**Charity registration number 1165998**
## **MILL ARTS CENTRE TRUST**
**ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024**
## **MILL ARTS CENTRE TRUST**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
|**Trustees**|B Baseley-Smith||
|---|---|---|
||Mr A J McHugh||
||C R Snelling||
||S L Norton||
||K Warren||
|**Senior management**|A Lister|Chief Executive|
||E Hiorns|Creative Director|
|**Charity number**|1165998||
|**Registered office**|The Mill||
||Spiceball Park||
||Banbury||
||Oxon||
||OX16 5QE||
|**Independent examiner**|Whitley Stimpson Limited||
||Penrose House||
||67 Hightown Road||
||Banbury||
||Oxfordshire||
||OX16 9BE||
## **MILL ARTS CENTRE TRUST**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees' report|1 - 9|
|Independent examiner's report|10|
|Statement of financial activities|11|
|Balance sheet|12|
|Statement of cash flows|13|
|Notes to the financial statements|14 - 22|
## **MILL ARTS CENTRE TRUST**
## **TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2024**
The Trustees present their annual report together with the financial statements of the charitable incorporated organisation for the year ended 31 March 2024.
The financial statements comply with the charities Act 2011, the charity’s Constitution and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (as amended for accounting periods commencing from 1 January 2016).
## **Objectives and activities**
The principal objects of the charity, as set out in its Constitution, are to:
- Promote the arts for public benefit
- Advance education for public benefit
- Provide (and assist in the provision of) facilities for recreation and other leisure-time occupation in the interests of social welfare with the objective of improving the conditions of life for the residents of the area
- Further such other charitable purposes as the trustees see fit, from time to time, in the area for the public benefit
The key aims of the charity are summarised below:
- To use our resources to further develop a high-quality flourishing artistic programme to inspire, encourage learning and creativity, engage and entertain our audiences, whilst making our mark locally, regionally and nationally.
- To seek to secure capital redevelopment of our building / identify suitable alternate premises in order to ensure our facilities match our ambition and allow us to establish our financial independence.
- To establish our network, as key players and partners in the economic development of a town on the cusp of transformation.
- To secure our reputation as the go-to venue for commissioning and showcasing dance in Oxfordshire and the wider South-East region.
- To develop our brand identity through embedding and celebrating our values to create better understanding amongst our audiences to build loyalty and pride.
- To develop meaningful, sustainable community partnerships to ensure that we are reaching the members of our communities who need us the most.
- To continue to grow our geographical reach, expanding our programme of off-site work in Banbury, Bicester and beyond.
- To continue to develop our staff team enabling them to grow with the organisation, creating a culture of ownership and empowerment, and supporting their professional development as arts leaders of the future.
- To remain nimble, able to adapt to the ever changing political, social and economic climate and to remain adept at identifying opportunities that align with our core charitable aims.
- 1 -
## **MILL ARTS CENTRE TRUST**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
The key priorities are contained in the charity’s 5-year strategic plan. The strategic plan is reviewed annually by the Trustees and the key actions for each year are set as a result of this review.
Identified priorities for the year ended 31st March 2024 were as follows:
- To widen access to high quality cultural opportunities for all of our communities. Ensuring The Mill has the capacity to effectively consult, collaborate and evaluate in order to develop and deliver a programme that reflects their interests and ambitions.
- Enabling access to high quality cultural events and activities in Bicester for children, young people and families where there is currently no dedicated provision.
- To establish The Mill as the local strategic lead and enabler in the development of effective place-based partnerships involving the whole community in high quality culture, growing and evidencing economic impact.
- Continued development of an ambitious dance programme using this locally underrepresented art form to grow new audiences and challenge and inspire existing ones.
- To embed the organisational capacity to ensure audience engagement with the next step of The Mill’s development journey, and amplifying the range of high quality cultural opportunities available to people in local communities.
- To support local artists in their creative and professional development, including opportunities to showcase their work to regional partners and peers, and supporting the development of work that is resonant with our local communities.
- Continuous development and review of the organisation against Arts Council England Investment
- Principles as a model of good governance.
- Continue working with Cherwell District Council to consolidate a long term business development plan that seeks to secure a viable future premises solution for the organisation.
- Where appropriate, to engage the services of external consultants to support and challenge the development of business development planning, appraisal and feasibility.
## **Public Benefit**
The Trustees confirm that they have complied with the requirement in the Charities Act 2011 to have due regard to the Charity Commission’s general guidance on public benefit in exercising their powers and duties. They have referred to this guidance when reviewing the charity’s objects and aims and in planning its future activities and are satisfied that the charity’s activities comply with this guidance and are of public benefit.
