Company registration number: 10098742 Charity registration number: 1184073
## SUNDERLAND CULTURE LIMITED
(A company limited by guarantee)
Annual Report and Financial Statements
for the Year Ended 31 March 2022
## **Sunderland Culture Limited**
## **Contents**
|Reference and Administrative Details|1|
|---|---|
|Trustees' Report|2 to 10|
|Independent Auditors' Report|11 to 13|
|Statement of Financial Activities|14|
|Statement of Financial Activities|15|
|Balance Sheet|16|
|Statement of Cash Flows|17|
|Notes to the Financial Statements|18 to 31|
## **Sunderland Culture Limited**
## **Reference and Administrative Details**
**Chair** J M Earl, Chair **Trustees** J D Mowbray A R Mackay G E Callaghan I B Wimpenny A Turpin G Thompson (resigned 3 May 2022) S C Knight F C Brown (resigned 25 July 2022) P M Callaghan (resigned 3 May 2022) J M Earl, Chair Cllr L Williams I Kershaw (appointed 25 July 2022) K Ramanathas (appointed 25 July 2022) P J McIntyre (appointed 25 July 2022) S I Rymer (appointed 25 July 2022) M Nixon (appointed 25 July 2022) Prof D R Sandbach (appointed 25 July 2022) **Secretary** Rebecca Ball **Key Management Personnel** R Ball, Chief Executive I High, Finance and Administration Director T Austin, Venue Director S Davies, Head of Development **Registered Office** National Glass Centre Liberty Way Sunderland SR6 0GL The charity is incorporated in England and Wales. **Company Registration Number** 10098742 **Charity Registration Number** 1184073 **Bankers** Handlesbanken Sunderland 17 Pickersgill Court Quay West Riverside Business Village Sunderland SR5 2AQ **Auditor** Azets Audit Services Bulman House Regent Centre Gosforth NE3 3LS
1
## **Sunderland Culture Limited**
## **Trustees' Report**
The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements and auditors' report of the charitable company for the year ended 31 March 2022.
## **Structure, governance and management**
## _**Nature of governing document**_
The company is a charitable company limited by guarantee and does not have share capital. The company is governed by its Articles of Association.
Sunderland Culture Limited ("the Charity") is a company limited by guarantee. It was incorporated on 2nd April 2016 and registered as a charity with the Charity Commission on 24th June 2019. Its Articles of Association were last amended on 6th June 2019.
## _**Recruitment and appointment of trustees**_
In accordance with the Articles of Association, the trustees must be a minimum of three and shall not be subject to any maximum provided that each of the following bodies is entitled at any time to appoint directors up to the number specified opposite their name:
1. Sunderland City Council - up to 2 nominated directors
2. University of Sunderland - up to 2 nominated directors
3. Sunderland Music, Arts and Culture Trust - up to 2 nominated directors
The above bodies may remove and replace any of its nominated directors by giving notice in writing to the charity.
A director must be a person aged 16 years or older and not be disqualified from acting under the provisions of article 39.
A director may not appoint an alternate director or anyone to act on his or her behalf at meetings of the directors.
A goverance review was recently undertaken in relation to the appointment of trustees and their terms of service.
## _**Organisational structure**_
The charitable company is administered by a board of trustees which meets a minimum of four times a year. Day to day activities are controlled by a Chief Executive who is assisted by a Director of Finance.
2
## **Sunderland Culture Limited**
## **Trustees' Report**
## **Objectives and activities**
## _**Objects and aims**_
The charitable company's object and principal activity is to:
Advance the arts and culture and to advance education in the arts of performance, music, drama, poetry reading, sculpture, painting, photography, handicrafts, literature, glass-making, history, film and all other associated arts (“the Arts") in particular, but not exclusively by:
Encouraging public participation in the Arts and by the presentation of concerts, performances, exhibitions and festivals, provided that the promotion of such festivals and events is undertaken solely for the Public Benefit;
Developing new and innovative ways of delivering the Arts;
Participation in and, where appropriate, management and oversight of, cultural operations, venues and activities primarily in the City of Sunderland to ensure maximum benefit and return, provided that such participation and management is undertaken solely for Public Benefit.
## _**Fundraising disclosures**_
The charity is required to report how it deals with fundraising from the public. The charity does not use a professional fundraiser or commercial participator to raise funds. Any monies raised direct from the public follows all guidelines set out by the Charity Commission and UK law in every respect. We respect the privacy and contact preferences of all public donors.
## _**Public benefit**_
The trustees confirm that they have complied with the requirements of section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
## **Going concern**
The charity’s forecasts and projections for the next twelve months show that the charity should be able to continue in operational existence for that period, taking into account reasonable possible changes in trading performance. The charity has strong positive cash balances and is forecasting for this to continue to be the case. The trustees have stress tested their forecasts, taking into account various scenarios, and remain confident that the uncertainties do not cast significant doubt on the company’s ability to continue as a going concern.
3
## **Sunderland Culture Limited**
## **Trustees' Report**
## **Achievements and performance**
Sunderland Culture delivers the creative programme at National Glass Centre, Northern Gallery for Contemporary Art, Sunderland Museum & Winter Gardens, Arts Centre Washington and The Fire Station, as well as a city-wide programme focusing on support for artists and creative businesses, creative learning, and arts and health with communities across the city.
