REGISTEREDCOMPANY NUMBER: 08803625 {Engl*nd and Wales) REGISTERED CHARrrY NUMBER: 1156762 REPORT OF THE TRUSTEES AND AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 FOR TOWNER
TOWNER CONTEIYTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Page Report of the Trnstee5 I to 10 Report of the Independent Auditors Statement of Financial Activtties 14 Blance Sheet (Group) 15 Bal*nee Sheet (Charity) 16 Cash Flow Statement 17 Notes to the Cash Flow Statement 18 Notes ¢0 the Financial Stxtemellts 19 to 34
TOWNER REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2024 The Iruslees who are also directors of the charity for the purposes of ihe Cornpanies Act 2(K16, preseni iheir report with the financial statements of the charity for the year ended 31 FAarch 2024. The trustees have adopied the provisions of Accounting and Reporting by c.harilies: Statement of Recommended Practice applicable lo charities preparing their account5 in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effeclive l January 2019). 0ECTIVEs AND ACTIVITIES Objective5 Founded as an art gallery for the pwple. Towner presenls world class exhibilions of national and inlernational significance and work5 from our acclaimed collection. We work in collaboratlon '1th individuals, cornmunities and organisalions, especially Ihose with least access to the arts, to ensure that we are relevant to all our audiences. An innovative cultural social asset for Ea51bourne and thc South East.. Towner brings Ihe most exciiing developments in modern and contemporary art to local, national and international audiences, develops and support5 artlstic practice, and provides a place for experimenting, creating and talking about art and culture. Towner has been established for public benefit to fulfil the following charitable objectives: To advance the education, enjoymenl and appreciation of the public at large of the arts by the establishment andlor maintenance of an art gallery To adi'ancc the education, enjoymenl and appreciation of the public ai large of Ihe ans by the maintenance of Towner in Eastbourne To advance the education, enjoyment and appreciation of ihe public at large of the arts through Towner's art eollection To pursue such other charitable purposes analagous to any of the objects as the TTUStees in their absolute discrelion shall detennine. Trustees Report Dn Aetivities Overview of 2023124 2023124 was Towner's most successful year garnering national profile and record audiences of 213,000 for its high-profile exhibitions which included a major retrospective on the sculptor Barbara Hepworth and the Turner Prize, the world's mosl prestigious art award. It was ihe largcst scale project the gallery and leam has undertaken which was generou51y supported by sponsors, grant funders and private donations. There was also generous in-kind 5UPPOrt of goods and services from partners and suppliers. Turner Prize was supported by Eastbourne ALIVE. an ambilious engagement programme across Easibourne. li broughi togcther local creative partner organisalions, artists and communilies which ran from March 2023 through till March 2024. It was aimed particularly al young people to raise aspirations of their hometown and change perceptions of the town among visitors and boost the visitor economy.
TOWNER REPORT OF THE TRUSTEES- continued FOR THE YEAR ENDED 31 MARCH 2024 The Year in Numbers We welcomed 212,722 visitors lo Ea5tbourne as a resuli of the Turner Prize and Eastboume ALIVE. We opened 4 nejv exhibitions In our cinema we held 492 screenings of 145 titles with 18,515 people enjoying a film al Towner Cinema throughout the year 18J60 visited our summer exhibition Barbara Hepm'orth.. An & Life More than 7,500 people attended our public programme of talks. workshops and maslerclasses to accompany our exhibitions Almost 6,000 people, mostly children and young people, participated in the Learning & Engagement Programme's free creative sessions, workshops and evenls. This include.s 2,000 pupils participaling in artist-led workshops in schools and 1,400 Year 9 pupil visits to Turner Prize. A further 5,000 participated in Eastbourne ALIVE'S workshops and events around the Turner Prize. There were 446K page view5 on our website We welcomed over 6,000 neH' followers acro our Social media plaifonns We generated pres5 roverage that received ov¢r 14 million view5 This included 453 arlicles on the Turner Prize 2023 with an eslimaled 13.6 million views. Team numbers 53 (including full & part time & zero hours contracted) 50 volunteers Enterprises Light Rcstaurant managed by Borough Resiaurants opened in May 2023 following a refurbishm¢nt of the previous Towner cafe %pace. The 45 cover Scandinavian-inspired restaurant is open for lunch each day the gallery is open and for dinner Thursday- Sunday. As well as delivering a high-quality catering offer, the move to a third-party provider has protected the organisation from the risk of operational losses relating to catering whilst also delivering a consistent income line. Overall, our commercial activities perfornied well throughout the year. supported by high visitor figures and a popular exhibitlOD programme. Retail and Cinema sales came in over budget, with cinema becoming an increasingly important strand in our commercial strategy. During the year we continued lo develop a range of commercial events, including our fi Ceramics Fair, a Iwo-day event that celebrated the versatile artfornl in honour of Barbara Hepworth and her exhibition al Towner. Environment $U5tginability We have res¢arched the options for installing solar panels on our roof. as a tnajor project to support our cnvir(Inmental sustainability commitments as well as reducing our spend on energy. Plans were developed and costed during the year and we hope lo proceed with installation in 24125. Diversity and Ineluston Hosting the Turner Prize provided an excellent opportunity lo extend our existing access resources to support disabled and neuro-diverse visitors. This included the provision of sensory bags and quiet sessions to support neurodiverse visitors. live BSL for artist events, an audio guide developed by VocalEyes and a visual guide and sensory map commissioned from autistic artist Anna Farley. These resources were commended in a review by disabled artist Jamilia Prowse who commented thai Towner's exhibition spaces showed "a real consideration not only of how art can be accessed, but Also who the art is for." In our cinema programme we offered regular captioned 5crccnings. dementia friendly screenings, family films and special screenings for carers. Alongside our regular programme of free events and exhibitions, we also offered free entrance across our licketed programmes for carers and under 185 and discounls for those in receipl ofbenefits. We continued our partnership with iniva (Instite of Inlernational Visual Arts) including the commission of artist Maria Amidu and curatorial training programme aimed at broadening represenlalion in our exhibitions and collection acquisitions.