## **Achievements and performance**
As is evidenced by the objectives identified above, the charity continues to evolve and to adapt to the ever-changing sector in which it operates. The charity is committed to continual improvement which is achieved in a number of ways; including improvement planning, review meetings, beneficiary feedback, continual professional development, performance management, self-evaluation, data analysis and action planning.
- 2 -
## **MILL ARTS CENTRE TRUST**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
## **The particular highlights for the charity during the year ended March 2024 were as follows:**
- Following successful application to become a National Portfolio Organisation for Arts Council England, 2023/24 saw the first year of delivery of activity against the new inward investment of £183,000 per annum
- Expansion of the staff team with the creation of two new roles comprising a dedicated Community Engagement Officer and Marketing & Development Officer, building necessary staff capacity to deliver against agreed priorities
- Development of new relationships with a wide range of community groups and leading to an expanded programme of activity
- Continued significant growth in audiences for both live events and creative learning as compared to the pre-pandemic period.
- Delivery of concurrent festive productions in Banbury (There’s a Monster in Your Christmas Show) and Bicester (Winnie & Wilbur’s Christmas Adventure) during December 2023 with both surpassing 60% attendance targets.
- Establishment of the Community Connections Fund, to subsidise the cost of accessing The Mill’s programme for audiences from the Brighter Futures areas of Banbury.
- Establishment of a three-year Supported Artists programme, and appointment of the first two artists to the scheme
## **Notable Challenges**
- Performance management of staff, persistent absence, and challenges to recruitment leaving a significantly under-resourced Operations department and pulling capacity from the wider team to provide support.
- Repeated heavy rainfall during January & February of 2024, resulting in The Mill succumbing to flood waters on more than one occasion causing disruption to the ongoing programme.
- In January of 2024, damage to the theatre flooring was discovered, deemed to have been caused by retained moisture from previous flooding in 2020. This resulted in the immediate closure of the Theatre auditorium for an extended period to allow for Oxfordshire County Council, as landlords, to undertake essential repair work.
- As a result the February and March live event programme was largely rescheduled, with only a couple of planned events able to be go ahead off-site in other local venues.
- Ongoing uncertainty surrounding timescale for the repairs along with future funding & premises arrangements with the County Council requiring significant time and resource dedicated to planning have impeded the Trust’s ability to plan effectively.
## **Financial review**
2023-24 saw the Trust return an overall net surplus of £21,908 to end the year with a combined balance sheet surplus of £45,081.
## **Live Programme**
There continued to be strong growth in audiences through the review period, with income from live event sales up 23.7% on the prior year, driven by an underlying growth in the number of events whilst maintaining average occupancy.
A total of 212 live events were presented during the year (181 prior year), with 23,027 admissions (20,425 previously). Furthermore, this growth in both occupancy and the number of events was achieved in spite of the closure of The Mill’s Theatre from the end of January 2024 due to water damage, therefore representing a significant increase on a like for like basis during the 10 months that the theatre was in full operation.
A highlight of the programme was the inclusion of 22 performances of ‘There’s a Monster in your Christmas Show’ by Millenium Entertainment International as an early Christmas run in December, building on achievement from ‘The Gruffalo’ in December 2022. 2937 tickets were sold representing a final capacity of 67%, including 760 schools attenders.
- 3 -
## **MILL ARTS CENTRE TRUST**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
Through February and March 2024 the Theatre space was out of action due to essential repairs, requiring the majority of programmed events to be re-scheduled for later in the year, although a small number of events were able to go ahead in alternate locations where this was practically possible.
## **Education Classes**
Income of £108,562 equate to growth of 18.4% on the prior year. Whilst the Creative Learning programme was not directly impacted by the temporary closure of the Theatre, there was some downward impact on the final two months of the period, considered to be due to mis-reading of this messaging.
Skills Funding Agency allocation of £20,712 for the review period reflects final reconciliation of funding secured for the academic year to 31st July 2023 along with apportionment of expected funding for the academic year to 31st July 2024.
## **Box Office Income**
Box Office income is earned through booking fees levied on the sale of tickets for both our Live and Creative Learning programmes, which goes to support the associated staffing costs, licenses and costs associated with the CRM system, credit card and bank processing charges. This revenue is therefore directly driven by the volume of tickets sold during the period.
