**Birmingham Philharmonic Orchestra Charitable Incorporated Organisation**
**Annual Report and Accounts for the year ending 31[st] July 2023**
# **The Birmingham Philharmonic Orchestra Charitable Incorporated Organisation Registered Charity Number 1193786**
## **Trustees’ Annual Report and Accounts**
**for the period from 1[st] August 2022 to 31[st] July 2023**
## **Trustees’ Annual Report:**
## **Objectives and Activities:**
|**Trustees’ Annual Report:**|**Trustees’ Annual Report:**|
|---|---|
|**Objectves and Actvites:**||
|Summary of the purposes of the charity as set out in
the governing document|The objects of The Birmingham Philharmonic Orchestra
Charitable Incorporated Organisaton (BPO CIO) are the
advancement of the art and science of music, by the
study, practce and public performance of music, and by
such other actvites as the Birmingham Philharmonic
Orchestra’s trustees mayfrom tme to tme determine.|
|Summary of the main actvites in relaton to those
purposes for the public beneft, in partcular, the
actvites, projects or services identfed in the accounts.|The BPO performed nine full orchestral concerts in
2022/23, and one chamber concert, for the public
beneft. These included concerts in parts of the West
Midlands which may not otherwise have access to full
orchestras. Ticket prices were kept reasonable in order
to enable public access to classical orchestral music.
The BPO also provided signifcant playing and other
opportunites for students at the Royal Birmingham
Conservatoire.|
|Statement confrming whether the trustees have had
regard to the guidance issued by the Charity
Commission on public beneft.|The trustees confrm that they have read the Charity
Commission guidance on public beneft and that the
orchestra has complied with this guidance in this
fnancialyear.|
|Additonal informaton:||
|Policyongrant making|N/A|
|Policy on social investment including program-related
investment|N/A|
1
|Contributon made by volunteers|The BPO’s members are all volunteers and give their
tme and expertse for the beneft of the orchestra.
Many members and their families also make a
signifcant contributon to the running of the orchestra
in a variety of diferent ways and involving considerable
amounts of tme.|
|---|---|
|**Achievements and Performance:**||
|Summary of the main achievements of the charity,
identfying the diference the charity’s work has made
to the circumstances of its benefciaries and any wider
benefts to society as a whole.|The concerts performed by the BPO in 2022/23
included concerts in Birmingham as well as in parts of
the West Midlands which may not otherwise have
access to full orchestras. Ticket prices were kept
reasonable in order to enable public access to classical
orchestral music.|
|**Financial Review:**||
|Review of the charity’s fnancial positon at the end of
the period|BPO Productons Ltd. was established to put on
concerts on behalf of the CIO and for it to be able to
claim Orchestra Tax Relief on eligible costs; the benefts
of which ultmately fow back to the CIO. If this
restructuring had not taken place, the results of the
2022/23 period would have been comparable to the
previous year, with net outgoing resources of £3,899.
Under the new structure of operatons, net incoming
resources of £4,931 has been achieved.
Several factors have had an adverse impact on the
result for the year including the cancellaton of frst
concert of the season and low audience numbers at our
Solihull concert. There was also an underspend on
marketng and publicity compared to budget, to which
additonal focus will be given to going forward.
Subscripton income has increased by 7%, partly due to
an increase in subscriptons to £180 (waged), £120
(retred) and £60 (unwaged and students) from August
2022, albeit a decrease in membership numbers.
Donatons received were higher and included some
amounts for the hire of our music by other orchestras.
Additonal accountancy support was engaged in August
2022 to implement a new accountng sofware package
for both the BPO CIO and BPO Productons Ltd. The new
package has an ongoing cost, but is more suitable for
the orchestra’s needs than the previous system.
The cash positon at the year end stood at £22,066
(2022 - £28,648). A prepayment of £4,800 for Hall Hire
for the frst concert of the 2023/24 season can explain
much of this movement.|
2
|Statement explaining the policy for holding reserves
statng why they are held|The trustees’ normal policy on reserves is that not less
than £20,000 should be held in the bank account at all
tmes. At a meetng on 16thJanuary 2023, trustees
agreed temporarily to reduce the reserves limit to
£15,000 untl the end of the fnancial year and then
review the situaton. The orchestra has made
arrangements to access the Orchestra Tax Relief scheme
which will help to rebuild the charity’s reserves.