Through a Collaboration Agreement with our founding partners: Sunderland City Council; University of Sunderland and Sunderland Music, Arts and Culture (MAC) Trust, we bring together the investment and resources from the three main funders of arts provision in the city, alongside investment from Arts Council England, other charitable trusts and foundations and earned income.
We are a company limited by guarantee, a registered charity and have a trading subsidiary Sunderland Culture Trading.
Our mission is to improve life for everyone in Sunderland through culture. To do so, we are driving five step changes: improved profile and reputation of the city; a more vibrant creative economy; raised outlook and aspiration of young people; improved health and wellbeing; and a more socially cohesive city.
2021/22 saw continued impact and disruption from Covid 19 pandemic. Venues remained closed until the middle of May with social distancing restrictions in place until July. Live performance did not return to Arts Centre Washington until Autumn 21 and ongoing audience caution resulted in reduced visitor numbers and spend throughout the year.
Despite this, we were delighted to welcome over 422,000 visitors across the venues, with. almost 10,000 people taking part in participatory workshops.
Programme highlights from 2021/22 include -
1. Improve profile and reputation of the city
Working alongside the Arts Council Collection, through the National Partners Programme, we brought exceptional works of British modern and contemporary art to Sunderland, including Sir Antony Gormley’s Field for the British Isles which was presented at NGCA during summer 2021
Two major projects reached fruition at National Glass Centre. Firstly, thanks to support from Garfield Weston, NGC European Glass Prize, featured the work of 40 artists from across Europe. Secondly, Ambition for Excellence funded, Glass Exchange brought together four ground-breaking contemporary artists: Pascale Marthine Tayou; Katie Paterson; Monster Chetwynd and Ryan Gander - with some of the most skilled glass makers in the country to create four ambitious new works, presented across Sunderland and Durham.
In December 2021, thanks to the vision, investment and determination of the MAC Trust, The Fire Station opened its doors, and we kicked off with ‘Firestarters’, our opening programme featuring an exciting and diverse series of events showcasing the striking new Auditorium.
## 2. A more vibrant creative economy
During this year our Unlock programme delivered over one hundred 121 support sessions for artists and creatives in the city and we were able to offer 12 Creative Development bursaries to the following individual artists looking to develop their creative practice.
- Michaela Wetherell
- Nigel Morgan
- Christie Chan
- Helen Schell
- Rebecca Young
4
## **Sunderland Culture Limited**
## **Trustees' Report**
- Erin Dickson
- James Whitman
- Christina Berriman Dawson
- Anna Selway
- Lyn Kileen
- Alison Barton • Emily Wallace
We were delighted to support artists and creative businesses in the city to raise an additional £150,000 to support their business development following the impact of the pandemic.
Two specific initiatives were developed to support performing artists in the city - Unlocking the doors commissioned new theatre and dance artworks, to support local artists during a difficult financial time. New Encounters, developed specifically for Sunderland artists from Black, Asian and other Ethnically Diverse communities, supported new projects by Maya Dhananjay, Lacina Diabate and Stephen Elms.
## 3. Raise ambition and aspiration of young people
Our young curators, Celebrate Different Collective, curated a brand-new exhibition featuring work from the Arts Council Collection ¬‘Where There’s Space to Grow’ which opened in January 2022 at Sunderland Museum and Winter Gardens
We were thrilled to welcome (back) 4560 school pupils into the venues, whilst a new online portal ArtFix was launched to provide access to a wide range of creative resources for schools, young people and their families.
At Arts Centre Washington, our annual Bright Lights youth arts festival featured works from budding young artists from across the city, whilst Poems of Town brought together talented young musicians and songwriters with Field Music and performance poet Paul Summers.
## 4. Improve health and wellbeing
Sunderland Culture, Sunderland Carers Centre, Groundwork Northeast & Cumbria, Equal Arts, Everyone Active and Sunderland GP Alliance came together to form the Sunderland Social Prescribing Partnership (SSPP). Collectively the partnership delivered 117 social prescribing sessions during this year.
Arts Centre Washington and Sunderland Museum and Winter Gardens Creative Age groups for adults living with dementia and their carers returned in person from September.
Where We Are Now, a new exhibition at Sunderland Museum and Winter Gardens told the stories of the pandemic through artwork from Arts Council Collection, Northeast artists and works made by local groups, alongside photographs taken by Sunderland residents during the first lockdown.
## 5. A more socially cohesive city
We were delighted that so many community groups from across Sunderland were able to use the spaces in the venues to share their own stories and experiences - from Sangini’s Srijoni at Art Centre Washington to YAV’s print display at Sunderland Museum and Winter Gardens.
Vinca Petersen’s ‘Make Social Honey: A collective search for JOY’ at NGCA featured photographs of numerous community groups from across Sunderland exploring how community activities contribute to their health, happiness and wellbeing -from choirs to sea swimmers - all displayed within the exhibition alongside Petersen’s own work.
5
## **Sunderland Culture Limited**
## **Trustees' Report**
## **Financial review**
Sunderland Culture’s Finance Committee, chaired by Annabel Turpin, continued to meet monthly during 2021/22. A new senior role of Director of Finance and Administration was created within the organisation and Ian High was appointed in November 2021.
A series of new financial systems were implemented to enable stronger financial management, including the implementation of the Approval Max purchase order system.