TOWNER REPORT OF THE TRUSTEES - eontinued FOR THE YEAR ENDED 31 MARCH 2024 We continued lo offer team training on diversity and inclusion topics including a session with the organisaiion Gendered Intelligence on Trans Inclusion, which culminaid with the developmenl of a new Trans Inclusion policy for the organisalion. Youth Voice I Skills & Training We are delivering a new Youth Voice Strategy to improve slructurdl inclusivity by involving young people in Towner's decision-making processes and improving representation in our organisalion from the local community. A new Collection & Acquisitions Committce funded by Art Fund Reimagine is providing opportunities for young adu115 from diverse backgrounds lo lake part in selecting artworks for the collection and receive training and professional developmenl opportunities. The Towner team will also gain experience of working with young people and a Coordina(or role is supporting an early-career curator. We are offering work placements for FE Students in partnership wilh Ea Sussex College & Talent Accelerator providing skills and training for young adults 10 enter the culture sector or wider creative industries and iourism. Creative Newh&ven Newhaven" s Cultural Aetion Plan continued to calalyse Newhaven Enterprise Zone's 25-year investment programme with Folloiving Ravilious - Newhaven Views, a free public art trail of 8 large-scale artworks in 4 Newhaven 10¢8tions during August, September and October 2023. The giant billboard artworks included four painlings by Eric Ravilious alongside a new work by conlernporary artists,. Emily Allchurch, Jo Lamb, Charlie Prodger and Mark Tilchn¢T. their responses inspired by Ravilious and the modern N¢whaven landscape. Following Ravilious was accompanied by a surnvner programme of events & activities and an illuminated sculptural installation by Hanna Benihoud in Newhaven Library window. Over the whole ycar. audiences reached 150.000 and Instagram followers increased to 1,600. BIY4ck Robin Farm Planning pemission was granted by South Downs National Park Authority in February 2024 10 develop the dairy farm into a new cultural destination. The application was led by Eastbourne Borough Council in partnership with Towner and other key 51akeholders. With funding from the previous governmenl's Levelling Up fund, Ihe landscape-led project will include exhibilions, leaming activities. cultural events and a visitor offeT providing an Eastern galeway to the national park and Ihe unique Downland landscape for Communities and visilors. We are continuing to fundraise for ihe capital developmenl of a new gallery building and of Ihe Flint Barns into a Landscape Heritage Visitor Centre. It is expec1 that work will begin on the centre in spring 2025. Programme Report Towner 100 Exhibitions Uii.feen: I l Februan, to 14 Ma!, 2023 and The Living Colleclion: 17 December 2022 to 28 August 2023
TOWNER REPORT OF THE TRUSTEES- continued FOR THE YEAR ENDED 31 MARCH 2024 In Towner's on¢-hundredth year, we held two exhibilions focussed on Towner's c.ollection - one looking forward and on¢ looking back al Towner's 100 hundred years of collecting. Uiiseeii displayed a selection of new acquisitions ihat have joined the collection recently and had not yet been unseen. Through thcse works, audience5 were asked lo engage with questions such as which artists and artworks get acquired for a gallery collection and which gel displayed? How are these decisions made and who is making them? What does a town's collection say about its communitie5? Alongside -[ ()WN'LR 100.. "I"he Lii'iii ('ollcctioii told some of the stories about gifts, bequests and purchases ihat have onlributed to making the collection what it is today and looking at how it mighi develop into the future. The exhibition eonsidered Towner's broad and varied history of collecting and exhibiling over ihe pasl one hundred years through a selection of painling4, prints and artefacts. Burbara Hepworth Ari & Life: 27 MA!, to 3 September 2023 This exhibition displayed some of Hepworth s most celebrated sculptures including ihe Modern abslrdcl carving thal launched her career in the 1920s and 19305. her iconic slrung sculptures of the 1940s and 1950s, and large-seale bronze and carved sculptures from lal¢r in her career. Key loans from national public colleclions were shown alongside works from private olleclions ihai had not been on public display sinc¢ the 19708 and rdrely seen drawings, paintings and fabric designs. The exhibition was themed around Hepworth's broader Cultural inleresls in music, dance, theatre, politics and literature, exploring these and encouraging new interpretations and prescntations of her work. Turner Prize: 28 September 2023- 14 April 2024 Towner Easibourne played host to ihe Turner Prize 2023, the world's leading prize for contemporary art. One of the best- known prizes for the visual arts in the world, the Turner Prize aims lo promote public debate around new development5 in conlemporary British art. Established Tn 1984. the Prize is awarded io a Brilish artist for an outstanding exhibition or other presentation of their work in the previous twelve months. The four nominalcd artists were Jesse Darling. Ghislaine Leung, Rory Pilgrim. Artist Jesse Darling was announced as the winner of the Turner Prize on 5 December 2023 at an exclusive televised ceremony and dinner for 400 guests in Easibourne's Winter Gardens. The artist was awarded £25,000 wilh £ l 0,000 awarded to the other shortlisted artists. With sponsorship from Ktng & McGaw. support from Eastbourne Borough Council, Ea Sussex County Council. the University of Sussex, the Chalk Cliff Trust and private donors as well as a hosi of in-kind 5UPPOrters including Idenlity, the Turner Prize brought transfonnative cultural and social experiences io Eastboume for visitors and residents. Vi,sitor feedback All relulable ihisyear.- Moiherkood w ar¢ making.. Celebraiion vs Opprs1o.- Despair aiid recovery and hope.- the de- legifinii2ing ofcitizens. PoH'erfull Well done to Toiiinerl Barbara Walker's work broughi me lo tears. Shariiig ihe stori M'lth my kid5 Iva5 very poweffj41. Rory Pilgrim made pnefeel like J belonged in an Art gallery. Thankyoufor drnwing me in ivith vour ihoughiful crealivity. Thi.5 is a beaiiliffjil biiilding. Madeforshuring beauliful ihiiigs. We saiv a iiyaler soundycape. Ive lislened io animated niusic, Ive read life slories M'e puzzled ai hammers on ivalls. Thankyou. Toiijner VV. Eastbourne ALIVE Easibourne ALIVE, Ihe celebratory community partnership programme around Turner Prize funded by Arts Couneil England's first Place Partnership was aimed at young people lo foster pride in their hometown through creative engagemenl.
TOWNER REPORT OF THE TRUSTEES- continued FOR THE YEAR ENDED 31 MARCH 2024 We delivered 20 public artworkOinterventions, QPIKlrtunities for 50 artisls. l 00 workshops, perfornlances & evenls, 121 participant placements for 50 young people with 23 organisalions, over 14(Kl Year 9 $1udent visits lo Turner Prize. 30 businesses participated in dr¢&sing the town in Easibourne ALIVE brand and colours. Al the heart of the project was an ambitious schools project to bring Year 9 pupils to visit the exhibition and attend artis¢-led workshops in school. Th¢ aim was to grow confidence in engaging with contemporary art and develop creative skills Ahead of making their GCSE choices. We ran 88 sessions for 2054 sludcnts (across all years) in 15 .schools including I college, I special school and I Pupil Referral Unil. 57 children visited who are educated oulside of a mainstream classroom. l O artists delivered 90 workshops in classrooms. Students and teachers were provided with a prinled guide lo contemporary art titled, Give li Some Oomphl designed by a group of Year 9 slud¢nt5 al Turing School who worked with artist Richard Phoenix and Towner lo design an accessible guide and activity book for their peers. Towner provided work ¢xpcrience for 35 students (26 from University of Sussex. 9 additional recruiied through Talent Accelerator) who re¢¢ived traintng to support the pupils and digiial badges. Susanne (University of Sussex): Ii [has beeiij a reallygood opportunily lo start to talk abotsi url iii a public setting aiid wilh yotsngpeople- lo be able lo hearyourselfartictslale ideos oui loud... This is sonieihiiig I ve noi doiie before. so that was an invaliiable eypepience. Key Turner Prize Stoti5tits 130,000 people visited Turner Prize 2023 (September 2023 - April 2024) which was free to enter. This figure represents a 400/0 IDcrease oll tbe same period 1*5t year (figures for this period in 2022-23 total 80.400}. Participants in gallery bascd public programme: 6,466. 5,000 people took part in Eastbourne ALIVE workshops. Ai lea.st 12,500,000 N'iews of public artwork in Ihe town either online or in person. £16.1 million in additional economic impact arose from Turner Prize and Easibourne ALIVE activilies. 80 /0 of residents feli positive aboui Ihe town. 85 /• Vlsltors felt positive about ihe town. Public Programme We delivered a new public programme of imaginative, mulii-disciplinary events and engagemenl activities. During 23124 we delivered 50 evenls and activities that reached 7,567 people and involved 84 artists and facililators. Most aclivilies wer¢ free, bul 10 events wer¢ ticketed or pay-whal-you-can generating a new income stream. Events included Towner's l OO, birthday celebrdtion in May 2023 attracting 2000 people, breaking the record for visitors in one day. Free events throughout ihe day included a family workshop, 4 brass band perforniances of a work inspir¢d by Barbara Hepworth, subje¢t of the major relrospeclive exhibition. There were also films, art store tours, the performance of a new acquisition of w'ork by 2019 Turner Prize winner Helen Camrnock and accompanying panel discussion, a cake cutting ceremony and DJS. The Turner Prize events explored new perspectives to bring grealer underslanding of the four shortlisted arttsts, work. 20 events included coversations with the shortlisted artists, music, poetry and vocal performances, fiction readings, meditation, and tours for BSL and audio description users. 920 people physically attended Turner Prize events and several thousand digitally attended event live streams and watched recordings.