Income of £57,417 represents a slight increase on the prior year driven by the uplift in live shows admissions. However, this is proportionately lower than the uplift in show incomes might otherwise dictate due to the transaction of refunds on advance sales for future events taking place after the review period and in light of the theatre closure.
## **Grant Income (including Project Grants)**
Cherwell District council provided a core revenue support grant of £106,270, in addition we received £183,000 as core funding from Arts Council England as the first year of Investment through the National Portfolio Organisation (NPO) 2023-26 programme.
In addition we received £16,500 section 106 funding from Cherwell District Council to further develop our programme of cultural activity for the residents of Kingsmere and Launton in Bicester, alongside work to develop community partnerships in Bicester. This project continues into the 2024/25 financial period.
We were awarded £10,000 from Cherwell District Council as a disbursement of UK Shared Prosperity Funding to launch the Community Connections Fund – designed to support the costs of engaging with The Mill’s programme for residents from the Neithrop, Ruscote and Grimsbury wards of Banbury.
## **Hospitality**
Predominantly composed of ‘wet’ sales, total Hospitality revenue of £108,784 represents growth of 11.8% on the prior year.
This area of the operation has continued to see staffing/recruitment challenges at times having a limiting effect on our capacity to drive growth. Analysed ‘per head’ this is fairly static against the prior year, however it would normally be expected to see sales per head decrease as occupancy increases due to an effective ceiling on the capacity of the Mill’s physical bar spaces.
Furthermore the reduction in footfall caused by the temporary theatre closure in February and March had a significant impact on revenues for the final two months of the period.
## **Theatre & Room Hire**
Overall, income from hires equates to a 23.7% reduction on the prior year. This is largely due to the cessation of a significant post-pandemic temporary hire present during the prior financial period, and reflects a return to historic levels. This revenue stream is also subject to fluctuation depending on the mix of hire arrangements for live events, whereby a smaller proportion of events were programmed as third party hires.
- 4 -
## **MILL ARTS CENTRE TRUST**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
## **Overheads**
Payroll costs show a 28.8% increase on prior year. This increase is driven by the establishment of two new permanent roles supported by Arts Council England investment, along with a further year of significant wage inflation in line with changes to the National Living Wage.
Marketing costs also show an increase on prior year, however were supported by project grant funding from the Oxfordshire Local Enterprise Partnership to invest in review of the regular What’s On Guide format and distribution, expected to deliver a cost saving in future periods.
## **Going concern**
The closure of the Theatre Auditorium due to flood damage for 8 months during 2024 has had a significant impact on the financial position of the trust due to lost revenues and the additional costs arising from operating from temporary premises. Whilst the trust has been able to offset a significant proportion of those losses against prior overperformance, contingencies and salary savings there has been an unavoidable depletion of the Trust’s limited reserves.
The Trustees’ Finance Sub Group have continued to meet monthly in order to maintain a detailed continual assessment of the financial position, and the Trust meet regularly with Cherwell District Council to ensure our future business model reflects the ever-evolving situation.
Whilst as a result the balance sheet position has been depleted, Trustees are clear that the challenges are shortterm and confined to the resolution of the auditorium damage. Trustees have satisfied themselves that solutions to these practical issues can be delivered in a timely manner, however that the underlying operating model and demand for the Trust’s services remains undiminished.
Detailed financial modelling shows that on the return to the regular premises in October 2024 the Trust expect to immediately commence recouping and offsetting prior losses, and thereby trading to a more sustainable position.
Therefore, after making appropriate enquiries, the Board of Trustees has a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Statement of Accounting Policies within the financial statements.
## **Reserves policy**
Restricted reserves at year-end total £Nil and unrestricted reserves of £45,081 give a combined position of £45,081.
The finance group review the balance sheet on a monthly basis and Trustees formally assess the reserve levels of the charity at least annually. This review encompasses the nature of the income and expenditure streams, the need to match income with commitments and the nature of reserves. The Trustees also take into consideration the future plans of the charity, the uncertainty over future income streams and other key risks identified during the risk review.
The Trustees have determined that the charity should aspire to hold free cash reserves sufficient to cover approximately three month’s fixed operating costs, which would equate to approximately £75,000. The reason for this is to provide sufficient working capital to cover cashflow delays between spending and receipts of income and to provide a cushion to deal with unexpected emergencies such as long-term staff absences etc.
Although the current level of free (unrestricted) reserves is below the target level identified above, the Trustees are pleased to note positive progress over the period, and continue to look at strategies for raising additional income whilst also reviewing key areas of operational expenditure to ensure the targeted reserves can be built in future years.
