Year ended 31 May 2024 Annual Report and Accounts
Studios are to artists what laboratories are to scientists, music rooms are to musicians and factories are to industrialists - without them cultural production simply cannot be pursued.
If London is to survive as a creative capital, if the art schools that produced three generations of ground-breaking artists’ work are going to continue as places of innovation then we have to provide sustainable working spaces for artists at all stages of their careers.
Those artists best placed to maintain a vibrant cultural life in this city are now seeking working spaces and opportunities in Berlin, Barcelona and Brussels as well as leaving for Margate, Bristol and Brighton.
We must do what we can to stem this receding tide of talent and potential. Creative Land Trust can begin to help us find it once more.
Sir Antony Gormley, OBE Supporter of Creative Land Trust
creativelandtrust.org Creative Land Trust @creativelandtrust
2 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Introduction
Why we're here
Creative Land Trust was founded to tackle a long-standing problem for London, and indeed other global cities – to reverse the loss of long-term, affordable workspace for creatives.
London’s competitiveness as a global city is built on its vibrant creative sector. Our creative industries have a GVA contribution of £152bn a year nationally, representing almost 6% of the economy. The sector creates jobs at three times the UK average. London is a cultural powerhouse, but its very success is pricing artists and makers out of our city.
The loss of affordable workspace, and consequent outflow of artists, presents a serious threat to the wellbeing and prosperity of a city so reliant on creativity for its success. According to (pre-COVID) research conducted for the Mayor of London, 24% of sites containing artists’ workspaces were at risk of closure.
Artists are unable to focus their time on their practice due to the instability inherent in relying on temporary workspace, and expert studio providers are displaced from their locations despite years of building social capital. London’s many excellent artists face growing difficulty in securing even “meanwhile” space.
Creative Land Trust is seeking to build a new financial and operating model to secure long term, affordable workspace that would otherwise be unattainable. We want to bring new money and new spaces into the sector, whether this is through acquiring virtual freeholds in new buildings or bringing heritage assets back into life as studios.
We partner with studio providers, local authorities, funders and developers to bring together opportunities to create or preserve studio space in the long term.
Our Vision
London will always have space for artists to create, collaborate and inspire others.
Our Mission
To build a portfolio that supports more than 1,000 artists across London: spaces that will be available to artists and makers over the long term and at affordable levels.
3 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Introduction from co-chairs
With completion and letting of Alice Billing House (South Block), we now have a second fully occupied property and our third partnership with a studio provider.
The works were completed within our planned timescale and under budget, allowing occupation in early spring 2024. We’re really grateful to London Borough of Newham, Architectural Heritage Fund, Greater London Authority and LLDC (London Legacy Development Corporation) for support for this project.
The project also launched two inclusive culture-led regeneration programmes in Stratford High Street, the Local Social Workbook and Alice Billing Connects programmes, offering more opportunities for creativity for local people in Stratford to engage with the arts in the run up to official launch. It was an incredibly proud moment for the entire Board of Trustees to attend the celebration event and hear the Mayor of Newham and some of our artist tenants praise so effusively the commitment and contributions of our fantastic Executive team
We are now pressing ahead with our ambitious plans for the North Block, thanks to initial funding from the National Lottery Heritage Fund.
Having secured our third property last year (at Friary Park in North Acton with partners at Mount Anvil), we can now announce a fourth property at Holborn Viaduct with partners Dominus. Our Property Committee have remained diligent, focussed on our long-term mission and generous with their time in supporting these complex and diverse acquisitions. Our thanks to Sue-Lin Heng who ably chairs the Property Committee
Despite the ongoing challenges of the economic environment, we have been successful in raising grants against heritage properties but the Board are conscious of the need to find other ways to fund ongoing acquisitions and operations and ensure secure financial footing for the long term. Our Finance, Audit and Risk Committee continue to analyse all financial proposals and operating budgets in detail and we thank them for their diligence and commitment to good governance of the Trust.
Now that we have a portfolio of varied properties, our Development committee have proactively been revisiting our fundraising strategy to determine how we can best deliver long term affordable space utilising a mix of funding sources. We are so grateful to Alice Millest, as chair of the Development Committee, for giving us the benefit of her specialist impact investing expertise.
The CLT team are always keen to meet with new investors, philanthropists and developers to discuss our innovative blend of funding and opportunities to work with us to generate financial and social returns by providing space for culture and creativity across London.
We want to thank our fellow trustees, Artist Ambassadors and staff for all the hard work in the last year. In particular we want to offer our sincerest thanks to Gordon Seabright, our outgoing CEO, who has led the team through our start-up phase, dealing calmly with a series of unexpected challenges such as COVID and inflation and being a consistent champion of the creative industries and London’s artist communities. We welcome Annie Clements as interim CEO and thank her and the team for a seamless transition in a very busy period.
4 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Introduction from co-chairs Continued…
We would like to recognise the contribution of three Trustees who have stepped down since our last annual report; Philip Bier, whose experience as both an artist and a landlord made his input particularly valuable to Property Committee and Board meetings; Michael Davis, who was the original chair of the Property Committee and brought great property expertise, and Pav Sharma, who was the original chair of the Development Committee and gave us insights into the investment universe
After five eventful years as Co-Chairs of the Trust we are deeply proud of all that has already been achieved and the significant innovations the Trust has pioneered that are being replicated as far away as Sydney! Having moved the Trust from idea through proof of concept and into operation it is time for new leadership for the next chapter of growth. Therefore we are stepping back as co-chairs (but remaining as Trustees) and welcoming Andy Martin, who joins Creative Land Trust after a lengthy and distinguished career in property, including as Senior Partner of Chartered Surveyors, Strutt & Parker and as UK CEO of international multi-disciplinary property advisers, BNP Paribas Real Estate. We hope that Andy will find the role as rewarding as we have and wish him and the team every success in continuing to Make Space for Art across London.
Finally, we would like to express our thanks for the ongoing support of our founding partners and funders, Mayor of London, Arts Council England, Bloomberg Philanthropies and Outset Contemporary Art Fund who have enabled the Trust to grow beyond its initial concept phase and into an operating entity.
Alexandra Notay and Catherine Webster Co-chairs
5 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Trustees' report
The Trustees present their report and the audited financial statements for the year ended 31st May 2024.
Administrative and reference information set out on page 44 forms part of this report. The financial statements comply with current statutory requirements, the memorandum and articles of association, the requirements of a directors’ report as required under company law, and the Statement of Recommended Practice – Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102.
Wallis Road Studios. Photograph: Sylvie Belbouab
6 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Trustees Report – continued
Objectives, activities and plans for the future
The charity’s objects are:
To promote arts, crafts and craftsmanship for the public benefit, in particular, but not exclusively, by providing or facilitating access to affordable workspace for the production of arts and crafts to those in need.
