**REGISTERED CHARITY NUMBER: 1186662**
## **REPORT OF THE TRUSTEES AND**
**FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 MARCH 2024**
## **FOR**
## **WANDSWORTH MUSIC**
Haines Watts Chartered Accountants & Statutory Auditors Old Station House Station Approach Swindon Wiltshire SN1 3DU
**WANDSWORTH MUSIC**
## **CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024**
||**Page**|
|---|---|
|**Report of the Trustees**|1 to 11|
|**Report of the Independent Auditors**|12 to 14|
|**Statement of Financial Ac/vi/es**|15|
|**Statement of Financial Posi/on**|16|
|**Statement of Cash Flows**|17|
|**Notes to the Statement of Cash Flows**|18|
|**Notes to the Financial Statements**|19 to 32|
## **WANDSWORTH MUSIC**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2024**
The trustees present their report with the financial statements of the charity for the year ended 31 March 2024. The trustees have adopted the provisions of Accoun$ng and Repor$ng by Chari$es: Statement of Recommended Prac$ce applicable to chari$es preparing their accounts in accordance with the Financial Repor$ng Standard applicable in the UK and Republic of Ireland (FRS 102) (effec$ve 1 January 2019).
## **OBJECTIVES AND ACTIVITIES**
## **Objec/ves and aims**
The objects of the charity are for the public benefit:
1. To advance education particularly (but not exclusively) in relation to music;
2. to advance the arts and culture, particularly (but not exclusively), by promoting and facilitating access to, performances of, and participation in performances of, music;
3. to provide for the recreation of members of the public by providing equipment, facilities and services to them in the interests of social welfare with the object of improving their conditions of life.
Our vision is to inspire enjoyment and excellence in music for all children and young people in Wandsworth. We want all children and young people to have the opportunity to find their musical voice, develop their personal and social confidence, progress on their musical journey and fulfil their musical talents and poten$al.
Our mission is to ensure that high quality and inspira$onal music educa$on is available and accessible to all children and young people. We create high quality musical outcomes by providing outstanding and inclusive music tui$on along with opportuni$es for all young people to experience the thrill of performing on world renowned concert stages!
## **Arts Council England**
Wandsworth Music is the lead organisa$on of the Wandsworth Music Educa$on Hub, part of a na$onal network of music educa$on hubs established in 2012. Wandsworth Music receives funding directly from Arts Council England on behalf of the Department for Educa$on with a remit to implement the Na$onal Plan for Music Educa$on (NPME).
As lead organisa$on for the local Music Educa$on Hub, Wandsworth Music (WM) con$nues to fully implement the Na$onal Plan for Music Educa$on (NPME), undertaking all the core and extension roles as detailed in the plan.
A posi$ve rela$onship con$nues with Arts Council England (ACE) who distribute funding on behalf of the Department for Educa$on (DfE). A significant amount of background informa$on and sta$s$cal data is provided to ACE on a regular basis to secure the release of grant payments. The Annual feedback leAer was received from ACE in January 2024.
ACE has assessed the level of risk aAached to the allocated DfE funding as minor risk, requiring a minimal level of monitoring and contact during the 2023-24 academic year.
## **Publica/on of the second Na/onal Plan for Music Educa/on (NPME2)**
In June 2022 the new Na$onal Plan for Music Educa$on was published by the DfE. The original core and extension roles have been removed and replaced with three aims and five strategic func$ons. The three aims are;
- Support all schools to deliver a high-quality music educa$on
- Support young people to develop their musical interests and talent further, including into employment.
- • Support all children and young people to engage with a range of musical opportuni$es in and out of school.
The five strategic func$ons, to be delivered through partnership are;
- Take a leading role in building a sustainable, local infrastructure for high quality music educa$on and music making in partnership with others.
- Support all state funded schools to deliver music, in and beyond the curriculum.
- Page 1
## **WANDSWORTH MUSIC**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2024**
- Support children and young people to progress in music.
- Drive broad access to music, so every child has the opportunity to par$cipate, irrespec$ve of their circumstances.
- Ensure the strategic, financial and opera$onal sustainability of the Music Hub.
The DfE also confirmed that the number of Hub Lead Organisa$ons (HLO’s) will reduce from 117 to 43. The new HLO’s will be selected through a compe$$ve bidding process and will be opera$onal from 1 September 2024. This process will require exis$ng services to collaborate more closely across larger areas, crea$ng a lead organisa$on to service the rela$onship with ACE.
## **South West London Music Educa/on Partnership (SWLMEP)**
SWLMEP is an informal partnership of seven South West London Music Services, comprising Croydon Music and Arts, Hounslow Music Service, Kingston Music Service, Merton Music Founda$on, Richmond Music Trust, SuAon Music Service and Wandsworth Music. This group has worked collabora$vely for more than 20 years, providing joint training days, joint projects, training for middle and senior leaders as well as sharing resources like instruments, curriculum documents and policies. The group has endured through changes in leadership across the region.
In light of the DfE inten$on to reduce the number of Music Hubs across the country, the seven music services which make up SWLMEP, agreed to create a new company SWL Music in order to apply to ACE to lead the Music Hub across South West London. The seven individual organisa$ons will con$nue to exist as sovereign organisa$ons and deliver music educa$on services in each local area, and together will run SWL Music.
##
The trustees confirm that they have complied with the requirements of sec$on 17 of the Chari$es Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
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**WANDSWORTH MUSIC**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2024**
## **ACHIEVEMENT AND PERFORMANCE**
The 2023-2024 financial year was one of significant growth and development across all areas.
- Weekly curriculum and whole class music lessons were directly delivered to approximately 8,500 children in 44 primary schools (22/23: 39). This represents 72% of all primary schools in Wandsworth (22/23: 64%).
- 92% of schools were supported via our school music educa$on plans.
- Instrumental & vocal lesson numbers increased to 1,255 (22/23: 1,090).
- A total of 524 pupils received tui$on at the music academy, an increase of 4%. (22/23: 505)
- More than 3,000 musical instruments were loaned to schools and young people.
- Total turnover increased by 15% to £1.77m (22/23: £1.55m)
- Launch of a new borough inclusive ensemble (BEYOND) for young musicians with special educa$on needs and disabili$es (SEND).
## **Our Impact in words**
- _“I have had the best �me over the last 9 years at the academy and I know that it is because of my musical educa�on at Wandsworth that I have now been given this opportunity at the Royal College of Music. I've learnt so much over the years and have had amazing experiences, opportuni�es, support and care from everyone, it means the world to me - thank you so much!”_
- _“Where should I start? Tuesday evening was so special on so many levels: opportuni�es, inclusion, quality…. You are so ambi�ous for our children, and they respond well because they are surrounded by great role models and amazing tutors”_
- _“If there is one thing that sums up this wonderful event it was the parents (and admi/edly some of the staff) who were in tears at the impact and beauty of this event. Parents were shocked, one said: ‘I never get to see my child in these kinds of events, thank you so much.”_
- _“Most people write off my daughter because she cannot speak, but you have managed to have a deeply personal conversa�on with her.”_
_“Wandsworth Music and the fantas�c team that they have built have become central to the school’s iden�ty. Not only are the children receiving very high quality music lessons, but their enjoyment and pride is through the roof.”_
## **Working in partnership**
WM has a well-established range of partners who supplement and enhance our work. Strong partnership rela$onships enable us to gain access to other addi$onal funding streams, enhance our offer and avoid duplica$on, and work with professional musicians from different backgrounds. We con$nue to focus on partnerships that help to support and develop our musical offer, providing tangible musical benefits for children. Some of our key partners during the 23/24 financial year include:
- **The Royal Philharmonic Orchestra** who support work with Wandsworth Special Schools and Looked After Children.