- 5 -
## **MILL ARTS CENTRE TRUST**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
## **Principal Risks and Uncertainties**
The Trustees have a risk management strategy which comprises:
- An annual review of the principal risks and uncertainties that the charity faces;
- The establishment of policies, systems and procedures to mitigate those risks identified in the annual review;
- The implementation of procedures designed to minimise or manage any potential impact on the charity should those risks materialise; and
- The results of this process are documented in the Risk Register, which is constantly reviewed in light of any new information and formally reviewed annually.
## **The principal risks and uncertainties facing the charity are as follows:**
## _1. Short term building tenure agreement leading to potential:_
- Loss of business and insolvency
- Reduced fundraising capacity
- Loss of employment opportunities
- Future increase in facilities management costs
_2. Inability to maintain revenue levels due to risk of reductions in Local Authority funding in future periods leading to potential:_
- Loss of business and insolvency
- Loss of employment opportunities
- Inability to meet conditions of project funding
## _3. Poor condition of building leading to potential:_
- Health and safety considerations, potential closure if a major incident were to occur
- Loss of reputation due to poor customer experience
- Inability to deliver charitable objectives
## _4. Ongoing flooding risk leading to potential:_
- Loss of income arising from extended period of closure
- Inability to obtain insurance against future flood risk
## **Plans for future periods**
The charity's plans for future periods are:
- Further develop planned route to capital development to secure long-term premises for the organisation
- Embed the relationship with Arts Council England as a new National Portfolio Organisation, and to ensure the development of the organisation in line with the Arts Council investment principles.
- Recruitment to expand and diversify the Board of Trustees.
- To renew, enhance and embed existing partnerships and identify new partners who share our objectives with whom we can jointly work to achieving shared outcomes for our community.
- To continue the strategic focus on dance, addressing under-representation of this genre and continue to develop ambitious opportunities for audience development.
- To build income from donations, both individuals, corporate and major donors through development and promotion of a clear case for support, fundraising strategy and re-launched membership scheme.
- Continue to develop our audiences of the future by more high-quality reputable work for young children and families.
- Continue to develop and expand our programme of activities for older people contributing to reduction in social isolation and maintaining healthy active communities.
- Continue to develop audiences for arts and cultural activities in Bicester working in partnership with local organisations and venues including People’s Theatre Collective, Bicester Library, Bicester Town Council and Whitelands Academy. We will programme work into non-traditional performance spaces and facilitate participatory activities for both older and younger audiences.
- Grow our Creative Learning Programme to include the widest possible range of arts-based activities including a dance focused curriculum.
- 6 -
## **MILL ARTS CENTRE TRUST**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
## **Structure, governance and management**
## _Constitution_
The charity is a charitable incorporated organisation, registered with the Charity Commission for England and Wales on 11 March 2016. The Charity’s constitution is the primary governing document of the charity.
Details of the Trustees who served throughout the year are included in the Reference and Administrative details on page 1.
## _Members’ Liability_
In the event of the charity being wound up, the Members have no liability to contribute to at the assets of the trust and no personal responsibility for settling its debts and liabilities.
## _Trustees’ Indemnities_
In accordance with normal commercial practice, the charity has purchased insurance to protect Trustees and officers from claims arising from negligent acts, errors or omissions occurring whilst on charity business. The insurance provides cover up to £1,000,000.
## _Method of Recruitment or Appointment or Election of Trustees_
The charity’s constitution specifies that the number of Trustees shall not be less than 3 and not more than 12. All Trustees are appointed for a 3 year term except for the Chair of Trustees who is appointed for a 4 year term. Subject to remaining to be eligible to be a Trustee, any Trustee can be re-appointed or re-elected.
The board of Trustees consider nominations for any new Trustee who can make a valuable contribution to the strategy and management of the charity, with any appointments of new Trustees being approved at a meeting of the Board of Trustees.
## _Policies and Procedure adopted for the Induction and Training of new Trustees_
All Trustees received a general introduction to the charity, its organisation, structures and employees. They are provided with copies of policies, procedures, minutes, accounts, budgets, plans and other documents they will need to undertake their role as Trustees. As there are normally only a few new Trustee appointments each year, induction is done informally and is tailored specifically to the individual. Advantage is taken of specific courses offered by various external organisations as appropriate.
A bespoke governance development program is operated throughout the year which allows Trustees to meet informally as a team for training, to keep the Trustees updated on relevant developments impacting on their roles and responsibilities, and to contribute to the strategic leadership and direction of the charity.
