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REGISTERED COMPANY NUMBER: 11774961 (England and Wales) REGISTERED CHARITY NUMBER: 1197053
REPORT OF THE TRUSTEES & FINANCIAL STATEMENTS FOR THE YEAR ENDED 9 DECEMBER 2024
Prestons & Jacksons Partnership LLP 364 - 368 Cranbrook Road Ilford Essex IG2 6HY
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Contents
Reference and Administrative Details
Report of the Trustees’
Independent Examiner’s Report
Statement of Financial Activities
Balance Sheet
Cash Flow Statement
Notes to Cash Flow Statement
Notes to Financial Statement
Detailed Statement of Financial Activities
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TRUSTEES
Mohmed Tahir Talati - Chair Umer Suleman Wahid Azizi Muhammad Anas Muqtedar Khan – (Appointed on 1st May 2025)
REGISTERED OFFICE 63 Woodgrange Road Forest Gate London E7 0EL REGISTERED OFFICE 2 Frederick Street (Untill 7th January 2025) Kings Cross London WC1X 0ND
REGISTERED COMPANY NUMBER 11774961 (England and Wales)
REGISTERED CHARITY NUMBER 1197053
INDEPENDENT EXAMINER
Prestons & Jacksons Partnership LLP 364 - 368 Cranbrook Road Ilford Essex IG2 6HY
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NATIONAL WAQF FUND
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 9 DECEMBER 2024
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The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 9 December 2024. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
Over the past year, the trustees are encouraged by the progress we made, as we built on the foundations established in the previous year and made significant progress to our core charitable objectives. We are very excited and confident to report tangible results over the next coming years.
OBJECTIVES AND ACTIVITIES
Public benefit
The trustees confirm that they have complied with the duty in section 4 of the Charities Act 2006 to have due regard to public benefit guidance published by the Commission in determining the activities undertaken by the Charity.
GRANTS AWARDED AND ACTIVITIES FOR PUBLIC BENEFIT
In 2024, NWF continued to award grants in line with its charitable objectives, with funds allocated to a range of causes. A total of £56,400 was distributed during the year. All grant recipients were subject to rigorous due diligence and monitoring to ensure alignment with NWF's objectives and the effective use of funds.
FINANCIAL REVIEW
In order to raise funds for the Public Waqf in 2024, the charity continued to organise a number of successful fundraising events focused on securing regular monthly donations for the Public Waqf.
Separately, to cover the operational costs of the charity, National waqf is building an internal investment fund, known as a Private Waqf Fund which will generate returns for the specified purpose. In 2024, National Waqf made significant progress in securing funds to grow its Private Waqf Fund. In the short-to-medium-
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term, National Waqf continues to be reliant on separate donations to plug any gaps in operational expenditures.
FINANCIAL POSITION
Total funding received in the year amounted to £1,913,239 (2023: £468,233), an increase of £1,445,006 on the previous year.
Total resources expended were £379,006 (2023: £241,684), an increase of £137,322 on the previous year's expenditure.
As a result, reserves at the end of the financial year ended 9th December 2024 were £1,904,277 (2023: £367,044) of which £364,242 (2023: £367,044) were unrestricted and £1,540,035 were restricted.
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NATIONAL WAQF FUND
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 9 DECEMBER 2024
GRANT GIVING POLICY
National Waqf has established its Grant Giving policy to achieve its objects for the public benefit. We award grants pursuant to principles as outlined in our policy. This includes (not exhaustive list).
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Grants are given only to causes where the need and purpose have been identified and match our charity objective.
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A proactive monitoring approach is established to ensure grants given deliver the promised results.
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The necessary due diligence has been completed to a satisfactory standard.
The grant giving procedure entails completing our online application and passing the initial screening. This is followed by comprehensive assessment and due diligence, and finally a funding agreement is put in place. This agreement details the terms, objectives, funding and payment schedule, along with reporting requirements. It will also include clear Key Performance Indicators (KPIs) and metrics for performance measurement, ensuring that both parties have a shared understanding of the expected outcomes and criteria for success.
Furthermore, there is a requirement for the grantee to submit regular and detailed progress reports. These reports are essential for ongoing evaluation and are used to assess the project's progress. The evaluation of these reports is crucial in determining the release of subsequent funding tranches. This thus ensures we have a mechanism to ensure the project is on track and meet its agreed-upon goals.