A new trading subsidiary Sunderland Culture Trading was established in December 2021, to provide a vehicle for the governance of Sunderland Culture’s commercial activities and in particular ticket sales through the Fire Station. The new trading company is chaired by Gillian Callaghan.
During 2020/21 Sunderland Culture remained responsible for the delivery of the core programme of exhibitions, events, performances and learning opportunities across 5 venues owned by our partners - Northern Gallery for Contemporary Art (NGCA) (University of Sunderland) National Glass Centre (University of Sunderland) Sunderland Museum and Winter Gardens (Sunderland City Council) Arts Centre Washington (Sunderland City Council) The Fire Station (Sunderland MAC Trust), and through our City-Wide programme . As such the majority of our expenditure was on programme delivery, marketing and communications and staffing,
During 2020/21 the number of staff employed directly through Sunderland Culture increased from 18 to 43 this was in large part due to the opening of The Fire Station in December 2021. We continue to work hard to minimise our back office and governance costs so we can invest our resources to the maximum in projects and programmes which deliver on our mission.
Sunderland Culture also continued to contribute to the salary costs of staff, employed by our partners, to deliver programme across the core venues, through quarterly payments to those partners.
Investment through Arts Council England’s NPO programme at £509,200 per annum provided vital support for the organisation’s core activities and operations. In addition, many of our creative programmes and projects were supported by Restricted Funding.
It is also important to note the considerable ongoing investment made by our partners. Sunderland City Council, University of Sunderland and MAC Trust in the maintenance, operation and management of their respective cultural facilities. Whilst that investment sits beyond these accounts, it is absolutely vital in enabling that delivery of this work. We are indebted to all of our partners for their continued investment in and support for culture in Sunderland, without which Sunderland Culture could not deliver its programmes.
## _**Policy on reserves**_
The calculation of free reserves is based on the definition included in the charity statement of recommended practice (SORP), which provides recommendations for accounting and reporting for charities. The trustees have examined the requirements of the charity to hold free reserves - those reserves not invested in tangible fixed assets, excluding long term liabilities, or designated for a particular purpose. The Trustees considered it would be appropriate to hold the equivalent of three months of total income, which would equate to holding approximately £580,000 in free reserves.
At the year end, free reserves were £391,047 (2021: £208,562). This is an increase of £182,485 which the Trustees are satisfied with.
6
## **Sunderland Culture Limited**
## **Trustees' Report**
## _**Principal funding sources**_
The charity and its trustees recognise that both the University of Sunderland, Sunderland City Council and MAC Trust have funded costs associated with our venues directly, and that, without this ongoing support, the charity would be unable to operate solely. These funded costs have not been recognised within the financial statements of Sunderland Culture. See note 22.
In addition, the charity recognises the principal funding sources in the year as follows:
|**Funder**|**Amount**|
|---|---|
|Arts Council England - NPO|509,200|
|Arts Council England - Cultural Recovery round 2|143,889|
|Arts Council England - Cultural Recovery round 3|143,000|
|Arts Council England - Firestarters|149,368|
|Arts Council England - Unlocking the Doors|79,944|
|Arts Council England - Northern Network Consultancy|7,500|
|National Lottery Heritage Fund - Great Place|41,341|
|Arts Council England - Thriving Communities|45,000|
|Arts Council England - National Partners Programme|120,000|
|Arts Council England - Glass Exchange|298,000|
|HMRC - JRS|13,064|
|Design Lab Nation - V&A|16,651|
|Community Foundation|3,750|
|Here and Now/Poems of Town|12,441|
|National Theatre - Speak Up|7,535|
|Southbank Centre|1,250|
|Kielder Observatory Astronomical Society|8,750|
|Helix Arts - Make it Happen|1,000|
|Esmee Fairbairn Foundation|48,210|
|Friends of Sunderland|3,500|
|Sunderland City Council - Great Place/Together for Children/East
Area Heritage Trail|15,408|
|Sunderland City Council - Coastal Communities Fund|88,393|
|Sunderland City Council - Millfield Community Chest|35,097|
|Sunderland City Council - Covid Social Prescribing|22,662|
|Sunderland City Council - Strength and Balance|12,500|
7
## **Sunderland Culture Limited**
## **Trustees' Report**
## **Key Management Personnel**
The board, who give their time freely and no trustees received remuneration in the year, have considered who the Key Management Personnel (KMP) of the charity are. Together with the board, these KMP are those in charge of directing and controlling, running and operating the activities of the charity on a day to day basis. The pay of the KMP is reviewed annually and normally increased in accordance with average earnings. The trustees benchmark against pay levels of other charities and similar organisations within the sector and the region. Pay levels are set using this information together with the budget and forecast information, ensuring that the charity can afford any proposed increases. The board then agree any uplift to remuneration.
## **Plans for future periods**
## _**Aims and key objectives for future periods**_
The beginning of 2022/23 saw further work to strengthen the organisation’s governance. We appointed 3 new independent trustees - Sheree Rymer, Faculty Director for Creative and Digital at Sunderland College; Kamaswaredas Ramanathas (Ram), Manager of Young Asian Voices; and Professor Roy Sandbach, previously Director of the National Innovation Centre for Ageing and ex Proctor and Gamble executive.