The trustees who served during the year and up to the date of signature of the financial statements were: B Baseley-Smith Mr A J McHugh Councillor P Chapman (Resigned 2 May 2024) C R Snelling S L Norton K Warren
- 7 -
## **MILL ARTS CENTRE TRUST**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
## **Organisational structure**
The Board of Trustees are responsible for the overall governance of the charity. They set the general strategy and business plans for the charity, approve an annual budget, monitor performance against the plans and budgets and make major decisions about strategy, charity development and senior staff appointments.
The Trustees policy is to meet at least 4 times each year. However, Trustees have established a sub-committee structure to undertake more in-depth oversight. The Board of Trustees appoint the members to each sub-committee and agree terms of reference.
The Resources sub-committee oversees the financial, risk and resource aspects of the governance of the charity. This sub-committee meets on a monthly basis throughout the year in undertaking their respective responsibilities as set out in the terms of reference as agreed by the Board of Trustees.
The Programme, Audiences & Communities sub-committee enable support, challenge and oversight of the effective evaluation of past and future programmes and audience engagement strategy to ensure these meet the outcomes and aims of the charity and associated funding agreements. The committee meet at least 8 times each year.
The Trustees have delegated the day-to-day management of the Trust to the Chief Executive.
During the year, the Trustees have also monitored application of the Charity Governance Code and how the charity’s current governance structure meets the best practice principles set out in Code. The Trustees are satisfied that they have applied all the material best practice requirements of the Code and have maintained a plan to ensure all remaining areas of best practice are implemented over the next 12 months as follows:
- Board membership will be reviewed in line with the organisations strategic plan. An up to date skills audit will be conducted and a strategy for recruitment of new members created based on this information.
- Diversity both in terms of board membership and across the organisation remains at the top the agenda. Training for board and staff members will be scheduled and diversity objectives will be agreed.
## _Arrangements for Setting Pay and Remuneration of Key Management Personnel_
The Trustees consider the Board of Trustees and the Chief Executive to comprise the key management personnel of the charity in charge of directing and controlling, running and operating the Trust on a day to day basis. All Trustees give of their time freely and no Trustee received any remuneration in the current or prior year. The pay of the executive team is reviewed annually in line with the charity’s pay and remuneration policy and by reference to remuneration levels for similar sized charities in the sector.
## _Related Parties and Other Connected Charities and Organisations_
The Mill Arts Centre building is owned by Oxfordshire County Council and leased to the Trust on a nominal rent. In addition, Oxfordshire County Council provides facilities management and supply of utilities to the Trust as support in kind.
Cherwell District Council supports the Trust through an annual public subsidy of £106,270. An officer of the council sits as an observer on the Board of Trustees to oversee application of these funds.
## **Remuneration policy**
The Trustees consider the Board of Trustees and the Chief Executive to comprise the key management personnel of the charity in charge of directing and controlling, running and operating the Trust on a day to day basis. All Trustees give of their time freely and no Trustee received any remuneration in the current or prior year.
The pay of the executive team is reviewed annually in line with the charity’s pay and remuneration policy and by reference to remuneration levels for similar sized charities in the sector.
## **Funds held as custodian trustee**
The charity and its Trustees do not act as Custodian Trustees of any other charity.
- 8 -
## **MILL ARTS CENTRE TRUST**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
B Baseley-Smith **Trustee**
19 December 2024
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## **MILL ARTS CENTRE TRUST**
## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF MILL ARTS CENTRE TRUST**
I report to the trustees on my examination of the financial statements of Mill Arts Centre Trust (the charity) for the year ended 31 March 2024.
## **Responsibilities and basis of report**
As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).
I report in respect of my examination of the charity’s financial statements carried out under section 145 of the 2011 Act. In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## **Independent examiner's statement**
Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in Engalnd and Wales, which is one of the listed bodies.
Your attention is drawn to the fact that the charity has prepared financial statements in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.
