**REGISTERED COMPANY NUMBER: 11033978 (England and Wales) REGISTERED CHARITY NUMBER: 1180335** **Report of the Trustees and Audited Financial Statements for the Year Ended 31st March 2023** **for** **Severn Arts (A Company Limited by Guarantee)** Richards Sandy Audit Services Limited (Statutory Auditor) Thorneloe House 25 Barbourne Road Worcester WR1 1RU **Severn Arts** ## **Contents of the Financial Statements for the Year Ended 31st March 2023** ||**Page**| |---|---| |**Reference and Administrative Details**|1| |**Report of the Trustees**|2 to 7| |**Report of the Independent Auditors**|8 to 10| |**Statement of Financial Activities**|11| |**Balance Sheet**|12| |**Cash Flow Statement**|13| |**Notes to the Cash Flow Statement**|14| |**Notes to the Financial Statements**|15 to 30| |**Detailed Statement of Financial Activities**|31 to 32| **Severn Arts** **Reference and Administrative Details for the Year Ended 31st March 2023** **TRUSTEES** J Berrow W Davies (resigned 23.1.23) J de la Cour K A Edwards D Herbert H Perrott C V J Phillips A R Watts E S Davies O Harper (resigned 12.10.22) C Shiels **REGISTERED OFFICE** Suite 11 Malvern Gate Bromwich Road Worcester Worcestershire WR2 4BN **REGISTERED COMPANY NUMBER** 11033978 (England and Wales) **REGISTERED CHARITY NUMBER** 1180335 **AUDITORS** Richards Sandy Audit Services Limited (Statutory Auditor) Thorneloe House 25 Barbourne Road Worcester WR1 1RU **SENIOR MANAGEMENT TEAM** Laura Worsfold (Chief Executive Officer) Debra Fawcett (Director of Music Education) Elaine Knight (Arts Director) Alex Green (Director of Resources & Operations) Min Sowden (Director of Marketing) **SOLICITORS** Anthony Collins Solicitors 134 Edmund Street Birmingham B3 2ES **BANKER** Lloyds plc 25 Gresham Street London EC2V 7HN Page 1 **Severn Arts** ## **Report of the Trustees for the Year Ended 31st March 2023** The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31st March 2023. 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 applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019). ## **INTRODUCTION** Severn Arts is the lead organisation for the delivery and operation of music education in Worcestershire. It is contracted to run the County Arts services and delivered the Arches Worcester Festivals programme as part of a DCMS/Arts Council funded Cultural Development Fund project, completed in March 2023. Severn Arts continues to project manage the full completion of the capital scheme attached to this Fund until July 2024. Severn Arts is also commissioned to manage a new community arts coordinator and programme on behalf of Malvern Hills District Council. The Company is a registered charity with the Charity Commission (charity number 1180335). ## **OBJECTIVES AND ACTIVITIES Objects and Activities** The Company has widely drawn charitable Objects which focus on education, music and the arts and the promotion of social inclusion. The Company's Objects are: - The advancement of education, particularly through the promotion of high quality teaching and learning, including (but not limited to) the subjects of music and the arts. - The advancement of the arts and culture, particularly (but not limited to) through the promotion and teaching of music and the arts, promotion of accessibility to, and in participation in, the arts, provision of training, support and networking opportunities for aspiring artists, provision of commissions. - To assist in the treatment and care of persons suffering from mental or physical illness of any description or in need of rehabilitation as a result of such illness, by the provision of services not normally provided by the statutory authorities, including (but not limited to) arts activities, dance and drama programmes for people with learning disabilities and /or terminal illnesses. - To promote social inclusion by preventing people from becoming socially excluded, relieving the needs of those people who are socially excluded and assisting them to integrate into society. ## The Company's current aims are: - To deliver the work of the Worcestershire Music Education Hub against the requirements outlined in the National Plan for Music Education. - To provide and develop opportunities for music tuition, instrument repair and loan and activity for children and young people in Worcestershire. - To deliver arts activities as outlined in an Arts Plan currently supported by Worcestershire County Council. - To project manage and complete The Arches Worcester Cultural Development Fund (CDF) project. - To manage a community arts coordinator and programme on behalf of Malvern Hills District Council. - To represent the cultural sector as a partner in the Creative People and Places Programme in Redditch. The principal strategies employed to achieve these aims are: - To present subsidised, affordable whole-class, small group and 1-2-1 music tuition in schools delivered by experienced, high-quality music teachers. - To provide an extensive orchestra and ensemble offer and performance opportunities. - To support and implement music and arts education projects that engage children and young people with creative activity and encourage progression and growth. - To develop and nurture excellence in teaching practice and invest in continuous professional development (CPD) and resources that support music teachers to implement an enriched and inspiring curriculum. - To provide inspiring, arts programmes and opportunities that reflect ambition, involve, and engage young people and the wider community in the creative arts sector and provide platforms for artistic talent to grow and prosper. - To provide support, training, and development opportunities for creative professionals. - To employ and develop a dedicated and skilled diverse workforce. Page 2 **Severn Arts** ## **Report of the Trustees for the Year Ended 31st March 2023** ## **ACHIEVEMENT AND PERFORMANCE** The focus for the past year has been on improving our systems and supporting staff to improve and grow our relationships with schools and teams. We appointed more staff in office management and project support and have supported three more young graduates in paid internships and placements. We have identified our gaps in provision and audited take-up from our schools resulting in more targeted marketing and improved offers. We continued to increase our income through accessing awards and grants from the Saintbury Trust, Awards for Young Musicians, Youth Music, Without Walls, Wychavon District Council, Arnold Clark Community Fund, The Community Choir, Worcester City Council, and a number of individuals donating through our website to Severn Arts Music Awards Scheme. Our total income raised was £193,280.95. We also levered in funds £141,508 for other cultural organisations through mentoring and support. The Music Box bus has established a following and we have expanded our reach, raising the profile of Severn Arts. We were unsuccessful in our Arts Council National Portfolio Organisation (NPO) bid but have been awarded a project grant for Light Night Worcester to take place in February 2024. We have also been successful in other areas, including securing a 4-year funding agreement with Awards for Young Musicians' and Furthering Talent Connect programme. We received a legacy donation in memory of a young musician, Olly Irwin and established a bursary with the funds to support young talent, in association with BIMM Institute Birmingham in a difficult funding climate for the cultural sector, we continue to be proactive, identifying opportunity when it arises and keeping on trend with the national and regional political landscapes. We have positioned ourselves to be ready to take on the new Music Hub lead role for Herefordshire and Worcestershire from September 2024, working sensitively with our colleagues and partners. Severn arts remains a resilient, well-run organisation with committed staff and Trustees working to our end goal to improve the lives of children and young people through creative endeavour. ## **Worcestershire Music Education Hub** Severn Arts works in partnership with key music organisations who collectively make up the Worcestershire Music Education Hub (WMEH), which is chaired by a member of staff at the University of Worcester. In 2022-23: - 219 schools (2021-22: 215) engaged with the WMEH - 99 schools (2021-22: 97) received whole class teaching - 6,672 pupils (2021-22: 6,077) received tuition through whole class tuition - 194 schools (2021-22: 194) were supported through CPD/visits - 193 schools (2021-22: 187) were supported to develop a singing strategy Severn Arts delivered a full concert programme involving all the orchestras and bands which rehearse weekly across the county. Concerts took place in Worcester, Malvern, Kidderminster, Droitwich, Upton-on-Severn and Bromsgrove culminating in a showcase Festival of Music concert at Worcester University Arena. This concert featured a specially commissioned work for over 250 players of all ages, instruments and abilities called 'Bewdley