TOWNER REPORT OF THE TRUSTEES- continued FOR THE YEAR ENDED 31 MARCH 2024 Learning & EngAgement The Making Togeiher programme continued offering artist and participants opportunities to work together in the gallery and ommunity 5etting5. Our projecls focus on the process of making and crealive prdclice to support creative development. build skills and confidence and contribute to wellbeing. Our priority groups are Early Years, Schools and adulis, especially young adults, to support positive mental health. Earl>. Years Free weekly Wriggle Room sessions alternating between the gallery and Willingdon Trees C.ommunRty Centre in Hampden Park (IMD lowest l O /0 for education and training) providing free artisi-led creativc SC5sions for under-55 and their caregivers. During 2023-24 there were 898 attendees (549 at TownerlBeaeon Centre & 349 at The Trees). Holiday progrgmme Arti.%t-Icd holiday aclivilies and takeover day5 for families run during half ternis and the Easter holidays {1296 participants in 2023124). Supporting ment41 health Banana shark.s for 12_18 year olds mects at Willingdon Trees Cornmunily Centre in Hampden Park on Friday evenings. Working with two artists, participants use photography. modelling, musi¢ and food to leam how beneficial creative activities an be for positive mental health & rcsilicncc. Arts in Mind is a regular group for adults with mental health condiiions to Create new work together helping lo reduce isolation and anxiety while helping them lo learn lo self-manage their conditions and aid recovery. Community public artworks Since summer 2023 we have worked with comrnunilies in two of Eastbourne's most disadvanlaged areas, Seaside and Shinewaler/Langney, both in the JMD lowest 20 /. for education and training. RtYIERIA is taking place over 8 siles in the local area of Seaside. The artisl Navine G Dossos worked with over 50 Seaside residenls creating stencils of local motifs reflective of the neighbourhood s character and history. From these stencils a bespoke design¢d Icxtilc has been produced for clothes making, furnishings and shop au'nings. The project and design will be exhibited at local arts organisation Devonshire Collective's VOL T gallery in summer 2024. THE FINDINGS project took place outdoor5 and in 8 workshops in an ernpty shop unit in Langney shopping cenlre. Local community groups such as Langney Men s Shed and Shinewaler Primary School participated in creative workshops and two 'archaeological' digs around Shincwalcr Park revealing found item5 and fragments which have been cast into 3D objects to be installed al 5 sites around the area. The bronze age history of the lo] marshes and how this might be relevant to the community Ihat lives here today was the project's Ivlspifdtion. Boih commissions, which were funded by the Previous Government's Levelling Up fund as part of Towner's centenary, complete in summer 2024.
TOWNER REPORT OF THE TRUSTEES- eontinued FOR THE YEAR ENDED 31 MARCH 2024 FinAncial position and reserve5 Total reserves at the end of the year were £5,307,493 (2023: £4.964,117). The Trustces have set 3 reserves policy which is a product of strategic planning. budgeting and risk management. The policy requires that the Charity's core activity. funded through the unrestricled rescrve, could continue for six month5 during a period of unforeseen difficulty, which is in line with Charity commis.sion recommendations. The unrestricted free reserves (excluding fixed assels) which totalled £868,409 as al 11 Mar¢h 2024 (2023.. £781,481) meel this requirement. Maintaining a six-monih operating reserve will support Ihe organisation in trading through potential adversity. taking in to accouni future commitments and the possibility of lack of financial investment from key public funders. The level of reserves will be monitored and reviewed by the Trustees on a gular basis. Unrestricted reserves include £205.000 designaled to Emerging Artisls, expenditure and new staff posilions. Principal risk5 and uncertainties Going Concern The principle financial risks facing the charily and its trading subsidiary are considered as part of the overdll approach to risk management, bul include variation to vi51tor forecasts. changes lo income from Eastbourne Borough Council and Arts Council England, unplanned expenditure and a challenging economic environment. Prior lo signing off this report Easibourne Borough Council have announ¢¢d their inlention to reduce their funding wiihin this financial year. as disclosed in Note 23. Taking this into account. the Trustees have r¢viewed the cash position of the charity and are satisfied that Ihe ch2ri1y will remain able lo meet all its financial commitments. The Trustees believe that the charity is able to manage ils financial risks suc¢essfully and arc confident thal there are sufficienl rcserves for the operation to continue. This position will force the charity to review 811 its free-to-access exhibilions and could result in an increase in lick¢ted aclivity. Thi will be in conjunction with an acceleraied programme of income diversificalion.
TOWNER REPORT OF THE TRUSTEES- continued FOR THE YEAR ENDED 31 MARCH 2024 STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document The charity is a company, limited by guarant¢¢. as defined by Ihe Companies Act 2006. It 15 governed by its Memorandum and Article% of Asso¢iaiion. Recruitment xnd appointment of new trustees The management of Towner is ihe responslbility of the Trustees who are elecled and co-opted under the tern)s of Ihe Articles of Association. The maximum number of Trustees w35 initially elei'en bul can be increa5cd at the dis¢retion of the Board. Of the total number of Trustees Iwo are to be appointed by Easibourne Borough Council. Trustees are required lo retire by mtation whereby one third of the Trusiees shall be requir¢d lo relire each year but shall be eligible for reappointmenl. Tru%lee4 may be re-appointed by the Board at the end of each lerni of oifice. Organisational structure There are currently eight Trustee5 who have delegated powers to the Execuiive Director and Senior Management Team lo mak¢ ¢xpenditur¢ decisions within the frdmework of the approved annual budgel. A Finance and Resources Sub-committee has been established. This committee monitors income and expenditure and performance against th¢ approved budget and reports back lo the Board. They also approv¢ and monitor Health and Safety policies and the Risk Regisler. The day-lo-day activilies are controlled by Joe Hill, Executive Director. and Ihe Senior Management Team who lead departments and report lo the Execulii'e Director. Indu¢tion and trgining of Dew tn15tees Trustees are recruited according to the Trustees, and Executive Dir¢¢torfs ongoing assessment of the skills and experiences needed for the Board of an art Eallery and museum. These include expertise in national and inlernational arts and culture, fundraising, finance, HR and legal. Prospeclive new Trustees are recommended to the Chair and Executive Director, who assess the candidates and decide whether to proceed with the appointrnent. The newly appointed Trustees received an induction from TowneV5 wlicilor, advising them on their legal responsibilities. They were given thorough briefings by the Executive Director, Senior Managemenl team and Ihe Chairnian. REFERENCE AND ADMINISTRATIVE DETAILS Registered Companv number 08803625 (England and Wales) Registered Charity number 1156762 Registered office Towner Devonshire Park College Road Eastbourne East sus.sex BN214JJ
TOWNER REPORT OF THE TRUSTEES- eontinued FOR THE YEAR ENDED 31 MARCH 2024 Trustees J Babarinde Mrs ME Bannister M5 D V Casson Dr F M Dennis D Dimbleby J Jones GFHKing C F MeKenzie C R Swansborough J William C Wood Member of Parliamenl, Community Campaigner and Social Entrepreneur Councillor (appointed I I Seplember 2023) Designer (resigned 3 June 2024) Senior Leclur¢r Broadcaster Artist and Lecturer Publisher Freelance Arts Consultant (resigned I l December 2023) Accountant (resigned I I September 2023) Arts Manager and Councillor Curaior, Writer and Art Hisiorian Director Joe Hill External FinAnce Committee Member Judith Barber Auditors Xeinadin Audii Limited Chartered Accounlants Registered Auditor 36 Old Jewry London EC2R 8DD COMMENCEMENT OF ACTIN'ITIES Charitable Trust status was obtained on l July 2014. from which point ihe Trust commenced its charitablc activities. STATEMEPIT OF TRUSTEES, RESPONSIBILITIES The trustees (who are also ihe directors of Towner for the purposes of company law) are responsible for preparing the Report of Ihe Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Acccpted Accounling Practice). Company la, requires the trustees to prepare financial statements for caeh financial year which give a true and fair i'iew of the.slat¢ of affairs of ihc charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing tho.se financial statements, the trusltts are required to select,suitable accounting policies and ihen apply them consisi¢ntlyg observe the m¢thods and priTJ¢iples in the Charity SORP. make judgements and estimates that are reasonable and prudent- prepare the financial statements on the going concern basis unless it is inappropriate lo presume thal the charitable company will continue in business. The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any lime the financial posilion of the charitable company and to cnable Ihem lo ensure that the financial slatemenls comply with the c.ompanies Aci 2006. They are also responsible for safeguarding ihe alS of thc charitable company and henc¢ for taking reasonable steps for the prei'ention and detection of fraud and other irregularities.