I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
- 1 accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
- 2 the financial statements do not accord with those records; or
- 3 the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
## **Hermione Hymers ACA**
Whitley Stimpson Limited Penrose House 67 Hightown Road Banbury Oxfordshire OX16 9BE
Dated: 19 December 2024
- 10 -
## **MILL ARTS CENTRE TRUST**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT**
## **FOR THE YEAR ENDED 31 MARCH 2024**
|**Unrestricted**
**Restricted**
**funds**
**funds**
**2024**
**2024**
**Notes**
**£**
**£**
**Income from:**
Donations and legacies
**2**
326,047
28,073
Charitable activities
**3**
419,760
-
Other trading activities
**4**
170,727
-
**Total income**
916,534
28,073
**Expenditure on:**
Other activities
**5**
88,893
-
Charitable activities
**6**
805,733
28,073
**Total expenditure**
894,626
28,073
**Net income**
21,908
-
Transfers between
funds
-
-
**Net movement in**
**funds**
**8**
21,908
-
**Reconciliation of funds:**
Fund balances at 1 April 2023
23,173
-
**Fund balances at 31 March**
**2024**
45,081
-|**Unrestricted**
**Restricted**
**Total**
**funds**
**funds**
**2024**
**2023**
**2023**
**£**
**£**
**£**
354,120
151,625
40,228
419,760
366,586
-
170,727
167,024
-
944,607
685,235
40,228
88,893
69,068
1,692
833,806
585,357
64,611
922,699
654,425
66,303
21,908
30,810
(26,075)
-
(12,152)
12,152
21,908
18,658
(13,923)
23,173
4,515
13,923
45,081
23,173
-|**Total**
**2023**
**£**
191,853
366,586
167,024|
|---|---|---|
|||725,463|
|||70,760
649,968|
|||720,728|
|||4,735
-|
|||4,735
18,438|
|||23,173|
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
- 11 -
## **MILL ARTS CENTRE TRUST**
## **BALANCE SHEET AS AT 31 MARCH 2024**
|**Notes**
**£**
**Fixed assets**
Tangible assets
**12**
**Current assets**
Stocks
**13**
4,118
Debtors
**14**
93,323
Cash at bank and in hand
82,731
180,172
**Creditors: amounts falling due within**
**one year**
**15**
(161,640)
**Net current assets/(liabilities)**
**Total assets less current liabilities**
**The funds of the charity**
Unrestricted funds
**16**|**2024**
**£**
**£**
26,549
7,250
75,316
96,109
178,675
(188,669)
18,532
45,081
45,081
45,081|**2023**
**£**
33,167
(9,994)
23,173
23,173
23,173|
|---|---|---|
The financial statements were approved by the trustees on 19 December 2024
B Baseley-Smith **Trustee**
- 12 -
## **MILL ARTS CENTRE TRUST**
## **STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2024**
|**Notes**
**Cash flows from operating activities**
Cash absorbed by operations
**18**
**Investing activities**
Purchase of tangible fixed assets
**Net cash used in investing activities**
**Net cash used in financing activities**
**Net decrease in cash and cash equivalents**
Cash and cash equivalents at beginning of year
**Cash and cash equivalents at end of year**|**£**
(1,656)|**2024**
**£**
(11,722)
(1,656)
-
(13,378)
96,109
82,731|**£**
-|**2023**
**£**
(11,624)
-
-
(11,624)
107,733
96,109|
|---|---|---|---|---|
- 13 -
## **MILL ARTS CENTRE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024**
## **1 Accounting policies**
## **Charity information**
Mill Arts Centre Trust is a charity registered in England and Wales. The registered address is The Mill, Spiceball Park, Banbury, Oxon, OX16 5QE.
## **1.1 Accounting convention**
The financial statements have been prepared in accordance with the charity's governing document, the Charities Act 2011, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
## **1.2 Going concern**
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
## **1.4 Income**
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
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## **MILL ARTS CENTRE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
## **1 Accounting policies**
**(Continued)**
## **1.5 Expenditure**
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, 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 classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.
## **1.6 Tangible fixed assets**
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Plant & equipment 25% Straight line Fixtures & fittings 25% Straight line Computers 25% Straight line
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
## **1.7 Impairment of fixed assets**
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
## **1.8 Stocks**
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. Items held for distribution at no or nominal consideration are measured the lower of replacement cost and cost.
Net realisable value is the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution.