Bridge’. The concert also included the new Lift Off! groups for early learners. In June 2023, the Big Sing took place in Worcester University Arena with 2000 pupils taking part from across Worcestershire. Other workshops were delivered by Orchestra Pro Anima, National Children's Choir of Great Britain and Toscana Strings. Our partnership with MAC Makes Music continues to support young people to access music and overcome barriers. The Soundabout Choir meets monthly and has been showcased in joint projects with the Gloucestershire Soundabout Choir at Gloucester Cathedral and the Three Choirs Festival. Severn Arts is working in partnership with Malvern Cube to deliver their band development project funded by Youth Music. Severn Arts was successful in its continuation of the Furthering Talent programme delivered by Awards for Young Musicians and funded by Youth Music and is one of 10 music hubs across the country to be part of the new Furthering Talent Connector programme from March 2023 until March 2026. In January 2021 young people started their musical journey through this programme which is aimed at those exhibiting early potential but for whom financial barriers mean that they would not be able to continue their musical journey without access to this programme. During 2022-2023, the young people on the programme have taken part in a variety of Get Together events including a trip to Birmingham to see the CBSO in concert and meet the players, a workshop with Birmingham Contemporary Music Group and a workshop with musicians form the Birmingham Conservatoire Folk Ensemble. A film has been produced to showcase and promote the breadth of the Severn Arts music offer. Severn Arts also supports young people facing financial barriers through the Music Awards scheme. Severn Arts continues to offer free access to Charanga , providing online music teaching resources to schools. In addition, we offer free access to Music First for secondary schools and a subsidised Sparkyard subscription for all schools. Severn Arts also has significant partnerships with the National Youth Orchestra`s Inspire programme, University of Worcester, Malvern Concert Club, Orchestra Pro Anima, Worcester Symphony Orchestra, and the English String Orchestra which has resulted in school concerts taking place alongside workshops. Severn Arts has been involved in several careers' fairs and open evenings in schools across the county and has offered five work experience placements to pupils from Worcestershire high schools. Schools are supported to deliver the National Curriculum for Music through a year-long Continuous Development programme. Page 3 **Severn Arts** ## **Report of the Trustees for the Year Ended 31st March 2023** The Music Box (bus) is out on the road delivering music technology workshops at schools and events across the county and has delivered over 40 workshops and impacted on over 800 young people during the year. The CPD programme for all staff and schools has focused on the Model Music Curriculum with sessions on pitch and rhythm notation for the non-specialist music teacher, Ofsted Music Deep Dives, Sounds of Intent, Charanga, Big Sing and the Schools Printed Music Licence. We will be building on this offer during the next academic year and consulting with schools on the new National Plan for Music Education. ## **Arts Development** The arts programme delivered on behalf of Worcestershire County Council aligns with the four main aims of the Council - children and young people, business support, health and wellbeing and the environment. This year the programme delivered a range of projects for young people to take part in, working with partners to secure additional funding, providing employment opportunities for creative practitioners, offering commissions to local artists, and sharing opportunities across the sector through a monthly newsletter. We appointed a new Young Poet Laureate who took up the role in March 2023 and will be in place until March 2024. We have been commissioned by Worcestershire Children First to provide artists as part of the Holiday, Activity and Food (HAF) Programme in the County, delivering workshops to nearly 2500 children and young people. Our annual Young Voices New Visions exhibition at Worcester Cathedral took place, attracting over 50 schools. We are a partner in Reimagine Redditch, an Arts Council funded initiative to engage more people in the arts who do not traditionally participate in culture. Malvern Hills District Council has commissioned us to deliver their community arts programme which will see a new festival and community and cultural network established and offer small grants to local groups. ## **The Arches Worcester Festivals - Cultural Development Fund programme** This is a time limited project funded by the Department for Culture Media and Sport (DCMS) and administered by Arts Council England, which finished in March 2023. Severn Arts continues to project manage the programme until July 2024 when the capital works will be complete Our final Light Night was realised in February 2023, with a series of installations throughout the city centre including an indoor artist commission at St Swithun’s Church. The food and drink offer were extended with a site-specific offering of pop-up local food and drink suppliers. Following a pilot project in November 2021, we delivered a brand-new cultural festival for young adults aged 18-30 in October 2022. The festival was co-created with 12 young adults and focused on three themes; fashion, tattooing and gaming. We continued to work with Community Festivals creating a bespoke programme aimed at raising ambition, broadening reach and creating a long-term legacy. Worcester Music Festival, Worcester Mela and Worcester Carnival were all successful in securing funding enabling new and diverse programmes of work. Worcester Music Festival established a new strand of work in experimental mechanical music, Worcester Carnival piloted a new approach to environmentally friendly floats and Worcester Mela delivered its first traditional Mela which bought communities from across the city together to celebrate south Asian culture through creativity and colour. Severn Arts hosted the final Arts Council England symposium (CDF round one) in Worcester in March 2023, showcasing all five of the original CDF projects. Page 4 **Severn Arts** ## **Report of the Trustees for the Year Ended 31st March 2023** ## **FINANCIAL REVIEW** ## **Financial results for the year** We have seen a significant recovery in face-to-face music tuition and as a result income in this area has grown considerably. From September 2022, music tuition and schools' take-up increased and Music Education income (excluding grants and donations) this financial year was £848,539 (2022: £732,895), an increase of £115,644 from the previous year. Bands and group sessions have been slower to recover, but we are seeing strong demand from schools for engagement in whole class for the coming financial year. The Company continues to receive substantial grant income which remains largely unchanged since last year. The Department of Education (DfE) Arts Council England grant covers costs arising from the Worcestershire Music Education Hub and was almost unchanged at £740,850 (2022: 738,857). Grant income was received from the DCMS Cultural Development Fund Worcester Arches project finances the festivals component of the programme, and we also received income to supply project management for the overall programme. For the full financial year, the Company’s excess income over expenditure before transfers between fund on unrestricted activities was £140,474 (2022: surplus of £51,722). Restricted activities show a deficit before transfers between funds of £65,767 (2022: surplus of £40,181). The combined surplus for the year was £74,707 (2022: deficit of £11,541). Net assets of the Company stood at £1,245,882 (2022: £1,171,175). ## **Reserves policy** The current funds position of the Charity is set out in note 21 to these accounts. On 31 March 2023 the Charity had accumulated balances of £1,245,882 (2022: £1,171,175). However not all these balances are held in cash or cash equivalents. At the year-end free reserves (unrestricted funds less fixed assets) amounted to £937,535 (2022: £871,770) and includes the £300,000 (2022: £300,000) designated fund noted below. In order to ensure financial stability and to ensure that the Company can continue to meet its charitable objects the Trustees have agreed that a designated cash reserve of £300,000 should be held in addition to other cash and non-cash funds. This represents 4.5 months of unrestricted fund expenditure. The policy assumes that the Company is a going concern and that there is no foreseeable likelihood of it ceasing to operate. If the Company did cease to operate, then it could liquidate its non-cash assets to meet any winding up costs. ## **Going concern** After making appropriate enquiries, the Trustees have 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 financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies. ## **Risk management** The Trustees have assessed the major risks to which the Charity is exposed, those related to the operations and finances of the Charity and are satisfied that systems and procedures are in place to mitigate exposure to the major risks. In deciding on this level of reserves, the Trustees have considered the financial risks that the Charity faces, the certainty of income and the impact on users should the Charity be unable to provide its services. The major financial risk faced is the withdrawal of grant support from DfE Arts Council England music education grant. Whilst this would have a significant impact, the Trustees expect that there would be forewarning of this which would enable them to plan appropriately. The way that DfE distributes funds as part of the music education grant is changing with effect from September 2024. The music hub areas are changing such that Herefordshire and Worcestershire will be combined into one hub. The new application process is open to anyone and thus a competitive process. However, we are in dialogue with Encore who currently operate the Herefordshire Music Education Hub and shall be applying as the lead organisation for Herefordshire and Worcestershire. We are confident in our approach, but outcomes of the application process are due to be published in April 2024. The Trustees have assessed other significant financial risks and have taken action to ensure the Company is able to respond to fluctuations in income and demand for services such that it is able to successfully deal with any immediate challenges presented. The Trustees review the reserves policy on a regular basis with reference to trading history and by comparison with forecast projections. Page 5 **Severn Arts** ## **Report of the Trustees for the Year Ended 31st March 2023** ## **PLANS FOR FUTURE PERIODS** Severn Arts plans to increase business over the next few years and to diversify its income and offer to expand its reach, to cover some adult work and target disadvantaged groups throughout the county. We are at the end of our 3-year Business Plan and have a clear strategic direction that aims to focus our work as enablers, brokers and deliverers of creative education across audiences and borders... We will be expanding our music offer into Herefordshire pending the outcome of our bid to be Lead Music Hub for two counties. We are committed to a legacy programme to support grass-roots and community support for local festivals and our arts development work is developing through partnerships with our local district authorities, Worcestershire Children First, Public Health and the University of Worcester. Severn Arts is committed to growing its own workforce and to providing opportunities for career progression within the organisation, starting with apprenticeships and internships and creating sustainable roles for the future development of the music and arts education sector. We plan to work with partners to diversify our offer and ensure Severn Arts shows evidence and impact of its’ work to be an inclusive company. ## **STRUCTURE, GOVERNANCE AND MANAGEMENT Constitution** The Company is constituted under a Memorandum and Articles of Association dated 18 October 2017 (as amended on 19 March 2019). ## **Methods of appointment or election of trustees** The management of the Company is the responsibility of the Trustees who are appointed and co-opted under the terms of the Articles of Association. All trustees have received training through annual board away days which concentrate upon the role of the board, policy and strategic direction and the evaluation and monitoring of the business plan. The trustees are invited to participate in continuous professional development programmes and are subject to a disclosure and Barring Service review. They adhere to equal opportunity recruitment policies. No new Trustees have been elected this year and one Trustee has resigned. But the establishment of a staff Trustee and Youth Voice representation is in development. A group of Trustees are preparing a succession plan and proposal to recruit at least two new Trustees this year. We have an established Finance Committee and a Music Hub Steering group with one of our trustees as a designated member. ## **Key management** Day to day management of the charity is delegated to the senior management team listed on the Reference and Administrative Details page. ## **Public benefit** The Trustees confirm that they have complied with the duty in Section 4, Charities Act 2011, to have due regard to the guidance issued by the Charity Commission concerning public benefit. ## **STATEMENT OF TRUSTEES' RESPONSIBILITIES** The trustees (who are also the directors of Severn Arts for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland". Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to - select suitable accounting policies and then apply them consistently; - observe the methods and principles in the Charity SORP; - make judgements and estimates that are reasonable and prudent; - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business. The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Page 6 Repwiofth? Trujtte forthi Yw End•d 31st Ilavch 2023 In ao far as the tnAlees a￿ wore: th•re i# no re1w￿t u)lomi8bon olt*hch the campwry'8 aU￿rt0r8 are gnd . ttie trusiees ho¥9 all Ste￿ Ihat Ilw ought to hav8 ta￿ trtr m•k• themse￿￿ awwe of arry reknant audit Infom￿￿00 to estsk4i¥h tt*tth• wdftcrfs •rg ofthyt krfoThrth. Th1$ has t*en prepar•d in a[￿rd￿￿ SF*dal of Part 15 ofth• CryryrN88 Ad 2(K6 ralabny to i¥* 14Zi Approved by ordor all￿ towd of ￿￿¢¢￿¥ on ............_...... . . J *gn•J N8 b•WW. LILa. Jd* c￿r. Tftthi ## **Report of the Independent Auditors to the Members of Severn Arts** ## **Opinion** We have audited the financial statements of Severn Arts (the 'charitable company') for the year ended 31st March 2023 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. In our opinion the financial statements: - give a true and fair view of the state of the charitable company's affairs as at 31st March 2023 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'; and - have been prepared in accordance with the requirements of the Companies Act 2006. ## **Basis for opinion** We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements 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 obtained is sufficient and appropriate to provide a basis for our opinion. ## **Conclusions relating to going concern** In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. ## **Other information** The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. ## **Opinions on other matters prescribed by the Companies Act 2006** In our opinion, based on the work undertaken in the course of the audit: - the information given in the Report of the Trustees for the financial year for which the financial statements are prepared is consistent with the financial statements; and - the Report of the Trustees has been prepared in accordance with applicable legal requirements. Page 8 ## **Report of the Independent Auditors to the Members of Severn Arts** ## **Matters on which we are required to report by exception** In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees. - We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: - adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or - the financial statements are not in agreement with the accounting records and returns; or - certain disclosures of trustees' remuneration specified by law are not made; or - we have not received all the information and explanations we require for our audit; or - the trustees were not entitled to take advantage of the small companies exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Trustees. ## **Responsibilities of trustees** As explained more fully in the Statement of Trustees' Responsibilities, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so. ## **Our responsibilities for the audit of the financial statements** Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: - Obtained an understanding of the nature of the industry and sector, including the legal and regulatory framework that the company operates in and how the company is complying with the legal and regulatory framework; - Inquired of management, and those charged with governance, about their own identification and assessment of the risks and irregularities, including known actual, suspected or alleged instances of fraud; and - Discussed matters about non-compliance with laws and regulations and how fraud might occur including assessment of how and where the financial statements may be susceptible to fraud. As a result of these procedures we consider the most significant laws and regulations that have a direct impact on the financial statements are the Charities SORP (FRS 102) '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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', the Companies Act 2006 (and related legislation), the Charities Act 2011 (and related legislation)), and laws and regulations relating to the employment and payment of staff including, but not limited to, the Employment Rights Act 1996, the National Minimum Wage Act 1998 and the Pensions Act 2008. We performed audit procedures to detect non-compliances which may have a material impact on the financial statements, which included reviewing the financial statement disclosures. This includes sample testing of monthly payroll records for the calculation of gross wages, payroll taxes and pension costs. We identified the areas of the financial statements most susceptible to fraud to be management's judgement in allocating expenditure to individual restricted and unrestricted funds, including the allocation of wage costs and general staff overheads. Audit procedures performed included, but were not limited to, reviewing managements reasoning and workings behind these allocations of expenditure. Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. Page 9 A further de8ciWicffi ofour respons**ltss for th? of ￿ finan)4 *•twr￿oIS il located on th• Finorthl R¢portirMJ CrA￿d1'S websrte at W1￿.1r￿0rg.Vk/auth1M[e¥￿￿1tX.fkn$. Th"s desuW*)n thym pwt ofwr Report of the Independ￿ Avjitors. Us• ofour wwi Thls report L8 made sthto ts tharitabl8 mpJnber4 8s a boty, Inxcordance wFth Chaptèr3 tsfPart 18 ofthe C(#xpanies AL* 2C()6. Our audit ￿tk been undertaken BO lh￿ n¥ght Slate lo the charitable I￿rn￿r9 th08è ffAtt8rs we are requlrndto statets Ihem i•portandforno other purFK6e.To the fulèstèxlenlpemltled ty 18w. we do not ac£W ¢x assune r•sponstI￿ to arbyone iJther I1￿ the Charrfat￿ company the charftable nyany'$ momborn •8 a boty. lorf￿r •LKffl thii repryL orfLYthè op(ninST￿ ha¥• fonY*d. RO￿rt ￿$1￿) Rknards Isenknr St￿￿try￿AUdi1 frJr and w behslf of Rich*ds SaThfy Umit•d ISlatulNy Audltor) Thom•k4 26 Barboum R Worcosler WR1 IRU 10 ## **Severn Arts** ## **Statement of Financial Activities (Incorporating an Income and Expenditure Account) for the Year Ended 31st March 2023** |Notes
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
4
**Charitable activities**
6
Music education
Arts development
Festivals
Investment income
5
Other income
**Total**
**EXPENDITURE ON**
**Charitable activities**
7
Music education
Arts development
Festivals
**Total**
**NET INCOME/(EXPENDITURE)**
**Transfers between funds**
21
**Net movement in funds**
**RECONCILIATION OF FUNDS**
Total funds brought forward
**TOTAL FUNDS CARRIED FORWARD**|Unrestricted
funds
£
**472,860**
**848,539**
**9,550**
**-**
**1,518**
**-**
**1,332,467 **
**1,061,381**
**130,612**
**-**
**1,191,993**
**140,474**
**(3,305) **
**137,169**
**1,054,455**
**1,191,624**|Restricted
funds
£
**1,244,215**
**-**
**7,000**
**-**
**-**
**-**
**1,251,215**
**850,560**
**46,352**
**420,070**
**1,316,982 **
**(65,767)**
**3,305**
**(62,462)**
**116,720**
**54,258**|**2023**
**Total**
**funds**
**£**
**1,717,075**
**848,539**
**16,550**
**-**
**1,518**
**-**
**2,583,682 **
**1,911,941**
**176,964**
**420,070**
**2,508,975**
**74,707**
**-**
**74,707**
**1,171,175**
**1,245,882 **|2022
Total
funds
£
1,794,893
732,895
7,850
18,712
-
24,747
2,579,097
1,687,170
135,356
768,112
2,590,638
(11,541)
-
(11,541)
1,182,716
1,171,175| |---|---|---|---|---| The notes form part of these financial statements Page 11 31st IAarrh 2023 2023 TeA•l 21x22 Totol fLnds fund8 funds FIXED ASSETS Tanglbh assets 15 1190 257277 CURRENT ASSETS 08btors". amwnts falllng d4%•7*llhth year 16 a77￿13 298.074 979 914 1305,976 68￿1 1361220 1377,988 CREDITORS Amowts f8Nlng wmhln one yur 17 (28BA401 IZT3.821> P95.1281 IIET CURRENT A8SErs TOTAL A88EfJ LE88 CURRE14T LiABLrrEs 1.191.622 54,200 1,246W2 1.447.364 CREDITORS Amounts falling thje aft•r nJy• than one ya 18 1278,189) NET ASSET8 1,191.622 1,246.882 1.171 175 FUNDS Unre8trirled fvJtyJ• R8strfcied fundB 21 1.191,622 1.054.455 TOTAL FUNDS 1245 882 1171175 Th•a• fwcTral •i•lwnerts b•8n W•Fwed the wovMi(m •r¢*abkn to tr)mpanl•i Th• fln8rKJel 8talernenl¥￿1I 8pprv40d tythe BoaTd OlTNste•s￿￿ •Jthothd fuw ¢xi.. . ond wr¥ slgned on ib tseh￿fby'. J,LJ, L L JdélaCour-Tr Page 12 ## **Severn Arts** ## **Cash Flow Statement** **for the Year Ended 31st March 2023** |Notes
**Cash flows from operating activities**
Cash generated from operations
1
Net cash (used in)/provided by operating activities
**Cash flows from investing activities**
Purchase of tangible fixed assets
Sale of tangible fixed assets
Interest received
Net cash used in investing activities
**Change in cash and cash equivalents in**
**the reporting period**
**Cash and cash equivalents at the**
**beginning of the reporting period**
**Cash and cash equivalents at the end of**
**the reporting period**|**2023**
**£**
**(90,919) **
**(90,919) **
**(9,299)**
**3,029**
**1,518**
**(4,752)**
**(95,671)**
**979,914**
**884,243**|2022
£
40,623
40,623
(2,232)
-
-
(2,232)
38,391
941,523
979,914| |---|---|---| The notes form part of these financial statements Page 13 **Severn Arts** ## **Notes to the Cash Flow Statement for the Year Ended 31st March 2023** ## **1. RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES** |**ACTIVITIES**|||||| |---|---|---|---|---|---| ||||**2023**|2022|| ||||**£**|£|| |**Net income/(expenditure) for the reporting**|**period (as per the**||||| |**Statement of Financial Activities)**|||**74,707**|(11,541)|| |**Adjustments for:**|||||| |Depreciation charges|||**215,520**|36,683|| |Profit on disposal of fixed assets|||**(2,023)**||-| |Interest received|||**(1,518)**||-| |Council loans converted in grant funding|||**(276,189)**||-| |Increase in debtors|||**(79,909)**|(115,332)|| |(Decrease)/increase in creditors|||**(21,507)**|130,813|| |**Net cash (used in)/provided by operations**|||**(90,919) **|40,623|| |**ANALYSIS OF CHANGES IN NET FUNDS**|||||| ||||Other||| ||||non-cash||| ||At 1.4.22|Cash flow|changes|**At 31.3.23**|| ||£|£|£|**£**|| |**Net cash**|||||| |Cash at bank|||||| |and in hand|**979,914**|**(95,671)**||**884,243**|| ||**979,914**|**(95,671)**||**884,243**|| |**Debt**|||||| |Debts falling due|||||| |after 1 year|**(276,189)**|**-**|**276,189**||**-**| ||**(276,189)**|**-**|**276,189**||**-**| |**Total**|**703,725**|**(95,671)**|**276,189**|**884,243**|| ## **2. ANALYSIS OF CHANGES IN NET FUNDS** ## **3. MAJOR NON-CASH TRANSACTIONS** During the year Worcestershire County Council has agreed to convert the remaining unpaid balance of loans due to them totalling £276,189 into a legal agreement that the charity will provide equivalent support to the priorities of Worcestershire County Council (see note 19). The notes form part of these financial statements Page 14 **Severn Arts** ## **Notes to the Financial Statements for the Year Ended 31st March 2023** ## **1. GENERAL INFORMATION** Severn Arts is a private company, limited by guarantee, incorporated in the UK and registered in England and Wales. The principal activity of Severn Arts is set out in the Trustees Report. The registered office and principal operating office of Severn Arts is Suite 11, Malvern Gate, Bromwich Road, Worcester, WR2 4BN. ## **2. ACCOUNTING POLICIES** ## **BASIS OF PREPARING THE FINANCIAL STATEMENTS** The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006, except in regard to the treatment of the LGPS as if it was a defined contribution pension scheme rather than if it was a defined benefit pension scheme, which is a departure from the requirement of FRS 102, on the basis that accounting for the LGPS as a defined benefit pension scheme is inconsistent with the requirements to give a true and fair view (see the accounting policy for pension costs for more details). The financial statements have been prepared under the historical cost convention. The accounts are presented in GBP and are rounded to the nearest £1. ## **INCOME** All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably. Donation and grant income is recognised when the charity has been notified of the amounts. If there are performance conditions attached to the donation before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charitable company and it is probable that they will be fulfilled. Income from the supply of services (including income from charitable activities) represents the value of services provided to the extent that there is a right to consideration and is recorded at the fair value of the consideration received or receivable. Interest income is recognised for all interest-bearing financial instruments on an accrual basis. ## **EXPENDITURE** Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that 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 basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources as detailed below. Charitable activity costs are those costs that relate directly to specific activities within the organisation. Supports costs include the running costs of the charity and have been attributed to direct costs of charitable activities as follows: - Support costs that can be directly attributed to a particular activity have been categorised as such in the financial statements. - Any residual costs have been allocated between activities in line with the value of support costs agreed in advance by funders, multiplied by the percentage of total support costs in each heading. Page 15 continued... **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** ## **2. ACCOUNTING POLICIES - continued** ## **TANGIBLE FIXED ASSETS** Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible asset into its intended working condition should be included in the measurement of cost. A review for impairment of fixed assets is carried out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between the carrying value of fixed assets and their recoverable amounts are recognised as impairments. Impairment losses are recognised in the Statement of financial activities. Tangible fixed assets costing £500 or more are capitalised. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases: - Motor vehicles - 5 years straight line - Fixtures & fittings - Office equipment - Computer equipment - 10 years straight line - 5 years straight line - 5 years straight line - Instruments: - Low value/ low life Over 4 years. This applies to instruments such as recorders, fifes, doods, expectancy: ukuleles and other similar low value items. - - Brass: Instruments have a longer life in schools. Assuming 50% at 10 years down to 20% at 20 years. - - Woodwind: Instruments have a longer life in schools. Assuming 50% at 10 years down to 20% at 20 years. - Upper strings: Instruments have a longer life in schools, however are of much lower initial value than brass/ woodwind which makes them less saleable over time. Assume 30% at year 10 and 0% at years. - - Lower Strings: Instruments have a longer life in schools. Assuming 50% at 10 years, down to 20% at 20 years. - - Tuned Percussion: Includes some higher value instruments which are not hired out and so wear and tear is less (tend to be used centrally). E.g. Timpani, Marimba, Xylophone, Vibraphone, Keyboard instruments. Assumed slower depreciation - 60% of original value at year 10 and 30% at year 20. - Untuned Percussion: Includes lower cost instruments such as cymbals, drums, djembes. Usually higher wear and tear for small percussion. Some, such as djembe are hired to schools in sets and are often not repairable. Assumed 20% value at year 10. - - High Value: Includes instruments rarely hired out, used centrally only or if exceptional value (eg. Harp, Contrabassoon etc). Instruments are kept in excellent serviced condition and still retain considerable value after 20 years (assumed 50%). - - Miscellaneous: This assumed straight line depreciation to 10% after 10 years and covers non standard items eg Drum Kit, Early Years percussion, Samba, Folk. ## **TAXATION** The charity is exempt from corporation tax on its charitable activities. ## **FUND ACCOUNTING** Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. Page 16 continued... **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** ## **2. ACCOUNTING POLICIES - continued** ## **FINANCIAL INSTRUMENTS** The company 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 when the company becomes party to contractual provisions of the instrument. Financial assets are offset, with the net amounts presented in the accounts where 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 trade and other receivables 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. ## **Basic Financial Liabilities** Basic financial liabilities, including trade and other payables, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of future receipts, discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of the operations from suppliers. Accounts 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 payables are recognised initially at transaction cost. ## **OPERATING LEASES** Rents payable under operating leases are charged to the Statement of Financial Activities on a straight line basis over the lease term. ## **PENSION COSTS** Retirement benefits to employees of the charity are provided by either the Teachers' Pension Scheme ('TPS'), the Local Government Pension Scheme ('LGPS'), or a private defined contribution scheme. The TPS is an unfunded defined benefit scheme and contributions are calculated to spread the cost of pensions over employees' working lives with the charity in such a way that the pension cost is a substantially level percentage of current and future pensionable payroll. The contributions are determined by the Government Actuary based on quadrennial valuations using a prospective unit credit method. TPS is an unfunded multi-employer scheme with no underlying assets to assign between employers. Consequently, the TPS is treated as a defined contribution scheme for accounting purposes and the contributions recognised in the period to which they relate. The LGPS is a funded multi-employer defined benefit scheme and the assets are held separately from those of the charity in separate trustee administered funds. Whilst it would be possible to obtain an actuarial valuation of the charity's share of the LGPS to which the charity belongs, the trustees of the charity believe that to account for the LGPS as a defined benefit pension scheme, rather than as a defined contribution scheme, would be inconsistent with the requirement to give a true and fair view. This is because the trustees do not consider their annual contributions relating to settling their share of the LGPS's current forecast deficit to be material to the accounts of the charity (based on the information provided within the most recent triennial actuarial valuation of the relevant LGPS) and also due to the very low number of members of the LGPS allocated to the charity compared to the overall number of members of the relevant LGPS, it is considered probable that the actuarial valuation of the charity's share of the deficit would be disproportionally effected by any significant uncertainty in assumptions or errors compared to other scheme employers. In addition, the minority of employees of the charity that belong to the relevant LGPS include one of the three members of the senior management team and accounting for the LGPS as a defined benefit scheme would likely cause adjustments to disclosures concerning the remuneration paid to key management personnel in such a way that is not likely to be accurately determined on an individual employee basis and would likely be less comparable year on year due to changes in actuarial assumptions applied each year to the valuation of the relevant LGPS. The trustees therefore believe that accounting for their payments to the LGPS as a defined contribution scheme better reflects the actual financial impact to the charity. Page 17 continued... **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** ## **2. ACCOUNTING POLICIES - continued** Where the charity has entered into an agreement with the relevant LGPS that determines how the charity will fund a deficit, the charity recognises at that point a liability for the contributions payable that arises from the agreement (to the extent that they both relate to the deficit and can be reliably measured) and the resulting expense is recognised within the Statement of Financial Activities. Contributions payable to the defined contribution pension scheme are charged to profit or loss in the period to which they relate. ## **3. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY** Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. ## **Critical areas of judgements** Judgement is applied in setting the depreciation rates for tangible fixed assets. Details to these rates can be found in the accounting policies in note 2. The carrying value of tangible fixed assets can be found in note 15. Support costs have been allocated between unrestricted and restricted funds and between the activities where they have been identified as directly attributable costs. Any residual costs have been allocated between activities in line with the value of support costs agreed in advance by funders, multiplied by the percentage of total support costs in each heading. ## **4. DONATIONS AND LEGACIES** |Donations
Worcestershire County Council loans
converted into grant funding (see note 19)
Grants
Orchestra tax relief|Unrestricted
funds
£
**2,141**
**276,189**
**177,257**
**17,273**
**472,860**|Restricted
funds
£
**4,985**
**-**
**1,239,230**
**-**
**1,244,215**|**2023**
**Total**
**funds**
**£**
**7,126**
**276,189**
**1,416,487**
**17,273**
**1,717,075**|2022
Total
funds
£
17,547
-
1,777,346
-
1,794,893| |---|---|---|---|---| Grants received, included in the above, are as follows: |Arts Council England
The Arts Society
Awards for Young Musicians
BBC Children In Need (Youth Investment Fund)
The Childrens Society
Cultural Development Fund Grants
Malvern Hills District Council
Music Education Grant
The National Foundation for Youth Music
The Saintbury Trust
Sutton Croft
UK Association for Music Education
Worcestershire County Council Funding
Sundry small grants|**2023**