TOWNER REPORT OF THE TRUSTEES- Continued FOR THE YEAR ENDED 31 MARCH 2024 In so far as the trustees are aware.. there is no relevant audit infom)aiion of which the ¢haritable company's auditOTS are unaware. and the Iruslees hai'e taken all steps that they ought lo have taken to make themseli'es aware of any relevant audit infornialion and to ¢%tablish that the auditors are aware of that infonnation. AUDITORS The auditors, Xeinadin Audit Limited were reappointed at the Meeling of Truslees on 16 September 2024 Report of the trustees, incorporating a strategic report, approv¢d by order of the board of truslees, as the company directors, on 16 September 2024 and signed on the board's behalf by= D Dimbleby - Trustee 10
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF TOWNER Opinion We have audited Ihe financial stalements of Towner (the 'charitable company,) and ils subsidiary for the year ended 31 March 2024 which comprise the Consolidated Siatemenl of Financial Aclivilies, the Consolidated Balance Sheet, the charity Balance Sheet. the Consolidated Cash Flow StalemeDt and notes lo the financial slatemenls, 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 ihe UK and Republic of Ireland. {Untted Kingdom Generally Accepted Accounting Practice). In our opinion th¢ financial statements.. give a true and fair view of the slate of ihe charitable company's and its subsidiary's affairs as at 31 Mar¢h 2024 and of their incoming resources and applicaiion of resources, including their income and expenditure. for the year then ¢nded' have been properly prepared in accordan¢¢ with United Kingdom Generally Accepted Accounting Prdctice. and have beeD prepared in accordance with the requirernenis of Ihe Compani¢s Act 2006. Basis for opinion We conducted our audil in accordance wilh International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors, responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance wilh ihe ethical requirements that are relevanl to our audil of ihe financial slatemenls in the UK including thc FRC.'s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with ihe.se requirements. We believe that the audil evidence we have obtained is sufficient and appropriate lo provide a basis for our opinion. CoDclu5ions relating to going concern In auditing the financial slalements, we have concluded that the INslees' use of the going concern basis of accounting in the prepardtion of the financial statcments is appropriatc. Based on the work we have perfomed, we have not idenlified any material uncertainlies relating lo events or conditions that, individually or collectively, may cast significant doubt on Ihe charitable company's ability lo conlinue as a going concern for a period of at least twelve months from when the financial staiemenls are auihorised for issve. Our responsibilities and the responsibilities of ihe trustees with respect to going concern are described in the relevant sections of this report. Other informotion The ttvslee% are responsible for the other infornialion. The other infonnation comprise5 the infornlatton included in the Annual Report, other than the ftsnancial ateM¢n{S and our Report of the Independent Auditors Ihereon. Our opinion on the financial statements does not Cover the other inforniation and, excepl to the extent otherwise explicitly staled in our report, we do not express any fonn of a&suran¢e conclusion Ihereon. In connection with our audil of ihe financial statements, our responsibility is lo read the oiher infornialion and, in doing so, consider whether the other inforniation is malerially inconsislenl with Ihc financial statements or our knowledge obtained in the audit or oihenvise appears to be malerially misslated. If we identify such rnaierial inconsislencies or apparent material mis%tatemenls, we are required lo detennine wheiher this gives rise 10 a material misstatement in ihe financial statements themselves. If, based on the work we have perfonned, we Conclude thal iherc is a material misstalemenl of this other information, we are required io report thai fact. We have nothing to report in this regard. Opinions other m4tt¢rs prescribed b), the Companies Act 20(16 In our opinion. based on the work undcrtaken in the course of the audit: the informallon given in thc Report of the Trustees for the financial year for which the financial statements are prepared is on81Stenl H'iih the financial slalements. and the Report of the Trustees has been prepared in accordance with applicable legal requirements.
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF TOWNER- continued Matters on which we are required to report b), exception In the light of the knowledge and underslanding of the charitable company and ils sub.sidiaries and theiT environment obtained in th¢ course of the audit, we have not id¢ntifid mal¢rial misstatements in ihe Report of the Trustees. We have nothing lo report in respect of the following matters where the Companies Aci 2006 requires us to report to you if. in our opinioti- adequate accounting records have not been kept or returns ad¢quat¢ for our audii have nol been received from branches not visiied by us. or the financial statements are not in agreement with the accouniing records and returns. or certain disclosures of Iruslees, remuneraiion s]r1d by law are not made- or we have not receivd all th¢ information and explanations we require for our audit. Responsibilities of trustees As explained more fully in the Statement of Trustee.s' Responsibilities, the truslees {'hO are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial stal¢ments and for being satisfied that they give a true and fair view. and for such inlernal control as the Iruslees detemiine is necessary lo enable the preparation of financial statements thai are free from material misstalemenl. whether due lo fraud or error. In preparing Ihe financial slalemenls, Ihe Irusl¢¢s ar¢ responsible for assessing the charitable company's ability io continue as a going concem, di8clo4ing. as applicable, matters related to going concern and using the going conccrn basis of ac¢ounting unless the trustees either intend lo liquidate the charitable company or lo cease operalions, or have no realistic aliernalive but to do so. Our responsibilities for the audit of the financial statements We have been appoinled as audilor under section 151 of the Charilies Act 201 l and report in accordance with the A and relevant regulations made or having effect thereunder. Our objectives are to obiain reasonable assurance about whether the financial statements as a whol¢ ar¢ fr¢¢ from material misstatement, whether due lo fraud or error, and to issue a Rcport of the Indq)cndent Audilors that includes our opinion. Reasonable assurance is a high level of assurance but 1.4 not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a material misslalement when it exists. Misslalemenls can arise from fraud or error 3nd are considered material if, individually or in the aggregate, they wuld reasonably be expected io influence Ihe economic decisions of users taken on Ihe basis of these financial aternents. Irregularities, including fraud, are inslances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misst8lemenis in respeei of irregularitie5. including fraud. The extent to which our procedures are capable of detecting irregularitics. including fraud is daailed below- .We