Reserves are held so that the orchestra can contnue to
functon in the event of an unexpected loss of income
or increase in costs.|
|---|---|
|Amount of reserves held|As at 31stJuly 2023 the BPO CIO held £40,202 of
reserves. This was composed of Fixed Assets of £3,725,
Current Assets of £38,377 and Current Liabilites of
£1,900.|
|Reasons for holdingzero reserves|N/A|
|Details of fund/s materiallyin defcit|N/A|
|Explanaton of any uncertaintes about the charity
contnuing as a going concern|The trustees, having considered the orchestra’s fnancial
positon, have no fundamental concerns as to the
orchestra contnuing as a going concern. Trustees hope
to rebuild the orchestra’s reserves over the next two to
threeyears.|
|Additonal informaton:||
|The charity’s principal sources of funds (including any
fundraising)|The BPO’s principal sources of funds are members’
subscriptons and fees / tcket sales for concerts.|
|Investment policy and objectves including any social
investmentpolicyadopted|N/A|
|A descripton of the principal risks facing the charity|The principal risks have been identfed and actons for
2023/24 identfed in order to:
•
Recruit new players, especially string players,
and appoint substantve principals to vacancies
in wind sectons.
•
Increase audience numbers|
|**Structure, Governance and Management:**||
|Descripton of the charity’s trusts:||
|Type of governing document|Consttuton (latest version: BPO CIO consttuton V1.1
20200312)|
|How is the charityconsttuted|Charitable Incorporated Organisaton|
|Trustee selecton methods including details of any
consttutonal provisions eg electon to post or name of
any person or body enttled to appoint one or more
trustees.|Trustees are elected at the charity’s annual general
meetng. Trustees are usually members of the orchestra
who have been nominated to undertake a specifc role
on the commitee because they are deemed to have the
relevant skills and interest. Electon of trustees is
covered in the consttuton sectons 12 & 13. The
consttuton does not exclude non-members being
nominated for electon as trustees if they have the skills
and interest to fulfl a vacant positon on the
commitee.|
|Additonal informaton:||
3
||Policies and procedures adopted for the inducton and
training of trustees|Policies and procedures adopted for the inducton and
training of trustees|New trustees are given relevant informaton and are
briefed by the Chair and their predecessor in the role
theywill undertake.|New trustees are given relevant informaton and are
briefed by the Chair and their predecessor in the role
theywill undertake.|New trustees are given relevant informaton and are
briefed by the Chair and their predecessor in the role
theywill undertake.|New trustees are given relevant informaton and are
briefed by the Chair and their predecessor in the role
theywill undertake.|
|---|---|---|---|---|---|---|
||The charity’s organisatonal structure and any wider
network with which the charity works||The commitee (board of trustees) has responsibility for
managing the afairs of the orchestra. The BPO has
three sub-commitees to which the commitee’s
functons are delegated (programme planning,
marketng and publicity, Principals Forum). It also has a
wholly owned subsidiary, Birmingham Philharmonic
Orchestra Productons Limited (company number
14307160) which puts on the concerts on behalf of the
BPO CIO. The BPO Handbook gives more detail of how
the orchestra is organised and run (as allowed under
secton 26 of the consttuton)||||
||Relatonshipwith anyrelatedpartes||Relatedpartytransactons are reported in the accounts.||||
||**Reference and Administratve details:**||||||
||Charity name||The Birmingham Philharmonic Orchestra Charitable
Incorporated Organisaton||||
||Other name the charityuses||The orchestra is commonlyknown as the BPO.||||
||Registered charitynumber||1193786||||
||Charity’sprincipal address||71 Springfeld Road, Kings Heath, Birmingham, B15 7DU||||
||**Names of charity trustees who manage the charity:**||||||
||**Trustee name**|**Ofce (if any)**||**Dates acted if not for**
