budget to buy more children’s books – children’s books wear out, get lost or damaged and, of course, we need to have new additions of must have series all the time.

During 2023 we continued to build up our children’s activities. We are again offering our Rhyme Time sessions on Tuesday and Friday mornings, Ballet and Story Time session on Wednesday afternoon and chess classes on Saturday. We also offer regular events for children such as poetry workshops, magic shows and art classes. The summer Garden Party (part of the Hampstead Summer Festival) was very well attended and much enjoyed by parents and children. We will continue to expand our children’s programming in 2024.

Chess Classes

With Bryan Ellis, our wonderful teacher, the chess programme was held every Saturday in term time. Thanks to the Chess in Schools Association we remain well equipped with boards and chess pieces.

Summer Reading Challenge

In 2023, we continued our more tailored version (rather than the formal approach) using our own stickers and book displays. It was more fun and accessible to the children while being easier for our team to manage.

– Community Activities Provided free of charge

Reading Group

Our monthly Thursday early evening reading group, ably run by Joan Bruggen, now has a coterie of regulars.

Computers and technology

Public Access Computers/Internet: The six public computers are a key part of our community offering. Demand is noticeably lower than pre-Covid and as a result, access is more open. The Library also offers Wi-Fi without charge or time limit.

Printing covered its costs, after rental charges and increased paper costs in 2023. Our printers are well used as KCL is the only place in the local area for public access printing from the internet, and in colour. Prices have been held since opening and are in line with Camden Libraries.

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Keats Community Library

Our library system, Heritage, is hosted on the internet and is a key part of our daily operation. We chose the best available system in 2012 and it has proved reliable and easy for volunteers to use day to day. It provides an extensive range of management features which we are still learning about, when time allows

Jonathan Nakouzi is the Trustee who continues to take on IT responsibility for us and, with his team, worked hard to keep us running,

Intern/ Apprentice

The Library has run a successful apprenticeship programme for some ten years with one apprentice in post at a time. Our programme continued with Sara who moved on in early 2023 Summer to be replaced by Victoria in September 2023. The apprentice provides KCL with vital continuity across volunteer shifts and helps us provide a more consistent service to our visitors.

In 2023 we chose to offer a specialist library and archiving course in place of one for generalist customer service. The Apprentice has an opportunity to learn a skill set while working in a full-time customer facing function. In addition to on and off-the-job experience, the Apprentice completes a range of written assignments under the supervision of a specialist trainer. Previous apprentices have gone on to work in publishing, customer service and into further library and information management training.

During the year the apprentice’s employment changed from the training provider to Payeslip Ltd a company which does not charge the Library for its services.

Relationships with other parties

Other Libraries: We keep in touch with other libraries that were transferred to community use. Each has a different model so comparisons are not meaningful . KCL is unusual having only limited use of the building for which it pays significant sums and hence a greater burden of fundraising. Unlike our neighbours, KCL lacks support that could come from being part of a larger organisation.

Public Bodies: We continue to try to contact many other bodies who champion reading. But we have had some difficulties accessing services from those, such as the Arts Council of England and the Reading Agency who still do not consider community libraries such as ours, to be a “public library”.

Camden Council: We receive no funding towards our running costs from the Council. Informal regular contact is maintained at Councillor level and with Camden officers.

City of London Corporation and Keats House: Relations with our Licensor and neighbour have been made more challenging by changes within the City of London, as Keats House left the Open Spaces team. Personal Relationships have continued to thrive at all levels and KCL is treated very much as part of the community team.

KCL is the Licensee under a “licence to occupy”, which is an arrangement used in situations where the landlord retains control over use of the premises and remains responsible for building management. The Library’s licence does not guarantee unlimited access to the premises at all times, as would be usual under a conventional lease. KCL has access to 42 hours in the main rooms and 25 hours in the Nightingale Room which is used as the Children’s Library. Other hours are by agreement and involve hourly charges.

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Keats Community Library

On the other hand the licence stipulates that the landlord retains responsibility for maintenance, insurance and many routine services and utilities, thus reducing the Library’s risk exposure to exceptional costs.

