REGISTERED CHARITY NUMBER: 1160353 REPORT OF THE TRUSTEES AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024 FOR THE ISLAMIC FOUNDATION
THE ISLAMIC FOUNDATION CONTENTS OF THE FINANCIAL STATEMENTS For The Year Ended 31 December 2024 Poge Reference and Adrnlnlsfratlve Delalls Report of the Truslees Report of the Independent Audltois Slatement of Flnanclal AcHvltles Balance Sheet Cash Flow Statement Notes lo the Cash Flow Statement Notes lo the Financial Statements 13 to 20 Detailed Statement of Financial Activilies 21 to 22
THE ISLAMIC FOUNDATION REFERENCE AND ADMINISTRATIVE DETAILS For The Year Ended 31 December 2024 TRUSTEES Prof A Ahmad DrMABari Dr M Ahsan (resigned 22.3.241 Dr Z Parve2 Dr R Mohammed Dr M R M Lebbai PRINCIPAL ADDRESS Ihe Morkfield Conference Centre Ratby Lane Leicester Leicestershire LE67 9SY REGISTERED CHARITY NUMBER 1160353 AUDITORS TC Group 31 High View Close Hamilton Offfice Park Leicester Leicestershire LE4 9LJ Page I
THE ISLAMIC FOUNDATION REPORT OF THE TRUSTEES For The Year Ended 31 December 2024 The tnjstees present their report wth the financial statements of the charity for the year ended 31 December 2024. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicoble in the UK and Republic of Irelond IFRS 1021 leffective l January 20191. OBJECTIVES AND ACTIVITIES Objecflves and alms The key purpose of the charity is to promote an understanding of Islam and thelslamic world. in accordance th the objectives laid out in the trust deeds. The Trustees confirm that they have refeFTed to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the Trust's aims and objectives and in planning future activilies. The Islamic Foundation is dedicated to the seNice of knowledge through research, educotion, training, and publishing with the aim of promoting a more informed understonding of the Islamic faith, both amongst Muslims and olhers, and foster better relations behveen Muslims and people of other faiths and none. Publlc beneflt Tre Islamic Foundotion is working to provide the general public with a better understanding of the 151amic faith, both amongsl Muslims ond non-muslims, and foster betler relations between Muslims and people of other faiths and none. The ttustees confirm that they have complied V¥fjth Ihe requirements ol section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Chorify Commission for England and Wales. ACHIEVEMENTS AND PERFORMANCE Charltable acllvltles During the year under review the Foundation maintained its research. education, inter-faith and publishing activities. We continued to work closely with our diverse range of volunteers. well-wshers and partners which helped us to expand the institulion's profile and community services such as Eid festivals, Ramadan gatherings, weekend school (Moktabl. In 2024 the Islamic Foundation continued with its research programmes including archiving. We also began the project to digitalise thc library. The Foundation developed and delivered youlh development retreots by the title of Ribaat. The leadership development retreats were organised under the brand name of iLeod. The Foundation continued to develop and publish books through Kube Publishing. They included academic. general. clossics and children's titles. The Foundation liaised with various charities and sponsors in relation to the distribution of our books to poor and low-income children and families in UK and abrood. The l%Auslim World Book Review IMWBRI published 4 issues of its 44th and 45th volume. It was also offered in the digital format on VvWW.mwbr.org.uk. Markfield Conference Centre continued to provide unique facilities for the communities from across UK ond even Europe. A diverse range of community groups visited the centre for their educational, Social and cultural activities. The Foundalion contributed to the educational and training progrommes of some of these groups. Our mosque, a registered place of worship, holds daily congregationol prayers and is used extensively by many visitors, especially on Fridays. Page 2
THE ISLAMIC FOUNDATION REPORT OF THE TRUSTEES For The Year Ended 31 December 2024 The Islamic Foundation Library provided an effective and efficient informalion service to all ils users. These included students of MA, MPhil ond PhD studying at the Morkfield Institute of Higher Education IMIHEI, as well as long and short-term visiting researchers. and members of acodemic and non-academic stoff at the Foundation. During the year, the library added over 500 new books in Arabic, English and Urdu. The subjecl areas include the Qur'an, Seera, Islamic Banking & Finance. Interfaith studies and plurolism, Islamic Law and Philosophy. history and culture of Muglims in Europe. particulody British Muslims. The library has also been exploring new electronic resources. The trustees participated and conlribuled to various academic and community organisations octively and conducted lectures and training online. Tris included porlicipation at the Doha Conference on Interfaith Dialogue 2024. FINANCIAL REVIEW Financial position At the end ol the financial year the tolal resetves stood at £4.196,52512023'. £3,969.7751. The trustees believe this to be a sound footing to invest in the future of the