**whole year**|**Name of**
**person (or**
**body)**
**enttled to**
**appoint**
**trustee**||
||Charlote Eminson|Chair|||N/A||
||Paul Dilkes|Treasurer||Resigned 20.11.22|N/A||
||James Roberts|Treasurer||Appointed 20.11.22|N/A||
||Christopher Bertram|Secretary|||N/A||
||Hollie Whitles|Marketng& PublicityLead||Resigned 20.11.22|N/A||
||Joanna Matnson|Marketng& PublicityLead||Appointed 20.11.22|N/A||
||Isabel Baumber|Librarian|||N/A||
||Patricia Moore|Concert Manager|||N/A||
||Alastair Moseley|Programme PlanningLead|||N/A||
||Simon Smith|Principals Forum Chair|||N/A||
||Corporate trustees: Names of the directors at the date
the report was approved||N/A||||
||Name of trustees holding ttle to property belonging to
the charity||N/A||||
||**Funds held as custodian trustees on behalf of others:**||||||
||Descripton of assets held in this capacity||N/A||||
4
|Name and objects of the charity on whose behalf the
assets are held and how this falls within the custodian
charity’s objects|N/A|
|---|---|
|Details of arrangements for safe custody and
segregaton of such assets from the charity’s own assets|N/A|
|**Exempton from disclosure:**||
|Reasons for non-disclosure of key personnel details|N/A|
|**Declaratons:**||
|The trustees declare that theyhave approved the trustees’ report above.||
|Signed on behalf of the trustees:||
|||
|James Roberts|Charlote Jane Eminson|
|Treasurer|Chair|
|26thJanuary2024|26thJanuary2024|
5
## **INDEPENDENT EXAMINER’S REPORT TO THE MEMBERS OF THE BIRMINGHAM PHILHARMONIC ORCHESTRA CIO**
I report to the trustees on my examination (which is not an audit) of the accounts of the Birmingham Philharmonic Orchestra CIO (the Orchestra) for the year ended 31st July 2023.
## **Responsibilities and basis of report**
As the charity trustees you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (“the Act”). I report in respect of my examination of the Orchestra’s accounts carried out under section 145 of the 2011 Act and in carrying my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
## **Independent Examiner’s Statement**
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
- 1) Accounting records were not kept in respect of the Orchestra as required by section 130 of the Act; or
- 2) The accounts do not accord with those records; or
- 3) The accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a “true and fair view” which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report.
As a result of my review, I have made two recommendations which the Trustees will hopefully consider and act upon in order to further professionalise the financial management of the Orchestra. However, none of these aspects are issues which require further disclosure or comment within my formal examiner’s report. In preparing this report I would ask the trustees to note that **my examination is not an audit.**
Signed
## _John B Scruton_
John Scruton 48, Private Road Mapperley Nottingham NG3 5FQ
Date: 26[th] January 2024
6
## **Statement of financial activities**
**For the year ended 31[st] July 2023**
||**Notes**|**Unrestricted Funds**|**Unrestricted Funds**|
|---|---|---|---|
|||**2023**|**2022**|
|**INCOMING RESOURCES**||**£**|**£**|
|**General income**||||
|Subscriptons||11,276|10,553|
|Donatons||3,804|1,813|
|Income tax repaid under Gif Aid|2.1|2,395|2,229|
|**Sub-total general income**||**17,475**|**14,595**|
|**Concert income**||||
|Concert fees received||9,276|6,273|
|Ticket sales||5,948|8,340|
|Programme sales||312|446|
|**Sub-total concert income**||**15,536**|**15,059**|
|**Total income**||**33,011**|**29,654**|
|**RESOURCES EXPENDED**|2.2|||
|**Concert expenditure**||||
|Concert costs||20,970|-|
|Travel costs||23|76|
|Artsts' fees||1,200|16,490|
|Music hire||198|322|
|Instrument & equipment hire||-|410|
|Hire of halls||1,453|12,768|
|Commission on tcket sales||-|426|
|Marketng & Publicity||927|1,015|
|Postage||16|28|
|Subscriptons and insurances||817|565|
|Depreciaton||1,013|1,063|
|Bank charges||95|53|
|Sundry expenditure||169|222|
|Accountng and professional||1,054|-|