The landlord is Keats House, a registered charity of which the City of London Corporation is the sole Trustee. In 2023 negotiations again started on a new licence and after a long period and much debate, The City of London agreed to offer us a 5 year Licence albeit at higher rates per hour. Given the substantial costs connected with the management of the listed building in which the Library is housed, the Trustees consider that the Library receives fair value for the licence fee.

The increased base cost is nevertheless one reason that we need to rely more on volunteers than other libraries, and have to work harder to raise money from the community by donation and from events.

Part C 2023 Financial Commentary

1. Introduction

In 2023 KCL ended with a tiny surplus (after investment losses and gains) of £3,543 (2022: £22,782) retaining a healthy cash balance and increasing reserves.

This demonstrates the challenge we face as costs increase but regular income does not. Fundraising remains unpredictable; we rely on one-off events when celebrities and speakers are available. In 2023 we had 2 legacies of £7,000 but no large donation as in 2022. Without these there would have been a deficit.

Our biggest single expense is the licence fee for the use of the library building cost £32,360 (2022: £27,234) an increase of almost 20%. This fee is linked to inflation (CPI based). The licence fee makes our base costs higher than those of most local community libraries. It is one reason that we need to rely on volunteers and have to raise money from the community by donation and from events. Our second largest expense is the apprentice, costing £20,115 (2022: £19,353). This increase is driven in part by the change in the minimum wage. However this cost will reduce in 2024 as we changed the employment agency to one that is not charging payroll administration costs.

Grant funding remains problematic for libraries as funders are keen to finance a new specific “project” with added socially worthwhile outcomes, and do not support on-going expenses. We do not qualify easily on the social criteria as the area is not considered deprived etc.

The Library invested £75,000 from its reserves in two property unit trusts in 2017 to attempt to augment the then feeble income from bank deposits. After suffering in the pandemic the funds fell further in 2023 to £64,408 at year end (2022: £68,289). However they paid dividends which have amounted to some £3000 per annum over the 6 years. Overall the choice of these funds was justified.

2 Operations Income

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Keats Community Library

Day to day activities and charges normally provide a steady and relatively predictable stream of funds. We sell coffee for only £1, books, DVDs, cards, postcards (which were donated) and so on. Income from issuing library cards is steady at £1,375 (2022: £1,440); we currently only levy a £5 charge for each household, once on joining, or when cards are lost.

Books Sales have increased significantly to £14,050 (2022: £9,560) being an important source of income. Books are always on sale in the Library, in addition to two one-day Giant Book Sales each year.

Rhyme Time, when running in term time, continues to be very popular, contributes towards its costs with donations made by most, but not all, attendees.

3 Donations

Overall donations received in 2023 were £20,543 which is at the level of 2021 (2022: £53,273) including Gift Aid. This figure hides the steady decline in one off donations as we received 2 legacies and one large donation in 2022 but not in 2023. Gift Aid remains helpful in increasing the value of individual donations and we encourage all donors to consider completing the simple form.

We are very grateful for our loyal supporters who stayed with us. Many comment how important the library is to them and the community and that they are happy to help.

4 Sponsors

We have been very fortunate in receiving help from a number of sponsors. In 2023 U3A in London ended their support which went towards allowing free DVD rentals and also some event support. The trustees decided to keep DVD rentals free of charge.

Osbornes Law, a Camden and Hampstead firm of solicitors have been loyal and amazing supporters of our events in the Library. Their support has transformed our event options and allows KCL to keep ticket prices low despite inflationary pressures.

5 Hampstead Summer Festival (“HSF”)

KCL has a well-established relationship with the HSF. Indeed 2023 was the 11[th] year in which KCL was a beneficiary of funds raised by the HSF. In 2023 in addition to the Big Fair on Heath Street, the HSF ran some events in the lovely grounds of Keats House – The Art Fair and the Family Garden Party, and also hosted a professional Drama Group for the fourth year, with three open-air family-friendly performances of Macbeth. We are deeply grateful to Keats House for allowing us to use the beautiful garden, adding greatly to the attractiveness of these events. The HSF raised £11,973 net of costs for the Library (2022: £7,772).

We are most grateful for the Festival team’s dedicated hard work for the community and look forward to future Festivals.