- **South West London Music Education Partnership** : A Strategic partnership of seven southwest London Music services.
- **The National Opera Studio** : Support for secondary singing development & solo dramatic singing through the Diverse Voices programme.
- **Wandsworth Council Arts Service** : Co-creation of CPD programmes, advocacy and additional funding.
- **Burntwood School:** Provide in kind support for the Wandsworth Music Academy through free hire for borough events, concerts, rehearsals and significantly reduced rates for other hires.
- **Ibstock Place School:** In kind support for example free hires for ABRSM exams and borough concerts.
- **Philharmonia Orchestra** : Coaching and side by side performance opportunities, including the Benedetti Foundation string project.
- **London Music Fund & Thomas’ Foundation** funded 30 music scholarships for children in financial need.
- **All Saints Church** : Free in-kind use of venue for rehearsals and performances.
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**WANDSWORTH MUSIC**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2024**
- **St Luke’s Battersea:** Workshops & masterclass opportunities where world renowned musicians work with students at WMA
## **School support: Curriculum Music & Classroom Instrumental Learning**
Support for schools remained our key focus, and rela$onships with all borough schools remained strong. During the year we con$nued suppor$ng schools to implement their music curriculum, with advice and support around the Model Music Curriculum and Schools Music Development Plans.
There was a significant increase in demand for curriculum music delivery with 19 primary schools (22/23: 14) now receiving direct whole school curriculum music delivery from Wandsworth Music.
In total 8,500 children from 44 primary schools (22/23: 39) received direct delivery of curriculum music, vocal and classroom instrumental tui$on.
Enabling access to instrumental music making for all children con$nues to be a priority. The increase in demand for whole school curriculum music delivery has resulted in a significant increase in the number of children engaging in classroom instrumental learning.
In total 5,438 children (22/23: 2,827) received free instrumental learning tui$on, during class $me, free of charge at the point of access. 2,667 children (22/23: 1,850) received this tui$on for the very first $me.
Support for school teachers and music leads con$nued to be provided by termly music network mee$ngs, vocal project CPD and project specific CPD.
## **Special School Work**
Bespoke programme delivery con$nued at GarraA Park Special School and Nigh$ngale Community Academy where pupils are supported to learn a range of orchestral and adapted instruments in small groups.
The annual special school project was once again delivered in partnership with the Royal Philharmonic Orchestra. The project engaged three special schools with a series of crea$ve music workshops, delivered by members of the Royal Philharmonic Orchestra and Wandsworth Music tutors. The project culminated in a performance at Fairfield Halls, Croydon in March 2024.
We were also pleased to launch BEYOND, an inclusive ensemble, which provides ensemble progression pathways for pupils from Special and Mainstream schools. The ensemble will feature at the Royal Albert Hall concert in March 2025.
## **Singing Strategy**
Singing forms an integral part of all programmes in schools. Bespoke programmes of support are available for all primary phases including; termly singing programmes; singing assemblies; choirs and CPD. Singing is also a fundamental part of curriculum and whole class instrumental provision, where pupils learn to vocalise tunes, before learning them on their instruments.
We were delighted to again partner with the Na$onal Opera Studio, who supported our work in Wandsworth Secondary Schools and with the Wandsworth Youth Choir, leading towards a massed choir performance involving 250 secondary singers at Fairfield Halls, Croydon and solo performance opportuni$es at the Na$onal Opera Studio in Wandsworth Town.
Singing programmes were delivered to more than 3,250 children during the year and culminated in performances at Fairfield Hall. In total more than 1,700 children sang in these performances.
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**WANDSWORTH MUSIC**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023**
## **Progression**
Progression pathways are supported at our centre of musical excellence, the Wandsworth Music Academy. The Academy supports the learning of approximately 500 students and has a clear, progressive ensemble structure in place catering for a wide range of ages, abili$es & genres. Places at the Academy con$nue to be in high demand.
In school progression is offered via peripate$c tui$on, con$nua$on programmes, singing projects & school ensembles. Peripate$c lessons are offered directly to parents via the Speed Admin tui$on management system. This system has proven very successful and has supported an increase of pupil numbers from 1,090 to 1,255 during the course of the year.
We were delighted that several members of the Wandsworth Philharmonic Orchestra successfully gained places at Junior Music Colleges this year.
## **Wandsworth Music Academy**
The Music Academy runs on Tuesdays, Wednesdays and Saturdays and has a significant focus on ensemble playing and performance across mul$ple diverse genres including Jazz, Rock & Pop, Classical, West African Djembe Drumming, Steel Pans and more!
Ensemble numbers remained strong, with many groups running at full capacity.
All ensembles have regular performance opportuni$es and work towards at least two performances each year. The main ensembles running at the Academy during the Year were:
- Philharmonic, Concert, Junior & Training Orchestras
- Training Strings, Wind & Brass
- Junior Concert Band
- Senior Strings
- String Thing!
- Four String Quartets
- Three Jazz Orchestras
- Guitar Ensemble
- Music Produc$on & Songwri$ng
- Performance Troupe Seniors
- Performance Troupe Juniors
- Two Saxophone quartets
- Six Pop and Rock bands
- Percussion Ensemble
- Mul$ple Djembe Drumming & Steel Pans Groups
- Wandsworth Youth Choir
- Brass Quartet
- Wind Orchestra
- BEYOND ensemble
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**WANDSWORTH MUSIC**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023**
## **Instrument Hire**
Approximately 2,500 instruments were loaned free of charge for instrumental and curriculum Music programmes. A further 500 were hired directly to pupils receiving tui$on at the Music Academy or in schools.
Instruments for pupils in receipt of pupil premium are heavily discounted (£12.50 per term) and instruments for looked aOer children are provided free of charge.
Investment in high quality instruments and aAen$on to regular, ongoing maintenance has ensured that hundreds of instruments are kept in working order beyond their usual expected life.
## **Concerts & Events**
Concert & events con$nue to be an integral part of our offer and an important way of celebra$ng the children and young people we work with. These events offer young people an unmatched sense of collec$ve accomplishment and memories that will fuel their enthusiasm for and engagement with music for years to come.
Highlights this year include two sell out concerts at Fairfield Halls in March 2024 and a concert tour to Czechia and Slovakia in July 2023. In total more than 3,500 young people from Wandsworth Schools and the Wandsworth Music Academy performed in major concerts in front of collec$ve audiences of more than 6,000 people.
Concert and event highlights included:
- Wandsworth Philharmonic Orchestra Tour to Czechia and Slovakia in July 2023.
- Wandsworth Philharmonic Orchestra performing at Quarter Finals Day at the Wimbledon Tennis Championships
- Two Winter Sounds Concerts at Fairfield Halls, Croydon featuring 1,100 pupils across two evenings.
- Two Brighter Sounds Concerts at Fairfield Halls, Croydon featuring 1,200 pupils across two evenings.
- Wandsworth Jazz Orchestra performing at the London Jazz Fes$val, featuring new commissions from saxophonist Damian Cook
- Music Academy & Chestnut Grove Pop Bands performing at the Bedford Pub in Balham.