|PRS fees||145|-|
|**Total expenditure**||**28,080**|**33,438**|
|**Net incoming/(outgoing) resources**||**4,931**|**(3,784)**|
|**Reconciliaton of funds**||||
|Total funds brought forward||35,271|39,055|
|**Total funds carried forward**||**40,202**|**35,271**|
|The notes onpages 10 to 12 formpart of these fnancial||statements.||
7
## **Statement of cash flow**
**For the year ended 31[st] July 2023**
|**Note**
**Total**
**Funds**
**2023**
**£**
**Cash from operatng actvites**
**(6,582)**
**Net cash provided by/ (used in) operatng actvites**
Purchase of fxed assets
3
-
**Net cash provided by / (used in) investng actvites**
**-**
**Change in cash & cash equivalents in the reportng period**
**(6,582)**
Rounding adjustment
**Cash and cash equivalents at the beginning of the period**
**28,648**
**Cash and cash equivalents at the end of the reportng**
**period**
**22,066**
**RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET**
**CASH FLOW FROM OPERATING ACTIVITIES**
**Net income/(outgoing) resources for the reportng period**
**(as per Statement of Financial Actvites)**
**4,931**
**Adjustments for:**
Depreciaton charges
3
1,013
(Increase)/decrease in debtors
4
206
Increase/(decrease) in creditors
5
1,129
(Increase)/decrease in loan to related party
(13,861)
**Net cash provided by (used in) operatng actvites**
**(6,582)**|**Total**
**Funds**
**2022**
**£**
**(2,103)**
(412)
**(412)**
**(2,515)**|
|---|---|
||1|
||**31,162**
**28,648**
**(3,784)**
1,063
(152)
770
**(2,103)**|
The notes on pages 10 to 12 form part of these financial statements.
8
## **Balance Sheet**
**At 31[st] July 2023**
|**t 31st July 2023**||||
|---|---|---|---|
|||**Total**|**Total**|
||**Note**|||
|||**Funds**|**Funds**|
|||**2023**|**2022**|
|||**£**|**£**|
|**FIXED ASSETS**||||
|Tangible assets|3|3,724|4,737|
|Investments||1|-|
|**CURRENT ASSETS**||||
|Debtors and prepayments|4|2,450|2,656|
|Bank current accounts||22,066|28,648|
|Loan to related party||13,861||
|**Total**||**38,377**|**31,304**|
|**CURRENT LIABILITIES**||||
|Amounts falling due within one year|5|1,900|770|
|**Current assets less current liabilites**||**36,477**|**30,534**|
|**Total assets less current liabilites**||**40,202**|**35,271**|
|**REPRESENTED BY:**||||
|Orchestra funds||40,202|35,271|
|**Total**||**40,202**|**35,271**|
The notes on pages 10 to 12 form part of these financial statements.
## **Approval:**
The annual report and financial statements on pages 1 to 12 were approved at a meeting of the trustees of The Birmingham Philharmonic Orchestra CIO held on 15[th] January 2024 and signed on their behalf by:
Chair: Date: 26[th] January 2024 Treasurer: Date: 26[th] January 2024
9
**Notes to the Financial Statements**
**For the year ended 31[st] July 2023**
## **Note 1: Basis of preparation**
## **1.1 Basis of accounting**
These accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts.
The financial statements have been prepared in accordance with the Statement of Recommended Practice (SORP): Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011 and UK Generally Accepted Practice as it applies from 1 January 2015.
The accounts (financial statements) have been prepared to give a “true and fair view” and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a “true and fair view”. This departure has involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
The charity constitutes a public benefit entity as defined by FRS 102.
Birmingham Philharmonic Orchestra Productions Limited was incorporated in August 2022 and is a wholly owned subsidiary of the charity. It was created to take advantage of the allowances provided by Orchestra Tax Relief. The purpose of this entity is to put on concerts on behalf of the charity and so it incurs most of the costs required to achieve this. All income continues to be received by the charity. Accordingly, amounts are loaned from the charity to this entity to allow it to operate. The charity has taken the exemption from preparing consolidated accounts as the group qualifies as small.