identified areas of laws and regulations that could reasonably be expected to have a malerial effect on the financial statements from our sector experience and Ihrough discussion with Ihe managemenl team .We had r¢ghrd to laws and regulations in alea5 that direcily affect Ihe financial alemen15 including financial reporting and laxalion legislation. We ¢onsidered Ihat extent of cornpliance with those laws and regulations as pan of our procedures on the relat¢d financial statement items. •With the exception of any known or possible non-compliance. and Tequired by auditing standards, our work in respect of these was limited lo enquiry of Ihe management team. •We communicated ideniified laws and regulations throughout our team and remained alert to any indications of non- compliance throughout the audit. .We addressed the risk of fraud through managemenl override of conirols, by le5ting ihe appropriatene55 of journal entries and other adjustments- assessing whether the judgements made in making accounting e51imale% are indicative of a potenlial bias- and cvaluating the business rationale of any significant Iransactions Ihat are unusual or outside the nonnal course of business. 12
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF TOWNER- continued Our audit procedures were designed lo respond lo risks of material misstatement in the financial slatements, recognizing thal the risk of not detecting a material misstatement due to fraud is higher than the risk of noi detecting one resuliing from error, as fraud may involve deliberate concealment by, for example. forgcry, misrepresentations or through collu.sion. There are inhcrent limitations in the audit proc¢durc5 pcrfomied and the further removed non-compliance wilh laws and regulalions is from the events and transactions reflected in th¢ financial statemenls, the less likely w¢ are io become aware of il. A further description of our responsibilities for Ihe audit of ihe financial statements is located on the Financial Reporting Council's websile al www.fr¢.OTg.uk/audilorsresponsibilities. This de5CriPiion forms part of our Report of the Independent Auditors. Use of our report This report is made solely lo the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audil Work has bttn undertaken so Ihal w¢ rnight state lo ihe charitable company's members those mallers we are required lo stale to them in an auditors, report and for no other purpose. To the fullest extent perniitted by law, we do not accept or assume responsibility lo anyone other than the charitable company and thc charitable company's members as a body, for our audit work, for this r¢port. or for the opinions M'e have formed. Andrew Hill FCA (Senior Statutory Auditor) for and on behalf of Xeinadin Audit Limiied Chartered Accountanls Registered Auditor 36 Old Jewry London EC2R 8DD Dat¢: ... 13
TOWNER CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2024 2024 Total funds 2023 Toial funds Unrestricled Restricted funds Notes INCOME AND ENDOWMENTS FROM: Donations and legacies 224.751 377215 601,966 1,500,009 Charitxble activities Secured funding EBC Secured funding Arts Council England Newhaven Creative Learning activities and funding Turner Prize Funding Eastbourne Alive funding Exhibition & collection activities and exhibition funding Public art trail funding Memberships, Patrons and Direclor's circle Art Fund Museum of the Year Prize mu.seum.s & Galleries Exhibitions Tax Relief Trading activitics.. retail, cafe. cinem venue hire & events Other income Total 413.880 537,962 413,880 537,962 151.703 66,081 189,575 511,915 280,814 413.880 365,962 174,404 146,349 40,000 50,000 99.573 151,703 66,081 35,907 511,915 103,595 153,668 177,219 65,587 65,587 108.205 108,205 96,003 189,387 189.387 76,068 538,367 540.967 515,399 7,889 7,889 2J51 J28 1 J14,603 3.665,931 71.104 3.548,751 EXPENDITURE ON: Charit4ble activities Fundraising and supporters. costs Newhaven Cr¢aiive Le8rning activili¢ Tumer Prize Eastbourne Alive Exhibition & collcction activitics Public art trail Travel and subsistenc¢ Trading Activities Shop, cafe, cinema, venue hire & commercial events Other trading aclivities Total 170.645 11,983 204,434 110,843 76,498 506,020 49,854 65,587 182,628 204.434 355,581 593,732 523.589 694.329 65.805 17,402 173.524 134,456 335,195 94.058 42,514 883,956 244,739 517.234 17,569 644.475 218 17,402 7,446 683.344 I,l(K) 684,444 706,648 609 2,296,235 1,026J19 3J22,554 1,325 2J79,122 NET INCOME 55,093 288,284 343J76 1.169,629 Transfers between funds 18 723,529 (723,529) Net movemenl in fund5 778,622 (435,245) 343J76 1,169,629 Total funds brought forward 4,279,893 684,223 4.964,117 3.794,488 TOTAL FUNDS CARRIED FORWARD 5,058,515 248,978 5J07,493 4,964,117 14
TOWNER CONSOLIDATED BALANCE SHEET 31 MARCH 2024 2024 Tot21 nds 2023 Total Unreslricted funds Reslricled nd Notes FIXED ASSETS Intangible I%tS Tangible assets Heritage as%el 12 13 14 6,138 2,118,767 2 065 201 6,1.38 2,118.767 2 065 201 9,207 2,068,5.31 1860 062 4,190,106 4.190.106 3,937,800 CURRENT ASSETS Debtors Stock Cash at bank 16 334.541 47,583 625 992 36.368 370.909 47.583 829 006 5(K),901 39,376 767 824 203 014 1,008.115 239,382 1247.497 1,308,101 CREDITORS Amounts falling due within one year 17 (139,71) 9596 (130.110) (281,785) NET CURREPIT ASSETS 248 978 1 117387 1026317 TOTAL ASSETS LESS CURRENT LIABILITIES 5,058.515 248,978 5.307,493 4,964,117 ET ASSETS FUNDS Unrestricted funds Restricted funds 18 5,058,515 248 978 4,279,893 684 223 TOTAL FUNDS 1307.491 The financial statements were approved by the Board of Trustces and authorised for issue on 16 September 2024 and were signed on its behalf by.. D Dimbleby- Trustee 15
TOWNER BALAIYCE SHEET 31 MARCH 2024 2024 Total funds 2023 Total funds Unreslricled funds Re4tricted fund Noles FIXED ASSETS Intangible a5%ets' Tangible assets Heritagc asscts Investments 12 13 14 15 6.138 2,118.767 2,065,201 9,207 2,068,531 1,860,062 2.118,767 2.065.201 4.190,107 4.190.107 3,937,801 CURRENT ASSETS Debtors Cash al bank 16 455,371 501 137 36,368 ?03 014 491,739 704 150 726,105 610031 956,507 239,382 1,195.889 1.336,136 CREDITORS Amounts falling due within one year 17 (101.328) 9.596 (91,732) (245,255) NET CURRENT ASSETS 855 179 248 978 1 104 157 1090 881 TOTAL ASSETS LESS CURRENT LIABILITIES 5,045,286 248,978 5,294.264 5,028,682 NET ASSETS 248 978 94 64 - 5 028 6.82 FUNDS UrLreslricted funds R¢5tri¢l¢d funds 18 5,045,286 248 978 4,344,458 684 223 TOTAL FUNDS The financial siatemenis were approved by the Board of Trustees and authorised for issue on 16 September 2024 and were signed on ils behalf by- D Dimbleby - Trustee 16
TOWNER CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2024 2024 2023 Notes Cash flows from operating activities Cash generated from oper81ions 343 334 988 110 Net cash provided by operaling activities 343 334 988110 Cash flows from investing aetii'ities Purchase of inlangible fixed &ssets Purchase of tangible fixed assets Irrecoverdble V A T adjustment re improvemenls to property Purchase of heritage assels (211,244) 10,109 81017) (997.041) Net cash used in investing activities 282 152) (1040041) Change fin cash and cash equivwlents in the reporting period Cash and cash equivalents At the beginning of the reporting period 61,182 (51,931) 767 824 819755 C45h Ind cash equivalents a¢ the end of the reporting period 829.(K)6 767,824 17