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NATIONAL WAQF FUND
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 9 DECEMBER 2024
INVESTMENT POLICY AND PERFORMANCE
National Waqf's Investment Policy outlines the major investment principles (1), investment objectives (2), how the proceeds are distributed (3), risk management and mitigation (4), roles and responsibilities (5), and the charity's financial risk tolerability criteria (6). The policy can be found in National Waqf's website.
Given National Waqf's operational model, its investment activities require making a return on an annual basis, otherwise National Waqf will not be able to fulfil its charity objects. As such, the investment objective is to invest "to generate income to meet its spending needs. Once this hurdle rate is satisfied, the surplus capital shall be used to maximise capital growth. In doing this, NW shall seek opportunities with the highest reward/risk ratio." The investment performance shall chiefly evaluate the annualised returns as well as the total income received per year.
Our investments are managed by a team of staff within National Waqf. We manage our investments ourselves because:
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It gives us more control and choice over what we invest in.
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We have a skilled team who are able to achieve strong results.
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It saves us a lot of money compared to hiring external investment managers.
The alternative would be to pay external companies to manage our investments for us. This would cost us several times more than managing our portfolio in-house does, and our initial review has suggested that most external fund managers would struggle to meet out investment mandate.
To date, National Waqf has only invested in real estate, and in 2024 we grew our portfolio across both the Public and Private Waqf. We continue to predict achieving a rental yield of 8% or better in the long term in our investments.
RESERVES POLICY
The trustees have examined the charity's requirements for reserves in light of the main risks to the organisation. It has established a policy whereby the unrestricted funds not committed or invested in tangible fixed assets held by the charity should be at least 3 months of the expenditure.
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The budgeted expenditure for 2024/2025 is £350,000 and therefore the target is £88,000 in general funds. The reserves are needed to meet the working capital requirements of the charity, and the trustees are confident that at this level they would be able to continue the current activities of the charity in the event of a significant drop in funding.
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NATIONAL WAQF FUND
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 9 DECEMBER 2024
FUTURE PLANS
Looking ahead to 2025, NWF will build on the momentum of 2024 by focusing its work around four strategic priorities agreed by the Board at the end of the year. These priorities will serve as the guiding framework for our activities over the next 24 months, ensuring that our growth is intentional, sustainable, and impactful
1. Establish Thought Leadership
We aim to lead discourse and innovation in the governance, establishment, structure, and operations of Waqf in the UK. Through research, publications, policy engagement, and collaboration with stakeholders, we will strengthen our position as the sector's trusted voice.
2. Leading Provider of Waqf Education
We will scale our education efforts, producing high-quality learning materials, hosting workshops, and offering advisory services to equip individuals, in stitutions, and communities with the knowledge and tools to establish and manage sustainable Awqaf.
3. Benchmark Public Waqf Model
We will set the standard for a transparent and efficient public Waqf that meets community needs. Our grant-giving will be based on research-driven priorities, and we will showcase measurable impact through projects that align with the goals of the UK Muslim community.
4. Organisational Self-Sufficiency
We will continue to grow and diversify our income streams to cover operational costs and fund our charitable objectives. This includes strengthening governance structures, completing process and policy documentation, and ensuring all key organisational roles are filled and functioning effectively.
By anchoring our future plans to these priorities, NWF will be able to expand its portfolio, deepen its community impact, and ensure that the legacy of Waqf continues to thrive for generations to come.
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STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing Document
The charity is controlled by its governing document, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.
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NATIONAL WAQF FUND
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 9 DECEMBER 2024
The organisation is a charitable company limited by guarantee, incorporated on 18th January 2019 and registered as a charity on 21st December 2021. The company was established under a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articles of Association.
We recognise that to deliver our strategic aims, we need sound corporate governance arrangements in place. Corporate governance is founded on laws, our internal governing policies, processes, systems and behaviours that together provide a system for the way in which our organisation is directed, administered and controlled.
National Waqf is a registered charity and operates by awarding financial grants to legible recipients in the UK to realise its charity objects. In doing so, the charity's operational model entails:
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a. Fundraising money from the public where the principal of the donation is ring fenced in a designated Public Waqf Fund (the "Fund").
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b. The money in the Fund is then invested in accordance with the charity's investment policy.