Activities, achievements and performance
Our current 2021-25 strategy (available on our website) sets out how we will achieve our objectives.
This is broken into four primary workstreams:
1. Building our portfolio
We acquire freehold or long-leasehold properties that will be operated by workspace providers. We aim to safeguard affordability and long-term stability for London’s creative practitioners. Through achieving good pricing, seizing innovative opportunities and fundraising success (see below) we have secured three properties to date and have announced a fourth.
During 2023-24 we completed works at the South Block at Alice Billing House, having split delivery of this complex project into two phases to allow us to activate part of the property as soon as possible. We have now begun the development stage work on the North Block.
We also announced a new partnership with Dominus to occupy the ground floor of their development at Holborn Viaduct.
Summary of our properties to date:
----- Start of picture text -----
Description Tenure Lettable Status Value Tenants Number Gross
area of Artists rental
(sq. ft.) / Makers income
supported to CLT
Wallis Road Newbuild 999 year 30,000 Completed £4.5m Cell Studios, 150 £162k p.a.
Studios residential lease and Mainyard
in Hackney occupied Studios
Wick
Alice Billings Heritage 25 year 3,000 Completed £1.2m Grow 28 £21k p.a
House property lease and Studios
(South block) in central occupied
Stratford
Friary Park Newbuild 999 year 4,600 Will n/a Not yet in Estimated Not yet
residential lease complete occupation – 20-30 ready for
in North autumn occupation
Acton 2024
Alice Billings Heritage 25 year 3,000 CLT have n/a Not yet in Estimated Not yet
House property lease agreement occupation - 30 ready for
(North block) in central for lease occupation
Stratford and raising
further
funding to
develop
Holborn Newbuild 40 year 9,000 Heads of n/a Not yet in Estimated Not yet
Viaduct mixed use lease Terms occupation - 50 ready for
space occupation
----- End of picture text -----
7 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Trustees Report – continued
Alice Billings House Opening day
----- Start of picture text -----
Photographs: Monika Szolle
----- End of picture text -----
Photograph: Andrew Baker and The National Lottery Heritage Fund
Photographs: Before and after – Creative Land Trust
8 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Trustees Report – continued
As well as these projects, we continue to develop a healthy pipeline of other property opportunities which are geographically diverse and range from industrial heritage buildings to brand new development
2. Managing the portfolio
We completed the works at the South Block of Alice Billing on time and under budget, and welcomed the first artists there in February 2024. All of the studios are now occupied.
Wallis Road is fully occupied and has been for most of its first full year of operation. There is space for up to 150 artists and makers, and tenants are made up of painters, sculptors, photographers, installation artists, fashion designers, textile designers, ceramicists, wig makers, screen printers, set designers, perfumiers, musicians and recording artists.
Feedback from the artists so far has been extremely positive – see “measuring our impact” below for more information on this.
We have also began the tender process for finding a partner for Friary Park, which will open in early 2025.
3. Achieving financial sustainability
Our aim is to achieve a sustainable model, that is where our properties fund themselves and our operating costs and we can build a small reserve.
We assess all potential properties against financial benchmarks to ensure that the end rental cost to the artist will be affordable, while generating sufficient return to cover financing and central costs.
We also model contingency plans so that if we are unsuccessful in raising future growth funding (either repayable or philanthropic), we can keep the existing properties running as a going concern.
During the last year we were delighted to be awarded £250,000 unrestricted funding from Bloomberg Philanthropies (with a further £250,000 receivable in autumn 2024) to support our ongoing operations so that we can focus on raising money for capital acquisitions and works.
We were also awarded further money to support the Alice Billing House project, primarily from the National Lottery Heritage Fund, who have granted up to £467,000 for the development stage of the (listed) North Block project.
In total, we have so far added over £3m of additional financing to our original £7.5m seed funding. (This does not include the £1.6m that we were awarded to distribute to studio providers as part of the Creative Workspace Resilience Fund in 2020).
4. Policy and campaigning work
Creative spaces and communities have been shown to have a wider economic and social value, helping to regenerate areas by stimulating local business growth, attracting inward investment and infrastructure development.
We want to ensure that this value is recognised, and that the artists that add this value gain long term security. We aim to provide evidence to developers and local authorities about the value of secure and affordable creative space so that it can be built into future planning opportunities.
9 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Trustees Report – continued
I became involved in with the CLT for the simple reason that it’s imperative for the cultural wellbeing of our capital to accommodate and support artists. Art is at the very core of creativity and without it we are stale. London and the UK is quickly becoming inhospitable for creative practices, which needs to be thoroughly addressed immediately.
Haroon Mirza, Artist Ambassador Creative Land Trust
We participate in the drafting of Local Planning policy that embeds the delivery of affordable workspace, and we have worked with the industry as a whole to draft a straightforward clause that can be integrated into planning agreements.
We also work with studio providers and other creative industries to provide input into policies and initiatives and to collaborate to achieve our wider goals.
Some examples of this;
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We have contributed to the GLA’s Workspace Advisory Group.
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We have provided financial and other advice to arts organisations who are trying to secure properties.
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We have shown various developers and public sector bodies around Wallis Road and Alice Billing House to help them understand creative workspace and the benefits of providing it.
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We have spoken at various industry events, reaching new audiences, to make the case for long term affordable creative workspace provision.
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We have engaged with several statutory and private funders to demonstrate the benefits to local councils and their communities, the economic potential of supporting creative space development.
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We are frequently approached by developers, councils and colleagues outside London for advice on creative workspace.
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We have discussed the potential for other cities (UK and Internationally) to replicate a Creative Land Trust model and shared our learnings from start up in this regard.
10 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Trustees Report – continued
Strategy review
It has now been five years since we incorporated and began our mission. While we have achieved a lot in this time, our original plan to go from nothing to a fully self-sufficient £40m property portfolio within five years now seems rather ambitious, particularly given the number of world-changing events since 2019.
We have created good foundations. From our original seed funding we have secured three properties and announced a fourth. And we have a large pipeline of potential opportunities.
We’ve shown that we can bring both a new build mixed-use development and a historic unused property into new creative uses.
We’ve been successful in raising funds from grant-making organisations and have developed an innovative revenue sharing approach for individuals and institutions to support us.
However, other fundraising has been challenging, and we have learned that bringing properties from opportunities to fully functioning artist studios takes time. Since our original strategy was set, inflation and interest rates have soared, making it even more challenging to secure finance. These factors have also impacted on the organisations and individuals whom we seek to support.
We are currently in the process of reviewing our strategy and planning for the next five years which will focus on how we scale up from this position.
I am so happy in this space. It’s the first space I have been able to afford on my own and it has given me a lot more confidence in my business and I am now beginning to see how I can increase my business..
Tenant survey respondent
Main activities undertaken to further the charity's purposes for the public benefit
Creative Land Trust exists to support the arts and creative sector as a whole.