TOWNER NOTES TO THE CASH FLOII, STATEMENT FOR THE YEAR ENDED 31 MARCH 2024 RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES 2024 2023 Net income for the reporting period (45 per the Statement of Financial Activities) Adjustment5 for: Depreciation charges Donated work5 included in income (Increase)/ldecrease in debtors (Increase)/decrease in stock IncreascI(decr¢ase) in creditors 343,376 ,169,629 153.968 (124,122) 129,993 (8,207) 151674) 111,441 (230,750) (25.3.493) (6,200) 197484 Ne¢ cash pros'ided b). operations ANALYSIS OF CASH AND CASH EQUIVALENTS 2024 202.3 Notice deposits (less than 3 months) 829 006 767 824 Total cash and cash equivalenls ANALYSIS OF CHANGES IN NET FUNDS Al 114123 Cash flow Ai 3113124 Net cash Cash al bank and in hand 767 824 Total 767 824 The notes form part of these financial Aalements 18
TOWNER NOTES TO THE FINANCIAL STATEMEIYTS FOR THE YEAR EI¥4DED 31 MARCH 2024 ACCOUNTING POLICIES Basis of preparing the fin&neiAI statements The financial statemenls of the charitable company, which ts a public benefit entity under FRS 102, have been prepared in accordan¢e with the Charities SORP {FRS 102) 'Accounting and Reporting by Charitics.. Statement of Recommended Practice applieable io Charities preparing their accounls in accordance with the Financial Reporting Standard applicablc in the UK and Republic of Jreland (FRS 102) (effective l January 2019)., Financial Reporting Standard 102 The Financial Reporting Standard applicablc in the UK and Republic of Ireland, and the Companies Act 2006. The financial statements have been prepared under the hislorical cost convention. Income All income is recognised in ih¢ Siatemcnl of Financial Activities once the charity has entitlement to the funds, it 15 probable that the income will be received and the amount can be rneasured reliably. Expenditure Liabilities are recognised as expenditure as soon as the is a l¢gal or constructive obligation commilling the charity to that expenditure, it l5 probable Ihal a Iransfer of economic benefits will be required in settlement and the amount of the obligation ean be measured reliably. Expendilure is accounted for on an accruals basis and h2s been clas.sified under headings ihal aggregate all cost related io the category. Where ¢osts caDnoi be direcily altributed to particular headings they hav¢ been allocated io activities on a basis consistent with the use of resources. Governance eosts Governance costs comprise all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include cosls relating to statulory audit fees, together with any legal adviee relaling to governance. and an apportionment of staff overhead. Tangible fixed assels Depreciation is provided at ihe following annual rates in order lo wrile off each asset over lis estimaled useful life. Emprovements lo property - over reEn3ining lease tenn. Fixtures and Fittings- 10 /0 straight line, IT and electronic equipment - 20-25 /0 Straight linc. Oiher equipment- l O /0 Straight line. Website costs 20 /0 straight lin¢. Heritoge as$et5: works of art- "the collection" The Trustees consider the M'orks of art to be heritage assets as defined by the SORP and FRS 30. Works of Art consist of paintings. sculptures and prints acquircd by purch and or accepted lo be accessioned into Ihe Collection through donation and bequest. Additions lo the Collection acquired by purchase are recognised in the balance sheet al cost on an annual basis. All works accessioned into the Collection through donation or beques1 are reported in the Balance Sheet al commercial value using recent transaetion information fomi external sources as the basis of assessment. In accordance with FRS 30 "Market Value" has been defined by the Trnstees for this purpose as being the lower of the comparable asses.sed costs lo acquiTe at auciion, compared io thal al an appropriate retail gallery. The artworks are d¢¢m¢d lo have indeterminate lives and a high residual value, hence the Trusiees do noi Consider il appropriate to charge depreciation. Going fonvard, all items purchased for the Collection will eonlinue initially to be recorded in the Balance Sheet al cost and the Truste¢5 will. if Considered appropriate, have Ihem re-valued at any point in the future. Colleclion items acquired by donalion or bequest will be recorded ai CueI Tnarkel value. T&xAtion The charity is exempt from corpordlion tax on its charitable activities. These notes forni part of the financial ateMentS 19
TOWNER NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2024 ACCOUNTING POLICIES-continued Fund Aeeounting Unrestricted funds can be used in accordance with the charitable objectives at the discrelion of (he trustees Restricted fund5 can only be used for particular rcstricted purposes within the objects of the charily. Restriclions arise when specified by the donor or when funds are raised for particular restricted purposes. Further explanation of the nature and purpose of rach fund is included in Ihe noles lo the financial stalements. Hire purchase and leasing eommitments Rental% paid under operating leases are charged io the Statement of Financial Aclivilies on a slrdight-line basis over the period of the lease. Pension costs and other p05t-retirement benefits The charity operale4 a pension scheme for some staff providing defined benefits based on final pensionable pay. The asset5 of the scheme are held separately from ihose of ihe charily. being part of the East Sussex County c.ouncil Scheme. The rnosl recent actuarial valuation carried out was in March 2023. The Admission Agreement entered into between East Sussex County Council and Eastboume Borough Council and Towner dated l July 2014 are on the basis of a fully funded scheme. Eastbourne Borough Council also aets as a guarantor in relation to the scheme. The charity also operdtes a defined conlribution scheme for the remaining staff. Donxted goods fdnd services The value of ihe.se Is Dot cUentlY included in the financial statements bul would be if deemed material. DONATIONS AND LEGACIES Unrestricted Restricted Total 2024 2023 Works donaled to colleclion 124,122 124,122 230,750 Donations and grants towards capital projects 203.125 203,125 882,850 Donations and grdnts towards collection acquisitions 77,000 77,000 17,000 Donations and grants towards core ¢os¢s 100,629 97,090 197.719 356,414 Legacies 224 75_1 377 601966 15QO OQ9. These notes forn) part of the financial statements
TOWNER NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2024 INCOME FROM CHARITABLE ACTIVITIES Unr&stricted Reslricted 2024 2023 Learning activities and funding: Income from learning activities Restricted grant5 and donations 146238 146,3_49 Turner Prize Funding Sponsorship Restricted grants and donations Event income and catalogue sal 147,500 147,500 35,907 35,907 40,000 153 668 Eastbourne Alive Funding Reslrtcted grants and donations 511915 11915 Exhibition and collection aetivities and exhibition funding Exhibition lickets 166,345 166.345 44,936 Other ticketed events 9,491 9,491 9.814 Image licensing and loans 1.383 ,383 3,345 Touring income 4,041 Sponsorship 15,000 Reslricled grants and donations 103 595 103 595 177219 103 595 280 814 These note5 forni part of the financial stalemenls 21