charify. The operating turnover was £615,048 12023.. £493,693) against operoting expenditure of £626,598 12023: £543,0621 and a gain on investment property of £238,299 {2023: £nill. As a charity the public hos the assurance that all fund5 generated must be applied for the purposes of the choritsls objectives and octivities. As a charity we enjoy lax exemption on our charitable activities and our investment income and gains provided Ihese ore applied for our charitoble airns. The financial benefits we receive from the tax exemption5 are all applied to help maintain our objective5. ReseNes pollcy Resepies ore maintained at a level that enabled the Charity to manage financial risk and short-term income volatility. They allow the Charity to suslain optimol levels of expenditure. ensuring that financial commitmenls can be met as thèy fall due. Our reseNes policy allocates money from unrestricted fund balances. which are not invesled in fixed o55ets, held in our 60 and 120 days, reseNes accounts. The reseNes amount was capped at £50,000 for the financial year ended 31 st December 2024 which is meant to be used in bridging any possible deloys in receiving donations or managing payments in arrears. The period of delay has been defined as a minimum of a three month5 bvdgeted trading activity. Thi5 poficy is however reviewed on six months basis twice in a financial period, as circumstances evolve and chonge during the course of the next financial year. matching changes to the onnual budget. FUTURE PLANS Besides the incorme trom investments, revenue from the hiring of the conference facililies, fees from educational programmes, grants from notional and international charitable foundations remain the major sources of our finance. The Foundation has always had a policy of building our endowmenl fund based on property investment. It has perforrned well to dale. In the p05t Pandemic a major objective for tho future is to use digital marketing for fundraising lo expand our donor base. This wll allow us to further expand charitable activities such as educational programmes for the youth. mosque leodership the librory services ond the academic activities such as research seminars, publications and joumals. We are also c105e to securing the planning consent to modernise our conference facilities to wden the user base to professional and higher educational octivitie5. thus. enhancing the revenue. STRUCTURE. GOVERNANCE AND MANAGEMENT Goveming document The Islamic Foundation is registered os a Choritoble Incorporated Organisation ICIOI. number 1160353, and 15 considered to have no liability to toxalion on its income. Recruitment and appointment of new trustees The election of the trustees is formalised in the constitution. Poge 3
THE ISLAMIC FOUNDATION REPORT OF THE TRUSTEES ForThe Year Ended 31 December 2024 STRUCTURE, GOVERNANCE AND MANAGEMENT Orgonisational structure The Trustees who have ultimate responsibility for maintenance of the Islamic Foundation and its policy ond strategic direction, have delegated the day-to-day management of the Foundation to its Director General. who operates through Senior Execulive Committee ISECI consisting of both selected trustees and the deportmentol and project heads. The co-ordination of the manogement of the Islamic Foundation on behalf of the trustees is the responsibilily of the Secretary of the Foundation. Trie Trustees maintain contact with and participotion in the decision-making piocess of the Foundation through the Administrative Committee which meets quarterly and its sub committees. when formed. meet as required. Inducllon ond tralnlng of new trustees Trustees are appointed with no limit to their tenure ond os and when the board requires. The appoinlment of Trustees is preceded by consullalion to ensure they are aware of the aims and objectives of the charity and their responsibilities. They are provided regular updates on the regulations and their legal and institutional dutiés. Rlsk management The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonoble assuronce agoinst froud ond error. Objectives and policies The charily's octivilies expose it to o number of financial risks including credit risk. cash flow risk and liquidity risk. The use of financial derivatives is govemed by the charitvs policies approved by the board of trustees. which provide Vvritten principles on the usé of financial deiivatives to manage these risks. The chority does not use derivative financiol instruments for speculotive purposes. The charity's activities expose il primarily to the finoncial risks ol changes in foreign currency exchange rates and interest rotes. The charity vses foreign exchange fopNard controcls and interest rale swap contracts to hedge these exposures. Interest beoring assets and liabilities ore held ot fixed rale to ensure certainty of cosh flows. Credil risk The charity's principal financial assets are bank balances and cash. trade and other receivables. and investments. The charity's credit risk is primarily attributable to its trode receivables. The amounts presented in the balance sheet are net of allowances for doubtful receivables. An allowance for impairment is mode where there is on identified loss evenl which, based on previous experience, is evidence of a reduction in the recoverobilily of the cash flows. The credit risk on liquid funds and derivative financial instruments is limited because the counterparties are banks with high credit-rotings ossigned by international credit-rating agencies. The charity has no significont concenlration of credit risk, with exposure spread over a large number of counterparties and customers. Liquidity risk To mointoin liquidity lo ensure that sufficient funds are available for ongoing operations and future developments. the chorily uses a mixture of long-term and short-term debt finance. Furthèr details regarding liquidity risk can be tound in the Statement of accounting policies in the financiol statements. Page 4