Part D Conclusion

As we say every year, this is so much a community undertaking that it is inappropriate to single out people to thank, in addition to the sponsors and local businesses who have been so supportive.

On behalf of the Trustees, I would like to record here the deep debt of gratitude owed to the many volunteers, each of whom made an important contribution to the community and it’s Library.

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Keats Community Library

Steven Bobasch Chair of Trustees

Trustees and their Responsibilities:

Honorary President: Lee Montague

Patrons:

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Keats Community Library

The Report of the Trustees and Financial Statements for the Year Ended 31[st] December 2023 For Keats Community Library

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

Page
Report of the Trustees 12
Independent Examiner’s Report 17
Statement of Financial Activities 18
Balance Sheet 19
Notes to the Financial Statements 20

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Keats Community Library

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31[ST] DECEMBER 2023

The Trustees of the Keats Community Library (“the Charity”), who are also directors of the Company for the purposes of the Companies Act 2006, present their report with the financial statements of the Charity for the year ended 31[st] December 2023. The Trustees have adopted the provisions of the Statement of Recommended Practice (SORP) ‘Accounting and Reporting by Charities’ issued in September 2015 by the Charity Commission for England and Wales.

The financial statements have been prepared in accordance with the accounting policies set out in notes to the accounts and comply with the charity’s governing document, the Charities Act 2011 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard for Smaller Entities published on 16 July 2014.

REFERENCES AND ADMINISTRATIVE DETAILS

The Charity is known as Keats Community Library. The Trustees consider that the Charity is a “small charity” under the rules of the Charity Commission of England and Wales.

Registered Company number

07889559 (England and Wales)

Registered Charity number

1146702

Registered office

Keats Grove, London NW3 2RR

Honorary President

Lee Montague

Trustees appointed:
Steven Bobasch (Chair) 19/01/12
Simon Brumfit 01/04/17
Andi Dollia (Treasurer) 10/07/18
Jana Harrison 29/01/13
Victoria Joel 19/01/12
Jonathan Nakouzi 19/01/12
Nigel Steward (Secretary) 21/12/11
Penelope Vita-Finzi 01/01/17 Resigned 22ndFebruary 2022
Kate Burge 07/06/22

Company Secretary

Nigel Steward

Independent Examiner

Anthony Ghilchik FCA, 6 Morland Close, London NW11 7JG

Bankers

Barclays Bank, 28, Hampstead High Street, London NW3 1QB

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Keats Community Library

STRUCTURE, GOVERNANCE AND MANAGEMENT

Constitution

Keats Community Library (“the Charity”) is incorporated as a company limited by guarantee under the Companies Act 2006. It is also a registered charity. The Directors of the Company are also charity trustees as defined by section 97 of the Charities Act 1993. In this document they are referred to as Trustees.

Directors of the Charity are also Members of the company as are some former directors. Directors are appointed by the board by being co-opted and then confirmed at the next General Meeting of Members. The policy of the Board of Directors is to appoint people as directors who have a skill or interest to offer for which they take responsibility.

The Charity is governed by the terms of its Memorandum of Association and its Articles of Association.

Management

The Trustees have not delegated their powers to any one Trustee or other person, although from time to time in accordance with the Articles they delegate their powers to a sub-committee of more than one Trustee. The Trustees manage the day-to-day affairs of the Charity; there is no executive management. The Trustees meet regularly and take note of the acts of individual Trustees on behalf of the Company. The Trustees as individuals take on certain aspects of management of the Charity as set out in the Annual Report. The Charity does not employ any staff directly.

The Charity uses a company controlled by a Trustee to employ its apprentice. The company makes no charge for this service.

Risk and Internal Controls

The Trustees have a duty to identify and review the risks to which the company is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error.

The Trustees have assessed the major risks to which the charity is exposed and are satisfied that systems are in place to manage exposure to the risks. The key types of risk to which the charity is exposed, along with the principal processes in place to manage and mitigate the risks, are briefly described below:

The Trustees have identified three main areas of risk:

  1. Risk of Personnel : Heavy reliance on volunteers for all aspects of operation. Ageing of volunteers. Mitigation : The organisation derives its strength from the quality and dedication of volunteers, many of whom have been in post since the Charity was established. We receive regular offers from potential new volunteers of all ages. Our volunteer manager interviews the applicants and maintains a list of appropriate new volunteers who can be inducted when a vacancy arises. In addition the Apprentice ensures that there is a regular presence in the Library and that the requirement for volunteers is generally limited to one per shift.