- Wandsworth Concert Orchestra side by side performance with Philharmonia Orchestra Clore Ballroom
- Wandsworth Music Academy Strings Players masterclasses with BenedeP & Philharmonia Orchestra at the Southbank Centre.
- Summer Schools Showcase in partnership with Wandsworth Arts at the Fringe Fes$val.
- Music Academy Concerts
- Young Musician of the Year compe$$on
- • Grow Roehampton Street Band procession
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## **WANDSWORTH MUSIC**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023**
## **Youth Council**
The Wandsworth Music Youth Council set out to raise £5,000 this year to support the student tour to Spain in summer 2024.
The youth council hosted a range of events throughout the year. Events included bake sales, book sales, a Christmas fair and chamber music concerts. The youth council oversaw all aspects of the years fundraising, from arranging music to conduc$ng groups to baking cakes, to making hair accessories. to asking for dona$ons from local businesses for raffles.
Funds raised during the year support bursaries for a number of students going on the student tour to Spain and a trip to a Spanish water park. The youth council con$nue to assist with WM events such as parent mee$ngs and Academy tours and hope to con$nue their fundraising efforts in 2024-2025.
## **Music Therapy**
Music Therapy provision con$nued to grow with contracts to deliver in six schools during 23/24, part funded by a £10,000 grant from the Wandsworth Social Prescribing Fund. An increase in direct referrals to the Saturday Clinic resulted in the appointment of a second music therapist to meet demand. We also supported a second year Master’s student work placement.
## **CHARITABLE FUNDRAISING, SCHOLARSHIP & BURSARY SCHEME**
Wandsworth Music is incredibly grateful for the many dona$ons and grants that we receive to support our work. This helps to ensure that children and young people facing barriers to par$cipa$on have the opportunity to con$nue accessing high quality music tui$on. Approximately £17,500 was raised via dona$ons, fundraising and giO aid.
## **Financial assistance & Bursaries**
Wandsworth Music is commiAed to giving every young person access to a music educa$on and to suppor$ng eligible young people to develop their musical talent where possible.
Wandsworth Music provides a fee remission of up to 50% off Wandsworth Music Academy fees to those children who are eligible for free school meals. In addi$on discre$onary bursary awards are available to children who may not meet the criteria for Free School Meals but who have a specific and demonstrable financial need that presents a barrier to par$cipa$on. In total, approximately £60,000 of financial support was provided in 2023.
## **Scholarship Scheme**
We are grateful to the London Music Fund (LMF) and Thomas’s Founda$on for providing financial support for scholars to aAend the Music Academy. Scholars receive up to four years free tui$on at the Wandsworth Music Academy. (The scholarship includes instrumental tui$on, ensemble membership and free hire of an instrument).
A total of 30 pupils were supported with scholarships during 23/24.
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## **WANDSWORTH MUSIC**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2024**
## **FINANCIAL REVIEW**
## **Financial posi/on**
The financial posi$on of the charity at the year-end is set out on page 16.
The year saw significant growth and total turnover increased by approximately 14% from £1,548,000 to £1,762,171. This was predominately achieved through an increase in school and parent income, which now accounts for c.72% of turnover. Approximately 5% of turnover comes from charitable dona$ons, giO aid, founda$ons and trusts.
Core Music Hub grant funding fell again from £287,904 to £282,975 and the grant now accounts for approximately 16% of turnover.
Excluding any movements in the year on accoun$ng for the LGPS pension liability the charity realised an opera$onal surplus of £129,575 for the year. This compares with a surplus of £17,809 for 2022/23 financial year. Although the opera$ng surplus/deficit is regarded as a meaningful financial performance measure, in order to comply with accoun$ng standards, any asset or liability rela$ng to the Local Government (defined benefit) Pension Scheme for administra$ve staff is also reported in the financial statements.
Ongoing financial resilience is ensured through robust SLA's and payment policies, which have been revised and updated to include online tui$on and cancella$ons clauses. Service users are required to pay in advance of receiving tui$on which helps to minimise the risk of bad debt and short-term fluctua$ons in income.
Financial sustainability is ensured in the following ways:
- Ensuring a high-quality and diverse musical offer
- The careful monitoring of income and expenditure
- Ensuring appropriate reserves to mi$gate against unexpected costs (e.g. long term illness, rises in employer costs, etc)
- Periodic reviews of fees and charges
- Prudent charging policies and appropriate terms and condi$ons
- Diversified sources of income through offering new programmes such as music therapy.
- Improved communica$ons which will increase reach and par$cipa$on
## **Reserves policy**
Wandsworth Music maintains free unrestricted reserves:
- to provide a level of working capital that protects the con$nuity of our work
- to provide a level of funding for unexpected opportuni$es
- to provide cover for risks such as unforeseen expenditure or unan$cipated loss of income.
The trustees have decided that it is prudent to carry a reserve of three months of salary, premises costs and contractual obliga$ons (plus 10% con$ngency). This equates to approximately £400,000.
Total reserves as at 31 March 2024 were £764,297 (2022/23: £501,722) of which £538,845 (2022/23: £408,719) represented unrestricted funds, £218,000 represented the LGPS pension reserve and £7,452 restricted funds. Of the unrestricted reserves £100,000 represents designated funds (£75,000 for special events and £25k for scholarships and bursaries – see note 13). Free reserves as at 31 March 20234 (unrestricted reserves less designated funds and func$onal fixed assets) amounted to £350,829 (2022/23: £312,455).
The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to con$nue the charity's current ac$vi$es while considera$on is given to ways in which addi$onal funds may be raised and con$ngency savings made. These reserves are to provide sufficient funds to cover management, administra$on and opera$onal costs over the stated period. The Trustees review the policy annually and the level of reserves is assessed in light of prevailing condi$ons and known risks to the Charity's sources of funds.
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## **WANDSWORTH MUSIC**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023**
It should be noted that any liability arising from the Defined Benefit Pension Scheme is not a true representa$on. Any liability is underwriAen by Wandsworth Borough Council as part of the transfer agreement and as such would not be a real liability for Wandsworth Music. When the final member of transferred staff exits the LGPS pension scheme any liability will pass back to Wandsworth Borough Council.
## See note 14.
## **Going concern**
AOer making appropriate enquiries, the trustees have a reasonable expecta$on that the charity has adequate resources to con$nue in opera$onal existence for the foreseeable future. For this reason they con$nue to adopt the going concern basis in preparing the financial statements. Further details regarding the adop$on of the going concern basis can be found in the Accoun$ng Policies.
Page 9
**WANDSWORTH MUSIC**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2024**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing document**
Wandsworth Music was incorporated on 29 November 2019. It is a Charitable Incorporated Organisa$on (CIO), registered number 1186662. The charity is controlled by its governing document and cons$tutes an incorporated charity.
## **Trustees**
There are currently 8 trustees. Poten$al new trustees are interviewed by members of the board of trustees, with appointments then agreed at Board level. When considering the appointment of new trustees the Board has due regard to the requirement for any specialist skills needed. Upon selec$on new trustees are required to complete an enhanced DBS check.
The Board of Trustees meet quarterly to discuss the ac$vi$es, performance and finances of the charity.
## **Organisa/onal structure**
The day to day running and management of the organisa$on is delegated to the Chief Execu$ve (CEO), Dan White. The CEO takes decisions on a day-to-day basis and refers to the Chair when appropriate.
Wandsworth Music is a member of Music Mark, the UK subject associa$on for music.
## **Risk management**
The Trustees have a risk management policy, which comprises an annual review of the risks the charity may face and establishes systems and procedures to mi$gate those risks iden$fied.
## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number**
1186662
## **Principal address**
Burntwood School Burntwood Lane London SW17 0AQ
## **Trustees**
Mr D J White Mr J F D Jones Mr P R Lickman (resigned 1 September 2023) Ms L McInerney Ms Marianne Claire Gilbert (resigned 1 October 2023)
Mr Richard Byrne-Smith Ms M BarileP (appointed 17 May 2023) Ms S Coultress (appointed 17 May 2023) Ms J Silvester Ms Deepa Nair-Pillai (appointed 1 September 2023)
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**WANDSWORTH MUSIC**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2024**
## **Auditors**
Haines WaAs Chartered Accountants & Statutory Auditors Old Sta$on House Sta$on Approach Swindon Wiltshire SN1 3DU
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES**
The trustees are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accoun$ng Standards (United Kingdom Generally Accepted Accoun$ng Prac$ce) including Financial Repor$ng Standard 102 "The Financial Repor$ng Standard applicable in the UK and Republic of Ireland".
The law applicable to chari$es in England and Wales, the Chari$es Act 2011, Charity (Accounts and Reports) Regula$ons 2008 and the provisions of the trust deed 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 charity and of the incoming resources and applica$on of resources, including the income and expenditure, of the charity for that period. In preparing those financial statements, the trustees are required to
- select suitable accoun$ng policies and then apply them consistently;
- observe the methods and principles in the Charity SORP;
- make judgements and es$mates that are reasonable and prudent;
- state whether applicable accoun$ng standards have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will con$nue in business.
The trustees are responsible for keeping proper accoun$ng records which disclose with reasonable accuracy at any $me the financial posi$on of the charity and to enable them to ensure that the financial statements comply with the Chari$es Act 2011, the Charity (Accounts and Reports) Regula$ons 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the preven$on and detec$on of fraud and other irregulari$es.
Approved by order of the board of trustees on 11 November 2024 and signed on its behalf by:
.................................................................
Mr J F D Jones - Trustee
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## **REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF WANDSWORTH MUSIC**
## **Opinion**
We have audited the financial statements of Wandsworth Music (the 'charity') for the year ended 31 March 2024 which comprise the Statement of Financial Ac$vi$es, the Statement of Financial Posi$on, the Statement of Cash Flows and notes to the financial statements, including a summary of significant accoun$ng policies. The financial repor$ng framework that has been applied in their prepara$on is applicable law and United Kingdom Accoun$ng Standards (United Kingdom Generally Accepted Accoun$ng Prac$ce), including Financial Repor$ng Standard 102 'The Financial Repor$ng Standard applicable in the UK and Republic of Ireland'.
- In our opinion the financial statements:
- give a true and fair view of the state of the charity's affairs as at 31 March 2024 and of its incoming resources and applica$on of resources, for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accoun$ng Prac$ce, including Financial Repor$ng Standard 102 'The Financial Repor$ng Standard applicable in the UK and Republic of Ireland'; and
- have been prepared in accordance with the requirements of the Chari$es Act 2011.
## **Basis for opinion**
We conducted our audit in accordance with Interna$onal Standards on Audi$ng (UK) (ISAs (UK)) and applicable law. Our responsibili$es under those standards are further described in the Auditors' responsibili$es for the audit of the financial statements sec$on of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibili$es 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 rela/ng to going concern**
In audi$ng the financial statements, we have concluded that the trustees' use of the going concern basis of accoun$ng in the prepara$on of the financial statements is appropriate.
Based on the work we have performed, we have not iden$fied any material uncertain$es rela$ng to events or condi$ons that, individually or collec$vely, may cast significant doubt on the charity's ability to con$nue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibili$es and the responsibili$es of the trustees with respect to going concern are described in the relevant sec$ons of this report.
## **Other informa/on**
The trustees are responsible for the other informa$on. The other informa$on comprises the informa$on included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.
Our opinion on the financial statements does not cover the other informa$on and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connec$on with our audit of the financial statements, our responsibility is to read the other informa$on and, in doing so, consider whether the other informa$on is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we iden$fy such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other informa$on, we are required to report that fact. We have nothing to report in this regard.
## **Ma?ers on which we are required to report by excep/on**
We have nothing to report in respect of the following maAers where the Chari$es (Accounts and Reports) Regula$ons 2008 requires us to report to you if, in our opinion:
- the informa$on given in the Report of the Trustees is inconsistent in any material respect with the financial statements; or
- sufficient accoun$ng records have not been kept; or
- the financial statements are not in agreement with the accoun$ng records and returns; or
- we have not received all the informa$on and explana$ons we require for our audit.
Page 12
## **REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF WANDSWORTH MUSIC**
## **Responsibili/es of trustees**
As explained more fully in the Statement of Trustees' Responsibili$es, the trustees are responsible for the prepara$on of the financial statements which give a true and fair view, and for such internal control as the trustees determine is necessary to enable the prepara$on of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity's ability to con$nue as a going concern, disclosing, as applicable, maAers related to going concern and using the going concern basis of accoun$ng unless the trustees either intend to liquidate the charity or to cease opera$ons, or have no realis$c alterna$ve but to do so.
## **Our responsibili/es for the audit of the financial statements**
We have been appointed as auditors under Sec$on 144 of the Chari$es Act 2011 and report in accordance with the Act and relevant regula$ons made or having effect thereunder.
Our objec$ves are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detec$ng irregulari$es, including fraud is detailed below:
We obtained an understanding of the legal and regulatory framework applicable to both the Charity itself and the environment in which it operates. We iden$fied areas of laws and regula$ons that could reasonably be expected to have a material effect on the financial statements from our sector experience and through discussion with the directors and other management. The most significant were iden$fied as the Chari$es Act 2013, Charity SORP FRS 102, UK GAAP (FRS102) and relevant tax legisla$on.
We considered the extent of compliance with those laws and regula$ons as part of our procedures on the related financial statements. Our audit procedures included:
* making enquires of trustees and management as to where they consider there to be a suscep$bility to fraud and whether they have any knowledge or suspicion of fraud;
* obtaining an understanding of the internal controls established to mi$gate risks related to fraud or non-compliance with laws and regula$ons;
* assessing the design effec$veness of the controls in place to prevent and detect fraud;
* assessing the risk of management override including iden$fying and tes$ng journal entries;
* challenging the assump$ons and judgements made by management in its significant accoun$ng es$mates.
Despite the audit being planned and conducted in accordance with ISAs (UK) there remains an unavoidable risk that material misstatements in the financial statements may not be detected owing to inherent limita$ons of the audit, and that by their very nature, any such instances of fraud or irregularity likely involve collusion, forgery, inten$onal misrepresenta$ons, or the override of internal controls.
A further descrip$on of our responsibili$es for the audit of the financial statements is located on the Financial Repor$ng Council's website at www.frc.org.uk/auditorsresponsibili$es. This descrip$on forms part of our Report of the Independent Auditors.
Page 13
## **REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF WANDSWORTH MUSIC**
## **Use of our report**
This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Chari$es (Accounts and Reports) Regula$ons 2008. Our audit work has been undertaken so that we might state to the charity's trustees those maAers we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permiAed by law, we do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed.