THE ISLAMIC FOUNDATION REPORT OF THE TRUSTEES For The Yeor Ended 31 December 2024 STATEMENT OF TRUSTEES. RESPONSIBILITIES The trustees are responsible lor preparing Ihe Report of the Trustees ond the financial stotements in accordance with applicable law and Uniled Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Praclicel. The law applicable to chorilies in England and Woles, the Charities Act 2011, Charity IAccounts and Reports) Regulations 2008 and the provisions of Ihe trust deed requires the trustees to prepare financial statements for each financial year which give a true ond fair view of the stole of allairs of the charity and of the incoming resources ond application of resources, including the income and expenditure. of the chority for thot period. In preparing those finoncial stotements. the trustees are required to select suitable accounting policies and then apply them consistently,. obseple the methods ond principles in the Charity SORP: makejudgements and eslimales that ore reasonable and prudent.. stole whether applicoble occounting standards hove been followed. subject to any material departures disclosed ond explained in the finoncial statements., prepare the financial statements on the going concem basis unless it is inappropriate to presume that the chority will continue in business. The trustees ore responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them lo ensure that the tinancial statements comply with the Charities Act 2011, the Charity IAccounts and Reports) Regulations 2008 and the provisions ol Ihe trust deed. They are also responsible for safeguarding the assets of the chamty ond hence lor laking reasonable steps for the prevention and delection of fraud and other irregularities. Approved by order of the board of trustees on .............. and signed on its beholf by: Dr Z Parvez- Trustee Page 5
REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF THE ISLAMIC FOUNDATION Oplnlon We hove audited the financiol statement5 of The Islamic Foundolion Ilhe 'charity'l for the yeor ended 31 December 2024 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow statement and notes to the financial slalements, including a summary of significant accounting policies. The financial reporting framework that hai been applied in their preporation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounling Practice). In our opinion the financial slatements: give a Irue and fair view of the state of the charity's affairs as at 31 December 2024 and of its incoming resources and applicotion of resources. for the year then ended., have been property prepared in accordance with United Kingdom Generally Accepted Accounting Practice., and have been prepared in accordance with the requirements ol the Charities Act 2011. Basi5 for opinion We conducted our audil in accordance with Internotional Standards on Auditing IUKI IISA% IUKII and applicoble low. Our responsibililies under those stondords ore further described in the Auditors, responsibilities for the audit of the financial statements section of our report. We are independent ol the charity in accordance with the ethical requirements thot are relevonl to our audit of the financiol stolements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtoined is sufficient and appropriote to provide a basi5 for our opinion. Conclvslons relatlng lo golng concern In audiling the financial statements. we hove concluded Ihal the trustees, use of the going concern basis of accounling in Ihe preparotion of the financiol slatemenls is appropriote. Based on the work we have performed, we hove not identified any material uncerlainlies relating to events or conditions that, individually or collectively, moy cosl significant doubt on the charily's ability to continue as a going concem for a period of at least twelve months trom when the financial statements are authorised for issue. Our responsibilities ond the responsibilities of the trustees with respect to going concern ore described in the relevanl sections of this reporl. Olher Informatlon The trustees ore responsible for the other informolion. The other informolion comprises the informolion included in the Annual Report, other than the financial statements and our Report of Ihe Independent Audilors Ihereon. Our opinion on the financiol statements does not cover the other information and, except to the extent otheTwse explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection wlh our audit