  2. Risk of fraud and internal control failure . Our work involves the handling of cash and donations. We may be subject to fraud.

Mitigation: The principal internal controls, which apply to staff and volunteers, including segregation of duties and cash management controls including double signature etc., are set out in the office manual. As far as feasible all aspects of operation are checked by others. Our volunteers are subject to Criminal Records checks if likely to be unsupervised. The modest amount of cash in the Library is counted at the beginning and end of every day and wherever possible by different people. Cash is banked separately by a Trustee not involved in counting the money. Bank payments require signature by two Trustees.

  1. Safeguarding risk . The Library welcomes many children and vulnerable adults. A safeguarding concern may arise.

Mitigation: All volunteers who are likely to have unsupervised access to children must be subject to an 13

Keats Community Library

appropriate Criminal Record Check before commencing work. Children are not permitted to be left in the library unaccompanied by an adult. School groups are supervised by appropriate numbers of staff from their school.

4. Funding Risks: the Charity is reliant on grants and donations of various kinds. Mitigation : Many members of the community generously give regular donations which with income from Library operations provide a steady income. The Trustees seek to increase these to provide greater certainty of income.

As institutional grants are difficult to obtain for running costs, the Trustees focus on self-funding by offering events, many with celebrities, arrange book sales and generally seek to increase revenue. Despite all the challenges of 2023, there was still a small surplus due to two unexpected legacies.

The level of reserves would allow the Library to continue for a number of years even if there are deficits. The Trustees maintain contacts with a range of grant providers and potential donors to understand their requirements and to try to develop future funding.

5. Security of Tenure: KCL operates under a short term license granted by The City of London Corporation (the “Licensor”) which is also the Trustee of Keats House. The previous licence expired in April 2021 and KCL’s occupation continued as if there was a licence with fees being invoiced and paid. Although at the end of 2023 the Licensor had yet to execute new license, it has formally agreed to issue KCL with a new 5 year Licence from April 2024.

Mitigation: KCL has operated since April 2021 by agreement with the Licensor as if the Licence was still in effect in terms of usage and payment. Previous renewals of the Licence have all been agreed long after the relevant expiry.

The Licensor wrote in May 2022 to confirm that it intended to extend the licence to May 2026. The Trustees were last advised in December 2022 that the Licensor intended to grant a short licence to March 2024 before engaging in discussions on the terms of a longer Licence with the intention of honouring their letter of May 2022.

OBJECTIVES AND ACTIVITIES

Objectives and activities

The object of the Charity (as stated in the Articles) is the promotion of education, by way of providing education in the form of literary activity and learning through the facilities of a community centre based around a library. The activities include charitable services provided either without charge or for reasonable and proper remuneration which support this object. These charitable services are designed to respond to the various and changing needs of the community, and are not limited by the Charity’s constitution. The Charity main activity is the running of a single library in Keats Grove for the benefit of the broader community. The library has separate rooms for children and adults and allows the borrowing of books and DVDs, access to journals, study area, public access computers and Wi-Fi and a printing and photocopying service.

The Charity also organises a number of events all open to the public based on literacy, theatre and music. These events are intended to provide the community with access to high quality speakers and performers at modest cost. These events also provide part of the source of funding for the Charity. In addition, the Charity offers activities aimed specifically at children, such as Rhyme Time and Chess Classes.

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Keats Community Library

ACHIEVEMENT AND PERFORMANCE

The Charity has kept open a much valued local resource for the benefit of the community. It provides a library environment for reading study, play and other activities for 42 hours every week. There is no comparable facility in the area. It has issued almost 9300 library cards and replaced over 14,000 books from purchases and donations.

In 2023, there were 15 evening events (2022:10) organised by the Charity in addition to those being part of the Hampstead Summer Festival. There is typically one evening event a month for adults with a broad range from comedy to music to plays and of course literary evenings.