- 1.2 **Going concern:** The charity has more than sufficient liquid resources (cash at bank) to sustain its usual activities (including any projected shortfall of incoming resources against outgoing resources) for at least the next twelve months.
- 1.3 **Change in accounting policy:** The accounts present a true and fair view and the accounting policies adopted are those outlined in note 1. There have been no changes in accounting policy during the year under review.
- 1.4 **Changes to accounting estimates:** No changes to accounting estimates have occurred in the reporting period (3.46 FRS 102 SORP).
- 1.5 **Material prior year errors:** There were no material prior year errors.
10
**Note 2: Accounting Policies**
## **2.1 Income**
## **Recognition of income**
Income is included in the Statement of Financial Activities (SoFA) when:
- the charity becomes entitled to the resources;
- it is more likely than not that the trustees will receive the resources; and
- the monetary value can be measured with sufficient reliability.
**Offsetting:** There has been no offsetting of assets and liabilities, or income and expenses, unless required or permitted by the FRS 102 SORP or FRS 102.
**Grants & donations:** Grants and donations are only included in the SoFA when the general income recognition criteria are met (5.10 to 5.12 FRS 102 SORP).
**Tax reclaims on donations and gifts:** Gift Aid receivable is included in income when there is a valid declaration from the donor. Any Gift Aid amount recovered on a donation is considered to be part of that gift and is treated as an addition to the same fund as the initial donation unless the donor or the terms of the appeal have specified otherwise.
## **2.2 Resources expended and liabilities**
**Resources expended** : Expenditure is included on an accruals basis.
**Creditors:** Creditors are measured at settlement amounts less any trade discounts.
**Liability recognition:** Liabilities are recognised where it is more likely than not that there is a legal or constructive obligation committing the charity to pay out resources and the amount of the obligation can be measured with reasonable certainty.
## **2.3 Assets**
**Tangible fixed assets:** Tangible fixed assets are stated in the financial statements at cost less accumulated depreciation.
**Depreciation:** Depreciation is calculated at the rate of 10% per annum on a straight-line basis to write off the cost of tangible assets over their estimated useful lives.
**Debtors:** Debtors (including trade debtors and loans receivable) are measured on initial recognition at settlement amount after any trade discounts or amount advanced by the charity. Subsequently, they are measured at the cash or other consideration expected to be received.
11
**Note 3: Tangible assets**
||||**Musical**
**Instruments**|**Music**
**Library**|**Total**|
|---|---|---|---|---|---|
||||**£**|**£**|**£**|
|||**Asset cost**||||
|||Balance brought forward|6,148|15,766|21,914|
|||Additons|-|-|-|
|||Balance carried forward|6,148|15,766|21,914|
|||**Accumulated depreciaton**||||
|||Balance brought forward|4,812|12,365|17,177|
|||Charge for the year|159|854|1,013|
|||Balance carried forward|4,971|13,219|18,190|
|||**Net book value**||||
|||Balance brought forward|1,336|3,401|4,737|
|||Balance carried forward|1,177|2,547|3,724|
|**Note**|**4:**|**Debtors and prepayments**||||
||||**Total**|**Total**||
||||**Funds**|**Funds**||
||||**2023**|**2022**||
||||**£**|**£**||
|||Recoverable Gif Aid|2,393|2,229||
|||Prepaid hall hire|-|240||
|||Subscriptons & insurance pre-payments|57|187||
|||**Total**|**2,450**|**2,656**||
|**Note**|**5:**|**Creditors**||||
||||**Total**|**Total**||
||||**Funds**|**Funds**||
||||**2023**|**2022**||
||||**£**|**£**||
|||Accrued expenses|200|410||
|||Deferred income|1,700|360||
|||**Total**|**1,900**|**770**||
## **Note 6: Trustees’ transactions**
During the year, two trustees received reimbursement for costs necessarily incurred in the course of undertaking the Orchestra’s business totalling £975.
None of the trustees have received any remuneration or other benefit for undertaking their role as Trustee.
12