The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning its future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives that have been set.
11 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Trustees Report – continued
Measuring our impact
The activities listed in the “Achievements, activities and performance” section above describe some of our progress this year. However, we are mindful that these are mostly outputs rather than wider social outcomes.
During the year, we developed and put in place an evaluation framework to measure impact and we have started to collect data within it.
We look to measure our impact against the headings in our Social Impact Statement (published on our website).
Financial stability
Intention: We expect that studio providers and artists will be able to grow and develop their businesses as a result of having secure and affordable workspace.
Impact so far: This is our second year of collecting data. We survey artists when they start at a property and also annually.
Some data highlights so far;
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93% of respondents to our 2024 starter forms cited “affordability” as the reason for taking space in our properties
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86% needed more space to develop their practice or to improve their working conditions
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over 90% of respondents agreed or strongly agreed that their space was affordable.
We also ensure that our business practices support financial stability; for example by working with artists and SMEs and ensuring they are paid fairly and promptly. During 2023-24 our average payment time was 11 days (2022-23: 11 days), and we paid 97% of invoices within 30 days. (2022-23: 95%)
We are also an accredited London Living Wage employer and are recognised by the Mayor of London’s Microbusiness Good Work Standard.
Finally, through our activities we are supporting three studio providers with long term lease agreements at affordable rents.
Inspirational Environments
Intention: We want our spaces to enhance a local sense of place, be a positive addition to cultural infrastructure and inspire users and passers by.
Impact so far: We surveyed our artist tenants during the year about a number of factors including their views on the building.
87% of respondents agreed or strongly agreed that “being in this community of creative people is supportive” and that “The spaces and services are well designed for my needs”. 78% agreed or strongly agreed that “My engagement with communities has extended during this tenancy”. 95% of new starters considered that being part of a creative community was important to them.
In future we will also consider how we can measure the impact of artist space on the local communities. We ran the “Alice Billing Connects” programme with our partners, Hive Curates, which has been taking place in Stratford. This has involved school visits, story telling and community workshops amongst other activities. The work will continue with Grow Studios, our new tenants, and we hope to be able to evaluate the impact on artists and on the community from this engagement programme.
12 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Trustees Report – continued
Sustainability
Intention: Net Zero by 2025
Impact so far: See the Carbon Reporting section of this report.
Accessibility
Intention: We want to create accessible spaces, both physically and socially, which reflect the communities they serve. We will monitor this in partnership with our tenants.
Impact so far: Last year we reported that at 68% of Wallis Road tenants lived within three miles of the studios. 63% of tenants at Alice Billing House live in the London Borough of Newham (against an initial target of 50%).
From our first artists’ survey, 27% of respondents identified with an ethnic minority grouping, and 50% were female. 13% identified as coming from an economically disadvantaged background, but the vast majority were educated to at least Higher Education level. 13% identified as living with a disability or long term health condition.
We also design spaces to ensure physical accessibility that meets all needs. Our two occupied buildings meet “Approved Document M” requirements, the standard for accessible buildings.
We will continue to monitor statistics and consider what further steps we can take to make our spaces available and accessible to all.
Systemic change
Intention: We are seeking to;
– Build a sustainable and replicable model for ownership of affordable workspace and – Convince key players to place more value on creative space than the purely financial.
Impact so far: We continue to meet frequently with property owners, developers and local planning authorities and now run monthly tours around Wallis Road to show what can be achieved in mixed use developments. This has led to many conversations about including creative space in future developments.
During the year we have been working on a project with representatives from the property sector, local authorities and studio providers to agree draft wording for planning obligations to deliver affordable workspace. In addition, we participate in the development of local planning policy with the London Boroughs to agree the parameters for the delivery of affordable workspace. Representatives from other cities have been in contact with us to find out more about the project and take similar steps.
The City of Sydney has recently announced that it will also be founding a Creative Land Trust based on our model.
13 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Trustees Report – continued
Carbon Reporting and Sustainability
In September 2020 Creative Land Trust declared a climate emergency and adopted a sustainability policy and action plan. We review this regularly. As part of this we measure and report our carbon emissions even though it is not required for an organisation of our size.
Carbon Reporting
We have voluntarily adopted the Greenhouse Gas Protocol for measuring and reporting our carbon emissions, including scope 3 emissions where we can measure them.
| YE May 2024 YE May 2023 CO2e CO2e |
|
|---|---|
| Travel | 0.22 0.33 0.44 0.54 0.16 0.17 |
| 0.83 1.04 |
The figures above are gross, that is before any offsets are considered. We have been using a carbon budget for the year and used less than budgeted.
We actively seek information about the green credentials of all our potential partners, and we include questions about sustainability and carbon footprints in our procurement exercises.
All of our business processes are paperless. We are committed to active travel, with employees walking or cycling wherever possible and using public transport where it is not. If we were to have travelled by car instead of public transport for all our journeys this year then this would have added over a tonne of carbon emissions.
We were also able to use funding from the Arts and Culture Impact Fund (formerly part of NESTA) to help our tenants at Wallis Road fit out to a higher standard, achieving BREEAM Very Good. For the Alice Billing project, we have specified materials and processes that improve energy efficiency.
At present tenant emissions are not included in the above reporting. However we will be looking to measure these and work with tenants to ensure our buildings are as sustainable as possible.
We have included environmental questions in our surveys. From this, we know that 96% of survey respondents reach the studios by walking, cycling or public transport. 95% report that they recycle products arising from their practice. There are also initiatives in place on site to swap and share materials.
14 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Trustees Report – continued
Financial review
Key financial performance indicators
During the year we received income of £1,892,000 (prior year £936,000). In total £1,052,000 was income received for (and spent) on building works at Alice Billing South Block, and a further £235,000 was received towards the development stage of Alice Billing North Block. We were also delighted to received £250,000 of new unrestricted funding from Bloomberg Philanthropies. The remainder of our income came from our growing property portfolio and the last payments from our original seed funding.
We had expenditure of £849,000 (prior year £631,000), which includes £299,000 of professional costs compared to £123,000 last year. £260,000 of this relates to works at Alice Billing – not just property related but also activities undertaken as part of the GLA funded High Streets For All initiative.
Not included in expenditure in the Statement of Financial Activities are capital additions of £908,000, the vast majority of which relates to the building works at Alice Billing which has been capitalised as a leasehold improvement.
The surplus of £1,043,000 in 2023-24 predominantly reflects the fact that grant income towards capital purchases and works is accounted for within income in the SOFA, but the capital purchase itself is accounted for as an asset. To clarify this in our reporting, the Trustees have designated an asset reserve to reflect the value of our capital properties (and loans used against them).