of the financial statements, our responsibility is to read the other information and. in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audil or otherwdse appears to be materially misstated. If we identify such moteriol inconsistencies or opparent material misstotements, we are required to determine whelher Ihis gives rise to a materiol misstatement in the financial statements themselves. If, based on the work we hove performed, we conclude that there is a material misstatement of this other information. we are required to report Ihot fact. We hove nothing to report in this regard. Matters on whlch we are requlred to report by excepffon We hove nolhing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion- the informotion given in the Report of the Trustees is inconsistent in any material respect with the financial 5tatements'. or sufficient accounting records have not been kept., or the financial statements are not in agreement with the accounting records and retums,. or we have not received all the information and explanations we require for our audit. Page 6
REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF THE ISLAMIC FOUNDATION Responslbllilies of trustees explained more fully in the Statement of Trustees, Responsibilities, the trustees are responsible for the preparation of the financial statements which give a true and fair view. and for such internal control as the trustees determine is necessary to enable the preparalion of financial statements that are free from material misstatement. whether due lo fraud or error. In preparing the financial statements. the trustees ore responsible for assessing the charity's ability to continue as a going concern. disclosing. as applicable. matters related to going concern ond using the going concern basis of ac.counting unless Ihe trustees either intend to liquidate the charity or to cease operations, or have no iealistic altemative but to do so. Our responsibilities forthe avdit of the financiol stotements We have been appointed as auditors under Section 144 of the Charitics Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. Our objeclives are to obtain reasonable assurance obout whether the financial statement5 as a whole are free from moteriol misstatement, whether due to fraud or error, and to issue a Report ol Ihe Independent Auditors Ihot includes our opinion. Reasonable assurance is a high level of assurance, but is not a guorantee that an audit conducted in accordance with ISA5 IUKI will afvays detect a material misstatement when it exisls. Misstatements can arise from fraud or error and ore considered material if, individuolly or in the oggregate, they could reasonobly be expected to influence the economic decisions of users taken on the basis of these financial statements. Iegularities, including froud, are instonces ol non-complionce with laws and regulation. We design procedures in line with our responsibilities. outlined above. to detect material misstatements in respect of irregularities, including froud. The extent lo which our procedures ore capable of detecting irregularities, including fraud is detailed below: We obtained an understanding of fhe legal and regulotory fromeworks that are opplicable to the charity and determined that the most significant frameworks which are directly relevant so specific assertions in the finonciol statements ore those that relate to the reporling framewort IUK GAAP and the Companies Act 20061 and the relevanl tax compliance regulations in the UK. We underslood how the charity is complying wth those framewo$ by making enquiries of managemenl and those responsible for legal and compliance procedures. We corroborated our enquiries through review of board minutes and discussions with those charged with governancc. We assess the susceptibility of the charily's financial statements to matpriol misstotement. including how Iraud might occur. by discussion with management from various parts of the business lo understand where they considered there was a susceptibility to fraud. We considered the procedures and controls that the charity has established to prevent and detect fraud. and how these are monitored by management, and also any enhanced risk factors such as perfonmance targets. Based on our understanding, we designed our audit procedures to identify any non-compliance wth lows and regulations identified in the paragrophs above. We also perfomed audit work over the risk of management override of controls. including testing of journal enlries ond other odjustments for appropriateness. evaluating the business rationale of sigr)ificant transactions outside the nomal course of business and reviewing occounting estimotes for bias. A further description of our responsibilities for the audil of the financial statements is locoted on the Financial Reporting Council's website at w¢rni.frc.org.uk/auditorsresponsibilities. This description forms part ol our Reporl of the Independent Auditors. Page 7
REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF THE ISLAMIC FOUNDATION Use o* our report This report is mode solely to the chority's trustees, os a body, in accordance with Port 4 of the Charities (Accounls and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's tnJstees those matters we ore required to stale to them in an auditors, report and for no other purpose. To Ihe fullest extent permimed by law, we do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed. TC Group 31 High View Close Hamilton Officc Pork Leicester Leicestershire LE4 9LJ Date: Page 8
THE ISLAMIC FOUNDATION STATEMENT OF FINANCIAL ACTIVITIES For The Year Ended 31 December 2024 2024 Total funds 2023 Total funds Unrestricted fund Restricted funds Noles INCOME AND ENDOWMENTS FROM Donations and legocies 193.860 9,630 203.490 99,164 Charitable aclivities Hire of Conference facilities General costs Maktablmadressa 96,424 5.958 18.317 96.424 5,958 18,317 130.019 4,590 14.247 Investment income other income 189.843 101,016 189,843 101.016 206,805 38,868 Total 605.418 9,630 615,048 493,693 EXPENDITURE ON Raising funds 33.887 33,887 25.218 Charitable aclivities Donations General costs 10,959 246.805 10,959 246,805 8,360 211.701 other 334.947 334.947 297.783 Total 626,598 626,598 543,062 Net gains on investments 238,299 238,299 NE[ INCOME/{EXPENDITURE} Transfers befvieen funds 217,119 8.442 9,630 18,4421 226.749 149,3691 20 Net movemenl In funds 225.561 1,188 226,749 149.3691 RECONCILIATION OF FUNDS Total funds brought fotward 3.922,010 47,765 3,969,775 4.019,144 TOTAL FUNDS CARRIED FORWARD 4.147,571 48,953 4,196,524 3.969,775 The notes form part of Ihese financial statements Poge 9
THE ISLAMIC FOUNDATION BALANCE SHEE[ 31 December 2024 2024 2023 Notes FIXED ASSETS Tangible a55et5 Investment property 2.071.620 1,931,000 2.117.400 1.692.701 13 4,002,620 3.810,101 CURRENT ASSETS Debtors Cash at bank and in hand 246.540 207,693 250.943 170,379 454.233 421,322 CREDITORS Amounls falling due within one year 15 1246,7971 1238,7481 NE[ CURRENT ASSETS 207,436 182,574 TOTAL ASSETS LESS CURRENT LIABILITtES 4,210,056 3,992.675 CREDITORS Amounts falling due after more than one year 113,5321 122,9001 NET ASSETS 4,196,524 3,969,775 FUNDS Unrestricted funds Restricted funds 20 4,147,571 48,953 3.922,010 47,765 TOTAL FUNDS 4.196,524 3.969,775 The financial statements were opproved by the Board of Trustees and authorised for issue on . and were signed on its behalf by.. Z Parvez - Trustee The notes form part of these financial statements Page 10
THE ISLAMIC FOUNDATION CASH FLOW STATEMENT For The Year Ended 31 December 2024 2024 2023 Notes Cash flows from operating octivilies Cosh generated from operations Interest paid 45,991 10,328 12921 Net cash provided by operoling activities 45,991 10.03 Cash Ilows from investing oclivities Purchase of tangible fixed assets Purchase of inveslment property Interest received 19721 14.8301 136.0001 1,931 2.296 Net CQ5h provided by/{used in) investing aclivities 1.324 138,8991 Cash ffows from flnanclng activities Loan repayments in year 110,0011 110.6341 Net cosh used in financing activities 110.0011 110.6341 Change in cash ond cash equivalents in the reporting period Cash ond cash equivalents at the beglnnlng of the reportlng period 37.314 139.4971 170,379 209,876 Cash and cash equlvalents at the end of the reporling period 207,693 170,379 Trie notes form part of these financial stotements Pagell
THE ISIAMIC FOUNDATION NOTES TO THE CASH FLOW STATEMENT For The Year Ended 31 December 2024 RECONCILIATION OF NET INCOME/(EXPENDITURE} TO NET CASH FLOW FROM OPERATING ACTIVITIES 2024 2023 Net income/(expenditure) for Ihe reportlng perlod (as per the stalement of Financial Activitie5) Adjustments for: Depreciation charges Losses on investments Interest received Interest paid Decreasellincreasel in deblors Increase in creditors 226,749 149,3691 46.752 1238.2991 12.2961 47.546 11,9311 292 116,7941 30,584 4,403 8,682 Net cash provlded by operattons 45,991 10.328 ANALYSIS OF CHANGES IN NEf FUNDS Ati.1.24 Cash flow A131.12.24 Nel cash Cash at bank and in hand 170,379 37,314 207.693 170,379 37,314 207.693 Debt Debls falling due wthin l year Debls falling due after l year 110,6331 122,9001 633 9,368 11 0,0001 113,5321 133,5331 10,001 123,5321 Tolal 136,846 47,315 184,161 The notes form part of these financial statements Page 12
THE ISLAMIC FOUNDATION NOTES TO THE FINANCIAL STATEMENTS For The Year Ended 31 December 2024 ACCOUNTING POLICIES Basis of preparlng the flnanclal slatements The financial statements af the charity. which is a public benefit entity under FRS 102, have been prepared in accordance with Ihe Charities SORP IFRS 1021 'Accounting and Reporling by Charities.. stotemenl of Recommended Proctice opplicable to charities preparing their accounts in accordance with the Financial Reporting Standord applicable in the UK and Republic of Ireland IFRS 1021 leffective l January 20191,, Financial Reporting Slondord 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland, ond the Chorities Act 2011. The financial Statements have been prepared under the histoncal cosl convention, as modified by the revoluation of certain assets. Going concern The accounts have been prepared on a going concem basis. The Frustees consider that there are no material uncertainties regarding the Charity's ability to continue as a going concern. The Truslees are of the opinion that the Charity will hove occess to sufficient funds to