**£**
**56,242**
**2,000**
**29,571**
**-**
**-**
**414,011**
**7,015**
**740,850**
**8,548**
**2,000**
**29,230**
**7,400**
**119,562**
**58**
**1,416,487 **|2022
£
56,243
-
-
18,348
10,200
749,562
-
738,857
19,932
-
26,360
12,600
132,317
12,927
1,777,346| |---|---|---| Page 18 continued... ## **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** |**5.**
**INVESTMENT INCOME**
Unrestricted
funds
£
Bank interest
**1,518**
**6.**
**INCOME FROM CHARITABLE ACTIVITIES**
Music
education
£
CPD income
**1,740**
Event income
**5,253**
Project income
**-**
Resources
**31,693**
Tuition
**793,793**
Subscriptions
**9,774**
Concerts
**3,886**
Miscellaneous income
**2,400**
**848,539**
**7.**
**CHARITABLE ACTIVITIES COSTS**
Music education
Arts development
Festivals
**8.**
**DIRECT COSTS OF CHARITABLE ACTIVITIES**
Staff costs
Instrument consumables
Workshop expenditure
External funding and bursary
Project costs
Subcontracted staff costs|Restricted
funds
£
**-**
Arts
development
£
**-**
**-**
**16,550**
**-**
**-**
**-**
**-**
**-**
**16,550**
Direct
Costs (see
note 8)
£
**1,429,384**
**165,529**
**384,993**
**1,979,906**|| |---|---|---| |||| Page 19 continued... ## **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** ## **9. SUPPORT COSTS** |Management
£
Music education
**476,965**
Arts development
**10,973**
Festivals
**33,419**
**521,357 **
Support costs, included in the above, are as follows:
Music
Arts
education
development
£
£
Rates and water
**2,341**
**193**
Insurance
**9,572**
**789**
Light and heat
**7,100**
**585**
Telephone
**5,008**
**413**
Advertising
**16,808**
**-**
Sundries
**2,752**
**111**
Service charges
**11,517**
**949**
Rent
**27,334**
**2,252**
Travel expenses
**73,811**
**1,937**
IT expenses
**29,452**
**1,272**
Legal and professional
**7,593**
**626**
Accountancy and payroll
**11,460**
**942**
Conference costs
**1,311**
**-**
Subscriptions
**2,918**
**-**
Board costs
**1,820**
**-**
Premises costs
**10,489**
**864**
CPD costs
**4,399**
**-**
Venue hire
**19,516**
**-**
Safeguarding costs
**2,738**
**-**
Consultancy fees
**15,038**
**-**
Postage and stationary
**491**
**40**
Depreciation
**215,520**
**-**
Profit on sale of tangible
fixed assets
**(2,023)**
**-**
Bank charges
**1,343**
**111**
Redundancy
**-**
**-**
Auditors' remuneration
**4,249**
**351 **
**482,557 **
**11,435**|Governance
Finance
costs
£
£
**1,343**
**4,249**
**111**
**351**
**398**
**1,260**
**1,852 **
**5,860**
**2023**
Total
Festivals
activities
£
**£**
**692**
**3,226**
**2,828**
**13,189**
**2,098**
**9,783**
**1,480**
**6,901**
**-**
**16,808**
**397**
**3,260**
**3,403**
**15,869**
**8,076**
**37,662**
**1,017**
**76,765**
**4,563**
**35,287**
**2,243**
**10,462**
**3,378**
**15,780**
**-**
**1,311**
**-**
**2,918**
**-**
**1,820**
**3,099**
**14,452**
**-**
**4,399**
**-**
**19,516**
**-**
**2,738**
**-**
**15,038**
**145**
**676**
**-**
**215,520**
**-**
**(2,023)**
**398**
**1,852**
**-**
**-**
**1,260**
**5,860**
**35,077**
**529,069**|Totals
£
**482,557**
**11,435**
**35,077**
**529,069**
2022
Total
activities
£
**3,225**
**14,820**
**7,195**
**8,646**
**23,500**
**2,453**
**13,944**
**40,034**
**56,359**
**51,419**
**29,139**
**21,162**
**167**
**5,363**
**1,916**
**8,657**
**4,985**
**10,296**
**2,895**
**75,455**
**757**
**36,683**
**-**
**1,641**
**41,750**
**5,130**
**467,591**| |---|---|---| ## **10. NET INCOME/(EXPENDITURE)** Net income/(expenditure) is stated after charging/(crediting): |Depreciation - owned assets
Surplus on disposal of fixed assets
Rent paid under operating leases|**2023**
**£**
**215,520**
**(2,023)**
**37,662 **|2022
£
36,683
-
40,034| |---|---|---| Page 20 continued... **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** ## **11. AUDITORS' REMUNERATION** |Audit remuneration
TPS EOYC audit
Other services|**2023**
**£**
**5,860**
**1,920**
**7,770 **
**15,550**|2022
£
5,160
2,094
13,278
20,532| |---|---|---| ## **12. TRUSTEES' REMUNERATION AND BENEFITS** There were no trustees' remuneration or other benefits for the year ended 31st March 2023 nor for the year ended 31st March 2022. ## **TRUSTEES' EXPENSES** No trustees were reimbursed for expenses during the current or prior year. ## **13. STAFF COSTS** |Wages and salaries
Social security costs
Other pension costs|**2023**
**£**
**1,174,733**
**88,279**
**192,402 **
**1,455,414**|2022
£
1,115,955
76,661
183,351
1,375,967| |---|---|---| Included within the above gross wages are redundancy payments of £nil (2022: £41,750) The average monthly number of employees during the year was as follows: ||**2023**|2022| |---|---|---| |Average number of employees|**87 **|75| |The number of employees whose employee benefits (excluding employer pension costs) exceeded||£60,000 w| ||**2023**|2022| |£60,001 - £70,000|**1**|1| The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was: ## **Key management personnel remunerations** During the year total remuneration, including employer pension and national insurance costs, paid to key management personnel totalled £269,962 for 5 employees (2022: £224,941 for 4 employees). Page 21 continued... ## **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** ## **14. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES** |**INCOME AND ENDOWMENTS FROM**
Donations and legacies
**Charitable activities**
Music education
Arts development
Festivals
Other income
**Total**
**EXPENDITURE ON**
**Charitable activities**
Music education
Arts development
Festivals
**Total**
**NET INCOME/(EXPENDITURE)**
**Transfers between funds**
**Net movement in funds**
**RECONCILIATION OF FUNDS**
Total funds brought forward
**TOTAL FUNDS CARRIED FORWARD**
**15.**
**TANGIBLE FIXED ASSETS**
Instruments
£
**COST**
At 1st April 2022
**502,384**
Additions
**8,398**
Disposals
**(2,353) **
At 31st March 2023
**508,429**
**DEPRECIATION**
At 1st April 2022
**111,067**
Charge for year
**196,876**
Eliminated on disposal
**(1,347)**
At 31st March 2023
**306,596**
**NET BOOK VALUE**
At 31st March 2023
**201,833**
At 31st March 2022
391,317|Fixtures
and
fittings
£
**76,521**
**901**
**-**
**77,422**
**29,539**
**7,742**
**-**
**37,281 **
**40,141**
46,982||Unrestricted
funds
£
116,743
688,745
6,850
-
24,747
837,085
771,979
116,828
-
888,807
(51,722)
(4,941)
(56,663)
1,111,118
1,054,455
Motor
vehicles
£
**10,100**
**-**
**-**
**10,100**
**4,540**
**2,020**
**-**
**6,560**
**3,540**
5,560||Restricted
funds
£
1,678,150
44,150
1,000
18,712
-
1,742,012
915,191
18,528
768,112
1,701,831
40,181
4,941
45,122
71,598
116,720
Computer
equipment
£
**44,402**
**-**
**-**
**44,402 **
**23,757**
**8,882**
**-**
**32,639**
**11,763**
20,645||Total
funds
£
1,794,893
732,895
7,850
18,712
24,747
2,579,097
1,687,170
135,356
768,112
2,590,638
(11,541)
-
(11,541)
1,182,716
1,171,175
Totals
£
**633,407**
**9,299**
**(2,353) **
**640,353**
**168,903**
**215,520**
**(1,347)**
**383,076**
**257,277**
464,504| |---|---|---|---|---|---|---|---| ||||||||| ||||||||| ||||||||| ||||||||| ||||||||| ||||||||| ||||||||| Page 22 continued... **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** ## **16. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR** |Trade debtors
Prepayments and accrued income
**17.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Trade creditors
Social security and other taxes
Other creditors
Accruals and deferred income|**2023**
**£**
**287,174**
**90,809**
**377,983**
**2023**
**£**
**24,528**
**18,262**
**24,086**
**206,745**
**273,621**|2022
£
61,863
236,211| |---|---|---| |||298,074| |||2022
£
104,526
21,498
33,507
135,597| |||295,128| Included in accruals and deferred income above is £60,248 (2022: £12,233) of deferred income. Deferred income primarily relates to tuition paid in advance for the 2023/24 year and grants received with attached performance conditions that were unmet at the year end. ## **18. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR** |Other loans (see note 19)|**2023**
**£**
**-**|2022
£
276,189| |---|---|---| ## **19. LOANS** An analysis of the maturity of the loan payable to Worcestershire County Council, which is repayable other than by instalments, is as follows: |Amounts falling due within one year
Amounts falling between one and five years
Amounts falling due in more than five years|**2023**
**£**
-
**-**
**-**
**-**|2022
£
-
228,571
47,618| |---|---|---| |||276,189| During the year Worcestershire County Council has agreed to convert the remaining unpaid balance of the loan into a legal agreement that the charity will provide equivalent support to the priorities of Worcestershire County Council. The loan payable to Worcestershire County Council was secured against the instruments included within tangible fixed assets (see note 15). ## **20. LEASING AGREEMENTS** Minimum lease payments under non-cancellable operating leases fall due as follows: |Within one year
Between one and five years|**2023**
**£**
**32,000**
**61,333**
**93,333**|2022
£
29,333
-| |---|---|---| |||29,333| Page 23 continued... **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** ## **21. MOVEMENT IN FUNDS** |**Unrestricted funds**