Our 3 founding partners each appointed new representatives to the board – Paul Callaghan MAC Trust, stood down and was replaced by Sunderland Empire Theatre Director Marie Nixon. Graeme Thompson, Pro Vice Chancellor and our former Chair, stood down and was replaced by Ian Kershaw, one of the University Governors. Fiona Brown from Sunderland City Council left us to be replaced by Peter McIntyre, Executive Director of City Development.
We also welcomed three non-executive directors to our new Sunderland Culture Trading company: Neil Smith, partner in real estate at solicitors Ward Hadaway; Nick Reed, Chief Executive of music charity B: Music in Birmingham, and Michelle Daurat, General Manager at Oaklea Convent and previous Head of Business and Operations at National Glass Centre.
In September 2022, Annabel Turpin who had chaired finance committee since it was established stood down and has been replaced by John Mowbray.
The two final exhibitions as part of Arts Council Collection National Partners Programme were presented at Sunderland Museum and Winter Gardens and NGCA with Grayson Perry Vanity of Small Differences and Island.
Support from Washington Area Committee has enabled us to develop a new programme of creative activities for young people living in Washington. Creative You will run from 2022-2024.
Support from Community Led Local Development Fund has enabled us to distribute 42, £1000 grants to artists and creatives in the city.
Additional support from Sunderland City Council through the Covid Health Inequalities Fund and Strength and Balance Fund have enabled us to continue our work through the Sunderland Social Prescribing Partnership.
Considerable work has been done to develop and refine the Fire Station trading model during this first year of operations.
As a Board we have continued to encourage the team to be bold and innovative in the programmes we support, in spite of the continued difficult financial and economic circumstances for the UK and for the people of Sunderland
8
## **Sunderland Culture Limited**
## **Trustees' Report**
## **Statement of Trustees' Responsibilities**
The trustees (who are also the directors of Sunderland Culture Limited for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.
Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- 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 adequate accounting records that are sufficient to show and explain the charitable company's transactions and 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.
## **Disclosure of information to auditor**
Each trustee has taken steps that they ought to have taken as a trustee in order to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information. The trustees confirm that there is no relevant information that they know of and of which they know the auditor is unaware.
## **Small companies provision statement**
This report has been prepared in accordance with the small companies regime under the Companies Act 2006.
9
## **Sunderland Culture Limited**
## **Trustees' Report**
## **Reappointment of auditor**
Azets Audit Services Limited, trading as Azets Audit Services, were appointed auditor to the company following their acquisition of the trade of Tait Walker LLP, trading as MHA Tait Walker, on 1 May 2022.
In accordance with section 485 of the Companies Act 2006, a resolution for the re-appointment of Azets Audit Services as auditors of the charity is to be proposed at the forthcoming Annual General Meeting.
The annual report was approved by the trustees of the charity on .................... and signed on its behalf by:
~~.........................................~~ J M Earl Chair and Trustee
10
## **Sunderland Culture Limited**
## **Independent Auditor's Report to the Members of Sunderland Culture Limited**
## **Opinion**
We have audited the financial statements of Sunderland Culture Limited (the 'charity') for the year ended 31 March 2022, which comprise the Statement of Financial Activities, Balance Sheet, Statement of Cash Flows, 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 United Kingdom Accounting Standards, comprising Charities SORP - FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and applicable law (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
- give a true and fair view of the state of the charity's affairs as at 31 March 2022 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; 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 auditor responsibilities for the audit of the financial statements section of our report. We are independent of the charity 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 the provisions available for small entities, in the circumstances set out in note to the financial statements, 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 charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements were 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 auditor’s report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
11
## **Sunderland Culture Limited**
## **Independent Auditor's Report to the Members of Sunderland Culture Limited**
We have nothing to report in this regard.
## **Opinion 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 Trustees' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Trustees' Report has been prepared in accordance with applicable legal requirements.
## **Matters on which we are required to report by exception**
In the light of our knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' Report.
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.
## **Responsibilities of trustees**
As explained more fully in the Statement of Trustees' Responsibilities (set out on page 9), the trustees 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 charity'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 charity or to cease operations, or have no realistic alternative but to do so.
## **Auditor 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.
12
## **Sunderland Culture Limited**
## **Independent Auditor's Report to the Members of Sunderland Culture Limited**
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
• Enquiries with management, about any known or suspected instances of non-compliance with laws and regulations and fraud;
• Reviewing board minutes;
• Challenging assumptions and judgements made by management in their significant accounting estimates; and
• Auditing the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness.
Because of the field in which the client operates, we identified the following areas as those most likely to have a material impact on the financial statements: Health and Safety and compliance with both the UK Companies Act and UK Charities Act.
Owing to the inherent limitations of an audit, there is an unavoidable risk that some material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK). For instance, the further removed non-compliance is from the events and transactions reflected in the financial statements, the less likely the auditor is to become aware of it or to recognise the non-compliance.
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 trustees, 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 charity's trustees 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 its trustees as a body, for our audit work, for this report, or for the opinions we have formed.
...................................... Simon Brown BA ACA DChA (Senior Statutory Auditor) For and on behalf of Azets Audit Services Chartered Accountants Statutory Auditor
Bulman House Regent Centre Gosforth NE3 3LS
Date:.............................