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c. A portion of the returns (i.e., profits) from the investment are given out as grants to legible recipients, and remainder reinvested in the Fund.
Board of Trustees
Our Board of Trustees remains the cornerstone of our governance structure and comprises of experienced professionals. The Board is responsible for setting the strategic direction, ensuring regulatory compliance, and overseeing the overall performance of the organisation. Regular meetings were held throughout the year to review progress, address challenges, and make key decisions.
Executive Management Team
The day-to-day operations of the National Waqf are managed by our Executive Team headed by Chief Executive Officer (CEO). The CEO is tasked with implementing the strategic plans approved by the Board, managing resources efficiently, and ensuring that our programs and initiatives are aligned with our charitable objectives.
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To give us assurance of good governance, we established an Investment and Grant Giving departments with experienced personnel who were supported by trusted advisors during the year. These departments provide the necessary scrutiny and expert advice, to ensure these core activities are properly operating.
Policies and Procedures
In 2024, National Waqf continued to strengthen its governance by further implementation and enhancement of policies in important areas such as grant giving, know your donor, know your beneficiary etc., These policies will ensure robust oversight and effective implementation of our charitable activities.
Towards a Sustainable Financial Future
National Waqf aims to create a source of sustainable revenue for charitable organisations through investing in income generating assets and awarding grants from the returns from those investments. We consider 2024 to be another foundational year in National Waqf's establishment, with the aim of securing our successful long-term vision.
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NATIONAL WAQF FUND
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 9 DECEMBER 2024
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RISK MANAGEMENT
The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error.
We recognise the immense importance of risk management in achieving our objectives, and as such we have implemented a formal risk management system. This entails the identification, evaluation, and mitigation of risks across all key operations.
A risk register has been established and is updated at least annually. Where required, systems and procedures have been implemented to mitigate the risks.
At this stage of the National Waqf's existence, the trustees consider a potential decrease in operational funding as one of the major operational risks. In addressing this, National Waqf spend significant time resource by diversifying fund sources, working with partners in the community to help build up reserves and develop a contingency plan.
STATEMENT OF TRUSTEES' RESPONSIBILITIES
The trustees (who are also the directors of National Waqf Fund for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".
Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to
- select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charity SORP;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the trustees are aware, there is no relevant information (as defined by Section 418 of the Companies Act 2006) of which the charitable company's auditors are unaware, and each trustee has taken all the steps that they ought to have taken as a trustee in order to make them aware of any audit information and to establish that the charitable company's auditors are aware of that information.
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NATIONAL WAQF FUND
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 9 DECEMBER 2024
AUDITORS
The auditors, Prestons & Jacksons Partnership LLP, will be proposed for reappointment at the forthcoming Annual General Meeting.
Report of the trustees, incorporating a strategic report, approved by order of the ��������� board of trustees, as the company directors on ....................................................... and signed on the board's behalf by:
Trustee
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REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF NATIONAL WAQF FUND
Opinion
We have audited the financial statements of National Waqf Fund (the 'charitable company') for the year ended 9 December 2024 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
In our opinion the financial statements:
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give a true and fair view of the state of the charitable company's affairs as at 9 December 2024 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'; and
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have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for Opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial
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statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
Other Information
The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
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REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF NATIONAL WAQF FUND
Matters on which We are Required to Report by Exception
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
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the information given in the Report of the Trustees is inconsistent in any material respect with the financial statements; or
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the charitable company has not kept adequate accounting records; or
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the financial statements are not in agreement with the accounting records and returns; or
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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, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
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REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF NATIONAL WAQF FUND
Our responsibilities for the audit of the financial statements
We have been appointed as auditors under Section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
We obtained an understanding of the legal and regulatory framework within which the charitable company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006 together with the Charities SORP (FRS102). We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items.
In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be fundamental to the charitable company's ability to operate or to avoid material penalty. We also considered the opportunities and incentives that may exist within the charitable company for fraud. The laws and regulations we considered were General Data Protection Regulation (GDPR), employment legislations and antifraud, bribery and corruption legislation.
Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Trustees and other management
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and inspection of regulatory and legal correspondence, if any.
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 in order to enable a proper understanding of the accounts to be reached.