General fund
Designated Funds
Assets transferred from Worcestershire
County Council
WCC Arts Connect
**Restricted funds**
Cultural Development Fund
BBC Children In Need
Bursary Fund
Changing Tracks Nurture Group
The Children's Society
COMF Enhanced Youth Support
Cultural Educational Programme
Furthering Talent
Holiday Activities & Food Programme
Inspiring Future Through The Arts
Jubilee Funding
Kickstart
Music Box Fund
Music Mark Innovation Fund
Soundabout Choir
Sundry Restricted Donations
Youth Music
**TOTAL FUNDS**|At 1.4.22
£
**290,247**
**300,000**
**423,788**
**40,420**
**1,054,455**
**7,225**
**19**
**11,831**
**1,500**
**892**
**1,019**
**6,270**
**23,053**
**6,070**
**1,604**
**6,947**
**808**
**13,974**
**10,800**
**-**
**265**
**24,443**
**116,720**
**1,171,175**|Net
movement
in funds
£
**128,639**
**-**
**-**
**11,833**
**140,472**
**-**
**(19)**
**4,683**
**(1,500)**
**(892)**
**(1,019)**
**950**
**(9,907)**
**685**
**(1,604)**
**(6,947)**
**(1,260)**
**(13,137)**
**(10,800)**
**(500)**
**(55)**
**(24,443) **
**(65,765)**
**74,707 **|Transfers
between
funds
£
**420,483**
**-**
**(423,788)**
**-**
**(3,305)**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**452**
**2,353**
**-**
**500**
**-**
**-**
**3,305**
**-**|At
31.3.23
£
**839,369**
**300,000**
**-**
**52,253**
**1,191,622**
**7,225**
**-**
**16,514**
**-**
**-**
**-**
**7,220**
**13,146**
**6,755**
**-**
**-**
**-**
**3,190**
**-**
**-**
**210**
**-**
**54,260**
**1,245,882 **| |---|---|---|---|---| Page 24 continued... **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** ## **21. MOVEMENT IN FUNDS - continued** Net movement in funds, included in the above are as follows: |**Unrestricted funds**
General fund
WCC Arts Connect
**Restricted funds**
Music Education Grant
Cultural Development Fund
BBC Children In Need
Bursary Fund
Changing Tracks Nurture Group
The Children's Society
COMF Enhanced Youth Support
Cultural Educational Programme
Furthering Talent
Holiday Activities & Food Programme
Inspiring Future Through The Arts
Jubilee Funding
Kickstart
Music Box Fund
Music Mark Innovation Fund
Soundabout Choir
Sundry Restricted Donations
Youth Music
**TOTAL FUNDS**|Incoming
resources
£
**1,185,868**
**146,599**
**1,332,467**
**740,850**
**420,070**
**-**
**4,983**
**-**
**-**
**-**
**1,000**
**29,571**
**29,230**
**-**
**8,519**
**1,045**
**2,000**
**7,400**
**-**
**-**
**6,547**
**1,251,215**
**2,583,682 **|Resources
expended
£
**(1,057,229)**
**(134,766) **
**(1,191,995)**
**(740,850)**
**(420,070)**
**(19)**
**(300)**
**(1,500)**
**(892)**
**(1,019)**
**(50)**
**(39,478)**
**(28,545)**
**(1,604)**
**(15,466)**
**(2,305)**
**(15,137)**
**(18,200)**
**(500)**
**(55)**
**(30,990) **
**(1,316,980)**
**(2,508,975) **|Movement
in funds
£
**128,639**
**11,833**
**140,472**
**-**
**-**
**(19)**
**4,683**
**(1,500)**
**(892)**
**(1,019)**
**950**
**(9,907)**
**685**
**(1,604)**
**(6,947)**
**(1,260)**
**(13,137)**
**(10,800)**
**(500)**
**(55)**
**(24,443) **
**(65,765)**
**74,707 **| |---|---|---|---| Page 25 continued... **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** ## **21. MOVEMENT IN FUNDS - continued** ## **Comparatives for movement in funds** |**Unrestricted funds**
General fund
Designated Funds
Assets transferred from Worcestershire
County Council
WCC Arts Connect
**Restricted funds**
Cultural Development Fund
BBC Children In Need
Bursary Fund
Changing Tracks Nurture Group
The Children's Society
COMF Enhanced Youth Support
Cultural Educational Programme
Furthering Talent
Holiday Activities & Food Programme
Inspiring Future Through The Arts
Jubilee Funding
Kickstart
Music Box Fund
Music Mark Innovation Fund
Soundabout Choir
Sundry Restricted Donations
Youth Music
**TOTAL FUNDS**|At 1.4.21
£
325,432
300,000
448,165
37,521
1,111,118
7,063
-
3,345
-
-
-
5,270
7,724
-
10,632
-
-
11,843
-
-
265
25,456
71,598
1,182,716|Net
movement
in funds
£
(30,244)
-
(24,377)
2,899
(51,722)
162
925
3,486
1,500
892
1,019
1,000
15,329
6,070
(9,028)
6,947
1,991
2,131
10,800
(2,030)
-
(1,013)
40,181
(11,541)|Transfers
between
funds
£
(4,941)
-
-
-
(4,941)
-
(906)
5,000
-
-
-
-
-
-
-
-
(1,183)
-
-
2,030
-
-
4,941
-|At
31.3.22
£
290,247
300,000
423,788
40,420
1,054,455
7,225
19
11,831
1,500
892
1,019
6,270
23,053
6,070
1,604
6,947
808
13,974
10,800
-
265
24,443
116,720
1,171,175| |---|---|---|---|---| Page 26 continued... **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** ## **21. MOVEMENT IN FUNDS - continued** Comparative net movement in funds, included in the above are as follows: |**Unrestricted funds**
General fund
Assets transferred from Worcestershire
County Council
WCC Arts Connect
**Restricted funds**
Music Education Grant
Cultural Development Fund
Arts Council TPS Grant
BBC Children In Need
Bursary Fund
Changing Tracks Nurture Group
The Children's Society
COMF Enhanced Youth Support
Cultural Educational Programme
Furthering Talent
Holiday Activities & Food Programme
Inspiring Future Through The Arts
Jubilee Funding
Kickstart
Music Box Fund
Music Mark Innovation Fund
Soundabout Choir
Youth Music
**TOTAL FUNDS**|Incoming
resources
£
717,358
-
119,727
837,085
738,857
768,274
56,243
18,348
3,486
1,500
3,700
4,770
1,000
32,300
27,367
9,500
12,750
6,309
23,226
12,600
-
21,782
1,742,012
2,579,097|Resources
expended
£
(747,602)
(24,377)
(116,828)
(888,807)
(738,857)
(768,112)
(56,243)
(17,423)
-
-
(2,808)
(3,751)
-
(16,971)
(21,297)
(18,528)
(5,803)
(4,318)
(21,095)
(1,800)
(2,030)
(22,795)
(1,701,831)
(2,590,638)|Movement
in funds
£
(30,244)
(24,377)
2,899
(51,722)
-
162
-
925
3,486
1,500
892
1,019
1,000
15,329
6,070
(9,028)
6,947
1,991
2,131
10,800
(2,030)
(1,013)
40,181
(11,541)| |---|---|---|---| ## **Unrestricted funds** ## - **Designated Reserves** A cash reserve of £300,000 has been designated by the trustees to ensure financial stability of the charity and meet charitable objectives. ## - **Transferred from Worcestershire County Council** Assets (including musical instruments) donated by Worcestershire County Council upon the transfer of County Music Service undertakings to Severn Arts. This fund was required to ensure the value of assets was greater than the loan from the council as the loan was secured on the instruments, since the loan has been converted to a donation in the year, the security has ended, and as such, this fund has been transferred to general funds. - **WCC Arts Connect** Funding to support the cultural sector running networking groups and commissioning artists. ## **Restricted Funds** ## - **Music Education Grant** DFE Grant allocated by Arts Council of England. Delivers core and extension roles for Music Education as set out in the National Plan for Music Education. - **Cultural Development Fund** Grant to fund festivals element of Worcester Railway Arches Project 2019-22 (project delivered between Worcester City Council, University of Worcester and Severn Arts). Page 27 continued... **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** ## **21. MOVEMENT IN FUNDS - continued** - **Arts Council TPS Grant** Grant to fund increased Teacher Pension Scheme employer contributions. - **BBC Children in Need** Grant received to purchase a set of turntables and music technology equipment for the Music Box (bus). - **Bursary Funds** A bursary fund (Music Grows) started in 2019 for musical opportunities for Worcestershire children and young people. - **Changing Tracks Nurture Group** Creative Musical Nurture Groups for Children at Risk of Exclusion from Primary School funded by Youth Music. - **The Children's Society** Arts Projects for young people at risk of offending. - **COMF Enhanced Youth Support** A photography and film project exploring the impact of Covid on young people in rural communities. - **Cultural Education Programme** Arts Connect funding to develop the infrastructure of the Cultural Education Partnership (a network of organisations promoting arts and culture to young people). - **Furthering Talent** Grant to support 30 talented young musicians from disadvantaged backgrounds to further their music progression and provide mentoring and training support. - **Holiday Activities & Food Programme** A grant to provide arts activities to vulnerable children across the County. - **Inspiring Future Through the Arts** Provides arts activities through the Probation Service to prevent reoffending. Annual grant from Crime & Police Commissioner. - **Jubilee Funding** A grant from Worcestershire County Council to commission local artists to celebrate the Queen Jubilee. - **Kickstart** The Kickstart Scheme provides funding to create new jobs for 16 to 24 year olds on Universal Credit who are at risk of long term unemployment. - **Music Box Fund** To support and develop the delivery of Music Box music sessions. - **Music Mark Innovation Fund** Music Mark funded project exploring youth voice across the 14 West Midlands Music Hubs. - **Soundabout Choir** Inclusive Choir for young people and their families delivered in partnership with MAC Makes Music and Soundabout. - **Youth Music** Grant to develop inclusive and accessible music opportunities, training programmes and research to improve diversity, equality and inclusion and widen reach, working with two other music Hubs in Gloucestershire and Warwickshire. - **Sundry Donations Received** Small donations received for a specific purpose in the year include, ticket income for Symphony Hall Concert, donations to contribute towards the running costs of the Jazz Orchestra and donations for sheet music purchases. Page 28 continued... **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** ## **21. MOVEMENT IN FUNDS - continued** ## **TRANSFERS BETWEEN FUNDS** During the year transfers from the general unrestricted fund were made to cover overspends on the following restricted funds: |**Restricted funds**