enoble it operate for at leasl one yeor from the signing ol Ihp balancp sheet. Income Al income is recognised in the Statenient of Financial Activities once the charity hos enlillement to the funds. it is probable Ihot the income V%qll be received and Ihe amount can be measured reliabw. Voluntary income including donotions, gifls. legacies and grants thal provide core funding or are of a general nature is recognised when the charity has entitlement to the income, it Is probable that the income will be received and the amount can be measured with sufficient reliability. Donotions and legacies ore recognised on o receivable basis when receipt is probable and the amount can be reliably measured. Income from Ihe hire of the charily's facilities is iecognised on a receivable basis Investment income is is recognised on a receivable basis Expendlture Liabilities are recognised as expenditure os soon as there is a legol or constructive obligation committing the charity to thot expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basi5 and hos been classified under headings that aggregale all cost related ta the category. Where costs cannot be directly attribuled to parlicular headings they have been allocated to activities on o basis consistent with the use of resources. Tanglble fixed assets Depreciolion is provided at the following onnual rates in order to write off each asset over its estimated useful life. Freehold property Fixtures and fittings Motor vehicles Computer equipment 2IG on reducing balance IO% on reducing balance 25% on reducing balonce 25% on cost Invement property Investment property 15 shown at most recent valuation. Any oggregate surplus or deficit orising from changes in fair value is recognised in the Statement of Financial Activities. Taxation The charity is exempt from lax on its charitable activities. Fund accounting Unreshicted funds can be used in accordance Mfjth the charitable objectives at the discretion of the trustees. Page 13 continued...
THE ISLAMIC FOUNDATION NOTES TO THE FINANCIAI STATEMENTS - contlnued For The Year Ended 31 December 2024 ACCOUNTING POLICIES - continued Fund accovntlng Reslricted funds can only be used for particulor restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for porticular restricted purposes. Further explanotion of the noture and purpose of each fund is included in the notes lo the financiol statements. Penslon costs and other post-retlrement beneflts The charity operotes a defined contribution pension scheme. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the period to which they relate. DONATIONS AND LEGACIES 2024 2023 Donations Gift aid 193,377 10,113 99,164 203,490 99.164 INVESTMENT INCOME 2024 2023 Rents received Deposit account interest 187,547 2,296 204,874 1.931 189,843 206.805 INCOME FROM CHARITABLE ACTIVITIES 2024 2023 Activity Hire of conference facilities Hire of Conference facilities Project funding General costs Maktab income Maktab/Madres50 96.424 5.958 18,317 130.019 4.590 14,247 120,699 148,856 OTHER INCOME 2024 2023 SeNice charges receivable Olher income 47,569 53.447 28,440 10,428 101,016 38.868 Page 14 continued...
THE ISLAMIC FOUNDATION NOTES TO THE FINANCIAL STATEMENTS - contlnued For The Year Ended 31 December 2024 RAISING FUNDS Other trading activities 2024 2023 Bad debts Property monagement expenses Madressa costs 5,050 6,088 14.080 9,815 24.072 33,887 25,218 CHARITABLE ACTIVITIES COSTS Support costs Isee note 81 Direct Costs Totals Donations General costs 10,959 234.305 10.959 246,805 1 ?,500 245,264 12,5CO 257,764 SUPPORT COSTS Governance costs General costs 12.500 TRUSTEES. REMUNERATION AND BENEFITS There were no trustees, remuneration or other benefits for the year ended 31 December 2024 nor for the year ended 31 December 2023. Trustees, expenses There were no trustees, expenses paid for the year ended 31 December 2024 nor for the year ended 31 December 2023. io. STAFF COSTS 2024 2023 Wages and salaries Social security costs Other pension costs 219.335 11,703 3,267 189,326 10,267 3,108 234,305 202,701 The average monthly number of employees during the year was as follows: 2024 2023 Administration and governance other 10 Page 15 continued...
THE ISLAMIC FOUNDATION NOTES TO THE FINANCIAL STATEMENTS - contlnued For The Year Ended 31 December 2024 10. STAFF COSTS - continued No employees received emoluments in excess of £60,000. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES Unrestricted rund Reslricted funds Total funds INCOME AND ENDOWMENTS FROM Donation5 and legacies 95.324 3,840 99.164 Choritable activities Hire of Conference facilities General costs Maktablmadressa 130,019 4,590 14,247 130.019 4.590 14,247 Investment income otherincome 206,805 38.868 206.805 38.868 Total 489,853 3,840 493,693 EXPENDITURE ON Raising funds 25.218 25.218 Chatiloble activitie5 Donations General costs 8.360 8.360 211.701 ?11.701 other 297.783 297,783 Total 534,702 8,360 543.062 NET INCOME/(EXPENDITURE) Transfers between funds 144,8491 14,6141 14,5201 4,614 149,3691 Net movement in funds 149,4631 94 149,3691 RECONCILIATION OF FUNDS Total funds brought forward 3,971.473 47,671 4.019,144 TOTAL FUNDS CARRIED FORWARD 3,922.010 47,765 3.969,775 Page16 continued...