Going concern
The Trustees have reviewed our five year financial plan and also a more detailed cashflow forecast for 2 years from the balance sheet date to determine whether the charity has adequate resources to continue. The cashflow forecast takes a prudent view of the future, including all known commitments but excluding potential sources of income. The five year plan and two year cash flow is reviewed at least every quarter and whenever a major decision is to be taken to ensure that the charity does not over commit its resources.
As a result of these reviews, the Trustees have concluded that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, we continue to adopt the going concern basis in preparing the financial statements.
Reserves Policy
One of our overarching aims is to provide financial stability to the sector. This means ensuring that we do not enter into commitments that we cannot fund, as noted above, and also that we have sufficient reserves to day-to-day operations on a much reduced basis should it be decided that the organisation should not continue. For this reason, the charity aims to have at least three months’ running costs in reserve plus some additional contingencies to cover redundancies and legal fees. This means a target reserve level of approximately £240,000.
The charity currently has free reserves of £260,000, up from £89,000 at the start of the year.
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15 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Trustees Report – continued
Principal risks and uncertainties
The charity maintains a risk register which is reviewed by Trustees every quarter. The main risks to our business (and mitigations) are as follows:
Increased risk in securing future funding
The cost of living crisis and high interest rates make it more challenging for us to raise money both from donations and from potential investors. We plan to mitigate this by reallocating our resources towards fundraising and investigating new sources of financing.
Unable to purchase enough properties to become self-sufficient
To become self-sufficient we had targeted a larger property portfolio (approx. £40m) in our original strategy which would support our operations through rental income. Without further funding we cannot do this and therefore need to find other ways to become self-sufficient. Mitigation is to look at other ways to secure studio space and to become self-sufficient financially.
Fundraising
We are signed up to the Code of Fundraising Practice and have internal policies around donation acceptance. We do not use third-party fundraisers.
Our fundraising strategy is focused on institutions, major donors, corporate partners and legacies. We have received no complaints about our fundraising activity.
We’ve been here for nearly two years now and we’re starting to employ people… my business is going from strength to strength. Having a space like this allows us to do more events for the community and more development activity for the next generation of screenprinters – it breeds a very healthy spirit of collaboration.
Ricky Byrne, Mesh & Blade
16 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Trustees Report – continued
Structure, governance and management
Constitution
The charity is registered as a charitable company limited by guarantee (charity number 1182876) and was set up by a Memorandum and Articles of Association on 25 March 2019. The Articles of Association were subsequently amended on 30th September 2021.
Method of appointment or election of Trustees
The management of the charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Articles of Association. Other board members are recruited through an open recruitment process and Trustee vacancies are posted on our website.
Trustees are provided with an induction pack, and we aim to run a trustee training session at least once a year.
Organisational structure and decision making
The Board of Trustees governs the charity. The Board meets at least four times a year.
The Board has three sub-committees, set up to consider issues in detail. These are;
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Finance, Audit and Risk Committee
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Property Committee
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Development Committee
The organisation is run by a Chief Executive. A small executive team makes day-to-day operational decisions, within a scheme of delegation from the Board.
Executive pay is governed by a remuneration policy, which, among other things, sets out that pay will be reviewed annually and that the Trustees are responsible for reviewing pay levels.
17 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Trustees Report – continued
Statement of responsibilities of the Trustees
The Trustees (who are also directors of Creative Land Trust for the purposes of company law) are responsible for preparing the Trustees’ annual report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
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 these financial statements, the Trustees are required to:
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Select suitable accounting policies and then apply them consistently;
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Observe the methods and principles in the Charities SORP;
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Make judgements and estimates that are reasonable and prudent;
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State whether applicable UK Accounting Standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements; and
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Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and 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.
In so far as the Trustees are aware:
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There is no relevant audit information of which the charitable company’s auditor is unaware, and
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The Trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information.
The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.
The Trustees’ report has been prepared in accordance with the special provisions applicable to companies subject to the small companies’ regime.
The Trustees’ annual report has been approved by the Trustees on 3rd October 2024 and signed on their behalf by:
A. Notay Trustee and Co-chair
18 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Independent Auditor’s Report to members of Creative Land Trust
Opinion
We have audited the financial statements of Creative Land Trust (the ‘charitable company’) for the year ended 31 May 2024 which comprise the statement of financial activities, balance sheet, statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion, the financial statements:
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Give a true and fair view of the state of the charitable company’s affairs as at 31 May 2024 and of its incoming resources and application of resources, including its income and expenditure for the year then ended
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Have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice
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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 Auditor’s 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 Creative Land Trust'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 other information comprises the information included in the trustees’ annual report other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. 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. 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 course of 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
19 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
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:
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The information given in the trustees’ annual report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
-
The trustees’ annual report has been prepared in accordance with applicable legal requirements.
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 trustees’ annual report. We have nothing to report in respect of the following matters in relation to which 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 directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemptions in preparing the trustees’ annual report and from the requirement to prepare a strategic report.
Responsibilities of trustees
As explained more fully in the statement of trustees’ responsibilities set out in the trustees’ annual report, 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.
20 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Auditor’s 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 an auditor’s report 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.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud are set out below.
Capability of the audit in detecting irregularities
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:
We enquired of management and the finance, audit and risk committee, which included obtaining and reviewing supporting documentation, concerning the Trust’s policies and procedures relating to:
-
Identifying, evaluating, and complying with laws and regulations and whether they were aware of any instances of non-compliance;
-
Detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected, or alleged fraud;
-
The internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations.
-
We inspected the minutes of meetings of those charged with governance.
-
We obtained an understanding of the legal and regulatory framework that the Trust operates in, focusing on those laws and regulations that had a material effect on the financial statements or that had a fundamental effect on the operations of the Trust from our professional and sector experience
-
We communicated applicable laws and regulations throughout the audit team and remained alert to any indications of non-compliance throughout the audit
-
We reviewed any reports made to regulators.
-
We reviewed the financial statement disclosures and tested these to supporting documentation to assess compliance with applicable laws and regulations.
-
We performed analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud.
-
In addressing the risk of fraud through management override of controls,we tested the appropriateness of journal entries and other adjustments,assessed whether the judgements made in making accounting estimates are indicative of a potential bias and tested significant transactions that are unusual or those outside the normal course of business.
21 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
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.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Use of our report
This report is made solely to the charitable company's members as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.