## **1.9 Cash and cash equivalents**
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
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## **MILL ARTS CENTRE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
## **1 Accounting policies**
## **(Continued)**
## **1.10 Financial instruments**
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
## _**Basic financial assets**_
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
## _**Basic financial liabilities**_
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
## _**Derecognition of financial liabilities**_
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
## **1.11 Employee benefits**
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
## **2 Income from donations and legacies**
|**Unrestricted**
**Restricted**
**funds**
**funds**
**2024**
**2024**
**£**
**£**
Core grants
317,858
28,073
Individual donations
8,189
-
326,047
28,073|**Unrestricted**
**Restricted**
**Total**
**funds**
**funds**
**2024**
**2023**
**2023**
**£**
**£**
**£**
345,931
145,334
40,228
8,189
6,291
-
354,120
151,625
40,228|**Total**
**2023**
**£**
185,562
6,291|
|---|---|---|
|||191,853|
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## **MILL ARTS CENTRE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
## **3 Income from charitable activities**
||**Unrestricted**|**Unrestricted**|
|---|---|---|
||**funds**|**funds**|
||**2024**|**2023**|
||**£**|**£**|
|**Live programme income**|||
|Ticket sales|235,780|186,210|
|Funding from SFA|20,710|19,036|
|Theatre and room hire|11,700|23,509|
|Income from classes|87,850|72,645|
|Project income|5,380|10,000|
|Booking fees|57,417|54,424|
|Exhibition sales commissions|923|762|
||419,760|366,586|
## **4 Income from other trading activities**
||**Unrestricted**|**Unrestricted**|
|---|---|---|
||**funds**|**funds**|
||**2024**|**2023**|
||**£**|**£**|
|Bar income|104,474|94,007|
|Café income|4,310|3,270|
|Commissions|6,948|4,806|
|Theatre and room hire|51,764|59,754|
|Technical income|3,231|5,187|
|Other trading activities|170,727|167,024|
## **5 Expenditure on other trading activities**
|**Unrestricted**
**Restricted**
**funds**
**funds**
**2024**
**2024**
**£**
**£**
**Other trading expenses**
Bar costs
42,219
-
Café costs
2,681
-
Merchandise
271
-
Bar & café wages
43,722
-
88,893
-|**Unrestricted**
**Restricted**
**Total**
**funds**
**funds**
**2024**
**2023**
**2023**
**£**
**£**
**£**
42,219
34,350
1,692
2,681
2,403
-
271
-
-
43,722
32,315
-
88,893
69,068
1,692|**Total**
**2023**
**£**
36,042
2,403
-
32,315|
|---|---|---|
|||70,760|
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## **MILL ARTS CENTRE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
## **6 Expenditure on charitable activities**
|**Shows and**
**films**
**2024**
**£**
**Direct costs**
Box office costs
-
Project costs
-
Shows and films costs
181,139
Education and classes costs
-
Techical costs
38,168
219,307
**Share of support and governance costs (see note 7)**
Support
442,507
661,814
**Analysis by fund**
Unrestricted funds
642,780
Restricted funds
19,034
661,814|**Classes**
**Projects**
**Ticketing**
**2024**
**2024**
**2024**
**£**
**£**
**£**
-
-
55,262
-
55,883
-
-
-
-
60,847
-
-
-
-
-
60,847
55,883
55,262
-
-
-
60,847
55,883
55,262
60,847
46,844
55,262
-
9,039
-
60,847
55,883
55,262|**Total**
**2024**
**£**
55,262
55,883
181,139
60,847
38,168|
|---|---|---|
|||391,299
442,507|
|||833,806|
|||805,733
28,073|
|||833,806|
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## **MILL ARTS CENTRE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
|**6**
**Expenditure on charitable activities**
**Previous year:**
**Shows and**
**films**
**Classes**
**Projects**
**2023**
**2023**
**2023**
**£**
**£**
**£**
**Direct costs**
Box office costs
-
-
-
Project costs
-
-
37,538
Shows and films costs
147,665
-
-
Education and classes costs
-
50,261
-
147,665
50,261
37,538
**Share of support and governance costs (see note 7)**
Support
368,665
-
-
516,330
50,261
37,538
**Analysis by fund**
Unrestricted funds
489,309
50,209
-
Restricted funds
27,021
52
37,538
516,330
50,261
37,538
**7**
**Support costs allocated to activities**
Depreciation
Non-attributable payroll
Establishment costs
Marketing costs
Office costs
Professional and finance costs
Bad debt
**Analysed between:**
Shows and films
**8**
**Net movement in funds**
The net movement in funds is stated after charging/(crediting):
Fees payable for the independent examination of the charity's financial
statements
Depreciation of owned tangible fixed assets|**(Continued)**
**Ticketing**
**Total**
**2023**
**2023**
**£**
**£**
45,839
45,839
-
37,538
-
147,665
-
50,261
45,839
281,303
-
368,665
45,839
649,968
45,839
585,357
-
64,611
45,839
649,968
**2024**
**2023**
**£**
**£**
8,274
8,324
317,635
246,551
17,856
57,075
38,691
29,347
26,572
16,372
29,767
10,996
3,712
-
442,507
368,665
442,507
368,665
**2024**
**2023**
**£**
**£**
1,800
1,800
8,274
8,324|**(Continued)**
**Ticketing**
**Total**
**2023**
**2023**
**£**
**£**
45,839
45,839
-
37,538
-
147,665
-
50,261
45,839
281,303
-
368,665
45,839
649,968
45,839
585,357
-
64,611
45,839
649,968
**2024**
**2023**
**£**
**£**
8,274
8,324
317,635
246,551
17,856
57,075
38,691
29,347
26,572
16,372
29,767
10,996
3,712
-
442,507
368,665
442,507
368,665
**2024**
**2023**
**£**
**£**
1,800
1,800
8,274
8,324|
|---|---|---|
|||281,303
368,665|
|||649,968|
|||585,357
64,611|
|||649,968|
|||**2023**
**£**
8,324
246,551
57,075
29,347
16,372
10,996
-|
|||368,665|
|||368,665|
|||**2023**
**£**
1,800
8,324|
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## **MILL ARTS CENTRE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
## **9 Trustees**
None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.