We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within the timing of recognition of income and the override of controls by management. Our audit procedures to respond to these risks included enquiries of management, internal audit and the Trustees about their own identification and assessment of the risks and irregularities, sample testing on the posting of journals, reviewing accounting estimates for biases, reviewing regulatory correspondence with Charity Commission, review of donor audit reports, review of overseas office audit reports and reading of minutes of meetings of those charged with governance.
Owing to inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.
Do9n En¥dope ID: CA34C*W9W(W61tHB8F34M6L)BB REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF NATIONAL WAQF FUND Use of our report This report is made solely to the charitable companvs trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable companys trustees those matters we are requlred to stste to them in an auditors, report and for no other purpose. To the fullest extent permitted by law. we do not accept or assume responsibility to anyone other than the charitable company and the charitable companvs trustees as a body, for our audit worK for this report, or for the opinions we have formed. Prestons & Jacksons Partnership LLP Statutory Auditors Eligible to act as an auditor in terms of Section 1212 of the Companies Act 2006 364 - 368 Cranbrook Road Ilford Essex IG2 6HY Date: 10 Da 20
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STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 9 DECEMBER 2024
| INCOME AND ENDOWMENTS FROM |
Notes | Unrestricted funds £ |
Restricted fund £ |
9.12.24 Total funds £ |
9.12.23 Total funds £ |
|---|---|---|---|---|---|
| Donation and legacies | 2 | 105,104 | 1,501,395 | 1,606,499 | 310,562 |
| Other trading activities |
3 | 244,664 | - | 244,664 | 156,871 |
| Investment income | 4 | - | 62,076 | 62,076 | 800 |
| TOTAL | 349,768 | - 1,563,471 | 1,913,239 | 468,233 | |
| EXPENDITURE ON | |||||
| Raising funds | 5 | 32,770 | - | 32,770 | - |
| Charitable Activities | 6 | 277,543 | 68,693 | 346,236 | 241,684 |
| TOTAL | 310,313 | - 68,693 | 379,006 | 241,684 | |
| NET INCOME | 39,455 | 1,494,778 | 1,534,233 | 226,549 | |
| Transfers between funds |
18 | (45,257) | 45,257 | - | - |
| Net movement in funds |
(5,802) | 1,540,035 | 1,534,233 | 226,549 | |
| RECONCILIATION | |||||
| OF FUNDS |
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| Total funds brought forward |
367,044 | - | 367,044 | 140,495 |
|---|---|---|---|---|
| TOTAL FUNDS | ||||
| CARRIED FORWARD | 361,242 | -1,540,035 | 1,901,277 | 367,044 |
The notes form part of these financial statements
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BALANCE SHEET 9 DECEMBER 2024
| FIXED ASSETS | Notes | 9.12.24 Total funds £ |
9.12.23 Total funds £ |
|---|---|---|---|
| Investment property | 14 | 3,032,866 | 1,571,839 |
| CURRENT ASSETS | |||
| Debtors | 15 | 4,000 | - |
| Cash at banks | 347,020 | 321,764 | |
| 351,020 | 321,764 | ||
| CREDITORS | |||
| Amounts falling due within one year |
16 | (1,482,609) | (1,526,559) |
| NET CURRENT ASSETS |
(1,131,589) | (1,204,795) | |
| TOTAL ASSETS LESS | |||
| CURRENT LIABILITIES | 1,901,277 | 367,044 | |
| NET ASSETS | 1,901,277 | 367,044 | |
| FUNDS | |||
| Unrestricted funds | 18 | 361,242 | 367,044 |
| Restricted funds | 1,540,035 | - | |
| TOTAL FUNDS | 1,901,277 | 367,044 |
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The notes form part of these financial statements
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 9 December 2024.
The members have not deposited notice, pursuant to Section 476 of the Companies Act 2006 requiring an audit of these financial statements.
The trustees acknowledge their responsibilities for:
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a. ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and
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b. preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.
These financial statements have been audited under the requirements of Section 145 of the Charities Act 2011.