THE ISLAMIC FOUNDATION NOTES TO THE FINANCIAL STATEMENTS - conlinued For The Year Ended 31 December 2024 12. TANGIBLE FIXED ASSErs Freehold property Office equipment Plant and machinery COST At l Januory 2024 Additions 2.341.154 660 384 598 At 31 December 2024 2.341.154 660 982 DEPRECIATION Al l January 2024 Charge for year 269.005 41.443 110 110 67 197 At 31 December 2024 310.448 220 264 NET BOOK VALUE At 31 December 2024 2,030,706 440 718 At 31 December 2023 2,072.149 550 317 Fixtures and fittings Motor vehicles Computer equipment Totals COST At l January 2024 Additions 74,245 166 249 4,069 208 2.420,761 972 At 31 December 2024 74,411 249 4,277 2.421.733 DEPRECIATION At l January 2024 Chorge for year 33,601 4,022 189 17 389 963 303.361 46.752 At 31 December 2024 37,623 206 1,352 350,113 NEf BOOK VALUE At 31 December 2024 36,788 43 2,925 2,071.620 At 31 December 2023 40,644 60 3.680 2.117.400 13. INVESTMENT PROPERTY FAIR VALUE At l January 2024 Revoluation 1.692,701 238,299 At 31 December 2024 1 .931.000 NET BOOK VALUE At 31 December 2024 1,931.000 At 31 December 2023 1 .692.701 Page17 continued...
THE ISLAMIC FOUNDATION NOTES TO THE FINANCIAL STATEMENTS - continued For The Year Ended 31 December 2024 13. INVESTMENT PROPERTY - continued Investment properties were reviewed by the trustees ot the year end taking into occounl their knowledge of local markel conditions and the condition of the properties owned by Ihe trust, In their opinion the value shown in Ihe financiol statements represents a materially fair value. Fair value at 31 December 2024 is represented by.. Valuation in 2024 Cost 238,299 1 ,692,701 1,931,000 14. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 2024 2023 Trade debtors Kube Publishing Limited Markfield Institute of Higher Education VAT Prepayments and accrued income 10,049 78,483 128,030 3,759 26.219 36,868 85.640 100,919 1,431 26,085 246.540 250.943 15. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 2024 2023 Bank loons and overdrafts (see note 171 Trode creditors Taxation and social security other creditors 10,000 26,455 3,758 206,584 10,633 19,644 3.103 205.368 246,797 238,748 16. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR 2024 2023 Bank loans (see note 171 13.532 22,900 17. LOANS An analysis of the maturity of loans is given below.. 2024 2023 Amounls falling due within one year on demand: Bonk loon i 0.000 10.633 Amounls folling belween one ond Iwo years: Bonk loan 13,532 10,633 Amounts falling due between two and five years: Bank loan 12.267 Page 18 continued...
THE ISLAMIC FOUNDATION NOTES TO THE FINANCIAL STATEMENTS - continued For The Year Ended 31 December 2024 18. SECURED DEBTS The followng secured debts are included within creditors: 2024 2023 Bank loans 23,532 33,533 Bank loans are secured on the asset to which they relote. 19. ANALYSIS OF NET ASSETS BEfwEEN FUNDS 2024 Total funds 2023 Total funds Unrestricted fund Restricted funds Fixed ossets Investments Current assets Currenl liabilities Long term liabilities 2,071,620 1,931,000 405,280 1246,7971 113,5321 2,071 ,620 1,931 ,000 454,233 1246,7971 113,5321 2,117,400 1,692,701 421 ,322 1238,7481 122,9001 48,953 4,147,571 48,953 4,196,524 3,969.775 20. MOVEMENT IN FUNDS Net movement in funds Tron5fer5 between funds At 31.12.24 Ati.1.24 Unreslrlcted funds General fund 3,922.010 217.119 8,442 4.147.571 Restricted lunds Scholarship IF Kenya 46,206 1,559 46.206 2,747 9,630 18,4421 47.765 9.630 18,4421 48,953 TOTAL FUNDS 3.969.775 226.749 4,196,524 Net movement in funds, included in the above are as follows.. Incoming resources Resources expended Goins and losses Movement in fund5 Unresfricted funds General fund 605.418 1626,5981 238,299 217,119 Re5fricted lunds IF Kenya 9,630 9.630 TOTAL FUNDS 615.048 1626.5981 238,299 226,749 Pcjge 19 continued...