Haines WaAs Chartered Accountants & Statutory Auditors Old Sta$on House Sta$on Approach Swindon Wiltshire SN1 3DU
Date: 20 November 2024
Page 14
## **WANDSWORTH MUSIC**
## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2024**
|Notes
**INCOME AND ENDOWMENTS FROM**
Dona$ons and legacies
2
**Charitable ac/vi/es**
3
Music educa$on
**Total**
**EXPENDITURE ON**
**Charitable ac/vi/es**
4
Music educa$on
LGPS
Other
**Total**
**NET INCOME/(EXPENDITURE)**
**Other recognised gains/(losses)**
Actuarial gains on defned beneft schemes
**Net movement in funds**
**RECONCILIATION OF FUNDS**
Total funds brought forward
**TOTAL FUNDS CARRIED FORWARD**|Unrestricted
funds
£
13,346
1,389,673
1,403,019
1,198,926
(21,000)
73,967
1,251,893
151,126
112,000
263,126
493,719
756,845|Restricted
funds
£
359,152
-
359,152
359,703
-
359,703
(551)
-
(551)
8,003
7,452|2024
Total
funds
£
372,498
1,389,673
1,762,171
1,558,629
(21,000)
73,967
1,611,596
150,575
112,000
262,575
501,722
764,297|2023
Total
funds
£
396,001
1,152,650
1,548,651
1,470,100
72,000
60,742
1,602,842
(54,191)
760,000
705,809
(204,087)
501,722|
|---|---|---|---|---|
The notes form part of these financial statements
Page 15
## **WANDSWORTH MUSIC**
## **STATEMENT OF FINANCIAL POSITION**
## **31 MARCH 2024**
|Unrestricted
funds
Notes
£
**FIXED ASSETS**
Tangible assets
9
88,016
**CURRENT ASSETS**
Debtors
10
117,445
Cash at bank
613,168
730,613
**CREDITORS**
Amounts falling due within one year
11
(279,784)
**NET CURRENT ASSETS**
450,829
**TOTAL ASSETS LESS CURRENT LIABILITIES**
538,845
**PROVISIONS FOR LIABILITIES**
12
218,000
**NET ASSETS**
756,845
**FUNDS**
13
Unrestricted funds
Pension reserve
Restricted funds
**TOTAL FUNDS**|Restricted
funds
£
-
-
7,452
7,452
-
7,452
7,452
-
7,452|2024
Total
funds
£
88,016
117,445
620,620
738,065
(279,784)
458,281
546,297
218,000
764,297
538,845
218,000
7,452
764,297|2023
Total
funds
£
96,264
112,311
421,088
533,399
(212,941)
320,458
416,722
85,000
501,722
408,719
85,000
8,003
501,722|
|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 11 November 2024 and were signed on its behalf by:
**----- Start of picture text -----**
. .
Mr J F D Jones - Trustee
**----- End of picture text -----**
The notes form part of these financial statements
Page 16
## **WANDSWORTH MUSIC**
## **STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2024**
|Notes
**Cash fows from opera/ng ac/vi/es**
Cash generated from opera$ons
1
Net cash provided by/(used in) opera$ng ac$vi$es
**Cash fows from inves/ng ac/vi/es**
Purchase of tangible fxed assets
Net cash (used in)/provided by inves$ng ac$vi$es
**Change in cash and cash equivalents in the**
**repor/ng period**
**Cash and cash equivalents at the beginning**
**of the repor/ng period**
**Cash and cash equivalents at the end of**
**the repor/ng period**|2024
£
204,320
204,320
(4,788)
(4,788)
199,532
421,088
620,620|2023
£
(585)
(585)
-
-
(585)
421,673
421,088|
|---|---|---|
The notes form part of these financial statements
Page 17
## **WANDSWORTH MUSIC**
## **NOTES TO THE STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2024**
## **1. RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES**
|**Net income/(expenditure) for the repor/ng period (as per the**
**Statement of Financial Ac/vi/es)**
**Adjustments for:**
Deprecia$on charges
Loss on disposal of fxed assets
Increase in debtors
Increase in creditors
Diference between pension charge and cash contribu$ons
**Net cash provided by/(used in) opera/ons**|2024
£
150,575
11,461
1,575
(5,134)
66,843
(21,000)
204,320|2023
£
(54,191)
11,512
-
(77,325)
47,419
72,000
(585)|
|---|---|---|
## **2. ANALYSIS OF CHANGES IN NET FUNDS**
||At 1/4/23|Cash fow|At 31/3/24|
|---|---|---|---|
||£|£|£|
|**Net cash**||||
|Cash at bank|421,088|199,532|620,620|
||421,088|199,532|620,620|
|**Total**|421,088|199,532|620,620|
The notes form part of these financial statements
Page 18
**WANDSWORTH MUSIC**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024**
## **1. ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the charity, which is a public benefit en$ty under FRS 102, have been prepared in accordance with the Chari$es SORP (FRS 102) 'Accoun$ng and Repor$ng by Chari$es: Statement of Recommended Prac$ce applicable to chari$es preparing their accounts in accordance with the Financial Repor$ng Standard applicable in the UK and Republic of Ireland (FRS 102) (effec$ve 1 January 2019)', Financial Repor$ng Standard 102 'The Financial Repor$ng Standard applicable in the UK and Republic of Ireland' and the Chari$es Act 2011. The financial statements have been prepared under the historical cost conven$on.
The financial statements are prepared in sterling, which is the func$onal currency of the en$ty and rounded to the nearest £.
## **Going concern**
There are no material uncertain$es about the charity's ability to con$nue.
## **Income**
All income is recognised in the Statement of Financial Ac$vi$es once the charity has en$tlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
## **Expenditure**
Liabili$es are recognised as expenditure as soon as there is a legal or construc$ve obliga$on commiPng the charity to that expenditure, it is probable that a transfer of economic benefits will be required in seAlement and the amount of the obliga$on can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly aAributed to par$cular headings they have been allocated to ac$vi$es on a basis consistent with the use of resources.
## **Tangible fixed assets**
Deprecia$on is provided at the following annual rates in order to write off each asset over its es$mated useful life.
Instruments: 10 or 15 years straight line Computer equipment: 25% straight line
## **Taxa/on**
The charity is exempt from tax on its charitable ac$vi$es.
## **Fund accoun/ng**
Unrestricted funds can be used in accordance with the charitable objec$ves at the discre$on of the trustees.
Restricted funds can only be used for par$cular restricted purposes within the objects of the charity. Restric$ons arise when specified by the donor or when funds are raised for par$cular restricted purposes.
Further explana$on of the nature and purpose of each fund is included in the notes to the financial statements.
## **Hire purchase and leasing commitments**
Rentals paid under opera$ng leases are charged to the Statement of Financial Ac$vi$es on a straight line basis over the period of the lease.
## **Pension costs and other post-re/rement benefits**
The charity's employees belong to two principal pension schemes: the Teachers' Pension Scheme England and Wales (TPS) for teaching staff, and the closed Local Government Pension Scheme (LGPS) for non-teaching staff. For further informa$on see note 14.
Page 19
continued...
## **WANDSWORTH MUSIC**
## **NOTES TO THE FINANCIAL STATEMENTS - con/nued FOR THE YEAR ENDED 31 MARCH 2024**
## **1. ACCOUNTING POLICIES - con/nued**
## **Cash**
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 acquisi$on or opening of the deposit or similar account.
## **Debtors and Creditors**
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transac$on price. Any losses arising from impairment are recognised in expenditure.