The financial statements were approved by the Board of Trustees and authorised ��������� for issue on ....................................................... and were signed on its behalf by:
Trustee
Trustee
The notes form part of these financial statements
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CASH FLOW STATEMENT FOR THE YEAR ENDED 9 DECEMBER 2024
| Cash flows from operating activities |
Notes | 9.12.24 Total funds £ |
9.12.23 Total funds £ |
|---|---|---|---|
| Cash generated from operations |
1 | 1,486,283 | 1,758,658 |
| Net cash provided by operating activities |
1,486,283 | 1,758,658 | |
| Cash flows from | |||
| investing activities | |||
| Purchase of investment property |
(1,461,027) | (1,571,839) | |
| Net cash (used in) investing activities |
(1,461,027) | (1,571,839) | |
| Change in cash and | |||
| cash equivalents in | 25,256 | 186,819 | |
| the reporting period | |||
| Cash and cash | |||
| equivalents at the beginning of the |
321,764 | 134,945 | |
| reporting period | |||
| Cash and cash | |||
| equivalents at the end of the reporting |
347,020 | 321,764 | |
| period |
The notes form part of these financial statements.
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NOTES TO THE CASH FLOW STATEMENT FOR THE YEAR ENDED 9 DECEMBER 2023
Note 1. RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES
----- Start of picture text -----
9.12.24 9.12.23
Notes
Total funds £ Total funds £
Net income for the
reporting period (as
1,534,233 226,549
per the Statement of
Financial Activities)
ADJUSTMENT FOR
(Increase) in debtors (4,000) 5,550
(Decrease) in
(43,950) 1,526,559
creditors
NET CASH PROVIDED
1,486,283 1,758,658
BY OPERATION
----- End of picture text -----
Note 2. ANALYSIS OF CHANGES IN NET FUNDS
----- Start of picture text -----
10.12.23 Cash flow 9.12.24
Total funds £ Total funds £ Total funds £
NET CASH
321,764 25,256 347,020
Cash at bank
TOTAL 321,764 25,256 347,020
----- End of picture text -----
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 9 DECEMBER 2024
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.
Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
Investment property
Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in the Statement of Financial Activities.
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Taxation
The charity is exempt from corporation tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
Pension costs and other post-retirement benefits
The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.
2. DONATIONS AND LEGACIES
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9.12.24 9.12.23
Total funds £ Total funds £
Donations 1,546,043 307,162
Gift aid 41,496 -
Donated services and
18,960 3,400
facilities
TOTAL 1,606,499 310,562
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3. OTHER TRADING ACTIVITIES
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9.12.24 9.12.23
Total funds £ Total funds £
Seed Funding 228,212 146,871
Sales 1,029 -
Sponsorships 15,423 10,000
TOTAL 244,664 156,871
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4. INVESTMENT INCOME
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9.12.24 9.12.23
Total funds £ Total funds £
Rents received 62,076 800
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5. RAISING FUNDS
Raising donations and legacies
| 9.12.24 Total funds £ 9.12.23 Total funds £ |
|
|---|---|
| Events | 31,900 - |
| Donor Gifts | 870 - |
| TOTAL | 32,770 - |
6. CHARITABLE ACTIVITIES COST
| Direct costs £ |
Grant funding activities (see note 7) £ |
Support costs (see note 8) £ |
Totals £ |
|
|---|---|---|---|---|
| Charitable activities | 278,276 | 56,400 | 11,560 | 346,236 |
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7. GRANTS PAYABLE
| 9.12.24 Total funds £ 9.12.23 Total funds £ |
|
|---|---|
| Charitable activities | 56,400 88,750 |
| The total grants paid to individuals during the year was as follows: | |
| Education and training 11,400 60,000 |
|
| Religious Activities 5,000 10,000 |
|
| The advancement of health and saving lives 2,500 10,000 |
|
| Human Rights and Religious Equality 37,500 8,750 |
|
| TOTAL 56,400 88,750 |
8. SUPPORT COSTS
| Finance | Governance | costs | Totals | |
|---|---|---|---|---|
| £ | £ | £ | ||
| Charitable activities | 7,550 | 4,010 | 11,560 |
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9. NET INCOME/(EXPENDITURE)
Net income/(expenditure) is stated after charging/(crediting):
| 9.12.24 Total funds £ 9.12.23 Total funds £ |
|
|---|---|
| Auditors Remuneration |
3,000 - |
10. TRUSTEES’ REMUNERATION AND BENEFITS
| 9.12.24 Total funds £ 9.12.23 Total funds £ |
|
|---|---|
| Trustees' fees | 8,500 2,040 |
Trustees' expenses
There were no trustees' expenses paid for the year ended 9 December 2024 nor for the year ended 9 December 2023.