Azets Audit Services is a trading name of Azets Audit Services Limited
13
## **Sunderland Culture Limited**
## **Statement of Financial Activities for the Year Ended 31 March 2022 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)**
|**Note**
**Income and Endowments from:**
Donations and legacies
3
Charitable activities
4
Investment income
5
Other income
6
Total Income
**Expenditure on:**
Charitable activities
7
Total Expenditure
Net (expenditure)/income
Transfers between funds
Net movement in funds
**Reconciliation of funds**
Total funds brought forward
Total funds carried forward
17|**Unrestricted**
**2022**
**£**
50,287
612,319
-
97,694
760,300
(873,091)
(873,091)
(112,791)
353,237
240,446
208,562
449,008|**Restricted**
**2022**
**£**
156,698
1,089,039
-
170,856
1,416,593
(1,627,894)
(1,627,894)
(211,301)
(353,237)
(564,538)
753,659
189,121|**Total**
**2022**
**£**
206,985
1,701,358
-
268,550
2,176,893
(2,500,985)
(2,500,985)
(324,092)
-
(324,092)
962,221
638,129|**Total**
**2021**
**£**
208,282
1,999,141
124
14,164|
|---|---|---|---|---|
|||||2,221,711|
|||||(1,479,594)|
|||||(1,479,594)|
|||||742,117
-|
|||||742,117
220,104|
|||||962,221|
All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2021 is shown in note 17.
14
## **Sunderland Culture Limited**
## **Comparative Statement of Financial Activities for the Year Ended 31 March 2021 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)**
|**Note**
**Income and Endowments from:**
Donations and legacies
3
Charitable activities
4
Investment income
5
Other income
6
Total income
**Expenditure on:**
Charitable activities
7
Total expenditure
Net income
Net movement in funds
**Reconciliation of funds**
Total funds brought forward
Total funds carried forward
17|**Unrestricted**
**2021**
**£**
208,282
512,693
124
14,164
735,263
(516,324)
(516,324)
218,939
218,939
(10,377)
208,562|**Restricted**
**2021**
**£**
-
1,486,448
-
-
1,486,448
(963,270)
(963,270)
523,178
523,178
230,481
753,659|**Total**
**2021**
**£**
208,282
1,999,141
124
14,164|
|---|---|---|---|
||||2,221,711|
||||(1,479,594)|
||||(1,479,594)|
||||742,117|
||||742,117
220,104|
||||962,221|
15
## **Sunderland Culture Limited**
## **(Registration number: 10098742) Balance Sheet as at 31 March 2022**
|**(Registration number: 10098742)**
**Balance Sheet as at 31 March 2022**|||
|---|---|---|
|**Note**
**Fixed assets**
Tangible assets
14
**Current assets**
Debtors
15
Cash at bank and in hand
**Creditors: Amounts falling due within one year**
16
**Net current assets**
**Net assets**
**Funds of the charity:**
**Restricted**
**Unrestricted income funds**
Unrestricted
**Total funds**
17|**2022**
**£**
57,961
864,662
296,449
1,161,111
(580,943)
580,168
638,129
189,121
449,008
638,129|**2021**
**£**
8,174
463,681
752,580|
|||1,216,261
(262,214)|
|||954,047|
|||962,221|
|||753,659
208,562|
|||962,221|
The financial statements on pages 14 to 31 were approved by the trustees, and authorised for issue on .................... and signed on their behalf by:
~~.........................................~~
J M Earl Chair and Trustee
16
## **Sunderland Culture Limited**
## **Statement of Cash Flows for the Year Ended 31 March 2022**
|**Note**
**Cash flows from operating activities**
Net cash (expenditure)/income
**Adjustments to cash flows from non-cash items**
Depreciation
Investment income
5
**Working capital adjustments**
Increase in debtors
15
Increase/(decrease) in creditors
16
Increase in deferred income
Net cash flows from operating activities
**Cash flows from investing activities**
Interest receivable and similar income
5
Purchase of tangible fixed assets
14
Net cash flows from investing activities
Net (decrease)/increase in cash and cash equivalents
Cash and cash equivalents at 1 April
Cash and cash equivalents at 31 March|**2022**
**£**
(324,092)
12,694
-
(311,398)
(400,981)
171,834
146,895
(393,650)
-
(62,481)
(62,481)
(456,131)
752,580
296,449|**2021**
**£**
742,117
7,068
(124)|
|---|---|---|
|||749,061
(84,639)
(231,219)
-|
|||433,203|
|||124
(2,428)|
|||(2,304)|
|||430,899
321,681|
|||752,580|
All of the cash flows are derived from continuing operations during the above two periods.
17
## **Sunderland Culture Limited**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **1 Charity status**
The charity is limited by guarantee, incorporated in England and Wales, and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £1 towards the assets of the charity in the event of liquidation.
The address of its registered office is: National Glass Centre, Liberty Way, Sunderland, SR6 0GL
## **2 Accounting policies**
## **Summary of significant accounting policies and key accounting estimates**
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
## **Statement of compliance**
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) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). They also comply with the Companies Act 2006 and Charities Act 2011.
## **Basis of preparation**
Sunderland Culture Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
The financial statements are prepared in sterling, which is the functional currency of the entity.
## **Going concern**
The charity’s forecasts and projections for the next twelve months show that the charity should be able to continue in operational existence for that period, taking into account reasonable possible changes in trading performance. The charity has strong positive cash balances and is forecasting for this to continue to be the case. The trustees have stress tested their forecasts, taking into account various scenarios, and remain confident that the uncertainties do not cast significant doubt on the company’s ability to continue as a going concern.