## **2. DONATIONS AND LEGACIES**
|Dona$ons
Grants|2024
£
17,345
355,153
372,498|2023
£
34,071
361,930|
|---|---|---|
|||396,001|
Of the income from dona$ons and legacies above for 2023 £26,071 was aAributable to unrestricted funds and £369,930 to restricted funds.
Grants received, included in the above, are as follows:
|Arts Council England - Core ACE grant
Arts Council England - DfE TPS pension grant
London Music Fund
Thomas Founda$on
**3.**
**INCOME FROM CHARITABLE ACTIVITIES**
Music educa$on
**4.**
**CHARITABLE ACTIVITIES COSTS**
Direct
Costs
£
Music educa$on
1,537,629||2024
£
282,975
45,722
12,388
14,068
355,153
2024
£
1,389,673
Support
costs (see
note 5)
£
73,967||2023
£
287,904
45,721
13,850
14,455|
|---|---|---|---|---|
|||||361,930|
|||||2023
£
1,152,650|
|||||Totals
£
1,611,596|
(Direct costs include £1,334,944 (2023 £1,257,656) staff related costs and £276,652 (2023 £212,444) other music delivery costs such as concert, rent and exam costs).
Local Government Pension Scheme – amount recognised other than remeasurement under UK GAAP (see note 14) (£21,000) £72,000
Page 20
continued...
## **WANDSWORTH MUSIC**
## **NOTES TO THE FINANCIAL STATEMENTS - con/nued FOR THE YEAR ENDED 31 MARCH 2024**
## **5. SUPPORT COSTS**
|**SUPPORT COSTS**||||
|---|---|---|---|
|Management
£
2024
28,228
2023
25,414|Informa$on
Governance
Finance
technology
costs
£
£
£
26,851
9,921
8,967
16,440
12,015
6,928||Totals
£
73,967|
||||60,742|
Support costs, included in the above, are as follows:
|2024
Music
educa$on
£
Other opera$ng leases
17,000
Insurance
6,132
Telephone
979
Postage and sta$onery
4,062
Sundries
17,439
Bank charges
3,212
IT and soOware consumables
12,015
Auditors' remunera$on
6,200
Sundries
6,928
73,967|2023
Total
ac$vi$es
£
17,000
3,695
1,161
3,558
16,328
112
9,921
5,900
3,067|
|---|---|
||60,742|
## **6. TRUSTEES' REMUNERATION AND BENEFITS**
Staff may serve as Trustees and they may receive their remunera$on in their capacity as employees of the charity, but no remunera$on is paid for ac$ng as a Trustee. The CEO received remunera$on in his capacity as an employee of the charity as set out in note 15. The other Trustees did not receive any fees or remunera$on for the performance of their role as Trustees.
## **Trustees' expenses**
There were no trustees' expenses paid for the year ended 31 March 2024 nor for the year ended 31 March 2023.
## **7. STAFF COSTS**
|Wages and salaries
Social security costs
Other pension costs|2024
2023
£
£
1,009,965
967,313
81,043
64,037
222,936
298,306
1,313,944
1,329,656|2023
£
967,313
64,037
298,306|
|---|---|---|
One employee earned between £60,000 - £69,000. (2023 same).
Key management personnel include all persons that have authority and responsibility for planning, direc$ng and controlling the ac$vi$es of the charity. The total compensa$on paid to key management personnel for services provided to the charity was £258,584 (22/23: £285,507).
Page 21
continued...
## **WANDSWORTH MUSIC**
## **NOTES TO THE FINANCIAL STATEMENTS - con/nued FOR THE YEAR ENDED 31 MARCH 2024**
## **7. STAFF COSTS - con/nued**
The average monthly number of employees during the year was as follows:
|Total
**8.**
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
Unrestricted
funds
£
**INCOME AND ENDOWMENTS FROM**
Dona$ons and legacies
26,071
**Charitable ac/vi/es**
Music educa$on
1,152,650
**Total**
1,178,721
**EXPENDITURE ON**
**Charitable ac/vi/es**
Music educa$on
1,168,581
Other
60,742
**Total**
1,229,323
**NET INCOME/(EXPENDITURE)**
(50,602)
**Other recognised gains/(losses)**
Actuarial gains on defned beneft schemes
760,000
**Net movement in funds**
709,398
**RECONCILIATION OF FUNDS**
Total funds brought forward
(215,679)
**TOTAL FUNDS CARRIED FORWARD**
493,719||2024
85
Restricted
funds
£
369,930
-
369,930
373,519
-
373,519
(3,589)
-
(3,589)
11,592
8,003||2023
76
Total
funds
£
396,001
1,152,650
1,548,651
1,542,100
60,742
1,602,842
(54,191)
760,000
705,809
(204,087)
501,722|
|---|---|---|---|---|
||||||
||||||
||||||
||||||
||||||
||||||
Page 22
continued...
## **WANDSWORTH MUSIC**
## **NOTES TO THE FINANCIAL STATEMENTS - con/nued FOR THE YEAR ENDED 31 MARCH 2024**
## **9. TANGIBLE FIXED ASSETS**
|**COST**
At 1 April 2023
Addi$ons
Disposals
At 31 March 2024
**DEPRECIATION**
At 1 April 2023
Charge for year
Eliminated on disposal
At 31 March 2024
**NET BOOK VALUE**
At 31 March 2024
At 31 March 2023
**10.**
**DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Trade debtors
Prepayments and accrued income
**11.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Trade creditors
Taxa$on and social security
Other creditors|Plant and
machinery
£
130,700
1,750
(2,250)
130,200
34,436
11,461
(675)
45,222
84,978
96,264|Computer
equipment
£
-
3,038
-
3,038
-
-
-
-
3,038
-
2024
£
50,842
66,603
117,445
2024
£
9,151
27,437
243,196
279,784|Totals
£
130,700
4,788
(2,250)
133,238
34,436
11,461
(675)
45,222
88,016
96,264
2023
£
29,490
82,821
112,311
2023
£
8,037
29,989
174,915
212,941|
|---|---|---|---|
Included in other creditors above is £38,977 of deferred income rela$ng to events taking place in the year to 31 March 2025 (2023 £36,697).
Page 23
continued...
## **WANDSWORTH MUSIC**
## **NOTES TO THE FINANCIAL STATEMENTS - con/nued FOR THE YEAR ENDED 31 MARCH 2024**
## **12. PROVISIONS FOR LIABILITIES**
|Defned beneft Pension (Asset)/Liability (see note 14)
**13.**
**MOVEMENT IN FUNDS**
At 1/4/23
£
**Unrestricted funds**
General fund
408,719
Pension liability
85,000
Special Events
-
Scholarships & Bursaries
-
493,719
**Restricted funds**
GiOed Children Fund
8,003
**TOTAL FUNDS**
501,722
Net movement in funds, included in the above are as follows:
Incoming
resources
£
**Unrestricted funds**
General fund
1,403,019
Pension liability
-
1,403,019
**Restricted funds**
Arts Council Music Educa$on Hub Grant
282,975
Arts Council England – DfE TPS pension
grant
45,722
London Music Fund
12,388
Thomas's Founda$on
14,067
GiOed Children Fund
4,000
359,152
**TOTAL FUNDS**
1,762,171|Net
movement
in funds
£
130,126
133,000
-
-
263,126
(551)
262,575
Resources
expended
£
(1,272,893)
21,000
(1,251,893)
(282,975)
(45,722)
(12,388)
(14,067)
(4,551)
(359,703)
(1,611,596)||2024
£
(218,000)
Transfers
between
funds
£
(100,000)
-
75,000
25,000
-
-
-
Gains and
losses
£
-
112,000
112,000
-
-
-
-
-
112,000|2023
£
(85,000)
At
31/3/24
£
438,845
218,000
75,000
25,000
756,845
7,452
764,297
Movement
in funds
£
130,126
133,000
263,126
-
-
-
(551)
(551)
262,575|
|---|---|---|---|---|
||||||
||||||
||||||
Page 24
continued...