Date: 18 October 2024
Fleur Holden
Senior Statutory Auditor for and on behalf of
Sayer Vincent LLP, Statutory Auditor 110 Golden Lane, London, EC1Y 0TG
22 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Statement of Financial Activities
(incorporating the Income and Expenditure account)
Year ended 31 May 2024
| Note Income From Donations 2 Investment income Charitable activities 4 Total Income Expenditure on Raising Funds Charitable Activities Total Expenditure 5a Net Income / (expenditure) for the year Transfers between funds 10 Net movement in Funds Reconciliation of Funds Total Funds Brought Forward Total Funds carried forward |
Restricted Funds Designated Funds Unrestricted Funds Total Funds 2024 2024 2024 2024 £ £ £ £ 50,000 - 250,000 300,000 36,484 - 5,632 42,116 422,397 - 1,127,693 1,550,090 508,881 - 1,383,324 1,892,206 39,929 - 147,112 187,041 344,388 59,420 258,218 662,026 384,318 59,420 405,330 849,067 124,563 (59,420) 977,995 1,043,139 (233,494) 1,040,192 (806,698) - (108,931) 980,772 171,297 1,043,139 1,307,432 5,052,856 88,631 6,448,919 1,198,501 6,033,628 259,928 7,492,057 |
Total Funds 2023 £ 637,797 21,687 276,900 936,384 159,019 471,885 630,904 305,480 - 305,480 6,143,439 6,448,919 |
|---|---|---|
All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above.
Movements in funds are disclosed in note 10 to the financial statements.
23 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Balance Sheet
As at 31 May 2024
| Note Fixed Assets Tangible Fixed Assets 7 Current Assets Debtors 8 Short term deposits Cash at bank and in hand Creditors: Amounts falling due within one year 9 Net current assets Total assets less current liabilities Creditors: amounts falling due in more than one year 9 Total Net Assets Charity Funds Restricted Funds 10 Designated funds: 10 General Funds 10 |
45,231 255,000 1,487,920 |
2024 £ 6,488,173 |
114,473 85,000 1,359,045 |
2023 £ 5,639,338 |
|---|---|---|---|---|
| 6,488,173 1,595,779 8,083,952 |
5,639,338 1,509,581 7,148,919 |
|||
| 1,788,151 (192,372) |
1,558,518 (48,937) |
|||
| (591,895) | (700,000) | |||
| 7,492,057 | 6,448,919 | |||
| 1,198,501 6,033,628 259,928 |
1,307,432 5,052,856 88,631 |
|||
| 7,492,057 | 6,448,919 |
Approved by the trustees on: 3rd October 2024
and signed on their behalf by A Notay Trustee and Co-Chair:
Registered Company No: 11367824
24 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Statement of Cash flows
Year ended 31 May 2024
| Note Cash flows from operating activities Net income for the reporting period Depreciation 7 Interest earned Decrease / (increase) in debtors 8 Increase / (decrease) in creditors 9 Net cash flows provided by operating activities Cash flows from investing activities Purchase of fixed assets 7 Interest received Net cash used in investing activities Change in cash and cash equivalents in year Cash and cash equivalents at the start of the year Cash and cash equivalents at the end of the year At 1 June 2023 Cash at bank and in hand 1,359,045 Short term deposits 85,000 Total cash and cash equivalents 1,444,045 Loans falling due within one year - Loans falling due after more than one year (700,000) Cash and cash equivalents less net debt 744,045 nalysis of cash and cash equivalents and of net debt |
Note Cash flows from operating activities Net income for the reporting period Depreciation 7 Interest earned Decrease / (increase) in debtors 8 Increase / (decrease) in creditors 9 Net cash flows provided by operating activities Cash flows from investing activities Purchase of fixed assets 7 Interest received Net cash used in investing activities Change in cash and cash equivalents in year Cash and cash equivalents at the start of the year Cash and cash equivalents at the end of the year At 1 June 2023 Cash at bank and in hand 1,359,045 Short term deposits 85,000 Total cash and cash equivalents 1,444,045 Loans falling due within one year - Loans falling due after more than one year (700,000) Cash and cash equivalents less net debt 744,045 nalysis of cash and cash equivalents and of net debt |
2024 £ 1,043,139 59,420 (42,116) 69,242 35,330 |
2023 £ 305,480 9,847 (21,687) (44,474) (68,988) |
||
|---|---|---|---|---|---|
| 1,165,015 | 180,178 | ||||
| (908,256) 42,116 |
(878,326) 21,687 |
||||
| (866,140) | (856,639) | ||||
| 298,875 1,444,045 |
(676,461) 2,120,506 |
||||
| 1,742,920 | 1,444,045 | ||||
| Cashflows 128,875 170,000 |
At 31 May 2024 1,487,920 255,000 |
||||
| 1,444,045 | 298,875 | 1,742,920 | |||
| Loans falling due within one year Loans falling due after more than one year Cash and cash equivalents less net debt |
- (700,000) |
(108,105) 108,105 |
(108,105) (591,895) |
||
| 744,045 | 298,875 | 1,042,920 |
Analysis of cash and cash equivalents and of net debt
25 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Notes to the accounts
1. Accounting Policies
a) Statutory information
Creative Land Trust is a charitable company limited by guarantee and is incorporated in England.
The registered office address is:
110 Golden Lane, London EC1Y 0TG
b) Basis of preparation
The financial statements have been prepared in accordance with 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) - (Charities SORP FRS 102), The Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy or note.
In applying the financial reporting framework, the trustees have made a number of subjective judgements, for example in respect of significant accounting estimates. 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. The nature of the estimation means the actual outcomes could differ from those estimates. Any significant estimates and judgements affecting these financial statements are detailed within the relevant accounting policy below.
The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.
c) Public benefit entity
The charity meets the definition of a public benefit entity under FRS 102.
d) Going concern
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern. The approach to the going concern assessment has been explained in the Trustees’ annual report.
e) Income
Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the income have been met, it is probable that the income will be received and that the amount can be measured reliably.
Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.
Rental income is recognised when it is due from the tenants.
26 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
1. Accounting Policies Continued…
f) Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.
g) Fund Accounting
Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria is charged to the fund. Unrestricted funds are donations and other incoming resources received or generated for the charitable purposes. Designated funds are unrestricted funds earmarked by the trustees for particular purposes.
h) Expenditure and irrecoverable VAT
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.
Expenditure is classified under the following activity headings:
-
Costs of raising funds relate to the costs incurred by the charity in inducing third parties to make voluntary contributions to it, as well as the cost of any activities with a fundraising purpose. This includes bid-writing and other efforts to secure grants, and also activities relating to securing repayable finance.
-
Expenditure on charitable activities includes the costs of managing property and undertaking policy and campaign work to further the purposes of the charity.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
i) Allocation of support costs
Resources expended are allocated to the particular activity where the cost relates directly to that activity. The cost of overall direction and administration of each activity, comprising the salary and overhead costs of the central function, is apportioned based on the proportion of direct expenses attributable to those activities.
Governance costs are the costs associated with the governance arrangements of the charity. These costs are associated with constitutional and statutory requirements and include any costs associated with the strategic management of the charity’s activities.
j) Operating leases
Rental charges are charged on a straight-line basis over the term of the lease.
Rent receivable is credited on a straight-line basis over the term of the lease.
k) Tangible Fixed assets
Expenditure on properties is recognised as an asset at the point where we are legally committed to purchase the property and if there are no outstanding conditions. Prior to this, deposit and associated acquisition costs are recognised as an asset under construction in the balance sheet and is not depreciated until the asset is brought into use.