Also, there are special events for children such as a garden party, puppets and magic shows, creative writing courses, art classes, family concerts, visits by prominent children’s authors and the Summer Reading Challenge. In addition, the weekly programmes for children of twice weekly Rhyme Time, Story Time and Chess classes continue. The Charity has now been able to re-offer the programme of inviting local primary schools some of whom bring multiple classes.

FINANCIAL REVIEW

Financial Results

The Charity spent £66,341 (2022: £58,020) on its charitable objects during the year. Expenditure on these charitable activities was offset by directly related incoming resources of £47,483 (2022: £35,516). The deficit on charitable activities thus amounted to £18,858 (2022: a deficit of £22,504). The Charity generated income of £20,543 (2022: £53,273), excluding investment interest. Fundraising activities in this reporting period were conducted by Trustees and volunteers who are not remunerated. As a result, in this period there were no identifiable costs of generating voluntary income. Net incoming resources for the year amounted to £7,884 (2022: to £35,111). After adjustment for unrealised investment gains and losses, the surplus on ongoing activities amounted to £3,543 (2022: £22,781). The Trustees are grateful to all those who have contributed in any way to the achievement of these results.

Reserves policy

The Trustees have examined the Charity’s requirements for free reserves, i.e. those funds which are not invested in fixed assets, nor designated for specific purposes nor otherwise committed.

In making their assessment, Trustees have taken into consideration that at the date of approval of these statements the Charity does not have commitments to employees, although this position may change. As a result, at present the unavoidable costs of cessation, should cessation become necessary, relate to fulfilment of conditions under the Licence with the City of London, leasing and similar agreements which are not material.

The Licence planned for the period to March 2024 was never completed as the Trustees considered it preferably to wait out for a longer term. This strategy appears to have been successful with the Licensor agreeing to offer a 5 year term from April 2024. This has yet to be formally documented in line with previous experience over extended execution periods by the Licensor.

In addition, the Charity has plans to replace or refurbish the library’s fixtures and fittings in coming years. The Directors do not consider it prudent to commit to such expenditure until a Licence of suitable term is in place.

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Keats Community Library

Last, the surplus in 2023 was achieved on because of a large donation and a legacy, both one-off events. The reducing level of underlying income provides concern that such surpluses may not continue.

The Trustees consider the cash reserve position at year-end to be adequate to meet these purposes as well as to manage the winding up of the Charity should this be necessary. All reserves held are unrestricted and available for furtherance of the objects of the Charity.

FORMAT OF FINANCIAL STATEMENTS

The company is a registered charity and so achievements cannot be measured by normal commercial criteria. Accordingly, the Trustees consider it would be inappropriate to present the financial statements in either of the formats set out in the Companies Act 2006. Therefore, as permitted by the Companies Act, in order to reflect the special nature of the company's activities, the Trustees are of the opinion that it would be more appropriate to present a Statement of Financial Activities (incorporating income and expenditure account) rather than a Profit and Loss Account. Under the requirements of the guideline on Accounting and Reporting by Charities, the Trustees have assessed the major risks to which the Charity is exposed. They are satisfied that systems are in place to mitigate its exposure to major risks. These procedures will be reviewed annually to ensure that they still meet the needs of the Charity.

Going Concern

The Trustees are mindful of their obligations to ensure that the Charity is a going concern in respect of a period of at least one year from the date of approval of the financial statements. In view of the substantial reserves, mainly in cash, and the very limited liabilities, the Trustees are satisfied that the Charity is a going concern.

ON BEHALF OF THE BOARD signed on 10[th] September 2024

S. Bobasch – Trustee

A. Dollia - Trustee

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Keats Community Library

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF KEATS COMMUNITY LIBRARY

I report on the accounts for the year ended 31[st] December 2023 set out on pages 18 to 25.

Respective responsibilities of trustees and examiner

The Trustees (who are also the directors for the purposes of company law) are responsible for the preparation of the accounts. The Trustees consider that an audit is not required for this year under Section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is required.

Having satisfied myself that the charity is not subject to audit under company law and is eligible for independent examination, it is my responsibility to:

Basis of the independent examiner's report

My examination was carried out in accordance with the General Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the Charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a 'true and fair view' and the report is limited to those matters set out in the statements below.