Kickstart
Music Box Fund
Soundabout Choir|**£**
452
2,353
500
3,305| |---|---| In addition to the above, £423,788 was transferred from the designated asset fund to the general fund. The asset fund existed to ensure the value of instruments exceeded the loan with the council, since the loan has ended, this fund has been transferred to general funds. ## **22. EMPLOYEE BENEFIT OBLIGATIONS** The charity's employees belong to two principal pension schemes: the Teachers' Pension Scheme England and Wales (TPS) for academic and related staff; and the Local Government Pension Scheme (LGPS) for non-teaching staff, which is managed by Worcestershire Pension Fund. Both are multi-employer defined benefit schemes. The latest actuarial valuation of the TPS related to the period ended 31 March 2016 and of the LGPS to the period ended 31 March 2019. Included in creditors at the year end were pension creditors of £22,249 (2022: £23,345). ## **Teachers' Pension Scheme** The Teachers' Pension Scheme (TPS) is a statutory, contributory, defined benefit scheme, governed by the Teachers' Pension Scheme Regulations 2014. Membership is automatic for teachers. All teachers have the option to opt-out of the TPS following enrolment. The TPS is an unfunded scheme to which both the member and employer makes contributions, as a percentage of salary - these contributions are credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament. The Government Actuary, using normal actuarial principles, conducts a formal actuarial review of the TPS in accordance with the Public Service Pensions (Valuations and Employer Cost Cap) Directions 2014 published by HM Treasury every 4 years. The aim of the review is to specify the level of future contributions. Actuarial scheme valuations are dependent on assumptions about the value of future costs, design of benefits and many other factors. The latest actuarial valuation of the TPS was carried out as at 31 March 2016. The valuation report was published by the Department for Education on 5 March 2019. The key elements of the valuation and subsequent consultation are: - employer contribution rates set at 23.68% of pensionable pay (including a 0.08% administration levy). - total scheme liabilities (pensions currently in payment and the estimated cost of future benefits) for service to the effective date of £218,100 million and notional assets (estimated future contributions together with the notional investments held at the valuation date) of £196,100 million, giving a notional past service deficit of £22,000 million. - the SCAPE rate, set by HMT, is used to determine the notional investment return. The current SCAPE rate is 2.4% above the rate of CPI. assumed real rate of return is 2.4% in excess of prices and 2% in excess of earnings. The rate of real earnings growth is assumed to be 2.2%. The assumed nominal rate of return including earnings growth is 4.45%. The next valuation result is due to be implemented from 1 April 2024. A copy of the valuation report and supporting documentation is on the Teachers' Pensions website. Under the definitions set out in FRS 102, the TPS is an unfunded multi-employer pension scheme. The charity has accounted for its contributions to the scheme as if it were a defined contribution scheme. The employer's pension costs paid to TPS in the period amounted to £150,622 (2022: £133,661), excluding adjustments in regard to holiday pay accruals. Page 29 continued... **Severn Arts** ## **Notes to the Financial Statements - continued for the Year Ended 31st March 2023** ## **22. EMPLOYEE BENEFIT OBLIGATIONS - continued** ## **Local Government Pension Scheme** The LGPS is a funded multi-employer defined benefit pension scheme, with the assets held in separate trustee administered funds. The agreed contribution rates for future years for employers is 24.2% (less an annual deduction of £1,500) from April 2023 for the next 3 years, with employees paying variable rates depending on their level of gross wages received each month. The charity has accounted for its contributions to the scheme as if it were a defined contribution scheme. The employer's pension costs paid to LGPS in the period amounted to £32,256 (2022: £36,548). ## **Defined contribution scheme** The employer's pension costs paid to the defined contribution scheme in the period amounted to £6,695 (2022: £5,738). ## **23. RELATED PARTY DISCLOSURES** There were no related party transactions for the year ended 31st March 2023. Page 30 ## **Severn Arts** ## **Detailed Statement of Financial Activities for the Year Ended 31st March 2023** |Unrestricted
funds
£
**INCOME AND ENDOWMENTS**
**Donations and legacies**
Donations
**2,141**
Worcestershire County Council loans converted
into grant funding (see note 19)
**276,189**
Grants
**177,257**
Orchestra tax relief
**17,273**
**472,860**
**Investment income**
Bank interest
**1,518**
**Charitable activities**
CPD income
**1,740**
Event income
**5,253**
Project income
**9,550**
Resources
**31,693**
Tuition
**793,793**
Subscriptions
**9,774**
Concerts
**3,886**
Miscellaneous income
**2,400**
**858,089**
**Other income**
Government grants - CJRS
**-**
**Total incoming resources**
**1,332,467**
**EXPENDITURE**
**Charitable activities**
Wages
**420,533**
Social security
**39,158**
Pensions
**132,001**
Instrument consumables
**1,242**
Workshop expenditure
**408**
External funding and bursary
**501**
Project costs
**90,739**
Subcontracted staff costs
**14,849**
**699,431**
**Support costs**
**Management**
Rates and water
**2,534**
Insurance
**10,361**
Light and heat
**7,685**
Telephone
**5,421**
Advertising
**16,808**
Sundries
**2,800**
Carried forward
**45,609**|Restricted
funds
£
**4,985**
**-**
**1,239,230**
**-**
**1,244,215**
**-**
**-**
**-**
**7,000**
**-**
**-**
**-**
**-**
**-**
**7,000**
**-**
**1,251,215**
**754,200**
**49,121**
**60,401**
**-**
**-**
**2**
**416,751**
**-**
**1,280,475**
**692**
**2,828**
**2,098**
**1,480**
**-**
**460**
**7,558**|2023
Total
funds
£
**7,126**
**276,189**
**1,416,487**
**17,273**
**1,717,075**
**1,518**
**1,740**
**5,253**
**16,550**
**31,693**
**793,793**
**9,774**
**3,886**
**2,400**
**865,089**
**-**
**2,583,682**
**1,174,733**
**88,279**
**192,402**
**1,242**
**408**
**503**
**507,490**
**14,849**
**1,979,906**
**3,226**
**13,189**
**9,783**
**6,901**
**16,808**
**3,260**
**53,167**|2022
Total
funds
£
17,547
-
1,777,346
-
1,794,893
-
2,055
-
70,712
24,635
636,648
23,753
1,654
-
759,457
24,747
2,579,097
1,074,205
76,661
183,351
745
216
19,693
751,651
16,525
2,123,047
3,225
14,820
7,195
8,646
23,500
2,453
59,839| |---|---|---|---| This page does not form part of the statutory financial statements Page 31 ## **Severn Arts** ## **Detailed Statement of Financial Activities for the Year Ended 31st March 2023** |Unrestricted
funds
£
**Management**
Brought forward
**45,609**
Service charges
**12,466**
Rent
**29,586**
Travel expenses
**75,655**
IT expenses
**30,724**
Legal and professional
**8,219**
Accountancy and payroll
**12,402**
Conference costs
**1,311**
Subscriptions
**2,918**
Board costs
**1,868**
Premises costs
**11,353**
CPD costs
**4,399**
Venue hire
**19,516**
Safeguarding costs
**2,738**
Consultancy fees
**15,038**
Postage and stationary
**531**
Depreciation
**214,200**
Profit on sale of tangible fixed assets
**(2,023) **
**486,510**
**Finance**
Bank charges
**1,454**
**Human resources**
Redundancy
**-**
**Governance costs**
Auditors' remuneration
**4,600**
Total resources expended
**1,191,995**
**Net expenditure**
**140,472**|Restricted
funds
£
**7,558**
**3,403**
**8,076**
**1,110**
**4,563**
**2,243**
**3,378**
**-**
**-**
**(48)**
**3,099**
**-**
**-**
**-**
**-**
**145**
**1,320**
**-**
**34,847**
**398**
**-**
**1,260**
**1,316,980**
**(65,765) **|2023
Total
funds
£
**53,167**
**15,869**
**37,662**
**76,765**
**35,287**
**10,462**
**15,780**
**1,311**
**2,918**
**1,820**
**14,452**
**4,399**
**19,516**
**2,738**
**15,038**
**676**
**215,520**
**(2,023) **
**521,357**
**1,852**
**-**
**5,860**
**2,508,975**
**74,707 **|2022
Total
funds
£
59,839
13,944
40,034
56,359
51,419
29,139
21,162
167
5,363
1,916
8,657
4,985
10,296
2,895
75,455
757
36,683
-
419,070
1,641
41,750
5,130
2,590,638
(11,541)| |---|---|---|---| This page does not form part of the statutory financial statements Page 32