## **WANDSWORTH MUSIC**
## **NOTES TO THE FINANCIAL STATEMENTS - con/nued FOR THE YEAR ENDED 31 MARCH 2024**
## **13. MOVEMENT IN FUNDS - con/nued**
## **Compara/ves for movement in funds**
|**Unrestricted funds**
General fund
Pension liability
**Restricted funds**
GiOed Children Fund
London Music Fund - Roehampton
**TOTAL FUNDS**
Compara$ve net movement in funds, included
**Unrestricted funds**
General fund
Pension liability
**Restricted funds**
Arts Council Music Educa$on Hub Grant
Arts Council England – DfE TPS pension
grant
London Music Fund
Thomas's Founda$on
GiOed Children Fund
London Music Fund - Roehampton
Nugee Founda$on
**TOTAL FUNDS**|in the above are
Incoming
resources
£
1,178,721
-
1,178,721
287,904
45,721
7,974
14,455
4,000
5,876
4,000
369,930
1,548,651|At 1/4/22
£
387,321
(603,000)
(215,679)
5,658
5,934
11,592
(204,087)
as follows:
Resources
expended
£
(1,157,323)
(72,000)
(1,229,323)
(287,904)
(45,721)
(7,974)
(14,455)
(1,655)
(11,810)
(4,000)
(373,519)
(1,602,842)||Net
movement
in funds
£
21,398
688,000
709,398
2,345
(5,934)
(3,589)
705,809
Gains and
losses
£
-
760,000
760,000
-
-
-
-
-
-
-
760,000|At
31/3/23
£
408,719
85,000
493,719
8,003
-
8,003
501,722
Movement
in funds
£
21,398
688,000
709,398
-
-
-
2,345
(5,934)
-
(3,589)
705,809|
|---|---|---|---|---|---|
|||||||
|||||||
|||||||
Page 25
continued...
**WANDSWORTH MUSIC**
## **NOTES TO THE FINANCIAL STATEMENTS - con/nued FOR THE YEAR ENDED 31 MARCH 2024**
## **13. MOVEMENT IN FUNDS - con/nued**
## **Restricted funds**
**Arts Council England:** Music Educa$on Hub Grant to support delivery of the Na$onal Plan for Music core and extension roles.
**DfE Teachers Pension Rebate Grant:** Grant from the DfE to cover increase in Teachers Pension Employer contribu$ons
**London Music Fund:** London Music Fund is a funding body with the Mayor of London as its Patron. Income is from individual philanthropy, corporate support and trusts and founda$ons. Its vision is that children who demonstrate significant musical ability, enthusiasm and commitment to learning an instrument are given the opportunity to develop their poten$al. Funding is used to enhance musical opportuni$es and experiences for children facing barriers to par$cipa$on. Scholars receive a period of 4 years funding.
**London Music Fund Partnership Fund** : Partnership Funding for the Grow Roehampton Street Band Project.
**Thomas's Founda/on:** Funding received from Thomas's Founda$on funds expenses in rela$on to scholarships for children facing financial difficul$es to aAend the Wandsworth Music Academy.
**GiKed Children Fund:** Dona$ons received fund expenses in connec$on with musically giOed children facing financial difficulty.
**Nugee Founda/on:** To support music making in Special schools in partnership with the Royal Philharmonic Orchestra, culmina$ng in the performance at the Royal Albert hall.
## **Designated funds**
**Special Events:** A designated fund for special events, for example the Royal Albert Hall Concert and the annual foreign tour.
**Scholarships & Bursaries:** A designated fund for one-off scholarships and bursaries to support children facing barriers to accessing music educa$on at the Wandsworth Music Academy.
Page 26
continued...
**WANDSWORTH MUSIC**
## **NOTES TO THE FINANCIAL STATEMENTS - con/nued FOR THE YEAR ENDED 31 MARCH 2024**
## **14. EMPLOYEE BENEFIT OBLIGATIONS**
The charity's employees belong to two principal pension schemes: the Teachers' Pension Scheme England and Wales (TPS) for teaching staff, and the closed Local Government Pension Scheme (LGPS) for non-teaching staff. A third pension scheme is also in opera$on, the Government Nest scheme for non-teaching staff.
The latest actuarial valua$on of the TPS was 31 March 2020 and of the LGPS 31 March 2022.
Contribu$ons amoun$ng to £66,331 were payable to the schemes at 31 March 2024 (2023 £26,037) and are included within other creditors.
## **Teachers' Pension Scheme**
## **Introduc/on**
The Teachers' Pension Scheme (TPS) is a statutory, contributory, defined benefit scheme, governed by the Teachers' Pension Scheme Regula$ons 2014. Membership is automa$c for full-$me teachers in academies. All teachers have the op$on to opt out of the TPS following enrolment.
The TPS is an unfunded scheme to which both the member and employer makes contribu$ons, as a percentage of salary - these contribu$ons along with those made by employers are credited to the Exchequer. Re$rement and other pension benefits are paid by public funds provided by Parliament.
## **Valua/on of the Teachers' Pension Scheme**
The Government Actuary, using normal actuarial principles, conducts a formal actuarial review of the TPS every four years in accordance with the Public Service Pensions (Valua$ons and Employer Cost Cap) Direc$ons 2014 published by HM Treasury. The aim of the review is to specify the level of future contribu$ons. Actuarial scheme valua$ons are dependent on assump$ons about the value of future costs, design of benefits and many other factors.
The Government Actuary, using normal actuarial principles, conducts a formal actuarial review of the TPS every four years in accordance with the Public Service Pensions (Valua$ons and Employer Cost Cap) Direc$ons 2014 published by HM Treasury. The aim of the review is to ensure scheme costs are recognised and managed appropriately and the review specifies the level of future contribu$ons.
The latest actuarial valua$on of the TPS was carried out as at 31 March 2020. The valua$on report was published by the Department for Educa$on on 27 October 2023, with the SCAPE rate, set by HMT, applying a no$onal investment return based on 1.7% above the rate of CPI. The key elements of the valua$on outcome are:
- Employer contribution rates set at 28.68% of pensionable pay (including a 0.08% administration levy). This is an increase of 5% in employer contributions and the cost control result is such that no change in member benefits is needed.
- Total scheme liabilities (pensions currently in payment and the estimated cost of future benefits) for service to the effective date of £262,000 million and notional assets (estimated future contributions together with the notional investments held at the valuation date) of £222,200 million, giving a notional past service deficit of £39,800 million.
The result of this valua$on will be implemented from 1 April 2024.The next valua$on result is due to be implemented from 1 April 2028.
Page 27
**WANDSWORTH MUSIC**
## **NOTES TO THE FINANCIAL STATEMENTS - con/nued**
## **14. EMPLOYEE BENEFIT OBLIGATIONS - con/nued**
The pension costs paid to TPS in the period amounted to £165,594 (2023 £145,065).
A copy of the valua$on report and suppor$ng documenta$on is on the Teachers' Pensions website.