Independent examiner's statement

In connection with my examination, no matter has come to my attention:

Anthony Ghilchik, FCA 6 Morland Close London NW11 7JG

Date: 10 August 2024

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Keats Community Library

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31ST DECEMBER 2023

Notes
INCOME
Incoming resources from generated funds
Donations and legacies
2
Investment income
3
Incoming resources from charitable
activities
4
General
Total incoming resources
EXPENDITURE
5,6
Expenditure on Raising Funds

Expenditure on Charitable Activities
Total resources expended
NET INCOMING RESOURCES
GAINS (LOSSES) ON INVESTMENTS
NET MOVEMENT IN FUNDS
RECONCILIATION OF FUNDS:
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 2023
2022
Unrestricted funds
£
£
20,543
53,273
6,199
4,342
47,483
35,516
74,225
93,131
- -
66,341
58,020
66,341
58,020
7,884
35,111
(4,341)
(12,330
3,543
22,781
424,655
401,874
428,198
424,655		 2023
2022
Unrestricted funds
£
£
20,543
53,273
6,199
4,342
47,483
35,516
74,225
93,131
- -
66,341
58,020
66,341
58,020
7,884
35,111
(4,341)
(12,330
3,543
22,781
424,655
401,874
428,198
424,655
428,198

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Keats Community Library

BALANCE SHEET AT 31ST DECEMBER 2023

Notes

FIXED ASSETS
Tangible Assets
Investments
7
8



CURRENT ASSETS
Debtors
9
Cash at bank and in hand
3
3
CREDITORS
Amounts falling due within one year
10
(2
__
NET CURRENT ASSETS
3
_
TOTAL ASSETS LESS CURRENT
LIABILITIES
4
__
NET ASSETS
4
__
FUNDS
11
Unrestricted Funds
4
__
TOTAL FUNDS
4		 2023
2022
Unrestricted Funds
£
£
-
64,408
64,408
-
68,749
68,749
-
-
86,127
377,632
86,127
377,632
2,337)
(21,726)
_____
_
63,790
355,906
_____
_
_
28,198
401,874
_____
_
28,198
401,874
_____
_
28,198
401,874
_____
_
28,198
401,874		 2023
2022
Unrestricted Funds
£
£
-
64,408
64,408
-
68,749
68,749
-
-
86,127
377,632
86,127
377,632
2,337)
(21,726)
_____
_
63,790
355,906
_____
_
_
28,198
401,874
_____
_
28,198
401,874
_____
_
28,198
401,874
_____
_
28,198
401,874		 2022
£
-
68,749

68,749
377,632
(21,726)
_
355,906
_
401,874
_
401,874
_
401,874
_
401,874

For the year ending 31[st] December 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476. The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.

The financial statements were approved by the Board of Trustees on 10[th] September 2024 and were signed on its behalf by:

S. Bobasch – Trustee

A. Dollia - Trustee

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Keats Community Library

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2023

1. ACCOUNTING POLICIES

Accounting convention

The financial statements have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008), the Companies Act 2006 and the requirements of the Statement of Recommended Practice, Accounting and Reporting by Charities.

Exemption from preparing a cash flow statement

Exemption has been taken from preparing a cash flow statement on the grounds that the Charity qualifies as a small charitable company.

Taxation

The Charity is exempt from corporation tax on its charitable activities. It is also exempt from VAT. VAT incurred on purchased goods and services is therefore unrecoverable and is included in expenditure under the cost heading to which it relates.

Income

All incoming resources are included on the Statement of Financial Activities when the Charity is legally entitled to the income and the amount can be quantified with reasonable accuracy. As a result commitments to donate and to sponsor are usually accounted for on a cash received basis. In the case of donations eligible for Gift Aid, the amounts receivable from HMRC will in principle be accounted for in the year which the relevant donations are recognised (if appropriate, as accrued income). Items donated, principally books and other library materials, are recognised at their selling price if sold.

Resources expended

Expenditure is accounted for on cash basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. At the year end, Trustees will take a view on any material items of expenditure to decide on their treatment with regards to accruals and prepayments.