18
## **Sunderland Culture Limited**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **Estimation uncertainty and judgements**
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
## Accruals
Accruals are calculated where a service has been provided but the company has not yet been invoiced.
## Prepayments
Prepayments are calculated where an invoice has been provided in advance of the service taking place.
## Depreciation
Depreciation is calculated on tangible fixed assets at a rate to write off the cost of the asset over its expected useful life.
## **Income and endowments**
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of the income receivable can be measured reliably.
Income includes amounts received under contract or where entitlement to grant funding is subject to specific performance conditions is recognised as earned.
Donations and grant income included is recognised where there is entitlement, the receipt is probable and the amount can be measured with sufficient reliability.
In the event that a donation or grant is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period.
## _**Donations and legacies**_
Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period.
## _**Grants receivable**_
Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released.
19
## **Sunderland Culture Limited**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## _**Deferred income**_
Deferred income represents amounts received for future periods and is released to incoming resources in the period for which, it has been received. Such income is only deferred when:
- The donor specifies that the grant or donation must only be used in future accounting periods; or - The donor has imposed conditions which must be met before the charity has unconditional entitlement.
## _**Gifts in kind**_
Where a gift in kind is given to the charity and it can be reliably measured, the gift is shown in both voluntary income and charitable activities.
## _**Investment income**_
Bank interest received is recognised once it has been received.
## **Expenditure**
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.
## _**Charitable activities**_
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
## **Governance costs**
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’s meetings and reimbursed expenses.
## **Taxation**
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
## **Tangible fixed assets**
Individual fixed assets costing £300.00 or more are initially recorded at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
## **Depreciation and amortisation**
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:
20
## **Sunderland Culture Limited**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **Asset class**
IT equipment
## **Depreciation method and rate**
33.33% straight line
## **Trade debtors**
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price.
## **Cash and cash equivalents**
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
## **Trade creditors**
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the charity does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price.
## **Fund structure**
Unrestricted income funds are general funds that are available for use at the trustees discretion in furtherance of the objectives of the charity.
Restricted income funds are those donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose.
## **Funds managed on behalf of others**
The charity manages (on behalf of the landlord) a property which is let to multiple parties. The charity records only the income in relation to those management tasks, for which it receives a management charge income from the landlord for doing so. All other transactions are held by the charity on the balance sheet as part of monies owed to the landlord.
21
## **Sunderland Culture Limited**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **3 Income from donations and legacies**
|Donations and legacies;
Donations from companies,
trusts and similar proceeds
Grants, including capital grants;
Coronavirus Job Retention
Scheme
Grants
Gifts in kind
Total for 2022
Total for 2021|**Unrestricted**
**funds**
**General**
**£**
18,177
-
12,110
20,000
50,287
208,282|**Restricted**
**funds**
**£**
300
13,064
143,334
-
156,698
-|**Total**
**2022**
**£**
18,477
13,064
155,444
20,000
206,985
208,282|**Total**
**2021**
**£**
2,090
60,080
66,173
79,939|
|---|---|---|---|---|
|||||208,282|
||||||
Gifts in kind total £20,000 (2021: £79,939). The income is shown as voluntary income and the expenditure is included as costs within Charitable Activities expenditure. This represents space used within the National Glass Centre and in the prior year the Chief Executive's time which is not recharged by the University of Sunderland.
## **4 Income from charitable activities**
|National Portfolio Organisation
Great Places
Venue Programme
Coastal Communities
National Partners Programme
Citywide
Total for 2022|**Unrestricted**
**funds**
**General**
**£**
612,319
-
-
-
-
-
612,319|**Restricted**
**funds**
**£**
298,000
45,036
492,625
123,490
122,353
7,535
1,089,039|**Total**
**2022**
**£**
910,319
45,036
492,625
123,490
122,353
7,535
1,701,358|**Total**
**2021**
**£**
509,200
316,320
816,486
127,923
225,612
3,600|
|---|---|---|---|---|
|||||1,999,141|
22
## **Sunderland Culture Limited**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
|National Portfolio Organisation
Great Places
Venue Programme
Coastal Communities
National Partners Programme
Citywide
Total 2021
**5**
**Investment income**
Interest receivable and similar
income;
Interest receivable on bank
deposits
Total for 2021
**6**
**Other income**
MAC Trust
Tickets, workshops and learning
visits
Rental income|**Unrestricted**
**funds**
**General**
**£**
-
124
**Unrestricted**
**General**
**£**
-
97,694
-
97,694|**Unrestricted**
**funds**
**General**
**£**
509,200
-
3,493
-
-
-
512,693
**Restricted**
**funds**
**£**
-
-
**Restricted**
**£**
-
168,856
2,000
170,856|**Restricted**
**funds**
**£**
-
316,320
812,993
127,923
225,612
3,600
1,486,448
**Total**
**2022**
**£**
-
124
**Total**
**2022**
**£**
-
266,550
2,000
268,550|**Total**
**2021**
**£**
509,200
316,320
816,486