Properties are treated as tangible fixed assets, not investment properties, as they are held in order to pursue our charitable objects.
Land and buildings are revalued on a regular basis and gains and losses on revaluation are recognised in the Statement of Financial Activities and in a revaluation reserve in the Balance Sheet.
27 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
1. Accounting Policies Continued…
Items of equipment are capitalised where the purchase price exceeds £1,000 and where the economic benefit will last for more than one year.
Depreciation costs are allocated to activities on the basis of the use of the related assets in those activities.
Assets are reviewed for impairment if circumstances indicate their carrying value may exceed their net realisable value and value in use. Major components are treated as a separate asset where they have significantly different patterns of consumption of economic benefits and are depreciated separately over its useful life.
Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life.
The depreciation rates in use are as follows:
Leasehold Improvements Over the remaining life of the lease Computer Equipment 3 years Plant and Machinery 10-20 years
l) Debtors
Trade and other debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid net of any trade discounts due.
m) Cash at bank and in hand
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
n) Short term deposits
Short term deposits includes cash balances that are invested in accounts with a maturity date of between 3 and 12 months.
o) Creditors and provisions
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
p) Financial instruments
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.
q) Pensions
The charity operates one defined contribution scheme and makes contributions to another. The pension charge represents the amounts payable by the charity to the schemes in respect of the year. The assets of the schemes are held separately from those of the charity in independently administered funds.
28 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
2. Income from donations
| Grants From Greater London Authority Bloomberg Philanthropies Total Funds Prior Year Donations Grants From Arts Council England Greater London Authority Total Funds |
Restricted Funds 2024 £ 50,000 |
Unrestricted Funds 2024 £ - |
Total 2024 £ 50,000 |
|
|---|---|---|---|---|
| - | 250,000 | 250,000 | ||
| 50,000 | 250,000 | 300,000 | ||
| Restricted Funds 2023 £ - 146,625 490,172 |
Unrestricted Funds 2023 £ 1,000 - - |
Total 2023 £ 1,000 146,625 490,172 |
||
| 636,797 | 1,000 | 637,797 |
29 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
3. Income from investments
| Investment income Total Funds Prior Year Investment income Total Funds |
Restricted Funds 2024 £ |
Unrestricted Funds 2024 £ |
Total 2024 £ |
|
|---|---|---|---|---|
| 36,484 | 5,632 | 42,116 | ||
| 36,484 | 5,632 | 42,116 | ||
| Restricted Funds 2023 £ 21,074 |
Unrestricted Funds 2023 £ 614 |
Total 2023 £ 21,687 |
||
| 21,074 | 614 | 21,687 |
30 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
4. Income from charitable activities
| Restricted Funds 2024 £ |
Unrestricted Funds 2024 £ |
Total 2024 £ 165,430 43,913 918,350 116,880 182,796 105,869 |
||
|---|---|---|---|---|
| Rental income | - - - 116,880 182,796 105,869 |
165,430 43,913 918,350 - - - |
||
| Recharged Service Charges Contractual income |
||||
| Architectural Heritage Fund National Lottery Heritage Fund Greater London Authority Other grants Total Income from charitable activities |
||||
| 16,852 | - | 16,852 | ||
| 422,397 | 1,127,693 | 1,550,090 |
All income relates to "building our portfolio" activity. Contractual income relates to building works at Alice Billing House.
Prior Year
| Restricted Funds 2023 £ |
Unrestricted Funds 2023 £ |
Total 2023 £ 92,651 43,913 22,500 65,131 27,705 |
||
|---|---|---|---|---|
| Rental income | - - - 65,131 27,705 |
92,651 43,913 22,500 - - |
||
| Recharged Service Charges Contractual income |
||||
| Greater London Authority Architectural Heritage Fund Transport for London Total Income from charitable activities |
||||
| 25,000 | - | 25,000 | ||
| 117,837 | 159,064 | 276,900 |
31 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
5a. Analysis of Expenditure - Current Year
| Salary Costs (Note 6) Property Running Costs Financing Professional fees Legal fees Depreciation Other Allocation of Support Costs Allocation of Governance Costs Total Expenditure 2023 Total Expenditure 2022 |
Charitable Activities Raising Funds Building our Portfolio Policy and Campaign Creative Workspace Resilience Fund Support Costs Governance Costs 2024 Total £ £ £ £ £ £ £ 136,151 95,750 12,992 - 61,168 58,820 364,882 - 40,672 - - - - 40,672 - 21,000 - - - - 21,000 - 259,266 - - 24,935 14,880 299,081 - 35,220 - - 3,600 - 38,820 - 59,420 - - - 59,420 12,251 514 78 441 11,691 217 25,191 |
Charitable Activities Raising Funds Building our Portfolio Policy and Campaign Creative Workspace Resilience Fund Support Costs Governance Costs 2024 Total £ £ £ £ £ £ £ 136,151 95,750 12,992 - 61,168 58,820 364,882 - 40,672 - - - - 40,672 - 21,000 - - - - 21,000 - 259,266 - - 24,935 14,880 299,081 - 35,220 - - 3,600 - 38,820 - 59,420 - - - 59,420 12,251 514 78 441 11,691 217 25,191 |
Charitable Activities Raising Funds Building our Portfolio Policy and Campaign Creative Workspace Resilience Fund Support Costs Governance Costs 2024 Total £ £ £ £ £ £ £ 136,151 95,750 12,992 - 61,168 58,820 364,882 - 40,672 - - - - 40,672 - 21,000 - - - - 21,000 - 259,266 - - 24,935 14,880 299,081 - 35,220 - - 3,600 - 38,820 - 59,420 - - - 59,420 12,251 514 78 441 11,691 217 25,191 |
2023 Total 364,114 50,981 21,345 122,990 10,347 9,847 51,280 |
|---|---|---|---|---|
| 148,401 22,348 16,292 |
511,842 13,071 441 77,078 1,968 - 56,191 1,435 - |
101,395 73,917 849,067 (101,395) - - - (73,917) - |
630,904 - - |
|
| 187,041 | 645,112 16,473 441 |
- - 849,067 |
||
| 159,019 441,884 29,583 418 - - |
||||
| 159,019 | 441,884 29,583 418 |
630,904 |
32 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
5b. Analysis of Expenditure - Prior Year
| Salary Costs (Note 6) Property Running Costs Financing Professional fees Legal fees Depreciation Other Allocation of Support Costs Allocation of Governance Costs Total Expenditure 2023 |