Tangible fixed assets

Assets are recognised in the balance sheet to the extent that the cost exceeds the de minimis threshold of £1000 per acquisition.

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life:

Plant and machinery 20% on cost Office Equipment including computers 20% on cost

Investments

Since 2017 the Charity holds a part of its reserves in the form of units in Property Trust Funds. These are recognised at Market Value derived from the mid-market rates quoted by each fund at

20

Keats Community Library

year-end.

Stocks

The initial stock of library books as well as certain depreciated computer equipment was gifted to the Charity by the London Borough of Camden at the time of set-up. There is no historical cost associated with these assets. Subsequent purchases of library stock are expensed in the year in which they occur. As a result the stock of books is not reflected in the balance sheet. Subsequent acquisitions of computer equipment are capitalised to the extent that they conform to the Charity’s accounting policy with regard to tangible fixed assets.

Fund accounting

Unrestricted funds may be used in accordance with the charitable objectives at the discretion of the Trustees. Restricted funds may only be used for particular restricted purposes within the objects of the Charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. At the present time the Charity has no restricted funds.

Charitable Activities

Charitable activities are those activities which are included in the objects of the association as set out in the Company’s Articles of Association (and summarised in the Report of the Trustees).

Events

Events fall within the object of the Charity of providing cultural support to the community, and are hence treated as charitable activities, even though they may incidentally generate a surplus and/or attract sponsorship.

Sponsorship

Sponsorship receipts take several forms, including sponsorship in kind, reductions in amounts invoiced, and cash sponsorship of specific events. All sponsorship in 2022 is treated as Incoming Revenue from Charitable Activities. Cash value of sponsorship in kind is accounted for where information is available.

Balance Sheet Review

A balance sheet review is carried out annually to ensure that the individual assets and liabilities of the Charity as recorded in the financial statements are identified and known to Trustees.

Principal Assets not recorded in the Balance Sheet

Traditionally, the principal assets of a public library are the library building and the book collection. In the Charity’s case, from a financial accounting standpoint it is proper not to reflect these assets in the Balance Sheet. Both are nevertheless tangible assets in the stewardship of the Charity and the Trustees take appropriate steps to protect them, including a rolling inventory and active management of the book collection (book protection, disposals, sales and purchases) and monitoring of the effectiveness of the building services provided by the landlord under the terms of the licence to occupy.

Roundings

All figures presented in the Financial Statements are rounded to the nearest pound sterling. As a result certain subtotals and totals may not correspond exactly to the sum of the constituent figures as stated.

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Keats Community Library

2. DONATIONS AND LEGACIES

Grants
Donations including Gift Aid		 2023
£
-
20,543
20,543		 2022
£
-
53,273
53,273

Registration: Individuals using the Charity’s facilities are invited both to register and to donate. Registration fees are accounted for under charitable activities (v. Note 4).

Sponsorship: The Charity’s accounting policy is to include sponsorship in Incoming Resources from Charitable Activities (v. Note 1).

Grants: these are distinguished from donations to the extent that the donors are conventionally described as grantors. Where grants are received in the form of a rebate on services provided, these are not accounted for separately.

3. INVESTMENT INCOME

3. INVESTMENT INCOME
2023 2022
£ £
Deposit account and property fund interest 6,199 4,342
4. INCOMING RESOURCES FROM CHARITABLE ACTIVITIES
2023 2022
£ £
Revenue from Cultural Events 23,192 17,633
Revenue from Library Operations 24,291 17,883
47,483 35,516
5. EXPENDITURE ON CHARITABLE ACTIVITIES
2023 2022
£ £
Events Expenditure 1,757 351
Books and General Purchases 1,905 2,485
Licence to Occupy and space-related charges 32,898 27,754
Professional and contractor fees 22,439 21,535
Other Overheads 7,342 5,895
**66,341 ** **58,020 **
Depreciation
Resources expended are stated after charging:
2023 2022
£ £
Depreciation - owned assets - -

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Keats Community Library

Trustees’ Remuneration and Benefits

There were no trustees' remuneration or other benefits for the year ended 31st December 2023 (2022: nil). Other library costs incurred directly by Trustees are accounted for by cost element.