## **10 Employees**
The average monthly number of employees during the year was:
|Management
Admin & Support
Casual staff
Total|**2024**
**Number**
5
7
11
23|**2023**
**Number**
5
6
9|
|---|---|---|
|||20|
There were no employees whose annual remuneration was more than £60,000.
## **11 Taxation**
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
## **12 Tangible fixed assets**
|**Plant &**
**equipment**
**Fixtures &**
**fittings**
**Computers**
**£**
**£**
**£**
**Cost**
At 1 April 2023
112,255
40,461
17,468
Additions
-
-
1,656
At 31 March 2024
112,255
40,461
19,124
**Depreciation and impairment**
At 1 April 2023
79,088
40,461
17,468
Depreciation charged in the year
8,274
-
-
At 31 March 2024
87,362
40,461
17,468
**Carrying amount**
At 31 March 2024
24,893
-
1,656
At 31 March 2023
33,167
-
-|**Total**
**£**
170,184
1,656|
|---|---|
||171,840|
||137,017
8,274|
||145,291|
||26,549|
||33,167|
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## **MILL ARTS CENTRE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
## **13 Stocks**
|Raw materials and consumables
Finished goods and goods for resale
**14**
**Debtors**
**Amounts falling due within one year:**
Trade debtors
Other debtors
Prepayments and accrued income
**15**
**Creditors: amounts falling due within one year**
Other taxation and social security
Trade creditors
Other creditors
Accruals and deferred income|**2024**
**£**
4,102
16
4,118
**2024**
**£**
56,571
1,921
34,831
93,323
**2024**
**£**
11,359
50,431
4,039
95,811
161,640|**2023**
**£**
7,068
182|
|---|---|---|
|||7,250|
|||**2023**
**£**
25,918
7,065
42,333|
|||75,316|
|||**2023**
**£**
13,308
93,269
1,814
80,278|
|||188,669|
## **16 Unrestricted funds**
The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.
||**At 1 April**|**Incoming**|**Resources**|**Transfers**|**At 31 March**|
|---|---|---|---|---|---|
||**2023**|**resources**|**expended**||**2024**|
||**£**|**£**|**£**|**£**|**£**|
|General funds|23,173|916,534|(894,626)|-|45,081|
|**Previous year:**|**At 1 April**|**Incoming**|**Resources**|**Transfers**|**At 31 March**|
||**2022**|**resources**|**expended**||**2023**|
||**£**|**£**|**£**|**£**|**£**|
|General funds|4,515|685,235|(654,425)|(12,152)|23,173|
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## **MILL ARTS CENTRE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024**
## **17 Related party transactions**
The Mill is owned by Oxfordshire County Council which has granted a lease to the Trust at a nominal rent. Negotiations continue between the County Council, Cherwell District Council and the Trust to establish a more sustainable future for the building. The County continues to bear the cost of cleaning, utilities and the structure of the building and the hidden costs of this subsidy are estimated to be in the region £100,000 pa. An officer of the District Council sits as an observer to the Board of Trustees.
|**18**|**Cash generated from operations**|**2024**|**2023**|
|---|---|---|---|
|||**£**|**£**|
||Surplus for the year|21,908|4,735|
||Adjustments for:|||
||Depreciation and impairment of tangible fixed assets|8,274|8,324|
||Movements in working capital:|||
||Decrease in stocks|3,132|(3,025)|
||Increase in debtors|(18,007)|(46,235)|
||Decrease in creditors|(27,029)|24,576|
||**Cash absorbed by operations**|(11,722)|(11,625)|
## **19 Analysis of changes in net funds**
The charity had no material debt during the year.
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