THE ISLAMIC FOUNDATION NOTES TO THE FINANCIAL STATEMENTS - continued For The Year Ended 31 December 2024 20. MOVEMENT IN FUNDS - contlnued Comparatlves for movement In funds Net movement in funds Transfers behmeen fund5 At 31.12.23 Ati.1.23 Unrestrlcted funds General fund 3,971.473 144,8491 14.6141 3.922.010 Restricted funds Scholarship IF Kenya 46,206 1.465 46,206 1.559 14.5201 4,614 47.671 14.5201 4,614 47,765 TOTAL FUNDS 4,019.144 149.3691 3,969,775 Comparative net movement in funds. included in the above are as follows: Incoming resources Resources expended Movement in funds Unresfricted lunds General fund 489,853 {534,7021 144,8491 Restrlcted funds IF Kenya 3,840 {8,3601 (4,5201 TOTAL FUNDS 493,693 1543,0621 149,3691 IF Kenya The fund provide5 educational programmes ond courses to orphans and schools in Kenya. 21. RELATED PARTY DISCLOSURES The Islomic Foundation IIFI has Trustees in common with the Markfield Institute of Higher Education IMIHEI. During the year IF also received income amounting to £36,56212023 - £37,940) from MIHE with respect to rent and office expenses. At the balance sheet dote the omount due from MIHE was £83.03012023 - £57,269). This is nel of a loan repayable by IF to MIHE totalling £45,(y)O for both years. At the balance sheet date IF was owed £78.483 by Kube Publishing Ltd. a company with personnel in common12023- £85,640). At the balance sheet date IF owed a trust £115,000, this being set against an inlerest in o property owned by IF. This trust hos o trustee in common with IF12023- £115.0001. At the yeor end fv40 trustees have an interest in a property owned by IF, this property was last valued at £800,(K)O. Page 20
THE ISLAMIC FOUNDATION DETAILED STATEMENT OF FINANCIAL ACTIVITIES For The Year Ended 31 December 2024 2024 2023 INCOME AND ENDOWMENTS Donations and legacies Donations Gift old 193,377 10,113 99.164 203.490 99.164 Inveshnent Income Renfs received Deposit account interest 187,547 2,296 204,874 1,931 189,843 206.805 Charitable activities Hire of conference facilities Maktab income Project funding 96,424 18,317 5,958 130,019 14.247 4.590 120,699 148,856 other income seiCe chorges receivable Other income 47,569 53.447 28,440 10,428 101.016 38,868 Total Incomlng resources 615,048 493,693 EXPENDITLIRE other trading octlvltles Bad debts Property managemenl expenses Madressa costs 5.050 6,088 14,080 9,815 24,072 33,887 25.218 Charitable activities Wages Social security Pensions Donations paid 219,335 11,703 3,267 10,959 189,326 10,267 3,108 8,360 245,264 211.061 Other Hire of equipment Advertising and promotion Corried fonNord 2.515 1.217 3.732 2.284 2.284 This page does not form parl of the statutory financial statements Page 21
THE ISLAAIIC FOUNDATION DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOT The Year Ended 31 December 2024 2024 2023 Olhèr Brought forward Rates and water Insurance Light and heat Motor and travel expenses Printing. postage and stationery Telephone IT and internet Costs Librory costs Repairs and maintenonce Cleoning Bank charges Legal and professional Financial operation5 Mea15 and accommodation Entertainment Consulting and Training Deprec- Office equipment Bank loan interest 3,732 33,777 12,685 71,480 768 7.104 2,713 16.182 4,443 31,262 14,192 1.572 1,600 18,550 21,961 884 45,290 46,752 2.284 35,647 7.506 87,656 530 6.027 3,363 9.692 7.882 28.862 13,421 57 3.975 18,350 21,429 224 3,040 47,546 292 334.947 297.783 Support costs Governance costs Auditors. remuneration 12.500 9,000 Total resources expended 626.598 543,062 Net expendlture before gains and losses 111,5501 149,3691 Reollsed recognlsed galns and losses Realised gains/llossesl on investmenl property 238,299 Net income/{expenditure) 226,749 149.3691 This page does not form part of the statutory financial statements Page 22