127,923
225,612
3,600|
|---|---|---|---|---|
|||||1,999,141|
|||||**Total**
**2021**
**£**
124|
|||||**Total**
**2021**
**£**
9,128
5,036
-|
|||||14,164|
23
## **Sunderland Culture Limited**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **7 Expenditure on charitable activities**
|Ambition for Excellence
Venue Programme
Great Places
National Partners Programme
Citywide
Coastal Communities
Governance costs (note 8)
Ambition for Excellence
Venue Programme
Great Places
Citywide Programme
National Partners Programme
Coastal Communities
Governance costs (note 8)|**Unrestricted**
**funds**
**General**
**£**
-
746,026
-
-
-
-
127,065
873,091
**Unrestricted**
**funds**
**General**
**£**
-
373,295
-
-
-
-
143,029
516,324|**Restricted**
**funds**
**£**
284,238
941,630
61,654
243,369
1,405
95,598
-
1,627,894
**Restricted**
**funds**
**£**
89,062
254,715
342,136
47,736
134,586
95,035
-
963,270|**Total**
**2022**
**£**
284,238
1,687,656
61,654
243,369
1,405
95,598
127,065|
|---|---|---|---|
||||2,500,985|
||||**Total**
**2021**
**£**
89,062
628,010
342,136
47,736
134,586
95,035
143,029|
||||1,479,594|
24
## **Sunderland Culture Limited**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **8 Analysis of governance and support costs**
## **Raising funds expenditure**
## **Governance costs**
|Staff costs
Wages and salaries
Audit fees
Audit of the financial
statements
Other fees paid to auditors
Marketing and publicity
Depreciation, amortisation and
other similar costs
Other governance costs
Total for 2022
Total for 2021|**Unrestricted**
**funds**
**General**
**£**
-
7,000
9,535
49,518
5,826
55,186
127,065
143,029|**Restricted**
**funds**
**£**
-
-
-
-
-
-
-
-|**Total**
**2022**
**£**
-
7,000
9,535
49,518
5,826
55,186
127,065
143,029|**Total**
**2021**
**£**
59,939
3,750
8,573
28,625
7,068
35,074|
|---|---|---|---|---|
|||||143,029|
||||||
## **9 Net incoming/outgoing resources**
Net (outgoing)/incoming resources for the year include:
|Audit fees
Depreciation of fixed assets|**2022**
**£**
7,000
5,826|**2021**
**£**
3,750
7,068|
|---|---|---|
## **10 Trustees remuneration and expenses**
No trustees, nor any persons connected with them, have received any remuneration from the charity during the year.
No trustees have received any reimbursed expenses or any other benefits from the charity during the year.
25
## **Sunderland Culture Limited**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **11 Staff costs**
The aggregate payroll costs were as follows:
|The aggregate payroll costs were as follows:|||
|---|---|---|
|**Staff costs during the year were:**
Wages and salaries
Social security costs
Pension costs|**2022**
**£**
620,531
56,381
13,746
690,658|**2021**
**£**
423,714
33,540
8,078|
|||465,332|
The monthly average number of persons (including senior management team) employed by the charity during the year was as follows:
|Managerial
Officers (including casual staff)|**2022**
**No**
4
39
43|**2021**
**No**
2
13|
|---|---|---|
|||15|
The number of employees whose emoluments fell within the following bands was:
## £60,001 - £70,000
**2022 No** 1
Payroll costs included above for the prior year included £59,939 relating to the 'gift in kind' value of staff made available to the charity during the year, but where no actual charge was made.
The total employee benefits of the key management personnel of the charity were £175,215 (2021 - £101,772).
26
## **Sunderland Culture Limited**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **12 Auditors' remuneration**
|**12 Auditors' remuneration**|||
|---|---|---|
|Audit of the financial statements
**Other fees to auditors**
All other non-audit services|**2022**
**£**
7,000
9,535|**2021**
**£**
3,750|
|||8,573|
## **13 Taxation**
The charity is exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
## **14 Tangible fixed assets**
|**Cost**
At 1 April 2021
Additions
At 31 March 2022
**Depreciation**
At 1 April 2021
Charge for the year
At 31 March 2022
**Net book value**
At 31 March 2022
At 31 March 2021|**IT Equipment**
**£**
21,583
62,481
84,064
13,409
12,694
26,103
57,961
8,174|**Total**
**£**
21,583
62,481|
|---|---|---|
|||84,064|
|||13,409
12,694|
|||26,103|
|||57,961|
|||8,174|
27
## **Sunderland Culture Limited**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **15 Debtors**
|**15 Debtors**|||
|---|---|---|
|Trade debtors
Due from group undertakings
Prepayments
Accrued income
VAT recoverable
Other debtors|**2022**
**£**
18,185
10,000
24,738
784,282
9,169
18,288
864,662|**2021**
**£**
24,912
-
18,475
396,967
21,969
1,358|
|||463,681|
## **16 Creditors: amounts falling due within one year**
|Trade creditors
Other taxation and social security
Other creditors
Accruals and deferred income
Deferred income
Resources deferred in the period|**2022**
**£**
219,592
18,968
-
195,488
146,895
580,943|**2021**
**£**
126,557
-
83
135,574
-|
|---|---|---|
|||262,214|
|||**2022**
**£**
146,895|
Resources deferred in the period
28
## **Sunderland Culture Limited**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **17 Funds**
|**Unrestricted funds**
**_General_**
General
**Restricted funds**
Glass Exchange
Great Place Programme
Citywide Programme
Coastal Communities
Programme
National Partners
Programme
Venue Programme
**Total restricted funds**
**Total funds**|**Balance at**
**1 April**
**2021**
**£**
208,562
31,238
6,636
18,317
9,643
129,547
558,278
753,659
962,221|**Incoming**
**resources**
**£**
760,300
298,000
45,036
7,535
123,490
122,353
820,179
1,416,593
2,176,893|**Resources**
**expended**
**£**
(873,091)
(284,238)
(61,654)
(1,405)
(95,599)
(243,369)
(941,629)
(1,627,894)
(2,500,985)|**Transfers**
**£**
353,237
-
9,982
(24,447)
(37,534)
47,469
(348,707)
(353,237)
-|**Balance at**
**31 March**
**2022**
**£**
449,008
45,000
-
-
-
56,000
88,121|
|---|---|---|---|---|---|
||||||189,121|
||||||638,129|
29
## **Sunderland Culture Limited**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
Unrestricted funds comprise those funds which the trustees are free to use for any purpose in furtherance of the charitable objects. Unrestricted funds include designated funds, where the trustees, at their discretion, have created a fund for a specific purpose.