Under the defini$ons set out in FRS 102, the TPS is a mul$-employer pension scheme. The trust has accounted for its contribu$ons to the scheme as if it were a defined contribu$on scheme. The trust has set out above the informa$on available on the scheme.
## **Local Government Pension Scheme (LGPS)**
The LGPS is a funded defined-benefit scheme, with the assets held in separate trustee-administered funds. The total contribu$on made for the period ended 31 March 2024 was £56,699 (2023 £63,904), of which employer's contribu$ons totalled £42,779 (2023 £48,099) and employee's contribu$ons totalling £13,920 (2023 £15,805). The agreed contribu$on rates for future years are 21.4% for employers and 5.5% to 9.9% (depending on salary and sec$on) for employees.
Under the transfer agreement dated 1 May 2020 the Council gave various indemni$es in regards the LGPS as follows: -
## **Council guarantee**
To ensure that the Administering Authority does not require the Wandsworth Music to provide an indemnity or bond in respect of the Eligible Employees, the Council will provide the Administering Authority with an indemnity or guarantee in a form acceptable to the Administering Authority in respect of the Charity’s obligations to the Administering Authority for the duration of the Charity’s admission of the Fund and will take any other steps required by the Administering Authority to ensure that an indemnity or bond is not required for the duration of the Charity’s participation in the Fund.
## **Protec/on from redundancy pension strain costs**
The Council shall indemnify the Charity in full from and against any early retirement strain costs, expenses or additional contributions arising from any pension payable as a result of the dismissal of any of the Eligible Employees on grounds of redundancy or efficiency of the service provided always that the Charity has used its best endeavours to mitigate and minimise such additional costs, expenses or contributions.
The Charity shall carry out any restructuring resulting in the dismissal of any of the Eligible Employees on grounds of redundancy or efficiency of the service in good faith and shall in advance obtain the Council’s approval in relation to any proposal to dismiss any Eligible Employee on these grounds, such approval not to be unreasonably withheld or delayed.
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**WANDSWORTH MUSIC**
## **NOTES TO THE FINANCIAL STATEMENTS - con/nued**
## **14. EMPLOYEE BENEFIT OBLIGATIONS - con/nued**
## **Protection from ill-health pension strain costs**
The Council shall indemnify the Charity in full from and against all early retirement strain costs, expenses or additional contributions arising from the retirement of any of the Eligible Employees on grounds of ill-health or infirmity of mind or body provided always that the Charity has used its best endeavours to mitigate and minimise such additional costs, expenses or contributions.
For the avoidance of any doubt, where any Eligible Employee applies for retirement on grounds of ill-health or infirmity of mind or body, the Charity shall obtain the agreement of the Council to the appointment of any independent registered medical practitioner appointed to provide the relevant certificate.
## **Exit from the Fund**
On termination of the Admission Agreement or on the Charity no longer having any Eligible Employees actively contributing to the Fund, the Council shall indemnify the Charity for any costs, expenses or liabilities to the Fund in respect of the Eligible Employees (including for the avoidance of doubt any deferred or pensioner members of the Fund) arising on termination of the Admission Agreement or on the Charity no longer having any Eligible Employees actively contributing to the Fund. If the Charity is paid an exit credit by the Fund on termination of the Admission Agreement or on the Charity no longer having any Eligible Employees actively contributing to the Fund, the Charity shall pay any such exit credit to the Council.
|Current service cost
Plan introduc$ons, changes, curtailments and seAlements
Net interest income / expense
Recognised in proft or loss
Recognised in other comprehensive income
Total recognised cost||2024
£000
(16)
(5)|2023
£000
58
-
14|
|---|---|---|---|
|||(21)
(112)|72
(760)|
|||(133)|(688)|
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## **WANDSWORTH MUSIC**
## **NOTES TO THE FINANCIAL STATEMENTS - con/nued**
## **14. EMPLOYEE BENEFIT OBLIGATIONS - con/nued**
Amounts recognised in the balance sheet were as follows:
|Present value of funded obliga$ons
Fair value of plan assets||2024
£000
(689)
907
218|2023
£000
(654)
739|
|---|---|---|---|
||||85|
Changes in the present value of the defined benefit obliga$ons were as follows:
|Opening defned beneft obliga$on
Current service cost
Past service cost
Interest expense
Actuarial (gains) / losses
Contribu$ons by scheme par$cipants
Es$mated benefts paid net of transfers in
Change in fnancial assump$ons
Change in demographic
Liabili$es ex$nguished on seAlements
Closing defned beneft obliga$on
Changes in the fair value of the pension plan assets wer
Plan assets introduced
Interest income
Actual return on plan assets (excluding interest
income)
Assets distributed on seAlements
Other actuarial gains/losses
Contribu$ons by employer
Contribu$ons by scheme par$cipants
Es$mated benefts paid net of transfers in
Closing plan assets|||2024
£000
654
31
-
32
2
15
(6)
(31)
(8)
-|2024
£000
654
31
-
32
2
15
(6)
(31)
(8)
-|2023
£000
1,304
110
-
33
57
17
-
(823)
(44)
-|
|---|---|---|---|---|---|
|||||689|654|
||e|as follows:||2024
£000
739
37
75
-
-
47
15
(6)|2023
£000
701
19
(48)
-
(2)
52
17
-|
|||||907|739|
Page 30
## **WANDSWORTH MUSIC**
## **NOTES TO THE FINANCIAL STATEMENTS - con/nued**
## **14. EMPLOYEE BENEFIT OBLIGATIONS - con/nued**
The amount that each major class of pension plan assets cons$tutes of the fair value of the total plan assets were as follows:
|Equity instruments
Gilts
Debt instruments (bonds)
Property
Cash
Mul$ – asset fund
The principal actuarial assump$ons used were as follows:
Discount rate
Expected rates of salary increases
Expected rates of pension increases|||
|---|---|---|
||||
The principal actuarial assump$ons used were as follows:
The mortality assump$ons used for longevity (in years) on re$rement at age 65 are:
||Males|Females|
|---|---|---|
|Current pensioners|20.8 years|23.3years|
|Future pensioners|22.0 years|24.7years|
Page 31
## **WANDSWORTH MUSIC**
## **NOTES TO THE FINANCIAL STATEMENTS - con/nued**
## **14. EMPLOYEE BENEFIT OBLIGATIONS - con/nued**
|**Sensi/vity Analysis**|**£000s**|**£000’s**|**£000’s**|
|---|---|---|---|
|**Adjustment to discount rate**
Present
value
of
total
obliga$on
Projected service cost|**+0.1%**
669
27|**0.0%**
689
29|**-0.1%**
710
30|
|**Adjustment to long term**
**salary increase**
Present
value
of
total
obliga$on
Projected service cost|**+0.1%**
691
29|**0.0%**
689
29|**-0.1%**
687
29|
|**Adjustment**
**to**
**pension**
**increase**
**and**
**deferred**
**revalua/ons**
Present
value
of
total
obliga$on
Projected service cost|**+0.1%**
709
30|**0.0%**
689
29|**-0.1%**
670
28|
|**Adjustments**
**to**
**life**
**expectancy assump/ons**
Present
value
of
total
obliga$on
Projected service costs|**+1 Year**
708
30|**None**
689
29|**-1 Year**
671
28|
## **15. RELATED PARTY DISCLOSURES**
There were no related party transac$ons for the period ended 31 March 2024 except as explained in note 6. Mr D White (a trustee) is remunerated for his role a CEO (£79,067 including employers’ na$onal insurance and pension contribu$ons).
Page 32