TOWNER NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2024 TRADING ACTIVITIES Unrestricted Restricted 2024 2023 Retail %ales (shop and online) 332.346 332.346 221,484 Cafe and catering ,370 1,370 142,343 C.inema tick¢t 149.863 149.863 114.970 Cinema funding 6(M) 600 980 Rental income and recharged expense 21.786 21.786 V¢nue hire (incl. cinema) 21.163 21.163 20.098 Commercial events 11.838 11,838 11.523 Other restricted funding of irading activilies 538 36 6(K) 540 967 OTHER INCOME Unrcstricted Restricled 2024 2023 Insurance claims Teceived 500 Sussex Modern income 33,333 Sale of equipmenl 363 363 2,360 Sale of non-accessioned gifts 482 482 31,458 Book royalties 531 531 405 Miscellaneous 436 436 204 Interest received These notes forni part of ihe financial statements
TOWNER NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2024 ANALYSIS OF COSTS Direct staff OtheT direct Allocat¢d costs support costs (slalD Allocai¢d support costs (non stair) Tolals Fundraising and Supporters, Costs 134,408 15,457 32,763 182,628 Newhaven Creative 69.531 132.403 2.500 204,434 Learning 94,932 88.991 65.222 106,437 355.581 Turner Prize 177.446 276.753 65,222 74,312 593.732 EabOurne Alive 61.461 462.128 523,589 Exhibition and colleclion activities 279.614 115.747 65.222 233,746 694,329 Public Art Trail 12.500 53,305 65.805 Travel and subsistence 17.402 17,402 Shop, café, cinema and venue hire 152.562 275.736 65.222 190,925 684,£H4 Other 609 609 322 554_ Newhaven Creative other direct costs includes £52,252 grdnLs lo grdss roots organisalions (2023:£14.900 organisations) GOVERNANCE COSTS Toial Governance costs comprise.. Staff costs 22,875 Audit costs 7.300 Regulatory ¢0sls 26 Recruitment costs 16,169 Room hire 706 Other 46% Th¢5e nol¢s form part of ihe financial statements
TOWNER NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2024 NET INCOMEI(EXPENDITURE) Nel incomel(expendilure) ts slated after chargingl(crediting): 2024 2023 Auditors, remuneration 7.300 6,650 Depreciation - owned assets 60,986 34.564 Other operating leases ,320 2,460 TRUSTEES, REMUNERATION AND BENEFITS No trustees, remuneration or other benefits H'ere paid for the year ended 31 March 2024 or for the year ended 31 Mar¢h 2023. Towner-relaled travel expense reimburs¢m¢nt th'as £nil (2023.. £16). io. STAFF COSTS 2024 2023 Wages and salaries 1.108,720 981.481 Social security costs 88,166 77,337 Pension costs The average monthly number of employees during Ihe year was 52 (2023: 53) The number of staff whose employee benefits (excluding employer pension costs) exceeded £60,000 was l {2023'.1) as follows.. 2024 2023 £70,001- £80.000 £80,001- £90,000 In addilion to the iru%lees, key management personnel are considered to be the Director, Deputy Director, Director of Development, Head of Collections and Exhibilions, Head of Learning and Head of Marketing & Communications. The total aTnount paid to these key managcmeni personnel in the year (including employees pension contributionq) was £323,359 (2023- £307.839). These noles form part of the financial 5taiemevJlS 24
TOWNER NOTES TO THE FINAIYCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2024 ii. COMPARATIVES {PRIOR YEAR) FOR THE STATEMENT OF FINANCIAL ACTIVITIES Unr¢slri¢l¢d funds Restricled fund Total funds INCOME AND ENDOWMENTS FROM Donations and legacies 751,980 748,029 1,500,009 Charitable activities Secured funding EBC 413,880 413,880 Secured funding Arts Council England 365.962 365,962 Newhaven Creative 174,404 174,404 Learning activities and funding 146.238 146,349 Turner Prize funding 40.000 40,000 Easibourne Alive fijnding 50,000 50,000 Exhibition & collection activities and exhibition funding 77.136 22,437 99,573 Memberships. Patron5 and Direclorfs Circle 96,003 96,003 Museums and Galleries Exhibitions Tax Relief 76,068 76,068 Trading activities Shop, café, ctnema, venue hire & commercial events 510.419 4,980 515,399 Other income 71,104 71,104 Total 2,362,663 1,186,087 3,548,751 Thc5¢ notes fonn part of the financial statements 25
TOWNER NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2024 Unrestricled funds Restricted funds Total Funds EXPENDITURE ON Charitable fictivities Fundraising and Supporters, Cos15 173,524 173,524 Newhaven Crealive 134,456 134,456 Learning aetivilies 226,689 108,506 335,195 Turncr Prize 44,648 49.409 94,058 Ea%tbourne Alive 22,661 19,853 42.514 Exhibilion and ¢oll¢clion aclivities 832.703 51,253 883,956 Travel and subsisten¢e 7.446 7,446 Tradfing Aetivities Shop, café, cinema. venue hire & commercial events 705,170 ,478 706,648 Other trading activities 1,325 1,325 TotAI Expenditure 2.014,166 364,956 2.379,122 NET INCOME 348,497 821.132 1,169,629 Transfers between funds 958,457 {958,457) Net movement in funds 1,306,954 {137.325) 1.169.629 RECONCILIATION OF FUNDS Total funds brought fonvard 2,972,940 821,548 3,794,488 TOTAL FUNDS CARRIED FORWARD 496411 These noles form part of the financial stalements 26
TOWNER NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2023 12. INTANGIBLE FIXED ASSETS (GROUP AND CHARITY) Computer software COST At l April 2023 aT)d at 31 March 2024 15,345 DEPRECIATION At l April 2023 Charge for year At 31 March 2024 6,138 9.207 NET BOOK VALUE At 31 March 2024 At 31 March 2023 9,207 13. TANGIBLE FIXED ASSETS (GROUP AND CHARITY) Improvements to property Flxtures fittings and equipm¢nt Assets under construction Computer equipment Totals COST At l April 2023 Additions Irrecoverable VAT adjustment Transfers 1,457.727 439,387 194.691 338,634 15.148 16,320 ,405 2,252,069 211,244 (10,109) {10.109) 529 393 634 079) At 31 March 2024 1977011 458 468 2 453 204 DEPRECIATION At l April 2023 Charge for year Transf¢rs 70.888 66,513 97.275 39.924 15.375 995 183,537 150,899 43.468 43 468) At 31 March 2024 163 870 154 197 334437 NET BOOK VALUE At 31 March 2024 At 31 March 2023 1.186 84Q .241J59 94 Improvements lo property comprise the construction of Towner'5 cinema in 2017. the cosl of the ground floor development project completed in early 22123 and the cosi of the café redci'elopmenl completed in early 2.1124, the laiier transferred from assets in construction this year (the FFE elem¢nt being Iran4fced from assels in conslrnclion to that heading). These notes forni part of the flnancial stalemenis 27
TOWNER NOTES TO THE FIIYANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2023 14. HERITAGE ASSETS Total Ai l April 2023 Additions- donal¢d (markel va]ue) Additions- purchased (cost) At 31 March 2024 1,860,062 124,122 2 065 201 NET BOOK VALUE Ai 31 March 2024 201 At 31 March 2023 15. FIXED ASSET INVESTMENTS The charity controls Towner Enierprises Lirnited, which is in¢orpordied in England, by virtue of holding l 00 /0 of its £ I equity share capital. The company underlakes ancillary trading activities al Tou'ner u'ith the aim of gifting its taxable profits to the charity. 2024 2023 Turnover 535,287 513,699 Expenditure (457,493) (522,594) Profit(loqs) for the year 77.794 (8,895) Amounl gift aided 10 the Charily in the year The Assets and Liabililies of Towner Enlerprises Lid were- Total assets 189.651 199,210 Tolal liabililies (176,421) (263,774) Nel assets 13.230 (64,564) Represenied by: Share capital and reserves 13.230 (64,564) These notes form part of Ihe financial sialemenls 28