6. STAFF COSTS

Wages and salaries
Average monthly number of employees		 2023
£
-
2023
-		 2022
£
-
2022
-

During the year an amount of £20,115 (2022: £19,353) was incurred as a result of contracts entered into with companies offering the service of apprentices.

7. TANGIBLE FIXED ASSETS

7.
TANGIBLE FIXED ASSETS		 7.
TANGIBLE FIXED ASSETS		 7.
TANGIBLE FIXED ASSETS
Plant and machinery etc.
£
COST
At 1st January 2023
16,763
Additions
Retirements
0
0
At 31st December 2023
16,763
DEPRECIATION
At 1st January 2023
16,763
Charge for year
Retirements
0
0
At 31st December 2023
16,763
NET BOOK VALUE
At 1st January 2023
0
At 31st December 2023
0
8.
INVESTMENTS
PROPERTY TRUST FUNDS
Market Value Brought Forward at 1stJanuary 2023
£
68,749
Additions at Cost
Disposals at Proceeds Value
Realised Gain (Loss) on Disposals
Unrealised Gain (Loss) on Investments
0
0
0
(4,341)
Market Value at 31st December 2023
64,408
9.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023
2022
16,763
16,763
0
0
16,763
0
0
£
68,749
0
0
0
(4,341)
64,408
2022

23

Keats Community Library

£ £
Prepayments and advances on account 0 0
Accrued Income 0 0
Other debtors 0 0
0 0
10. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£ £
Taxation and social security - -
Other creditors and accruals 22,337 21,726
22,337 21,726
**11. ** MOVEMENT IN FUNDS
Net
movement
At 1/1/23 in funds At
31/12/23
£ £ £
Unrestricted funds
General fund 424,655 3,543 428,198
TOTAL FUNDS 424,655 3,543 428,198

Net movements in funds included in the above are as follows:

Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund 74,225 (70,682) 3,543
TOTAL FUNDS 74,225 (70,682) 3,543

The movement in funds as stated above includes an unrealised loss of £4,341 (2022- loss of £12,330) on Investments.

12. RELATED PARTY DISCLOSURES

There are no related party disclosures.

13. PEOPLE WITH SIGNIFICANT CONTROL

Under regulations which came into force from 6[th] April 2016, companies are required by law to identify People with Significant Control. The Charity, as a Company limited by Guarantee, is within the scope of this legislation and complies with its recording requirements. There are currently no People (whether individuals or a Relevant Legal Entity under the terms of the legislation) who have Significant Control over the Charity. In particular, the Charity has more than four Members.

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Keats Community Library

14. OPERATING LEASES

The Charity entered in a new operating lease for its photocopier for 5 years July 2023 at the same fixed cost of £480 per annum to which a charge is added based on each copy made. A new machine was provided. In 2023, the copy charge amounted to £453 (2022: £342) and covers all supplies except paper. The annual obligations for the Photocopier are under £1,000.

15. GENERAL VOLUNTEERS

The role of volunteers is critical to the operation of the Charity. The numbers vary as people move in and out of the area or enter into other commitments. The Charity has a roster of approximately 50 volunteers (including the Trustees) many of whom have been generously helping the Charity since its opening in 2012.

16. RELATED PARTY TRANSACTIONS

As stated in the Report, a company controlled by a Trustee provided employment and payment services in respect of the Apprentice without charge or benefit.

Trustees’ expenses, which were immaterial, were not accounted for separately from the expenses of volunteers and contractors.

The Trustees also made donations in kind, such as providing stamps, stationary and supplies to the library as well as their time without charge. None of these donations in kind are considered to be of significant value to merit separate reporting.

Donations by Trustees (as appointed at 31[st] December 2023): Partners of Trustees donate £30 per month all by standing order.

17. TRUSTEE INDEMNITY INSURANCE

The Trustees take out an annual insurance policy for certain risks of operating the library including public liability and employment. Included in the policy is indemnity cover for the Trustees as Directors of a limited company. The overall premium does not identify any specific premium for the part of the policy providing these directors indemnity cover but the Trustees are advised that it amounts to under £100 a year.

25