Charitable Activities Raising Funds Building our Portfolio Policy and Campaign Creative Workspace Resilience Fund Support Costs Governance Costs 2023 Total £ £ £ £ £ £ £ 105,802 134,158 10,147 - 75,245 38,762 364,114 - 50,981 - - - - 50,981 - 21,345 - - - - 21,345 98 95,558 11,425 - 1,989 13,920 122,990 - 10,347 - - - - 10,347 - 9,847 - - - - 9,847 10,389 910 62 418 38,920 582 51,280 |
Charitable Activities Raising Funds Building our Portfolio Policy and Campaign Creative Workspace Resilience Fund Support Costs Governance Costs 2023 Total £ £ £ £ £ £ £ 105,802 134,158 10,147 - 75,245 38,762 364,114 - 50,981 - - - - 50,981 - 21,345 - - - - 21,345 98 95,558 11,425 - 1,989 13,920 122,990 - 10,347 - - - - 10,347 - 9,847 - - - - 9,847 10,389 910 62 418 38,920 582 51,280 |
Charitable Activities Raising Funds Building our Portfolio Policy and Campaign Creative Workspace Resilience Fund Support Costs Governance Costs 2023 Total £ £ £ £ £ £ £ 105,802 134,158 10,147 - 75,245 38,762 364,114 - 50,981 - - - - 50,981 - 21,345 - - - - 21,345 98 95,558 11,425 - 1,989 13,920 122,990 - 10,347 - - - - 10,347 - 9,847 - - - - 9,847 10,389 910 62 418 38,920 582 51,280 |
|---|---|---|---|
| 116,289 29,296 13,434 |
323,146 21,634 418 81,408 5,450 - 37,331 2,499 - |
116,154 53,264 630,904 (116,154) - - - (53,264) - |
|
| 159,019 | 441,884 29,583 418 |
- - 630,904 |
33 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
5c. Net expenditure / (income) for the year
| This is stated after charging / (crediting): | This is stated after charging / (crediting): | 2024 £ |
2023 £ |
|---|---|---|---|
| Depreciation | 59,420 | 9,847 | |
| Operating lease rentals receivable – property | (165,430) | (92,651) | |
| Auditor's Remuneration: | |||
| Audit fee Other services |
12,400 635 |
11,600 1,700 |
34 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
6. Staff costs and numbers, and trustee remuneration
----- Start of picture text -----
||||
|---|---|---|
|2024|2023|
|£|£|
|Wages and Salaries|322,627|320,106|
|National Insurance Costs|32,621|34,538|
|Pension Contributions|9,635|9,470|
|Total Staff costs|364,882|364,114|
----- End of picture text -----
Pension contributions totalling £904 were payable and are included in creditors at year end (2023: £905).
The average number of people employed by the charity during the year was as follows:
----- Start of picture text -----
||||
|---|---|---|
|2024|2023|
|Total|5.8|5.0|
----- End of picture text -----
The following number of employees received employee benefits (excluding employer pension costs and employer's national insurance) during the year between:
----- Start of picture text -----
||||
|---|---|---|
|2024|2023|
|£120,000-£129,999|1|1|
|£60,000-£69,999|2|1|
----- End of picture text -----
The charity considers its key management personnel to be the Chief Executive and the Trustees. The total employment benefits of the Chief Executive including employer's National Insurance and pension were £138,905 (2023: £139,482).
The charity trustees were neither paid nor received any other benefits from employment with the charity in the year (2023: £nil). No charity trustee received payment for professional or other services supplied to the charity (2023: £nil).
There were no trustees' expenses in this financial year (2023: £48 for one member for meeting expenses).
35 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
7. Tangible Fixed Assets
| (Virtual Cost/Valuation Brought forward as at 1 Jun 2023 Additions in year Transfers in year |
Buildings freeholds) Leasehold Improvements Assets under construction Plant and Machinery Computer Equipment Total £ £ £ £ £ £ 4,663,328 533,247 398,647 53,596 1,200 5,650,018 - 185,836 722,420 - - 908,256 - 1,025,614 (1,025,614) - - - |
|---|---|
| As at 31 May 2024 | 4,663,328 1,744,698 95,452 53,596 1,200 6,558,274 |
| Depreciation Brought forward as at 1 Jun 2023 Charge in year |
- 7,932 - 1,549 1,200 10,680 - 54,485 - 4,935 - 59,420 |
| As at 31 May 2024 | - 62,417 - 6,483 1,200 70,100 |
| Net Book Value | |
| As at 31 May 2024 | 4,663,328 1,682,281 95,452 47,112 - 6,488,174 |
| As at 31 May 2023 | 4,663,328 525,315 398,647 52,047 - 5,639,338 |
All of the above assets are used for charitable purposes.
Buildings are on a 999 year lease.
The historic cost of Buildings is £4,138,328 and the depreciated cost would be £3,972,795 if depreciated over 50 years.
36 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
8. Debtors
| Due within one year Trade debtors Prepayments Accrued income Total debtors |
2024 2023 £ £ - 27,060 2,575 3,300 42,656 84,113 45,231 114,473 |
|---|---|
9. Creditors
| Creditors due within one year Trade creditors Other creditors VAT creditor Accruals Loan Total Creditors due within one year Creditors due in more than one year Long term loan |
2024 2023 £ £ 31,146 26,991 18,407 919 25,053 14,027 9,660 7,000 108,105 - |
|---|---|
| 192,372 48,937 |
|
| 591,895 700,000 |
|
| 591,895 700,000 |
The long term loan represents financing from NESTA's Arts and Culture Impact Fund. The loan is for a period of 8 years at a fixed interest rate of 3%. Capital repayments will begin in June 2024 and will complete in May 2030. It is secured on Block A of Wallis Road.
| Repayments due within 1-5 years Repayments due in more than 5 years |
2024 2023 £ £ 452,553 452,553 139,341 247,447 |
|---|---|
| 591,895 700,000 |
37 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
10a. Movement in Funds (Current year)
| Unrestricted Funds General Funds Designated Funds Fixed assets – Historic Cost Fixed assets – Revaluation Reserve Alice Billing future phases Total Designated Restricted Funds Main Programme Funding Creative Workspace Resilience Fund GLA - other grants National Lottery LLDC Architectural Heritage Fund Total Restricted Total Funds |
Balance at 1 Jun 2023 Income Expenditure Transfers Balance at 31 May 2024 £ £ £ £ |
|---|---|
| 88,631 1,383,324 (405,330) (806,698) 259,928 |
|
| 4,554,978 - (59,420) 908,255 5,403,813 497,878 - - - 497,878 - - - 131,936 131,936 |
|
| 5,052,856 - (59,420) 1,040,192 6,033,628 |
|
| 1,279,968 86,484 (103,017) (69,826) 1,193,610 1,920 - (441) - 1,480 25,543 105,869 (78,001) (50,000) 3,411 - 182,796 (202,860) 20,064 - - 16,852 - (16,852) - - 116,880 - (116,880) - |
|
| 1,307,431 508,881 (384,318) (233,494) 1,198,501 |
|
| 6,448,918 1,892,206 (849,067) - 7,492,057 |
Purpose of restricted funds:
Main Programme Funding: Seed funding granted to acquire buildings and support the operations of Creative Land Trust before it becomes self-sufficient.