The transfer in the year from restricted funds represents re-allocation of expenditure against restricted funds which have ceased in the year.
The basis for calculating 'free reserves' are after allowing for all designated funds, fixed assets and other non-current assets and liabilities.
## **General funds**
General funds comprise those funds which the trustees are free to use for any purpose in furtherance of charitable objects.
## **Ambition for Excellence- Glass Exchange**
This fund represents grants made by Arts Council England through the Ambition for Excellence Programme to the Glass Exchange project to enable Sunderland Culture to commission five contemporary artists to make new work in glass in partnership with Durham Cathedral.
## **Great Places**
This fund represents a programme of work across the entire city working to increase opportunities for young people, support health and wellbeing, increase community cohesion and support artists and creative programme is received from National Lottery Heritage Fund, Arts Council England, Sunderland City Council, Sir James Knott Trust, Cultural Spring, Culture Bridge North East, Nexus, Sunderland Bid and Hays Travel.
## **Citywide Programme**
This fund represents a programme of performances and events held in locations across the city and includes the artistic programme that accompanied the visit of the Tall Ships Races to Sunderland as well as commissions delivered as part of the commemoration events to mark the centenary of World War 1. Funds were received from Sunderland City Council and Imperial War Museum (14-18Now).
## **Coastal Communities**
This fund represents grants secured in partnership with Sunderland City Council from the Ministry of Housing, Communities and Local Government for the delivery of activity which supports artists and creative businesses in Sunderland.
## **National Partners Programme**
This fund represents a programme of exhibitions of work from the Arts Council Collection and associated learning, community engagement and digital projects. It is funded by grants from Arts Council England.
## **Governance costs- Venue Programme**
These costs represent funds expended on the set up and development of Sunderland Culture funded by Arts Council England and National Lottery Heritage Fund.
30
## **Sunderland Culture Limited**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **18 Analysis of net assets between funds**
|Tangible fixed assets
Net current assets/(liabilities)
Total net assets
Tangible fixed assets
Net current assets/(liabilities)
Total net assets|**Unrestricted**
**General**
**£**
57,961
391,047
449,008
**Unrestricted**
**General**
**£**
8,174
200,388
208,562|**Restricted**
**£**
-
189,121
189,121
**Restricted**
**£**
-
753,659
753,659|**Total funds**
**2022**
**£**
57,961
580,168|
|---|---|---|---|
||||638,129|
||||**Total funds**
**at 31 March**
**2021**
**£**
8,174
954,047|
||||962,221|
## **19 Related party transactions**
During the year the charity made the following related party transactions:
## **Sunderland Business Ltd**
Sunderland Business Ltd is related to the charity via virtue of common officers. The charity has incurred costs from Sunderland Business Ltd of £5,876 (2021: £5,000). At the balance sheet date the amount due to/from Sunderland Business Ltd was £Nil (2021 - £Nil).
## **University of Sunderland**
University of Sunderland is related to the charity via virtue of common officers. The charity has incurred costs from University of Sunderland of £300,916 (2021: £340,512). University of Sunderland has made contributions to incoming resources of £8,235 (2021: £440). The University of Sunderland have provided key staff members to the charity and this has been reflected as a gift in kind within the financial statements of £nil (2021: £59,939). The University of Sunderland also provide two office spaces for use by Sunderland Culture Limited which they do not charge for, this has been shown as a gift in kind of £20,000 (2021: £20,000) for the year. At the balance sheet date the amount due to/from University of Sunderland was £Nil (2021 - £Nil).
## **Sunderland Music, Arts and Culture Trust**
Sunderland Music, Arts and Culture Trust is related to the charity via virtue of common officers. Sunderland Music, Arts and Culture Trust made contributions to incoming resources of £3,936 (2021: £9,128) in the year for the management of the Fire Station. At the balance sheet date the amount due to/from Sunderland Music, Arts and Culture Trust was £Nil (2021 - £Nil).
## **Yorkshire Film Archive**
Yorkshire Film Archive is related to the charity via virtue of common officers. The charity has incurred costs from Yorkshire Film Archive of £nil (2021: £6,000). At the balance sheet date the amount due to/from Yorkshire Film Archive was £Nil (2021 - £Nil).
31