TOWNER NOTES TO THE FIIYANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2024 16. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 2024 Group 2024 Charity 2023 Group 2023 Charity Trade debtors 29.609 18,164 92,081 90.917 Amounts owed from subsidiary 138,043 227.244 Other debtors 285,043 281,999 198,391 197,841 VAT recoverable 24,602 24,602 Restricted funding due 32,857 32.857 Prepayments and accrued income 185 828 185 502 Total 370,909 491.739 500,901 726,105 17. CREDITORS: AMOUNTS FALLIIYG DUE WITHIN 0,E YEAR 2024 Group 2024 Charity 2023 Group 2023 Charity Trade creditors 29,125 18.542 151,267 135,322 other creditor 979 117 Tax & social erity 28,600 12,730 14,912 Accruals and deferred income 115488 109 933 Total 130,110 91,732 281,785 245,255 These notes forn) part of th¢ financial slatements 29
TOWNER IYOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2024 18. MOVEMENT IN FUNDS At 114123 Nel income Transfers Ai between funds 3113124 Unrestricted funds: General fund 4.279,893 55,093 723,529 5,058,515 Restrieted funds: Building development project (Phase 2-cafe) 439.387 203.125 (642,512) Collection acquisitions 18.429 77,000 (81,017) 14,412 Leaming 71,843 (55,250) 10,000 26,593 Learning Appeal Turner Prize 50,591 (40,591) (10,000) E&stbourne Alive 30.147 5,895 36,041 Exhibition5 14,596 12,332 26,929 Public Art Trail Iniva 11,544 11,544 Newhavcn Creative 52.731 {52,731) Fundraising and Supporters, Costs 2,500 (2,500) Fidelity (core costs) 86.607 86,607 Art Fund Reimagine 40,853 40,853 Funding of internships Funding of book production 2,000 6,000 Cinema funding Total restried 684.224 288,284 (723,529) 248,978 Total Funds 4,964,117 34.1.376 5.307,493 The main transfer between funds represents the second floor cafe development project being completed in 23124, moving to general use and leaving reslricted funds. Collection acquisitions are also deemed lo leave the restricted acqui.5ilion fund once they are purchased {using reslricted funds) and enler ihe general colleclion. These noles form part of the financial sial¢m¢nls 30
TOWNER NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2024 18 NET INCOME- DETAIL Incoming Re%ources Nel income rewurces expended eontd UDrestricted funds: General fund 2,351,328 (2,296235) 55,093 Restricted funds: Building development project (Phase 2 _cafe) 203,125 203.125 Collection acquisitions 77,000 77,000 Learning 38.750 (94.000) (55,250) Learning Apprdls 16.331 (16.331) Turner Prize 35,907 (76,498) (40,591) Easibourne Alive 511,915 {506,020) 5.895 Exhibitions 42.345 (30.013) 12,332 Public Art Trail. 65,587 (65.587) Iniva 25,750 {14,207) 11.544 Newhaven Creative 151,703 (204,434) (52,731) Fundraising and Supporters. Costs {2,500) (2.500) Fidelity (core cosls) 97.090 {10,483) 86,607 Art Fund Reimagine 43,200 {2,347} 40.853 Funding of internships 3,300 {3.31M)} Funding of book produ¢iion 2,000 Cinema funding (600) Toial restTiCted 1.314.603 (1,026.319) 288,284 Total Funds 3.665,931 (3.322.554) 343.376 Thes¢ notes forn part of the financial statements 31
TOWNER NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2024 19. MOVEMENT IN FUNDS- PRIOR YEAR COMPARATIVE At 114122 Net income Transfers At between funds 3113123 Unrestricted funds: General fund 2,972,940 348,497 958,457 4.279.893 Restricted funds: Building development PToject (Phasc l -ground floor) 628.928 426.748 (1,055,676) Building development project (Phas¢ 2 -cafe) 283.573 153,814 439,387 Building development project (office upgrade) 16.715 (16,715) Collection acquisilions 41.309 17.000 (39,880) 18,429 Learning 43,614 28,229 71.843 Turner Prize 591 50,000 50,591 EastbourneAlive 30,147 30,147 Exhibitions 92,915 (28.319) (50,000) 14,596 Collection Curalion- Kickstart Iniva Newhaven Creative 12.783 39.948 52.731 Fundraising and Supporters. Costs 2.500 2,500 Kickstart (core c0515) Other 4,000 Total reslricled 821.548 821,132 (958,457) 684,223 Total Funds 3.794.488 .169,629 4,964,117 The main transfer beiween funds represenls the Ground Floor Developmenl project being compleled in 22123, moving to general use and .so leaving restricted funds. The lop floor cafe project was funded in arrears against invoice% paid and so shows temporary funding from unrestricted funds as at the year end. The top floor cafe project was completed in 23124. £50,000 fvnding received in adi'ance for the Turner Prize in 21122 has been reallocated from Exhibitions as the Turner Prize is now shown Paral¢lY. Unreslricted re.serve5 include £215,000 designated to Emerging Artists, expenditure and new slaff positions. These notes forni part of the financial stalem¢nts 32
TOWNER NOTES TO THE FINANCIAL STATEMENTS- eontinued FOR THE YEAR ENDED 31 MARCH 2024 19 contd NET COmE - DETAIL Incoming Resources Net income resourc&s expended Unrestricted fund$: General fund 2.362,663 (2,014,166) 348,497 Restricted funds: Building development project (Phase l - ground floor) 426,748 426,748 Building development project (Phase 2 -cafe) 283.753 283,753 Building development project (office upgrade) 16,715 16,715 Collection acquisitions 17,1KKI 17,000 Learning 136,238 (108.008) 28,229 Turner Prize 50,0(K) (49.409) 591 Easibourne AITve 50.000 (19,853) 30.147 Exhibitions 4.250 (32,569) (28,319) Collection Curdlion- Kicks13rt 6.437 (6,437) Iniva 11.750 (11,750) Newhavcn Creaiive 174.404 (134,456) 39.948 Fundraising and Supporters, Cosis 2.500 2,500 Kickstart (core c0515) 1,493 (1.493) Other 4.980 (980) 4.000 Total reslricted 1,186,087 (364.956) 821.132 Total Funds 3,548,751 (2,379,122) 1,169,629 These notes forni part of the financial statements 33
TOWNER NOTES TO THE FIIYANCIAL STATEMENTS- continued FOR THE YEAR ENDED 31 MARCH 2024 20. EMPLOYEE BENEFIT OBLIGATIONS For staff who transfeed from the Easiboume Borough Council in 2014, the charity operate% a pension %ch¢me providing defined benefits based on pensionable pay. The assets of the scheme are hcld 5cparalcly from those of the charity, being part of the East Sussex Pcnsion Fund. Pension contribulions are detennined by a qualified actuary on the basis of triennial valualions. The latest valuation was carried oul as 8131 March 2023. Under an agreement with Eastboume Borough Council, Towner's liability is limited to an employer contribution r3te of 19.20/y of pensionable pay. Other slaff hav¢ the option of joining a defined contribution scheme under auto-enrolment provisions. 21. RELATED PARTY DISCLOSURES Towner employed the services of King & McGaw Lid. the value of ihe work carried oul totalled £23.120 (202.3 £18,160) and received commercial sponsorship of £50,000 (2023- £25.000). King and McGaw is a company 0,ned by Mr G King. a Trustee of Towner. 22. MEMBERS, LIABILITY The ch3ri1y is a private company limited by guarant¢c and consequenily does not have a share capilal. Each of the members is liable to contribute an amount not exceeding £1 towards ihe assets of the charity in ihe eveni of liquidalion. 23. POST BALANCE SHEET EVENTS In late August 2024, the senior t¢am were informed that Eastbourne Borough Council will be applying a £IOO,000 cut lo their funding of Towner in the current financial year (24125) with immediate effect, along with a possibl¢ further Cut coming in the next finaneial year. This is a resuli of Ihe growing homeless crisis in the town and the pressure this is putting on the Council's budgei. There is currently no decision on the future funding level. so the current income diversification programme will be accelerated, and a full review of free (unti¢keted) activity will take place, alongside a full vIeW of all ¢xp¢nditure. In addition. we will be accelerating the installalion of solar panels to reduce energy costs. These notes form part of Ihe ftnancial statements