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11. STAFF COSTS
| 9.12.24 Total funds £ 9.12.23 Total funds £ |
|
|---|---|
| Wages and salaries | 130,453 48,743 |
| Social security costs | 9,427 - |
| Other pension costs | 1,215 - |
| 141,095 48,743 |
|
| The average monthly number of employees during the year was as follows: | |
| Charitable activities 3 3 |
|
| No employees received emoluments in excess of £60,000. |
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12. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES 9 December 2023
| INCOME AND | Unrestricted funds | Restricted funds | Totals |
|---|---|---|---|
| ENDOWMENTS FROM | £ | £ | £ |
| Donations and | |||
| legacies | 310,562 | - | 310,562 |
| Other trading activities |
156,871 | - | 156,871 |
| Investment income | 800 | - | 800 |
| TOTAL | 468,233 | 468,233 | |
| EXPENDITURE ON | |||
| Charitable activities | 241,684 | - | 241,684 |
| NET INCOME | 226,549 | - | 226,549 |
| RECONCILIATION | |||
| OF FUNDS | |||
| Total funds brought forward |
140,495 | - | 140,495 |
| TOTAL FUNDS | |||
| CARRIED FORWARD | 367,044 | - | 367,044 |
13. KEY MANAGEMENT PERSONNEL
Key Management Personnel comprises of the Board of Trustees.
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14. INVESTMENT PROPERTY
FAIR VALUE £ At 10 December 2023 1,571,839 Additions 1,461,027 At 9 December 2024 3,032,866 NET BOOK VALUE At 9 December 2024 3,032,866 At 9 December 2023 1,571,839
15. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| 9.12.24 Total funds £ 9.12.23 Total funds £ |
|
|---|---|
| Trade debtors | 4,000 - |
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16. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
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9.12.24 9.12.23
Total funds £ Total funds £
Trade creditors 3,090 1,540
Social security and
3,045 3,814
other taxes
Other creditors 1,467,564 1,482,205
Accrued expenses 8,910 39,000
TOTAL 1,482,609 1,526,559
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Other Creditors include a loan of £1,300,000 which is repayable on demand.
As at 31st December 2023, there are two charges registered at Companies House against the above sum by the loan providers.
17. ANALYSIS OF NET ASSETS BETWEEN FUNDS
| Unrestricted | Restricted |
9.12.24 | 9.12.23 | |
|---|---|---|---|---|
| funds £ | funds £ | Total funds £ | Total funds £ | |
| Investments | 1,571,839 | 1,461,027 | 3,032,866 | 1,571,839 |
| Current assets | 272,012 | 79,008 | 351,020 | 321,764 |
| Current liabilities | (1,482,609) | - | (1,482,609) | (1,526,559) |
| 361,242 | 1,540,035 | 1,901,277 | 367,044 |
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18. MOVEMENT IN FUNDS
| At | Net movement | Transfers |
At | |
|---|---|---|---|---|
| 10.12.23 | in funds | between funds | 9.12.24 | |
| £ | £ | £ | £ | |
| Unrestricted funds General funds |
367,044 | 39,455 | (45,257) | 361,242 |
| Restricted funds | - | 1,494,778 | 45,257 | 1,540,035 |
| TOTAL FUNDS | 367,044 | 1,534,233 | - | 1,901,277 |
Net movement in funds, included in the above are as follows:
| Incoming | Resources | Movement | |
|---|---|---|---|
| resources | expended | in funds | |
| £ | £ | £ | |
| Unrestricted funds General funds |
349,768 | (310,313) | 39,455 |
| Restricted funds | 1,563,471 | (68,693) | 1,494,778 |
| TOTAL FUNDS | 1,913,239 | (379,006) | 1,534,233 |
Comparatives for movement in funds
| 10.12.23 | Net movement in | 9.12.24 | |
|---|---|---|---|
| Total funds | funds | Total funds | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General funds | 140,495 | 226,549 | 367,044 |
| TOTAL FUNDS | 140,495 | 226,549 | 367,044 |
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Comparative net movement in funds, included in the above are as follows:
| Incoming Resources £ |
Resources Expended £ |
Movement in funds £ |
|
|---|---|---|---|
| Unrestricted funds General funds |
468,233 | (241,684) | 226,549 |
| TOTAL FUNDS | 468,233 | (241,684) | 226,549 |
Analysis of Restricted funds carried forward as at 9.12.2024
| Amount £ |
|
|---|---|
| Public Waqf | 617,351 |
| Private Waqf | 914,084 |
| Grant Giving | 8,600 |
| RESTRICTED FUNDS CARRIED FORWARD – 9.12.24 |
1,540,035 |
Public Waqf: Represents donations received from the wider community. These funds are invested into income-generating assets, with returns applied in line with our 50:50 model: half reinvested into the Public Waqf to ensure long-term growth, and half distributed as grants.