Creative Workspace Resilience Fund – fund to provide financial support for studio providers experiencing financial difficulties due to COVID-19. Residual expenditure is to store and retrieve reporting data.
Architectural Heritage Fund: Project funding towards restoring Alice Billing. GLA Other grants – High Streets for All scheme. National Lottery – Funding for development stage of Alice Billing North Block. LLDC - Funding to support the delivery of public realm enhancements at Alice Billing House.
Purpose of designated funds
Funds are designated to match the value of assets less outstanding liability on loans funding those assets. There is also a designated fund to allocate income received for future phases of the Alice Billing project.
Transfers
Transfers into designated funds represent the purchase of assets. Where the transfer is from restricted funds, these assets were funded by grant funding, and at that point the terms of any restrictions are deemed to have been discharged. Transfers out of unrestricted funds into restricted represent CLT matched funding towards a project.
38 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
10b. Movement in funds (prior year)
| Unrestricted Funds General Funds Designated Funds Fixed assets – Historic Cost Fixed assets – Revaluation Reserve Total Designated Restricted Funds Main Programme Funding Creative Workspace Resilience Fund GLA - other grants TfL Feasibility Architectural Heritage Fund Total Restricted Total Funds |
Balance at 1 Jun 2022 Income Expenditure Transfers Balance at 31 May 2023 £ £ £ £ |
|---|---|
| 15,097 160,677 (87,143) - 88,631 |
|
| 4,272,981 - (9,847) 291,844 4,554,978 497,878 - - - 497,878 |
|
| 4,770,859 - (9,847) 291,844 5,052,856 |
|
| 1,253,255 657,870 (439,198) (191,959) 1,279,968 2,337 - (417) - 1,920 29,594 65,132 (69,183) - 25,543 - 25,000 (25,115) 115 - 72,295 27,705 - (100,000) - |
|
| 1,357,482 775,707 (533,914) (291,844) 1,307,431 |
|
| 6,143,438 936,384 (630,904) - 6,448,919 |
39 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
11. Analysis of net assets between funds
Current year:
| Tangible Fixed Assets Current Assets Current liabilities Long term liabilities Total ear: Tangible Fixed Assets Current Assets Current liabilities Long term liabilities Total |
Restricted Designated Unrestricted Total 2024 2024 2024 2024 £ £ £ £ - 6,488,173 - 6,488,173 1,390,874 131,936 265,341 1,788,151 (192,372) - - (192,372) - (586,482) (5,413) (591,895) |
|---|---|
| 1,198,502 6,033,627 259,928 7,492,058 |
|
| Restricted Designated Unrestricted Total 2023 2023 2023 2023 £ £ £ £ - 5,639,338 - 5,639,338 1,282,835 - 275,683 1,558,518 (48,937) - - (48,937) - (586,482) (113,518) (700,000) |
|
| 1,233,899 5,052,856 162,165 6,448,919 |
Prior year:
40 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
12. Prior Year Statement of Financial Activities
| Income From Donations Investment income Charitable activities Other trading income Total Income Expenditure on Raising Funds Charitable Activities Total Expenditure Net Income / (Expenditure) for the year Transfers between funds Net movement in Funds Reconciliation of Funds Total Funds Brought Forward Total Funds carried forward |
Restricted Funds Designated Funds Unrestricted Funds Total Funds 2023 2023 2023 2023 £ £ £ £ 636,797 - 1,000 637,797 21,074 - 613 21,687 117,837 - 159,064 276,900 - - - - |
|---|---|
| 775,707 - 160,677 936,384 |
|
| 159,019 - - 159,019 374,895 9,847 87,143 471,885 |
|
| 533,914 9,847 87,143 630,904 |
|
| 241,793 (9,847) 73,534 305,480 |
|
| (291,844) 291,844 - - |
|
| (50,051) 281,997 73,534 305,480 |
|
| 1,357,483 4,770,859 15,097 6,143,439 |
|
| 1,307,432 5,052,856 88,631 6,448,919 |
All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above.
41 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
13. Operating lease commitments receivable as a lessor
Amounts receivable under non-cancellable operating leases are as follows for each of the following periods:
| ellable operating leases g periods: |
|
|---|---|
| Less than one year One to five years |
2024 2023 £ £ 184,597 162,666 377,940 459,551 |
| 562,537 622,217 |
14. Operating lease commitments
Amounts payable under non-cancellable operating leases are as follows for each of the following periods:
| Less than one year One to five years More than five years |
2024 2023 £ £ 10,122 - 40,488 - 202,440 - |
|---|---|
| 253,050 - |
42 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
15. Related Party Transactions
There were no related party transactions during the year. There are no donations in either period from related parties which are outside the normal course of business and no restricted donations from related parties.
16. Taxation
The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.
17. Capital Commitments
There were no capital commitments at the balance sheet date.
18. Legal position of the charity
The charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1.
43 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Administrative and Reference Information
Company number 11367824 Country of incorporation United Kingdom Charity number 1182876 Country of registration England & Wales Registered office: 110 Golden Lane London EC1Y 0TG
Please note: the best way to contact us is to email info@creativelandtrust.org
Trustees:
(all in place during the year and up to the date of this report unless otherwise stated)
Catherine Webster (Co-Chair to 3rd October 2024) Alex Notay (Co-Chair to 3rd October 2024) Andy Martin (from 3rd October 2024) Malene Oddershede Bach Philip Bier (to 1st December 2023) Natalie Carter James Cooksey Michael Davis (to 25th January 2024) Candida Gertler OBE Sue-Lin Heng Alice Millest Pawan Sharma (to 1st January 2024) Krupa Thakrar Daniel Silver
Artist Ambassadors:
Emmanuel Unaji Yinka Shonibare CBE Haroon Mirza Florence Peake
Key management:
Gordon Seabright, Chief Executive Officer
Bankers:
The Co-operative Bank P.O. Box 101, 1 Balloon Street, Manchester M60 4EP
Auditor:
Sayer Vincent LLP Chartered Accountant and Statutory Auditor 110 Golden Lane London EC1Y 0TG
Solicitors:
Bates, Wells and Braithwate London LLP 10 Queen St Pl, London EC4R 1BE
Burges Salmon LLP One Glass Wharf, Bristol, BS2 0ZX
Russell Cooke LLP 8 Bedford Row, London WC1R 4BX
Dechert LLP 160 Queen Victoria St, London EC4V 4QQ
creativelandtrust.org
Creative Land Trust
@creativelandtrust
44 — Creative Land Trust — Annual Report and Accounts - Year ended 31 May 2024
Creative Land Trust Making Space for Art