Private Waqf : Represents funds donated by private donors to build an internal Waqf. These are invested into assets, and the returns generated are used primarily to cover the organisation's operational costs, ensuring sustainability.
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Grant Giving: Represents restricted funds set aside for charitable grants. The balance at year-end reflects amounts still available to be distributed in future grant rounds.
19. RELATED PARTY DISCLOSURES
-
During the year, one of the trustees received a fee of £8,500 (2023: £2,040) for services provided to The Waqf.
-
During the year, one of the Trustee managed and provided investment advice to one of the key donor, who is also a founder of the Advisory Board of the Waqf.
-
a. The company owned by the key donor also gave a loan of £1.3 million to the Waqf. This was treated at arm's length.
-
b. The key donor is also married to the sister of one of the trustee.
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DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 9 DECEMBER 2024
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INCOME AND 9.12.24 9.12.23
ENDOWMENTS Total funds £ Total funds £
Donations and
legacies
Donations 1,546,043 307,162
Gift aid 41,496 -
Donated services and
18,960 3,400
facilities
1,606,499 310,562
Other trading
activities
Seed funding 228,212 146,871
Sales 1,029 -
Sponsorships 15,423 156,871
-
244,664
Investment income
Rents received 62,076 800
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TOTAL INCOMING
1,913,239 468,233
RESOURCES
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This page does not form part of the statutory financial statements.
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| EXPENDITURE | 9.12.23 Total funds £ 9.12.22 Total funds £ |
|---|---|
| Raising donations and legacies |
|
| Events | 31,900 - |
| Donor Gifts | 870 - |
| 32,770 - |
|
| Charitable activities | |
| Trustees’ fees | 8,500 2,040 |
| Wages | 121,953 46,703 |
| Social security | 9,427 - |
| Pensions | 1,215 - |
| Rent | 17,000 3,400 |
| Insurance | 586 - |
| Postage and stationery |
2,089 1,460 |
| Design and Media Production |
4,410 36,243 |
| Real Estate Investment Costs |
11,075 847 |
| Fees and Charges | 702 - |
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| IT Software and | ||
|---|---|---|
| Hardware | 2,611 | 2,235 |
| Carried forward | 179,568 | 92,928 |
| TOTAL | 238,520 | 1,581 |
This page does not form part of the statutory financial statements.
| Charitable Activities | 9.12.24 Total funds £ 9.12.23 Total funds £ |
|---|---|
| Brought forward | 179,568 92,928 |
| Website Development Costs |
10,882 1,208 |
| Admin Costs | 5,173 1,540 |
| Consultancy Costs | 5,030 6,550 |
| Equipment Expensed | 450 594 |
| Travel and Subsistence |
201 - |
| Advisory Costs | 2,357 - |
| Educational Project | 2,000 - |
| Charity Events | 20,815 - |
| Awareness and Outreach |
51,800 46,950 |
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| Grants to Other | ||
|---|---|---|
| Charities | 56,400 | 88,750 |
| NET INCOME | 334,676 | 238,520 |
| SUPPORT COSTS | 9.12.23 Total funds £ 9.12.22 Total funds £ |
|---|---|
| Finance | |
| Bank Charges | 7,550 1,414 |
| Governance Costs | |
| Auditors' remuneration |
3,000 - |
| Accountancy and legal fees |
1,010 - |
| Independent Examiners' Fees |
- 1,750 |
| 4,010 1,750 |
|
| TOTAL RESOURCES EXPENDED |
379,006 241,684 |
| NET INCOME | 1,534,233 226,549 |
This page does not form part of the statutory financial statements.